AFRICA/MADAGASCAR - Alarm for possible masse dismissal of workers after 6 months redundance

Monday, 6 July 2009

Antananarivo (Agenzia Fides)- The political crisis in Madagascar is a growing threat to the existence of an increasing number of families, because businesses have closed and factories have temporarily suspended workers.
Political uncertainty deriving from political-institutional battle between the Transition Authorities led by former opposition Leader Andry Rajoelina and outgoing president Marc Ravalomanana, is having disastrous effects on the economy because foreign investors (also due to the global financial crisis) have suspended or drastically reduced investments on the island. In addition to this Ravalomanana is the most important businessman in Madagascar (he owns a chain of supermarkets and companies in the agriculture-food sector, as well s television and radio ), and his companies feel the consequences of the political crisis.
Workers who receive redundancy pay have no right to medical assistance. Unlike France where redundant workers receive 60% of wages (paid partly by the government and partly by the company), in Madagascar this is not foreseen by the law. Workers have a job guaranteed for six months and then if the factory does not resume production, the employer can sack the worker. The local press is warning that for many workers the six months are almost over and that many risk losing their jobs. Many companies made their workers redundant on 26 January, the first day of street protests called by Rajoelina against the then President Ravalomanana.
Many Malagasy families are forced to sell their few possessions, for example domestic appliances, and what is worse have recourse to money lenders, who demand some material guarantees which not all are able to offer.
In the meantime the president of the Supreme Transition Authorities, Rajoelina, is visiting Brussels and Paris to explain his position to the European Union and to France. The EU considers the resignation of Ravalomanana and taking of power of Rajoelina, a coup and has suspended any new development projects for Madagascar. (L.M.) (Agenzia Fides 6/7/2009 righe 29 parole 376)


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