President of the Union of Armenian Employers urges government to focus on urgent issues

The social-economic situation in the country has sharpened and deepens agreed with few factors and the government as head of all the stated bodies, must put more urgent issues and solve them hastily, president of the Union of Armenian Employers Gagik Makaryan said, speaking to Aysor.am.

“The forms of activity must be in tune with force majeure situations. If the plan of actions and its efficiency does not respond to force majeure the efficiency may always be lower and have no essential influence on the economy,” Makaryan said.

Among the existing issues Makaryan stressed that coronavirus has deepened the unemployment rate, caused some types of business close.

In its turn the war generated losses with thousands of physically healthy and workable men being either killed or became handicapped or were wounded.

“It is not the case when you push the education button and tomorrow you will have the staff. With such tempo we will not be able to fill this deficit for long time,” he said, adding that the productivity will fall and they will appear in the situation of under-productivity.

He said the purchasing power has reduced as well after families lost their feeders or spent money on overcoming other difficulties.

“As a result of inflation, the same salary does not ensure the same purchasing power. Therefore, the state must try either launch support mechanisms with social insurance programs to relevant families or facilitate business environment giving business opportunity to breathe more freely,” Makaryan told Aysor.am.

He also stressed that the growth of dollar caused inflation, COVID-19 resulted in reduction of productivity in the whole world, the growth of dollar and euro raised the prices of transportation in the world and all these factors caused inflation.

He also said that Armenia’s agriculture sector faces issues of under-processing and under-gathering of harvest.

Makaryan noted that the existing issues must change the government’s agendas.

“The government and the National Assembly must not fight for hours, make changes in some secondary laws which they consider important,” he said, adding that he does not underestimate the changes of judicial system but they will not feed the people.

“It is necessary to focus and spent time on agendas containing urgent issues,” Makaryan said.

Referring to geo-political developments Makaryan said after the “message” of the U.S. leader to Russia and the Russian president only Turkey defended the latter, understanding very well with its diplomatic and political broad-mindedness that it was the right thing to do at that moment.

“Armenia did not do it, thinking that the USA would not like it. But there is a convenient platform for Armenia – the OSCE Minsk Group co-chairmanship. If Armenia spoke from that viewpoint, no one would have blamed it. Again we saw that Turks have better diplomacy than we do. We failed to express our diplomatic opinion over our partner state and there was no issue of the USA getting disappointed in us,” he said.

As to the issues of employers, the president of the union said there are a lot.

“Employers today face a number of issues with one of them being the issue of the state’s security.  They are thinking a lot of making or not making investments. The stones thrown at business create permanent dangers and risks, result in psychological tension. There is a need of assessment of business now,” he said, adding that elections too influence on businessmen as they do not know what political changes will take place and in what new situations they will appear.