News updates

Vice President of the Charity and Development Association (CDA), Dr. Karam Karam, announced the taking off of the work of the association next month in the northern town of Zghorta, which will be accompanied by the launch of a guidebook on craft workers in the area. This new booklet contains photos and profiles featuring famous crafts from Zghorta al Zawiyya, and including sewing, candle production, brocade, etc…, and focusing on the production of traditional home-made food items such as the famous Saj bread and traditional mooneh products, like jams, honey, arak and home-made soap. Karam disclosed that CDA is publishing its first edition of the booklet, which he described as ‘one of its kind’, in order to showcase the products of local craft people and to promote their exceptional talents. (Al Diyar, 27 March 2015)

Labor Minister Sajaan Azzi voiced his regret that many private educational institutes, particularly universities, were hiring foreign faculty members instead of Lebanese teachers. Speaking to Al Diyar daily, Azzi pointed out that unemployment has increased by 346,000 people with the influx from Syria, according to recent International Labor Organization estimates. He insisted that his Ministry has stopped issuing work permits to foreigners, including Syrians, except in sectors where there are shortages in Lebanese workforce. Azzi noted that enterprises not observing Labor Ministry decisions and recruiting foreign workers, namely Syrians, are doing so to evade payment of the normal salaries. As to the education sector, the Minister went on to say: “We are not against cultural and academic interaction nor against recruiting non-Lebanese university professors, however, they have to observe a certain ratio.” He revealed that some 250 foreign professors are currently hired at the American University of Beirut and some 126 Egyptians at the Arab Beirut University. “The Lebanese,” Azzi noted, “are responsible for the present situation, as they tend to choose the easy option of emigration instead of looking for job opportunities in Lebanon.” In an answer to a question on the new grades and salaries scales, Azzi said that wage increases are crucial given the worsening living conditions, adding: “the decision on this matter is now in the hands of Parliament”. (Al Diyar, 27 March 2015)

The General Conference of the General Union of Chambers of Commerce, Industry and Agriculture for Arab Countries ended its 42nd session in Beirut and issued recommendations to mobilize the role of the private sector in Arab economies in order to achieve Arab economic development and integration. The two-day event which was held in the permanent headquarters of the Union was organized in collaboration with the Lebanese Federation of Chambers of Commerce, Industry and Agriculture, Lebanon’s Central Bank, the Investment Development Authority of Lebanon (IDAL), and with the support of Fransa Bank Group BLC and the Consolidated Contractors Company CCC. The meeting underlined the need to promote dialogue and cooperation between the Arab private sector and senior representatives of the Joint Arab Economic Action and to fight growing high levels of unemployment in the region through creative solutions. Recommendations included raising community awareness for supporting the youth, investing in vocational schools, creating recruitment opportunities and connecting entrepreneurs with funding sources. The conference reiterated its commitment to an Arab common market and as part of the global economy. Participants called on the forthcoming Arab Summit to issue a decision that will give priority to Arab products in the procurement of Arab governments. Other significant recommendations issued at the end of the conference called for investing in enhancing Arab manufacturing industries and therefore generating added values as well as investing in all forms of renewable energy, both in partnership and coordination between the private and public sectors. (As Safir, 27 March 2015)

ESCWA organized a news conference at the UN House in Beirut district to present the report issued by the United Nations Conference on Trade and Development and entitled ‘Unlocking the Potentials of E-Commerce for Developing Countries’. This UNCTAD report indicated a steady rise of e-commerce opportunities in developing countries, particularly with the extensive use of smart phones and social networking applications in internet shopping, in addition to the emergence of local e-companies providing e-commerce services. According to that report Lebanon came seventh in the top ten UNCTAD index list of Asian countries for the year 2014, leading China, United Arab Emirates, Iran and other Arab countries. The report also revealed that while the online purchasing share in Lebanon reached 10% between 2012 and 2013, the rate hiked to 45% in shopping through social media networks. In this respect, the Head of the Statistics Department at ESCWA, Rami Zaatari clarified that e-commerce index between consumers and companies and which is used as the classification benchmark, is based on compiled data for the use of internet, credit cards and postal service mail delivery. Zaatari explained that Lebanon has adopted flexible solutions to facilitate trade via smart phones and enable payment through mobile payment systems. However, Zaatari added, that while Lebanon is not equipped to access main global e-commerce servers or markets, efforts made by the Lebanese private sector in this field are commendable, notwithstanding the impeding government legislation. For her part, Hania Dimasi, from ESCWA Creative Department, expressed concern over the absence of appropriate laws that could effectively counter electronic crimes, pointing also to a large discrepancy between the different Arab countries in terms of cyber legislation and laws. The UNCTAD report concluded that despite widespread legislations combating electronic crimes, there are still some 30 countries which do not observe nor support any such regulations. Cyber-crimes, to note, widely vary between non-monetary crimes, like hacking confidential business or credit card information and spreading viruses on computers. (Al Diyar, 25 March 2015)

Labor Minister Sajaan Azzi ordered a temporary shut down of some 65 violating migrant domestic workers recruiting agencies until they comply with Ministry rules banning the advertising of services which are in clear breach of human rights. In another development, Azzi met with a delegation of the Union of Hotel, Restaurant, Food and Entertainment Employees and Workers headed by Beshara Shayya and General Director, Fawzi Hashem. Shayya urged all parties involved to observe decrees issued since 1950 that regulate work in those sectors. He pointed out to the subject of unlawful competition of Syrian labor in all industries, particularly in the hospitality sector. Other topics included the right to pension and social protection which as Shayya noted has been subject of deliberation for 25 years. The Labor Minister later received another trade union delegation of the Union of Syndicates of Construction and Timber Industry Workers led by Mursil Mursil, who handed him a memo demanding inclusion of construction workers in the social security system and warning against arbitrary layoffs. The Memo also called for increased tightening on permits to foreign workers, namely, Syrians and for improving and upgrading inspection and monitoring systems. (As Safir, Al Diyar, 25 March 2015)

Alley Merchants Association held a general assembly at its premises in Mount Lebanon town to discuss the current critical economic conditions in Alley, particularly in the wake of the newly enacted Law No. 1/142 imposing taxes on small businesses. President of the Association Samir Chehayeb, considered in a statement issued after the meeting that the Finance Ministry Law is unjust particularly that it targets companies which may be out of business. According to Chehayeb, the Law imposes an annual fee lump on income taxpayers as of 2015 and due by September 30 of every year, as follows: LBP 2 million for joint stock and partnership in commendams corporations; LBP 750,000 for limited liability companies LLC; LBP 550,000 for corporations and individual taxpayer companies based on real profits; LBP 250,000 for individual taxpayers based on lump sum profits and finally LBP 50,000 for individual taxpayers based on estimated net profits. Chehayeb revealed that the law in question was issued 15 years ago but was suspended until the return of the country to financial and economic stability. However, he explained: “the decision to enforce it now constitutes an economic offense,” and demanded a temporary waiver in order to review taxation policies. (Al Diyar, 21 March 2015)

Many farmers in South Lebanon have stopped growing tobacco during the Israeli occupation and wars, having to flee their land. However, they resumed the cultivation after the liberation in 2000, encouraged by government’s subsidized purchasing prices, thus attracting more farmers. This arrival of new farmers prompted the Finance Ministry and the tobacco monopoly known as Regie Libanaise du Tabac & Tombacs to raise the ceiling of production in the South to 5,400,000 kilograms annually. However, tobacco growing started again to decline in the past few years because of increasing costs. Nearly 14,000 farmers and their family are involved in tobacco growing against a peak of 16500 farmers. To be added to the total is 10,000 other families in the North and Beqaa regions. With the start of each harvest season, tobacco growers and the newly established the Tobacco Growers Association in the South, reiterate their annual demands aiming to protect their livelihoods. One of the encountered problems according to the Chief of the association, Khalil Deeb is that here are some 3,000 licensed tobacco licensed farmers who in fact are not actually producing. These pseudo farmers in fact purchase the surplus production from farmers- since the Regie has fixed the ceiling of production per acre at 100 kg- leaving farmers with no choice but to sell at cheapest prices, not exceeding LBP 7000, or totally loosing by not selling at those prices.  Deeb reiterated the five key demand of the Association: fix tobacco permits at four acres per farmer; raise the average price of one kilogram of tobacco leaf from LBP 12,500 to 15,000; put an end to the practice of discounting prices during harvest delivery; register farmers and their families in the social security fund and compensate farmers for losses during 2006 Israeli aggression. (As Safir, 16 & 19 March 2015)

Farmers of Iqleem Karroub expressed grave concerns on this year’s banana and citrus production devastated by the harsh winter storms that hit Lebanon recently. The aftermath was shocking to the area farmers whose livelihoods were reportedly threatened. One farmer Sami Saleh Uthman who exploits a 650-acre banana groves in the coastal town of Alman, explained that his annual land lease is LBP 45 million, added to it LBP 35 million in labor cost and fertilizers, resulting in losses amounting to LBP 45 million. He went on to add that his total income was only LBP 35 million to date against at least LBP150 million in the past. “The farmers’ seasons in Alman have been totally compromised this year,” Sami complained, adding that the banana market today is depressed. He noted that the price of one pound (2.5kgs) of banana fell from LBP 2500 to LBP1000. Farmer of the area urged the government to carry out a damage assessment in the coastal Chuf area as a prelude for compensating farmers for their heavy losses and in order to save their threatened livelihoods. (As Safir, 16 March 2015)

Labor Minister Sajaan Azzi demanded maximum investigation into the death of the Bangladeshi women domestic worker who was found hanging from the roof at her employer’s house (kindly refer to the previous news dated 20-3-2015). Preliminary findings by the Security Forces and the Justice revealed that the foreign women worker was lately trying to talk her employer into returning her to her country and has for that reason started a hunger strike. However, she died three days after the beginning of strike. Azzi requested the expansion of the investigation into the employer’s inhuman treatment. “It is unacceptable to lock a domestic help inside the house without notifying the recruiting agency or the Labor Ministry in order to act accordingly,” Azzi explained. “Considering the crime a suicide is not enough to close the investigation,” he noted, while announcing that a meeting will take place soon to discuss ways of dealing with recurring incidents in the future. (Al Diyar, 21 March 2015)

Agricultural trade unions urged the government to facilitate the access of Syrian farm workers into the country in order to save the agricultural sector in the absence of Lebanese workforce. This urgent demand was voiced during a meeting held in Zahleh, in the presence of the Head of the Potato Farmers Union in Beqaa, George Al Saqr and President of the Beqaa Farmers Association, Ibrahim Tarshishi and a number of farmers and agricultural entrepreneurs. One farmer, Nadim Abu Naameh, informed As Safir newspaper, that he have been chasing paperwork for one whole month to no avail, visiting Public Security offices across Lebanon,  Marjeyoun, Nabatiyeh, Hermel and Baalbek, in order to issue work permits of 21 Syrians who have worked for him for years. “Syrians who have been working for years in Lebanon and supporting agriculture sector are now no longer welcomed. This is what we understand from the new measures of the government,” he said. He indicated that the high season for Syrian labor normally starts in mid-February and lasts until late November of each year. To this effect, Al Saqr read a statement addressed to Prime Minister, Tammam Salam and Agriculture and Labor Ministers, Akram Chehayeb, and Sajaan Azzi stating that the recent restrictive government measures regulating the entry of Syrians into Lebanon are destroying the agriculture sector in the country. He also put forward a number of demands namely: facilitation and streamlining of procedures, allowing Syrian agro workers bring along their families, wavering all requirements related to health insurance and work conditions, and the canceling of residence fees which all adversely affect the cost of production. Saqr pledged that Lebanese farmers are willing to take full responsibility towards any threats to public security that may result from recruiting Syrian labor. Finally, he requested an urgent meeting with the Public Security Director General, Abbas Ibrahim to this effect. (As Safir, 20 March 2015)