These are the proposals of the unions to reactivate employment in Colombia



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08/27/2020 Economy.- While unions are negotiating minimum wage, they deliver a proposal to reactivate employment in a structural way in Colombia ECONOMY SOUTH AMERICA ARGENTINA INTERNATIONAL ROBERTO ALMEIDA AVELEDO / ZUMA PRESS / CONTACTOPHO
08/27/2020 Economy.- While unions negotiate minimum wage, they deliver a proposal to reactivate employment in a structural way in Colombia ECONOMY SOUTH AMERICA ARGENTINA INTERNATIONAL ROBERTO ALMEIDA AVELEDO / ZUMA PRESS / CONTACTOPHO

In the midst of negotiations for the minimum wage for 2021, the 29 representatives of the National Union Council (CGN), gave the government a ‘Roadmap’ to reactivate employment in the country which, if carried out, would mean in the medium term the generation of 700,000 new jobs, in addition to the 2 percentage point increase in GDP.

The document covers fields such as public infrastructure, credits, subsidies, procedures, in addition to employment, with what the CGN confirms the intention to ‘put the tooth’ into the economic reactivation of the country, in times of uncertainty due to the staggering results of the first two months after mandatory isolation.

Tertiary roads, infrastructure and city-country connection

Your starting point is accelerate the design and development of the country’s tertiary roads, whose impact on infrastructure is 69.5% of the country’s total roads, as well as being the connection between the agricultural sector and the cities.

Argues the CGN than a financial injection equivalent to $ 17.3 billion from the General Royalty System budget for 2021 and 2022, together with $ 4.3 billion from the Invias budget, would achieve the purpose of said acceleration and is to expedite the delivery of peasant products to the cities, among other aspects that would benefit from the investment.

“Railway Master Plan” with which it seeks the reactivation of the railroad in the country. Photo: courtesy of ANI

Public works and reactivation of the railway system

Another point within the ‘Roadmap’ it’s related to the allocation of the specifications to tender in the construction of public works, one of the most complicated processes in the field of public procurement that tends to be pointed out, due to its difficulties, of favoring corruption processes in the allocation of this type of projects.

The document highlights the urgent reactivation of the Pacific rail corridor, systematically ignored by the last governments despite the good intentions of each president, whose assumption would mean the mobilization of 110,000 tons between Buenaventura and the departments of the Eje Cafetero.

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Lines of financing and credits to reactivate companies

Another bottleneck, such as access to credit through banks, is considered by the CGN as a matter of capitalization for the National Guarantee Fund (FNG) that It would irrigate resources for companies in matters such as payroll payments, company restructuring, as well as salvage loans.

The CGN requests that Current credit lines are not defunded, but include more lax terms for the so-called grace periods, which benefit, among others, women and young people in categories of differentiation and equity.

He even pointed to the creation of a rescue program for companies in sectors such as tourism, hotels, entertainment and bars, which takes into account the economic crisis conditions that they experienced during the times of mandatory isolation.

In that sense, tax easing is key, say spokespersons, so that entrepreneurs and businessmen can reactivate their productive lives in the following years.

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To conclude, the point of employment generation is based on a labor reform that boosts productivity, whose negative figure affects negotiations with the labor unions.

Upon receiving the base document, President Iván Duque thanked the initiative and remarked that his government will find coincidences between the proposals of the business community and its main lines of government.

The president affirmed that he will coordinate with the ministers of the branch to advance in strategic agendas that make many of the proposals consigned by the unions a reality.

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