Amendment of the labor law is necessary to support industry and investment

7/9/2018

Abdul Aziz Al - Khudairi *
There is no doubt that unemployment is one of the biggest challenges of the Iraqi economy , it is a social problem, economic, and political experts differ in estimating the size of unemployment , which ranges between 3-4 million unemployed.

The crisis of water scarcity in the Tigris and Euphrates rivers will push hundreds of thousands of workers in the agricultural sector to migrate to the cities in order to live and find jobs for them.

The expectations are that the number of new unemployed will rise by at least one million unemployed who are expected to migrate to cities during this period. Year and next year which will increase the unemployment crisis in the country.

There is no doubt that the aim of the legislator of the labor law was to encourage and regulate the employment of Iraqi workers in industrial projects and investment in the private sector, which began to move with the clear and strong support of the state during the last year.

Most of the national industry in Iraq is based on the use of labor intensive and not designed or ready for high mechanization because most of these private industrial projects are not modern and limited production capacity required because the size of the market is still limited in the beginning.

One of the biggest drawbacks of the current Labor Law is the lack of flexibility to terminate the services of the worker without the approval of the Minister of Labor or after the establishment of special committees to investigate the reasons for ending the services of the worker, making the termination of the worker is almost impossible.

The lack of flexibility in the labor law for 2015 can not create a competitive atmosphere for workers in any productive institution, which leads to a clear reduction in productivity and competition among workers for the purpose of developing professional and technical expertise and increasing production capacity without which we can not build a national industry or successful investment in Iraq.

The determination of the industrial and the investor in the termination of worker services does not serve the correct productive environment and does not serve the interests of the workers in general and makes the employer reluctant to appoint large numbers of local workers because of the lack of flexibility to terminate the worker's services.

The current routine and the current instructions to end the services of the secured worker are a clear obstruction of industry and investment.

A number of industrialists have appeared reluctant to hire workers because they do not want to get involved or get into the complexities of ending the inefficient or seasonal worker services in some seasonal projects such as juices, Is not efficient with a good worker or has more experience than the old factor,

where this competitive element between the good and the bad worker is eliminated if the worker understands that it is not easy to replace by another factor and thus disappear competitive spirit in the work, and without a clear competition in the work can not We are building a successful national industry.

Iraq urgently needs to encourage the industrial sector and foreign investors to create jobs in order to reduce the high unemployment crisis. Any foreign or Iraqi investor will hesitate very much after looking at the current labor law and instructions, especially the lack of flexibility to end the services. The worker should request this.


That Iraq is a country in dire need to fight unemployment clearly and that any obstruction of employment is not in the interest of the economy or unemployed worker.

We call on the Ministry of Labor and Social Affairs to reconsider to find high flexibility in ending the services of the private sector worker and reviewing the labor law In the clause on termination of worker services.

* International economist

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