Labor reform seeks to modernize labor relations and facilitate job creation, but with the experience of separating labor from the Basic Law, which Justice left without effect in its entirety, The government faces a legal and constitutional challenge to formulate the changes They support themselves.
“The labor reform that the current government is seeking to implement aims to ‘modernize’ the laws regulating labor so that companies can hire more easily, improve competitiveness and, at the same time, Maintain basic protection for workersexplains Javier Fernández Verstegen, specialist in employment law and labor relations, Brons & Salas.
“However, the debate should not stop only when needed Updating the regulatory framework (Which in many cases are more than five decades old). The real challenge, he points out, is that the changes promoted must combine competitiveness, formalization and protection.
“but, Hasty or unbalanced reform could generate legal and constitutional conflicts that affect its implementation.. The key will be to design a scheme that provides certainty to companies and workers, and maintains the principles of employment law, based on the necessary consensus between all actors needed in this type of challenge.”
What are the challenges of labor reform?
Fernandez Verstegen lists the following Challenges of labor market reform:
1. All repairs must be respected The principle of worker protection stipulated in Article 14 bis. This nucleus ensures stability, social security and collective bargaining. Its effect may lead to unconstitutionality.
2. Modernization does not mean going backwards: the Supreme Court pointed this out Rules cannot be regressive in terms of rights exhaustion. The challenge is to simplify without weakening worker protections.
3. Applying the same scheme across the country could conflict with regional authorities. Economic and sectoral differences require a federal perspective that recognizes specificities.
4. Legal certainty is essential. It is essential that the creation of new laws and/or reforms be coordinated with each other, so as not to generate contradictions or ambiguities. If this happened, It could increase lawsuits.
5. Adjusting subscriptions or subscriptions without proper tax design It can affect the sustainability of the social security system. Each measure must be evaluated in terms of its direct and indirect impact, seeking to create a structure that is sustainable over time.
6. Simplify some operations based on Use electronic documentation or digitize records It is essential, and standards must be adopted that are accessible to all employers and employees.
7. Collective bargaining is a constitutional right and is supported by the International Labor Organization. Any restriction could violate international obligations, but efforts should be made to strengthen the collective bargaining mechanism, taking into account the different realities of each jurisdiction, company, activity and others.
8. Standard organization must recognize different levels of work. the SMEs need simpler schemes and regulations that allow them to formalize their employees, while large companies need legal security for investment.
9. No The nation, provinces and municipalities have their own powers To regulate, supervise and enforce labor or tax standards in different aspects within each jurisdiction, and it is necessary for there to be agreement between these jurisdictions so that no regulatory overlap or conflict of jurisdictions arises. This is the key to effective reform.
10. Aside from the artistic content, the Predictability is the real driver of hiring. Strong reform, consistent with the constitution and federalism, will generate more formal and sustainable employment.
short, Labor reform must be built on solid technical foundations, on dialogue between different actors, and on respect for constitutional principles. Only in this way can it be transformed into an effective tool for promoting employment, investment and sustainable development, concludes Fernández Verstegen.
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