ZAGREB, Jan 23 (Hina) - The Croatian government on Thursday sent to parliament draft amendments to the Labour Act which envisage shorter dismissal notification periods, lower severance pays and the same rights for permanent and
temporary employees.
ZAGREB, Jan 23 (Hina) - The Croatian government on Thursday sent to
parliament draft amendments to the Labour Act which envisage
shorter dismissal notification periods, lower severance pays and
the same rights for permanent and temporary employees. #L#
The government called on social partners to talk and find mutually
acceptable solutions to outstanding issues.
Prime Minister Ivica Racan called on unions and employers to try and
reach, in the next several weeks, an agreement on the moved changes
and solutions which would secure better protection of workers, such
as the workers' claims system, better legal protection of their
rights, etc.
The government's amendments did not receive full support from
social partners. Three to four provisions remain contentious.
The unions are against shorter dismissal notification periods and
lower severance pays.
Labour Minister Davorko Vidovic said that the goal was to decrease
the employers' fixed expenses in cases of crises. According to
existent provisions, the dismissal notification can be from two
weeks to six months. The government has proposed that the shortest
deadline be from two weeks to three months, but elderly workers
should be protected.
The notification for employees over 50 years of age and 20 years of
service would be extended by two more weeks and up to a month at the
most.
As regards severance pays, the existing law envisages one half of
the net salary for every working year with the same employer, while
under the new law the severance pay would depend on years of service
and the gross salary.
Severance pays could, therefore, amount to from half a salary for
less than a year of service, to four average gross salaries for at
least 25 years of service.
The unions also oppose the new definition of small companies.
According to the current definition, a small company has up to ten
employees with permanent work contracts, while under the new
definition a small company is a company employing 20 people at the
most.
The amendments also concern provisions on collective dismissals
and the obligation to draft a programme to provide for dismissed
employees.
Vidovic said one of the changes was a group of provisions
prohibiting unequal treatment i.e. discrimination, predominantly
sexual discrimination.
The law must serve to protect the minimum rights of those who are
weaker -- the workers, but also to remove obstacles which
discourage employers from employing new workers, Vidovic said.
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