Assembly decides to send the tax and labour reform bill back to the Executive Branch
30 septiembre 2021


On September 29, the Legislative Administration Council (CAL in Spanish) of the National Assembly decided to send the bill on Opportunity Creation, Economic Development and Fiscal Sustainability back to the Executive Branch. During the session, CAL members approved not to qualify the initiative since it contained “vices of unconstitutionality”, among them the fact that it did not cover a specific matter. For its part, the Executive Branch announced that it will evaluate the legislature’s decision on the bill and will review “the best alternatives to establish actions that will benefit citizens”.

The Council passed this resolution after determining that the text, which included tax and labour issues, did not comply with article 136 of the Constitution, which stipulates that: “the bills must refer to a single matter”. As a result, the Assembly will notify the resolution to the president, Guillermo Lasso, within five days so he can proceed “to rectify the observations identified, so that it can be resubmitted”.

The Executive Branch may resubmit the proposal with the necessary changes so that the Assembly discusses it. However, Lasso said that in case it is necessary, he will submit the initiative to popular consultation so that the people will be in charge of defining the future of the law. Likewise, the Executive Branch said that by denying the proposal, the Assembly “makes it impossible to create opportunities for millions of Ecuadorians”.

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