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Resumen de los logros deportivos de Panamá Colaboradores en esta edición José Javier Rivera J. Rafael Fernández Lara Giovana del C. Consejo Miranda Garzola Ivana Herrera Editorial Miguel Del Cid Molina Idalia Ballesteros Milena Vergara David Rodríguez Ailen Galván Casilda Quiróz Lidia Domínguez Ana Sofía Corrales Mariela de Sanjur Gabriela Melgar Donna Ballestero José Javier Rivera J. Giovana del C. Miranda G. Portada y Diagramación: Virginia Medina Fotografía: Mariela De Sedas de Sanjur Rivera, Bolívar y Castañedas @rbc_abogados RBC Abogados JANUARY 2018 Editorial 06 THE CHALLENGES Content OF 2018 29. Politics 60. Sports Capsule VICE PRESIDENTS IN CHARGE OF THE EXECUTIVE ORGAN IN OUR REPUBLICAN ERA 65. Fashion 68. Cultural Capsule 37. Panamanian Economy CONSUMER’S PRICE INDEX 44. World Economy ECLAC HIGHLIGHTS THE RELEVANCE AND OPPORTU- NITY TO CLARIFY LINKS BETWEEN CHINA AND LATIN AMERICA AND THE CARIBBEAN 54. Environmental Capsule THE USE OF POLYETHYLENE PLASTIC BAGS IN COM- MERCIAL ESTABLISHMENTS IS PROHIBITED 56. Illustrious People ACTITUD Y BUEN COMPORTAMIENTO FIRST YEAR OF MANAGEMENT OF THE DON- EN LA MESA ALD TRUMP 65 Invited Writer 08 NEW PHENOMENON? ENTREPRENEURS OF THE FUTURE? OR SUBSISTENCE WORKERS? Norms Consult of interest Doctrine & PROHIBIT USE OF PLASTIC BAGS Jurispru- dence 13 SUMS COLLECTED AS A CONCEPT OF CONTROL, MONITORING, AND AUDIT BY ASEP ARE EXCLUDED FROM PRINCIPLE OF UNIT OF THE FUND 18 Legislación y Economía January 2018 Editorial The challenge of 2018 José Javier Rivera - Attorney [email protected] uch has been publicized the announ- nal revenues and therefore affects the Mcement about probable growth that our growth of economy within that sector. economy will experience, which ranges between 5.5 and 5.7%, which means that When analyzing growth factors, paradoxi- it would be the highest in Latin America. cally they concentrate on activities that do not have as much impact on job creation. On the other hand, from the point of view of the Panama Canal Authority, the rain- In the same order of ideas it is evident fall that occurred between December last that certain segments of the construction year and January this year, have com- activity present an excessive supply and pensated the deficit that occurred bet- therefore construction projects that have ween September and October 2017, which to do with shopping centers, offices and should allow during dry season that has high-cost housing will not be recurrent. already begun, there are no risks regar- ding level of lakes that allow the transit of There is already a drop in the demand for lots ships through original locks and new locks. and residences in the beach areas in both Pacific and Atlantic. There has been a signifi- In turn, this increase in ships of great cant decrease in the purchase of passenger 6 depth is having a favorable impact on Ca- vehicles with exception of the SUV models Legislación y Economía January 2018 that are used in particular transportation. that we have, to the European imperialist This fall in the sale of vehicles is 2 digits. attacks entrenched in the OECD, which has strangled us as an economy of corporate, In another order of ideas, the increase in logistic and financial services. So far we minimum wage in a generalized manner, have been mere spectators in this closed above growth of many economic activities circle and we haven’t wielded strategies to in the square, is generating layoffs and re- compare our tax system with that of many duction of hiring. Added to this, restric- European countries and jurisdictions and tions on bank credit and high weight of the therefore we have tamely accepted all the regulations to start productive activities arbitrary impositions of the European Union. are negatively affecting the confidence of consumers and investors, respectively. We haven’t analyzed the scope of this new policy that aims to reduce our com- The absence of collection centers and mercial advantages through a movement peripheral markets close to consumers against so-called BEPS and paradoxi- has as a consequence that purchases are cally we are being advised by those who made precisely in retail establishments have great conflicts of interest because that represent a higher cost and therefo- they simultaneously represent those who re the general perception of consumer is are placing us in those humiliating lists. an increase in the cost of the basic bas- ket, despite extension of the illegal de- Another important challenge of a local na- crees that for more than two years have ture has to do with the application of the forced the entrepreneurs not only to accusatory criminal system of due process, maintain sale prices above cost of pro- presumption of innocence and prohibition ducts, but they have frozen the margins of sharing information from files with means on more than 30 products which affects of communication that have as a generali- free competition and free competition. zed consequence the presumption of guilt. Only timely involvement in all these issues In the international arena, we are facing an will set the right direction for our country. L&E important challenge to fulfill, taking ad- vantage of establishment of full diplomatic and commercial relations with Mainland It will dawn and we will see. China and in particular to sign a balanced free trade agreement that expanded our status as a center for logistics, commercial and agro-industrial operations following the concept of the so-called “silk route”. The incorporation of airlines from China can be a relief for sectors such as hotels, shopping centers, banks, ports, free zone, special economic zone to generate busi- ness between China and its Latin Ameri- can clientele. At the same time, the coun- try has to structure a strategy to face it in 7 a robust way and with strong arguments, Legislación y Economía January 2018 Invited Writer NEW PHENOMENON? ENTREPRENEURS OF THE FUTURE? OR SUBSISTENCE WORKERS? Miguel Del Cid Molina [email protected] The debate in Panama on the nature, cause • Is increasing self-employment an encou- and prospects of self-employment has recently raging trend of entrepreneurship? Are these Rintensified, considering preferences of people, workers entrepreneurs born? Or is it mostly the behavior of the economy, labor relations subsistence work? and their future trends. As part of this debate, the phenomenon of informal employment has • Are all informal self-employed workers? Is been integrated in its various forms and both the totality of informal work self-employment? concepts are associated with similar causes. To answer these questions it is useful to briefly Statements and interpretations exposed review some concepts and indicators. In first require a reflection to try to answer some key place, self-employment defines a very speci- questions such as the following: fic situation in the occupation, in which worker exploits his own company, economic activity • The increase in self-employment is a recent or private business, or exercises a profession trend? or trade on his own and has no paid employee in his charge (https://www.contraloria.gob. 8 • Self-employment is mainly a voluntary deci- pa/INEC/archivos/P7841Definiciones.pdf). sion? Legislación y Economía January 2018 That is to say, it is a very concrete category of as contract of work or contribution to so- worker who carries out his economic activity cial security (https://www.contraloria.gob. independently. pa/INEC/archivos/P7841Definiciones.pdf ). On the other hand, unlike self-employment, Informal employment is a complex analytical informal employment is an analytical cons- construction whose dimension and dynamics truction that is constructed with various cri- depend on criteria adopted for its measurement. teria established by the analyst or adop- And in that sense, it is admitted that there is ted by specialized national or international informal employment in the so-called informal entities (INEC/Panama, ILO, ECLAC, etc.). sector of companies (companies not incorpo- rated in society, whether informal employers or These criteria combine certain conditions of independent workers), as well as in the sector the establishments (size and legal conditions) of formal enterprises and in domestic service. with some characteristics of occupation ca- tegories (employer, employee, self-employed An image of informality is presented in the worker, family worker, etc.) and access to la- following scheme: bor and social protection standards such EIn short, self-employment and informal em- employment (approximately 40% of the to- ployment, although related, are slightly diffe- tal occupation), of which about 195 thousand rent conditions, since the former is a condition are salaried employees and employers of the in the occupation or a specific occupational private sector, 54 thousand are domestic ser- category, while informal employment is a com- vants, about 316 thousand they are self-em- plex and heterogeneous conceptual construc- ployed workers and 19,000 are family workers tion that integrates situations diverse related (INEC, 2016). Therefore, not all self-employed to the characteristics of the productive units workers are informal or all persons with in- or companies and with the legal situation or formal employment are independent workers. with the level of protection of the workers. In the last 20 years (1997-2016) labor force in In Panama there are approximately 584 thou- Panama grew by about 824 thousand workers, sand non-agricultural workers with informal while employed population increased by ap- 9 Legislación y Economía January 2018 proximately 862 thousand people (including all categories). This meant that unemployment was reduced by approximately 38 thousand people between August 1997 and the same month of 2016. In this period, private salaried employ- a tendency, preference or rational behavior ment increased by about 413 thousand for majority, considering that most adverse new employees and in public sector by 102 working conditions are concentrated in the thousand, that is, the new salaried em- categories of independent workers (lack of ployment was approximately 535 thou- work and social protection, low income, etc.).

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