Lat­vian gov­ern­ment to pull young par­ents back to labour mar­ket

Baltic News Network - - News -

Lat­vian Cham­ber of Com­merce and In­dus­try has reached an agree­ment with Wel­fare Min­is­ter Ja­nis Reirs in the for­ma­tion of a work group that would search for a so­lu­tion to pro­vide em­ploy­ment to young par­ents with­out them los­ing 70% of state ben­e­fits dur­ing parental leave.

The cur­rent agree­ment pro­vides as the first step the devel­op­ment of reg­u­la­tions re­gard­ing per­mis­si­ble work load (around a quar­ter of nor­mal work load) while still pre­serv­ing state ben­e­fits in full amount. This is in­tended to re­solve the top­i­cal labour force prob­lem in Latvia. In par­al­lel, the work group will also an­a­lyse po­ten­tial op­tions for longer em­ploy­ment pe­ri­ods dur­ing parental leave. Ex­perts will have to de­ter­mine how much work load is per­mis­si­ble for how much time de­pend­ing on cho­sen pe­ri­ods (year, month, and week) to help em­ploy­ers dur­ing va­ca­tion sea­son or in times when there is too much work for em­ploy­ees to han­dle with­out help. «Dur­ing out con­ver­sa­tion with the min­is­ter, all sides agreed that young peo­ple on parental leave rep­re­sent po­ten­tial labour force that can be used with­out caus­ing neg­a­tive fis­cal in­flu­ence on the bud­get. This will al­low peo­ple to work part-time and help re­duce grey econ­omy at the same time,»

LCCI re­ports.

The full text is avail­able on

Ieva Lūka/LETA

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