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EMPLOYERS SLAM UNIONS' COMPLAINTS ABOUT LABOUR BILL

ZAGREB, Feb 4 (Hina) - The Croatian Employers' Association (HUP) says unions' complaints about a labour bill are "unsubstantiated" and that there is no reason why Croatia should have the most rigid labour act of all transition countries.
ZAGREB, Feb 4 (Hina) - The Croatian Employers' Association (HUP) says unions' complaints about a labour bill are "unsubstantiated" and that there is no reason why Croatia should have the most rigid labour act of all transition countries. #L# The inflexibility of the current labour act incites unemployment, black labour, semi-legal models of work -- paying workers the lowest salary -- low foreign investments, and something specific for Croatia -- opting for temporary employment, HUP head Zeljko Ivancevic told a news conference on Tuesday. Employers support the government, which diverges in opinion with unions in terms of severance pays, the length of notice periods, temporary employment, and the definition of the small employer. Unions object the most to the equation of temporary and permanent employment which they say will encourage employers to hire people only on a temporary basis. A HUP analysis has shown that about 80 percent of all work contracts is temporary. Equating the rights in temporary and permanent employment contracts will facilitate employment and make the labour market more dynamic, says HUP. According to Ivancevic, Croatia is among the leading countries in terms of the generosity of both severance pays and notice periods. He said the labour act would need changing again in two years at the latest. Then it will be time to consider even more radical steps aimed at further increasing the flexibility of labour relations if Croatia wishes to avoid lagging behind, he said. (hina) ha sb

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