The Fiji Commerce and Employers Federation (FCEF) has sounded the alarm regarding a significant skills crisis affecting the nation, as voiced by CEO Edward Bernard. During a recent submission to the Parliamentary Standing Committee on Economic Affairs evaluating the Work Care Bill and the Accident Compensation Amendment Bill, Bernard underscored the pressing need for better allocation of resources to develop a skilled workforce and mitigate workplace accidents.
He pointed out that the proposed Work Care Bill aims to establish a Work Care Fund, overseen by the Permanent Secretary of Employment. The bill includes a provision to divert 40 percent of the 1 percent levy collected from employers, which amounts to roughly $9 million annually, to the Employment Ministry. Bernard criticized this approach, asserting that the fund, which is solely financed by employers, misappropriates employees’ contributions and likened it to allowing unaffiliated parties to control vital resources needed for business growth.
This sentiment resonates with earlier discussions highlighting concerns over the mismanagement of funds collected from training levies, as noted by representatives from FCEF. In previous statements, they expressed frustration that out of $23 million collected from the training levy in 2022, only $2.3 million was allocated for actual training, reflecting a broader issue with governmental financial transparency and support for workforce development.
The fears articulated by Bernard mirror themes from previous consultations concerning the 142 amendments to the Employment Relations Act, which FCEF argues place unfair burdens on employers while expanding worker benefits without consideration for the financial realities businesses face. The FCEF is advocating for reforms that address skill shortages and provide fair training opportunities to enhance productivity and growth.
In the face of these challenges, there is a notable opportunity for dialog between the government and employers. Enabling a cooperative discussion around these legislative changes can pave the way for balanced labor regulations that protect both workers’ rights and fostering economic development in Fiji. With a concerted effort, stakeholders can potentially foster an environment conducive to a thriving workforce and a robust economy moving forward.
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