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2.1 million Peruvians have a precarious job

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The Economic recovery seen in 2021 after the most severe attacks of the pandemic, paradoxically, it did not translate into an improvement in working conditions when compared to 2019.

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Despite the fact that in the last moving quarter (June, July and August) the working population in metropolitan Lima comprised 5 million 15 thousand 400 people -exceeding by 1.7% what was seen in the same period of 2019-, the total of those immersed in underemployment amounted to 2 million 155 thousand 600 people (+23.4%), according to the most recent report of the National Institute of Statistics and Informatics (INEI).

It is worth emphasizing that underemployment embraces those who work less than 35 hours a week (visible underemployment) or who receive less than the reference minimum income despite working more hours (invisible), unprotected in every sense of the labor regulatory framework.

More families affected

Along with the growth of precarious employmenta fall in adequate employment is observed, which lost 325,100 workers until August, and has a universe of 2,859,900 people (-10.2% compared to 2019).

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Of this group, it can be corroborated that there is a greater presence of women under this modality (see infographic).

In concrete terms, of every 100 people that make up the economically active population (PEA), 40 are underemployed: 12 due to lack of working hours and 28 due to less income.

Marta Tostes, dean of the Faculty of Management and Senior Management of the PUCP, warns that the most critical point is the increase in underemployed citizens due to lack of income, which varied by 35.7% compared to the pre-pandemic year.

“Nearly a third of the population receives a salary below the vital minimum. This erosion of family income will increase the vulnerability of families due to the loss of their real purchasing power, ”he explained to La República.

The lawyer maintained that in the face of the current exacerbated inflation – which would normalize only in the second half of 2023 – families, especially those with fewer resources, will suffer to access the products of the basic food basket and will have a lower savings capacity. Said situation –continues Tostes– is aggravated by the delay in the adjustments of the basic remuneration, for which the work of the National Labor Council (CNT) is crucial to make articulated decisions in favor of the citizenry.

And it is that the average income, which is located at S / 1,700.30, is still S / 16.80 less than the pre-pandemic amount, thus marking a drop of 1%. However, in real terms the difference would be up to -20% considering inflation, according to economist Armando Mendoza.

First advance for the rise of the RMV

The Ministry of Labor and Employment Promotion (PEMT) began the dialogue process to institutionalize the mechanism for revising the minimum living wage (RMV), although the business sector did not attend this conference.

Technical advice was received from the International Labor Organization (ILO). Said proposal is of a preliminary nature and serves as the basis for receiving contributions from the CNT workers’ and employers’ organizations.

Source: Larepublica

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