Panama Relaxes Environmental,
Labour Laws
PANAMA (Reuters) - Some major
Panamanian construction projects could begin
without knowledge on how they might harm the
environment and employers would gain an
advantage in the event of a strike under
legislation enacted this week.
President Ricardo Martinelli's political
allies in Congress passed the reforms in a
move that could spur public works and please
employers but increase opposition to the
government's infrastructure plans.
The string of varied reforms include
allowing employers to hire non-union
replacements for striking workers and
requires police to immediately take control
of work sites affected by strikes.
Martinelli, a white-haired supermarket
magnate, took office last July promising
ambitious public infrastructure spending but
has been criticized for heavy-handedness and
centralizing power.
The laws enacted this week sparked protests
from labor and environmental groups who fear
the fast-tracked legislation greatly reduces
worker rights and could eliminate key
environmental checks for major copper mines
Martinelli wants developed.
The controversial reforms were bundled in a
bill to increase investment in commercial
aviation and were passed by Congress while
their chamber was protected by riot police.
The so-called "9-in-1" law also increased
penalties for human trafficking and false
documents, but relaxed sanctions for police
officers who commit crimes while on duty.
Martinelli has said critics misinterpret the
law, which states that developments deemed
to have a "social interest" could have
relaxed environmental standards.
Opponents say they will challenge the
legislation in court and analysts expect
negative international reaction.
"This may expedite their ability to move
forward on certain (development) projects
but at the same time it could backfire,"
said Heather Berkman, an analyst at the
U.S.-based Eurasia Group, adding that some
multilateral lenders cannot support projects
without independent environmental impact
studies.
Berkman warned the laws could further
complicate U.S. ratification of a trade
agreement with Panama and imperil
Martinelli's mining agenda.
"This could bring in international
anti-mining groups which have made things
quite difficult in other neighboring
countries," said Berkman. |
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