Chile’s Congress approves bill reducing work week to 40 hours from 45 hours

Santiago: A hard-fought law to progressively reduce the work week from 45 to 40 hours was enacted by Chile’s Congress on Tuesday, giving President Gabriel Boric a legislative win amid waning support.

A progressive new constitution was rejected by voters, and a crucial tax bill was defeated in the legislature. Boric, who came to office last year promising an ambitious programme of social and economic changes, has had a number of setbacks.

The work-week bill, however, represents a tiny triumph for the government that has been attempting to move the nation away from its free-market constitution and is now waiting for Boric’s signature. The new legislation aligns Chile with the majority of developed countries by requiring one hour less of labour per week every year until the workweek reaches 40 hours.

The bill, which had overwhelming support with 127 votes in favour and just 14 against, comes at a time when countries around the world like Britain and Spain are experimenting with reducing weekly work hours further.

Several companies in Chile have already announced that they will adopt the bill, including state-owned copper giant Codelco, which earlier this year said it would seek to implement the 40- -hour work week by 2026.

Some smaller firms have criticized the new law, saying they have insufficient resources to hire more workers and replace lost hours.

Minister of Labor Jeannette Jara told reporters that the gradual implementation was designed to address this, but “the main thing is that we have to make progress in rights for workers.”

Design company Organic Style, who introduced the 40-hour week voluntarily during the pandemic, said the change had proven positive.

“It’s a very good initiative that has changed our lives,” owner Danitza Becerra said.

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