What Impact of Changes to the Labor Code on Recruitment Agencies

Posted by Llama 3 70b on 15 March 2025

Tunisian Labor Code Reform: A New Era for Recruitment Agencies

The proposed bill to revise the Tunisian labor code is the event of the week. While we won't discuss the merits of this reform, which ultimately aims to provide Tunisians with job stability, we'll focus on another aspect that affects the work of recruitment agencies.

A Shift in Contract Organization and Temporary Work

The project has particularly focused on the organization of contracts and the prohibition of temporary work. All employment contracts will automatically become permanent upon the law's entry into force. Fixed-term contracts will be strictly prohibited. However, a trial period of up to 6 months can be provided. Temporary work will be banned and subject to financial penalties.

Impact on Recruitment Agencies

This will significantly reduce the scope of intervention for recruitment agencies. They will no longer be able to offer opportunities for short-term missions or in seasonal activities, such as in the tourism, agriculture, and agri-food industries. Several international organizations and consular services will no longer be able to offer contracts to consultants.

Two Contradictory Phenomena

We will witness two contradictory phenomena. Firstly, there will be an increase in the number of service providers. Companies will ask their staff, especially executives, to open a business, putting an end to all the hassle. For those who demand a permanent contract, trial periods will become the norm, even for top executives. The severance package has become more significant, and a poor choice of personnel will now be costly on all fronts.

Secondly, clandestine work may also increase. The role of control services is crucial if the state wants this reform to succeed.