Minister Andrés Isch pointed out that 8,000 of 20,000 complaints of untimely dismissal are already pending.
Due to the economic crisis caused by the pandemic, work activity is affected by job layoffs, according to Labor Minister Andrés Isch.
Isch has been a minister since July 9. He said there are 250,000 fewer job cuts in both the public and private sectors.
Although he specified that 80,000 people have also joined, giving a net of 170 thousand registered contracts.
To these figures, he added the existence of 20 thousand complaints of untimely dismissal, of which 8 thousand have already passed the inspection process.
This announcement was made on a television channel in which the official insisted that a complicated situation is experienced not only in the country, but also among the country’s commercial partners.
On this issue, he pointed out that the impact can be seen in a drop in oil prices, in a reduction in tax collection and therefore in the lack of jobs.
Furthermore, he explained that in these 10 months that the government has left, he will work to preserve and create new sources of work; take care of Ecuadorians’ money, by making public spending more efficient; and make the management of the ministry more transparent and efficient.
For its execution, he said that it was necessary to establish tools that adjust to this new reality.
With the Humanitarian Law, for example, the agreement between the parties (employer and employee) is established; the emerging contract; and emerging reduction.
He indicated that at the same time Ministerial Agreements have been signed that allow the registration of these new modalities to preserve or create job sources.
As part of these responsibilities, which must be assumed by employers, are that they will not be able to distribute the dividends in the event that the company has them and they must not reduce the capital of the company.
Isch said that in the event that the company has dividends, they must be reinvested.
He emphasized that as part of an agreement between the employer and the employee, labor rights will not be affected. He maintained that the workday may be changed, but that the 40 hours per week will be maintained.
In the case of the emerging contract, which is for new hires, he commented that the maximum will be up to two years and if that time passes, it will be given as indefinite.
On social security obligations (IESS), he pointed out that these will be proportional to the remuneration paid.
He specified that a labor reduction will only apply in the event that the business has been affected by force majeure and would apply for a maximum of two years.
He stressed that this type of labor agreement must be registered with the Ministry of Labor, in order to guarantee rights and obligations.
In relation to this topic, he stated that it will be evaluated biweekly, as well as the usefulness of this series of tools.
«There is a norm and it is necessary to see if there were abuses or not, there is a lawsuit in the Constitutional Court and it is in process and what is decided we must abide by out of respect for legal security,» he exclaimed.
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