NEWSHOTELSCAR HIRECLASSIFIED ADSREAL ESTATEMESSAGE BOARDBUSINESS DIRECTORYDOMINICAN NEWSBLOGSFUNCONTACT US
Login
Username:
Password:

Not registered? Register here for FREE

 

Alternative content

Dominican Newspaper Ready for DR
Currency



 
Weather
Click for Puerto Plata, Dominican Republic Forecast
 

The security services are expensive in the Dr

posted on: Dec 29 2011 12:33 by RDugey. Viewed 31 times.

Bookmark and Share

The work presented here is based of reference one of the most competitive markets in the economy of the country, which is credited erroneously low wages and high profitability. We refer to "security services".

The first security companies appeared at the end of the 1960s and early 1970s. Prior to those years, apparently, no one in this country had become interested by buying and selling of wages, as business - the true essence of security companies-. This form of business moves million pesos in the same way that move bureaux de change. And I make this analogy because in these types of businesses could sell millions of pesos, of services that also cost millions. Profitability, however, would be to be seen, because while the Guild which brings together these companies today, has set a price of RD$ 60 an hour, is actually an ideal price, since competition of the u000amarket may be surprised with a price of RD$ 45

Costs, however, are huge due to the volume of resources human to move these companies, taking into account that a salary which is paid, is followed 7% of AFP, 7% of SFS, 1% of Infotep, 9% of notice, 7% severance, vacation 5%, 8% or more of bonus, 8 per cent of salary for Christmas, and other incentives for overtime, holiday, night, among other things, compulsory from 10 hours in this type of work.

For the worker's security, the Ministry of labour has a special regulation, because instead of an 8 hour day, this work 12 hours, 10 of which are normal and 2 are considered extras, your incentives by law and depending on whether the work either at night or day. Is why the salary minimum Rd $8,356 set by the Ministry is only a reference value, because the payment is made on the basis of actual hours worked with its incentives.

On u000athe profitability of this type of business do not have exact figures, but experts who have attended international conferences of safety, ensure that the greater profitability of this business is in Chile with 10%; oscillating the range down to 3% in other countries of Latin America.

In our country, by a number of factors such as the competitiveness of the market, poor organization, low business awareness of the actors in this business and other varied reasons, is not a percentage of reliable profitability. These rates of return are good, they are to the decision of the investors, but the truth is that these companies are being affected by a series of laws that range from the same law that regulates the wage until the payment of taxes to the Dominican State. We cause some of these:

El Infotep: for a small company, which buy and sell wages as security, this tax firms u000aIt could be larger than a company medium or large commercial and industrial sector, because of the large amount of human resources that it uses and pays in wages

El Itbis: commercial and industrial businesses, advances Itbis in purchases of products which then sell, or the materials processing, to be dropped from the Itbis who is credited by sales; something that they cannot do these companies, and that the product they buy is salary.

Marginal benefits and taxes that accompany the wage, as summed all are around 60% of the same, are jealously claimed, just as the same wage, immediately and with extreme pressure, both by the watchman - axis of the service - and by the institutions that administer these funds, giving rise to other problems we will point out later.

There are additional costs of logistics, are not benefits to the guard, but which are essential for the service: the u000aacquisition of arms and ammunition - revolvers, pistols and shotguns-; the provision of uniforms and boots, at least one game every 3 months; psychiatric examinations every 6 months; training of staff; a good insurance policy, that the stakes are high; constant monitoring that involves the use of vehicles, fuel, tires, spare parts, repairs and others; a good communications system, which still buying teams must pay monthly a frequency.

Reality
to complete the picture, however, this sector has an additional reality and is carrying out this work, because of his harsh hand of a human resource of limited education, condition that is exploited by lawyers unscrupulous to use them against the company that gives them the job.

In that purpose these professionals, who call "labor attorneys" themselves are on the lookout for the smallest space, either on the part of the company, u000aof the employee. The failure of the company does not necessarily have to exist, can be manufactured from the failure of the worker: an abandonment of post, alleged overtime not paid, or any other simple thing, are converted into demands by alleged dismissals without deception or benefits to the worker, what also adding notifications, by Act of sheriff who fail and the company learns when there is no time to defend themselves. These tricks with apparent space in the labour code are validated with incredible efficiency in the courts by their fellow judges, who not trembles les pulse to issue an embargo, or a monstrous sentence against the company, to the point that some employment benefits of 15 thousand or 20 thousand pesos, which the beneficiary refused to receive, with premeditated purpose, can be turned into 1.5 million pesos in a court, that the company should seek, without words, in a period u000aextremely short. Who writes witnessed an experience just a few months ago.

In the interior of the country, especially in Santiago, this disease is wreaking havoc to companies in the sector, which provides thousands of direct jobs, precisely at a time when growing unemployment for different reasons. This problem could be affecting companies in another sector, but is most noticeable in security companies, its high volume of employees. To correct this problem, the labour code deserves a profound revision, since it is not possible that from a court, by a simple employment case is halt the operations of a company, attaching your accounts payroll.

On the tax side is also being affected. The General Directorate of internal revenue, ending 2009, ordered the withholding of the Itbis these companies by its clients, but in an ambiguous way of presenting Itbis monthly commitment left them. u000aThis situation is creating serious problems of liquidity to these companies that they must submit a total of checked Itbis, who could be paid by the customer 2 or 3 months later, seeing companies forced to have to answer for money that he has not handled.

Believe that security firms, due to their characteristics, as well as currency exchange bureaux, should be exempted from the Itbis. The logic of this idea is that if a company has no where advance Itbis nor collect Itbis, you must either check it, because it is at a disadvantage with other companies in other sectors. This measure would give a break to this sector at the same time increase their income, because prices, would having no such tax, become more affordable to customers and give the chance of further growth. The Treasury for its part, in the long run, is not harmed, because funds that leaves collect for that side, will be recovered by the tax to the u000autilities in the supplier company and the client company and, if something missing, recovered, however, the increase in the economic flow generated growth: more jobs, more weapons, more uniform and more vehicles.

To finish with these considerations, this sector to survive require different tax treatment, because by their characteristic burden very heavy, from the outset with the wage and all its derivatives, which has to pay almost immediately; Itbis, which must respond without having received nothing, and finally the scourge of lawyers and labour courtscovered in gaps of the current labour code. Adesinc, the Guild which brings together the security companies, should take into account these threats, because these problems will lead to these firms to serious economic difficulties in a future next

the author is University Professor and exempleado of security companies. Email: u000aismael_suarez38@Hotmail.com



Share this article

Comments

Comment on this Article

Comment:

Not a user? Register here

Loading
Recent Forum Messages
Who/What/Where are you "iknowthetruth' ?
I am still waiting for you "iknowthet
by SylviaDR on May 24 2012 21:56
Check your electric bills and your meter closely!
Well done cjp... Edenorte have been
by SylviaDR on May 24 2012 8:41
Ladies Lunch Club - Every Saturday at PJ's...12.30 pm
Iknowthetruth why don't you meet up w
by SylviaDR on May 24 2012 8:3
BEWARE OF PUERTO PLATA BEACH CLUB AT MALECON
My friend just left. Terrible place t
by salomonhold on May 22 2012 6:50
Pool filter,motor for the pool & staff for sale
I am guessing, nobody wants your STAF
by Dave on May 21 2012 19:39
 
Recent Comments
by WTF on May 24 2012 20:18
Hmmm... I think he's a couple of weeks late
by Castellamonte on May 24 2012 14:32
Congrats, Enrique! Now...run for president! (please)
by Dave on May 21 2012 19:38
I think R Dugey does a grand job! Makes Dominican news
by sooz on May 21 2012 15:21
To the author, try translate.google.com
by Corinna3c on May 11 2012 17:25
Well, Thank God who works all things out for good. Now