The Slovenia Times

Labour and Pension Reforms Passes First Hurdle in Parliament


The changes to the labour market act and changes to the employment relationship act are not yet harmonised with the social partners and the negotiations are still ongoing.

The goal of the Labour market reform is to increase flexibility of the labour market by simplifying lay-offs and overhauling the system of compensation.

"No job is permanent, every job has an expiry date," MP Matej Tonin of the coalition New Slovenia (NSi) said in the debate, while stressing that the reform was only a piece in the mosaic that would need to be assembled to improve Slovenia's business environment.

State Secretary at Labour, Family and Social Affairs Ministry Patricija Čular told the MPs that the flexibility of the labour market would be improved by introducing temporary and occasional jobs for the unemployed over 50 and for pensioners.

Opposition Positive Slovenia (PS) deputy Barbara Žgajner Tavš said that the changes did not provide sufficient social security, nor did they bring any guarantee that Slovenia's labour market will be less segmented and that new jobs will be created.

Labour, Family and Social Affairs Minister Andrej Vizjak said the government was still open for proposals and that it was seeking a solution that would encourage employers to opt for permanent employment if there are no objective reasons for a fixed-term contract.

He mentioned the possibility of compulsory severance pay also with fixed-term contracts and of higher unemployment insurance contributions on the part of employers for such contracts.

While Vizjak insisted that growth will come if employers are able to adjust their labour force to their needs, Janja Klasinc of the PS expressed concern about Europe embracing the view that the solution lies in only taking from the workers.

She said labour legislation needed to keep workers safe, while employers should also not be suffocated by bad workers that cannot be laid off.


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