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Ricardo Rosselló Signs ‘Single Employer’ Act

By on February 4, 2017

SAN JUAN — Governor Ricardo Rosselló signed Act No. 8-2017, which unites public agencies to establish the government as single employer.

The Single Employer Act, formerly known as House Bill 454, is designed to facilitate employee transfers between the government’s 118 agencies, which prior to the bill’s signature operated as separate employers, with different administrative divisions and wages for the same occupations.

  • In this picture provided by La Fortaleza, Gov. Ricardo Rosselló signs the Single-Employer Act, which centralizes government agencies to ease employee transfers and reduce operational costs. (File Photo)

According to Puerto Rico’s chief executive, this mechanism will allow the government to be more efficient and reduce operational expenses while preventing layoffs from the looming closure of several public agencies and 30% reduction of government payrolls, as recommended by the Fiscal Oversight & Management Board created by the Puerto Rico Oversight, Management & Economic Stability Act (Promesa). The official affirmed that with this new law, the government won’t be forced to do a mass staff downsizing.

Rosselló’s administration estimated that the Single-Employer Act will generate about $100 million savings annually, and will increase the government’s monetary collections. For instance, the Treasury Department is expected to receive between 200 to 300 employees to increase collections by $300 million by auditing present incomes.

See also: New Administration Assures Single Employer Concept Safeguards jobs, respects bargaining agreements

In response to public employees’ concern, the governor assured that transfers between agencies will be voluntary and based on employee residence and availability, plus they will retain the same rights and added benefits, such as increasing the maternity leave from five days to 15 days.

In the meantime, Rosselló informed in a press release that he will present permits, tax reforms and a series of changes to public organisms, such as the Puerto Rico Electric Power Authority (Prepa) and the Puerto Rico Aqueduct & Sewer Authority (Prasa), as a means to work toward the island’s economic recovery.

In 100 days we will do the reforms that Puerto Rico has needed for decades, and that will create jobs and ensure a better quality of life,” stated the governor.

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