Are formal jobs “deformalizing” by reducing benefits to make the working conditions “more similar” to those of the informal workers, instead of it being the other way around?
According to Telesur TV, 2017 wasn’t able to meet the expectations the Peruvian government had established in its last Multiannual Macroeconomic Framework (Marco Mecroeconómico Multianual). The growth rate, compared to the previous year, was 2.5%.
As for employment rates, Telesur TV considers that the numbers are currently negative “in an economy that already shows numerous structural problems for the labor inclusion of the population (it is estimated that 72% of the Peruvian workforce works in the informal sector).
“According to data from the National Institute of Statistics and Informatics (INEI), formal employment decreased by 2.8%, affecting men (-2.1%) and women (-3.9%) unequally, while labor informality increased 5.7%. Similarly, the Real Average Salary also suffered a drop of 0.9% based on ECLAC data.”, said this media.
The deterioration of the Real Average Salary, says Telesur TV, and of the working conditions, impact directly on the two major problems of the Peruvian economy, which are poverty and inequality. Most people believe there is a necessity to execute a labor reform to fight informality.
“The main idea of the labor reform consists, basically, in the reduction of the labor benefits of formal workers to reduce the rights gap between formal and informal workers”, Telesur TV explains. They add that among the measures that were probed were: the reduction of holidays from 30 to 15 days; greater deregulation by reducing labor regimes; and the elimination of compensation for time worked.
To this media, this is a way to “deformalize” formal jobs by reducing benefits to make the working conditions “more similar” to those of the informal workers, instead of it being the other way around.
(Cover Photo Pixnio)
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