Companies in El Salvador that do not comply with the biosecurity measures stipulated in the protocols for reopening the economy may be sanctioned with the temporary closure of their operations.
In the process of reactivating economic activities that were suspended due to the spread of covid-19, the Salvadoran authorities have established protocols for the proper functioning of companies.
In El Salvador, the Administrative Litigation Chamber of Santa Tecla ordered the reopening of two of the five restaurants of the Mister Donut chain that had been closed weeks before by the authorities.
In October, authorities from the Ministry of Labor and Health decided to close five branches of the Mister Donut chain, arguing that the company breached labor rights, did not comply with safety standards, and that the remodeling work prevented it from complying with the required hygiene standards.
Alleging that they have received complaints of violations of workers' rights, the government announced that in the coming days they will conduct inspections in security companies and restaurants.
Authorities of the Ministry of Labor closed two restaurants of the Mister Donut chain, arguing that there are violations of labor rights and non-compliance with occupational health and safety standards.
The restaurants that were closed because of a latent risk to people, according to the authorities, are located at 29a. Calle Poniente and San José Park, in downtown San Salvador.
One of the first actions of El Salvador's new president, Nayib Bukele, was to announce the elimination of four secretariats and the creation of two new ones: Innovation and Trade and Investment.
In El Salvador, the changes that are coming with the arrival of Nayib Bukele to power are beginning to be announced, since at the first meeting of the Council of Ministers it was reported that the Technical Secretariat of the Presidency, the Social Inclusion Secretariat, the Governance Secretariat, the Transparency and Anti-Corruption Secretariat, and the Vulnerability Secretariat, all created during the FMLN government, will disappear.
The textile industry has proposed that the government implement labor schemes with flexible hours, allowing plants to operate on shifts of up to 14 and 16 hours.
The proposal involves establishing modern labor schemes, as implemented in other markets, said Patricia Figueroa, executive director of the Chamber of the Textiles, Clothing and Free Zones of El Salvador.
In El Salvador registration is open for companies interested in accessing the tax incentives provided by the "first job" law for hiring young people.
The rule states that companies that hire young people can get discounts on the payment of income tax.
As stated by the Ministry of Labor and Social Security (MLSS), companies that incorporate two to eight young people are entitled to deduct a minimum annual salary from their tax return.
Inspectors are to visit companies and institutions in order to check compliance with health and safety standards in workplaces.
MINTRAB of El Salvador has launched a new round of inspections of companies and public institutions in order to ensure compliance with health and safety standards in workplaces, in compliance with the General Law of Risk Prevention.
Almost 30% of the economically active population is underemployed.
The Salvadoran government has announced that the unemployment rate reached 7.1% in July. While the figure is less than in the U.S., where 9.1% of active people can not find work, it is in line with the level of unemployment in other countries in Central America.
The underemployment rate, which includes people who have jobs but who want to work longer hours, stood at 28.9%, while unemployment among young people aged 16 to 29 years amounted to 11.6%.
With the approval by the Executive, an 8% increase in the minimum wage will come into force on May 16.
The agreement reached by employers, unions and government representatives, on 28 April, is waiting for ratification by the president in order to be implemented.
An article in LaPrensa Grafica on its website outlines previous changes; since 2006 there have been four increases in the minimum wage, one per year up to 2009, of 10%, 5%, 5% and 8% respectively. In 2011 the rise was 8%
The proposal presented by the Textile Industry Chamber did not receive support from the Ministry for Employment.
The plan promoted by the industry is for a change in working hours from a three and half day week to eight hours daily.
"Patricia de Figueroa, the Chamber's executive director, stated that the plan did not receive the backing required from the Ministry for Employment, which described it as unconstitutional," reports Elsalvador.com.
A lack of specialist professionals and technicians combined with poor levels of English is making the country less competetive.
Data analyzed from the latest Job Fair organized by El Salvador's Chamber of Commerce in conjunction with the Ministry for Employment, indicate that attendees qualifications, technical understanding and level of English were often below that sought by hiring companies.
Inflexible labor legislation is making the textile industry less competitive.
Markets such as Honduras and the Dominican Republic have already had 12-hour working days approved and as a result have seen export orders increase. This in turn has meant more jobs - 10,000 new positions reported in Honduras in August.
"The loss of contracts is the concern of Edwin Zamora, president of El Salvador's association of textile and apparel manufacturers (Camtex), who has reiterated his call to the government for a longer working day of 11 or 12 hours in order to be able to accept orders still arriving from the USA," reports Elsalvador.com.