Bill 35.

Summary.

The bill would establish dual training throughout Panama for trainees aged fifteen (15) or older through programs delivered by authorized educational institutions and training enterprises. The Ministry of Education would approve policy for formal technical and higher education. The National Institute of Vocational Training and Human Development (Instituto Nacional de Formación Profesional y Capacitación para el Desarrollo Humano, INADEH) would offer this option and authorize programs proposed by nonformal centers. The Specialized Higher Technical Institute (Instituto Superior Técnico Especializado) and universities could offer dual higher education. Participation would be voluntary and would alternate academic and practical instruction. The bill defines the participants, agreements, contracts, programs, mentors, and Certificate of Professional Competencies.

Programs would include applicant screening and guidance, instruction, occupational safety and health, monitoring, and certification. Institutions, centers, enterprises, and technical committees would develop them jointly. Where the educational institution predominates, it would provide at least 50% of instruction; where the enterprise predominates, the enterprise would provide at least 70%. Programs would last from one year to three years. Required content would address labor law, safety, hygiene, and environmental protection, with periodic assessments and certification upon completion. The National Dual Training Council (Consejo Nacional de Formación Dual, CONAFORD) would set participation requirements. Eligible private enterprises could admit trainees up to 10% of their permanent workforce and, in all cases, at least one. Participants would provide support and accommodations for persons with disabilities under Law 42 of 1999.

The bill creates CONAFORD with public, educational, business, labor, and trainee representatives. Its chair would alternate between the Ministries of Labor and Labor Development and Education. The council would propose policies and regulations to the Executive Branch (Órgano Ejecutivo), validate programs, set criteria for registration, scholarships, and mentor certification, monitor results, and authorize exceptions to the trainee limit. Its Technical Secretariat (Secretaría Técnica) would organize council business, advise participants, and register and supervise contracts. Regional or sectoral technical committees would support these functions.

Programs in which the educational institution predominates would use a training agreement signed by the parties and registered by the institution. The agreement would describe activities, locations, duration, and duties, without creating an employment relationship with the enterprise. The enterprise would pay a monthly scholarship and a final payment of at least 10% of the total scholarship received, subject to the stated exception for certain terminations attributable to the trainee. Programs in which the enterprise predominates would use a written contract registered by the nonformal training center, with remuneration and enrollment in the Social Security Fund (Caja de Seguro Social) system. The contract would address the occupation, instruction, time, wages, and duties. The bill sets a three-month probationary period, pay of 70% of the applicable occupational wage in the first year and 90% in subsequent years, entitlements on completion, and notice and compensation for unilateral termination by the enterprise.

Agreements and contracts involving minors would require their representatives' participation or labor administrative approval. The bill assigns teaching, equipment, supervision, and assessment duties to enterprises and institutions, and attendance and performance duties to trainees. It regulates suspension, recovery of missed training, grounds for termination, and written notice. It assigns costs to budget appropriations, own resources, or other lawful sources; it provides tax deductions of 200%, 150%, and 100% by fiscal period, subject to certification. Earlier contracts would retain their governing rules, while transitional provisions would govern CONAFORD's initial chair and installation. The bill proposes repealing Decree Law No. 4 of January 7, 1997 and directs the Executive Branch to issue regulations. Its provisions concern education, labor, and social security bodies, as well as training centers, enterprises, trainees, and productive sectors.