Weekly Report - 3 July 2008 (ISSN 1741-7422)

PERU: Garcí­a reaches out to informal sector

President Alan Garcí­a promulgated a law this week under which some 4m workers in micro and small businesses (Mypes) in the informal sector will be entitled to social security and pension payments as well as enhanced labour rights. The increased regulation this entails means that they will also be brought within the tax net. The new law comes days before the biggest umbrella trade union, Confederación General de Trabajadores del Perú (CGTP), has called a general strike for 9 July to demand that the government honour its election promises, including better distribution of wealth from years of stellar growth.

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