Proposed Employment Act Threatens MSME Growth in Fiji

The draft Employment Relations Act, which includes proposed fines of up to $500,000 and imprisonment for up to 20 years, could hinder the development of micro, small, and medium enterprises (MSMEs). Edward Bernard from the Coalition of MSME Network expressed concerns that these amendments contradict the government’s initiatives to support the sector.

Mr. Bernard highlighted the strides made by the Ministry of Trade, Cooperatives, MSME and Communication in strengthening the MSME ecosystem in Fiji. He referenced the National Development Plan (NDP) launched by the Ministry of Finance, which aims to boost MSME contributions to GDP to 20 percent by 2027.

He cautioned that the severe penalties proposed could jeopardize the progress achieved by leaders such as Hon. Manoa Kamikamica and Hon. Biman Prasad. The proposed changes are viewed as detrimental to the coalition government’s objectives for MSMEs and the broader private sector.

The MSME community is seeking to adhere to fair labor laws that ensure a safe and reasonable working environment for both employers and employees. They have called on the government to provide more transparency regarding the proposed legislation.

The network urged the Fiji Government to disclose the details of the proposed amendments to the Employment Relations Act for public review. They also requested the government to lift the Non-Disclosure Agreement (NDA) imposed on employer members in the Employment Relations Advisory Board (ERAB), which would allow representatives to engage openly with all MSMEs regarding the amendments.

Inquiries directed to Minister of Employment Agni Deo Singh regarding the MSME Network’s concerns have not yet received a response. However, Mr. Singh indicated that he would wait for the upcoming ERAB meeting on October 21, in which the MSME Network participates, before offering further comments.

The network represents various organizations, including the Fiji MSME Community, Fiji Business Development Services Group, Fiji Islands Dance Association, Viti Association of Visual Arts, Duavata Collective, and RoC Market Group.

Popular Categories

Latest News

Search the website