The advancement of work through policies for the promotion and competitiveness of SMEs within the framework of a social market economy

Abstract

Within the framework of a social market economy and a constitutional State of law, the so-called small and medium-sized enterprises (SMEs) are a source of self-employment that make up what is known as owner-workers. Their importance makes it necessary to constitutionally recognize the obligation of the State to guarantee the generation of decent jobs through the promotion of a public policy of formalization and competitiveness of SMEs, which must be enshrined in a specific article in the part corresponding to the economic rights recognized by the current constitution of Peru. In this research it has been possible to argue that as these companies (SMEs) consolidate and grow, not only can they generate jobs that the formal economy, medium or large, does not generate sufficiently and structurally, but also, they can contribute significantly to the increase in tax collection, which is one of the objectives of the social market economy for the fulfillment of social purposes as established by the Constitutional State of Law.