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Employment contracts, salary fund see considerable increase in Azerbaijan

14 October 2019 18:07 (UTC+04:00)
Employment contracts, salary fund see considerable increase in Azerbaijan

By Rasana Gasimova

Due to measures aimed at eliminating informal employment, the number of employment contracts in Azerbaijan’s private sector increased by 16.5 percent as of October 1, 2019, reaching 90,962 compared to the same period in 2018. At the same time, the salary fund increased by 33.4 percent in 2019.

Azerbaijani Minister of Labor and Social Protection of the Population Sahil Babayev said this at the 32nd meeting of the Advisory Council on Labor, Employment and Social Protection of the Population of the CIS Member States, Trend reports.

Babayev said that the government took a number of measures in 2019 that affected well-being of over 4.2 million people. These measures include raising the minimum salary by 93 percent, the minimum pension by 72 percent, increasing average social benefits and pensions twice, the establishment of two new pension types among others.

Furthermore, Babayev noted that opening of two more Centers for Sustainable and Operational Social Security (DOST Centers) is planned by the end of 2019, and in 2025 their number will reach 31, adding that the “Employment” subsystem will be commissioned by late October.

He reminded that electronic pension appointment has started in Azerbaijan, and so far, pensions to over 14,000 people have been assigned online from January 1, 2019.

Babayev added that the coverage of the self-employment program in Azerbaijan increased by more than six times last year, and in 2019, based on this program, 10,000 small households and small enterprises are planned to be created.

Babayev also mentioned that the Ministry is planning to provide proactive services on 19 types of benefits.

In his words, after the introduction of these services, written and electronic applications from citizens will no longer be needed.

“The right of citizens to receive benefits is recognized and guaranteed by the state. This includes benefits for disability, age and loss of a breadwinner,” the minister said.

Babaev noted that by the end of 2019, a pension payment upon 25,000 applications and granting of social benefits upon 150,000 applications are planned to be transfer to the proactive services. After the full digitalization of these services during 2019, on average, up to 200,000 requests will be proactively executed.

The minister further noted that the Charter and Provisions of the Labor Protection State Fund will be approved soon and that joint measures are being taken with relevant government agencies to prepare the Fund Charter.

The Fund’s resources will also be used for financing research on labor protection. This stimulates the performance of scientific research aimed at improving the labor protection system. The Fund’s resources will also be used to increase the workforce capacity for labor protection in the country, and to train labor safety specialists in various sectors of the economy.

These resources will further be used to prepare norms, standards and rules of labor protection and information in the field of labor protection, creation and development of the state structures material and technical base operating in this field. In particular, the Fund will support the procurement of the necessary technological devices, instruments and equipment.

Meanwhile, the 32nd meeting of the Advisory Council of the CIS member states on labor, employment and social protection of the population kicked off in Baku October 14.

The heads of the relevant state bodies of the CIS member states, social partners, representatives of international organizations are taking part in the meeting.

The meeting is aimed at holding discussions on the work being carried out by the CIS member states in the field of labor, employment and social protection of the population, on interstate cooperation and future activities, as well as at the exchange of experience and information related to rendering of services to the population.

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