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February 28, 2023
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Labor reform would put limits on service provision contracts

Will service contracts finally end?  This is what the project is about

One of the most important pillars of the labour reform that the Government would present would be that of labor stability, a concept that will seek that indefinite-term hiring will be the general rule.

(Alphabet to understand the labor reform proposed by the Petro government).

This is indicated by the 37-page draft of the project, which is made up of 77 articles, in which the bases of the system are established based on the concept of job stability, under which, both in the public and private sectors “Stability will be guaranteed for all workers and indefinite-term hiring will be the general rule”.

The document, which is still under construction, but which would be the basis for the final version, devotes chapter 2 to outsourcing and subcontracting, under which it states that the use of service provision contracts would be limited.

“People who carry out permanent and subordinate activities in public and private companies may not be linked by means of a contract for the provision of services, or any other type of non-labor contracting; therefore, any relationship that ignores this prohibition will be ineffective, understanding for all legal effects that from the beginning there has been a labor relationship with the right to payment of wages and social benefits contributions to the social security system in the terms established by law for any subordinate worker”, says the text.

(Unions find it difficult to agree with the Government on the labor reform).

The document also adds that in the event that the employer terminates the contract for the provision of services, without just cause or invoking the termination of the contract, The worker will have the right to be reinstated to his job, with the recognition of all the salaries and benefits not accrued between the dismissal and the effective reinstatement.since the dismissal will not produce any effect.

(What will happen to contracts for the provision of services with the State?).

The draft also indicates that public entities will continue with the formalization processes gradually in order to link those who work for the provision of services in temporary plants and indicates the guidelines that independent contractors or those who subcontract must take into account.

BRIEFCASE

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