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Equal Remuneration Convention, 1951 (No. 100) - Lao People's Democratic Republic (RATIFICATION: 2008)

Other comments on C100

Observation

2023

Direct Request

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Article 1(a) of the Convention. Definition of remuneration. The Committee notes the Government’s indication, in its report, that section 96 of the Labour Law 2014 which sets out the principle of equal remuneration between men and women is now section 104 of the Labour Law 2014. The Government adds that section 104 defines “wages and salary” as any “compensation for work on the part of the employee that are payable by the employer in accordance with an employment contract, either monthly, daily, hourly, as a lump sum or by unit of production”. The revised section 109 of the Labour Law 2014 also provides that salaries or wages may be paid in cash or in kind. When paying salaries or wages, at any time, the employer must record the payment and ensure the employee signs a receipt. The employer must notify the employee of the account and calculation of salary or wages. When making payments in kind in lieu of cash for salary or wages, it should be at an appropriate rate and stated as money, but it must be agreed upon by the employee or employee representative. The Committee notes that it still remains unclear if the term “wages or salary” includes additional emoluments made directly or indirectly by the employer to the worker which arise out of the worker’s employment, such as for example, bonuses or other allowances (cost of living, family responsibilities, travel, housing, etc.), but also increments based on seniority, marital status or benefits in kind (providing uniforms, food, etc.). In addition, once again, the Government does not clarify the meaning of “remuneration” in section 15 of the Law on the Development and Protection of Women 2004 (LDPW). While noting that the terms “wages and salary” in section 104 of the Labour Law 2014 includes payments made in cash or in kind, the Committee requests the Government to clarify whether the terms “wages and salary” in the Labour Law 2014, and “remuneration” in section 15 of the Law on the Development and Protection of Women (LDPW), also include any additional emoluments whatsoever payable directly or indirectly, as provided for under Article 1(a) of the Convention.

Article 2(1). Scope of application. Public sector. The Committee notes the Government’s reiterated indication that sections 87(13) and 88(8) of Governmental Law on Public Servants No.74/NA, dated 18 December 2015, allow claims by civil servants regarding equal remuneration for work of equal “value”, but that no claims were brought to the courts. The Government adds that civil servants receive the same starting salary and that their personal experience and position are taken into consideration to set individual salaries. The Committee further notes, from the Government’s report to the United Nations Committee on Economic, Social and Cultural Rights (CESCR), that the salaries of civil servants, military, and police officers are calculated based on the index that the Government periodically adopts upon the proposal from the Ministry of Finance (E/C.12/LAO/1, 20 December 2022, paragraph 45). The Committee requests the Government to provide information on the measures taken to raise awareness of the principle of the Convention among civil servants. It also requests the Government to provide a copyin one of the official languages of the ILO of: (i) the specific provisions of the Governmental Law on Public Servants No.74/NA, dated 18 December 2015, which guarantee equal remuneration for men and women for work of equal value; and (ii) the salary index proposal of the Ministry of Finance for civil servants.

Private sector. The Committee notes the Government’s indication that the Ministerial Decision on the Domestic Workers No. 4369/MOLSW was adopted on 2 November 2022. It notes however that the Government does not provide information on its contents. The Committee therefore asks the Government to provide a copy, in one of the official languages of the Office, of the specific provisions of the Ministerial Decision on Domestic Workers which ensure that the principle of equal remuneration for men and women for work of equal value also applies to household workers.

Article 2(2)(b). Wage determination and minimum wage. The Committee notes the Government’s general statement that it applies sections 104, 105, 106, 107, 108 and 109 of the Labour Law 2014. The Committee notes, from the Government’s report to the United Nations Committee on the Elimination of Discrimination against Women (CEDAW), that in order to bridge the gap on wages between women and men, Notice No. 829/PMO/2022 on the Guidance for Increase of Minimum Wages, instructed an increase of the monthly minimum wage from LAK1.100.000 kips to LAK1.300.000 kips (from US$55 to US$65 dollars) (CEDAW/C/LAO/10, 22 June 2023, paragraph 77). In its report to the CESCR, the Government also indicates that the minimum wages are reviewed periodically and are based on socio-economic development and increased living standards, among others (paragraph 43). The Committee recalls that, pursuant to section 108 of the Labour Law 2014, a “minimum wage can be determined for each sector”. In that regard, it wishes to stress that, where minimum wages are set at the sectoral level, there is a tendency to set lower wages for sectors predominantly employing women, and that due to such occupational segregation, special attention is needed in the design or adjustment of sectoral minimum wage schemes to ensure that the rates fixed are free from gender bias, and in particular that certain skills considered to be “female” are not undervalued (2012 General Survey, paragraph 683). The Committee therefore again asks the Government to ensure that minimum wage rates are fixed based on objective criteria, free from gender bias, and to ensure that the work in sectors with a high proportion of women, including the garment and service industries, is not undervalued in comparison with sectors in which men are predominantly employed. It also asks the Government to provide specific and detailed information on the method and criteria used for setting sectoral and industry-based minimum wages, to assess whether the principle of the Convention is taken into consideration.

Statistical data. The Government indicates that the Labour Force Survey 2022 contains data on the remuneration of men and women according to work sectors but that it has not been published yet. The Committee requests the Government to provide information on the distribution of men and women and their respective remuneration levels, in the various industries, in the public and private sectors, and in the different occupational categories.

Enforcement. The Committee notes the Government’s indication that no cases regarding equal pay were brought to the courts since its last report, and once again refers the Government to paragraph 870 of its 2012 General Survey. The Committee once again asks the Government to provide specific information on any steps taken to raise awareness of the principle of equal remuneration for work of equal value among workers, employers, and their respective organizations, and to strengthen the capacity of judges and the labour inspectorate in this regard. The Committee asks the Government to provide information on any court or administrative decisions regarding the application of section 15 of the LDPW and section 96 of the Labour Law 2014, as well as information on any violations recorded by the labour inspectorate.