Significance: The dispute over the labour reform, which the Bachelet administration claims is essential to redress serious inequality in Chile, is heating up. On 10 March the reform won approval in the senate, where it had been mired since October 2015, and will now be passed back to the lower chamber. Sofofa, which represents manufacturers, has been joined by other influential lobbies in Chile, such as the Confederación de la Producción y del Comercio (CPC), which groups together businesses in the industrial, mining, banking, agricultural, and retail sectors, in censuring the government’s labour reform. They argue that the priority should be to create better jobs and to get Chile back on the path to rapid economic growth rather than create uncertainties. The labour reform will strengthen trade unions and end the current law enabling employers to replace employees on strike.
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