MSMEs Demand Transparency in Controversial Employment Law Changes

The Coalition of Micro, Small, and Medium Enterprises is urging the government to ensure transparency by publicly sharing the proposed changes to the Employment Relations Act.

In a joint statement, the MSME Coalition emphasized that the government ought to revoke the Non-Disclosure Agreement (NDA) imposed by the Ministry of Employment, Productivity, and Industrial Relations on employer members of the Employment Relations Advisory Board (ERAB). This would allow representatives to engage in open discussions with all MSMEs regarding the proposed amendments.

The coalition expressed significant concern over the emergence of heavy fines and lengthy prison sentences included in these amendments, as reported recently by the Fiji Commerce and Employers Federation (FCEF) and the Fiji Hotels and Tourism Association (FHTA). They also noted that the proposed changes could undermine the cost-effective and widely supported mediation services.

The MSME Coalition acknowledged that the Trade, Cooperatives, MSME, and Communications Ministry has made considerable progress in enhancing the MSME ecosystem in Fiji. They referenced the recent National Development Plan (NDP) launched by the Ministry of Finance, which aims for MSMEs to contribute 20% to the GDP by 2027.

Despite these advancements, the coalition warned that proposed fines reaching $500,000 and potential prison sentences of up to 20 years could severely hinder MSME growth. They insisted that these amendments contradict the Coalition Government’s objectives for fostering progress within the MSME sector and the broader private sector.

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