Thursday, July 16, 2009
[IWS] ILO: MSEs & INTERNATIONAL LABOUR STANDARDS & LABOR LAW: A VIEW [online July 2009]
IWS Documented News Service
_______________________________
Institute for Workplace Studies----------------- Professor Samuel B. Bacharach
School of Industrial & Labor Relations-------- Director, Institute for Workplace Studies
Cornell University
16 East 34th Street, 4th floor---------------------- Stuart Basefsky
New York, NY 10016 -------------------------------Director, IWS News Bureau
________________________________________________________________________
International Labour Organization (ILO)
Job Creation and Enterprise Development Department (EMP/ENTERPRISE)
Employment Sector
Employment Working Paper No. 18
A view on international labour standards, labour law and MSEs [online July 2009]
by Julio Faundez
http://www.ilo.org/empent/Whatwedo/Publications/lang--en/docName--WCMS_110485/index.htm
or
http://www.ilo.org/wcmsp5/groups/public/---ed_emp/documents/publication/wcms_110485.pdf
[full-text, 70 pages]
Additional working papers from this unit are found at-
http://www.ilo.org/empent/WorkingUnits/lang--en/facet--ORG-_-ED_EMP----EMP_ENT----IFP_SEED-_-TYP-_-Publication-_-2678/WCMS_DOC_ENT_DPT_SEE_EN/index.htm
[excerpt]
The working paper examines the extent to which International Labour Standards
(ILS) apply to MSEs, as the International Labour Standards is the principal frame of
reference for seeking guidance on the design and application of labour legislation in the
national context.
ILO Standards are universally applicable to all workers and enterprises.
Nonetheless, although several ILS have been ratified by most developing countries,
application of Core Labour Standards as well as other International Labour Standards
have remained difficult in the workplace with subsequent absence of workers' rights and
protection and a general environment of inequity and vulnerability among various groups.
In the hope of increasing livelihood opportunities for the unemployed and
underemployed workforce, ILO's member States have created in their respective national
labour codes exemptions, exclusions and in some cases, parallel labour regimes for the
MSEs. Although ILS in several instances allow member States to adapt to the unique
national situations, such adaptation need not lead to the major portion of the workforce
and enterprises remain outside the purview of labour law.
Successful implementation of innovative policies and good practice requires taking
into account the special features of the context in which these policies and practices are
implemented. The success of some of the initiatives owes much to the cohesiveness of
members representing MSEs and to the responsiveness and openness of the national and
local political systems.
An interesting lesson that emerges from the experiences reported in this working
paper is the importance of enlisting the support of other state institutions in the efforts to
strengthen and enforce labour rights. A broader institutional strategy is especially
appropriate for ensuring respect of the fundamental principles and rights at work
protected by the ILO Declaration.
Table of contents
Preface.............................................................................................................................................. iii
Foreword .......................................................................................................................................... v
Executive summary ........................................................................................................................... ix
Introduction ...................................................................................................................................... 1
Section 1: International Labour Standards and MSEs....................................................................... 3
1.1 Background................................................................................................................... 3
1.2 The ILS regime and international law .......................................................................... 3
1.3 ILS and flexibility......................................................................................................... 4
1.4 The ILS regime is inclusive and dynamic..................................................................... 5
1.5 Enterprise size as a factor in the ILS regime ................................................................ 5
1.6 Family enterprises and other small units ...................................................................... 7
1.7 References to small and medium-sized enterprises ...................................................... 8
1.8 ILS guidance on MSEs ................................................................................................. 9
Section 2: National legislation and policies towards MSEs.............................................................. 11
2.1 Introduction................................................................................................................... 11
2.2 Enterprise size and the reach of labour law .................................................................. 12
2.3 Collective representation and consultation ................................................................... 12
2.4 Collective bargaining.................................................................................................... 14
2.5 Wages and employment conditions .............................................................................. 15
2.6 Hours of work, weekly rest and night work.................................................................. 16
2.7 Employment protection and collective dismissals........................................................ 18
2.8 Labour inspection ......................................................................................................... 19
2.9 Occupational health and safety ..................................................................................... 21
2.10 Child labour .................................................................................................................. 21
2.11 Equality legislation and policies against discrimination............................................... 21
2.12 Maternity protection ..................................................................................................... 22
2.13 Parental leave................................................................................................................ 23
2.14 Concluding comments .................................................................................................. 23
Section 3: Laws and policies for the promotion of MSEs in developing countries .......................... 25
3.1 Introduction................................................................................................................... 25
3.2 General features of MSE promotion laws..................................................................... 25
3.3 Labour law reform and MSEs....................................................................................... 26
3.4 Improving compliance with labour law ........................................................................ 28
Section 4: Achieving decent work in micro and small enterprises.................................................... 30
4.1 Introduction................................................................................................................... 30
4.2 Improvements in law and governance benefit MSEs ................................................... 30
4.3 Representation and voice .............................................................................................. 31
4.4 Extending social security .............................................................................................. 35
4.5 Occupational health and safety ..................................................................................... 37
4.6 Labour inspection ......................................................................................................... 38
4.7 Initiatives on equality.................................................................................................... 38
4.8 International initiatives ................................................................................................. 39
4.9 Concluding comments .................................................................................................. 40
Section 5: Summary of conclusions .................................................................................................. 41
Bibliography..................................................................................................................................... 43
Annex ............................................................................................................................................... 53
Table 1: Collective bargaining coverage in OECD countries ................................................ 53
Table 2: Definition of collective dismissal ............................................................................. 54
Table 3: Labour inspectors in Latin America......................................................................... 55
List of boxes:
Box 1: Act for the Promotion and Formalization of Micro and Small Enterprises
(Law No. 28015, 3 July 2003), Peru.......................................................................... 28
Box 2: Puente Aranda, a small squatter settlement in Bogotá, Colombia............................. 31
Box 3: Self-help..................................................................................................................... 34
Box 4: Support of large firms................................................................................................ 35
______________________________
This information is provided to subscribers, friends, faculty, students and alumni of the School of Industrial & Labor Relations (ILR). It is a service of the Institute for Workplace Studies (IWS) in New York City. Stuart Basefsky is responsible for the selection of the contents which is intended to keep researchers, companies, workers, and governments aware of the latest information related to ILR disciplines as it becomes available for the purposes of research, understanding and debate. The content does not reflect the opinions or positions of Cornell University, the School of Industrial & Labor Relations, or that of Mr. Basefsky and should not be construed as such. The service is unique in that it provides the original source documentation, via links, behind the news and research of the day. Use of the information provided is unrestricted. However, it is requested that users acknowledge that the information was found via the IWS Documented News Service.
Stuart Basefsky
Director, IWS News Bureau
Institute for Workplace Studies
Cornell/ILR School
16 E. 34th Street, 4th Floor
New York, NY 10016
Telephone: (607) 255-2703
Fax: (607) 255-9641
E-mail: smb6@cornell.edu
****************************************
_______________________________
Institute for Workplace Studies----------------- Professor Samuel B. Bacharach
School of Industrial & Labor Relations-------- Director, Institute for Workplace Studies
Cornell University
16 East 34th Street, 4th floor---------------------- Stuart Basefsky
New York, NY 10016 -------------------------------Director, IWS News Bureau
________________________________________________________________________
International Labour Organization (ILO)
Job Creation and Enterprise Development Department (EMP/ENTERPRISE)
Employment Sector
Employment Working Paper No. 18
A view on international labour standards, labour law and MSEs [online July 2009]
by Julio Faundez
http://www.ilo.org/empent/Whatwedo/Publications/lang--en/docName--WCMS_110485/index.htm
or
http://www.ilo.org/wcmsp5/groups/public/---ed_emp/documents/publication/wcms_110485.pdf
[full-text, 70 pages]
Additional working papers from this unit are found at-
http://www.ilo.org/empent/WorkingUnits/lang--en/facet--ORG-_-ED_EMP----EMP_ENT----IFP_SEED-_-TYP-_-Publication-_-2678/WCMS_DOC_ENT_DPT_SEE_EN/index.htm
[excerpt]
The working paper examines the extent to which International Labour Standards
(ILS) apply to MSEs, as the International Labour Standards is the principal frame of
reference for seeking guidance on the design and application of labour legislation in the
national context.
ILO Standards are universally applicable to all workers and enterprises.
Nonetheless, although several ILS have been ratified by most developing countries,
application of Core Labour Standards as well as other International Labour Standards
have remained difficult in the workplace with subsequent absence of workers' rights and
protection and a general environment of inequity and vulnerability among various groups.
In the hope of increasing livelihood opportunities for the unemployed and
underemployed workforce, ILO's member States have created in their respective national
labour codes exemptions, exclusions and in some cases, parallel labour regimes for the
MSEs. Although ILS in several instances allow member States to adapt to the unique
national situations, such adaptation need not lead to the major portion of the workforce
and enterprises remain outside the purview of labour law.
Successful implementation of innovative policies and good practice requires taking
into account the special features of the context in which these policies and practices are
implemented. The success of some of the initiatives owes much to the cohesiveness of
members representing MSEs and to the responsiveness and openness of the national and
local political systems.
An interesting lesson that emerges from the experiences reported in this working
paper is the importance of enlisting the support of other state institutions in the efforts to
strengthen and enforce labour rights. A broader institutional strategy is especially
appropriate for ensuring respect of the fundamental principles and rights at work
protected by the ILO Declaration.
Table of contents
Preface.............................................................................................................................................. iii
Foreword .......................................................................................................................................... v
Executive summary ........................................................................................................................... ix
Introduction ...................................................................................................................................... 1
Section 1: International Labour Standards and MSEs....................................................................... 3
1.1 Background................................................................................................................... 3
1.2 The ILS regime and international law .......................................................................... 3
1.3 ILS and flexibility......................................................................................................... 4
1.4 The ILS regime is inclusive and dynamic..................................................................... 5
1.5 Enterprise size as a factor in the ILS regime ................................................................ 5
1.6 Family enterprises and other small units ...................................................................... 7
1.7 References to small and medium-sized enterprises ...................................................... 8
1.8 ILS guidance on MSEs ................................................................................................. 9
Section 2: National legislation and policies towards MSEs.............................................................. 11
2.1 Introduction................................................................................................................... 11
2.2 Enterprise size and the reach of labour law .................................................................. 12
2.3 Collective representation and consultation ................................................................... 12
2.4 Collective bargaining.................................................................................................... 14
2.5 Wages and employment conditions .............................................................................. 15
2.6 Hours of work, weekly rest and night work.................................................................. 16
2.7 Employment protection and collective dismissals........................................................ 18
2.8 Labour inspection ......................................................................................................... 19
2.9 Occupational health and safety ..................................................................................... 21
2.10 Child labour .................................................................................................................. 21
2.11 Equality legislation and policies against discrimination............................................... 21
2.12 Maternity protection ..................................................................................................... 22
2.13 Parental leave................................................................................................................ 23
2.14 Concluding comments .................................................................................................. 23
Section 3: Laws and policies for the promotion of MSEs in developing countries .......................... 25
3.1 Introduction................................................................................................................... 25
3.2 General features of MSE promotion laws..................................................................... 25
3.3 Labour law reform and MSEs....................................................................................... 26
3.4 Improving compliance with labour law ........................................................................ 28
Section 4: Achieving decent work in micro and small enterprises.................................................... 30
4.1 Introduction................................................................................................................... 30
4.2 Improvements in law and governance benefit MSEs ................................................... 30
4.3 Representation and voice .............................................................................................. 31
4.4 Extending social security .............................................................................................. 35
4.5 Occupational health and safety ..................................................................................... 37
4.6 Labour inspection ......................................................................................................... 38
4.7 Initiatives on equality.................................................................................................... 38
4.8 International initiatives ................................................................................................. 39
4.9 Concluding comments .................................................................................................. 40
Section 5: Summary of conclusions .................................................................................................. 41
Bibliography..................................................................................................................................... 43
Annex ............................................................................................................................................... 53
Table 1: Collective bargaining coverage in OECD countries ................................................ 53
Table 2: Definition of collective dismissal ............................................................................. 54
Table 3: Labour inspectors in Latin America......................................................................... 55
List of boxes:
Box 1: Act for the Promotion and Formalization of Micro and Small Enterprises
(Law No. 28015, 3 July 2003), Peru.......................................................................... 28
Box 2: Puente Aranda, a small squatter settlement in Bogotá, Colombia............................. 31
Box 3: Self-help..................................................................................................................... 34
Box 4: Support of large firms................................................................................................ 35
______________________________
This information is provided to subscribers, friends, faculty, students and alumni of the School of Industrial & Labor Relations (ILR). It is a service of the Institute for Workplace Studies (IWS) in New York City. Stuart Basefsky is responsible for the selection of the contents which is intended to keep researchers, companies, workers, and governments aware of the latest information related to ILR disciplines as it becomes available for the purposes of research, understanding and debate. The content does not reflect the opinions or positions of Cornell University, the School of Industrial & Labor Relations, or that of Mr. Basefsky and should not be construed as such. The service is unique in that it provides the original source documentation, via links, behind the news and research of the day. Use of the information provided is unrestricted. However, it is requested that users acknowledge that the information was found via the IWS Documented News Service.
Stuart Basefsky
Director, IWS News Bureau
Institute for Workplace Studies
Cornell/ILR School
16 E. 34th Street, 4th Floor
New York, NY 10016
Telephone: (607) 255-2703
Fax: (607) 255-9641
E-mail: smb6@cornell.edu
****************************************
# posted by SBasefsky : 5:42 AM
