Ver Angola

Economy

Employers want unemployment funds to reduce poverty

This Friday, employers asked the government to create an unemployment fund to alleviate the shortage of citizens who had lost their jobs or had their contracts suspended because of covid-19, considering the financial support of the state to be "insufficient".

: Matthias Hangst
Matthias Hangst  

The Minister of Public Administration, Labour and Social Security explained that companies are in a "fragile situation from an economic and financial point of view".

"They have no way out of their social object and have asked, besides the support from the executive that they think is insufficient, also to create the unemployment fund", said Teresa Rodrigues Dias.

After a meeting with employers about dismissals and suspension of legal-labour relations during the emergency period, the government assured that other support measures should be known "eventually in the short term".

At least 3728 people have seen their jobs extinguished and employment contracts suspended in the last two months, due to the fact that companies have "serious cash flow problems", aggravated by the pandemic caused by the new coronavirus, the minister said Friday.

The construction, oil, industry and services sectors are the most affected.

The country is fulfilling the third extension of the state of emergency which extends until 25 May.

The decree on the state of emergency prohibits dismissals or the suspension of employment contracts at this stage of temporary exception aimed at containing the spread of covid-19 in the country.

Asked about possible penalties for employers who fail to comply with the decree with the measures to tackle the pandemic, Teresa Rodrigues Dias admitted that the issue "is delicate" and is being evaluated "with some sensitivity", arguing that the period "is not for sanctioning measures".

"We are not at this stage with a facet to apply measures with legal consequences that may affect companies even more, we are still welcoming a period of sensitivity and pedagogy in order to also collect some realities and solutions", she noted.

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