Suites données aux recommandations du comité et du Conseil d’administration - Rapport No. 340, Mars 2006

Effect given to the recommendations of the Committee and the Governing Body

1. 205. The Committee last examined this case, which concerns certain provisions of the Guidelines for the Formation and Operation of Employees’ Councils issued by the Board of Investment (BOI), the overseeing authority for Sri Lanka’s free trade zones (FTZs) as well as the BOI Manual of Labour Standards and Employment Relations, at its March 2005 meeting [see 336th Report, paras. 103-112]. During its previous examination of the case, the Committee had: (1) noted the affirmation of the Government to the effect that the BOI guidelines had been amended although the issue of the 40 per cent requirement needed to be brought up before the National Labour Advisory Council (NLAC), and had requested the Government to clarify whether amendments had come into effect; (2) noted the observation of the Government to the effect that the issue would be put on the NLAC agenda for examination within the next three months and had requested to be kept informed in this respect; (3) noted that the Government did not specify the measures that had been taken and that were intended to be taken in order to promote collective bargaining in FTZs and had requested the Government to indicate more specifically the measures taken to promote collective bargaining in FTZs; and (4) noted that, while the Government had indicated that the phrase “representation functions” included all activities and functions that a trade union might undertake to protect and further the interests of its members, it did not indicate that trade union representatives might have access to the workplace for the purpose of communicating to workers the potential advantages of unionization, and had requested the Government to take the necessary measures to ensure that trade union representatives could seek access to FTZ enterprises under section 9A of the BOI Manual on Labour Standards and Employment Relations for the purpose of apprising the workers in the enterprises of the potential advantages of unionization.
2. 206. In its communication of 31 August 2005, the Government indicates that, with regard to the first issue noted above, the amendments to sections 5, 12.3 and 13(ii) of the BOI Guidelines for the formation and operation of Employees’ councils have been given effect. The Government adds that the guidelines were circulated among all the actual and new investors as well as among trade unions, and that in case of violations, the BOI assists the Department of Labour through the facilitation process and has the power to stop services to investors who violate the guidelines.
3. 207. Concerning the 40 per cent requirement for the recognition of trade union representativeness for collective bargaining purposes, the Government indicates that the issue has been referred to a tripartite committee, the Committee on Labour Reforms (CLR), appointed by the NLAC on overall labour reforms. This Committee is currently reviewing the labour legislation and is making proposals to give effect to international labour standards, and in particular Conventions Nos. 87 and 98.
4. 208. According to the Government, all the members of the Committee agreed that the reason for signing only a few collective agreements in the BOI was not the 40 per cent threshold, and except for one of the trade union members, the CRL was of the opinion that this requirement should be retained. Furthermore, the great majority of the committee was of the view that reducing the threshold would only contribute to the multiplicity of trade unions and affect negatively the process of collective bargaining. However, even if the CLR is not in favour of reducing the threshold of 40 per cent, the issue would be presented to the NLAC, along with the other proposals, for its deliberation and the outcome of the deliberations would be communicated after its final decision.
5. 209. In respect of the third issue mentioned above, the Government indicates that with the technical assistance and the guidance of the ILO, the Ministry of Labour Relations and Foreign Employment and the Department of Labour is undergoing a restructuring process. On that occasion, a unit called the “Social Dialogue Unit” has been set up; its main function is to promote workplace cooperation and social dialogue within enterprises, and to guide employers and workers in entering into collective bargaining. Currently, the division is carrying out a study in 100 workplaces including enterprises of the BOI to find out about the existing workplace cooperation and social dialogue methods in the enterprises. According to the Government, programmes will be implemented based on the findings of the study. The Government also states that it will inform the Committee on the progress made. The Government also underlines, in its communication of 12 September 2005, that collective bargaining is gaining ground in the FTZs. In addition to the four collective agreements and the two memorandums of settlement signed in 2004, two agreements have been signed in 2005, while six are currently being negotiated.
6. 210. In respect of the fourth issue of access of trade union representatives being restricted for the performance of trade union functions, the Government points out that the trade union representatives can seek access to FTZ enterprises in terms of section 9A of the BOI Manual on Labour Standards and Employment Relations. The Government underlines that FTZs being bonded areas, the rights of the property and management should be respected by the trade unions.
7. 211. The Committee notes the information provided by the Government. In respect of the first of the aforesaid issues, the Committee takes due note of the indication of the Government to the effect that the amendments to sections 5, 12.3 and 13(ii) of the BOI Guidelines for the formation and operation of employees’ councils entered into force and that the guidelines are being circulated among all the actual and new investors, as well as among trade unions. Furthermore, the Committee notes that the BOI has the power to stop services to investors who violate the guidelines. The Committee takes note of this information.
8. 212. Concerning the 40 per cent requirement for the recognition of trade union representativeness, the Committee notes that the issue has been referred to the CLR, a tripartite committee appointed by the NLAC. The Committee observes that the CLR is not in favour of the reduction of the threshold of 40 per cent. It also notes that the issue would be presented to the NLAC for its deliberation and that the outcome of the deliberations would be intimated after its final decision. The Committee requests the Government to keep it informed in this respect.
9. 213. With regard to measures taken in order to promote collective bargaining, the Committee notes that the Government indicates that the Ministry of Labour Relations and Foreign Employment and the Department of Labour is undergoing a restructuring process with the technical assistance and guidance of the ILO. It further notes that a study is being carried out in 100 workplaces, including enterprises of the BOI, and that programmes will be implemented based on the findings of the study. The Committee notes with interest that, according to the Government, collective bargaining is gaining ground in the FTZs, and that, in addition to the four collective agreements and the two memorandums of settlement signed in 2004, two agreements have been signed in 2005 while six are currently being negotiated. The Committee requests the Government to keep it informed of developments in this respect, and asks the Government, once again, to specifically indicate the measures taken to promote collective bargaining in the FTZs and to transmit the texts of the collective agreements signed in 2005.
10. 214. Regarding the issue of access of trade union representatives being restricted for the performance of trade union functions, the Committee notes that, according to the Government, trade union representatives can seek access to FTZ enterprises in terms of section 9A of the BOI Manual on Labour Standards and Employment Relations. The Government also mentions that FTZs being “bonded areas”, that the rights of the property and management should be respected by the trade unions. As the Government has not yet indicated whether access under section 9A of the BOI Manual included access for the purpose of apprising the workers in the enterprises of the potential advantages of unionization, the Committee would request the Government to indicate whether trade union representatives may seek access to FTZ enterprises under section 9A for such purposes.