Labour reform takes shape with business proposals

Ecuadornews:

Until the first semester of this year, the Government expects to present the labor reform that seeks to increase the figures for full employment in the country.

Within the framework of the agreement with the International Monetary Fund (IMF), some guidelines have been advanced that the Government will seek with the reform: to reduce contracting costs, increase the trial time before a definitive link of an employee and eliminate compensation in resignation case.

The businessmen have presented 13 proposals that, they claim, would be included among the changes that the Government will present in labor issues in the coming days. Changes in the working day In the first proposal, employers suggest that the 40-hour workday is not divided into five days, but in three and a half days. Thus, employees will have the opportunity to dedicate themselves to other activities in the remaining day and a half and in turn they will be able to count on a guaranteed basic remuneration, says Patricio Alarcón, president of the Ecuadorian Business Committee (CEE).

Another proposal is that in the 40-hour day a week can be included on Saturday without having to pay for these hours as complementary. It is proposed to double the production of companies up to 12 hours a day through two shifts.

Flexibility for children under 26 years of age It is proposed that until the age of 26 the contract can be terminated for any reason or at the discretion of either party with the payment of the bonus of 25% of the salary for each year of service. This, according to the entrepreneurs, would boost the hiring of young people by companies.

The return of the fixed term Another proposal is the application of the contract for specific work or service, without being limited to a type of economic activity. This would allow generating work places with the possibility for the employer to terminate the employment relationship when the work is completed, without compensation. According to the employers, for the unemployed worker it is important to enjoy remuneration at least during the set time.

Until the first semester of this year, the Government expects to present the labor reform that seeks to increase the figures for full employment in the country.

Within the framework of the agreement with the International Monetary Fund (IMF), some guidelines have been advanced that the Government will seek with the reform: to reduce contracting costs, increase the trial time before a definitive link of an employee and eliminate compensation in resignation case.

The businessmen have presented 13 proposals that, they claim, would be included among the changes that the Government will present in labor issues in the coming days. Changes in the working day In the first proposal, employers suggest that the 40-hour workday is not divided into five days, but in three and a half days.

Thus, employees will have the opportunity to dedicate themselves to other activities in the remaining day and a half and in turn they will be able to count on a guaranteed basic remuneration, says Patricio Alarcón, president of the Ecuadorian Business Committee (CEE). Another proposal is that in the 40-hour day a week can be included on Saturday without having to pay for these hours as complementary.

It is proposed to double the production of companies up to 12 hours a day through two shifts. Flexibility for children under 26 years of age It is proposed that until the age of 26 the contract can be terminated for any reason or at the discretion of either party with the payment of the bonus of 25% of the salary for each year of service. This, according to the entrepreneurs, would boost the hiring of young people by companies.

The return of the fixed term Another proposal is the application of the contract for specific work or service, without being limited to a type of economic activity. This would allow generating work places with the possibility for the employer to terminate the employment relationship when the work is completed, without compensation.

According to the employers, for the unemployed worker it is important to enjoy remuneration at least during the set time. (I)

Source: https://www.expreso.ec/economia/reforma-laboral-empresas-propuestas-LY2809184