EMPLOYERS OBJECT TO PROPOSED LABOUR ACT, PENAL CODE CHANGES

ZAGREB, June 6 (Hina) - The Croatian Employers' Association (HUP) believes amendments proposed for the Labour Act and other laws from a labour legislation reform package will restrict entrepreneurship, lower the competitiveness of domestic economy, and turn potential investors away. #L# The HUP views as unacceptable a proposed Penal Code provision envisaging a jail term from three months to three years for employers breaching a spate of workers' rights, including failure to pay workers within the prescribed time period without a justified reason. This provision would create an uncertain situation for both employers and courts because the latter would be left to freely interpret what constitutes "justified reason", HUP managing director Zeljko Ivancevic told a news conference on Friday. The HUP says employers have to pay for the disarray in the judiciary while being incriminated as a negative manifestation in society. The association says many changes proposed to the Labour Act are contentious. "From all the changes proposed it is visible that the government has succumbed to pressures in the pre-election year," said Ivancevic, reiterating the HUP's position that labour legislation should be changed after the parliamentary ballot. (hina) ha sb