Peru's Association of Exporters (ADEX) has warned the government's proposed changes to farm worker labor laws could damage the country's competitiveness.

The Association has asked for a re-evaluation of the Congress Land Commission's proposals, which include extending vacations from 15 to 30 days, and paying 45 days for unlawful dismissal.

The proposals also establish the right to receive a daily pay that is not less than the minimum wage for those who work more than four hours daily.

ADEX said the changes will increase labor costs causing companies to restrict investments and the ablility to hire new employees.

Association president Juan Varilias Velásquez, said politicians had failed to take on board Europe's economic crisis and pressed for measures to improve export competitiveness.

"We reiterate our call on the government not to change the 'rules' that have allowed the formalization of the sector and generation of jobs."

ADEX wants the Economy and Foreign Trade Commission to review the draft legislation with the aim of analyzing proposals from an economic and international perspective.

Photo: Adex

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