The trade unions of Georgia have presented their draft amendments to the labour law. Upon agreeing them with the government and employers, at least some part of these amendments might be legalized by autumn. Otherwise Georgia will be expelled from the European system of trade preferences.

Like a thunderbolt from a clear sky, Georgia was struck by the news on its possible expulsion from the GSP+ trade mode. Not for trade violations, but for the discriminatory Labour Code. The trade unions have harped upon legal issues in this area since 2005, when the authorities were just going to introduce some liberal regulations into the Labour Code. They actually resulted liberal for employers but derogatory to the rights of employees.

The code passed in 2006 limited the possibilities of the state to interfere with the relations between employers and employees, letting them regulate their relations by themselves by way of labour contracts. Naturally, employers took advantage of this law, overriding such conquests of the world's trade union movement as an 8-hour working day, a yearly holiday lasting a month and overtime payment. Companies have stopped paying maternity allowances, have started signing short-term labour contracts in order not to pay any dismissal forfeit.

«United Trade Unions» have insisted on modifying the Labour Code for almost two years. «We are demanding the abolition of some new ugly articles of the Georgian Labour Code infringing the dignity of Georgian citizens, forced to look for employment and for the defense of their rights abroad. We are demanding a real 8-hour working day. We are demanding the employment of several dozens of thousands of the unemployed», said the Chairman of the Georgian Trade Union Association Irakly Petriashvili during the protest events.

He stated that, if more rigid regulations are set for employers, about 150 000 people could be employed. This would be very much to the point for a country in which, according to its statistic department, in 2008 the number of the unemployed reached almost 316 000 people, i.e. 16% of the working population.

The latest trade union meeting was held this February. As the opposition was preparing its April events extended to now, and Mikhail Saakashvili did not feel so cosy in his President's chair any longer, the government made some concessions. It let the trade unions develop their draft amendments and present them to the Parliament.

While they were working on the draft law, teachers also presented their claims regarding labour relations in the education area. They had got tired of uncertainty and of the arbitrary behaviour of school directors guided by the too liberal article of the Labour Code on contract termination. In protest teachers took some pink balloons and attached them to the fence of Mikhail Saakashvili's residency.

The Parliament minority treated the trade unions' demands with comprehension. The Christian Democrats party, in its turn, suggested «five substantial modifications» to the Labour Code. They were presented to the journalists by Magda Anikashvili, said GHN. The Christian Democrats' amendments implied, first of all, prohibition on unfounded dismissal of employees. Second, a dismissal forfeit of at least two monthly salaries. Third, a short-term contract with an employee can be signed only twice, and the third one must be a long-term one, i.e. for more than three months.

The fourth amendment concerned the procedure of contract formalization: if it is signed for more than two months, it should include a detailed description of the parties' rights and obligations. Finally, the fifth amendment restored the regulation on the payment of at least a double salary for overtime work.

By 14 July the trade unions' draft amendments to the Labour Code were ready. Now the government will agree it with employers. According to Irakly Petriashvili, the amendments will be made step by step, and the first amendments must be implemented by October, said the «Kommersant» radio. According to some preliminary data, the suggestions concern such issues as recruiting and dismissal of citizens, the number of working hours, the rights of pregnant women. However, the morbid issue of unemployment allowances that the government flatly refuses to pay has not been resolved in this draft law.

The amendments have already been criticized by one of the authors of the current Labour Code, ex Minister of Economic Affairs Kakha Bendukidze. In his words, the draft law takes into account the Christian Democrats' suggestions. But it is fully built on populism and has nothing to do with reality. «The amendment of the Labour Code will bring to a null result», believes Bendukidze.

However, Georgia will have to change the discriminatory provisions of its Labour Code, if not under the pressure of the opposition, then under the threat of being deprived of trade preferences in its business with the European Union. The European Commission and the International Labour Organization have made such conditions to the government of the country.

As the Kommersant radio explained, the GSP+ preferential system covers about 6 500 groups of goods exported with a null or minimum customs duty. This privilege is provided to developing or emerging countries with a well-accomplished management system and other institution systems. But an important condition for being included into the GSP+ system is the ratification and application of 27 international conventions of the UN and International Labour Organization.

Will legal regulations be observed, especially during the crisis and underemployment period? This is highly questionable, and Bendukidze is right here. But, of course, the government should not encourage employers in their flouting of the lawful rights of employees. If it is democratic in essence, not for show.