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Bill to reform local labor laws underway
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Posted on Mar 08 2000
House Speaker Benigno R. Fitial is expected to introduce today legislation patterned after the Federal Labor Standards Act to reform existing local labor laws as part of his leadership’s goal to revitalize the economy.
The forthcoming bill, one of the measures set out by the House late January, will compliment the Omnibus Labor and Business Reform Act now under consideration in the lower chamber.
Mr. Fitial said his proposal will resolve questions on the House’s bid to repeal the fair wage act that requires companies to provide to local workers the same benefits granted to nonresident workers.
It is also expected to create job opportunities for residents as one of the bill’s provisions will give tax incentives to businesses in exchange for training of the local labor pool, the Speaker said during a House session yesterday.
Both the House and the Senate leadership have been eyeing the labor reform measure to overhaul the Nonresident Workers Act passed by the 5th Legislature.
According to Mr. Fitial in previous interviews, the CNMI’s fair labor standards act will not include the federal minimum wage provisions.
He has stressed that with the enactment of this bill, the Department of Labor and Immigration would be relieved of much of the administration processing documents of nonresident workers.
“The department would then be concentrating heavily on enforcement,” Mr. Fitial explained. “That’s what we have been lacking for the longest period of time — enforcement that would help efforts of the Tenorio administration to work on reforms.”
The new legislation hopes to include provisions stipulating that employment will entirely between the employer and the employee.
“DOLI will not play any role in processing employment contracts. If there is any dispute between the employer and the employer, they don’t have to go to the labor hearing office. They will just have to go to court,” said Mr. Fitial.
