Wednesday, 15 November 2023 04:36

Minister of Labor announces that "Fraud Contracts" will be searched for in city halls

Written by Miguel Crespin
Minister of Labor announces that "Fraud Contracts" will be searched for in city halls Courtesy

The minister of Labor Rolando Castro presented in a press conference the results of the inspections in the construction and private security sectors and new actions to protect municipal workers who, according to the official, are not recognized their labor rights due to the contracts they sign with the municipalities.

In the municipalities, minister Castro announced that the institution will start with the verification of municipalities in the country, with the purpose of verifying compliance with labor laws in the municipal governments. These actions are carried out according to the official, to avoid that the mayors' offices carry out "Fraud Contracts", which are subscribed when the municipalities hire people temporarily, to perform tasks of personnel who are already hired indefinitely.

For the construction sector, the official described that 57 construction companies have been inspected, 99% of which did not comply with the Risk Prevention Law.

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"These non-compliances have generated infractions that if not corrected will cause the employers to incur fines amounting to a global amount of $30.9 million, with penalties ranging from $98 thousand to $3.8 million for the main offending companies in this sector", mentioned Castro.

In the area of private security companies, the Minister has informed that the non-compliances of these institutions have generated infractions amounting to a global amount of US$5.6 million. Among the offenses found against security companies are: non-compliance with working hours, non-payment of overtime, non-payment of fringe benefits, non-presentation of contracts, among others.

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Translated by: A.M