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Further to its previous observations, the Committee notes the explanations provided by the Government concerning the application of Articles 4 and 7 of the Convention. It notes in particular that section 653 of the Civil Code in its current reading provides that “an employer is bound to pay the customary or agreed salary” no longer making reference to payment of wages in kind. It also notes that, according to the Government’s report, remuneration levels are determined through collective bargaining and that no labour collective agreement provides for the payment of wages in kind with the exception of certain allowances in kind which may only be granted in addition to, and not in substitution of even part of, the statutory wages. The Committee is satisfied that, under the terms of certain collective agreements concluded at the national, branch or enterprise levels that it has had the opportunity to consult, provision is made for allowances in kind
(e.g. protective clothing or foodstuffs) but with the express caveat that the cash value of those allowances may not be counted in or otherwise deducted from collectively agreed pay.

In addition, the Committee notes the explanations with respect to outlet stores established within certain factories, which offer goods at prices lower than other department stores, as publicly monitored by the Price Control Service, and which are operated for the benefit of all consumers including the workers employed in the factories concerned.

Finally, the Committee notes the information provided by the Government concerning the practical application of the Convention, in particular the monetary fine provided for those employers violating the rules on remuneration laid down by labour collective agreements as well as the statistical data of the Labour Inspectorate Body (SEPE) according to which as much as 71.2 per cent of all complaints concern non-payment of wages for work already performed. The Committee would appreciate if the Government would continue to provide, in accordance with Part V of the report form, up to date information on the application of the Convention in practice.