Moldova’s Labor Code includes provisions that were adopted in the period of the centralized economy, is old and should be updated if not fully replaced, considers Leonid Cerescu, chairman of the National Employers Confederation of Moldova (CNPM). The representatives of the business sector demand adopting reasonable provisions that would regulate the relations between the employer and the employee, IPN reports.

Employers are put in a disadvantageous situation

The head of the CNPM’s Internal and External Relations Division Vlad Caminschi said the labor legislation, by the excessive protection offered to employees and the bureaucratization of the process of establishing relations between the employers and employees, puts the employers in a disadvantageous situation within these relations. “When you have an inefficient employee, you must go through a lot of bureaucracy in order to replace him. This period is an exaggerated one. The process is complicated. Certain things are often omitted and the court reinstates the employee. Thus, the company sustains losses. We are for adjusting the Labor Code to the economic realities,” he stated.

After the employers analyzed the situation in the neighboring countries, they ascertained that the efficiency of the investments made in an employee in Moldova is reduced. An employee who tenders his resignation 14 days before leaving has the right to withdraw it in this period. “The employer is looking for another person, but the employee still can withdraw his resignation. We consider the legislation should provide that the employer can withdraw the resignation only with the employer’s consent,” said Vlad Caminschi.

The businesspeople are dissatisfied with the fact that the trade unions’ consent is needed for firing an employee. “The courts do not even examine the cases of dismissal if the employer does not have the consent of the trade unions. We challenged this situation as our right to justice is violated,” added Vlad Caminschi.

Remnants of the past

According to the representative of the employers, the work records book is also a remnant of the past. It is no longer useful. The employer is obliged to set up a special place where to store the work records books. In other countries, these books were replaced with recommendations.

Another remnant is employers’ obligations to the trade union. When a trade union is formed at the company, the employer must provide it with a room and communications and must collect dues. “I think these subjects must be negotiated. If an employer wants to spend own money to maintain a trade union at the company, he can do it. If not, he should not be obliged,” said Vlad Caminschi.

The redundancy payments are another problem highlighted by employers. The employer must pay a weekly salary for every worked year to the discharged employee and give him time to look for a job before dismissing him. An allowance is paid to him during three months after the dismissal. These provisions should be rationalized.

The childcare leave is another problem. Vlad Caminschi says that the Moldovan legislation allows one of the parents to look after the child for six year – three partially paid years and three unpaid years – and the workplace for them is kept in the period. “The employee who returns after six years loses qualification. The situation in economy is changeable. The companies are restructured. We consider that this period should be reduced. In some of the states, this period is one year. In Moldova it should be 2 or 3 years. The workplace must not be kept. The employee should be offered a similar post, with the same salary and responsibilities,” said Vlad Caminschi.

Necessary changes

Radu Drumea, head of the CNPM’s Legal Division, considers that the employers should have the right to test the future employees, regardless of their status. The legislation now says that the young specialists during the first two years of the graduation of education institutions are employed without a trial period. “In the trial period, the employer must see also the candidate’s personal qualities, not only the professional ones,” he stated.

The Labor Code requires that the annual work program and leave must be approved by the trade unions. The CNPM suggests that the trade unions should be only consulted. The stimulatory payments are also provided with the trade union’s consent, but it would be right to allow the employers to decide themselves whom to reward.

The CNPM also proposes that the employer should be allowed to sign a contract for a definite period of time with a retired employee. Statistics show that the number of working pensioners has increased. Thus, employers do not have reasons to fire the pensioners, but they must have the right to decide for what period to employ them.

The CNPM put forward two bills with amendments to the Labor Code. They were approved by the Government and sent to Parliament for reexamination. The employers acknowledge that the proposed changes may cause negative reactions on the part of the employees, while the MPs do not want to damage their image before the electoral year.