Labour Administration and Sustainability of Technical Cooperation in the Perspective of the ILO-IACML Project Project Principles and Rights at Work in the Context of the XIII IACML-OAS Leonardo Neves, Project PTC ILO Regional Office for Latin America and the Caribbean Second Meeting of WG2 of the IACML - OAS Buenos Aires, April 12, 2005

ILO-IACML Project Chronology n PHASE 1: September/2000 – March/2002 n PHASE 2: September/2002 – March/2004 n PHASE 3: May/2004 – November/2005 Donor n United States Department of Labour (USDOL) Location n ILO Regional Office for Latin America and the Caribbean

ILO-IACML Project (Phase 3) Objective: n To contribute to the comprehensive application of the ILO’s fundamental principles and rights at work and the improvement of employment and social conditions for the people of the hemisphere, through support for the implementation of the Salvador Action Plan of the XIII IACML.

Objective of the Project to backstop WG2 n To achieve – through research, consultation and social dialogue – horizontal cooperation agreements and technical cooperation projects that build the capacity of Ministries of Labour to effectively enforce labour laws and standards contemplated in the ILO Declaration, as well as in other areas of labour administration.

The Project and Labour Administration Importance of Labour Administration: n Labour administration is a fundamental issue in regional integration processes. n Leading role: u Ensuring enforcement of and respect for fundamental principles and rights at work, fostering integral development of individuals and their productive potential; u Improving labour institutions to increase economic security for workers and their families; u Improving the functioning of the labour market and understanding of the impact of integration on labour.

The Project and Labour Administration Project activities in this area: n Labour administration assessments and support for the formulation of corresponding Action Plans. n Assessments to date as part of the Project: PHASE 2PHASE 3 Ecuador (October/2003) Jamaica (August/2004) Nicaragua (April/2003) Saint Lucia (August/2004) Paraguay (April/2003) Panama (November/2004) Peru (February/2003) Trinidad & Tobago (April/2003)

The Project and Labour Administration Labour Administration Assessment: n Use of methodology designed by the ILO INFOCUS Programme for Promotion of Social Dialogue, Legislation and Labour Administration. n Assessments make no judgments about specific national policy or legislation, but attempt to analyse systems for enforcement of these policies and programmes, as well as administrative procedures. n Includes study of Ministries of Labour and their dependent bodies, at both the central and territorial level, and other relevant national agencies and institutions (judiciary, training institutes, social security institutions, etc.). n Relationships among social actors (governments, workers and employees) are evaluated.

The Project and Labour Administration Labour administration functions analysed: 1. Workplace and Labour Relations u Labour inspection; safety and health at work; dissemination of information about labour norms; conciliation, mediation and arbitration 2. Employment u Employment and professional training; operational bodies and programmes; job-creation policies and programmes; placement or employment offices 3. Relations with representatives of the community 4. Generation of information and analytical capacity 5. Human and material resources 6. Organisation and functioning

The Project and Labour Administration Principal conclusions of the assessments: n Labour administrations suffer from severe budget weakness, which limits their institutional capacity. n Lack of personnel, and poor working conditions for staff (stability, public service career, adequate remuneration, etc.). n Inadequate and insufficient material conditions, especially in territorial units. n Labour inspection: review processes for supervision and oversight; develop preventive programmes and a results-based system for scheduling visits; computerise services and generate periodic reports; train personnel and establish selection criteria for inspectors. n Safety and health at work: notable shortcomings in prevention and oversight of working conditions; lack of comprehensive approach and institutional coordination. n Employment Area: policies reduced to providing workers (primary system, few resources, unknown to or ignored by users).

The Project and Labour Administration State of the assessments: n Assessment: powerful tool for evaluating needs of labour administrations, which should include follow-up and lead to the preparation of a corresponding Action Plan. n Action plan: important guide for adoption of measures leading to improvement in the quality of services provided and for development of institutional capacity, as well as for guiding complementary actions (horizontal or technical cooperation projects). n Overall evaluation: progress has been relative, unstable and highly dependent on direct technical assistance from the ILO or technical cooperation projects. Ministries of Labour show weaknesses in terms of resources and institutional capacity for implementing the assessments’ recommendations. n Significant time lapse between presentation of the assessment results and follow-up action by the Ministries. Possible reasons: ministry personnel turnover; lack of focal point in ministry; lack of analysis of internal needs; lack of “immediate pressure” to begin reform process.

The Project and Labour Administration Follow-up of activities: n Ecuador and Peru: preparation of corresponding action plan. Ministries of Labour are receiving technical cooperation from FORSAT Project. The plans helped with definition of that project’s activities. n Nicaragua: preparation of a fairly ambitious Modernisation Plan, with actions that go beyond the ILO’s direct technical assistance. n Paraguay: development of a project for restructuring the Ministry, using the assessment as a basic reference. n Trinidad & Tobago: preparation of post-assessment action plan pending. n Jamaica and Saint Lucia: assessment reports were recently delivered. n Panama: assessment report is in final review phase.

The Project and Labour Administration Action Plan formulation grid REQUIREMENTSRECOMMENDATIONSNATIONAL ACTIONS ACTIONS IN COOPERATION Needs observed in assessment Recommendations suggested in assessment Implemented by National Admin. With its own resources Need horizontal coop., technical assistance or international cooperation

Horizontal Cooperation n Technical assistance and horizontal cooperation can play a key role in building capacities of Ministries of Labour n Represents a possible way of implementing activities outlined in Action Plans n Exchange of good practices in the area of labour administration

Horizontal Cooperation n To what extent can the Project help promote horizontal cooperation in the inter-American environment? u Implementation of important activities for defining concrete possibilities for horizontal cooperation in the region F Preparation of a database of technical cooperation programmes and projects being carried out in the region F Design and inclusion of specific survey on its Web page u Funding for exchanges of experiences and support for signing of horizontal cooperation agreements among Ministries of Labour in the region

Horizontal Cooperation n Lessons learned u Fostering exchange activities based on express requirements (demand) in post-assessment action plans is most effective for eventual signing of horizontal cooperation agreements. u Labour administration assessments and their corresponding action plans make it possible to identify more precisely the demand for technical or horizontal cooperation. u It is necessary to seriously address the supply mapping of good practices in the area of labour administration. u It is not enough for a given country to have a good practice; the country must be in a position to provide horizontal cooperation.

Horizontal Cooperation n Lessons learned u Fostering missions for the exchange of good practices makes it possible to better identify areas, terms and effective possibilities for potential horizontal cooperation, by placing the ministers involved in direct contact and establishing the necessary institutional relations. u The systematic documentation of these activities and their follow-up is crucial for encouraging the signing of horizontal cooperation agreements. u A structured mechanism for coordination and follow-up is necessary for properly identifying exchange activities, organising and carrying out missions, and subsequent systematic documentation and follow-up leading to the signing of a horizontal cooperation agreement.

Recommendations Activities to be implemented within sphere of IACML: n Continue carrying out new assessments that lead to attainable action plans (political priority, usefulness and applications). n Establish an effective mechanism that encourages horizontal cooperation (mapping of cooperation supply and demand). n Encourage exchange missions to promote the signing of horizontal cooperation agreements among interested Ministries of Labour. n Periodically evaluate the results achieved, providing feedback to the cooperation mechanism. n Promote the publicising of the mechanism and dissemination of the results.

For more information about the Project: Project Staff : Leonardo Neves Principal Technical Coordinator Silvia Muelle Administrative Assistant