The Director of Labor, Federico Daverede, reported this January 13 to the Presidential Communication on the adjustments defined for the salary recovery and the tenth round of the Salary Council. He highlighted the 3% increase that the private sector will receive, the challenge of agreeing with 195 activity groups in the next instance of negotiation, the reorganization of the work groups and the management of labor conflicts.
Daverede announced that since January 1, a salary adjustment of approximately 3% has been in effect for the private sector. This increase is a reflection of projected inflation for the first half, she added.
Regarding the public sector, the Central Administration and those included in article no. 220 of the Constitution of the Republic, the increase is not yet confirmed, but it will include a component of projected inflation, another of salary recovery and, finally, a corrective for inflation. He also added that, for lower salaries, a fixed item of 1,500 pesos is expected.
On the other hand, he stressed that this year the tenth round of the Wages Council will take place. It is the most important, since it will be the last of the Government, he remarked. In it, “the salary recovery agreed in 2020 as a result of the pandemic” must be finalized, he admitted. It will be “the biggest round we’ve ever had,” he stressed. There will be some 195 activity groups in negotiations, which constitutes a great challenge, with dissimilar realities, acknowledged the director.
Asked about the rearrangement of working groups and subgroups proposed by the Executive Power, Daverede affirmed that there is a consensus on the revision. Based on the 24 activity groups, it will be determined whether it is necessary to create, delete, or rearrange, he said. Likewise, he stressed that new activities were included through the incorporation of technology, due to the lack of revision since 2005. In this sense, he informed that a commission was formed to work on the new scheme and that a report will be prepared next April , so that, after approval by the Council, it will be applied in the tenth round.
In another sense, it considered that the Ministry of Labor and Social Security (MTSS) defined a clear course regarding labor disputes. As he explained, the mediations will be professional, so that the parties can find in the state portfolio a body that guarantees the negotiations and their rights. “It’s a great challenge,” he acknowledged. It is necessary to protect the rights of workers and companies, but on the basic principles of neutrality and impartiality, he asserted.
In addition, he recognized that in April the ministry will face the challenge of negotiating with the construction sector. The three-year agreement without salary loss expires in three months, and it is necessary to negotiate again with a sector that has achieved strong development, he concluded. Presidency
