NCE RK "Atameken" believes that the Kazakh business already exists in difficult conditions

The topic of the discussion is bill "On amendments and additions to some legislative acts of Kazakhstan on pension provision system", which has already been adopted by Parliament, but it will come into force in 2018. So, one of the amendments provides for the introduction of mandatory five percent pension contribution by employers.

According to the Chairman of the Committee of the social sphere and social partnership of NCE RK Talgat Doskenov, Kazakh business are currently in a difficult situation without this.

"Disparity of exchange rate has led to a significant increase of imports from Russia. Key Kazakh producers show a serious decline in the volume of production ... The compression of the capital market has occurred, compression of export markets in China, the slowdown in the economy. Russia has a clear mechanism for protection of its business. Our entrepreneurs are experiencing trade restrictions, there is instability of the ruble and the pressure on the labor market. Thus, these factors influence Kazakhstani business to a large extent. Given these factors, it is impossible to put additional social obligations on business", - he said at a meeting of the committee.

At the same time, as it was reported by the director of the department of social and labor relations of NCE RK Saltanat Abdikarimova, the concept of the bill was approved despite the negative opinion of NCE.

"This project envisages not introduction of five percent accumulative component, but an increase of social tax from 11 to 16%. We wrote a letter, offering to leave social tax at the same level, as it implies an increase of the financial burden on business. At the same time, it must be deductable. We gave such a conclusion. After that we have discussed it with the Ministry of Labour. They said that the tax committee did not support an increase of the social tax by 5%, respectively, there will be reviewed again possibility of 5% accumulative component. However, the draft law was no longer submitted for revision to NCE, and we did not give a positive conclusion”, - she said.

A deputy of the Mazhilis of the Parliament Ekaterina Nikitinskaya suggested while there is time before the law comes into force, to count how business will suffer from the introduction of the five percent fee.

"I have such a request. There is NCE, there are all industry associations. Let them do calculations, taking into account the leading industries - mining companies, light industry, "food production" - to calculate to see how many businesses may close. You have to think about it! If there is no business, then you will have a bunch of unemployed people, the care of which will be sourced from the budget ", - she said, referring to the representatives of the Ministry of Health and Social Development of the Republic of Kazakhstan.

"Business, in addition to 5%, is waiting for increase of electricity and gas tariffs. Tariff increase will take place annually. (...) Please prepare these calculation by fall so MPs could vote with their eyes open for this or that position", - she added.

Business representatives spoke at the meeting as well. Thus, the executive director of the Kazakhstani Association of Organizations of Oil-Gas and Energy Sector «KAZENERGY» Togzhan Kozhalieva named an interesting fact. "We did a great analysis of tax and other burdens on the oil and gas sector of Kazakhstan with leading foreign experts. We are in the second place after Nigeria - 62% of various burdens", - she said.

The alarm signal was hit by the chairman of the committee of the mining and metallurgical industries of NCE, executive director of the Republican Association of Mining and Metallurgical Enterprises Nikolai Radostovets. "The association held meetings for three days and calculated the data about how many people will be cut by the companies. Because this is a very tangible innovation. Moreover, it changes the investment climate in Kazakhstan. You should take this into account. All this is perceived as a tax because it will be administered by the tax authorities", - he said.

At the meeting of the Committee of the social sphere and social partnership was also discussed the draft law "On amendments and additions to some legislative acts of Kazakhstan on migration and employment 'in terms of setting a quota of jobs for people with disabilities.

"This bill was reviewed by us three times and three times we gave a negative response to NCE. Initially, the Ministry of Health and Social Development has offered from 2 to 4% (rules on employment quotas for the disabled), now the law stipulates 3%. We have proposed to take into account the specifics of business - difficult and hazardous conditions, as well as reimbursement for job creation or retrofitting of the existing ones", - said Deputy Director of social and labor relations of NCE RK Niala Mukhtarova.

She said, that NCE offered the state this scenario: employers will hire disabled people, but they need help for acquisition of special equipment for the employment of persons with disabilities; provision of subsidies for wages that cover the difference in productivity of persons with disabilities; provision of additional subsidies for the conversion of job places and hire after graduation; the provision of subsidies, tax breaks to encourage employers to retain disabled people.

"After the draft law we received for review the terms of quotas and rules of subsidizing employers, who create special jobs for persons with disabilities. Now according to the latest information, we have heard that there are no tax benefits, in connection with which they will change the rules again and resubmit for our revision. We will give our conclusion once again", - concluded Niala Mukhtarova.

Deputy Nikitinskaya also stood up for the business in this matter. "We kindly request the Ministry (of Health and Social Development of the RK) not to relay these social functions that should be borne by the State in respect of our people and our citizens on employers. Because if everything is paid by employers, it will simply cease to exist. And there will be no one to build employment relationship with", - she said.