Panama: Economic Growth Vs. Employment

While the unemployment rate remains the lowest in Latin America, an even greater level of preparedness of the workforce is needed to achieve dynamic and sustainable growth.

Monday, October 7, 2013

According to an article in the rate of employment growth is no longer parallel to economic growth, noting that "According to official figures, between March 2012 and March 2013 there was a decrease in the labour force of nearly 7,000 jobs. "

"... This is not a recession, but a fall in the rate of expansion. The most important thing is that there are about 21,000 unemployed young people aged between 20 and 24 years. "

The writer points out the already recognized rigidity of the Panamanian labor market , which "has one of the highest compensation costs, as well as the number of days off."

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Costa Rica: For and Against Labor Flexibility

July 2014

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 that "....These proposals concerning working hours require legislative amendment, they need a reform of the Labour Code to be approved in the Legislature ...

Flexible Working Hours Requested in Costa Rica

July 2014

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.

Panama Needs More Flexible Labor Market

May 2012

Laws restricting the recruitment of foreign personnel are obstacles to competitiveness and development.

In Panama, only 10% of staff may be foreign. According to some economists and managers, this reduces the competitiveness of financial sector companies.

When consulted, the economist Ruben Lachman said the laws that establish the 10% limit are a burden.