Peru's Fin Min: We seek middle ground to raise workers' incomes without wiping out firms

Economy and Finance Minister Waldo Mendoza. Photo: ANDINA/Congress of the Republic

Economy and Finance Minister Waldo Mendoza. Photo: ANDINA/Congress of the Republic

00:00 | Lima, Dec. 24.

Economy and Finance Minister Waldo Mendoza affirmed that the task of the Executive Branch and the Congress of the Republic is to strike a balance in the new general law on the agrarian regime, seeking to raise workers' incomes, but without wiping out agro-export companies.

"Our task as Executive Branch and Congress is to find a healthy, possible, and realistic balance. We are seeking to raise incomes and rights of workers, but without wiping out companies, because if they are wiped out, the idea of decent employment will be theoretical, as there will be no jobs. Employment can be decent if available," he pointed out.

Right balance

"We must find a balance. Do workers need to earn more? I am sure they do. Do entrepreneurs need to earn more? They do, too. With the proposal prepared between the Executive Branch and Congress, workers will see some gains, and employers will see some losses. That is quite clear," the minister added.

During the debate over the legislative initiative to create a new general law on the agrarian regime —before Congress' Economic Commission— Mendoza affirmed that the Executive Branch as a whole has been participating actively, trying to help solve the great problem that the country is facing.

"We have made every effort in that direction, we have come every time we were summoned, and now we have a joint proposal from the Executive Branch that has been submitted to the Economic Commission's Chair for its consideration, so we hope it will contribute to a prompt passage —by Congress— of a law that partially satisfies the interests of both sectors involved in this issue," he said.

"(A law) that partially satisfies workers and their just demands, as well as companies that need to operate and survive to continue generating employment. We have to find a middle ground," the government official added.

The minister stated that goodwill and solidarity are not enough to solve a problem, because a basic understanding of the topic is required.

"Goodwill is inconsistent with the facts, goodwill (alone) and ignorance led us to the worst economic crisis in this country's history in the late 1980s, be careful with that," he emphasized.

(END) CNA/JJN/RMB/MVB

Published: 12/24/2020