Libro Idiomas 22-11-2021 8 NORMAL PRN

URBAN PLANNING AS AN ENVIRONMENTAL MANAGEMENT TOOL IN PERU

Sustainable Development". The “New Urban Agenda” presents a paradigm shift
based on the science of cities; establishes norms and principles for the planning,
construction, development, management and improvement of urban areas in its
five main pillars of application: national urban policies, urban legislation and reg-
ulations, urban planning and design, local economy and municipal finances, and
local implementation (ONU, 2016).

Urban planning as an Environmental Management tool is understood as "envi-
ronmental urban planning", understood as the approach that incorporates
environmental sustainability in the planning process of cities, for an adequate man-
agement of the relationship between urban development and the environment, to
in order to lessen the negative environmental consequences (INADUR, 2001).

In Peru until July 2021, 87 provincial territories have current urban plans, an-
other 6 have outdated documents and 103 have never registered some type of
territorial planning for their cities. (Data.larepublica.pe 2021)

Figure 1: Districts that have Urban Development Plans (PDU) -Peru

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THEMATIC DEVELOPMENT

1. Planning of land use and environment

1.1. Urban environmental problems.

By definition, an urban environmental problem is called; the presence of path-
ogens or toxic substances in the human environment, which can damage human
health or physical resources such as forests, fisheries or agricultural lands. It can
be considered as an inadequate supply of essential resources for human health or
urban production such as not having enough fresh water (Hardoy et al., 1992).
They have identified the different problems that can be found in cities in relation
to the level of development. Developed cities in Europe, Japan, and North America
experience high levels of air and water pollution, solid waste, including toxic or
hazardous waste. They also explain that industrialization is the main cause of air
and water pollution, followed by an increase in the use of vehicles that generates
traffic congestion, inefficient and deficient that still maintain the engines in most
vehicles and, therefore, increased gas emissions from fossil fuels. There is the pos-
sibility of contamination of land and water as a result of high proportions of homes
and businesses that do not have sewers, drains and garbage. collection. Cities are
growing at a faster rate and due to urban growth, most cities are characterized by
poor living conditions such as air, water and noise pollution, inadequate basic ser-
vices, poor infrastructure, dangerous and unsanitary places of some neighborhoods
such as irregular collection of trash from storage points, traffic jams, etc.

It further explains that mass migration from the countryside to the city is con-
sidered the main factor behind urbanization in developing countries, which is why
this movement of people is attributed the high rates of population growth in rural
areas and urban areas, seeking employment opportunities due to the high unem-
ployment rate in rural areas, seeking better social services including education,
health and water services, and finally civil conflicts in some parts of the countries
and this puts pressure on the environments urban.

1.2. Challenges of managing urban environments

The local governments are the ones who must manage the land and the territory
of their jurisdictions, within the framework of the Regional Development Plans
and the Economic-Ecological Zoning, which, in turn, must be compatible with the
National Development Policy. For this, they have instruments such as the Territo-
rial Organization Plan (POT) and the Territorial Conditioning Plan (PAT), at the
provincial level. Meanwhile, at the provincial and district level, there are Urban
Development Plans. This is how urban, developable and undeveloped land is man-
aged. Local governments approve the Zoning of Land Use and exercise urban

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control, in order to ensure compliance with the specifications of the Urban Devel-
opment Plans. (MVCS, D.S. 004-2011)

It is the provincial and district municipalities that must formulate and approve
local environmental plans and policies, in addition to being in charge of solid waste
management, the management of green areas, environmental monitoring and en-
forcement, as well as the promotion of education and citizenship. environmental
(Ley 27972 ).

Environmental management is defined as a permanent and continuous process,
aimed at managing the interests and resources related to the objectives of the Na-
tional Environmental Policy in order to achieve, thus, a better quality of life for the
population, the development of economic activities, the improvement of the urban
and rural environment, as well as the conservation of the country's natural heritage,
among other objectives (Ley 28245.)

The existence of environmental problems in cities is attributed to the follow-
ing: poor municipalities, inadequate financial resources in governments, inability
to cope with the demands of rural-urban migration, inadequate personnel, corrup-
tion and finally a control of planning and ineffective development (Silitshena,
1993). In addition, the deterioration of urban environments in cities is due to the
lack of effective implementation of development control and that planning does
not take priority in cities. This has led to random developments and informal set-
tlements in most cities. Another management challenge involves addressing
sustainable urban planning as an aspect of environmental management (DFID,
2002). Priorities have been established and one of them involves recognizing the
value of reserving areas of peri-urban undeveloped land and, where appropriate, in
urban areas for agricultural, ecological and recreational purposes and strengthen-
ing of regulations and support for the development of systems to identify

Figure 2: Urban planning as a regulatory tool

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The previous figure illustrates how urban planning as a regulatory tool could
be used in local governments in the city of Puno. This research seeks to bring out
the benefits of Local Governments to prioritize the location of assets in towns.
Without a development plan, cities will have no control over development, related
service demands, and the inability to enforce the separation of incompatible land
uses such as residential and industrial operations that would have an effect on hu-
man health. In general, planning controls the effects of urbanization and informal
developments on the urban environment.

2. Urban planning and environmental management

2.1. Perspective of urban planning in environmental management

One of the recent ideas deals with the failures of urbanism in the control of
developments and environmental problems such as slums and their associated
problems in developing countries, it is important to lower construction standards
and allow people to inhabit "tolerable but cheap housing" In this way, the settle-
ments of illegal or informal occupants can be improved. There is also another
argument about the same that it is necessary to revise and reduce to the planning
and subdivision standards mainly for residential developments, subdivision stand-
ards that are believed to be too high, like, the width of the streets is so generous,
the length of the blocks is too short and the width of the plots too wide (Dowall,
2003). Whereas, its true urban planning standards in developing countries have not
been effective in managing urban environmental problems and trends in develop-
ment. From a practical point of view, it is necessary to review the rules of the
National Building Regulations (RNE), zoning and subdivision rules established in
the Urban Development Plans (PDU). These standards have not responded to the
needs of poor communities living in informal settlements, yet even a large part of
the Peruvian population lives in marginal neighborhoods. Thus, half of the urban
population of Peru (45.9%) lives in marginal neighborhoods, in precarious housing
or with inadequate water and sanitation services (PERIFERIA y WWF, 2018), in
the same document 25 capitals of the country and 5 emerging, presents a current
photograph on the integral management of solid waste, air and soil quality, the use
of energy, the care of water sources, transportation, advances in environmental
governance and the elements that influence the reduction of Greenhouse Gas
(GHG) emissions.

Poor urban planning is the cause of the deterioration of the urban environment
in most cities and also the proliferation of slums. On the other hand, this has been
emphasized during the World Urban Forum. II, given that there is a need to turn
ideas into actions to achieve sustainable cities, the Forum placed a strong emphasis
on urban planning as a tool for urban development and environmental manage-
ment. It is important to note that this opinion was recognized not only by

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government officials and urban planners themselves, but also by civil society or-
ganizations who realized that planning must be more inclusive, transparent and
ethical. The Forum also highlighted the important role of planners as agents of
change and underlined the importance of sustainability as the backbone of new
forms of planning (Van den Berg, 2004). Planning is a discipline that has not at-
tracted the attention it deserves to achieve its objectives and, therefore, susceptible
to all criticisms of nature from all kinds of disciplines and professions. However,
this has generated new ideas on how planning can be integrated into environmental
management or vice versa and vice versa in urban areas, as is the case with the
management system in Peru.

2.2. Actors in Urban Environmental Management.

Managing urban environments requires partnerships by clearly rationalizing
the roles of urban authorities, researchers, and civil society (Wacker et al., 1999)

Urban management programs as one that promotes the participation of all cit-
izens in environmental management in cities (Kinuthia, 2002). The author also
advocates for action planning and city development strategies that involve a series
of consultative meetings on the management of environmental living conditions in
cities. In addition, Local Governments are encouraged to take local actions in cities
in order to create sustainable communities and protect the global commons while
removing barriers to sustainable development (ICLEI, 2002). This study will show
who is involved in environmental management and how planning is a discipline
that involves all stakeholders in the preparation of the plan from residents, the pri-
vate sector and civil society. Therefore, the planning process involves all the actors
who come up with ideas and propose a spatial representation and inform a plan.
Urban planning covers all aspects and interests of the different stakeholders, polit-
ically, socially, economically, culturally and environmentally. Today, due to
global warming in the world, cities are encouraged to manage their own problems
to reduce carbon dioxide emissions into the atmosphere (ESRC, 2001).

Environmental management covers many aspects such as poverty and un-
wanted effects. of human activities or operations in the environment. While the
fairness argument is good for global environmental stewardship, the other hand, it
encourages the irresponsible poor and they will miss natural use. appeals under the
guise of justice and, therefore, the investigator does not agree with this statement.
The private sector plays a role in capacity building, especially in environmental
matters. By raising awareness, this is done through trainings that promote a good
environment, practices, for example in green transportation, proper solid waste
management (ICLEI, 2002). In addition, by involving the community, democracy
and empowerment are promoted in environmental management. Whereas, the
NGO, community and private sector partnership approach promotes development

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that is owned by people, which then leads to environmental success. projects and
management (Leitmann, 1999).

2.3. Approaches to the effectiveness of urban planning.

A move is proposed to move from master plans to city development strategies.
The problem in Peruvian cities is that policy makers and politicians are not asking
themselves the following questions: - Where will the growing urban population go
to live? What land should the growing population use? Where and what schools
will your children go to? Where will they get water from? Where will the popula-
tion dump their garbage? Who will protect the growing population? This challenge
is seen by current development trends in these cities whereby people now live in
overcrowded and unserved slums, often situated on marginal and dangerous land,
inadequate access to clean water, local governments not concerned and this affects
the human health of urban residents. This explains that urban planning has not been
able to face the challenges in urban environments and therefore, city development
strategies are expected to be a tool in urban management. Community development
strategy is not a new plan, but it is a dynamic urban planning and management
approach in which development activities can be coordinated through information
sharing, resource leverage and purposeful partnerships (Leitmann, 1999).

Although new approaches are being introduced, for the management of Peru-
vian cities, to urban planning, it is necessary to ask several questions; - What is the
origin of planning? What problems is it supposed to address? Why has it been
successful in other countries and where and why has it not been successful? For
this reason, it is worth noting that urban planning is not carried out in an isolated
environment, it is affected by the external economy, by population dynamics, gov-
ernment attitudes; Community attitudes towards urban planning itself are also
affected by the competence and credibility of the organization that develops and
attempts to implement the plan. However, these factors determine the success of
any new approach to urban management. The idea of having a Geographic Infor-
mation System (GIS) in planning in Peru could improve planning.

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Figure 3: Planning system of the Netherlands.
The figure above illustrates the Dutch experience in spatial integration plan-

ning and environmental management. This system recognizes the spatial role.
Planning has to play in the present and for the future generation, protecting the
environment, reserving space and respecting heritage. The system could work very
well for Peru because this promotes teamwork and therefore a need for regulations
and an integrated approach to work. The new form of urban planning advocates
the participation of partners in the planning process, all actors are involved in de-
cision-making (York-shiu, 1994). He also explains that a shift from traditional
planning to new urban planning that is seen as a means of negotiating where and
how development occurs is more effective than the approach that the government
makes decisions from above and does not involve public actors. and other types
such as the private sector, civil society and voluntary agencies.

A closer experience occurs in the country of Brazil, with the new plan for the
city of Curitiva since 1965, with a linear design of urban expansion through the
so-called structural sector. The planning activities, since then, have as support the
so-called tripod: Zoning, Road System, Public Transportation and their interaction
with the socioeconomic and environmental dimensions.

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Figure 4 - The planning of Curitiba with the support of the tripod
This triangulation dynamic in Curitiba defines rules for the construction and
implementation of socioeconomic activities, which are widely used as a mecha-
nism to carry out urban planning and outline other public policies, being a tool that
is associated with environmental or conservation legislation. that characterize cer-
tain urban areas, with one or two predominant functions, for which the occupation
parameters are implemented. They are standards that guide and control community
investments. They regulate private activities in order to adapt them to the objec-
tives agreed in the Master Plan (Fukuda, 2010)
CONCLUSIONS
• Regarding urban environmental problems.
In Peru, the main urban environmental problems are that the implementation
of the plan is deficient and that the legislation applies the regulations and standards
of land use as such, the city grows without guided developments that have eventu-
ally affected the quality of life of the people. and the environment manifested by
air pollution, noise pollution, water pollution, degradation of wetlands and en-
croachment for human settlements and agriculture, solid waste management and
sanitation problems, such as lack of space to even put trash containers, overcrowd-
ing, poor drainage and unsuitable recreational areas. Therefore, it can be concluded
that, due to the absence of an effective implementation of urban planning in Peru-
vian cities, it is necessary to emphasize the application of urban planning laws and
regulations so that environmental problems can be minimized or void.
The strengthening and application of urban planning laws and regulations in
Peru will promote a livable and sustainable city, by reserving land for public use,

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URBAN PLANNING AS AN ENVIRONMENTAL MANAGEMENT TOOL IN PERU

such as open green spaces, recreational areas such as parks and sports, thus avoid-
ing overcrowding and promoting the good aesthetics in the locality. By making
effective the implementation of urban planning laws, Peruvian cities will be in a
position to register, protect and manage ecologically sensitive areas. such as wet-
lands, hilltops and tree areas by providing land use regulations and zones that
restrict their encroachment and this process would help them become green cities.

Proper application of urban planning regulations is a means for good solid
waste management. management and sanitation. This can also be achieved through
the proper location of activities by having a well-established solid waste manage-
ment system that provides and reserves of land for garbage containers, landfills
and landfills that can be made available for the provision of garbage storage and
recycling. While sanitation will only be achieved if land is reserved for drainage,
public toilets and adequate settlement of pit latrines. The application of urban reg-
ulations will contribute to achieving an orderly, efficient, effective management,
healthy, equitable and ecological cities.

• Regarding the management of the urban environment

The management of urban environmental problems in Peru is attributed to
many factors, such as: lack of human resource capacity, limited financial re-
sources, and lack of accurate information or data for planning purposes and low
income collection, political leadership and commitment. deficient, and limited
level of awareness about environmental issues among community members. The
lack of information in the municipalities that could be entrusted for planning pur-
poses, for example, the lack of cadastral data, topographic maps, etc., that would
be useful to the government, developers and the general public. The lack of com-
mitment, on the part of politicians, in the management of urban problems by not
taking action on some cases that generate environmental degradation, evidenced
by the lack of taking measures regarding it.

Current Peruvian legislation is relatively strong as a starting point: the integra-
tion of environmental factors into the regional urban planning process has begun,
but there are many factors that need to be further addressed. It is necessary to have
a legal basis for this integration and provisions to ensure that such legislation is
applied effectively. Specialists emphasize that the laws and regulations in force do
not allow sanctions for those cities that do not plan. It is expected that with Law
No. 31313 "Sustainable Urban Development Law" created on July 25, 2021 which
aims to regulate urban land, for which it determines the conditions of its use and
management, through conditioning territorial and urban planning, it is important
to mention that it includes important aspects in terms of equitable and accessible
development and conservation of cultural patterns, knowledge and lifestyles of tra-
ditional communities and indigenous or native peoples.

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Peru has several actors involved in the urban environment. management from
the national level to the local level. The different actors operate under a decentral-
ization system and have various roles to play such as supervision, monitoring,
capacity building, provision of technical support and financial support as well. All
the above roles are performed by the Ministry of Housing, Construction and Sani-
tation (MVCS), Ministry of the Environment (MINAM).

Although in the process of playing different roles in the management of the
urban environment, stakeholders experience challenges such as: Lack of coopera-
tion, coordination of activities and willingness to encourage teamwork on the part
of municipalities, limited funds to carry out projects. In addition, one of the chal-
lenges faced by stakeholders is the lack of coordination, the exchange of
information is very poor because there is no feedback and efficient reporting sys-
tems and access to public information. making it difficult to coordinate activities
and roles for stakeholders. Limited financial support as another challenge for
stakeholders, however much you want to make a joint effort towards environmen-
tal management, on the one hand, On the other hand, it may not be possible to
involve all stakeholders in their activities and roles and Therefore, the management
of the urban environment and its problems continue to be a problem because not
all roles are carried out sufficiently, which is why it continues to be a problem for
Peruvian municipalities.

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Kinuthia, C. N. (2002). From Master Planning to City Development Strategies:Is-
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160

THE IMPORTANCE OF STORAGE AND DISTRIBUTION
IN WAREHOUSE MANAGEMENT IN LOCAL EDUCATIONAL

MANAGEMENT UNITS OF THE PUNO REGION

Yucra Laura, Heber

ABSTRACT

The local educational management units of the Puno region have the need to pri-
oritize warehouses with the appropriate characteristics for the attention of students
with the distribution of educational material, being in need of effective warehouse
management actions for the achievement of the goals set by the Ministry of Edu-
cation. With the objective of this research the continuous, timely and adequate
supply of educational material to educational institutions through a systematic re-
view of the literature based on scientific articles and theses, carrying out an
exhaustive analysis of the publication, on the characteristics of the warehouse man-
agement of the local educational management units in the Puno region.

Keywords: distribution, warehouse management, warehousing process.

INTRODUCTION

The local educational management units of the Puno region with large or small
warehouses are in need of institutional materials and educational materials to be
distributed and/or delivered to user areas and/or educational institutions in the
specified time, having even more goals. proposed by the Ministry of Education
with the program of performance commitments for each year and with an eco-
nomic incentive to the executing units that comply with all the requirements and
established deadlines, achieving effective warehouse management, however the
executing units lack planning for effective warehouse management neglecting
storage levels, standardization of processes, qualification, order and cleaning with-
out foreseeing the execution times of warehouse processes in storage, distribution,
inventory management and special procedures in storage of movable property.

Warehouse management is considered a continuous process, carried out by the
officers and servants of the entity in order to comply with institutional goals and
objectives, it requires adequate control mechanisms that guarantee efficiency, ef-
fectiveness and economy in the optimization of resources pending to fulfill the
institutional mission. That is why the warehouse staff is committed in the local

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Heber Yucra Laura

educational management units of the Puno region will allow us to carry out the
actions and activities correctly, for this it is necessary that all workers feel com-
mitted to their work in the entity and motivated to carry out the processes
respecting the regulations in force, being responsible with their functions since this
will lead to a more effective warehouse management level thus avoiding devia-
tions, errors, fraud, theft, losses, among others, which is presented in the
warehouse area due to lack of effective control.

For the operation of the warehouse, it must have the human resources, infra-
structure and equipment, including management tools, which allow the
development of storage and distribution activities. For this purpose, you can have
one or more warehouses, according to the need with the availability of warehouse
spaces according to their dimensioning and have defined, delimited and marked
spaces, reflected in a plan or sketch, for adequate flow of activities to provide an
optimal level of service. All warehouse management should be updated and focus
on continuous improvements since each activity they carry out generates even
more capacity for adequate warehouse management (Calixto Alvites, 2018).

The present work is promoted as a result of reviews of works carried out having
as results in ten research works where eighty percent of the research works were
found to have negative or deficient results in the work carried out by the team of
storekeepers and the twenty percent have been carrying out the work in a normal
way where it mentions, according to Barreda Arpi (2018) in his thesis indicates
that the administration of the regional government of Puno has determined that the
workers of the entity in the periods under study the application of the processes
storage technicians is deficient because it is only fulfilled in 23% of the reception,
verification, and quality control, internment, registration and control and custody
phases and that the deficiencies are due to many factors, lack of a manual of pro-
cedures and directives internal regulations that regulate the technical storage
process of the goods acquired by the entity, conditions of deficient security, ab-
sence of insurance policies, a reduced staff for tasks, moreover, the personnel who
work do not receive any training, do not have scheduled updating courses, distance
between warehouses, there is no full coordination with the other areas in charge
activities, thus affecting delays in the delivery of goods, making it difficult to fulfill
the institutional goals of the regional government of Puno. As well Cari Pilco
(2018) concludes that according to the analysis and presentation of the results that
was carried out, the management had an 83% impact on the fulfillment of goals
according to table N ° 8 and 9, since the elements analyzed in terms of The man-
agement of the Central Warehouse Unit is not met with effective control, due to
ignorance of the management rules, which generates failure to meet the goals in a
timely manner and also due to lack of training for warehouse workers, management
had an impact, according to Table N° 3, 4, 5 by 79.6%. Therefore, we affirm that

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THE IMPORTANCE OF STORAGE AND DISTRIBUTION IN WAREHOUSE MANAGEMENT IN LOCAL EDUCATIONAL
MANAGEMENT UNITS OF THE PUNO REGION

the incidence of management occurs to the extent of the internal control operation,
that means that if the internal control of the National University of the Altiplano
complies with preventive control through training, verification, control of func-
tions, then It will also improve the management and in this way they will fulfill
their goals in an optimal way.

Similarly deficiencies are identified in the following research conclusions Be-
nites Quispe (2018) concludes, to achieve better efficiency in the management of
the company's warehouse area, it is suggested to implement an internal control
system for the company Plásticos Rio Santa S.A. that guarantees good manage-
ment in the warehouse area, prepare a manual of functions to improve the
performance of each worker, as well as a handling and storage system, specialist
training in the warehouse area for the personnel working in the company, the use
of computer software that facilitates the control of the products in the warehouse.
Also according to Koch Zavaleta (2018) in his investigation he concludes that he
has several incidents in his logistics procedures such as storage, inventory, replace-
ment, removal, registration and distribution. It was observed that the causes that
originate it are due to not respecting the processes of good storage practices, the
execution of inventories on time, insufficient monitoring and control of pallets,
which results in failures in the registration of entries and Exits of the same affecting
the low and replacement of pallets. Due to this, the company falls into excessive
purchases of pallets, affecting the budget of the area and its indicators. On the other
hand, if the improvement proposal is applied, the company would save only 10%
per year on purchases of pallets. Similarly, according to Mamani Mamani (2015)
concludes that warehouse management is classified as inefficient by the analyzes
carried out, the analyzed results show that the management is classified as regular
in 2012, in 2013 and 2014 due to the fact that the regulations, the policies and
strategies you carry out in said area are not effectively complied with, which cre-
ates errors in the procedures carried out, so there are deviations from the
established objectives.

According to Pandia Mamani (2018) concludes in his research work that ware-
house area workers have found deficiencies in the management of the warehouse
area in compliance with the goals, the objectives achieved during the year are not
efficient, notification of orders late purchase, non-compliance with the delivery of
goods, non-compliance with orders to user areas, degree of dissatisfaction of user
areas, missing documentation in the warehouse area, level of regular delivery of
materials and stationery in general. Also Rivera Luque (2019) concludes that 57%
of the company's operators rate negatively with respect to internal control in the
company's warehouse area, due to the fact that internal control in the area Ware-
house of the company Distribuciones Suvahi SAC of the city of Juliaca is not
properly implemented due to ignorance of the internal control system operators. In

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its effect, Chire Cahuana (2013) concludes that the simultaneous internal control
in the Warehouse Area in the public institutions of the city of Tacna, period 2010-
2011, is inadequate, because the simultaneous internal control in the income of
goods of the Warehouse, as well as the internment and departure of goods, since
the verifications and reconciliations that the obligation to verify the processes, ac-
tivities and tasks before and after their performance are not fully carried out,
according to Rule 3.9. Review of Process, Activities and Tasks that establishes the
obligation that the administrative acts agree with the regulations and institutional
management policies, as well as with the provisions of the Supply System Norms
No. 6.

In warehouses that work in a normal way, which are the minimum part of all
the warehouses found in exhaustive search, according to Aguilar Maraza (2018),
the internal control of the Alto Inambari - Massiapo District Municipality has im-
plemented a system of internal control that allows to comply with an adequate
management of the assets of the public entity, and thus ensure the proper function-
ing and control of the assets by providing reasonable information taking into
account the basic aspects of effectiveness and efficiency in operations and of this
way meet the achievement of your goals. Also according to Manihuari Montilla
(2017) concludes that the control of shortages and surpluses and the identification
of expired products, workers are divided into two groups, one where more than
50% indicate that there are controls to identify expired products and those that are
missing and surplus, However, there is a percentage that indicates that the control
of is not so rigorous or is not carried out in the appropriate way, which leads to a
risk of existence of expired, missing and surplus products, thus causing an imbal-
ance in the entity and the workers.

THEMATIC DEVELOPMENT

WAREHOUSE MANAGEMENT

According to (Sierra Acosta, Guzman Ibarra & Garcia Mora (2015), Defines
entering the warehouses only the materials that comply with the quality standards
and with the regulations, policies and procedures of the company, locating each
item in predetermined areas to facilitate its location and access when required, as
well as to optimize the use of warehouse space and material and human resources,
taking into consideration that it is a technical supply process aimed at establishing
and applying guidelines for the location and temporary custody of goods in any
physical area equipped for that purpose, understanding that custody temporary be-
gins with the acquisition and recovery of assets, which are carried out in various
forms and modalities. The management of the warehouse, orders and stocks allows
to organize daily operations and merchandise flows, at the same time that it pro-
vides information about the warehouse and the quality of its service. To develop

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THE IMPORTANCE OF STORAGE AND DISTRIBUTION IN WAREHOUSE MANAGEMENT IN LOCAL EDUCATIONAL
MANAGEMENT UNITS OF THE PUNO REGION

this management, it is necessary to interact with other departments of the company,
such as purchasing, procurement, commercial, administration or accounting
(Flamarique, 2019).

The physical entry in an act of incorporation to the entity, passing from outside
of it to the inside through a previously established place, the entry is a formal act
that originates administrative actions to certify, accredit conditions and incorporate
the assets to the whole of the entity. All material elements, measurable, inter-
changeable and useful are goods (Ministerio de Salud).

Storage of movable property

Storage is a technical supply process; the activities related to this process refer
to the temporary location of assets in a specific physical space for custody purposes
as a way to physically transfer them (temporarily or permanently) to those who
need it. It consists of the following phases: reception, verification and quality con-
trol, internment, registration - control and custody.

Reception phase: It consists of the sequence of operations that take place from
the moment the goods have arrived at the warehouse and ends with the location of
the same in the designated place to carry out the verification and quality control
and the reception is carried out with the receipt documents (Purchase Order or
Reference Guide or other similar document) in view, in the case of external trans-
fers, the reception is made based on the PECOSA (order - departure receipt) and
culminates with the signing of the document that contains the receipt and verifica-
tion of the movable property (Ministerio de Educacion y Finanzas, 2021). Taking
into consideration the provision of the environment with sufficient space since the
educational and teaching materials arrive in large quantities and for the proper or-
der of the materials and facilities, the stretchers must be available in good condition
and accessories necessary for the internment of the goods or educational and teach-
ing materials in the UGELs (Local Educational Management Unit).

Verification and quality control phase the Ministerio de Educacion y Finanzas
(2021) indicates this phase includes the activities aimed at reviewing and verifying
that the movable assets comply with the characteristics indicated in the documents
that support their income. The activities carried out within this phase must be car-
ried out in a predetermined place independent of the storage area; includes the
following actions to remove the goods from the packaging, once the packages are
opened, their content will be reviewed and verified in a quantitative and qualitative
way. In this phase, at the time of reviewing and verifying, the storekeeper must
follow up from the beginning to the end of the entry of educational and teaching
materials since they are large quantities and the sampling method could be used

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and verify that they are in accordance with the technical specifications (qualitative
verification) of the requirement of the user area.

The quantitative verification will be carried out to verify that the amounts re-
ceived are equal to those recorded in the receipt documentation. Includes
dimensional identification checks, such as: length, capacity, volume, weight, grav-
ity, pressure, temperature, etc. The qualitative verification, called quality control,
will be carried out to verify that the characteristics and properties of the goods
received are in accordance with the technical specifications requested and is car-
ried out in the presence of the person making the delivery when the quantity and
characteristics of the goods allow perform quantitative and qualitative verification
upon receipt.

Internment phase: It includes actions for the location of the goods in the previ-
ously assigned places, the following tasks will be carried out: Grouping the goods
according to their type, expiration period, size, etc., and after locating the goods in
the place that they have previously been designated in the storage area. It will be
done in such a way that its identification is agile and timely. It will avoid dividing
a group of goods of the same type in different storage areas.

Registration phase: Once the goods are located in the storage areas, their entry
will be recorded on the visible control card, which will be placed next to the group
of registered goods. For those goods that come from donations, transfers or other
concepts other than the purchase, the corresponding Warehouse Entry Note will
be previously formulated, a copy of the entry document (Purchase Order-Intern-
ment Guide or Warehouse Entry Note) will be sent to the respective area for the
purpose of registering the entry in the warehouse valued existence card.

Custody phase: Set of activities carried out in order that the stored goods retain
the same physical and numerical characteristics in which they were received. The
actions concerning custody are the following: Protection of materials refers to the
specific treatments that are necessary for each stored item, in order to protect them
from natural elements such as humidity, light, rain, temperature, etc. The tech-
niques to be applied will be those stipulated in technical standards, the
manufacturer's manual or other specialized texts, Protection of the warehouse
premises: the physical areas destined to serve as warehouses must be surrounded
by the necessary means to protect people, the stored material, furniture, equipment
and the facilities themselves of internal and external risks. For this purpose,
measures will be taken to prevent theft or theft, sabotage actions, fires, floods, etc.

Distribution of movable property

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THE IMPORTANCE OF STORAGE AND DISTRIBUTION IN WAREHOUSE MANAGEMENT IN LOCAL EDUCATIONAL
MANAGEMENT UNITS OF THE PUNO REGION

According to the Ministerio de Educacion y Finanzas (2021) the distribution
includes the procedures, activities and instruments related to the allocation opera-
tions and the transfer of movable property from a warehouse to the destination,
guaranteeing the conditions of opportuneness, conservation and delivery, in con-
cordance with what is established in the distribution boards. With the main purpose
of directly satisfying the needs of the beneficiaries and/or user area. It consists of
the following phases: request, packaging, dispatch and delivery.

Request phase: includes activities carried out by the user area in requesting the
attention of movable goods with the warehouse attention orders with the respective
descriptions and quantities according to the availability of the stock in the ware-
house, once the availability of stock of goods ordered the order is authorized. In
the conditioning phase.- according to the (Ministerio de Educacion y Finanzas
(2021) includes the extraction of movable property from the storage area, its con-
solidation by destination point and its disposal of the required packaging in order
to maintain the minimum conditions with those that were kept in custody and avoid
damages and losses during transport, and carry out an exhaustive control of the
conditioned movable property and the labeling that includes the marking, sealing,
numbering and other signs that identify the goods to be dispatched, for their sub-
sequent issuance of the order - departure receipt, in the dispatch phase: includes
the actions aimed at identifying and disposing of movable property for transport
and respective delivery to the user area, delivery phase: these actions correspond
to transport and commissioning effective disposition of the movable property at
the point of destination according to the order - proof of departure and the signature
of conformity of the us user area or the receipt of the goods.

CONCLUSIONS

The review article has allowed me to investigate the importance of warehous-
ing and distribution in warehouse management to the following conclusions; First,
within the investigations carried out, 80% of the warehouses studied were found
to perform poorly the process of storage and distribution of movable property re-
ferred to the provision of stationery, educational and teaching materials and in 20%
of the warehouses are considered with the management of warehouse processes in
a normal way with attention to the different dependencies or user areas.

Finding the main causes and factors in warehouses that are in poor shape such
as; lack of procedures, policies, internal directives, insufficient and lack of training
for personnel, poor coordination with the departments to attend and lack of com-
puter software that facilitates the control of warehouse products, where they are
also a little isolated from the dependencies and from the supply and administration
area, who are the superior bosses who should oversee and the greater intervention
of the internal control area.

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BIBLIOGRAPHIC REFERENCE

Aguilar Maraza, Roger Jovenal. Caracterización Del Control Interno En El Área
de Almacén de Las Municipalidades Del Perú: Caso Municipalidad Distrital
de Alto Inambari – Massiapo, 2018. Universidad Católica los Ángeles de
Chimbote, 2018.

Barreda Arpi, Esther. Análisis de La Aplicación de Los Procesos Técnicos de Al-
macenamiento y Distribución En El Almacén Central Del Gobierno Regional
de Puno, Periodo 2015. Universidad Nacional del Altiplano, 2018.

Benites Quispe, Nelida. El Control Interno En La Gestión Del Área de Almacén
de Las Empresas Del Sector Industrial Del Perú, Caso: Empresa Plásticos
Rio Santa S.A. – Lima, 2018. Universidad Católica los Ángeles de Chimbote,
2018.

Calixto Alvites, Evelia Raquel. “Revision Sistematica En La Gestion de Almace-
nes Industriales.” Universidad Privada Del Norte, 2018.

Cari Pilco, Dennis. El Control Interno y Su Incidencia En La Gestión de La Unidad
de Almacén Central de La Universidad Nacional Del Altiplano Puno Periodos
2015 – 2016. Universidad Nacional del Altiplano, 2018.

Chire Cahuana, Amalia. Control Interno Simultáneo En El Área de Almacenes y
La Gestión Logística En Las Instituciones Públicas de La Ciudad de Tacna,
Periodo: 2010-2011. Universidad Nacional Jorge Basaore Grohmann - Tacna,
2013.

Flamarique, Sergi. “Manual de Gestion de Almacenes.” Marge Books, 1ra Edicio,
2019,
https://books.google.es/books?hl=es&lr=lang_en%7Clang_es&id=P7SPDw
AAQBAJ&oi=fnd&pg=PA94&dq=GESTION+ALMA-
CENES&ots=m0b_QSghmW&sig=OtyQEpBn2JOSB28k1y3pYPH0iK0#v=
onepage&q&f=false.

Koch Zavaleta, Ricardo Ernesto. Propuesta de Mejora En La Gestión de Almacén
Para Optimizar La Distribución de Paletas Estándar de La Empresa Alicorp,
Callao 2018. Universidad César Vallejo, 2018.

Mamani Mamani, Dania Luz. Incidencia Del Control Interno En La Gestión Del
Área de Almacén En La Municipalidad Provincial de Puno, 2012-2014. Uni-
versidad Nacional Del Altiplano, 2015.

Manihuari Montilla, Zenith. Análisis de La Gestión de Almacenes En La Farmacia

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MANAGEMENT UNITS OF THE PUNO REGION

America S.R.L., Periodo 2017. Universidad Nacional De La Amazona Pe-
ruana, 2017.
Ministerio de Educacion y Finanzas. Directiva N° 0004-2021-EF/54.01 - Directiva
Para La Gestión de Almacenamiento y Distribución de Bienes Muebles. 2021.
Ministerio de Salud. RESOLUCION JEFATURAL N° 118-80-INAP/DNA - Nor-
mas Generales Del Sistema de Abastecimiento. 1982.
Pandia Mamani, Juanito. Control Interno En La Gestión Del Área de Almacén En
La Municipalidad Provincial de Huancané, Periodos 2015 - 2016. Universi-
dad Nacional del Altiplano, 2018.
Rivera Luque, Fausta Mirian. Caracterización Del Control Interno En El Área de
Almacén de La Empresa Distribuciones Suvahi S.A.C. de La Ciudad de Ju-
liaca, 2018. Universidad Católica los Ángeles de Chimbote, 2019.
Sierra Acosta, Jorge, et al. Administracion de Almacenes y Control de Inventarios:
Una Estrategia Eficaz de Alto Impacto. 2015, http://www.eumed.net/libros-
gratis/2015/1444/index.htm.

169



IMPACT FACTORS OF THE COVID-19 PANDEMIC
APPLICABLE IN THE CONSTRUCTION SECTOR IN THE

PUNO REGION IN 2020

Arcaya Huacasi, Miguel

ABSTRACT

The impact of the COVID-19 pandemic has generated uncertainty in all productive
sectors of Peru, given that it was not possible to ensure the normal continuity of
their activities, such as those outlined in this work. The construction sector in this
regard has been subject to restrictions and protocols imposed by the National Gov-
ernment. Therefore, variabilities have been generated in the times and costs of
execution, as well as in the social field and working conditions. It is in this sense
that this article aims to identify the main socioeconomic problems generated in the
construction sector by the COVID-19 pandemic and extrapolate the factors that
would be interesting to analyze in the Puno region. The methodology applied is
that of a brief review article in which the problems raised by the COVID-19 pan-
demic were initially identified and then the information of research from different
contexts referring to the subject under study is exposed, once the relevant infor-
mation is exposed, the factors that have the greatest impact and incidence in the
context of the Puno region are exposed. Concluding that these factors are

Keywords: Biosecurity, Covid-19 pandemic, health protocols, socioeconomic.

INTRODUCTION

Construction is one of the major industries in the global economy. In Peru, in
2019, according to the technical report “Situación del Mercado Laboral en Lima
Metropolitana” from the INEI, construction ranked fourth in labor activity and first
in average monthly income within the same activities. (Informe Técnico INEI,
2019). It is a sector that has been significantly impacted in addition to being one
of the most affected in terms of COVID-19 due to the face-to-face conditions im-
plicit in its operations.

Macroeconomic forecasts today indicate that the effect of recession and con-
traction of the world economy for 2020 on average may exceed 3% In Figure 1,

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Miguel Arcaya Huacasi

obtained from Goldman Sachs for March 24, 2020 indicates annual GDP falls of
3.8% in the United States, 9% in Europe and 2.1% in Japan, and a slowdown in
China that would lead to growth of only 3% (Goldman Sachs, 2020)

Figure 1. Confirmed COVID-19 cases worldwide and global growth forecast
Source: Economic Commission for Latin America and the Caribbean (ECLAC).

Figure 2 identifies the short- and medium-term effects which will directly be
reflected in the greatest impact on micro and medium-sized enterprises, which are
the ones that mainly face the effects of the pandemic, this due to the absence or
very low predictability of reserve costs to meet contingencies of this nature, in
addition, to a large extent part of its financing corresponds to credits with banks.
(Moviliblog, 2020)

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IMPACT FACTORS OF THE COVID-19 PANDEMIC APPLICA-BLE IN THE CONSTRUCTION
SECTOR IN THE PUNO REGION IN 2020

Figure 2. Economic costs of COVID-19
Source: Economic Commission for Latin America and the Caribbean (ECLAC).
PROBLEMS CAUSED IN THE SECTOR
According to the CDC, the U.S. Center for Disease Control and Prevention, it is
necessary to have some considerations and precedents to assess the magnitude of
the virus and the consequences of its spread, which is transmitted mainly from
person to person, the most common forms are:
• Between people who are in close contact with each other (6 feet) (1.8 meters)
• Through respiratory microgoutlets that occur when coughing, sneezing, or

talking. (CDC Centers of Disease Control and Prevention, 2020)
In Peru, to face the problems caused by COVID-19, general biosecurity proto-
cols were generated for the population and specific for the production sectors. Such
that in the construction sector documents such as the “LINEAMIENTOS DE PRE-
VENCION Y CONTROL FRENTE A LA PROPAGACION DEL COVID-19 EN
LA EJECUCIÓN DE OBRAS DE CONSTRUCCION” were generated, in which
the responsibilities of the actors of the building process are established, among
their responsibilities are mainly compliance with the provisions of the same guide-
lines in addition to developing a “Plan para la vigilancia, prevención y control de
COVID-19 en el trabajo”. Additionally, preventive measures are within these
guidelines to:
• Preventive measures in the phase of starting or restarting activities
• Preventive measures in the implementation phase and closure phase

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Miguel Arcaya Huacasi

• Protective measures at work

• Prevention measures for personnel outside the site

• Protective measures for staff with symptoms of contagion

Among these measures are the routines and protocols that must be followed
for the prevention and control of COVID-19 (Resolución Ministerial MVCS 085-
2020).

COVID IN CONSTRUCTION

The conditions produced by the pandemic have affected the construction sec-
tor, in processes such as adjustments and scheduling of work, suspension of
contracts, administration of occupational safety and health at work, postponements
of contracts, interruption in the supply chain of work, among others.

Among the publications referring to the direction that the construction sector
has taken in different environments and countries regarding COVID-19 we find
different analyses.

A study in the United States did research on the legal impact that construction
companies can have when making certain decisions due to the pandemic. This
study was addressed to the construction companies that made the radical decision
to suspend their works or finish them. The first thing the consultancy did was to
address the construction companies and review their current contracts with both
customers and suppliers, then they reviewed in detail schedules and duration of
events carried out and not carried out, this to be able to make an evaluation and
find a possible advance to certain activities on site; this was the case in New York
in which there were no delays in the works because they implemented a strategy
and that was to take their employees to live near the works where they worked. On
the contrary, in the city of Boston there was closure of projects and about 21 mil-
lion square meters in 97 construction projects that had to be suspended.

The strategy used by the construction projects that were considered for the re-
search was to apply health regulations and protocols; developed and updated plans
and procedures for both office operations and work-on-site and advised on OSHA
standards governing on-site safety protocols.

The next process that the construction companies considered was to evaluate
the legal part, here they reviewed issues of documentation, terms and conditions.
They checked whether there was an opportunity to change dates in contracts with-
out resulting in fines or penalties.

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IMPACT FACTORS OF THE COVID-19 PANDEMIC APPLICA-BLE IN THE CONSTRUCTION
SECTOR IN THE PUNO REGION IN 2020

After reviewing the legal part, they went on to examine the part of supplies on
site, the schedules of activities and issues of payments and financing, this item was
done through a grouping of activities that were similar between construction com-
panies. As conclusions after the meticulous investigation of each work, we
analyzed which were the works of greatest risk, mostly due to legal breaches and
that they had to suspend their activities (Meghan, D. et al 2020).

Other research on the impact of the pandemic on the private construction sector
in Colombia sought to identify and characterize economic problems such as the
additional costs of implementing protocols and the economic losses from manda-
tory isolation. Using a quantitative statistical approach seeking to characterize
through surveys variables such as:
• Job layoffs
• Increases in cost overruns in the sector

The study population was taken from their country's chamber of commerce
from among the construction companies.

Arriving at the results of the aforementioned points such as that in terms of job
dismissals a favorable condition of the maintenance of employment in the con-
struction sector was reflected, since the highest percentage of companies have not
had the need to make layoffs, following the results for dismissals, the second place
is occupied by companies that have had to lay off more than 60% of workers, the
response is concentrated for small and medium-sized companies, for large compa-
nies the consideration of mass layoffs has been less devastating, since their
response shows that they have only laid off less than 10% of their employees.

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Figure 3. Job Layoffs
Source: Impacto de la Pandemia COVID-19 en el sector privado de construcción
en Colombia

The measurement of economic losses in the construction sector was affected
by the implementation of biosecurity protocols to a greater or lesser extent depend-
ing on the size of the construction companies.

The following figure indicates that expenditures on biosecurity protocols in
just over half of the cases have not increased their budget by more than 10%, that
is, they have increased at a general level (48%) Between 5% and 10%,

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IMPACT FACTORS OF THE COVID-19 PANDEMIC APPLICA-BLE IN THE CONSTRUCTION
SECTOR IN THE PUNO REGION IN 2020

Figure 4. Increase in Expenses by Biosafety Protocol
Source: Impacto de la Pandemia COVID-19 en el sector privado de construcción
en Colombia

In this other figure it is shown that the companies that increased expenses
above 10% have been medium-sized companies, with about 12.99%, which in a
balance sheet can be a very significant figure. (Melo, A. et al. 2020)

Figure 5. Increase in Expenses by Biosafety Protocol for Company Sizes
Source: Impacto de la Pandemia COVID-19 en el sector privado de construcción
en Colombia

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Miguel Arcaya Huacasi

Another research regarding the return to work in the construction sector carried
out in Singapore gives us another perspective on the management of the pandemic
in this country since it has the particularity that many construction workers in this
country are immigrants.

In 2019 the construction sector accounted for 12.9% of jobs in Singapore a
total of 458,000 workers of which 293,000 are migrants from countries such as
Bangladesh, India andMyanmar. (Ministry of Manpower, 2020)

With the pandemic, it was identified that many cases of COVID-19 were epi-
demiologically linked to migrant workers. Since their dormitories were in small
factories converted to community dormitories, the same ones that could house hun-
dreds of workers, with all the risks of transmission that involve sharing facilities
such as kitchens, dining rooms, toilet areas and all kinds of community spaces.

The management of the spread of COVID-19 was by stages, On April 7, 2020,
"disjunction" measures were adopted at the national level to prevent the escalation
of infections. These included the closure of most physical workplace facilities and
the suspension of almost all construction activities.

The next step was that with the continued decline in the weekly incidence of
COVID-19 brought about by the "disjunction" measures, the restrictions will be
lifted in phases, starting on June 2, 2020, and then start with the gradual resumption
of construction activities with safe management measures in the workplace.

The measures that contributed to the safe return to work for construction raised
by the Singapore government were a total of 43 notices from the Ministry of Man-
power (MOM) and 19 from the Building and Construction Authority (BCA).

Notices and circulars issued from March to October 2020 were reviewed by
the BCA's digital media, including resource kits for construction companies, best
practice guides, self-assessment tool and FAQs. The relevant findings were incor-
porated into the following figure.

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IMPACT FACTORS OF THE COVID-19 PANDEMIC APPLICA-BLE IN THE CONSTRUCTION
SECTOR IN THE PUNO REGION IN 2020

Figure 6. Number of COVID-19 infections in migrant workers
Source: COVID-19 and Return-To-Work for the Construction Sector: Lessons
from Singapore

Contrary to what one might think, previous pandemics, such as severe acute
respiratory syndrome (SARS) in 2003 and influenza A (H1N1-2009) in 2009, did
not significantly disrupt the operations of the construction sector, enough to leave
lessons learned in terms of pandemic management. As an example, the notice is-
sued for workplace measures by the Singapore MOM for influenza A (H1N1-
2009) covered only general personal and environmental infection control
measures, without providing specific guidance on the formulation of a business
continuity and resumption of work plan for the pandemic construction sector [Min-
istry of Manpower, 2009).

Action measures for the management of COVID-19 transmission were taken
considering simulation studies showing that the combination of quarantine and re-
sumption of work in stages is the safest approach to reducing the risk of COVID-
19 transmission in the workplace (Zhao, J. et al. 2020)

In addition, another measure taken for Singaporean workers is that those work-
ing in different construction activities in the same workplace are separated
geographically according to the place to which they returned (working in desig-
nated areas) and temporarily spaced (staggered schedules to enter and leave work,
use of shared facilities such as bathrooms and dining rooms).

Segregation also extends beyond work and is similarly applied to transporta-
tion and lodging arrangements to minimize cross-interactions with other groups of
workers. (Alsharef, A. et al. 2021)

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ANALYSIS THAT CAN BE EXTRAPOLATED TO THE PUNO REGION

In the first case analyzed in the United States, reference is made to the use of man-
agement systems for the analysis of risk factors, health protocols with OSHA
standards, and an interesting point is that of New York City where housing was
enabled for workers in points adjacent to the works in which they worked.

According to this first case we can analyze if management systems were im-
plemented or if the existing ones were adapted in companies within the Puno
region for the management of the COVID-19 pandemic, and if their results were
positive, another point of analysis will be what was the behavior in construction
camps in the Puno region, seeking to analyze what were the additional measures
that were taken to face and control the transmission of COVID-19.

The second previous case analyzed in Colombia deals with two important
points to probe the economic field in the construction sector, in its first point to
know what percentage of job layoffs in a sample of companies classified in small,
medium and large, gives us a greater spectrum in the analysis of data since it is
disaggregated, knowing this particular data within the region of Puno will give us
references in what sector has been most affected by the context of the pandemic,
taking as a sector the classification of companies and the number of them.

The second point of analysis regarding the additional expenses for biosecurity
protocols will be an essential indicator in the economic impact that the pandemic
has had on the construction sector, in addition to the added that this analysis could
be combined in the Puno region with the costs of implementing the same guidelines
and plans for the prevention and control of COVID-19 proposed by the same gov-
ernment of Peru.

From the last case analyzed regarding the country of Singapore it is interesting
to observe what has been the behavior that the transmission curve had reacting to
the measures taken by the different government agencies of Singapore, this same
analysis can be carried out in Peru and particularly in the region of Puno, in addi-
tion to which it can also be compared which have been the additional measures or
those that the agencies did not consider necessary. of the government of Singapore
with its analogues in the government agencies of Peru.

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IMPACT FACTORS OF THE COVID-19 PANDEMIC APPLICA-BLE IN THE CONSTRUCTION
SECTOR IN THE PUNO REGION IN 2020

CONCLUSIONS

The degree of use of management systems for the management of the COVID-
19 pandemic in the construction sector of the Puno region is considered as an im-
pact factor.

Another impact factor will be to know the magnitude of the additional ex-
penses incurred by construction companies in the Puno region.

Finally, to comparatively analyze the greater or lesser success of the measures
taken by the government agencies of Peru in relation to measures taken in other
countries.

BIBLIOGRAPHIC REFERENCES

Alsharef, A., Banerjee, S., Uddin, S., Albert, A., Jaselskis, E. (2021) Early impacts
of the COVID-19 pandemic on the United States construction industry. Inter-
national Journal of Environmental Research and Public Health.
https://doi.org/10.3390/ijerph18041559

Centers Of Disease Control and Prevention. (2020). What Construction Workers
Need to Know about COVID-19, https://www.cdc.gov/coronavirus/2019-
ncov/community/organizations/construction-workers.html

Goldman Sachs (2020). Roaring into recession. Top of Mind, N° 87, March 24,
https://www.goldmansachs.com/insights/pages/roaring-into-recession-f/re-
port.pdf

INEI (2019). Informe Técnico Situación del Mercado Laboral en Lima Metropoli-
tana

Meghan, D., Kenneth, H., Brian, A. (March 24, 2020). Coronavirus and Construc-
tion Contracts. Contractor Magazine. https://www.contractormag.com/covid-
19/article/21127005/coronavirus-and-construction-contracts

Melo, A., Pulido, Á. y Mosquera J. (2020), Impacto de la pandemia Covid-19 en
el sector privado de construcción en Colombia. Bogotá, Universidad EAN.

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182

INFLUENCE OF THE DANCES OF THE PUNO REGION ON
THE STRESS LEVEL OF THE WORKERS OF THE PISCIFACTORIAS

OF THE ANDES COMPANY IN TIMES OF COVID-19

Palli Quispe, Sandra Alina

ABSTRACT

The present research study aims to determine the influence of the dance of the
Puno region on the stress level of the workers, the method is quantitative with a
quasi-experimental design, it has two groups, experimental and control chosen at
random. In order to observe an impact of the independent variable (dance from the
Puno region) to the dependent variable (stress in workers), a non-probabilistic and
convenience sampling is applied, the technique used is the interview and the meas-
urement scale of Maslash burnout that is applied before and after the practice of
the dances of the Puno region, the program used is the SPSS statistics -25 and the
hypothesis contrast was carried out with the T-Student and Wilcoxon statistical
test, the population is made up of 200 workers and ours 40. The results obtained
for both the control and experimental groups show a difference in the level of stress
in the depersonalization dimension in the experimental group (p <.05), while for
the control group no differences were found (p> .05). Therefore, it is concluded
that the dances of the Puno region positively influence the stress level of the work-
ers of the Piscifactorías of the Andes company in the stress level in times of
COVID-19.

Keywords: COVID-19, Dance, Stress, Workers, Level

INTRODUCTION

The global health emergency caused by the current covid-19 pandemic being
one of the greatest challenges that humanity has today, the fear of contagion gen-
erates psychosocial risks.

Stress, being one of the most important psychosocial factors, refers to physical-
emotional stimuli that cause tension in the person, making them feel more irritated,
exhausted or nervous, at work it can cause health problems and can increase the
rates of injuries and accidents at work, some possible causes of work stress are
overwork, lack of clarity in instructions, unrealistic deadlines, lack of decision-
making, job insecurity, isolation situation for work, over-surveillance

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Sandra Alina Palli Quispe

Currently there are no studies of the emotional impact of this epidemic in our
hemisphere. However, the epidemic of the new coronavirus COVID-19 in our
country could put our health system in crisis. This situation would force the gov-
ernment to decree a state of emergency and quarantine. This scenario would cause
a negative psychological impact on health personnel and the most vulnerable pop-
ulation, triggering stress, fear, confusion, anger, frustration, worry, boredom,
loneliness, stigma, anxiety, hopelessness, guilt, depression and suicide. , the for-
mation of mental health crisis intervention teams, the use of digital platforms,
online communication, telemedicine interviews and the use of brief instruments
for the detection of mental health problems, validated in our population, would be
very useful for the challenges for public health in our country. (Lozano & Vargas,
2020)

More specifically in the Puno region, in relation to the situation of the COVID-
19 pandemic, a series of reactions may occur that are equally likely in the personnel
of Piscifactoría of the Andes. These situations can cause individual problems, such
as intense stress, anxiety, depressive symptoms, insomnia, denial, anger, fear, as
well as increased interpersonal conflicts, among other factors that increase the risk
of mental health problems.

Dance as therapy is very common in people with disabilities, constituting an
important element for the development of the person, as indicated in the following
statement:

The historical panorama of dance used for therapeutic purposes is exposed.
This tour broadens the vision of dance and gives a place of high importance to the
field of stress treatment and the use of strategies from the artistic area that have
complemented conventional treatments and improve the salutogenic environment
of people in general. Mejía (2011)

Dance as therapy in workers in times of pandemic has multiple benefits in
terms of work stress from elements of rhythm movements.

The dances of the Puno region express the experience of a people that can rep-
resent initiation, rites, it also promotes identity, empathy towards the traditions and
customs of our land.

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INFLUENCE OF THE DANCES OF THE PUNO REGION ON THE STRESS LEVEL OF THE WORKERS OF THE
PISCIFACTORIAS OF THE ANDES COMPANY IN TIMES OF COVID-19

METHODS

The method is quantitative with a quasi-experimental design, it has two groups,
experimental and control, chosen at random, in order to observe an impact of the
independent variable (dance of the Puno region) on the dependent variable (stress
in workers).

Hernández (2014) points out that “Quasi-experimental designs also deliber-
ately manipulate at least one independent variable to observe its effect on one or
more dependent variables” (p. 151).

RESULTS

Reliability Analysis

Table 1: Reliability test

Reliability statistics

Test Cronbach's alpha

Maslach Inventory .651
Emotional tiredness .645
Depersonalization .606
Personal fulfillment .650

Characteristics of the sample
Table 2: Sample distribution

AGE De 20 a 30 Count % of N tables
GENDER
31 a 40 14 35.00%
41 a 64
Male 18 45.00%
Feminine 8 20.00%
4 10.00%
36 90.00%

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Sandra Alina Palli Quispe

Contrasting the hypotheses

Before performing the hypothesis testing, it is necessary to know the distribution
of the sample in order to know which coefficient to use to determine the correla-
tion.

Table 3: Kolmogorov-Smirnov normality test

Kolmogorov-Smirnov test for one sample

Normal parameters Sig. Asymp-

Half Dev. Deviation Test statistic totic (bilateral)

Post_total 28.30 14.810 .114 .200

Pre_total 39.03 11.759 .090 .200
Pre emotional tiredness 28.95 8.311 .092 .200
Pre depersonalization 10.07 6.443 .176 .003
Pre Personal Realization 36.73 9.171 .148 .027
Post emotional fatigue 21.70 10.939 .133 .074
Post Depersonalization 6.60 5.163 .168 .006
Post Personal Realization 39.48 10.971 .219 .000

In the table above it can be seen that the distribution of the totals and the di-
mensions of emotional fatigue do behave normally (p> .05), therefore, parametric
tests were used to check the differences (Student's t), nonparametric tests (Wil-
coxon) were used for the other checks.

The results of the research are presented below, in accordance with the stated
objectives and hypotheses.

H1: There are differences in stress after applying the dances of the Puno region in
the workers at the Piscifactorías of the Andes company in times of COVID-19.

H0: There are no differences in stress after applying the dance of the Puno region
in the workers at the Piscifactorías of the Andes company in times of COVID-19.

Table 4: Differences in burnout of the control and experimental groups

Control STATE t gl Sig. (bilateral)
Experimental Pre_total - Post_total 1.944 17 .069

Pre_total - Post_total 5.837 21 .000

In the table above you can see the differences obtained for both the control group
and the experimental group, taking into account that there are differences in stress

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INFLUENCE OF THE DANCES OF THE PUNO REGION ON THE STRESS LEVEL OF THE WORKERS OF THE
PISCIFACTORIAS OF THE ANDES COMPANY IN TIMES OF COVID-19

in the experimental group (p <.05), while for the control group there are no differ-
ences. found differences (p> .05). Therefore, there is statistical evidence to verify
the hypothesis of the research: "There are differences in stress after applying the
dance of the Puno region in the workers of the company Piscifactorías of the Andes
in times of COVID-19"

H2: There are differences in emotional fatigue after applying the dances of the
Puno region in workers at the Piscifactorías of the Andes company in times of
COVID-19

H0: There are no differences in emotional fatigue after applying the Puno dance in
workers at the Piscifactorías of the Andes company in times of COVID-19.

Table 5: Differences in emotional exhaustion of the control and experimental
groups

Paired Samples Test

Control STATE t gl Sig. (bilateral)
2.030 17 .058
Pre emotional exhaustion - Post
emotional exhaustion

Experimental Pre emotional exhaustion - Post 4.881 21 .000
emotional exhaustion

In the table above you can see the differences obtained for both the control
group and the experimental group, taking into account that there are differences in
emotional exhaustion in the experimental group (p <.05), while for the control
group there are no differences were found (p> .05). Therefore, there is statistical
evidence to verify the research hypothesis: "There are differences in emotional fa-
tigue after applying the dances of the Puno region in workers at the Piscifactorías
of the Andes company in times of COVID-19"

H3: There are differences in depersonalization after applying the dances of the
Puno region to workers at the Piscifactorías of the Andes company in times of
COVID-19

H0: There are no differences in depersonalization after applying the dances of the
Puno region in the workers at the Piscifactorías of the Andes company in times of
COVID-19.

187

Sandra Alina Palli Quispe

Table 6: Differences in depersonalization of the control and experimental groups

Control STATE Post Depersonalization -
Z Pre depersonalization

-1.052

Sig. Asymptotic (bilateral) .293

Experimental Z -3.215
Sig. Asymptotic (bilateral) .001

In the table above you can see the differences obtained for both the control
group and the experimental group, taking into account that there are differences in
depersonalization in the experimental group (p <.05), while for the control group
there are no differences. found differences (p> .05). Therefore, there is statistical
evidence to verify the researcher's hypothesis: "There are differences in deperson-
alization after applying the dances of the Puno region in workers at the
Piscifactorías of the Andes company in times of COVID-19"

H4: There are differences in personal fulfillment after applying the dances of the
Puno region in the workers at the Piscifactorías of the Andes company in times of
COVID-19

H0: There are no differences in personal fulfillment after applying the dances of
the Puno region in the workers at the Piscifactorías of the Andes company in times
of COVID-19.

Table 7: Differences in the personal accomplishment of the control and experi-
mental groups

STATE Post Personal Realization -
Pre Personal Realization

Control Z -.311
Sig. Asymptotic (bilateral) .756

Z -2.551
Experimental Sig. Asymptotic (bilateral) .011

In the table above you can see the differences obtained for both the control
group and the experimental group, taking into account that there are differences in
the level of stress and personal fulfillment in the experimental group (p <.05),
while for the control group did not find differences (p> .05). Therefore, there is
statistical evidence to verify the research hypothesis: “There are differences in the
stress level in personal fulfillment after applying the dance of the Puno region in
the workers at the Piscifactorías of the Andes company in times of COVID-19 "

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INFLUENCE OF THE DANCES OF THE PUNO REGION ON THE STRESS LEVEL OF THE WORKERS OF THE
PISCIFACTORIAS OF THE ANDES COMPANY IN TIMES OF COVID-19

Table 8: Levels of the variables

Pre Level_Burnout Post Nivel_Burnout
Low Half
Low Half f%f%
13 72.2% 5 27.8%
f %f % 7 31.8% 15 68.2%

Control 5 27.8% 13 72.2%

Experimental 3 13.6% 19 86.4%

Note: f: frequency %: percentage

20 19 13 15
13 7 5
15
Medio Bajo Medio
10 53
5

0

Bajo

PreNivel_Burnout PostNivel_Burnout

Control Experimental

Figure 1: Burnout level, before and after the application of dance in both groups

In the upper table you can see the stress levels, finding the substantial differ-
ence of the experimental group, having at the beginning only 3 people with the low
level, but after applying the dance, this number rose more than 100%, obtaining to
7 people, thus reducing to only 15 people with the medium level.

CONCLUSIONS

The dances of the Puno region influence the decrease in the level of stress in
workers at the Piscifactorías of the Andes company in times of COVID-19, the
benefits obtained with the practice of dances for stress control showed a decrease
in the level of stress in the depersonalization dimension, reflecting that the worker
can have better stress control

The stress level before and after the practice of dance in the Puno region de-
creases in the workers of the company Piscifactorías of the Andes, the results of
the research confirm that stress can decrease with the regular practice of dances in
general, in the experimental group, stress levels decreased significantly, the control
group showed a marked tendency to remain constant

The practice of dance in the Puno region positively influences the workers of
the Piscifactorías of the Andes company in times of COVID-19, dance can be a

189

Sandra Alina Palli Quispe

method to release negative emotions in human beings, giving way to experiences
and thoughts that cause discomfort to workers, managing to better channel their
emotions.
BIBLIOGRAPHY REFERENCES
Asian H.E. (2020) La danza como medio de disminución del estrés en estudiantes

de la Facultad de Medicina de la Universidad Nacional Mayor de San Marcos
en el año 2017https://creativecommons.org/licenses/by-nc-sa/4.0/
Ccaccasaca C. P. (2017). Efecto de la danzaterapia en la autoestima del adulto
mayor del establecimiento de salud la revolución – Juliaca- 2016. Perú: Re-
positorio Institucional - UNAP.
Damián V. (2018). Efectividad de la danzaterapia en el nivel de depresión del
adulto mayor en el puesto de salud Jayllihuaya – Puno 2018. Perú: Repositorio
Institucional - UNAP.
Dolan, S. L., García, S., & Díez Pinol, M. (2005). Autoestima, estrés y trabajo
(España: Mc). https://es.scribd.com/document/371824264/Autoestima-Es-
tres-y-Trabajo
Durán, M. (2010). Bienestar psicológico: el estrés y la calidad de vida en el con-
texto laboral. Revista Nacional de Administración, 1(1), 71–84.
Hernández. R (2014). Metodología de la Investigación Vol. №3. 6a edición. edited
by D. R. H. Sampiere, D. C. F. Collado, and D. mari. del P. B. Lucio.
Marín F. (2011). Efectos de la danza terapéutica en el control del estrés laboral en
adultos entre 25 y 50 años Hacia promoc. Salud [online]. 2011, vol.16, n.1,
pp.156-174. ISSN 0121-7577.
Lozano & Vargas, A. (2020). Impacto de la epidemia del Coronavirus (COVID-
19) en la salud mental del personal de salud y en la población general de
China. Revista de Neuro-Psiquiatria, 83(1), 51–56.
https://doi.org/10.20453/rnp.v83i1.3687

190

EFFECTS OF THE MINIMUM LIVING WAGE ON THE
LABOR MARKET IN PERU

Aro Huanacuni, Yessica

ABSTRACT

The objective of this research is to determine the effect of the minimum living
wage on employment in Perú. For this purpose, the methodology of Panel data in
the dynamic model of labor demand by economic sectors is developed. We also
study the characteristics of the average monthly wage in Metropolitan Lima and
finally we describe the Peruvian labor market. To analyze the relationship between
the minimum living wage and employment in Perú, the dynamic panel data model
by economic sectors of the employment equation and the discrete choice Probit
model were used to estimate the type of relationship that exists in the probability
of remaining employed and income levels in a context of a change in the minimum
living wage.

Keywords: Unemployment, labor market, minimum living wage.

INTRODUCTION

The purpose of this research is to determine the effect of the minimum living
wage on employment in Perú during the period 2005-2015. It also studies the char-
acteristics of the average monthly wage in Metropolitan Lima, the behavior of
employment of 10 and more workers in Perú and finally to find the relationship
between the probability of remaining employed and income levels in a context of
changes in the Minimum Living Wage, June 2012.

The minimum living wage in Perú, a term used internationally by the Interna-
tional Labor Organization (OIT), is called Minimum Living Wage. The minimum
living wage is the minimum monthly remuneration that a worker must receive for
an eight-hour workday, it has a single value for the whole country and according
to the 1993 constitution, it is set by the State with the participation of workers and
employers (Céspedes, 2008).

191

Yessica Aro Huanacuni

BACKGROUND

The estimated impact of the employment elasticity is -0.1 to -0.2 percent, i.e.,
an increase in the Minimum Living Wage reduces the level of employment (Card
& Krueger, 1991)

Find a better description of the structure and size of labor demand adjustment
costs. There are several reasons why labor demand is slow to adjust: the main one
lies in the direct and indirect costs incurred by employers in hiring and firing staff.
Among the costs of hiring are the search for job candidates, interviews, training
and lost production while the new employee learns his or her trade. On the other
hand, there are the costs of termination, which include costly compensation and
the effect on the productivity of other employees due to declining morale. Other
factors that may explain the slow adjustment of demand are institutional rigidities,
the existence of unions or the type of contracts that are in place in the economy. It
estimates the speed of adjustment for different European countries, finding estima-
tors that ranged from 0.84 to 0.92 in Germany, 0.91 to 0.94 in France and 0.81 to
0.95 in Belgium (Hamermesh, 1988).

They find that the wages of people with below-average beauty are lower than
those of workers with average beauty using survey data from the U.S. and Canada.
Likewise, they report the existence of a trade-off in wages for attractive people,
which is slightly less than the "physical appearance penalty" (Hamermesh & Jeff,
1994)

The negative effect of the increase in the Minimum Living Wage on employ-
ment is related to the level set for the minimum wage, being stronger the higher
the increase. With respect to the analysis of the Peruvian labor market, the effects
do not seem to be limited to the formal sector of the economy, but also involve the
informal sector (Krueger, 1995)

The estimated impact of the elasticity of employment to the Minimum Wage
is -0.23 percent, so the effect of the minimum wage increase had a negative effect
on employment, especially for workers earning less than the minimum wage, i.e.,
the probability of losing a job was greater the closer an individual's wage was to
the minimum wage (Bonilla, 2001)

The impact of the increase in the minimum wage on income is greater (elastic-
ity close to 90% for the range 0.7 to 0.9 of the minimum). The negative impact on
employment is significant and decreases as one moves up the wage distribution
(Nuñez, 2004)

192

EFFECTS OF THE MINIMUM LIVING WAGE ON THE LABOR MARKET IN PERU

The increase in the minimum wage has a positive effect on youth employment
and a negative effect on adult employment during the period 1984 - 2000. How-
ever, due to the substitution effect, a 10% increase in the minimum wage decreases
the labor demand of young people by 1.3% and that of adults by 0.9% (Hernández
y Lasso , 2003)

The estimated impact of the Employment-MLW elasticity is approximately -
0.13, evidence that has allowed us to estimate that there would be a potential loss
of formal jobs in the event of an increase in the MLW (Céspedes, 2005)

The probability that workers will increase their income after an increase in the
MLW is on average 0.34, being this probability (0.31 %) lower for young people
between 14 and 25 years of age (Céspedes, 2005)

The estimated impact of the increase in the minimum wage on the employment
of people between 18 and 25 years of age has a positive effect, as follows: a 10%
increase in the minimum wage increases employment by 15.9% (Hernández G,
2006)

The increase in the Minimum Living Wage has a negative effect on employ-
ment and a positive effect on informal employment throughout the wage
distribution, with this effect persisting even for those earning twice the Minimum
Living Wage in the case of 2003 and for those earning up to 1.2 times the MLW
in the case of the 2006 increase (Jaramillo, 2006)

A 10% increase in the legal minimum wage produces a 1.44% increase in the
consumer price index, which is reflected in a net loss for Colombian households
of 0.73%. The result shows that a high proportion of the poorest households do not
benefit from increases in the Minimum Wage, moreover, these increases have no
effect on inequality and poverty (Suárez, 2006)

The estimated impact of the employment elasticity on the Minimum Living
Wage is -0.74, which indicates that on average a 1 percent change in the Minimum
Living Wage is associated with a 0.74 percent reduction in employment levels.
The elasticities of informality on the Minimum Living Wage is 0.19 percent.
Therefore, it concludes that there is a negative impact on formal employment and
a positive effect on informality levels for some wage ranges (Valle, 2009)

The impact on prices is smaller if the minimum wage increase does not affect
workers with less than a minimum wage or fewer workers in the informal sector.
Increasing the minimum wage by 51% has an effect of up to 3% on prices, im-
proves real wage income for low-income workers by 8% and decreases in-work
poverty by 4% (Samaniego, 2011)

193

Yessica Aro Huanacuni

MATERIALS AND METHODS

In general, terms, the methodology used in the research is quantitative and de-
scriptive, starting with the analysis of the environment of the current employment
situation in Perú. And in turn, the research methods to be used are basically the
explanatory and correlational method.

The summary model resulting from the interaction of derived labor demand
and labor supply, a procedure that was followed and developed by Saavedra and
Torero (2000) who analyzed the sectoral labor demand of the Peruvian case, which
is shown:

: Is the logarithm of the employment index in sector i, Employment in compa-
nies with 10 and more workers in Lima Metropolitana.

: Represents three explanatory variables among which the following are noted:
minimum living wage, gross domestic product and remunerations (Wage, Salary
and Wages) in each of the economic sectors

The dynamic estimation method is used in panel data to avoid endogeneity
problems. Also for the estimation related to the fixed and random factors, the sig-
nificance of the Breusch and Pagan test, the Hausman test and the F test are used.

A discrete choice Probit model is developed to estimate the type of relationship
between the probability of remaining employed and income levels in the context
of a change in the minimum living wage (Maloney & Nuñez, 2002). For which the
model used has the following structure:

( = 1) = 2 = ( , , )
1

The information used corresponds to the panel of people registered in the Per-
manent Employment Survey (PES) of Metropolitan Lima for the periods before
and after the increase in the MLW (June 2012).

In the above model, represents the endogenous variable that takes the value
of 1 if the person is employed in both periods and 0 if the person was employed in
the first period and unemployed in the second period.

: Represents income in the first period, Form is an artificial variable that
takes the value of 1 if the person was formally employed in the first period.

194

EFFECTS OF THE MINIMUM LIVING WAGE ON THE LABOR MARKET IN PERU

: Represents the set of control variables, such as sex, age, years of education,
which are included in order to control for the heterogeneity of the workers.

RESULTS AND DISCUSSION

COMPENSATION AND EMPLOYMENT CHARACTERISTICS

According to the Characteristics of the average monthly salary of workers in
Metropolitan Lima, during the period 2005 - 2015, it is shown that according to
age groups (from 14 to 24, 25 to 44, 45 to 64 and 65 and over) it resulted that the
lower the age group the lower the remuneration received, this because they have
lower levels of qualification and experience compared to older groups. Likewise,
there is an income gap between workers in companies (from 1 to 10, 11 to 50 and
51 or more workers), whether the workers are men or women and the branch of
economic activity to which the worker belongs. However, together with the afore-
mentioned wage gap, the average monthly income of workers in Metropolitan
Lima has grown at a positive rate in recent years in Perú.

----- Annual gross domestic product growth rate
----- Annual rate of growth of the minimum living wage
----- Average annual revenue growth rate

16.0

14.0

12.0

10.0

8.0

6.0

4.0

2.0

0.0 2006 2008 2010 2012 2014 2016
2004

-2.0

-4.0

Figure 1: Annual Growth Rate of GDP, Average Monthly Income and MLW (Cur-
rent Soles)
Source: self-made.

With respect to the behavior of employment in Perú, during the period 2005 -
2015, the following is detailed: the level of education (primary with 22.8 and sec-
ondary with 43.9 percent), age groups (15 to 29 years with 29.1 percent and 30 to

195

Yessica Aro Huanacuni

44 years with 36.7 percent), branch of economic activity (Non-personal services
and Agriculture, livestock, forestry and fishing), income range (500 to 999 soles
per month) and according to gender (Male) represented more than half of the labor
mass in Perú.

The annual variation of employment in formal private companies with 10 or
more workers in Perú registered a positive trend during the years under study.

----- Annual rate of growth of the minimum living wage
-----18A.0verage annual revenue growth rate

16.0

14.0

12.0

10.0 8.6 8.6

8.0 7.1

6.0 5.4

4.0 3.8 4.0 4.2
2.4 3.5
2.0
1.6 1.9
0.0
2004 2006 2008 2010 2012 2014 2016

-2.0

Figure 2: Average Annual Variation of Employment in Formal Private Companies
with 10 and more Employees (Percentage)
Source: self-made.

It should be noted that the increase in the Minimum Living Wage had a positive
effect on the employed EAP (with no income and less than S/. 500).

EFFECT OF MINIMUM LIVING WAGE ON THE PROBABILITY OF
REMAINING IN THE POSITION

The following model shows that an increase in monthly income increases the
probability of remaining employed in the context of an increase in the minimum
living wage.

The probability of maintaining employment among low-income youth is even
lower. From this evidence we conclude that the costs of an increase in the MLW
in terms of job loss are higher among young people.

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EFFECTS OF THE MINIMUM LIVING WAGE ON THE LABOR MARKET IN PERU

TABLE 1: Probit Model of Employment between Period Panel (The survey was
conducted quarterly)

Variable endogena: Ocupado en ambos periodos=1, Ocupado en 1 y desempleado en 2=0

(1) (1)
MODELO I MODELO II

=0 ocupado en el p~s 0.2284*** =0 ocupado en el p~s 0.2390***
Sexo (0.0519) Sexo (0.0530)
Edad en años (14-25) Edad en años (14-25)
Edad2 0.3238** Edad2 0.3364***
Años de estudios (0.1085) Educ (0.0196)
Empleo Formal Empleo Formal
Ingreso mensual -0.0059* Ingreso mensual -0.0059***
Constante (0.0027) Constante (0.0005)

0.1194*** 0.1236***
(0.0179) (0.0173)

0.1205* 0.1963***
(0.0547) (0.0529)

0.0005*** 0.0006***
(0.0001) (0.0001)

-5.0811*** -5.6342***
(1.0766) (0.2772)

Observations 2739 Observations 2756
chi2 382.8143 chi2 550.1323
p p
ll 0.0000 ll 0.0000
-1639.1557 -1548.3006

Standard errors in parentheses Standard errors in parentheses
* p<0.05, ** p<0.01, *** p<0.001 * p<0.05, ** p<0.01, *** p<0.001

Source: self-made.

At higher income levels, it is estimated that workers are more likely to keep
their jobs. This relationship is maintained if the job is formal, if the worker has
more years of education or if he is a man.

We found that the probability of maintaining employment before and after the
increase in the Minimum Living Wage is higher among workers who reported be-
ing formal before the increase in the Minimum Living Wage.

The probability of an individual (14 to 25 years old) to be in the labor market
in Perú is 64.83% on average and for every 1% increase in total monthly income,
the probability that a person is employed is 0.021% (compared to the previous
quarter the probability was 0.015%). In other words, there is a positive relationship
between the probability of staying employed and the income ranges in a context of
changes in the Minimum Living Wage, June 2012.

EFFECT OF THE LIVING WAGE ON EMPLOYMENT

The result of the estimation of the equation that relates employment with re-
muneration and production shows that the Minimum Living Wage is negatively

197

Yessica Aro Huanacuni

related to formal employment in metropolitan Lima, with a joint significance level
of 91.6 percent.

TABLE N° 2: Estimated Employment Equation Parameters

(Dependent variable: ∆L. Period: 2005-2015)

MODELOI MODELOII MODELOIII

Producto 0.493*** 0.582*** 0.391***
RMV/Sueldos (0.027) (0.028) (0.034)
RMV/Salarios
RMV/Remuneracion -0.286*** -0.067** -0.096***
Constant (0.036) (0.024) (0.011)

0.045 -1.148*** 0.878*
(0.294) (0.282) (0.350)

R-squared 0.790 0.720 0.798
r2 .8102735 .7473028 .8175101
N
rho 176 176 176
.9743798 .9732801 .9588284

* p<0.05, ** p<0.01, *** p<0.001

Source: self-made.

There is a negative relationship between the minimum living wage and em-
ployment in Perú; therefore, the employment elasticity and the minimum living
wage with a negative sign could be explained by the closeness of the minimum
living wage to the market equilibrium wages.

Perú has registered positive economic growth rates and employment variation,
due to the positive outlook that motivates economic agents to make their invest-
ment decisions. And with respect to the relationship between production and
employment, it is shown that it presents high variability in its annual GDP growth
rates and less variability in the annual variation of employment.

The employment-product elasticity was found to have a positive and signifi-
cant effect. The employment-product elasticity for each year of the period analyzed
was less than one, except for 2009, which was an atypical year. Meanwhile, the
annual average of the employment-product elasticity for the periods indicated was
0.41 %.

198