Paraguay's Labor Minister Tackles Problematic Cleaning Companies

Paraguayan Minister of Labor Mónica Recalde has highlighted significant problems within the cleaning company sector, particularly concerning labor law compliance and social security contributions. During a meeting with the president of the Social Security Institute (IPS), Isaías Fretes, Recalde presented a report detailing numerous complaints against cleaning firms.

Recalde confirmed that the IPS is currently undergoing a bidding process for cleaning services. The report included information on companies that have already been sanctioned by the Ministry of Labor and outlined legal recommendations for future infractions. She emphasized that a lack of understanding of labor regulations often contributes to these issues, and plans are in place to ensure contract administrators are better informed about labor laws, especially concerning subcontracting.

"We need to review the background, we need to formalize; many people are outside the social security system," Recalde stated. She stressed that companies receiving state funds must provide good service and comply with labor laws. Both the cleaning and security guard sectors were identified as "highly reported" and "problematic" due to consistent non-compliance with wages and working conditions.

To address these ongoing issues, Recalde announced that a new bill will be proposed. This legislation aims to prevent companies with a history of sanctions from participating in future public tenders. Currently, the law does not prohibit sanctioned companies from bidding, a loophole the ministry intends to close.