In the current economy, 4 out of 5 new jobs are informal, and the remaining are occupied by public officials, whose financing is based on loans. According to René Quevedo, in the last 12 years, economic growth has tripled the size of the economy, with 78% of new jobs generated in the private sector, 13% in the public sector, and 9% in informal jobs.
Quevedo emphasized that the current employment situation, with significant growth in the public sector and informal jobs, is not sustainable. The proposed reform to the Social Security Fund, which could be approved soon, receives criticism for not adequately addressing financial sustainability and for its dependence on loans to finance it.
The labor consultant emphasizes the need for formal jobs with decent wages to ensure sustainable pensions in the future. He warns about the labor crisis in Panama, which, more than unemployment, is characterized by a lack of confidence in the labor market and an excessive dependence on the public sector for the generation of formal employment.
Quevedo denounces that the current economic model relies heavily on external debt, making fiscal consolidation difficult and jeopardizing the country's financial sustainability. He asserts that without private investment and the creation of quality jobs, it will be impossible to reverse this trend and guarantee decent pensions for citizens.
The consultant highlights the importance of seeking a balance between private formal employment and public and informal sectors, to ensure sustainable and solvent economic growth. He warns that current figures indicate a worrying trend towards a disproportionate increase in public officials and informal workers compared to formal jobs generated in the country.
