In his first appearance as president of the National Business Council (Conep) yesterday, Thursday 15 January 2015, tourism industry businessman Rafael Blanco Canto forecast an excellent performance of the Dominican economy this year. He based his optimism on the indicators published by the Central Bank. He was sworn in for the 2015-2017 period on Wednesday, 14 January 2015.
He said he would continue pursuing the business group’s agenda with projects including the social security system, electricity pact, 4% investment in education, combating poverty, labor legislation reform, approval of a political parties bill, defining mining policies and strengthening real estate jurisdiction.
Blanco Canto stressed that the fall in oil prices would have a positive impact on all areas of the economy, combined with prudent public finances management for making 2015 an excellent year.
Regarding the labor legislation changes, he commented that companies have to pay 90-100% of wages in indirect costs. This has an adverse effect on job creation in the Dominican Republic. He said that during an employee’s first year the indirect payments add up to 56%, but when an individual has been working for a company for more than 15 years, this can amount to 100% of the wage. He says the modification of the Labor Code is of vital importance for the country’s economic future. The business sector is calling for reducing companies’ labor costs as well as for more flexibility in contracted work hours.
“We believe that formulas have to be found to reduce that cost with friendly conciliation mechanisms for disputes, so that companies can improve the wages that employees receive,” he said.
Labor representatives are lobbying for a general 30% increase in wages.
Conep spokespeople highlighted that President Danilo Medina’s style of government, which they consider straightforward and open to all sectors, generates confidence among the population, especially in the productive sectors.
http://www.listindiario.com/economia-and-negocios/2015/1/15/352718/Conep-insiste-en-modificar-codigo