Published On: Tue, Nov 19th, 2013

None flexible labor laws stimulate unemployment

Government CenterWILLEMSTAD - In times of economic downturn and the contraction it is of utmost importance for companies that they are in a position to adapt as quickly and effectively to the changed market conditions in order to survive and maintain jobs.

Anno November 2013 should be noted, however, that companies operating in Curaçao are still faced with an inflexible labor market and legislation. In particular, the implementation of the so-called dismissal law has become a major problem. The (tripartite) Dismissal committee, which deals with requests from companies to lay off employees, has expressed serious concerns that they cannot properly perform their work due to the dysfunction of the Ministry of Social and Labor Affairs. There is a bureaucracy, lack of expertise, mutual power struggle between employees, in short, a chaos which means that statutory deadlines are not met.

The social partners in Kolaborativo have recently indicated this problem

All of these signals, however, have not led to an improvement of the situation. On the contrary, all indications point in the direction that the matter is getting worse and it is escalating.

The result is that both employers and employees are severely affected. There is now at a point where the purpose of this law, namely dismissal law, is outdated and we ended up in a situation where there are more and more employees who (unnecessarily) lose their jobs. After all leaving employers in a limbo and depriving them the opportunity to reorganize and restructure their business, they are forced to stop with their activities (bankruptcy). Everyone loses his / her job.

The dismissal law is now more than ever become an instrument that stimulates and increases unemployment.

The Curacao Business Association (VBC) finds this an absurd and unacceptable situation. It can never be the intention that jobs are lost through obsolete and outdated labor laws. An appeal is made to the Government in general and the Minister of SOAW in particular, ​​to bring this highly undesirable and irresponsible social development to an end.

The VBC reiterates that the dismissal laws in its current form, rigid and inflexible, is counterproductive because it deters employers to create jobs precisely in times where they are badly needed. Modernization and flexibility of labor laws in general and in particular the dismissal law are urgently needed.

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