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Gradual opening of industrial and business sector in the Kingdom ‘complicated and unfair’

By Rana Husseini - Apr 21,2020 - Last updated at Apr 21,2020

AMMAN — Economy and industrial experts on Tuesday said the government’s recent procedures and regulations regarding the gradual opening of the industrial and business sector in the Kingdom “are complicated and unfair”.

On Monday, Minister of State for Media Affairs Amjad Adaileh announced regulations pertaining to permits for businesses to resume work by applying through a platform to be confirmed by the Companies Control Department (CCD), the Civil Status Department and the Social Security Corporation (SSC).

Adaileh stressed that the establishment and its employees must be registered with the SSC, adding that this is “the basis for issuing the permits”.

Economy expert Reem Badran told The Jordan Times “we are blessed that relatively speaking the COVID-19 is under control until now, which means we are doing good in terms of the health service and this should have positive implication on the economic sector”.

“The government’s decision to open up certain sectors is positive and a good step in the right direction although the requirements needed might give negative implications,” Badran stated.

Opening up gradually is necessary in these circumstances, Badran said, adding that “opening up certain sectors in the manufacturing field with 30 per cent and 30 per cent, two shifts, while the service and commerce was allowed to open up certain sectors with limitation of numbers of employees is an important step”.

But she added that requiring these sectors to register at the SSC “might not be fair for companies to pay extra costs for their employees given the special circumstances we are going through”.

Other hindering factors, especially to the commerce and trading services sector, according to Badran, include obliging business to obtain electronic payments.

“We also need to see more discussions with the related private sector to come up with the right economic decisions. We would like to see more coordination between the government and the private sector,” Badran said.

Economist Wajdi Makhamreh also welcomed the government’s step but said it comes with some complexities that require “small businesses to take additional steps to secure their resumption of work”.

“The state has always wanted to regulate the work of entities by ensuring that they register their employees with the SSC, which is a step not all business owners will welcome for many reasons,” Makhamreh told The Jordan Times.

He added that the new regulation is considered a “good opportunity for Jordan to better regulate the industrial sector and other business sectors because we want to reach a point of transparency for both the government and the business owners when it comes to their rights and tax payments for the government”.

Makhamreh added that regardless of the recent measure “we hope is that more business entities will be allowed to open soon”.

However, Industrialist and Economist Musa Saket criticised the recent announcement by the government that obligated businesses to enroll its employees in the SSC before obtaining a permit.

Some small entities did not enrol their employees with the SSC, while others are obliged to deliver their cheap products which “on some occasions, would not exceed JD5 and get paid via electronic methods, which is not feasible in some circumstances,” Saket told The Jordan Times.

“I do not understand why it is okay for us to stand in line to buy bread and groceries, but we are not be able to go to other stores and purchase other goods. If it is working for food and bakery shops, then it should work for other businesses as well,” Saket stressed.

Saket attributed the recent “confusing and complex decisions to the lack of background and knowledge decision makers have on the needs of various other sectors”.

“I believe the decision makers are not consulting with the right people and unionists to come up with a clear plan on how they are supposed to go back to work gradually and this is resulting in unstudied and over complex decisions,” Saket said.

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