Only three out of ten people are employed formally, while the labor participation of women is half that of men, among other reasons, because labor legislation has rigidities that inhibit their employment.
From a statement issued by the Salvadoran Foundation for Economic and Social Development (FUSADES):
The country which used to stand out in the region because of its good relative level of economic, social and educational development, is accelerating its march downhill in terms of productive competitiveness, income distribution and training.
The private sector has pointed to the fact that the government lacks clarity and a strategy for productivity and creating conditions for employment.
Constant closures show lack of confidence
The Costa Rican Union of Chambers and Associations of Private Businesses (UCCAEP) said this morning that the rise in unemployment due to recent closures is a national concern which warrants a declaration of emergency.
Unions reject a proposal by industrialists to work 4 days and rest 3 days, whle the government describes it as a "sensitive" issue.
The Minister of Labour, Victor Morales, told Crhoy.com that "....These proposals concerning working hours require legislative amendment, they need a reform of the Labour Code to be approved in the Legislature ... I proposed to the Chamber of Industries ... that these issues must be subject to tripartite dialogue (between employers, workers and government). "
Industrialists are asking for inclusion in the Labour Code a 12 hour work day, and in cases in where the law permits, annualized hours.
From a statement issued by the Chamber of Industries (ICRC):
July 2014. In the view of the ICRC establishing additional rules for working time in Costa Rican legislation represents an excellent option for generating higher quality employment opportunities, while at the same time allowing firms to improve their production levels.
The law on flexible labor passed in 2010 was valid for three years and now its extension has provoked opposition from worker unions seeking its repeal.
Representatives from several labor unions asked the president Porfirio Lobo to repeal the Employment Act which was extended on 18 January before he leaves the Government. Trade unions believe that the rule violates the Labor Code and curtails the rights of workers.
Extending the deadline for the end of the validity of the law does not meet businesses need for certainty regarding the permanence of a system which is considered successful.
Congress has approved the extension until December 31, 2013 of the term of the Employment Paid By Hours Act which would have ended in two months.
This law was created in 2010 and its duration was originally 36 months meaning that it would have come to an end in November, however, the National Congress of Honduras gave its approval for it to remain in force for another month.
Employers have requested that the temporary law whose validity will expire in two months be made permanent.
The Ministry of Labour and Social Security has also asked for the entry into force of the National Employment By Hours Programme which according to official statistics has reduced unemployment by 3.6%, generating about 155,000 jobs. According to Labor Minister Jorge Bográn, it is important to ensure the stability of the program, if not these positions could be lost and there would be no room for new applicants.
The Guatemalan Ministry of Labour is working on a bill draft and Labor Code reforms, in order to ensure social security and benefits are given to part-time employees.
The minister, Carlos Contreras, said his organization is working on a bill called the Employment Inclusion Act. It aims to ensure that part-time staff are recruited, but with the guarantee of Social Security payments and the support of the law.
Through the “Red Amigo” (Friend Network) the government is training companies and individuals regarding the application of a new law about temporary employment.
Red Amigo representative, Miguel Morazán, noted that training on the implementation of the new law is essential, because in their experience, "... for every businessman trained at least five temporary jobs are created"
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