Colombian officials have outlined a referendum on labor reforms aimed at improving workers’ rights, including health insurance for gig workers. However, critics warn it could hinder job creation. The success of the referendum depends on voter turnout, and President Petro faces challenges in gaining sufficient support. A march is planned to garner public backing for the reforms.
In a notable move, the Colombian government has released the draft questions for a referendum aimed at overhauling the nation’s labor laws. This initiative, announced on April 22 by Interior Minister Armando Benedetti, seeks to enhance workers’ access to health benefits and overtime pay. However, it sparks a debate as critics argue it might hinder job creation in Colombia, the fourth-largest economy in Latin America.
The Ministry of the Interior outlined twelve proposed questions for the national referendum, termed a popular consultation in Colombia. The timing of the referendum remains uncertain as it still needs Senate approval. Among the key issues for voters is whether food delivery services should be mandated to provide health insurance for gig workers. Another proposal looks at requiring companies to pay twice the daily rate for Sunday labor, a significant shift for employers.
In light of the reforms, one of the more contentious questions suggests adjusting the workday from 6 a.m. to 6 p.m., which would entail additional pay for hours worked outside this timeframe. The government has suggested a 35% premium for work done beyond standard hours, which has raised concerns among business groups about potential negative impacts on employment, particularly for small and medium enterprises.
Business representatives express that these reforms could incentivize businesses to opt for informal hiring practices instead of formal contracts, further complicating the labor landscape. Jaime Alberto Cabal, head of Colombia’s National Association of Merchants, criticized the government’s approach, remarking that it fails to address the realities faced by the country’s 16 million informal workers and unemployed individuals.
Additional referendum questions include the establishment of a pension fund for rural workers and a requirement for companies to employ a minimum of two disabled individuals for every 100 workers hired. President Gustavo Petro, who has faced challenges in getting labor legislation through Congress, plans to lead a march on May 1 aimed at pressuring lawmakers to approve the referendum process.
Petro emphasized in a recent speech, “It’s time for the people to make their own decisions,“ voicing discontent with Congress’s perceived obstruction of the public’s rights to shape their future. This referendum strategy comes as Petro battles legislative hurdles surrounding his broader economic reform agenda.
Political experts are skeptical about the referendum’s ultimate success. Colombian law mandates that one-third of eligible voters must participate for the results to be binding. Given that Petro won the presidency with about 11 million votes, the government would need around 13 million in favor for these reforms to take effect. Yan Basset from Bogota’s Rosario University pointed out that labor unions might not have sufficient mobilization capacity to spur enough voters to the polls.
The Colombian government has revealed the questions for a planned referendum on labor law reforms, seeking to improve benefits for workers but also facing criticism about potential job market impacts. The outcome hinges on gaining significant voter turnout and support, particularly given the challenges of mobilizing enough participants. Should the referendum fail, President Petro risks losing credibility in representing the people’s interests. This referendum represents both an opportunity and a challenge, as it strives to reshape labor policies in the country while navigating a complex political landscape.
Original Source: apnews.com
