Labor Law in the 21st Century  

InLaw Alliance - Historically, labor law is based on a series of defining principles. One of these is the protective principle, which determines that the law must protect the weaker party in the relationship, i.e., the workers.

This view of labor law originated with the development of capitalism and its institutions. It was considered essential to establish specialized rules that would remove the relationship between workers and employers from civil law in order to prevent abuses resulting from power differences.

At that time, human development was precarious, so legal protection had a factual and ethical basis. This protective principle even extended to the judicial sphere, as the legislation of our countries adopted a system of presumptions in favor of workers which, if not applied judiciously, can violate the principle of equality of the parties before the law.

The development of science and technology has caused labor relations to change substantially. Subordinate relationships in the 19th century are not the same as those that exist in today’s rapidly changing world.

Today, digital mechanisms, for example, allow activities to be carried out remotely without being under the direct control of the employer; in addition, the development of artificial intelligence and robotics creates different conditions in the workplace.

It is worth noting that, through modern means, thousands of jobs have been virtually relocated, as a person can provide services for one or more countries from a different country.
What is happening in everyday life must define the basis of labor law that adapts to the new global reality. One that understands that new professions exist and that others will continue to emerge that do not fit the rules of the past that today regulate situations that are disappearing.

Insisting on traditional protection is an obstacle to the promotion of quality employment and becomes a predisposing factor for job insecurity. The new protection, then, must be guaranteed by the full enforcement of equality between the parties through their bargaining power.
We are living in a historic moment where declining birth rates and changing life paradigms are also affecting the validity of old labor law.

The world of the 21st century is very different from the one we lived in during the previous century, so the rules must be adapted.

It is obvious that a single legal body cannot adequately regulate all new labor relations. Specific statutes are needed for the different modalities of the different forms of service provision.

The principles of labor law must be of a different quality, where workers and employers have broader scope to negotiate and establish dynamics that guarantee the productivity, efficiency, and sustainability of the company.

Maintaining the traditional legal vision is not consistent with human development objectives. Overcoming fundamentalism must be the mission on the path to a new labor law.

Rubén Castillo Gill, managing partner of Mendoza, Arias, Valle y Castillo, member of InLaw Alliance

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