The Chilean government has resumed discussion on the project regulating hourly contracts, in a context of 9.4% unemployment, its highest level in five years. The initiative aims to set rules for working hours of up to 30 hours per week.
Chile has once again put the regulation of hourly contracts on the table, an initiative that has been in Congress since 2018 and is gaining traction in light of a labour market showing signs of weakness. The unemployment rate reached 9.4% according to the National Institute of Statistics (INE), the highest figure in five years, with female unemployment rising to 10.5%.
The project, driven by the Executive, establishes that hourly contracts cannot exceed 30 hours per week or 120 hours per month. Additionally, it requires a minimum notice of 24 hours for shift assignments and a rest period of at least 12 hours between shifts. Remunerations will be proportional, and mechanisms will be created to prevent abusive use of this modality.
For Cristián Fleiderman, commercial director of Adecco Chile, the debate should focus on how to build rules that respond to new labour dynamics without neglecting worker protection. "The labour market is changing rapidly, and today various forms of work coexist that require modern regulation," he states.
Fleiderman emphasizes that labour flexibility is already a reality in sectors such as retail, logistics, tourism, gastronomy, agriculture, and services, where the demand for personnel varies by season. There are also profiles such as students, older individuals, or those seeking to balance work with family responsibilities who value adaptable hours.
However, the executive warns that flexibility should not translate into a loss of rights. "When there is adequate regulation, it can become a tool that facilitates access to formal employment, provides legal certainty, and promotes more transparent labour relations," he points out.
One of the key challenges is that this modality encourages formalization and does not lead to new forms of precariousness. The Chilean labour market is also experiencing changes due to digitalization, automation, and the demand for talent in sectors such as mining, energy, and logistics. Flexibility, according to Fleiderman, must be accompanied by training and professional reconversion.
"Experience shows that when the rules are clear regarding working hours, remuneration, breaks, shift planning, and social protection, both workers and employers have greater security to develop sustainable labour relations," he adds.
The trend towards more flexible work schemes is not exclusive to Chile. Several OECD countries have made progress in regulations that seek to balance adaptability with social protection. In this context, the success of the Chilean reform will depend on its practical implementation and the ability to generate trust between the parties.
"Beyond the specific contractual modality, the challenge is to build a regulatory framework that provides confidence, reduces informality, and allows for responses to the different productive realities of the country without affecting the quality of employment," concludes Fleiderman.
The project, which is now resuming its parliamentary processing, will have to navigate the differences between social and political actors to become law. Meanwhile, the Chilean labour market continues to be pressured by high unemployment and the need to create formal job opportunities.
You may also like
