Business

Coparmex urges the Federal Government to implement six measures to preserve employment

The Employer Confederation of the Mexican Republic invited President López Obrador to collaborate with measures that promote job protection and not only to point out irresponsibly.

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Coparmex urges the Federal Government to implement six measures to preserve employment
Coparmex urges the Federal Government to implement six measures to preserve employment

Given the Federal Government's indications that the jobs that have been lost due to the will of companies, without taking into account the negative effects that COVID-19 has had on the world economy, the Employers' Confederation of the Mexican Republic (Coparmex) invited President Andrés Manuel López Obrador to collaborate with measures that promote job protection and not only to point out irresponsibly.

The Secretary of Labor and Social Welfare (STPS) Luisa María Alcalde, announced that in the period from March 13 to April 6, 346,878 formal jobs have been lost , that is, everything generated in 2019.

Urgent measures

Given this situation, Coparmex urged the Federal Government to implement the following measures and actions to preserve employment:

  1. Accelerate the processes of refunding the Value Added Tax (VAT), within a period not exceeding 20 days and restore universal compensation, at least by 2020.
  2. Defer the Worker-Employer Contributions (COP).
  3. Adjust monthly provisional payments based on 2020 nominal income and 2019 profit ratio.
  4. Defer provisional payments of Income Tax (ISR).
  5. Deduction to 100% of labor benefits.
  6. Temporary deferment of payment for services provided by the State (water and electricity).

The worst result of a crisis is unemployment, which translates into lower incomes for Mexican families and an undesirable increase in poverty levels.

Related: Private initiative proposes plan to rescue MSMEs

Promise agreement

In an interview with Milenio, the national president of Coparmex, Gustavo de Hoyos, announced that in two weeks the National Agreement to preserve jobs and companies will be ready before COVID-19.

“What we agreed on, is to start through the technical groups from now on, to propose what the elements should be and start writing; what we would expect is that next week or the next week at the latest, we would have this agreement ready and agreed, and that the federal government could eventually rise, ”he said.

Last Tuesday the Business Coordinating Council met virtually with representatives of the country's private organizations to jointly search for alternatives and present a strategy to support companies, mainly small and medium-sized companies and their workers.

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