a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right to form and join independent unions, conduct legal strikes, and bargain collectively; however, the law prohibits workers in certain sectors, such as police, military, and corrections, from joining unions.

Except for workers in services designated as essential services, such as public health and safety, workers may strike once mandatory conciliation procedures lasting 30 days are exhausted and 48 hours’ notice is given to the employer and labor commissioner. Workers may take strike actions only in disputes involving specific worker interests, such as pay raises.

Worker rights disputes, including dismissals, must first be submitted to the labor commissioner for conciliation, followed by a more formal arbitration process if conciliation is unsuccessful. The parties have the right to appeal the arbitrator’s findings in labor court. The law provides for conciliation and arbitration to resolve labor disputes more quickly, although employers and unions publicly questioned the system’s effectiveness. The law prohibits unfair dismissal of workers engaged in legal strikes, specifically prohibits employer retaliation against both union organizers and striking workers, and provides for reinstatement for workers dismissed for union activity so long as the workers’ actions at the time were not in violation of other laws.

The law provides employees with the right to bargain individually or collectively and provides for recognition of the exclusive collective bargaining power of a union when more than half of workers are members of that union. The law provides for the protection of all workers, including migrants, nonessential public sector workers, domestic workers, and those in export processing zones. The law supporting collective bargaining does not cover the informal sector.

The government and employers generally respected freedom of association, and workers exercised this right. The government effectively enforced applicable laws on freedom of association, and penalties were sufficient to deter violations. Aside from mediation efforts, the government was not directly involved in union activities. Employers also did not appear to interfere in union activities.

The government generally enforced the law on collective bargaining.

Collective bargaining was not practiced widely outside the mining, construction, agriculture, and public-service sectors. Almost all collective bargaining was at the workplace and company level. Employers respected the collective bargaining process. Employees of parastatals Namibian Broadcasting Corporation and University of Namibia engaged in orderly strikes during the year.

The law requires employers to provide equal labor rights to all their employees. Employers may apply to the minister of labor and social services for an exemption from these provisions if they can prove workers’ rights are protected, but very few employers pursued this option.

The law prohibits all forms of forced or compulsory labor, including by children. Under the Combating Trafficking in Persons Act of 2018, persons convicted of engaging in trafficking in persons, which includes forced labor, face a maximum fine of N$ one million ($77,600), 30 years’ imprisonment, or both. The government did not report any allegations of forced or compulsory labor; it investigated child labor when reported. Resources, inspections, and remediation were inadequate. Penalties for violations had yet to be applied under the trafficking act by year’s end.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The minimum age for employment is 14. Children under age 18 may not engage in hazardous work, including working between the hours of 8 p.m. and 7 a.m., underground work, mining, construction work, or in facilities where goods are manufactured or electricity is generated, transformed, or distributed, or machinery is installed or dismantled. Hazardous work prohibitions for children in the agriculture sector are not comprehensive. Children ages 16 and 17 may perform hazardous work subject to approval by the Ministry of Labor, Industrial Relations, and Employment Creation and restrictions outlined in the Labor Act. Persons convicted of employing children face a maximum fine of N$20,000 ($1,550), four years’ imprisonment, or both. The Child Care and Protection Act also includes provisions prohibiting child labor.

GBV protection units enforced child labor laws in cooperation with the Ministry of Labor, Industrial Relations, and Employment Creation. By law labor inspectors are not authorized to issue penalties for labor violations, including child labor violations. The ministry, however, made special provisions in its labor inspections to look for underage workers, although budget constraints limited the number of inspectors. The government trained all inspectors to identify the worst forms of child labor. Targeted labor inspections in areas where child labor was reported continued on a regular basis.

Children worked on communal farms owned by their families herding cattle, goats, and sheep. Children also worked as child minders or domestic servants and in family businesses, including informal “businesses” such as begging.

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The labor law prohibits discrimination in employment and occupation based on race, sex, religion, political opinion, national origin or citizenship, pregnancy, family responsibility, disability, age, language, social status, and HIV-positive status, and the government in general effectively enforced the law. The law requires equal pay for equal work. The law does not specifically address employment discrimination based on sexual or gender orientation.

Refugees and legal immigrants with work permits enjoy the same legal protections, wages, and working conditions as citizens.

The Ministry of Labor, Industrial Relations, and Employment Creation and the Employment Equity Commission both report to the minister of labor and are responsible for addressing complaints of discrimination in employment.

Discrimination in employment and occupation occurred with respect to gender (see section 6), most frequently in the mining and construction industries. Men occupied approximately two-thirds of upper management positions in both the private and public sectors. Indigenous and marginalized groups sometimes faced discrimination in employment involving unskilled labor.

Although various sectors have a minimum wage, there was no generally applicable minimum wage law. Unions and employers negotiated industry-specific minimum wages, under Ministry of Labor, Industrial Relations, and Employment Creation mediation, greater than the poverty rate.

The standard legal workweek was 45 hours, with at least 36 consecutive hours of rest between workweeks. By law an employer may not require more than 10 hours’ overtime work per week and must pay premium pay for overtime work. The law mandates 20 workdays of annual leave per year for those working a five-day workweek and 24 workdays of annual leave per year for those working a six-day workweek. The law also requires employees receive paid time off for government holidays, receive five days of compassionate leave per year, at least 30 workdays of sick leave during a three-year period, and three months of maternity leave paid by the employer and the Social Security Commission.

The Ministry of Labor, Industrial Relations, and Employment Creation mandates occupational safety and health standards, and the law empowers authorities to enforce these standards through inspections and criminal prosecution. The law requires employers to provide for the health, safety, and welfare of their employees. The law covers all employers and employees in the country, including the informal sector and individuals placed by a private employment agency (labor hire), except independent contractors and members of the National Defense Force, Namibian Intelligence Service, the Prison Service, and police. By law employees have the right to remove themselves from dangerous work situations, and authorities effectively protected employees in such situations.

The government did not always enforce labor laws effectively. Resources to enforce the law were limited, and the number of inspectors was insufficient to address violations. Inspections occurred proactively, reactively, and at random. Due to the ministry’s resource constraints in vehicles, budget, and personnel, as well as difficulty in gaining access to some large communal and commercial farms and private households, labor inspectors sometimes found it difficult to investigate possible violations. The law provides that persons convicted of violating safety regulations face a maximum fine of N$10,000 ($775), two years’ imprisonment, or both; however, the penalties were insufficient to deter violations, and labor law violations occurred. The Namibian Employers’ Federation reported that the most prominent offenses concerning employee rights and working conditions were in the informal sector, including the common informal bars known as “shebeens.”

There were several reports of incidents of serious violations of construction sector occupational safety and health standards.

Allegations persisted that, apart from failing to adhere to the labor code concerning hiring and firing, Chinese firms failed to pay sector-established minimum wages and benefits in certain industries, failed to respect workhour regulations for public holidays and Sundays, and ignored occupational health and safety measures, for example, by requiring construction workers to sleep on site.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right of workers to form and join independent trade unions or other associations. It restricts freedom of association for police. While the right to strike is neither protected nor prohibited by law, a civil servant may not foment or take part in a strike and may be summarily dismissed from the service if found guilty of organizing a strike. The law does not specifically provide for the right of workers to collectively bargain, but it does not prohibit it. The law does not prohibit antiunion discrimination, and there is no legal right to reinstatement for dismissal due to union activity; however, workers may seek redress through the civil court system.

The government effectively enforced the law. Penalties for violations include fines, which were adequate to deter violations.

The country lacks formal trade unions. The transient nature of the mostly foreign workforce hampered efforts to organize trade unions.

The constitution prohibits all forms of forced or compulsory labor. In general, the government did not effectively enforce the law. The law does not stipulate penalties. Civil courts handle cases of forced labor. There were no reports such practices occurred.

The law sets the minimum age of employment at 16 years. No regulations govern type of work, occupation, or hours for workers younger than age 18, nor do they identify hazardous occupations. The Department of Human Resources and Labor is responsible for enforcing the law. The government enforced the law in the public sector but did not conduct any workplace inspections of private businesses.

The only two significant employers–the government and the phosphate industry–respected minimum age restrictions. There were reports some children younger than age 17 years worked in small family-owned businesses.

Labor laws and regulations do not prohibit discrimination in respect of employment and occupation. The law requires that public servants receive equal pay for work of equal value and provides for an entitlement to maternity leave after a woman has completed six months of employment. Women working in the private sector do not have a similar entitlement.

Discrimination in employment and wages occurred with respect to women. Societal pressures and the country’s general poverty limited opportunities for women. While women headed approximately one-third of all households, less than one-quarter of heads of households engaged in paid work were female.

Overall 70 percent of male heads of household and 40 percent of female heads of household were economically active in either paid or unpaid work, according to the Secretariat of the Pacific Community. There were no reports the government took any specific action to prevent employment discrimination.

The minimum starting salary for public-sector employees is approximately 1.80 AUD ($1.30) per hour. There is no minimum wage for private-sector workers. There was no official poverty-level income figure, but approximately 26 percent of the population lived at the subsistence level.

Public-service regulations govern salaries, working hours, vacation periods, and other employment matters for government workers, who constituted more than 90 percent of salaried workers. The government has a graduated salary system for public-service officers and employees.

There is no limit to the maximum number of accumulated overtime hours and no prohibition on excessive or compulsory overtime for workers in the public sector. There are no specific regulations that govern overtime or overtime pay for private-sector workers.

While no health and safety law exists, the government sets some health and safety standards, which are current and appropriate for the main industries. The law does not provide workers the right to remove themselves from a hazardous workplace without jeopardizing their employment.

The Department of Human Resources and Labor enforced the laws in the public sector. The law allows the ministry the right to inspect a workplace at any time. Authorities can charge an employer with a criminal offense if found to be in violation of the labor law or the provisions of an employment contract, which was sufficient to deter violations.

With the decline of the phosphate industry, enforcement of workplace health and safety requirements continued to be lax.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right of workers to form and join unions of their choice, except those organizations deemed by the government to be subversive or seditious. Freedom of association extends to workers in both the formal and informal sectors. Noncitizens cannot be elected as trade union officials. Local workers have the right to strike and bargain collectively, except for employees in essential services, including public transportation, banking, security, and health care. The Special Economic Zone (SEZ) Act approved in August 2016 prohibits workers from striking in any SEZ. There was only one SEZ under development. Members of the armed forces, police, and government officials at the undersecretary level or higher also are prohibited from taking part in union activities. In the private sector, employees in managerial positions are not permitted to join unions.

The law stipulates that unions must represent at least 25 percent of workers in a given workplace to be considered representative. The minimum requirement does not prohibit the formation of unofficial union groups, which may call strikes and enter into direct negotiation with the government. Workers in the informal sector may also form unions, but many workers were not aware of these rights.

The law also protects union representatives from adverse legal action arising from their official union duties, including collective bargaining, and prohibits antiunion discrimination. Workers dismissed for engaging in union activities can seek reinstatement by filing a complaint in labor court or with the Department of Labor, which has semijudicial and mediation authority. Most cases are settled through mediation. By law employers can fire workers only under limited conditions and only after three instances of misconduct. The law stipulates that participation in a strike that does not meet legal requirements constitutes misconduct, for which the consequences are suspension or termination of employment.

To conduct a legal strike, 51 percent of a union’s membership must vote in favor in a secret ballot, and unions are required to give 30 days’ notice before striking. If the union is unregistered, does not have majority support, or calls a strike prior to issuing 30 days’ notice, the strike is considered illegal.

Freedom of association and the right to collective bargaining were generally respected. Although the government restricted strikes in essential services, workers in hospitals, education services, and the transportation sector occasionally called strikes during the year and did not face any legal penalties. Many unions had links to political parties and did not operate independently from them, but worked effectively to advance the rights of workers. The government did not interfere in the functioning of workers’ organizations or threaten union leaders.

The law prohibits all forms of forced or compulsory labor and provides penalties ranging from one to 20 years in prison and fines of up to NRs 200,000 ($2,000). The law does not criminalize the recruitment, transportation, harboring, or receipt of persons by force, fraud, or coercion for the purpose of forced labor. The government made significant efforts to meet the minimum standards for the elimination of trafficking despite limited resources, but the country continued to be a source, transit, and destination for men, women, and children who were subjected to forced labor.

Government enforcement of the laws against bonded labor was uneven, and social reintegration of victims remained difficult. Resources, inspections, and remediation were inadequate, and penalties for violations were insufficient to deter violations.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law establishes 15 as the minimum age for work and 16 as the minimum age for hazardous work, and it mandates acceptable working conditions for children. Employers must maintain separate records of laborers between the ages of 14 and 17. The law prohibits employment of children in factories, mines, and 60 other categories of hazardous work and limits children between the ages of 16 and 17 to a 36-hour workweek (six hours a day between 6 a.m. and 6 p.m., six days a week). The law also establishes penalties of up to two years in prison and a fine up to NRs 100,000 ($1,000) for those who unlawfully employ children.

The Department of Labor, which is responsible for enforcing child labor laws and practices, had a weak enforcement record. The Department of Labor conducted most of its labor inspections in the formal sector while nearly all child labor occurred in the informal sector. The Department had 10 factory inspector positions in district labor offices and two senior factory inspector positions in Kathmandu. Chronic vacancies in these positions, however, limited the department’s effectiveness. Some of these positions were vacant due to regular rotation of civil servants, and resources devoted to enforcement were limited. In 2015 the Department of Labor created five senior labor officer positions in industry-heavy districts, but as of September the positions were all vacant. A broad range of laws and policies are designed to combat and eventually eliminate child labor. Penalties range from a NRs 10,000 ($100) fine and one year in prison to a NRs 200,000 ($2,000) fine and 20 years’ imprisonment.

Child labor occurred in agriculture, domestic service, portering, recycling, and transportation; the worst abuses were reported in brick kilns, the stone-breaking industry, the carpet sector, embroidery factories, and the entertainment sector. In the informal sector, children worked long hours in unhealthy environments, carried heavy loads, were at risk of sexual exploitation, and at times suffered from numerous health problems (see section 6, Children).

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The constitution prohibits discrimination on the basis of religion, race, sex, caste, tribe, geographical or social origin, language, marital status, physical or health condition, disability, or ideological conviction. Labor regulations prohibit discrimination in payment or remuneration based on gender.

There are no provisions in the constitution, law, or regulations prohibiting discrimination, including labor discrimination, or discrimination based on color, age, national origin or citizenship, HIV-positive status, or other communicable disease.

Despite constitutional and legal protections, discrimination in employment and occupation occurred with respect to gender, caste, ethnicity, national origin, citizenship, disability, religion, sexual orientation and gender identity, and HIV-positive status. Such discrimination was most common in the informal sector, where monitoring by the government and human rights organizations was weak or absent and those in disadvantaged categories had little leverage or recourse. In the formal sector, labor discrimination generally took the form of upper-caste men without disabilities being favored in hiring, promotions, and transfers.

To be eligible for government jobs, Nepali national origin or citizenship is mandatory.

According to the Ministry of Women, Children, and Senior Citizens and disability rights advocates, the overall rate of employment of persons with disabilities did not increase significantly. In the private sector, large numbers of persons with disabilities claimed they were denied work opportunities or dismissed due to their conditions. In all sectors employees with disabilities reported other forms of discriminatory treatment.

According to the Nepal National Dalit Social Welfare Organization, the government made little progress in implementing antidiscrimination legal provisions to assure employment opportunities for lower-caste individuals in both the public and private sectors. There was no comprehensive data on this abuse.

Reliable data on discrimination against LGBTI persons in various sectors was not available, but activists reported it was common for gender and sexual minorities to be denied promotions and competitive opportunities within the security services and athletics.

The government increased the minimum wage for unskilled laborers in July to NRs 13,350 ($120) per month. For workers in the tea industry, the minimum wage was increased to NRs 10,781 ($100) per month. The minimum wage exceeded the official poverty line of NRs 52 ($.50) per day, but it was minimally sufficient to meet subsistence needs.

Minimum-wage laws apply to both the formal sector (which accounted for approximately 10 percent of the workforce) and the informal sector, but implementation was stronger in the formal sector.

The law stipulates a 48-hour workweek, with one day off per week and one-half hour of rest per five hours worked. The law limits overtime to no more than four hours in a day and 20 hours per week, with a 50 percent overtime premium per hour. Excessive compulsory overtime is prohibited. Employees are also entitled to paid public holiday leave, sick leave, annual leave, maternity leave, bereavement leave, and other special leave. The law provides adequate occupational health and safety standards and establishes other benefits, such as a provident fund, housing facilities, day-care arrangements for establishments with more than 50 female workers, and maternity benefits.

The Ministry of Labor and Employment reported that most factories in the formal sector complied with laws on minimum wage and hours of work, but implementation varied in the informal sector, including in agriculture and domestic servitude. The ministry employed up to 12 factory inspectors for the country, who also acted as labor and occupational health and safety inspectors.

Implementation and enforcement of occupational health and safety standards were minimal, and the Ministry of Labor and Employment considered it the most neglected area of labor law enforcement. The ministry found violations across sectors, including in construction, mining, transportation, agriculture, and factory work.

The government has not created the necessary regulatory or administrative structures to enforce occupational safety and health provisions. The Ministry of Labor and Employment did not have a specific office dedicated to occupational safety and health, nor did it have inspectors specifically trained in this area. Penalties were insufficient to deter violations. Although the law authorizes factory inspectors to order employers to rectify unsafe conditions, enforcement of safety standards remained minimal, and monitoring was weak. Accurate data on workplace fatalities and accidents was not available. Labor law and regulations do not specify that workers can remove themselves from situations that endanger health or safety without jeopardizing their employment.

The government regulated labor contracting, or “manpower,” agencies recruiting workers for overseas jobs, and penalized fraudulent recruitment practices. The government said it remained committed to the free-visa, free-ticket scheme introduced in 2015, but according to migrant rights NGOs, the government has failed to implement the policy effectively. Some government officials were complicit in falsifying travel documents and overlooking recruiting violations by labor contractors. The myriad unregistered and unregulated labor “brokers” and intermediaries, who were often trusted members of the community, complicated effective monitoring of recruitment practices. Workers were also encouraged to register and pay a fee to the Foreign Employment Promotion Board, which tracked migrant workers and provided some compensation for workers whose rights were violated.

The government required contracts for workers going abroad to be translated into Nepali and instituted provisions whereby workers must attend a predeparture orientation program. During the orientation workers are made aware of their rights and legal recourse, should their rights be violated. The effectiveness of the initiatives remained questionable since workers who went overseas often skipped the mandatory training, and many companies issued predeparture orientation certificates for a small fee and failed to deliver the training. Nepali migrant workers abroad often continued to face exploitive conditions.

According to the International Labor Organization, more than 70 percent of the economically active population is involved in the informal economy.

The law provides for protection of workers from work situations that endanger their health and safety, but in small and cottage industries located in small towns and villages, employers sometimes forced workers to work in such situations or risk losing their jobs.

a. Freedom of Association and the Right to Collective Bargaining

The laws in all parts of the kingdom provide for public- and private-sector workers to form or join independent unions of their own choosing without prior governmental authorization or excessive requirements. The law provides for collective bargaining. Unions may conduct their activities without interference.

The law prohibits antiunion discrimination and retaliation against legal strikers. It requires workers fired for union activity to be reinstated. The law restricts striking by some public-sector workers if a strike threatens the public welfare or safety. Workers must report their intention to strike to their employer at least two days in advance.

The law provides for penalties, including fines. Such penalties were effective in deterring violations. Government, political parties, and employers respected the freedom of association and the right to bargain collectively. Authorities effectively enforced applicable laws related to the right to organize and collective bargaining.

For the Kingdom of the Netherlands, the Netherlands Trade Union Confederation (FNV) alleged temporary workers were used to break strikes. The FNV also raised concerns some employers refused to acknowledge the collective bargaining rights of self-employed workers who work side by side with regular employees.

Throughout the kingdom the law prohibits all forms of forced or compulsory labor, and the government enforced it. The penalty for violating the law against forced labor runs from 12 years’ imprisonment in routine cases to 18 years’ imprisonment in cases where the victim incurs serious physical injury and life imprisonment in cases where the victim dies. These penalties were adequate to deter violations.

Enforcement mechanisms and effectiveness varied across the kingdom. In the Netherlands, the Inspectorate for Social Affairs and Employment investigated cases of forced or compulsory labor. The Inspectorate works with various agencies, such as police, and NGOs to identify possible cases. After completion of the investigation, cases are referred to the prosecutor’s office. On the islands of the Dutch Caribbean, labor inspectors together with representatives of the Department for Immigration inspected worksites and locations for vulnerable migrants and to screen for indicators of trafficking. In Sint Maarten front-line responders did not have standard procedures for identifying forced labor victims, which hindered the government’s ability to assist such persons. Authorities investigated the possible exploitation of three Filipino women hired as domestic servants. In September the public prosecutor’s office determined that the case did not amount to forced labor, despite ongoing claims from the Filipino community alleging unfair labor practices and exploitation.

Isolated incidents of forced or compulsory labor occurred in the kingdom. Victims of coerced labor included both domestic and foreign women and men, as well as boys and girls (see section 7.c.) forced to work in, among other sectors, agriculture, horticulture, catering, domestic servitude and cleaning, the inland shipping sector, and forced criminality (including illegal narcotics trafficking).

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

In the Netherlands the law prohibits the worst forms of child labor. No reports of child labor occurred in the Netherlands. The government categorizes children into three age groups for purposes of employment: 13 to 14, 15, and 16 to 17. Children in the youngest group are allowed to work only in a few light, nonindustrial jobs and only on nonschool days. As children become older, the scope of permissible jobs and hours of work increase, and fewer restrictions apply. The law prohibits persons younger than 18 from working overtime, at night, or in hazardous situations. Hazardous work differs by age category. For example, children younger than 18 are not allowed to work with toxic materials, and children younger than 16 are not allowed to work in factories. Holiday work and employment after school are subject to very strict rules set by law. The government effectively enforced child labor laws. Offenders faced fines, which were sufficient to deter violations.

Aruba’s law prohibits the worst forms of child labor. In Aruba the minimum age for employment is 15. The rules differentiate between children and youngsters. Children are boys and girls younger than 15, and youngsters are persons between the ages of 15 and 18. Children age 13 or older who have finished elementary school may work, if doing so is necessary for learning a trade or profession (apprenticeship), not physically or mentally taxing, and not dangerous. Penalties ranged from fines to imprisonment, which were adequate to deter violations. The government enforced child labor laws and policies. It conducted adequate inspections of possible child labor violations.

Curacao’s law prohibits the worst forms of child labor. In Curacao the minimum age for employment is 15. The rules differentiate between children and youngsters. Children are those younger than 15, and youngsters are persons between the ages of 15 and 18. Children age 12 or older who have finished elementary school may work if doing so is necessary for learning a trade or profession (apprenticeship), not physically or mentally taxing, and not dangerous. The penalty for violations is a maximum four-year prison sentence and/or a fine, which was adequate to deter violations.

Sint Maarten’s law prohibits the worst forms of child labor. In Sint Maarten the law prohibits children younger than 14 from working for wages. Special rules apply to schoolchildren who are 16 and 17 years of age. The law prohibits persons younger than 18 from working overtime, at night, or in activities dangerous to their physical or mental well-being. Penalties ranged from fines to imprisonment and were adequate to deter violations. The government effectively enforced the law.

In the Kingdom of the Netherlands, labor laws and regulations prohibit discrimination in employment and occupation. The law applies to all refugees with residency status. Throughout the kingdom, the government effectively enforced the laws. Penalties took the form of fines and were adequate to deter violations.

The NIHR focused on discrimination in the labor market, such as discrimination in the workplace, unequal pay, termination of labor contracts, and preferential treatment of ethnically Dutch employees. On average, it addressed around 100 labor discrimination cases per year; although its rulings are not binding, they were usually followed. On August 30, for example, the NIHR ruled that a physical therapy office discriminated a female employee by changing her work hours and work location after she returned from maternity leave. Plaintiffs can also take their case to court, but NIHR is often preferred because of a lower threshold. The Inspectorate for Social Affairs and Employment conducted inspections to investigate whether policies are in place on the prevention of discrimination in the workplace. Several companies that were visited in the past, where revisited in 2017. In almost all cases, companies made improvements. In one instance, the Inspectorate handed out a fine for failure to implement new policy. The law addresses adaptations that require employers to accommodate employees with disabilities, and the government worked to improve the position of persons with disabilities in the labor market (see Section 6). The institute also cooperated on several campaigns against discrimination, such as Crossing out Discrimination, launched in 2016 by the Ministry of Interior that focused on raising awareness and encouraging individuals to report incidents of discrimination.

Discrimination occurred in the Netherlands, including on the basis of sex. The Netherlands Human Rights Institute undertook a campaign to counter discrimination in the workplace against pregnant women and women who may become pregnant. Female unemployment was higher than male, and female incomes lagged behind male counterparts. Discrimination in employment and occupation also occurred with respect to race, religion, and disability. Migrant workers also faced discrimination in employment. The International Labor Organization noted, for example, in the Netherlands, non-Western persons with a migration background were more likely to work under flexible contracts, had higher rates of youth unemployment, and continued to encounter discrimination in recruitment against people with a non-Dutch sounding last name.

In the Netherlands the minimum wage for an adult was sufficient for a single-person household but inadequate for a couple with two children. The government effectively enforced wage laws.

In Aruba there is no official poverty level, and the monthly minimum wage in 2015 was 1,711 Aruban florins ($958). In Curacao the minimum hourly wage was nine Netherlands Antillean guilders ($5.40), and the official poverty level was 2,195 guilders ($1,230). The official minimum hourly wage in Sint Maarten was 8.83 Netherlands Antillean guilders ($5.04); no poverty-level income information was available.

In the Netherlands the law does not establish a specific number of hours as constituting a full workweek, but most workweeks were 36, 38, or 40 hours long. Collective bargaining agreements or individual contracts, not law, regulate overtime. The legal maximum workweek is 60 hours. During a four-week period, a worker may only work 55 hours a week on average or, during a 16-week period, an average of 48 hours a week, with some exceptions. Persons who work more than 5.5 hours a day are entitled to a 30-minute rest period.

In the Netherlands the government set occupational health and safety standards across all sectors. Standards were appropriate for main industries and frequently updated. The situation was similar in Aruba, Curacao, and Sint Maarten. In Sint Maarten government established guidelines for acceptable conditions of work in both the public and private sectors covered specific concerns, such as ventilation, lighting, hours, and terms of work. The Ministry of Labor reviewed and updated the guidelines and routinely visited businesses to ensure employer compliance.

The Inspectorate for Social Affairs and Employment effectively enforced the labor laws on conditions of work across all sectors, including the informal economy. Resources, inspectors, and remediation were adequate. The government announced an annual budget increase of 50 million euros ($57.5 million) for additional resources for the Inspectorate. In 2017 labor inspectors imposed an average fine of nearly 10,500 euros ($12,100), which was sufficient to deter violations. The Inspectorate can shut down fraudulent temporary employment agencies, which facilitate labor exploitation.

Most violations in the Netherlands were in temporary employment agencies that mainly hired workers from Eastern Europe, particularly in the construction and transportation sectors, without paying the minimum wage. The situation was similar in Aruba, Curacao, and Sint Maarten, although the underpaid workers were generally from Latin America.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right of workers to form and join independent unions of their choice without previous authorization or excessive requirements, to bargain collectively, and to conduct legal strikes, with some restrictions. The law prohibits antiunion discrimination. While it does not require reinstatement of workers dismissed for union activity, the courts may order this at their discretion.

Police have the right to freedom of association and the right to organize and bargain collectively, but sworn police officers (including all uniformed and plainclothes police but excluding clerical and support staff) do not have the right to strike or take any form of industrial action.

Contractors cannot join unions, bargain collectively, or conduct strike action.

Workers may strike while negotiating the right to a collective bargaining agreement or over matters of health and safety. Strikes by providers of key services are subject to certain procedural requirements, including mandatory notice of three to 28 days, depending on the service involved. Key services include production, processing, and supply of petroleum products; production and supply of electricity, water, and sewer services; emergency fire brigade and police services; ambulance and hospital services; manufacturing of certain pharmaceuticals and dialysis solutions; operation of residential welfare or penal institutions; airport and seaport operations; dairy production operations; and animal slaughtering, processing, and related inspection services. The inclusion of some of these sectors was broader than international standards on the definition of “essential services.”

To bargain collectively, unions must be registered, independent, governed by democratic rules, and have a minimum of 15 members. Unions may not bargain collectively on social or political issues.

The government respected these rights and effectively enforced applicable laws without lengthy delays. The law provides for penalties for violations of freedom of association or collective bargaining protections and includes fines sufficient to deter violations. Cases were occasionally referred to the Civil Employment Court.

Nearly all unionized workers were members of unions affiliated with the New Zealand Council of Trade Unions (NZCTU), an independent federation that included unions representing various trades and locations. A few small, nonaffiliated unions also existed.

The law prohibits and criminalizes all forms of forced labor. The government’s efforts to enforce the law were not always effective. Penalties were not sufficiently stringent to deter violations because of the possibility that a fine can be imposed in lieu of imprisonment. Fines can also be imposed for labor violations that may be indicators of forced labor such as underpayment of wages and excessively long working hours.

The government continued to pursue convictions under forced labor and trafficking laws.

Recruitment agencies based within the country that recruit workers from abroad must utilize a licensed immigration adviser. In August NGOs questioned the government’s licensing process for such advisers, after media reported that a company director who was fined NZ$18,000 ($12,000) in 2017 for underpaying staff at a clothing store, was later approved as a licensed immigration adviser. The Immigration Advisers Authority responded that it takes licensed immigration advisers ethics very seriously and, like all advisers, the advisor would be monitored. The government expanded partnerships with foreign governments during the year to better monitor and regulate the recruitment of foreign migrant workers. According to the government, the aim of these partnerships was to reduce the risk of exploitation by providing greater transparency in recruitment and compliance to employment and immigration requirements.

Foreign migrant workers, including in agriculture, horticulture, viticulture, construction, hospitality, and as domestic workers were vulnerable to forced labor. Some foreign migrant workers were charged excessive and escalating recruitment fees, experienced unjustified salary deductions, nonpayment or underpayment of wages, excessively long working hours, and restrictions on their movement. Some had their passports confiscated and contracts altered. In response to forced labor concerns, foreign-flagged fishing vessels in the country’s economic waters are required to reflag as New Zealand vessels and follow New Zealand labor laws.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law prohibits the worst forms of child labor and provides for a minimum age of employment, limitations on working hours, and occupational safety and health restrictions for children. By law children younger than 16 years may not work between 10 p.m. and 6 a.m. The law also states that children enrolled in school may not work, even outside school hours, if such employment would interfere with their education. The law bans the employment of children younger than 15 in hazardous industries such as manufacturing, mining, and forestry.

Inspectors from WorkSafe New Zealand, an independent crown agent with its own governance board created to reform the workplace health and safety system, effectively enforced these laws. The law outlines prison sentencing guidelines and fines for the most serious offenses. Penalties were adequate to deter violations.

Children from 16 to 18 years worked in some hazardous industries and occupations, such as the agricultural sector. The law requires them to be fully trained. Children younger than 15 cannot drive a tractor or large vehicle, except children working in agriculture if they are older than 12 and are fully trained or are being trained, or they live on the property. Concerns remained about the commercial sexual exploitation of children (see section 6, Children).

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/  for information on the self-governing territories of New Zealand–Cook Islands and Niue–as well as the dependent territory, Tokelau.

The law prohibits discrimination with respect to employment and occupation. The government effectively enforced these prohibitions.

The HRC has an equal opportunity employment team that focuses on workplace gender-related problems. This team regularly surveyed pay scales, conducted a census of women in leadership roles, and engaged public and private employers to promote compensation equality. The Office of Ethnic Affairs continued to take measures to promote ethnic diversity in occupation and employment.

According to the NZCTU, Maori and Pacific Island people remained disadvantaged compared to the general population in terms of conditions of employment and wages.

The minimum hourly wage was NZ$16.50 ($10.75). The “training minimum wage” and the “starting-out” wage for workers between 16 and 19 years and new workers 20 and older was NZ$13.20 ($8.60). There was no official poverty-level income figure, but researchers frequently used 60 percent of the median household income, NZ$57,300 ($37,320), as the unofficial poverty-level marker.

The law provides that work hours should be set in collective or individual agreements between employers and employees. Although a 40-hour workweek is traditional, employer and employee parties may contractually agree to a workweek of more than 40 hours.

Extensive laws and regulations govern health and safety issues. Employers are obliged to provide a safe and healthy work environment, and employees are responsible for their own safety and health, as well as ensuring that their actions do not harm others. The government mandates employers to provide health insurance for their seasonal workers. The law allows workers to refuse to perform work likely to cause serious harm and permits legal recourse if they believed an employer penalized them as a result.

The government proactively investigated labor conditions and in cases of noncompliance with labor law inspectors levied fines, required restitution of wages to workers, and revoked licenses of offenders. The Ministry of Business, Innovation, and Employment enforces laws governing working conditions, including wages and hours, through Employment New Zealand’s labor inspectorate. In particular, employers who have breached minimum employment standards with regard to vulnerable migrant workers face a set stand-down period from the ability to support migrant visa applications. In August the company behind Burger King’s 82 fast-food outlets in the country was placed on the stand down list for one year for breaching the Minimum Wage Act. As of September, 83 companies or employers in the country were on the stand down list.

WorkSafe New Zealand deals with occupational health and safety issues. The department’s inspectors effectively enforced safety and health rules in all sectors including the informal economy, and they have the power to shut down equipment if necessary. The department normally investigated reports of unsafe or unhealthy working conditions within 24 hours of notification. Convictions for violations of the occupational health and safety law and the wages and hours law carry either monetary penalties or imprisonment. The law stipulates penalties for employers who exploit workers, including migrant workers; penalties include imprisonment, a fine, and deportation for noncitizen residents.

Between July 2017 and July, the country saw 35 workplace-related fatalities. Agriculture, forestry, and fishing were the country’s most dangerous sectors, with 17 persons killed while engaged in agriculture-related work. The majority of workplace assessments carried out in 2017 by WorkSafe New Zealand’s health and safety inspectors targeted high-risk industries such as agriculture, forestry, construction, and manufacturing. WorkSafe New Zealand reported that 75 percent of surveyed employers had changed their workplace practices following its inspections.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right of all workers in the public and private sectors, with the exception of those in the military and police, to form and join independent unions of their choice without prior authorization and to bargain collectively. The constitution recognizes the right to strike, although it places some restrictions on this right. The law prohibits antiunion discrimination. Burdensome and lengthy conciliation procedures impeded workers’ ability to call strikes. The government created parallel labor unions that it controlled to confuse and diffuse efforts to organize strikes or other labor actions. Additionally, if a strike continues for 30 days without resolution, the Ministry of Labor may suspend the strike and submit the matter to arbitration.

A collective bargaining agreement may not exceed two years and is renewed automatically if neither party requests its revision. Collective bargaining agreements in the Free Trade Zone regions, however, are for five-year periods. Companies in disputes with their employees must negotiate with the employees’ union, if one exists. By law several unions may coexist at any one enterprise, and the law permits management to sign separate collective bargaining agreements with each union.

The government typically enforced applicable laws and often sought to foster resolution of labor conflicts through informal negotiations rather than formal administrative or judicial processes. The law does not establish specific fines, and observers claimed penalties were generally insufficient to deter violations. Although the law establishes a labor court arbitration process, it was subject to long wait times and lengthy and complicated procedures, and many labor disputes were resolved out of court. The government claimed the vast majority of labor disputes were resolved favorably to workers, but labor and human rights organizations continued to allege rulings were often unfavorable to workers.

Freedom of association and the right to collective bargaining were generally respected, but, as in other cases involving independent groups, the government often intervened for political reasons. Most labor unions were allied with political parties, and in recent years the government reportedly dissolved unions and fired workers not associated with the ruling FSLN.

Politically motivated firings continued to be a problem, and the government appeared to accelerate such firings during the protests. By August 22, the Nicaraguan Medical Association reported at least 240 doctors had been fired from the public health system without cause. Many of those affected stated they were fired for rejecting government orders not to provide medical attention to protesters. On August 20, authorities similarly fired more than 40 public university staff, who also claimed that firings were in retaliation for expressing support for protests or in favor of university students participating in protests. In other cases observers noted the firings were carried out for reasons such as the refusal of a worker to join the FSLN or participate in FSLN demonstrations. In some cases there were reports of persons being fired for speaking with the independent press. Moreover, party affiliation or letters of recommendation from party secretaries, family cabinet coordinators, or other party officials were allegedly required from applicants seeking public-sector jobs. Several sources highlighted similar instances of public-sector employees being fired without receiving severance pay.

There were no known high-profile documented instances of strikes being declared illegal. During a strike employers may not hire replacement workers, but unions alleged this practice was common. Wildcat strikes–those without union authorization–have historically been common.

Employers interfered in the functioning of workers’ organizations and committed other violations related to freedom of association and collective bargaining. Labor leaders noted employers routinely violated collective bargaining agreements and labor laws with impunity.

Many employers in the formal sector continued to blacklist or fire union members and did not reinstate them. Many of these cases did not reach the court system or a mediation process led by the Ministry of Labor. Employers often delayed severance payments to fired workers or omitted the payments altogether. Employers also avoided legal penalties by organizing employer-led unions lacking independence and by frequently using contract workers to replace striking employees. There were reports FSLN party dues were automatically deducted from paychecks.

The law prohibits all forms of forced or compulsory labor. Penalties for violations were generally insufficient to deter violations. There was no information available regarding government enforcement of these laws. Despite reported political will to combat human trafficking, including labor trafficking, during the year the government prosecuted and convicted fewer traffickers than in the previous year and provided only limited information about its law enforcement efforts.

Observers noted reports of forced labor, including of men, women, and children in agriculture, construction, mining, and domestic servitude.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law prohibits the worst forms of child labor. The law establishes the minimum age for employment at 14 and limits the workday for any individual between ages 14 and 18 to six hours and the workweek to 30 hours. Those between ages 14 and 16 must have parental approval to work or enter into a formal labor contract. The law prohibits teenage domestic workers from sleeping in the houses of their employers. It is illegal for minors to work in places the Ministry of Labor considers harmful to their health or safety, such as mines, garbage dumps, and night entertainment venues, and to undertake certain agricultural work. The government mostly enforced the law in the formal sector, which was significantly smaller than the informal sector, in which child labor was more prevalent. Legal penalties for persons employing children in dangerous work were sufficient to deter violations. The government reported finding 27 child workers under the age of 14 during the year. These minors were separated from the workplace.

The government used its limited resources to concentrate on child labor violations in select sectors in narrow geographic areas, such as coffee-growing regions, and gave only limited attention to the large informal sector.

The government continued Programa Amor, which aimed to eradicate child labor by reintegrating abandoned children into society. Information on the program’s activities, funding, and effectiveness was unavailable.

Child labor remained widespread. According to organizations that worked on children’s rights, this likely increased to almost 320,000 children working in some form of child labor. A common feature of child labor was the prevalence of unpaid family work, and the National Institute of Development Information stated 80 percent of children and adolescents were unpaid workers.

Most child labor occurred in forestry, fishing, and the informal sector, including on coffee plantations and subsistence farms. Child labor also occurred in the production of dairy products, oranges, bananas, tobacco, palm products, coffee, rice, and sugarcane; cattle raising; street sales; garbage-dump scavenging; stone crushing; street performing; and transport.

Children working in agriculture suffered from sun exposure, extreme temperatures, and dangerous pesticides and other chemicals. Children working in the fishing industry were at risk from polluted water and dangerous ocean conditions.

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The law and regulations prohibit discrimination regarding race, sex, gender, disability, language, sexual orientation or gender identity, HIV or other communicable disease status, or social status. The government did not deter such discrimination because it did not effectively enforce the law and regulations.

Discrimination in employment took many forms. Although women generally had equal access to employment, few women had senior positions in business; in the public sector or in elected positions, women’s independence and influence were limited. Additionally, women’s wages were generally lower when compared with those of male counterparts, even for the same position and work performed. Workplace challenges for persons with disabilities included inadequate infrastructure, lack of educational opportunities, and a generally low rate of public services positions, despite a legal requirement that a certain percentage be available to them. LGBTI organizations complained sexual orientation and gender identity continue to be a basis for discriminatory behavior.

The law establishes a statutory minimum wage for 10 economic sectors. According to the Ministry of Labor, the average legal minimum wage covered only 35 percent of the cost of basic goods.

In general the minimum wage was enforced only in the formal sector, estimated to be approximately 20 percent of the economy, and contracting. The Ministry of Labor is the primary enforcement agency, but the government did not allocate adequate staff or other measures to enable the Office of Hygiene and Occupational Safety to enforce occupational safety and health (OSH) provisions. Established penalties were generally sufficient to deter violations.

The standard legal workweek is a maximum of 48 hours, with one day of rest. The law dictates an obligatory year-end bonus equivalent to one month’s pay, proportional to the number of months worked. The law mandates premium pay for overtime, prohibits compulsory overtime, and sets a maximum of three hours of overtime per day not to exceed nine hours per week.

The National Council of Labor Hygiene and Safety, including its departmental committees, is responsible for implementing worker safety legislation and collaborating with other government agencies and civil society organizations in developing assistance programs and promoting training and prevention activities. OSH standards did not deter violations in the formal sector because they were infrequently enforced. The government reported 19,622 labor accidents in the year, resulting in 32 labor-related deaths.

OSH standards also were not widely enforced in an expanding large informal sector, which represented 77 percent of employment and 88 percent of businesses, according to 2016 reports from the Consultants for Business Development and the Nicaraguan Foundation for Economic and Social Development. The informal sector included the bulk of workers in street sales, agriculture and ranching, transportation, domestic labor, fishing, and minor construction. Legal limitations on hours worked often were ignored by employers, who claimed workers readily volunteered for extra hours for additional pay. Violations of wage and hour regulations in the informal sector were common and generally not investigated, particularly in street sales, domestic work, and agriculture. Compulsory overtime was reported in the private security sector, where guards often were required to work excessive shifts without relief.

By law workers may remove themselves from situations that endanger their health or safety without jeopardy to their employment. It was unclear if authorities effectively protected employees in all such cases.

a. Freedom of Association and the Right to Collective Bargaining

The constitution and law provide for the right of workers to form and join independent unions, conduct legal strikes, and bargain collectively. The law provides for freedom of association, but the government had not adopted implementing regulations to enforce the law. While there were no provisions that limit collective bargaining in nonessential services, certain provisions restrict certain categories of public servants not engaged in the administration of the government from exercising their right to collective bargaining. Children ages 14-15 are permitted to work (although there are limits on the hours and type of work) but are not permitted to join unions. The right to strike excludes police and other security forces. The law restricts the right to strike by public servants in management positions and workers in certain “essential services,” the scope of which was broader than that envisioned in International Labor Organization (ILO) conventions. The law defines strategic and essential services that require minimum service during a strike, including telecommunications, health, government media, water supply, electricity distribution, fuel distribution, air traffic control, financial services, public transportation, garbage collection, and government authority services. Legal restrictions usually involve requiring civil servants to report to work during a legally notified strike. There are no prohibitions on strikes in nonessential services. Workers must give employers at least three days’ advance notice of intent to strike. The government may call for mandatory arbitration in lieu of a strike.

The law allows unions to conduct their activities without interference. The law prohibits antiunion discrimination and provides for damages (instead of reinstatement) for workers dismissed for union activity. There are limitations on the law’s applicability to public service employees, however.

Government application of laws in the public and private sectors varied, but the law was largely enforced. Penalties for violations included imprisonment and fines; these penalties were generally sufficient to deter violations in the formal sector.

The law applied to the large informal sector, which accounted for 64.5 percent of the economy in 2015, according to the National Institute of Statistics, but enforcement was limited because this sector was largely nonunionized and not subject to inspection. The informal sector did feature some unions. For example Marche Katako, a large informal market in Niamey, had its own union, the Union for Katako Tradespersons.

Authorities respected freedom of association, the right to strike, and the right to collective bargaining, and workers exercised these rights. For example, the tradespersons and storeowners in several markets throughout the country staged unobstructed strikes at times during the year to protest new taxes and high energy costs. Unions exercised the right to bargain collectively for wages above the legal minimum and for more favorable working conditions. In September the Ministry of Secondary Education discussed banning unions for secondary school students, but it did not ultimately pass the measure. The government also was increasingly critical of the National Union of University Teachers, blaming teacher strikes over unpaid wages, lack of supplies, and unacceptable facilities for lost school days.

The law criminalizes all forms of forced labor, including slavery, practices similar to slavery, and exploitative begging. The term “forced or compulsory labor” is interpreted to mean “any labor or service required of a person under the threat of punishment and for which the individual has not given full consent.” The government did not effectively enforce these laws.

The labor code imposes penalties including fines and imprisonment for forced labor, but the penalties were largely unenforced. Information on the number of victims removed from forced labor was not available.

The government, particularly the Ministry of Interior and the Ministry of Labor and Civil Service, made efforts to reach out to administrative heads and religious and traditional chiefs to discourage forced labor, especially traditional slavery. Enforcement of the law, however, was sporadic and ineffective, particularly outside the capital.

Forced labor remained a problem. A study conducted by the government and the ILO concluded that in 2011 the prevalence of forced labor was 1.1 percent among the adult population (more than 59,000 persons), 48.8 percent of whom were engaged in domestic work, and 23.6 percent in agriculture or stockbreeding. These percentages were higher in the regions of Tillabery, Tahoua, and Maradi. A study conducted by the National Institute of Statistics, in collaboration with the Ministry of Justice, in 2016 concluded that victims of forced labor were characteristically young (age 17 on average) and predominantly male (62.5 percent), although adult victims were also identified. The study found poverty and associated misery and unacceptable living conditions to explain why victims accepted offers that put them into forced labor situations.

The Tuareg, Djerma, Fulani, Toubou, and Arab ethnic minorities throughout the country, particularly in remote northern and western regions and along the border with Nigeria, practiced a traditional form of caste-based servitude or bonded labor. Persons born into a traditionally subordinate caste or descent-based slavery sometimes worked without pay for those above them in the social order. Such persons were forced to work without pay for their masters throughout their lives, primarily herding cattle, working on farmland, or working as domestic servants. Estimates of the numbers of persons involved in traditional slavery varied widely.

Forced child labor occurred. Thousands of boys as young as age four and largely from poor, rural families, were forced to beg on city streets in lieu of payment of fees for religious education. Girls from poor rural families were sometimes forced into domestic servitude (see section 7.c.). In Djerma/Songhai communities, social stigma against descendants of hereditary slaves interfered with the latter’s right to marry freely, own property, practice independent farming or other economic activity, and participate in politics. Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law prohibits the use of child labor and the employment of children younger than age 12. Children who are 12 or 13 may perform nonindustrial light work for a maximum of two hours per day outside of school hours with a labor inspector’s authorization, as long as such work does not impede their schooling. Light work is defined as including some forms of domestic work, fruit picking and sorting, and other nonindustrial labor. Children who are 14 to 17 may work a maximum of 4.5 hours per day. Children may not perform work that requires force greater than their strength, may damage their health or development, is risky, or is likely to undermine their morals. The minimum age for hazardous work does not meet the international standard of age 18. In addition, the law does not prohibit hazardous occupations and activities in all relevant child labor sectors, including agriculture. The law requires employers to provide minimum sanitary working conditions for children. The law does not apply to types of employment or work performed by children outside an enterprise, such as self-employment.

The government did not effectively enforce child labor laws, in part due to an insufficient number of child labor inspectors in the Ministry of Labor and Civil Service. Penalties for violations included fines and imprisonment, but these were not adequate to deter violations. The laws rarely were applied to work performed by children in the nonindustrial/informal sector. The government worked with international partners to provide relevant education as an inducement to parents to keep their children in school.

Child labor was prevalent. According to a 2012 national survey, approximately 43 percent of children between ages five and 14 (an estimated 2.5 million) were engaged in labor. The majority of rural children regularly worked with their families from an early age, helping in the fields, pounding grain, tending animals, gathering firewood and water, and doing similar tasks. Some families kept children out of school to work or even beg.

A study in 2009 indicated that 2.8 percent of working children (an estimated 55,000) were engaged in forced child labor. The most common forms of exploitation according to the study were forced labor (31.4 percent or about 631,437 persons), begging (21 percent), prostitution or other forms of sexual exploitation (17.8 percent), slavery (10.2 percent), and servitude (11.4 percent).

Male youths, between the ages of four and 20 (with an average age of 10) were the most affected. The victims were forced to labor in mines, quarries, agriculture, as mechanics or welders, in artisanal workshops, or to beg or steal. Female victims, between ages 13 and 39 (with an average age of 19.8 years), mainly were forced into domestic or sex work. There were reports that loosely organized clandestine international networks forced young boys from neighboring countries into manual labor or begging and young girls to work as domestic servants, usually with some degree of consent or complicity of their families.

The practice of forced begging of talibes–Quranic schoolchildren–where some Quranic schoolteachers forced their young male pupils to work as beggars, remained widespread, with a degree of complicity from parents.

Child labor occurred in largely unregulated artisanal gold-mining operations as well as in trona (a source of sodium carbonate compounds), salt, and gypsum mines. The artisanal gold mines at Komabangou, Tillabery Region, continued to use many children, particularly adolescent boys and some girls, under hazardous health and safety conditions. The use of cyanide further complicated the health hazards. Komabangou miners, other residents, and human rights groups expressed deep concern about poisoning, but the practice remained widespread.

Children born into a traditionally subordinate caste or descent-based slavery became the property of their masters and could be passed from one owner to another as gifts or part of a dowry. Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The constitution provides for equal access to employment for all citizens. The labor code prohibits discrimination in employment and occupation based on race, color, sex, religion, political opinion, national origin or citizenship, social origin, disability, sexual orientation or gender identity, age, language, HIV-positive status, sickle cell anemia, or other communicable disease. The code prescribes fines for persons engaging in discrimination. The code requires equal pay for equal work and provides benefits for persons with disabilities.

The government did not effectively enforce the law. The government neither adopted any regulations to implement the labor code nor took any actions to prevent or prosecute employment discrimination. The government had inadequate resources to investigate reports of violations, and penalties were insufficient to deter violations.

Discrimination in employment and occupation occurred with respect to gender and disability. Traditional and religious beliefs resulted in employment discrimination against women. The government requires companies to hire a minimum of 5 percent of individuals with disabilities; however, the government did not enforce the law. Workplace access for persons with disabilities remained a problem. The descendants of hereditary slaves also faced discrimination in employment and occupation.

The labor code establishes a minimum wage only for salaried workers in the formal sector with fixed (contractual) terms of employment. Minimum wages are set for each class and category within the formal economy. The lowest minimum wage was 30,047 CFA francs ($54) per month, with an additional 2,500 CFA francs ($4.51) per child per month. The government designated 1,000 CFA francs ($1.80) per day as the poverty income level, and during the year the government reported 48.2 percent of citizens lived below that level.

The formal economy’s legal workweek is 40 hours with a minimum of one 24-hour rest period, although the Ministry of Labor and Civil Service authorized workweeks of up to 72 hours for certain occupations such as private security guards, domestic workers, and drivers. The law provides for paid annual holidays. The law provides special arrangements regarding the mining and oil sectors whereby the Ministry of Labor and Civil Service may grant waivers regarding work hours based on these two sectors’ specific nature and make allowances for working larger blocks of time in exchange for time off. Workers may work for two weeks beyond normal work hours, in compensation for which they are entitled to two weeks’ rest. Employers must provide premium pay for overtime, although the law does not set a specific rate. The labor code calls for a maximum eight hours of overtime per week, but this was not enforced. Employees of each enterprise or government agency negotiate with their employer to set the rate.

The labor code establishes occupational safety and health standards, which were current and appropriate for the main industries. It extends labor inspectors’ authority and provides for sanctions, including a mandatory appearance before labor inspectors for resolving labor disputes. By law workers may remove themselves from situations that endangered health or safety without jeopardy to their employment, and there are no exceptions from such protections for migrant or foreign workers. Nevertheless, authorities did not effectively protect employees in such situations. The nonunionized subsistence agricultural and small trading sectors, where the law applied but was not enforced, employed approximately 80 percent of the workforce. In the nonunionized informal sector, despite the law, it was unlikely workers could exercise the right to sick leave without jeopardizing their employment.

The Ministry of Labor and Civil Service inconsistently enforced minimum wages and workweek laws only in the regulated formal economy. The number of inspectors responsible for enforcing the labor code was not sufficient to enforce compliance. Ministry officials observed that monetary sanctions were not stringent enough to deter violations.

Violations of provisions governing wages, overtime, and work conditions reportedly occurred in the petroleum and mining sectors, including at artisanal gold mines, oil fields, and oil refineries. Groups of workers in hazardous or exploitive work conditions included mineworkers, which included children, domestic workers, and persons in traditional slavery. In the traditional gold-mining sector, the use of cyanide posed serious health hazards for workers and surrounding communities. A significant, but unknown, percentage of the mining workforce worked in the informal sector.

Union workers in many cases did not receive information about the risks posed by their jobs. According to the Ministry of Labor and Civil Service, in 2013 there were 229 work-related accidents, including nine fatalities. All cases were compensated as required by law. Most accidents occurred in the mining sector.

a. Freedom of Association and the Right to Collective Bargaining

The law provides all workers, except members of the armed forces, the Central Bank of Nigeria, Nigeria Telecommunications, and public employees who are classified in the broad category of “essential services,” the right to form or belong to any trade union or other association, conduct legal strikes, and bargain collectively; some statutory limitations substantially restrict these rights. Trade unions must meet various registration requirements to be legally established. By law a trade union may only be registered if there is no other union already registered in that trade or profession and if it has a minimum of 50 members, a threshold most businesses could not meet. A three-month notice period, starting from the date of publication of an application for registration in the Nigeria Official Gazette, must elapse before a trade union may be registered. If the Ministry of Labor and Employment does not receive objections to registration during the three-month notice period, it must register the union within three months of the expiration of the notice period. If an objection is raised, however, the Ministry has an indefinite period to review and deliberate on the registration. The registrar may refuse registration because a proper objection has been raised or because a purpose of the trade union violates the Trade Union Act or other laws. Each federation must consist of 12 or more affiliated trade unions, and each trade union must be an exclusive member in a single federation.

The law generally does not provide for a union’s ability to conduct its activities without interference from the government. The law narrowly defines what union activities are legal. The minister of labor and employment has broad authority to cancel the registration of worker and employer organizations. The registrar of trade unions has broad powers to review union accounts at any time. In addition, the law requires government permission before a trade union may legally affiliate with an international organization.

The law stipulates that every collective agreement on wages be registered with the National Salaries, Income, and Wages Commission, which decides whether the agreement becomes binding. Workers and employers in export processing zones (EPZs) are subject to the provisions of labor law, the 1992 Nigeria Export Processing Zones Decree, and other laws. Workers in the EPZs may organize and engage in collective bargaining, but there are no explicit provisions providing them the right to organize their administration and activities without interference by the government. The law does not allow worker representatives free access to the EPZs to organize workers, and it prohibits workers from striking for 10 years following the commencement of operations by the employer within a zone. In addition the Nigerian Export Processing Zones Authority, which the federal government created to manage the EPZ program, has exclusive authority to handle the resolution of disputes between employers and employees, thereby limiting the autonomy of the bargaining partners.

The law provides legal restrictions that limit the right to strike. The law requires a majority vote of all registered union members to call a strike. The law limits the right to strike to disputes regarding rights, including those arising from the negotiation, application, interpretation, or implementation of an employment contract or collective agreement, or those arising from a collective and fundamental breach of an employment contract or collective agreement, such as one related to wages and conditions of work. The law prohibits strikes in essential services, defined in an overly broad manner, according to the International Labor Organization (ILO). These include the Central Bank of Nigeria; the Nigerian Security Printing and Minting Company, Ltd.; any corporate body licensed to carry out banking under the Banking Act; postal service; sound broadcasting; telecommunications; maintenance of ports, harbors, docks, or airports; transportation of persons, goods, or livestock by road, rail, sea, or river; road cleaning; and refuse collection. Strike actions, including many in nonessential services, may be subject to a compulsory arbitration procedure leading to a final award, which is binding on the parties concerned.

Strikes based on disputed national economic policy are prohibited. Penalties for conviction of participating in an illegal strike include fines and imprisonment for up to six months.

Workers under collective bargaining agreements may not participate in strikes unless their unions comply with legal requirements, including provisions for mandatory mediation and referral of disputes to the government. Workers may submit labor grievances to the judicial system for review. Laws prohibit workers from forcing persons to join strikes, blocking airports, or obstructing public byways, institutions, or premises of any kind. Persons committing violations are subject to fines and possible prison sentences. The law further restricts the right to strike by making “check-off” payment of union dues conditional on the inclusion of a no-strike clause during the lifetime of a collective agreement. No laws prohibit retribution against strikers and strike leaders, but strikers who believe they are victims of unfair retribution may submit their cases to the Industrial Arbitration Panel with the approval of the Ministry of Labor and Employment. The panel’s decisions are binding on the parties but may be appealed to the National Industrial Court. The arbitration process was cumbersome, time consuming, and ineffective in deterring retribution against strikers. Individuals also have the right to petition the Labor Ministry and may request arbitration from the National Industrial Court.

The law does not prohibit general antiunion discrimination; it only protects unskilled workers. The law does not provide for the reinstatement of workers fired for union activity. A large number of alleged cases in anti-union discrimination and obstruction to collective bargaining were reported during the year. Specific acts include denial of the right to join trade unions, massive dismissals for trying to join trade unions, mass persecution of union members, and arrests of union members, among others.

In 2013 the ILO ruled that many provisions of the Trade Union Act and the Trade Disputes Act contravened ILO conventions 87 and 98 by limiting freedom of association. While workers exercised some of their rights, the government generally did not effectively enforce the applicable laws. Penalties were not adequate to deter violations. Inflation reduced the deterrence value of many fines established by older laws. For example, some fines could not exceed 100 naira ($0.28).

In many cases workers’ fears of negative repercussions inhibited their reporting of antiunion activities. According to labor representatives, police rarely gave permission for public demonstrations and routinely used force to disperse protesters.

Collective bargaining occurred throughout the public sector and the organized private sector but remained restricted in some parts of the private sector, particularly in banking and telecommunications. According to the International Trade Union Confederation, the government and some private-sector employers occasionally failed to honor their collective agreements.

The law prohibits most forms of forced or compulsory labor, including by children, although some laws provide for a sentence that includes compulsory prison labor. The law provides for fines and imprisonment for individuals convicted of engaging in forced or compulsory labor, and these penalties would be sufficient to deter violations if appropriately enforced. Enforcement of the law remained ineffective in many parts of the country. The government took steps to identify or eliminate forced labor, but insufficient resources and lack of training on such laws hampered efforts.

Forced labor remained widespread. Women and girls were subjected to forced labor in domestic service, while boys were subjected to forced labor in street vending, domestic service, mining, stone quarrying, agriculture, and begging.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The government has laws and regulations related to child labor, but the legal framework does not completely prohibit the worst forms of child labor. Penalties were not sufficient to deter violations.

By law age 12 is the general minimum age for employment. Persons younger than age 14 may be employed only on a daily basis, must receive the day’s wages at the end of each workday, and must be able to return each night to their parents’ or guardian’s residence. By law these regulations do not apply to domestic service. The law also provides exceptions for light work in agriculture and horticulture if the employer is a family member. No person younger than age 16 may work underground, in machine work, or on a public holiday. No “young person,” defined as a person under age 18 by the Labor Act, may be employed in any job that is injurious to health, dangerous, or immoral. For industrial work and work on vessels where a family member is not employed, the minimum work age is 15, consistent with the age for completing educational requirements. The law states children may not be employed in agricultural or domestic work for more than eight hours per day. Apprenticeship of youths older than age 12 is allowed in skilled trades or as domestic servants.

The Labor Ministry dealt specifically with child labor problems, but mainly conducted inspections in the formal business sector, where the incidence of child labor reportedly was not significant. The National Agency for the Prohibition of Traffic in Persons has some responsibility for enforcing child labor laws, although it primarily rehabilitates trafficking and child labor victims. Victims or their guardians rarely complained due to intimidation and fear of losing their jobs.

The government’s child labor policy focused on intervention, advocacy, sensitization, legislation, withdrawal of children from potentially harmful labor situations, and rehabilitation and education of children following withdrawal. In an effort to withdraw children from the worst forms of child labor, it operated vocational training centers with NGOs around the country. Despite the policy and action plan, children remained inadequately protected due to weak or nonexistent enforcement of the law.

The worst forms of child labor identified in the country included: commercial agriculture and hazardous farm work (cocoa, cassava); street hawking; exploitative cottage industries such as iron and other metal works; hazardous mechanical workshops; exploitative and hazardous domestic work; commercial fishing; exploitative and hazardous pastoral and herding activities; construction; transportation; mining and quarrying; prostitution and pornography; forced and compulsory labor and debt bondage; forced participation in violence, criminal activity, and ethnic, religious, and political conflicts; and involvement in drug peddling.

Many children worked as beggars, street peddlers, and domestic servants in urban areas. Children also worked in the agricultural sector and in mines. Boys were forced to work as laborers on farms, in restaurants, for small businesses, in granite mines, and as street peddlers and beggars. Girls worked involuntarily as domestic servants and street peddlers.

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The law does not prohibit discrimination in employment and occupation based on race, sex, religion, political opinion, gender, disability, language, sexual orientation, gender identity, age, HIV-positive status, or social status. The government in general did not effectively address discrimination in employment or occupation.

Gender-based discrimination in employment and occupation occurred (see section 6, Women). No laws bar women from particular fields of employment, but women often experienced discrimination due to traditional and religious practices. Police regulations provide for special recruitment requirements and conditions of service applying to women, particularly the criteria and provisions relating to pregnancy and marital status.

NGOs expressed concern about discrimination against women in the private sector, particularly in access to employment, promotion to higher professional positions, and salary equity. According to credible reports, many businesses implemented a “get pregnant, get fired” policy. Women remained underrepresented in the formal sector but played active and vital roles in the informal economy, particularly in agriculture, processing of foodstuffs, and selling of goods at markets. Women employed in the business sector did not receive equal pay for equal work and often encountered difficulty in acquiring commercial credit or obtaining tax deductions or rebates as heads of households. Unmarried women in particular endured many forms of discrimination. Several states had laws mandating equal opportunity for women.

Employers frequently discriminated against people living with HIV/AIDs. According to a 2012 study of people living with HIV in Nigeria, 26 percent of those surveyed had lost a job or source of income in the past year due to HIV-related stigma. The government spoke out in opposition to such discrimination, calling it a violation of the fundamental right to work.

The legal national monthly minimum wage was 18,000 naira ($49.54). Employers with fewer than 50 employees are exempt from this minimum, and the large majority of workers were not covered. There was no official estimate for the poverty income level. Implementation of the minimum wage, particularly by state governments, remained sporadic despite workers’ protests and warning strikes. In general, penalties were not sufficient to deter violations.

The law mandates a 40-hour workweek, two to four weeks of annual leave, and overtime and holiday pay, except for agricultural and domestic workers. The law does not define premium pay or overtime. The law prohibits excessive compulsory overtime for civilian government employees.

The law establishes general health and safety provisions, some aimed specifically at young or female workers. The law requires employers to compensate injured workers and dependent survivors of workers killed in industrial accidents. The law provides for the protection of factory employees in hazardous situations. The law does not provide other nonfactory workers with similar protections. The law applies to legal foreign workers, but not all companies respected these laws.

By law workers may remove themselves from situations that endangered health or safety without jeopardy to their employment, but authorities did not effectively protect employees in these situations.

The Ministry of Labor and Employment is responsible for enforcing these standards. The Labor Ministry employs factory inspectors and labor officers, and 42 inspectors are dedicated to enforcing laws related to child labor, but its Inspectorate Department stated it did not have sufficient staff to properly monitor and enforce health and safety conditions. The department is tasked to inspect factories’ compliance with health and safety standards, but it was underfunded, lacked basic resources and training, and consequently did not sufficiently enforce safety regulations at most enterprises, particularly construction sites and other nonfactory work locations. Labor inspections mostly occurred randomly but occasionally occurred when there was suspicion, rather than actual complaints, of illegal activity. In addition the government did not enforce the law strictly. Authorities did not enforce standards in the informal sector, which included the majority of workers.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right of workers to form and join independent unions, bargain collectively, and conduct legal strikes. The law prohibits antiunion discrimination and provides for reinstatement of workers fired for union activity. The government did not always enforce applicable laws, and penalties were not always sufficient to deter violations.

The law requires federated unions to register with the Ministry of Labor and Social Policy and with the State Central Registry. Union leaders reported occasions when the ministry would extend the registration process for a new union for months without explanation.

A court of general jurisdiction may terminate trade union activities at the request of the registrar or competent court when those activities are deemed to be “against the constitution and law.” There are no nationality restrictions on membership in trade unions, although foreign nationals must have a valid work permit and be employed by the company or government body listed on the permit.

The government and employers did not always respect freedom of association, the right to strike, and the right to collective bargaining. Unions maintained the law’s “exclusionary” provision allowed employers to terminate up to 2 percent of workers from collective bargaining negotiations during a strike. Collective bargaining is restricted to trade unions that represent at least 20 percent of the employees and employers’ associations that represent at least 10 percent of the employers at the level at which the agreement is concluded (company, sector, or country). Government enforcement resources and remediation were inadequate. Penalties for violations of the law were insufficient to deter violations. Administrative and judicial procedures were generally subject to lengthy delays.

Unions, with the exception of a few branch unions, were generally not independent from the influence of government officials, political parties, and employers.

There were no substantive union activities in 2017 by either of the two largest union groups, the Federation of Trade Unions of Macedonia and the Confederation of Free Trade Unions of Macedonia. Unions submitted complaints to the Ombudsman’s Office mostly related to unsatisfactory conditions of work and insufficient protection at work places for jobs with risks to health or safety of employees.

The constitution and law prohibit all forms of forced or compulsory labor, and the government largely enforced applicable laws. The law prescribes imprisonment, which applies to violations of forced labor laws or for the destruction or removal of identification documents, passports, or other travel documents. Penalties were generally sufficient to deter violations. There were instances in which women and children were subjected to forced labor, such as peddling small items in restaurants and bars. Some Romani children were forced to beg, often by relatives (see section 7.c.).

Also see the Department of State’s annual Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The government has established laws and regulations related to child labor, including prohibiting the worst forms of child labor. The government made efforts to enforce the law in the formal economy but did not do so effectively in the informal economy. Gaps exist in the country’s legal framework to protect children adequately from labor, including the worst forms of child labor and the minimum age for work. The minimum age for employment is 15, although children may begin work at 14 as apprentices or as participants in an official vocational education program. The law prohibits employing minors under the age of 18 in work that is detrimental to their physical or psychological health and morality. It also prohibits minors from working at night or more than 40 hours per week, but work done by self-employed minors or those lacking a formal work contract frequently violates the law.

The Ministry of Labor and Social Policy is responsible for enforcing laws regulating the employment of children. The government made efforts to enforce the law in the formal economy but did not do so effectively in the informal economy. Police and the ministry, through centers for social work, shared responsibility for enforcing laws on child trafficking, including forced begging. The law mandates a prison sentence for persons convicted of buying, selling, keeping, or taking minors for the purpose of exploitation. If enforced, the penalties would be sufficient to deter violations.

Children in the country engaged in the worst forms of child labor, including forced begging and commercial sexual exploitation. The most common examples included using children to beg, clean windshields; scavenging, and selling cigarettes or other small items in open markets, on the street, or in bars and restaurants at night. Although the necessary laws were in place, government efforts to eliminate forced begging by children were largely ineffective. Children involved in these activities were primarily Roma, Ashkali, and Balkan-Egyptian and most often worked for their parents or family members. Officials frequently failed to hold those exploiting the children accountable, and Romani children remained vulnerable to exploitation and forced labor.

The Ministry of Labor and Social Policy funded two day centers that provided education, medical, and psychological services to children who were forced to beg on the street. The ministry also cofunded a day center operated by an NGO in the Skopje suburb of Shuto Orizari.

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

Labor laws and regulations generally prohibit discrimination regarding race, sex, gender, disability, health status, political opinion, religion, age, national origin, language, or social status. The law does not address discrimination based on HIV or other communicable disease status. The government did not always enforce the laws effectively, and penalties were not always sufficient to deter violations. Civil activists complained that the State Commission for Protection against Discrimination was not doing its work and was merely an employment hub for individuals close to the previous governing party.

Discrimination in employment and occupation occurred with respect to gender, disability, and certain ethnic groups in the military, police, intelligence services, courts, national bank, customs service, state agencies, and public and private companies (see section 6, National/Racial/Ethnic Minorities). Despite government efforts and legal changes for mandatory inclusion in primary and high school education, Roma continued to live in segregated groups without proper health and social protection, mostly due to lack of registration documents. Data from the State Employment Office showed that due to the low participation in the education system, particularly higher education, Roma generally had difficulties finding a job in the formal economy. Women’s wages lagged behind those of men, and few women occupied management positions. Persons with disabilities faced discrimination in hiring and access to the workplace.

The national minimum wage was 12,000 denars ($231) per month. As of June, according to official statistics, the average monthly net wage was 24,203 denars ($458). In 2016 the State Statistical Office estimated that 21.9 percent of the population lived at or below the poverty line. The poverty threshold was measured as a monthly income of 14,500 denars ($273) for a family of four.

Although the government set occupational safety and health standards for employers, those standards were not enforced in the informal sector, which accounted for an estimated 22 percent of the economy.

Labor inspectors have the authority to press misdemeanor charges against an employer who violates labor laws and to fine and close an establishment until the employer corrects the violations. The total number of inspectors was considered adequate to investigate violations of labor law and penalties were sufficient to deter violations. Nevertheless, inspections were not adequate to ensure compliance due, in part, to an inadequate regional distribution of inspectors.

During the year the Ministry of Labor and Social Policy labor inspectorate filed complaints against several businesses for forcing employees to work long hours without the rest breaks required by law; nonpayment of salaries, benefits, and overtime; and cutting employees’ vacation. Violations in wage and overtime were most common in the textiles, construction, railroads, and retail sectors. The ombudsman’s office noted a higher than normal number of cases of termination of employment in local government due to the political affiliation of the employee.

Minimum wage, hours of work, and occupational safety and health standards were not effectively enforced. Many employers hired workers without complying with the law, and small retail businesses often required employees to work well beyond legal hourly limits. During the year the National Council for Occupational Safety and Health was not fully functional and held only an advisory role. While workers have the legal right to remove themselves from situations that endanger their health or safety without jeopardy to their future employment, employers did not always respect this right, reportedly due to the high unemployment rate.

There were, on average, 40 workplace fatalities per year, but no data on the specific causes of workplace deaths or injuries were available.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right of workers, including migrant workers (those who have a work permit in the country), to form and join independent unions, bargain collectively, and conduct legal strikes. The law prohibits antiunion discrimination and requires reinstatement of workers fired for union activity.

The right to strike excludes members of the military and senior civil servants. With the approval of parliament, the government may compel arbitration in any industrial sector if it determines that a strike threatens public safety. Trade unions criticized the government for intervening too quickly in labor disputes.

The government effectively enforced applicable laws. The penalties were sufficient to deter violations.

The law provides for the right of workers, including migrant workers (those who have a work permit in the country), to form and join independent unions, bargain collectively, and conduct legal strikes. The law prohibits antiunion discrimination and requires reinstatement of workers fired for union activity.

The right to strike excludes members of the military and senior civil servants. With the approval of parliament, the government may compel arbitration in any industrial sector if it determines that a strike threatens public safety. Trade unions criticized the government for intervening too quickly in labor disputes.

The government effectively enforced applicable laws. The penalties were sufficient to deter violations.

Children between the ages of 13 and 15 may be employed up to 12 hours per week in light work that does not adversely affect their health, development, or schooling. Examples of light work include assistant work in offices or stores. Children younger than age 15 need parental permission to work and those older than 15 can work as part of vocational training, as long as they are supervised. Between the ages of 15 and 18, children not in school may work up to 40 hours per week and a maximum eight hours per day. The law limits work by children who remain in school to only those hours “not affecting schooling” without specific limits, but less than 40 hours per week. Child welfare laws explicitly protect children from exploitive labor practices. The government effectively enforced these laws, and both civil and criminal penalties were sufficient to deter violations.

While employers generally observed minimum age rules, there were reports that children were trafficked for forced labor (see section 7.b.). Children were subjected to forced begging and criminal activity, particularly drug smuggling and theft. Commercial sexual exploitation of children also occurred (see section 6, Children). There were also reports of children forced to work as unpaid domestic help.

The law prohibits discrimination in respect of employment and occupation. The government effectively enforced the law and invoked penalties when violations were discovered.

Discrimination in employment and occupation occurred with respect to gender and ethnicity. The law provides that women and men engaged in the same activity shall receive equal wages for work of equal value. In 2017 women earned on average 13.3-percent less than men on a monthly basis, according to Statistics Norway, which also reported that 37 percent of women and 14.6 percent of men worked part time in 2017.

Equally qualified immigrants sometimes had more difficulty finding employment than nonimmigrants. As of August the unemployment rate among immigrants was 5.3 percent, compared with 3.9 percent among nonimmigrants, according to Statistics Norway. African immigrants had the highest unemployment rate at 9.4 percent, followed by Asians at 6 percent, immigrants from eastern EU countries at 5.7 percent, and South and Central Americans at 5.4 percent.

The law does not mandate an official minimum wage. Instead, minimum wages were set in collective bargaining agreements. Statistics Norway uses 60 percent of the median household income for the relative poverty limit, which in 2016 was 298,560 kroner ($36,000) per year. In 2016, the most recent year for which data were available, 11.6 percent of the total population had an income below the poverty limit.

The law provides for premium pay of 40 percent of salary for overtime and prohibits compulsory overtime in excess of 10 hours per week.

The law provides the same benefits for citizens and foreign workers with residency permits but forbids the employment of foreign workers who do not have residency permits. The law provides for safe and physically acceptable working conditions for all employed persons. The NLIA, in consultation with nongovernment experts, sets occupational safety and health standards. These standards are appropriate across all sectors of the industry in the country. The law requires enterprises with 50 or more workers to establish environment committees composed of management, workers, and health-care personnel. Enterprises with 10 or more workers must have safety delegates elected by their employees. Workers may remove themselves from situations that endanger health or safety without jeopardy to their employment; authorities effectively protected employees in this situation.

The NLIA effectively enforced laws and standards regarding acceptable work conditions in the formal sector. The number of labor inspectors was sufficient to enforce compliance. The NLIA may close an enterprise immediately if the life or health of employees is in imminent danger and may report enterprises to police for serious breaches of the law. A serious violation may result in fines or, in the worst case, imprisonment. The penalties were sufficient to deter violations.

a. Freedom of Association and the Right to Collective Bargaining

The law provides that workers can form and join unions, as well as conduct legal strikes and bargain collectively, but with significant restrictions. The law provides for one general federation, to which all unions must affiliate, and which represents unions in regional and international fora. The law requires a minimum of 25 workers to form a union, regardless of company size. The law requires an absolute majority of an enterprise’s employees to approve a strike, and notice must be given to employers three weeks in advance of the intended strike date. The law allows for collective bargaining; regulations require employers to engage in collective bargaining on the terms and conditions of employment, including wages and hours of work. Where there is no trade union, collective bargaining may take place between the employer and five representatives selected by workers. The employer may not reject any of the representatives selected. While negotiation is underway, the employer may not act on decisions related to problems under discussion. The law prohibits employers from firing or imposing other penalties on employees for union activity, although it does not require reinstatement for workers fired for union activity.

Despite the legal protections for labor unions, no independent organized labor unions existed. Worker rights continued to be administered and directed by the General Federation of Oman Trade Unions (GFOTU).

Government-approved unions are open to all legal workers regardless of nationality. The law prohibits members of the armed forces, other public security institutions, government employees, and domestic workers from forming or joining such unions. In addition labor laws apply only to workers who perform work under a formal employment agreement.

The law prohibits unions from accepting grants or financial assistance from any source without the Ministry of Manpower’s prior approval. By law unions must notify the government at least one month in advance of union meetings. All unions are subject to the regulations of the government federation and may be shut down or have their boards dismissed by the federation.

The government generally enforced applicable laws effectively and respected the rights to collectively bargain and conduct strikes, although strikes in the oil and gas industries are forbidden. The GFOTU reported in a survey conducted by the International Trade Union Confederation that employers bypassed collective bargaining and retaliated against workers who participated in strikes. The government provided an alternative dispute resolution mechanism through the Ministry of Manpower, which acted as mediator between the employer and employee for minor disputes such as disagreement over wages. If not resolved to the employee’s satisfaction, the employee could, and often did, resort to the courts for relief. The country lacked dedicated labor courts, and observers noted the mandatory grievance procedures were confusing to many workers, especially foreign workers. The Ministry of Manpower had sufficient resources to act in dispute resolution, and there were no complaints of lengthy delays or appeals. Foreign and local union leaders reported intimidation by companies for their activities and complained they were passed over for promotion.

Freedom of association in union matters and the right to collective bargaining exist, but often the threat of a strike can prompt either company action to resolution or spur government intervention. Strikes rarely occurred and were generally resolved quickly, sometimes through government mediation.

The law prohibits all forced or compulsory labor, but the law does not cover domestic workers. All police officials underwent training in how to identify victims of trafficking in persons to help them identify cases of forced or compulsory labor.

Conditions indicative of forced labor were present. By law all foreign workers, who constituted approximately one-half of the workforce and the majority of workers in some sectors, must be sponsored by a citizen employer or accredited diplomatic mission. Some men and women from South and Southeast Asia, employed as domestic workers or as low-skilled workers in the construction, agriculture, and service sectors, faced working conditions indicative of forced labor, including withholding of passports, restrictions on movement, usurious recruitment fees, nonpayment of wages, long working hours without food or rest, threats, and physical or sexual abuse. These situations were generally considered civil or contract matters by authorities, who encouraged dispute resolution rather than criminal action. Authorities continued to rely on victims to identify themselves and report abuses voluntarily, rather than proactively investigating trafficking in vulnerable communities.

Sponsorship requirements left workers vulnerable to exploitative conditions, as it was difficult for an employee to change sponsors (see section 2.d.). The “free visa” system allows sponsors to enable employees to work for other employers, sometimes in return for a fee. This system is illegal, but enforcement is weak and such arrangements left workers vulnerable. The government clarified that sponsors of domestic workers are not allowed to send their workers to another home to work, but the regulation was weakly enforced. Some employers of domestic workers, contrary to law, withheld passports and other documents, complicating workers’ release from unfavorable contracts and preventing workers’ departure after their work contracts expired. In some cases employers demanded exorbitant release fees totaling as much as four months’ salary before providing a “no-objection certificate” to permit the worker to change employers. Without this release letter, foreign workers are required to either depart the country for a minimum of two years, or remain in their current position. There were reports that sponsors were reluctant to provide release letters, which would result in loss of the foreign labor certificate for that position.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The minimum age for employment is 16 years, or 18 for certain hazardous occupations. Children between the ages of 16 and 18 may work only between the hours of 6 a.m. and 6 p.m. and are prohibited from working for more than six hours per day, on weekends, or on holidays. The law allows exceptions to the age requirement in agricultural works, fishing, industrial works, handicrafts, sales, and administration jobs, under the conditions that it is a one-family business and does not hinder the juvenile’s education or affect health or growth.

The Ministry of Manpower and Royal Oman Police are responsible for enforcing laws with respect to child labor. The law provides for fines for minor violations and imprisonment for repeat violations. Employers are given time to correct practices that may be deemed child labor.

In 2017 the country made a moderate advance in eliminating the worst forms of child labor. Although the problem does not appear to be widespread, children engaged in the worst forms of child labor, including in commercial sexual exploitation. The government does not publish information on the enforcement of child labor laws and lacks a reciprocal mechanism between the labor inspectorate and social services.

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

Labor laws and regulations do not address discrimination based on race, sex, gender, nationality, political views, disability, language, sexual orientation or gender identity, HIV-positive status or having other communicable diseases, or social status. Discrimination occurred based on gender, sexual orientation, nationality, and gender identity. Foreign workers were required to take HIV/AIDS tests and could only obtain or renew work visas if the results were negative. For further discussion of discrimination, see section 6.

The minimum wage for citizens was 325 rials ($845) per month. Minimum wage regulations do not apply to a variety of occupations and businesses, including small businesses employing fewer than five persons, dependent family members working for a family firm, or some categories of manual laborers. The minimum wage does not apply to noncitizens in any occupation. Most citizens who lived in poverty, about 8 percent of the population, were engaged in traditional subsistence agriculture, herding, or fishing, and generally did not benefit from the minimum wage. The private sector workweek is 45 hours and includes a two-day rest period following five consecutive days of work. Government workers have a 35-hour workweek. The law mandates overtime pay for hours in excess of 45 per week.

The government sets occupational health and safety standards. The law states an employee may leave dangerous work conditions without jeopardy to continued employment if the employer was aware of the danger and did not implement corrective measures. Employees covered under the labor law may receive compensation for job-related injury or illness through employer-provided medical insurance.

Neither wage and hour nor occupational safety and health regulations apply to domestic workers.

The Ministry of Manpower is responsible for enforcing labor laws, and during the year it employed approximately 90 inspectors in Muscat and an additional 70 around the country. It generally enforced the law effectively with respect to citizens; however, it did not effectively enforce regulations regarding hours of employment and working conditions for foreign workers.

Labor inspectors with arrest authority for egregious violations performed random checks of worksites to verify compliance with all labor laws. Approximately 180 inspectors from the Department of Health and Safety of the Labor Care Directorate are responsible for enforcement of health and safety codes. Limited inspections of private sector worksites are required by law to deter or redress unsafe working conditions in the most dangerous sectors.

The Ministry of Manpower effectively enforced the minimum wage for citizens. No minimum wage existed for noncitizens. In wage cases the Ministry of Manpower processed complaints and acted as mediator. In a majority of cases, the plaintiff prevailed, gaining compensation, the opportunity to seek alternative employment, or return to their country of origin in the case of foreign laborers, although they rarely used the courts to seek redress. The ministry was generally effective in cases regarding minor labor disputes.

The government made insufficient efforts during the year to prevent violations or improve wages and working conditions, which disproportionately affected foreign workers.

Foreign workers were vulnerable to poor, dangerous, or exploitative working conditions. There were reports that migrant laborers in some firms and households worked more than 12 hours a day without a day off for below-market wages. Employers often cancelled the employment contracts of seriously sick or injured foreign workers, forcing them to return to their countries of origin or remain in the country illegally. Frequently, labor inspections focused on enforcing visa violations and deporting those in an irregular work visa status rather than verifying safe and adequate work conditions.

There are no maximum work-hour limits for domestic workers nor any mandatory rest periods, although the contract between the employer and worker can specify such requirements. There were frequent reports that domestic workers were subject to overwork with inadequate rest periods. Separate domestic employment regulations obligate the employer to provide domestic workers with free local medical treatment throughout the contract period. Penalties for noncompliance with health regulations, ranging from approximately 10 to 100 rials ($26 to $260), multiplying per occurrence per worker and doubling upon recurrence, were insufficient to deter violations. Some domestic workers were subjected to abusive conditions.

There was no data available on workplace fatalities or safety.

a. Freedom of Association and the Right to Collective Bargaining

The vast majority of the labor force was under the jurisdiction of provincial labor laws. The 2010 18th constitutional amendment, which devolved labor legislation and policies to the four provinces, stipulated that existing national laws would remain in force “until altered, repealed, or amended” by the provincial governments. Provinces implemented their own industrial relations acts in 2011. In 2012 Parliament passed a new industrial relations act that took International Labor Organization (ILO) conventions into account but applied them only to the Islamabad Capital Territory and to trade federations that operated in more than one province.

The role of the federal government remained unclear in the wake of devolution. The only federal government body with any authority over labor issues was the Ministry of Overseas Pakistanis and Human Resource Development, whose role in domestic labor oversight was limited to compiling statistics to demonstrate compliance with ILO conventions. At the provincial level, laws providing for collective bargaining rights excluded banking and financial-sector workers, forestry workers, hospital workers, self-employed farmers, and persons employed in an administrative or managerial capacity.

Without any federal-level entity responsible for labor, the continued existence of the National Industrial Relations Commission remained in question. The 2012 Federal Industrial Relations Act stipulates that the commission may adjudicate and determine industrial disputes within the Islamabad Capital Territory to which a trade union or federation of trade unions is a party and any other industrial dispute determined by the government to be of national importance. This provision does not provide a forum specifically for interprovincial disputes but appears to allow for the possibility that the commission could resolve such a dispute. Worker organizations noted the limited capacity and funding for labor relations implementation at the provincial level.

The law prohibits state administrators, workers in state-owned enterprises, and export processing zones, and public-sector workers from collective bargaining and striking. Provincial industrial relations acts also address and limit strikes and lockouts. For example, the KP act specifies that when a “strike or lockout lasts for more than 30 days, the government may, by order in writing, prohibit the strike or lockout” and must then refer the dispute to a labor court.

Federal law defines illegal strikes, picketing, and other types of protests as “civil commotion,” which carries a penalty of up to life imprisonment. The law also states that gatherings of four or more persons may require police authorization, a provision authorities could use against trade union gatherings. Unions were able to organize large-scale strikes, but police often broke up the strikes, and employers used them to justify dismissals. In January, during a protest by teachers seeking back wages, the police used forced and detained 60 protestors. Chief Minister Murad Ali Shah described the police action as unacceptable. Marches and protests also occurred regularly, although police sometimes arrested union leaders.

Enforcement of labor laws remained weak, in large part due to lack of resources and political will. Most unions functioned independently of government and political party influence. Labor leaders raised concerns about employers sponsoring management-friendly or only-on-paper worker unions–so-called yellow unions–to prevent effective unionization.

There were no reported cases of the government dissolving a union without due process. Unions could be administratively “deregistered,” however, without judicial review.

Labor NGOs assisted workers by providing technical training and capacity-building workshops to strengthen labor unions and trade organizations. They also worked with established labor unions to organize workers in the informal sector and advocated policies and legislation to improve the rights, working conditions, and well-being of workers, including laborers in the informal sector. NGOs also collaborated with provincial governments to provide agricultural workers, brick kiln workers, and other vulnerable workers with national identification so they could connect to the country’s social safety net and access the benefits of citizenship (such as voting, health care, and education).

The law prohibits all forms of forced or compulsory labor, cancels all existing bonded labor debts, forbids lawsuits for the recovery of such debts, and establishes a district “vigilance committee” system to implement the law. Federal and provincial acts, however, prohibit employees from leaving their employment without the consent of the employer, since doing so would subject them to penalties of imprisonment that could involve compulsory labor.

In May Parliament passed comprehensive legislation to counter human trafficking. The law defines trafficking in persons as recruiting, harboring, transporting, providing, or obtaining another person (or attempting to do so) through force, fraud, or coercion for the purpose of compelled labor or commercial sex. The penalty for trafficking in persons is up to 10 years in prison or a fine of up to one million rupees ($7,200). If committed against a child or woman, the penalty must be at least two years or a fine of one million rupees ($7,200). If there are aggravating circumstances, the penalty is up to 14 years and not less than three years a fine up to two million rupees ($14,400). Lack of political will, the reported complicity of officials in labor trafficking, federal and local government structural changes, and a lack of funds contributed to the failure of authorities to enforce federal law relating to forced labor. Resources, inspections, and remediation were inadequate.

The use of forced and bonded labor was widespread and common in several industries across the country. NGOs estimated that nearly two million persons were in bondage, primarily in Sindh and Punjab, but also in Balochistan and KP. A large proportion of bonded laborers were low-caste Hindus as well as Christians and Muslims with lower socioeconomic backgrounds. Bonded labor was reportedly present in the agricultural sector, including the cotton, sugarcane, and wheat industries, and in the brick, coal, and carpet industries. Bonded laborers often were unable to determine when their debts were fully paid, in part because contracts were rare, and employers could take advantage of bonded laborers’ illiteracy to alter debt amounts or the price laborers paid for goods they acquired from their employers. In some cases, landowners restricted laborers’ movements with armed guards or sold laborers to other employers for the price of the laborers’ debts.

Ties between landowners, industry owners, and influential politicians hampered effective elimination of the problem. For example, some local police did not pursue landowners or brick kiln owners effectively because they believed higher-ranking police, pressured by politicians or the owners themselves, would not support their efforts to carry out legal investigations. Some bonded laborers returned to their former status after they were freed due to a lack of alternative employment options.

Boys and girls were bought, sold, rented, or kidnapped to work in illegal begging rings, as domestic servants, or as bonded laborers in agriculture and brick-making (see section 7.c.). Illegal labor agents charged high fees to parents with false promises of decent work for their children and later exploited them by subjecting the children to forced labor in domestic servitude, unskilled labor, small shops, and other sectors.

The government of Punjab funded the Elimination of Child Labor and Bonded Labor Project, under which the Punjab Department of Labor worked to combat child and bonded labor in brick kilns by helping workers obtain national identity cards and interest-free loans and providing schools at brick kiln sites. Since its 2014 launch, the project has reportedly succeeded in removing nearly 90,000 children from work in brick kilns and enrolling them in school. The KP, Punjab, and Sindh ministries of labor reportedly worked to register brick kilns and their workers in order to regulate the industry more effectively and provide workers access to labor courts and other services. According to ILO officials, the KP and Punjab provincial governments have registered nearly all brick kilns in their provinces and Punjab has completed digital mapping of the kilns.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/ and the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings .

The constitution expressly prohibits the employment of children younger than age 14 in any factory, mine, or other hazardous site. The national law for the employment of children sets the minimum age for hazardous work at 15, which does not comply with international standards. Provincial laws in Khyber Pakhtunkhwa, Punjab, and Sindh set the minimum age for hazardous work at 18 or 19, meeting international standards. Despite these restrictions, there were nationwide reports of children working in areas the law defined as hazardous, such as leather manufacturing, brick making, and deep-sea fishing.

National law establishes 15 as the minimum age for nonhazardous work, but does not extend the minimum age limit to informal employment. For legally working-age children, the law limits the workday to seven hours, including a one-hour break after three hours of labor, and sets permissible times of day for work and time off. The law does not allow children to work overtime or at night, and it specifies they should receive one day off per week. Additionally, the law requires employers to keep a register of child workers for labor inspection purposes. These national prohibitions and regulations do not apply to home-based businesses. The Sindh Assembly, however, passed the Sindh Home-Based Workers Act on May 9, which extends the right to social welfare benefits, worker protections, and the minimum wage to home-based workers; mandates the creation of an employer-financed welfare fund and a council tasked with oversight of home-based employer and worker registration; and outlines a dispute resolution framework.

Federal law prohibits the exploitation of children younger than 18 and defines exploitative entertainment as all activities related to human sports or sexual practices and other abusive practices. Parents who exploit their children are legally liable.

Child labor remained pervasive, with many children working in agriculture and domestic work. There were also reports that small workshops employed a large number of child laborers, complicating efforts to enforce child labor laws, since by law inspectors may not inspect facilities employing fewer than 10 persons. Poor rural families sometimes sold their children into domestic servitude or other types of work, or they paid agents to arrange for such work, often believing their children would work under decent conditions. Some children sent to work for relatives or acquaintances in exchange for education or other opportunities ended in exploitative conditions or forced labor. Children also were kidnapped or sold into organized begging rings, domestic servitude, militant groups and gangs, and child sex trafficking.

Coordination of responses to child labor problems at the national level remained ineffective. Labor inspection was the purview of provincial rather than national government, which contributed to uneven application of labor law. Enforcement efforts were not adequate to meet the scale of the problem. Inspectors had little training and insufficient resources and were susceptible to corruption. Authorities registered hundreds of child labor law violations, but often did not impose penalties on violators; when they did, the penalties were not a significant deterrent. Authorities generally allowed NGOs to perform inspections without interference.

See the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

While regulations prohibit discrimination in employment and occupation regarding race, sex, gender, disability, language, gender identity, HIV-positive status or other communicable diseases, or social status, the government did not effectively enforce those laws and regulations. Discrimination with respect to employment and occupation based on these factors persisted.

The 2010 passage of the 18th amendment to the constitution dissolved the federal Ministry of Labor and Manpower, resulting in the devolution of labor issues to the provinces. Some labor groups, international organizations, and NGOs remained critical of the devolution, contending that certain labor issues–including minimum wages, worker rights, national labor standards, and observance of international labor conventions–should remain within the purview of the federal government. Observers also raised concerns about the provinces’ varying capacity and commitment to adopt and enforce labor laws. Some international organizations, however, observed that giving authority to provincial authorities led to improvements in labor practices, including inspections, in some provinces.

In 2017 the government raised the minimum wage for unskilled workers from 14,000 rupees ($100) to 15,000 rupees ($108) per month, and all provincial governments’ budgets were required to follow that directive. The minimum wage was greater than the World Bank’s estimate for poverty level income. Authorities increased the minimum wage in the annual budget, and both federal and provincial governments issued notifications for such increases to go into effect. Minimum wage laws did not cover significant sectors of the labor force, including workers in the informal sector, domestic servants, and agricultural workers; and enforcement of minimum wage laws was uneven. The government did not address minimum wage in its budget for 2018-19, a break from its past practice of increasing the minimum wage each year.

The law provides for a maximum workweek of 48 hours (54 hours for seasonal factories) with rest periods during the workday and paid annual holidays. The labor code also requires official government holidays, overtime pay, annual and sick leave, health care, education for workers’ children, social security, old-age benefits, and a workers’ welfare fund. Many workers, however, were employed as contract laborers with no benefits beyond basic wages and no long-term job security, even if they remained with the same employer for years. Furthermore, these national regulations do not apply to agricultural workers, workers in establishments with fewer than 10 employees, or domestic workers. Workers in these types of employment also lack the right to access labor courts to seek redress of grievances and were extremely vulnerable to exploitation. The industry-specific nature of many labor laws and the lack of government enforcement gave employers in many sectors relative impunity with regard to working conditions, treatment of employees, work hours, and pay.

Provincial governments have primary responsibility for enforcing national labor regulations. Enforcement was ineffective due to limited resources, corruption, and inadequate regulatory structures. The number of labor inspectors employed by the provincial governments is insufficient for the approximately 64 million-person workforce. Many workers, especially in the informal sector, remained unaware of their rights. Due to limited resources for labor inspections and corruption, inspections and penalties were insufficient to deter violations of labor laws.

The provincial government of Sindh enacted a comprehensive occupational health and safety law in 2017, similar legislation is absent in other provinces. Nationwide, health and safety standards were poor in multiple sectors. The country’s failure to meet international health and safety standards raised doubts abroad as to its reliability as a source for imports. There was a serious lack of adherence to mine safety and health protocols. Many mines had only one opening for entry, egress, and ventilation. Workers could not remove themselves from dangerous working conditions without risking loss of employment. Informal-sector employees, such as domestic and home-based workers, were particularly vulnerable to health and safety issues. There were no official statistics on workplace fatalities and accidents during the year. Factory managers were often unable to ascertain the identity of fire or other work-related accident victims because these individuals were contract workers and generally did not appear in official records.

In September nine miners were killed and three injured following the collapse of a roof of a coalmine in KP’s Kohat district. On August 12, in Balochistan, 13 miners died in a coalmine explosion, and two rescuers died from exposure to methane gas during the rescue attempt. During a one-month period from May to June, three significant mining accidents occurred in Balochistan, resulting in the deaths of 27 miners. Labor groups estimated 80 miners die every year in Balochistan’s mines. In Sindh, 13 laborers died at a warehouse when a boiler exploded, causing the roof to collapse. Two child laborers died in the incident.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right of all persons to assemble peacefully and to associate with others for any lawful purpose, including to join and organize labor unions and to bargain collectively; no laws regulate trade union organization. The law neither provides for nor prohibits the right to strike, and the government has not addressed this issue. There is no law concerning antiunion discrimination. The government enforced the laws, and penalties were sufficient to deter violations.

There were no active labor unions or other employee organizations. The majority of businesses were small-scale, family-run enterprises employing relatives and friends.

The law prohibits all forms of forced or compulsory labor. Penalties for forced labor offenses include imprisonment and fines, which were sufficient to deter violations. The Office of the Attorney General, the Bureau of Public Safety, and the Bureau of Labor and Human Resources (all within the Ministry of Justice) are responsible for enforcing the law.

There were reports employers forced some foreign workers, particularly domestic helpers, unskilled construction laborers, and workers in the tourism industry to accept jobs different from those for which they had signed contract, or were paid less than the original agreement. There were also reports of fraudulent recruitment onto fishing boats, with fishermen subsequently facing conditions indicative of forced labor. Employers sometimes verbally threatened or withheld passports and return tickets of foreign workers desiring to leave unfavorable work situations. Abuses most commonly reported included misrepresentation of contract terms and conditions of employment, withholding of pay or benefits, and substandard food and housing. There were also complaints of physical abuse. In several cases local authorities took corrective action when alerted by social service and religious organizations.

See also the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The minimum age of employment for citizens is 16 years, and the minimum age for noncitizens is 21 years, excluding entertainers applying for temporary identification certificates. The law requires the government to protect children from exploitation. The Bureau of Labor and Human Resources is responsible for enforcing laws and regulations related to child labor. The government effectively enforced the law, and the penalties were adequate to deter violations.

There were no reports children worked in the formal economy, but some assisted their families with fishing, agriculture, and small-scale family enterprises.

The constitution prohibits discrimination with respect to employment or occupation based on race, sex, marital status, place of origin, religion, disabilities, or political grounds. The law protects women from job discrimination and provides for equal pay for equal work. The Bureau of Aging and Gender, under the Ministry of Community and Cultural Affairs, promotes workplace gender equality. The law does not prohibit discrimination with respect to employment or occupation based on sexual orientation or gender identity, HIV-positive status, or other communicable diseases. There were no reports of employment discrimination.

The government effectively enforced these laws. The Office of the Attorney General and the Bureau of Labor and Human Resources handle cases of workplace discrimination against foreign workers.

The minimum wage by law (which applies only to citizens) is $3.50 per hour. There was no official estimate of the poverty income level. The law does not include informal-sector work, such as domestic work, some categories of agricultural work, nongovernmental organization workers, foreign workers, employees who are students, or temporary or probationary work of students and youths younger than 21 years.

The Bureau of Labor and Human Resources has established some regulations about conditions of employment for foreign workers, who are entitled to one day off per week, consisting of 10 continuous hours without working between 6 a.m. and 6 p.m. The bureau may inspect the conditions of the workplace and employer-provided housing on the specific complaint of an employee, but enforcement was inconsistent, and working conditions varied. There was one major industrial accident during the year in which workers were injured or killed.

Although the law states that employers shall adopt reasonable and adequate occupational safety and health rules, no law protects workers who file complaints about hazardous conditions. Foreign workers may self-censor complaints due to fear they could lose their job if they removed themselves from situations that endangered health or safety.

The Division of Labor had seven labor inspectors responsible for enforcing minimum wage laws, regulations regarding working conditions of foreign employees, and safety standards and laws. The number of inspectors was not sufficient to enforce compliance. According to the law, employers are subject to a civil penalty for noncompliance with minimum wage requirements, in addition to the amount of taxes, social security contributions, and interest on unpaid wages. Penalties for violations related to acceptable conditions of work include a range of monetary fines per violation and imprisonment, which were not sufficient to deter violations.

Wages for domestic helpers employed in private households generally were lower than the minimum wage. The country continued to attract foreign workers from the Philippines, China, Bangladesh, the Republic of Korea, and Japan. An Immigration and Labor Monitoring Task Force established in 2017 resulted in the departure of workers due to overstay, working without permits, or unsolvable disagreements between employee and employer.

There were continuing reports of the mistreatment of foreign workers by their employers. The foreign workers most likely to be abused were those who worked under contracts as domestic helpers, farmers, waitresses, cashiers, beauticians, hostesses in karaoke bars and massage parlors, construction workers, and other semiskilled workers, the majority of whom were from the Philippines, China, and Bangladesh.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for private-sector workers to form and join independent unions, bargain collectively, and conduct strikes. By law public-sector employees may strike but may not organize unions. Instead, they may organize an association that can bargain collectively on behalf of members. The employer, however, is not legally obligated to bargain with the association. The law prohibits antiunion discrimination and requires reinstatement of workers terminated for union activity. Despite some restrictions, public- and private-sector employers generally respected freedom of association.

Unions and associations are required to register with government authorities. If the government does not respond to a private-sector union registration application within 15 days, the union automatically gains legal recognition. In the public sector, associations gain legal recognition automatically if the General Directorate for Administrative Public Sector Careers does not respond to registration applications within 30 days. The Varela administration (2013-18) approved 48 union-formation applications, compared with the previous administration’s approval of nine unions during five years.

The Board of Appeals and Conciliation of the Ministry of Labor has the authority to resolve certain labor disagreements, such as internal union disputes, enforcement of the minimum wage, and some dismissal issues. The law allows arbitration by mutual consent, at the request of the employee or the ministry in the case of a collective dispute in a privately held public utility company. It allows either party to appeal if arbitration is mandated during a collective dispute in a public-service company. The board has sole competency for disputes related to domestic employees, some dismissal issues, and claims of less than 1,500 balboas.

Government-regulated union membership policies place some restrictions on freedom of association. The constitution mandates that only citizens may serve on a union’s executive board. In addition the law requires a minimum of 40 persons to form a private-sector union (either by a company across trades or by trade across companies) and allows only one union per business establishment. The ILO criticized the 40-person minimum as too large for workers wanting to form a union within a company. Many domestic labor unions, as well as the public and private sector, reiterated their support for keeping the figure at 40 individuals.

In the public sector, member associations represent workers. The law stipulates only one association may exist per public-sector institution and permits no more than one chapter per province. Forty public servants are required to form an association.

The National Federation of Public Servants (FENASEP), an umbrella federation of 25 public-sector worker associations, advocates for adequate treatment of the public sector as a sector with established rights like that of private-sector unionized groups. FENASEP contended there was no political will to allow public servants within ministries to form unions because this could eliminate space for political appointees. No law protects the jobs of public-sector workers in the event of a strike.

The law prohibits federations and confederations from calling strikes, as well as strikes against the government’s economic and social policy. Individual associations under FENASEP may negotiate on behalf of their members. FENASEP leaders noted that collective bargaining claims were heard and recognized, but they reported a lack of change afterwards, particularly regarding dismissals without cause.

A majority of employees must support a strike, and strikes are permitted only if they are related to the improvement of working conditions, a collective bargaining agreement, or in support of another strike of workers on the same project (solidarity strike). In the event of a strike, at least 20 to 30 percent of the workforce must continue to provide minimum services, particularly public services as defined by law, such as transportation, sanitation, mail delivery, hospital care, telecommunications, and public availability of essential food.

Strikes in essential transportation services are limited to those involving public passenger services. The law prohibits strikes for the Panama Canal Authority’s employees but allows associations to organize and bargain collectively on issues such as schedules and safety and provides arbitration to resolve disputes. (The Panama Canal Authority is an autonomous government entity, with independence from the central government.).

The Conciliation Board in the Ministry of the Presidency hears and resolves public-sector worker complaints. The board refers complaints it cannot resolve to arbitration panel, which consists of representatives from the employer, the workers’ association, and a third member chosen by the first two. If the dispute cannot be resolved, it is referred to a tribunal under the board. Observers, however, said the Ministry of the Presidency had not designated the tribunal judges. The alternative to the board is the civil court system. Cases presented in the courts tended to favor the employer. FENASEP noted one public-sector institution had appealed more than 100 complaints to the Supreme Court, only two of which were ruled in favor of the public-sector employee. Supreme Court decisions are final.

Two major strikes occurred during the year. The Panama Canal Tugboat Union (UCOC) claimed unsafe work conditions led to three collisions in the Panama Canal. Beginning in August the UCOC periodically went on strike, mostly over safety reasons. UCOC representatives asserted that due to a low minimum crew requirement and poor-quality tugboats, crews were overworked, fatigued, and experiencing anxiety. They suggested the Panama Canal Authority was using disciplinary action against UCOC protesters. In May SUNTRACS, the largest union of construction workers in the country, launched a strike demanding better wages. After one month of strikes, they negotiated a 14 percent increase in their salaries.

The law prohibits all forms of forced labor of adults or children. It establishes penalties of 15 to 20 years’ imprisonment for forced labor involving movement (either cross-border or within the country) and six to 10 years’ imprisonment for forced labor not involving movement. Such penalties were sufficiently stringent to deter violations.

There continued to be reports of Central and South American and Chinese men exploited in forced labor in construction, agriculture, mining, restaurants, door-to-door peddling, and other sectors; traffickers reported used debt bondage, false promises, lack of knowledge of the refugee process and irregular status, restrictions on movement, and other means. There also were reports of forced child labor (see section 7.c.).

Also, see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law prohibits the employment of children younger than age 14, although children who have not completed primary school may not begin work until age 15. The family code permits children ages 12 to 14 to perform domestic and agricultural work with regard to schedule, salary, contract, and type. The law allows children ages 12 to 15 to perform light work in agriculture if the work is outside regular school hours. The law also allows a child older than age 12 to perform light domestic work and stipulates employers must ensure the child attends school through primary school. The law neither limits the total number of hours these children may work nor defines the light work children may perform. The law prohibits children younger than age 18 from engaging in hazardous work but allows children as young as 14 to perform hazardous tasks in a training facility, in violation of international standards.

Youths younger than age 16 may work no more than six hours per day or 36 hours per week, while those ages 16 and 17 may work no more than seven hours per day or 42 hours per week. Children younger than 18 may not work between 6 p.m. and 8 a.m.

In 2017 the government strengthened the penalties for child labor, improved agricultural labor inspections, and increased interagency coordination on labor cases. The government increased fines for child labor law violators, who may be fined up to 700 balboas for a first-time violation. Employers who endanger the physical or mental health of a child may also face two to six years’ imprisonment.

Sixty personnel from the Childhood and Adolescence Police, the National Secretariat for Childhood Adolescence and Family, and other government agencies received training on investigating and sanctioning the commercial sexual exploitation of children. Criminal enforcement agencies subsequently investigated 920 reports of commercial sexual exploitation of children and prosecuted and sanctioned four individuals. The country is a source, transit, and destination for men and women exploited in forced labor. Children were exploited in forced labor, particularly domestic servitude, and sex trafficking. The law includes punishment of up to 12 years’ imprisonment for anyone who recruits children under age 18 or uses them to participate actively in armed hostilities.

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The law prohibits discrimination regarding race, gender, religion, political opinion, citizenship, disability, social status, and HIV status but not based on sexual orientation or gender identity. Although the Ministry of Labor adopted the UN Development Program’s Gender Equality Seal program, the government had neither developed an implementation strategy nor allocated a national source of funds to promote gender equality in the workplace. In addition, a gender wage gap continued to exist, despite the country being a member of the Equal Pay International Coalition, which promotes pay equality between women and men.

Discrimination in employment and occupation occurred with respect to race, sex, gender, disability, sexual orientation or gender identity, and HIV-positive status. During the job interview process, applicants, both citizens and migrants, must complete medical examinations, including HIV/AIDS testing. The law requires all laboratories to inform applicants an HIV test will be administered, but private-sector laboratories often did not comply. It was common practice for human resources offices in the private sector to terminate the application of a citizen who was HIV positive, usually without informing the applicant. For HIV-positive migrants, private laboratories often informed law enforcement, and the National Immigration Office began deportation procedures. Observers noted that during job interviews, women were often asked if they were married, pregnant, or planned to have children in the future. It was common practice for human resources offices to terminate the applications of women who indicated a possibility of pregnancy in the near future (see section 6).

The law provides for a national minimum wage. Public servants’ monthly minimum wage met the official estimate for the poverty income level. Most workers formally employed in urban areas earned the minimum wage or more. Approximately 41 percent of the working population worked in the informal sector, and some earned well below the minimum wage. The agricultural sector, as well as the maritime and aviation sectors, received the lowest and highest minimum wages, respectively. The Ministry of Labor was less likely to enforce labor laws in most rural areas (see section 6, Indigenous People).

The law establishes a standard workweek of 48 hours, provides for at least one 24-hour rest period weekly, limits the number of hours worked per week, provides for premium pay for overtime, and prohibits compulsory overtime. There is no annual limit on the total number of overtime hours allowed. If employees work more than three hours of overtime in one day or more than nine overtime hours in a week, excess overtime hours must be paid at an additional 75 percent above the normal wage. Workers have the right to 30 days’ paid vacation for every 11 months of continuous work, including those who do not work full time.

The Ministry of Labor is responsible for setting health and safety standards. Standards set were generally current and appropriate for the main industries in the country. The law requires employers to provide a safe workplace environment, including the provision of protective clothing and equipment for workers.

The Ministry of Labor generally enforced these standards in the formal sector. The inspection office comprised two groups: the Panama City-based headquarters group and the regional group. As of September there were 47 inspectors reported within the headquarters. The regional branches had 69 general inspectors and 118 safety inspectors for construction sites. The number of inspectors was insufficient to enforce labor laws adequately. As of July the Ministry of Labor had conducted 9,929 safety inspections nationwide. Fines were low and generally insufficient to deter violations. During the year, however, the government levied fines according to the number of workers affected, resulting in larger overall fines.

Reports of violations relating to hours of work were frequent, especially in the maritime sector, where unions reported shifts of 14 to 24 hours. These long shifts reportedly resulted in fatigue-based occupational safety and health risks. Reports also indicated that neither the Maritime Authority nor the Labor Ministry conducted inspections regarding working conditions in the maritime sector. Canal Zone unions and workers experienced difficulties accessing the justice system to adjudicate complaints due to delays and other deficiencies of the Labor Relations Board, which is the court of first instance on labor matters in the Canal Zone. Reports also indicated violations relating to hours of work for coffee harvest workers, who often lacked formal contracts and were vulnerable to coercion from the employer.

Employers often hired employees under short-term contracts to avoid paying benefits that accrue to long-term employees. Employers in the maritime sector also commonly hired workers continuously on short-term contracts but did not convert them to permanent employees as required by law. The law states that employers have the right to dismiss any employee without justifiable cause before the two-year tenure term. As a result, employers frequently hired workers for one year and 11 months and subsequently laid them off to circumvent laws that make firing employees more difficult after two years of employment. This practice is illegal if the same employee is rehired as a temporary worker after being laid off, although employees rarely reported the practice.

Inspectors from the Ministry of Labor and the occupational health section of the Social Security Administration reported conducting periodic inspections of hazardous employment sites. The law requires the resident engineer and a ministry construction-industry inspector to remain on construction sites, establish fines for noncompliance, and identify a tripartite group composed of the Chamber of Construction, SUNTRACS, and the ministry to regulate adherence.

Some construction workers and their employers were occasionally lax about basic safety measures, frequently due to their perception that it reduced productivity. Equipment was often outdated, broken, or lacking safety devices, due in large part to a fear that the replacement cost would be prohibitive.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right of workers in the public and private sectors to form and join independent unions, conduct legal strikes, and bargain collectively. The government has limited influence over trade union formation and registration. The law does not cover workers in the informal sector, which accounted for 85 percent of the labor force, most of whom were engaged in small-scale farming.

The law requires unions to register with the Department of Labor and Industrial Relations. An unregistered union has no legal standing and thus cannot operate effectively. Although the law provides for the right to strike, the government may, and often did, intervene in labor disputes, forcing arbitration before workers could legally strike or refusing to grant permission for a secret ballot vote on strike action. Some union leaders complained that the labor department’s refusal to allow for votes on strike action constituted undue government influence. By law the government has discretionary power to intervene in collective bargaining by canceling arbitration awards or declaring wage agreements void when deemed contrary to government policy.

The law prohibits both retaliation against strikers and antiunion discrimination by employers against union leaders, members, and organizers. The law does not provide for reinstatement of workers dismissed for union activity. In cases of retaliation or unlawful dismissal for union activity, the court may fine an employer and may order the reinstatement of the employee and reimbursement of any lost wages. If an employer fails to comply with such directives, the court may order imprisonment or fines until the employer complies.

The labor department is responsible for enforcing the law but did so selectively. Penalties were insufficient to deter violations since the maximum fine was PGK 1,000 ($290). With two labor inspectors per province and inadequate resources, inspectors usually monitored and enforced the law on an ad hoc basis. The labor department did not always act to prevent retaliation against strikers or protect workers from antiunion discrimination, which remained widespread in the logging sector and in state-owned enterprises. Observers attributed its ineffectiveness to a lack of sufficient manpower and resources.

Unions were generally independent of both the government and political parties, whose influence diminished from previous years. Employees of some government-owned enterprises went on strike on several occasions during the year, primarily to protest against privatization policies, terminations, and appointments of managers or board members, or in pay disputes. In most cases the strikes were brief due to temporary agreements reached between the government and workers. In February state-owned Ok Tedi Mine fired 93 employees for participating in a one-day protest demanding better working conditions. The chief executive officer of Ok Tedi said the employees’ decision to stage a protest was not in line with proper protocol for filing grievances. The workers filed a complaint with the labor department but as of October the investigation had not been completed.

Workers in both the public and private sectors engaged in collective bargaining. The labor department and courts were involved in dispute settlement.

The constitution and law prohibit all forms of forced or compulsory labor. Penalties are sufficiently stringent to deter violations, but the government did not effectively enforce the law.

Logging and mining sites primarily operated in remote regions with negligible government oversight, and authorities did not make efforts to identify forced labor victims at these sites. The law allows officials, on order of a judge or magistrate, to apprehend a noncitizen crewmember of a foreign-registered ship who fails to rejoin the crewmember’s ship during its time in the country. The crewmember is placed at the disposal of the diplomatic representative of the country in which the ship is registered (or, if no such representation exists, the ship’s owner or representative) in order to return him to the ship. Observers noted this practice might prevent foreign workers from reporting or escaping situations of forced labor.

There were reports that foreign and local women and children were subjected to forced labor as domestic servants, as beggars or street vendors, and in the tourism sector (also see section 7.c.). Foreign and local men were subjected to forced labor, including through debt bondage, in the logging, mining, and fishing sectors. There also were reports of foreign workers, particularly from China and other Pacific nations, entering the country with fraudulent documents and being subjected to forced labor.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

By law the minimum working age is 16 years. The minimum age for hazardous work is 18, but the government has not identified a list of which occupations are hazardous. Children between 11 and 16 years may be employed in light work in a family business or enterprise, provided they have parental permission, medical clearance, and a work permit from a labor office. This type of employment was rare, except in subsistence agriculture. Work by children between 11 and 16 years must not interfere with school attendance, and children younger than 16 may not be employed in working conditions dangerous to their health. The law does not, however, specify the types of activities in which light work is permitted nor the number of hours per week this work may be undertaken. The labor department is responsible for enforcing child labor law provisions; however, enforcement was not effective due to lack of resources and weak penalties.

There was a high prevalence of child labor in urban and rural areas, including in hazardous occupations. Children were seen directing parking and selling cigarettes, food, and DVDs on the street and in grocery stores throughout the country, sometimes near mining and logging camps. There were reports of boys as young as 12 years being exploited as “market taxis” in urban areas, carrying extremely heavy loads for low pay; some may have been victims of forced labor. There were also reports of children engaging in mining activities, including prospectors forcing children to work in alluvial gold mining.

Children work mainly in subsistence agriculture, cash crop farming, and livestock herding. This included seasonal work in plantations (for coffee, tea, copra, and palm oil) in the formal and informal rural economies.

Some children (primarily girls) worked long hours as domestic servants in private homes, often to repay a family debt to the “host” family, in situations that sometimes constituted domestic servitude. In some cases the host was a relative who informally “adopted” the child. There were reports of commercial sexual exploitation of children (see section 6, Children).

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

No law prohibits discrimination regarding race, language, sexual orientation, gender identity, HIV or other communicable disease status, or social status. The constitution bars discrimination based on disability, but the government did not take measures to protect persons with disabilities from discrimination. The law bans discrimination based on gender for employment and wages in the workplace. The government did not effectively enforce these laws.

The law explicitly precludes women from employment in certain occupations, allows the government to recruit either men or women for certain civil service positions, and discriminates by gender in eligibility for certain job-related allowances.

Discrimination occurred based on the above categories with respect to employment and occupation. For example, the International Labor Organization noted there were concerns regarding discrimination against certain ethnic groups, including Asian workers and entrepreneurs.

The minimum wage was PGK 3.50 ($1.05) per hour for all workers; this was above the official estimate for the poverty income level. The law regulates minimum wage levels, allowances, rest periods, holiday leave, and overtime work. The law limits the workweek to 42 hours per week in urban areas and 44 hours per week in rural areas, and it provides for premium pay for overtime work. Labor laws do not apply to workers in the informal sector.

The labor department is responsible for enforcing the law regarding minimum wage and work hours and occupational safety and health. It sets occupational safety and health standards and is required by law to inspect work sites on a regular basis. Due to a lack of resources, however, inspections took place only when requested by workers or unions. Workers are entitled to wages while the inspection takes place, although the law does not specify further protection for employees who seek to remove themselves from conditions they deem hazardous. The number of occupational health and safety and industrial relations inspectors, 43, was insufficient to enforce compliance. The labor department and the courts were not effective in enforcing the law regarding minimum wage and hours of work, in part because penalties were insufficient to deter violations. In the case of a second or subsequent, continuing offense, the employer is liable for a fine for each day or part of each day for which the offense continued. When an employer fails to obey an order, direction, or requirement, the court may order imprisonment of the offender until the directive is obeyed.

Violations of wage, overtime, and occupational safety and health laws and regulations were common in the logging, mining, agricultural, and construction sectors due to the government’s lack of enforcement capacity. The logging industry in particular was known for extremely low wages and poor working conditions, including cramped and unhygienic worker housing. Workers in the mining sector were also subjected to hazardous and exploitative conditions, including exposure to toxic metals such as mercury.

According to World Bank data, 90 percent of the 2.9 million workers labored in rural areas, where law enforcement and monitoring were weak.

a. Freedom of Association and the Right to Collective Bargaining

The law, including related regulations and statutory instruments, provides for the right of workers to form and join independent unions (with the exception of the armed forces and police), bargain collectively, and conduct legal strikes. The law prohibits binding arbitration or retribution against union organizers and strikers. There are several restrictions on these rights. The law requires that industrial unions have a minimum of 20 members to register. All unions must register with the Ministry of Labor, Employment, and Social Security, a process that often takes more than a year. The ministry, however, typically issued provisional registrations within weeks of application to allow labor unions to operate. Unions with provisional registrations had the same rights and obligations as other unions. Workers cannot be members of more than one union, even if they have more than one part-time employment contract. Strikes are limited to purposes directly linked to workers’ occupations. Candidates for trade union office must work for a company and be active members of the union.

The Ministry of Labor, Employment, and Social Security is responsible for enforcing labor rights, registering unions, mediating disputes, and overseeing social security and retirement programs. Penalties, fines, and remedies associated with discrimination against unions were generally ineffective. Investigations of antiunion discrimination to protect labor rights were rare, lacked sufficient resources, and reportedly occurred only if requested by an aggrieved party. The ministry does not have jurisdiction to initiate or participate in antiunion litigation. Employers who fail to recognize or to bargain collectively with a registered union face fines of 50 days’ wages, or approximately Gs. 3.5 million ($595). Employers who blacklist employees face fines of only 30 days’ wages, or approximately Gs. 2.1 million ($350). These penalties were insufficient to deter violations. The government often did not prevent retaliation by employers who took action against strikers and union leaders. Administrative and judicial procedures were subject to lengthy delays, mishandling of cases, and corruption.

The government did not always respect unions’ freedom of association and the right to collectively bargain. Employers and professional associations heavily influenced some private-sector unions. The leadership of several unions representing public-sector employees had ties to political parties and the government.

While union workers from the steel and maritime industries were unionized and often received relevant legal protections, most workers, including farmers, ranchers, and informal-sector employees, did not participate in labor unions. Many of these workers were members of farmworker movements.

The law prohibits all forms of forced or compulsory labor. The government did not effectively enforce the law. The Ministry of Labor, Employment, and Social Security lacked adequate resources to conduct inspections, especially in remote areas where forced labor was reportedly more prevalent. The Special Directorate to Fight the Trafficking of Persons and Commercial Sexual Exploitation of Children, however, increased child and forced labor investigations in the Chaco region, where the worst forms of child labor, human trafficking, and debt bondage were most prevalent. Penalties for violations include up to 20 years in prison, but enforcement was minimal and penalties were insufficient to deter violations.

During the year the labor ministry’s regional office in the Chaco received complaints for unjustified firings, nonpayment of wages, and other labor violations. The ministry did not confirm instances of debt bondage in the Chaco but would not dismiss the possibility that it continued to exist. In that region there were reports children worked alongside their parents in debt bondage on cattle ranches, on dairy farms, and in charcoal factories. The government continued antitrafficking law enforcement and training efforts and provided limited protective services to female and child trafficking victims. The labor ministry began an antichild-labor information campaign specific to the Chaco in August.

Child labor and trafficking, particularly in domestic service, was a significant problem (see section 7.c.). Reports of criadazgo continued throughout the year. Criadazgo is the practice where middle- and upper-income families informally “employ” child domestic workers, often from impoverished families, and provide them with shelter, food, some education, and a small stipend. Although not all children in situations of criadazgo were victims of trafficking, it made them more vulnerable. The government did not oversee implementation of the practice nor specifically safeguard the rights of children employed through the criadazgo system. While the practice is not legally prohibited specifically, the National Child and Adolescent Secretariat continued to denounce it as illegal under child labor laws.

See the Department of State’s annual Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law prohibits the worst forms of child labor, with the exception of slavery-like practices that do not include trafficking involving physical movement of the victim. The minimum age for full-time employment is 18. Children 14 to 17 years old may work with written parental authorization, if they attend school and do not work more than four hours a day (14-15 years old) or six hours (16-17 years old), and do not work more than a maximum of 24 hours per week.

The government did not effectively enforce laws protecting children from exploitation in the workplace. The maximum administrative penalty for employing a child under age 14 is a fine of Gs. 3.78 million ($640). The law stipulates those who employ adolescents between ages 14 and 17 under hazardous conditions must pay the maximum administrative penalty, serve up to five years in prison, or both, but penalties were insufficient to deter violations due to lax enforcement.

The Ministry of Labor, Employment, and Social Security is responsible for administratively enforcing child labor laws, and the Attorney General’s Office prosecutes violators. The Ombudsman’s Office and the Child Rights Committee receive complaints and refer them to the Attorney General’s Office. In the first nine months of the year, the ministry received 17 complaints regarding child and adolescent workers. Most worked as metalworkers, cashiers, sales clerks, helpers, and in other service jobs.

Child labor continued to occur in retail; sugar, brick, and limestone production; domestic service; and small-scale agricultural sectors. Children, primarily boys, also worked in the manufacturing and agricultural sectors and in the restaurant and other service industries. According to both the government and the NGO community, 45,000-47,000 children, primarily girls, worked as domestic servants and received little or no pay under the criadazgo system. In exchange for work, employers promised child domestic servants room, board, and financial support for school. Some of these children were victims of human trafficking for the purposes of forced child labor, did not receive pay or the promised benefits in exchange for work, suffered from sexual exploitation, and often lacked access to education.

The 2017 case against Rosa Delvalle and Anderson Rios for serious bodily damage, attempted homicide, sexual abuse, and torture for forcing a 15-year-old minor to drink caustic soda while working as a domestic servant under the criadazgo system remained pending as of August 24.

The worst forms of child labor occurred where malnourished, abused, or neglected children worked in unhealthy and hazardous conditions selling goods or services on the street, working in factories, or harvesting crops. Children were used, procured, and offered to third parties for illicit activities, including commercial sexual exploitation (see also section 6, Children), sometimes with the knowledge of parents and guardians, who received remuneration. Some minors were involved in forced criminality, acting as drug smugglers for criminal syndicates along the border with Brazil. Children reportedly work in debt bondage alongside their parents in the Chaco region (see section 7.b.).

See the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The law specifically prohibits discrimination based on race, color, sex, age, religion, political opinion, disability, HIV-positive status, or social origin. The government did not effectively enforce the law, and penalties were insufficient to deter violations. The fines for discrimination range from 10 to 30 daily wages per affected worker.

The press and civil society reported on employment discrimination based on sex, race, disability, age, language, weight, sexual orientation, HIV-positive status, and pregnancy.

The mandatory national minimum wage was Gs. 2.12 million ($355) per month. The mandatory minimum wage for domestic employees is set at 60 percent of the national minimum wage. Both were above the official estimate for the poverty income level. The law stipulates that domestic employees work a maximum of eight hours per day. The law provides for a standard legal workweek of 48 hours (42 hours for night work) with one and one-half days of rest. There are no prohibitions of, or exceptions for, excessive compulsory overtime.

The government sets appropriate occupational health and safety standards stipulating conditions of safety, hygiene, and comfort. Although these standards were current and appropriate for light-manufacturing and construction industries, enforcement was inadequate.

The Ministry of Labor, Employment, and Social Security did not effectively enforce provisions for overtime pay, the minimum wage, or limitations on hours of work in the formal or the informal sector. It launched public awareness campaigns, however, aimed at employers and workers to raise awareness of labor laws and worker rights. The number of labor inspectors was insufficient to enforce compliance with all labor laws, and penalties were insufficient to deter violations.

During the first eight months of the year, the labor ministry’s Department of Mediation of Private Conflicts received 5,571 labor complaints and mediation requests. Men filed the majority of these complaints, which involved illegal dismissals or the failure of employers to pay the legally mandated end-of-year bonuses. Many formal and informal employers violated provisions requiring overtime pay, particularly in the food and agricultural sectors and for domestic services. From January to September 30, the labor ministry received 100 complaints of occupational safety and health violations, some associated with workplace accidents or fatalities. Most workplace accidents or fatalities occurred in the construction and light-manufacturing industries.

Employers are obligated to register workers with the labor ministry. As of October 13, however, approximately 2,160 employers had registered 7,090 workers with the ministry, which was very low compared with the country’s population of approximately 6.7 million.

According to the labor ministry and NGOs, many domestic workers suffered discrimination, routinely worked 12-hour workdays (when eight is the maximum), were not paid for overtime work (as required by law), were allowed to rest less than the 36 hours mandated by law, were not entitled to publicly provided retirement benefits, and did not routinely attain job stability after 10 years, unlike other workers covered by the labor code. Domestic workers were eligible for government-sponsored medical care and retirement programs through small payroll and employer contributions.

a. Freedom of Association and the Right to Collective Bargaining

With certain limitations, labor laws and regulations provide freedom of association, the right to strike, and collective bargaining. The law prohibits employer intimidation and other forms of antiunion discrimination and requires reinstatement of workers fired for union activity, unless they opt to receive compensation instead. Regulations allow workers to form unions without seeking prior authorization. The minimum membership required by law to form a union is 20 employees for a workplace-level union and 50 employees for a sector-wide union, which some labor activists viewed as prohibitively high in some instances, particularly for small and medium-sized enterprises. The use of consecutive short-term contracts in some nontraditional export sectors, such as textiles and apparel, made the exercise of freedom of association and collective bargaining difficult.

The law allows unions to declare a strike in accordance with their governing documents. Private-sector workers must give advance notice of at least five working days, and public-sector workers must give at least 10 days’ notice. The law also allows nonunion workers to declare a strike with a majority vote as long as the written voting record is notarized and announced at least five working days prior to a strike. Unions in essential services are permitted to call a strike but must provide 15 working days’ notice, receive the approval of the ministry, obtain approval of a simple majority of workers, and provide a sufficient number of workers during a strike to maintain operations. Private enterprises and the public institutions cannot fire workers who strike legally.

The law requires businesses to monitor their contractors with respect to labor rights and imposes liability on businesses for the actions of their contractors. The law governing the general private-sector labor regime sets out nine categories of short-term employment contracts that companies may use. The law sets time limits for each of the categories and contains a five-year overall limit on the consecutive use of short-term contracts. A sector-specific law covering the textile and apparel nontraditional export sectors exempts employers from this five-year limit and allows employers to hire workers on indefinite short-term contracts, without requiring a conversion to the permanent workforce.

Although the Ministry of Labor and its National Superintendency of Labor Inspection (SUNAFIL) received budget increases in 2017 and 2018, resources remained inadequate to enforce freedom of association, collective bargaining, and other labor laws. In July Congress passed a law to merge the regional labor inspectors and Ministry of Labor inspectors with SUNAFIL. As of September SUNAFIL reported having 636 labor inspectors and to have budgeted for the hiring of an additional 216 inspectors by the end of the year. SUNAFIL opened a new labor inspection office in Puno in May. As of October SUNAIFL had offices in 16 of the 24 regions.

Penalties for violations of freedom of association and collective bargaining range from 7,400 to 74,000 soles ($2,280 to $22,800). Such penalties were insufficient to deter violations and, according to labor experts and union representatives, were rarely enforced. Workers continued to face prolonged judicial processes and lack of enforcement following dismissals resulting from trade union activity.

The law prohibits all forms of forced or compulsory labor, but the government did not effectively enforce the law.

Resources, inspections, and remediation were inadequate for effective enforcement of the law. The law prescribes penalties of eight to 25 years’ imprisonment for labor trafficking, although the government did not report statistics on convictions and sentences for forced labor during the year. Financial penalties for violations range from 7,400 to 74,000 soles ($2,280 to $22,800) but were insufficient to deter violations.

SUNAFIL officials conducted inspections to identify forced labor. The Ministry of Labor and SUNAFIL provided training sessions to SUNAFIL and regional labor inspectors around the country to raise awareness of forced labor and the applicable law. The government continued to implement the 2013-17 national plan to combat forced labor during the year. The government approved a new National Plan of Action against Trafficking in Persons 2017-21 in June 2017. The plan addresses forced labor as human trafficking with an emphasis on the needs of victims through a dedicated Victim Reintegration Plan.

Thousands of persons remained subject to conditions of forced labor, mainly in mining, forestry, agriculture, brick making, and domestic service. There were reports that men and boys were subjected to bonded labor in mining (including gold mining), forestry, and brick making, while women were most often found working under conditions of domestic servitude. Both men and women reportedly worked in bonded labor in agriculture.

In July a court sentenced the husband and wife who operated a workshop to preventive detention. As of October the husband remained in jail, and his wife was under house arrest, pending trial. A fire in June 2017 in downtown Lima exposed the informal counterfeit lightbulb workshop, which allegedly engaged in human trafficking for forced labor exploitation. Two workers were locked in the workshop; one, a 17-year-old minor, died in the fire.

In September the PNP reported it rescued 1,077 human trafficking victims (sexual exploitation and forced labor) during multiple police operations from January to September. The rescued victims included 130 foreign women, mostly Venezuelans with some Ecuadorians and Bolivians. The police conducted the operations in Madre de Dios, Piura, Tumbes, and Lima.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The legal minimum age for employment is 14, although children between the ages of 12 and 14 may work in certain jobs for up to four hours per day. Adolescents between the ages of 15 and 17 may work up to six hours per day, if they obtain special permission from the Ministry of Labor and certify that they are attending school. In certain sectors of the economy, higher age minimums existed: 15 in nonindustrial agriculture; 16 in industry, commerce, and mining; and 17 in industrial fishing. The law specifically prohibits the hiring of minors in a number of occupations considered hazardous for children, including working underground, lifting or carrying heavy weights, accepting responsibility for the safety of others, and working at night. The law prohibits work that jeopardizes the health of children and adolescents; puts their physical, mental, and emotional development at risk; or prevents regular attendance at school.

A permit from the Labor Ministry is required for persons under 18 to work legally. Parents must apply for the permits, and employers must have a permit on file to hire a minor.

The Ministry of Labor and SUNAFIL are responsible for enforcing child labor laws, but enforcement was not effective, especially in the informal sector in which the majority of child labor occurred. The ministry and SUNAFIL lacked the resources needed to execute necessary inspections, and inter-ministerial coordination was often lacking. Inspectors conducted visits without notice to areas where persons or organizations had reported child labor problems. By law the penalties for illegal child labor include fines from 192,500 soles ($59,400) for microbusiness to 385,000 soles ($118,800) for small and medium-sized businesses and 770,000 soles ($237,600) for larger enterprises. In addition to these fines, violators are subject to civil and criminal legal proceedings.

The Labor Ministry continued its “Vamos Peru” (Let’s Go, Peru) program, focused on job training, technical assistance to entrepreneurs, and job placement, and the “Peru Responsable” (Responsible Peru) program, aimed at fostering corporate social responsibility and creating formal employment for youth. The ministry continued to implement its national strategy to combat child labor, including projects in Junin, Huancavelica, Pasco, Carabayllo, and Huanuco, which focused on reducing child labor by improving educational services, providing mechanical tools, and providing cash transfers to families in rural areas.

The Office of the Ombudsman for Children and Adolescents (DEMUNA) worked with the Labor Ministry to document complaints regarding violations of child labor laws. DEMUNA operated a decentralized child labor reporting and tracking system. The Ministry of Women and Vulnerable Populations administered a program that sent specialized teachers to the streets to provide education and support to minors involved in begging and street vending. The ministry continued to implement the Yachay program, which assists homeless children ages six to 17 with workshops, health care, education, legal services, and scholarships.

A 2016 government child labor report found more than two million children in the five-to-17 age group worked, a rate of more than 26 percent. The report noted child labor rates tracked closely with high poverty rates, with several of the rural highland regions having child labor rates above 50 percent: 67 percent for Huancavelica, 63 percent for Cajamarca, 54 percent for Cusco, and 51 percent for Puno. Some coastal regions had child labor rates below 10 percent, such as Callao with 4 percent, Lima with 6 percent, and Ica with 9 percent. The report also found child labor predominately occurred in rural, agricultural areas (46 percent), in contrast to urban centers (13 percent). The report noted that children engaged in the worst forms of child labor, including mining and in commercial sexual exploitation, sometimes as a result of human trafficking.

Representatives from the Labor Ministry, NGOs, and labor unions reported counterfeit U.S. currency cases that involved child labor. The ministry, NGOs, and labor activists reported the use of child labor in rice production on plantations in the Tumbes Region.

Also, see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The law prohibits discrimination with respect to employment based on race, color, sex, religion, political opinion, national origin, citizenship, social origin, disability, age, language, or social status. The law does not specifically identify discrimination based on sexual orientation or gender identity, HIV-positive status, or other communicable diseases. The law prohibits discrimination against domestic workers and any requirement by employers for their domestic workers to wear uniforms in public places. The law establishes the following employment quotas for persons with disabilities: 3 percent for private businesses with more than 50 employees and 5 percent for public-sector organizations. The National Council for the Integration of Persons with Disabilities oversees compliance with employment quotas for persons with disabilities.

The government did not effectively enforce the law. Penalties for violations include fines and imprisonment, but they were not sufficient to deter violations. NGOs and labor rights advocates noted that discrimination cases often went unreported to authorities.

Societal prejudice and discrimination led to disproportionate poverty and unemployment rates for women. Women were more likely to work in the informal sector or in less secure occupations, such as domestic service, factory work, or as street vendors, and they were more likely to be illiterate due to lack of formal education.

In April the government increased the statutory monthly minimum wage for formal workers from 850 soles ($265) to 930 soles ($290) per month. The INEI estimated the poverty line to be 315 soles ($97) a month per person, although it varied by region. The average monthly income, set in September 2016, was 1,640 to 1,867 soles ($505-$575) for men and 1,352 soles ($415) for women. The INEI reported the average monthly income in 2017 for Lima was 1,667.30 soles ($521).The government did not effectively enforce wage laws and penalties were not sufficient to deter violations of minimum wage standards.

The law provides for a 48-hour workweek for formal workers and one day of rest. There is no prohibition on excessive compulsory overtime, nor does the law limit the amount of overtime that a worker may work. The law stipulates 15 days of paid annual vacation.

The Occupational Health and Safety (OHS) Standards are appropriate for the main industries. SUNAFIL is responsible for the enforcement of OHS standards. The government did not devote sufficient resources and personnel to enforce OHS standards.

Fines for labor violations were last increased in April 2014. Noncompliance with the law is punishable by fines of 7,400 to 74,000 soles ($2,280 to $22,800). In July 2014, however, the government enacted a three-year decree that reduced fines on employers for labor violations to no more than 35 percent of the maximum fine established by law. The government renewed that decree in 2017 for another three years. The reduction is limited to fines for occupational safety and health violations that did not result in death or permanent injury of the worker and violations of laws related to freedom of association and workplace discrimination determined not to be “very serious.” The reduction does not apply to violations that “very seriously affect” freedom of association, union formation, and workplace discrimination; violations related to child labor or forced labor; violations of occupational and safety norms that result in death or permanent disability of the worker; actions that impede labor inspections; and recidivist conduct, defined as repeat violations within a six-month period from the time a final decision on the first infraction was issued. The reductions, however, do not apply to violations of fundamental labor rights. Many fines went uncollected, in part because the government lacked an efficient tracking system and at times due to a lack of political will, according to a local labor NGO and labor experts.

The law provides for fines and criminal sanctions for occupational safety and health violations. In cases of infractions, injury, or deaths of workers or subcontractors, the penalty is one to four years’ imprisonment. Criminal penalties are limited to those cases where employers “deliberately” violated safety and health laws and where labor authorities had previously notified employers who chose not to adopt measures in response to a repeated infraction. The law requires that a worker prove an employer’s culpability to obtain compensation for work-related injuries.

Representatives of labor, business, and the government reported that the majority of companies in the formal sector generally complied with the law. Many workers in the informal economy, approximately 70 percent of the total labor force, received less than the minimum wage, although most were self-employed.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the rights of workers, with the exception of the military, police, short-term contract employees, and some foreign workers, to form and join independent unions, bargain collectively, and conduct strikes; it prohibits antiunion discrimination. The law, however, places several restrictions on these rights.

Laws and regulations provide for the right to organize and bargain collectively in both the private sector and corporations owned or controlled by the government. The law prohibits organizing by foreign national or migrant workers unless a reciprocity agreement exists with the workers’ countries of origin specifying that migrant workers from the Philippines are permitted to organize unions there. The law also requires the participation of 20 percent of the employees in the bargaining unit where the union seeks to operate; the International Labor Organization (ILO) called this requirement excessive and urged the government to lower minimum membership. The scope of collective bargaining in the public sector is limited to a list of terms and conditions of employment negotiable between management and public employees. These are items requiring appropriation of funds, including health-care and retirement benefits, and those that involved the exercise of management prerogatives, including appointment, promotion, compensation, and disciplinary action, are nonnegotiable.

Strikes in the private sector are legal. Unions are required to provide strike notice, respect mandatory cooling off periods, and obtain approval from a majority of members before calling a strike. The Department of Labor and Employment’s (DOLE/labor department) Bureau of Labor Relations reported 417 mediation-conciliation cases from January to July. Of these, 288 cases were filed under preventive mediation, 124 under notices of strike or lockout, and five cases under actual strike or lockout. Of the total reported mediation-conciliation cases, 66 percent raised issues on unfair labor practices.

The law subjects all problems affecting labor and employment to mandatory mediation-conciliation for one month. Parties to a dispute must attempt mediation before giving notice to strike; if that fails, the union may issue a strike notice. Parties may bring any dispute to mediation, but strikes or lockouts must be related to acts of unfair labor practice, a gross violation of collective bargaining laws, or a collective bargaining deadlock. The law provides for a maximum prison sentence of three years for participation in an illegal strike, a requirement the ILO urged the government to amend.

The law permits employers to dismiss union officers who knowingly participate in an illegal strike. Union officers convicted of striking illegally are subject to a maximum imprisonment of three years, although there has never been such a conviction.

The law prohibits government workers from joining strikes under the threat of automatic dismissal. Government workers may file complaints with the Civil Service Commission, which handles administrative cases and arbitrates disputes. Government workers may also assemble and express their grievances on the work premises during nonworking hours.

The secretary of the DOLE, and in certain cases the president, may intervene in labor disputes by assuming jurisdiction and mandating a settlement if either official determines that the strike-affected company is vital to the national interest. Vital sectors include hospitals, the electric power industry, water supply services (excluding small bottle suppliers), air traffic control, and other activities or industries as recommended by the National Tripartite Industrial Peace Council (NTIPC). Labor rights advocates continued to criticize the government for maintaining definitions of vital services that were broader than international standards.

By law antiunion discrimination, especially in hiring, is an unfair labor practice and may carry criminal or civil penalties (although generally civil penalties were favored over criminal penalties).

The government generally respected freedom of association and collective bargaining, and enforced laws protecting these rights. The Department of Labor has general authority to enforce laws on freedom of association and collective bargaining. The National Labor Relations Commission’s (NLRC) labor arbiter may also issue orders or writs of execution for reinstatement that go into effect immediately, requiring employers to reinstate the worker and report compliance to the NLRC. Allegations of intimidation and discrimination in connection with union activities are grounds for review by the quasi-judicial NLRC, as they may constitute possible unfair labor practices. If there is a definite preliminary finding that a termination may cause a serious labor dispute or mass layoff, the DOLE secretary may suspend the termination and restore the status quo pending resolution of the case.

Penalties under the law for violations of freedom of association or collective bargaining laws were generally not sufficient to deter violations.

Administrative and judicial procedures were subject to lengthy delays and appeals. Before disputes reach the NLRC, the labor department provides mediation services through a board, which settles most unfair labor practice disputes. Through the National Conciliation and Mediation Board, the department also works to improve the functioning of labor-management councils in companies with unions.

The NTIPC serves as the main consultative and advisory mechanism on labor and employment for organized labor, employers, and government on the formulation and implementation of labor and employment policies. It also acts as the central entity for monitoring recommendations and ratifications of ILO conventions. The labor department, through the NTIPC, is responsible for coordinating the investigation, prosecution, and resolution of cases alleging violence and harassment of labor leaders and trade union activists pending before the ILO.

Workers faced several challenges in exercising their rights to freedom of association and collective bargaining. Unions continued to claim that local political leaders and officials who governed the Special Economic Zones (SEZs) explicitly attempted to frustrate union organizing efforts by maintaining union-free or strike-free policies. Unions also claimed that the government stationed security forces near industrial areas or SEZs to intimidate workers attempting to organize, and alleged that companies in SEZs used frivolous lawsuits to harass union leaders. Local SEZ directors claimed exclusive authority to conduct their own inspections as part of the zones’ privileges intended by the legislature. Employers controlled hiring through special SEZ labor centers. For these reasons, and in part due to organizers’ restricted access to the closely guarded zones and the propensity among zone establishments to adopt fixed-term, casual, temporary, or seasonal employment contracts, unions had little success organizing in the SEZs. The DOLE does not have data on compliance with labor standards in SEZs.

There were isolated reports of labor-related violence during the year. In July police arrested 19 NutriAsia workers and supporters for “obstructing the ingress and egress” to the company plant. The DOLE mediated the case between NutriAsia and its workers.

Some employers reportedly chose to employ workers who could not legally organize, such as short-term contract and foreign national workers, to minimize unionization and avoid other rights accorded to “regular” workers. The nongovernmental Center for Trade Union and Human Rights contended that this practice led to a decline in the number of unions and workers covered by collective bargaining agreements. Employers also often abused contractual labor provisions by rehiring employees shortly after the expiration of the previous contract. The labor department reported multiple cases of workers alleging employers refused to bargain.

The law prohibits all forms of forced or compulsory labor. Legal penalties for forced labor were sufficiently stringent.

Trade unions reported continued poor compliance with the law, due in part to the government’s lack of capacity to inspect labor practices in the informal economy. The government continued awareness-raising activities, especially in the provinces, in an effort to prevent forced labor. The DOLE’s efforts included an orientation program for recruits for commercial fishing vessels, who were among the workers most vulnerable to forced labor conditions.

Reports of forced labor by adults and children continued, mainly in fishing and other maritime industries, small-scale factories, gold mines, domestic service, agriculture, and other areas of the informal sector (see section 7.c.). Unscrupulous employers subjected women from rural communities and impoverished urban centers to domestic servitude, forced begging, and forced labor in small factories. They also subjected men to forced labor and debt bondage in agriculture, including on sugar cane plantations and in fishing and other maritime industries.

There were reports that some persons who voluntarily surrendered to police and local government units in the violent antidrug campaign were forced to do manual labor, exercise, or other activities that could amount to forced labor without charge, trial, or finding of guilt under law.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law prohibits the employment of children younger than 15 years, except under the direct and sole responsibility of parents or guardians, and sets the maximum number of working hours for them at four hours per day and no more than 20 hours per week. The law also prohibits the worst forms of child labor. Children between 15 and 17 are limited to eight working hours per day, up to a maximum of 40 hours per week. The law forbids the employment of persons younger than 18 in hazardous work. The law sets the minimum age for domestic workers at 15.

Although the government supported programs that sought to prevent, monitor, and respond to child labor, resources remained inadequate. The government imposed fines and instituted criminal prosecutions for law violations in the formal sector, such as in manufacturing. Fines for child labor law violations were not sufficient to deter violations. From January to July, the DOLE, through its Sagip Batang Manggagawa (Rescue Child Laborers) program (part of the Health, Education, Livelihood, and Prevention, Protection, and Prosecution, Monitoring and Evaluation [H.E.L.P.M.E.] Convergence Program), conducted five operations and removed 25 minors from hazardous and exploitative working conditions. As of July the department closed three establishments for violations of child labor laws. In June the PNP’s Women and Children Protection Center rescued 19 female high school students allegedly working as escorts at a bar in Manila. The PNP also arrested three suspected pimps offering “jobs” to students outside the school premises.

The government, in coordination with domestic NGOs and international organizations, continued to implement programs to develop safer options for children, return them to school, and offer families viable economic alternatives to child labor. The labor department continued its efforts to reduce the worst forms of child labor and to remove children from hazardous work under the H.E.L.P.M.E. Convergence Program.

Despite these efforts, child labor remained a widespread problem. Previous cases reported to the DOLE centered in the service and agricultural sectors, notably in the fishing, palm oil, and sugar cane industries. Most child labor occurred in the informal economy, often in family settings. Child workers in those sectors and in activities such as gold mining, manufacturing (including of fireworks), domestic service, drug trafficking, and garbage scavenging faced exposure to hazardous working environments.

NGOs and government officials continued to report cases in which family members sold children to employers for domestic labor or sexual exploitation.

Online sexual exploitation of children and child soldiering also continued to be a problem (see sections 6 and 1.g., respectively).

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The law prohibits discrimination with respect to employment and occupation based on age; sex; race; creed; disability; and HIV, tuberculosis, hepatitis B, or marital status. The law does not prohibit employment discrimination with respect to color, political opinion, national origin or citizenship, language, sexual orientation, gender identity, age, other communicable disease status, or social origin. While some local antidiscrimination ordinances existed at the municipal or city levels that prohibit employment discrimination against lesbian, gay, bisexual, and transgender–but not intersex–persons, there was no prohibition against such discrimination in national legislation.

The law requires most government agencies and government-owned corporations to reserve 1 percent of their positions for persons with disabilities; government agencies engaged in social development must reserve 5 percent. The law commits the government to providing “sheltered employment” to persons with disabilities, for example in workshops providing separate facilities. The labor department’s Bureau of Local Employment maintained registers of persons with disabilities that indicate their skills and abilities and promoted the establishment of cooperatives and self-employment projects for such persons.

Persons with disabilities experienced discrimination in hiring and employment. The labor department estimated that only 10 percent of employable persons with disabilities were able to find work.

Between January and July, no cases were filed to test how effectively the law was enforced. The government did not effectively monitor and enforce laws prohibiting employment discrimination based on disability, and the National Council for Disability Affairs and the labor department did not monitor the regulation regarding the employment of persons with disabilities effectively. The effectiveness of penalties to prevent violations could not be assessed.

The government had limited means to assist persons with disabilities in finding employment, and the cost of filing a lawsuit and lack of effective administrative means of redress limited the recourse of such persons when prospective employers violated their rights. In 2016 an HIV-positive worker won a case against his employer for having been fired because of his HIV-positive diagnosis. The court ordered that the individual be reinstated and receive approximately 600,000 pesos ($11,200) in damages and back wages.

Discrimination in employment and occupation occurred with respect to LGBTI persons. A number of LGBTI organizations submitted anecdotal reports of discriminatory practices that affected the employment status of LGBTI persons. Discrimination cases included the enforcement of rules, policies, and regulations that disadvantaged LGBTI persons in the workplace. For example, in 2017 transgender women were told by recruitment officers that they would be hired only if they presented themselves as males by cutting their hair short, dressing in men’s clothes, and acting in stereotypically masculine ways.

Women faced discrimination both in hiring and on the job. Some labor unions claimed female employees suffered punitive action when they became pregnant. Although women faced workplace discrimination, they continued to occupy positions at all levels of the workforce.

Women and men were subject to systematic age discrimination, most notably in hiring.

The government allowed refugees to work. A DOLE order affirmed refugees’ and stateless persons’ access to work permits. The Bureau of Immigration provided temporary work permits for persons with pending applications for refugee or stateless status upon endorsement by the RSPPU. The types of employment open to refugees and stateless persons were generally the same as those open to other legal aliens.

As of May tripartite regional wage boards of the National Wage and Productivity Commission had not increased the daily minimum wage rates for agricultural and nonagricultural workers. Minimum wages ranged from 512 pesos ($9.57) per day for nonagricultural workers in the Manila region to 256 pesos ($4.79) per day for agricultural workers in the Ilocos region. According to the government, in 2015, the latest year for which such data was available, a family of five needed an average income of 8,022 pesos ($150) per month to avoid poverty.

The law did not cover many workers, since wage boards exempted some newly established companies and other employers from the rules because of factors such as business size, industry sector, export intensity, financial distress, and capitalization level.

Domestic workers worked under a separate wage and benefit system, which lays out minimum wage requirements and payments into social welfare programs, and mandates one day off a week. While there were no reliable recent data, informed observers believed two million or more persons were employed as domestic workers, with nearly 85 percent being women or girls as young as 15 years.

Penalties for noncompliance with increases or adjustments in the wage rates as prescribed by law are a fine not exceeding 25,000 pesos ($468), imprisonment of one to two years, or both. In addition to fines, the government used administrative procedures and moral suasion to encourage employers to rectify violations voluntarily.

By law the standard workweek is 48 hours for most categories of industrial workers and 40 hours for government workers, with an eight hour per day limit. The law mandates one day of rest each week. The government mandates an overtime rate of 125 percent of the hourly rate on ordinary days, 130 percent on special nonworking days, and 200 percent on regular holidays. There is no legal limit on the number of overtime hours that an employer may require.

The law provides for a comprehensive set of occupational safety and health standards. Regulations for small-scale mining prohibit certain harmful practices, including the use of mercury and underwater, or compressor, mining. The law provides for the right of workers to remove themselves from situations that endangered health or safety without jeopardy to their employment. Most labor laws apply to foreign workers, who must obtain work permits and may not engage in certain occupations.

The DOLE’s Bureau of Working Conditions (BWC) monitors and inspects compliance with labor law in all sectors, including workers in the formal sector, nontraditional laborers, and informal workers, and inspects SEZs and businesses located there. The number of labor law compliance officers, who monitor and enforce the law, including by inspecting compliance with core labor and occupational safety standards and minimum wages, increased to 608 from 574 in 2017. The BWC stated that its budget increased to allow 710 permanent labor inspector positions, once qualified applicants were selected. Nonetheless, the number of compliance officers was insufficient for the workforce of 42 million workers, particularly in rural areas. ILO standards for developing countries suggest a need for approximately 2,800 labor inspectors–one inspector for every 15,000 workers. The labor department prioritized increasing the number of officers while acknowledging that insufficient inspection funds continued to impede its ability to investigate labor law violations effectively, especially in the informal sector and in small and medium size enterprises.

The DOLE continued to implement its Labor Laws Compliance System for the private sector. The system included joint assessments, compliance visits, and occupational safety and health standards investigations. Labor department inspectors conducted joint assessments with employer and worker representatives; inspectors also conducted compliance visits and occupational safety and health standards investigations. The labor department and the ILO also continued to implement an information management system to capture and transmit data from the field in real time using mobile technology. Violations included 13,240 for labor standards, 9,842 for general labor standards, 2,045 for violations of minimum wage rates, and 11,142 for occupational safety and health standards. Following a deficiency finding, the labor department may issue compliance orders that can include a fine or, if the deficiency poses a grave and imminent danger to workers, suspend operations. The BWC also reported no establishments were found deficient with respect to child labor law as of July.

Violations of minimum wage standards were common, as was the use of contract employees to avoid the payment of required benefits, including in the SEZs. Many firms hired employees for less than minimum wage apprentice rates, even if there was no approved training in their work. Complaints about payment under the minimum wage and nonpayment of social security contributions and bonuses were particularly common at companies in the SEZs. In 2017 the DOLE issued Department Order 174, setting stricter guidelines on the use of labor contracting and subcontracting. Some labor unions, however, criticized the order for not ending all forms of contractual work. On May 1, President Duterte issued an Executive Order prohibiting employers from circumventing a worker’s “security of tenure,” which he defined as the right “not to be dismissed or removed without just and authorized cause.” Similar to Department Order 174, some labor unions criticized the action for not ending all forms of contractual work.

There were also gaps and uneven applications of the law. Media reported problems in the implementation and enforcement of the domestic worker’s law, including a tedious registration process, an additional financial burden on employers, and difficulty in monitoring employer compliance.

During the year various labor groups criticized the government’s enforcement efforts, in particular the DOLE’s lax monitoring of occupational safety and health standards in workplaces. Between January and July, the BWC recorded 28 work-related accidents that caused 19 deaths and 23 injuries. Statistics on work-related accidents and illnesses were incomplete, as incidents were underreported, especially in agriculture.

The government and several NGOs worked to protect the rights of the country’s overseas citizens, most of whom were Philippine Overseas Employment Agency (POEA) contract or temporary workers. Although the POEA registered and supervised domestic recruiter practices, authorities often lacked sufficient resources to provide complete worker protection overseas. The Overseas Worker Welfare Administration provides support to overseas workers in filing grievances against employers via its Legal Assistance Fund. The fund covers administrative costs that would otherwise prevent overseas workers from filing grievance complaints. Covered costs include fees for court typing and translation, visa cancellation, and contract termination.

The government continued to place financial sanctions on, and bring criminal charges against, domestic recruiting agencies found guilty of unfair labor practices. From January to August 2017, the POEA reported 100 suspension orders issued to 57 licensed recruitment agencies for various violations.

Foreigners were generally employed in the formal economy and recruited for high paying, specialized positions. They typically enjoyed better working conditions than citizens.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the rights of workers to form and join independent trade unions, bargain collectively, and conduct legal strikes. The law prohibits antiunion discrimination, and provides legal measures under which workers fired for union activity may demand reinstatement. On July 25, the president signed the revision of the law on trade unions to expand the right to form a union to persons who entered into an employment relationship based on a civil law contract, or to persons who were self-employed. The law is the result of the 2015 the Constitutional Court ruling that found any limitation to the freedom of association violates the constitution, and required the government and parliament to amend the law on trade unions.

Government workers, including police officers, border guards, prison guards, and employees of the supreme audit office, are limited to a single union. Workers in services deemed essential, such as security forces, the Supreme Chamber of Audit, police, border guards, and fire brigades, do not have the right to strike. These workers have the rights to protest and to seek resolution of their grievances through mediation and the court system.

Trade unions are registered when at least 10 eligible persons adopt a resolution to form a trade union. Newly established trade unions must appoint a founding committee consisting of three to seven persons. A new trade union must register with the National Court Registry within 30 days of the resolution. The court may remove a trade union from the registry only if a trade union adopts a resolution to dissolve; is no longer able to operate due to the bankruptcy, liquidation, or reorganization of the company in which the trade union operated; or if a trade union has fewer than 10 members for more than three months.

Legal strike ballots require the support of the majority of union voters. To allow for required mediation, a strike may not be called fewer than 14 days after workers present their demands to an employer. The law obligates employers to notify the district inspection office in their region about a group dispute in the workplace. Cumbersome procedures made it difficult for workers to meet all of the technical requirements for a legal strike. What constitutes a strike under the labor law is limited to strikes regarding wages and working conditions, social benefits, and the trade union rights and freedoms of workers. The law prohibits collective bargaining for key civil servants, appointed or elected employees of state and municipal bodies, court judges, and prosecutors.

The penalties for obstructing trade union activity range from fines to community service. The government did not effectively enforce applicable laws. Resources, inspections, and remediation efforts were not adequate, and the small fines imposed as punishment were an ineffective deterrent to employers. Administrative and judicial procedures were subject to lengthy delays and appeals. Unions alleged that the government did not consistently enforce laws prohibiting retribution against strikers. On May 28, the state-owned national airline LOT fired trade union leader Monika Zelazik, who tried to organize a strike at the company in May. In July the Chief Labor Inspectorate initiated legal proceedings against LOT management claiming that Zelazik’s firing constituted a violation of the law on trade unions. On October 22, LOT fired 67 employees for organizing a strike on October 18 that the company described as illegal. On November 1, LOT management and trade unions signed an agreement ending the strike, and all 67 fired employees returned to work. On November 20, the Warsaw local court rejected a motion by LOT management challenging the legality of the October strike.

Trade union representatives stated that violations of freedom of association and the right to collective bargaining occurred. While many workers exercised the right to organize and join unions, many small- and medium-sized firms, which employed a majority of the workforce, discriminated against those who attempted to organize. The government enforced applicable laws but penalties were insufficient to deter violations.

Labor leaders continued to report that employers regularly discriminated against workers who attempted to organize or join unions, particularly in the private sector. Discrimination typically took the forms of intimidation, termination of work contracts without notice, and closing of the workplace. Some employers sanctioned employees who tried to organize unions.

The law prohibits all forms of forced or compulsory labor. Nevertheless, forced labor occurred.

The government effectively enforced the law. Penalties for forced labor violations were sufficiently stringent to deter violations. In 2017, the most recent year for which statistics were available, the government assisted in removing 74 victims from forced labor.

There were reports that foreign and Polish men and women were subjected to forced labor in construction, agriculture and restaurants and children were subjected to forced begging (see section 7.c., Child Labor).

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law prohibits the employment of children younger than 16, with exceptions in the cultural, artistic, sporting, and advertising fields when parents or guardians and the local labor inspector give their permission. The labor inspector issues a permit on the basis of psychological and medical examinations. Child labor is not allowed if the work may pose any threat to life, health or physical and mental development of the child, or will conflict with the child’s education. The government effectively enforced applicable laws but penalties were not sufficient to deter violations.

Some children younger than 18 engaged in hazardous work in agriculture, primarily on family farms. Migrant Romani children from Romania were subjected to forced begging. Commercial sexual exploitation of children also occurred (see section 6, Children).

The law prohibits discrimination with respect to employment or occupation in any way, directly or indirectly, on the grounds of race, sex, color, religion, political opinion, national origin, ethnic origin, disability, sexual orientation, age, trade union membership, and regardless of whether the person is hired for definite or indefinite contracts, or for full- or half-time work. The law does not specifically prohibit such discrimination based on language, HIV-positive status, gender identity, or social status. According to the Polish Society for Antidiscrimination Law, by law the accused must prove that discrimination did not take place, but judges often placed the burden on the victim to prove that discrimination occurred. The government enforced applicable laws, but penalties were not sufficient to deter violations.

Discrimination in employment and occupation occurred with respect to gender, age, minority status, disability, political opinion, sexual orientation and gender identity, and trade union membership. According to an EC report on equality published in March, the gender wage gap in 2016 was 7.2 percent. Discrimination against Romani workers also occurred (see section 6).

The national monthly minimum wage and the minimum wage for formal work agreements meet the social minimum monthly income level. There is no minimum wage for informal work agreements. The government effectively enforced wage laws but penalties were not sufficient to deter violations; there were reports of employers withholding wages or underpaying laborers on informal work agreements, particularly among Ukrainian migrant workers.

The constitution provides every employee the right to statutorily specified days free from work as well as annual paid holidays.

The law defines strict and extensive minimum conditions to protect worker health and safety, and empowers the National Labor Inspectorate (NLI) to supervise and monitor implementation of worker health and safety laws and to close workplaces with unsafe conditions. Workers could remove themselves from situations that endangered health or safety without jeopardy to their employment, and authorities effectively protected employees in this situation. The NLI’s powers are limited to the formal economy; it does not have authority to monitor implementation of worker health and safety laws in the informal economy, private farms, and households.

Resources were inadequate to enforce effectively minimum wage, hours of work, and occupational health and safety in the formal or informal sectors. The number of labor inspectors was not sufficient to deter violations.

According to the inspectorate’s 2017 report, the most frequent labor rights violations concerned failure to pay or delayed payment of wages, failure to pay for overtime work, and failure to sign a labor contract in situations when the job performed constituted regular labor. Most wage payment violations occurred in the services, construction, and processing industries. Seasonal workers were particularly vulnerable to such violations. The national inspectorate’s report did not cover domestic workers because inspectors could only conduct inspections in businesses, not private homes. The second-most common problem was inaccurate timekeeping records for hours worked.

Employers often ignored requirements regarding overtime pay. A large percentage of construction workers and seasonal agricultural laborers from Ukraine and Belarus earned less than the minimum wage. The large size of the informal economy–particularly in the construction and transportation industries–and the low number of government labor inspectors made enforcement of the minimum wage difficult. The Main Statistical Office definition of informal economy includes unregistered employment performed without a formal contract or agreement, and is not counted as a contribution to social security and from which income taxes are not deducted. According to the Central Statistical Office, in 2017 (the latest year for which data were available), approximately 5.4 percent of workforce (880,000 persons) worked in the informal economy.

Trade union leaders stated penalties for employers were not sufficient to deter violations. In the case of serious violations, labor inspectors may submit the case to a court, which may impose a fine of up to 30,000 zloty ($7,600). According to labor laws, persons who maliciously violate the labor rights of employees may face up to two years’ imprisonment. International observers noted that the NLI’s mandate both to confirm the legal status of workers and to monitor working conditions creates a potential conflict of interest.

During the year the NLI continued a public awareness campaign to lower the number of work-related accidents in logging and timber companies and conducted a “Work Legally” public awareness campaign promoting legal employment. In addition, the NLI continued a prevention and information campaign–”Construction Site. No More Accidents!”–that targeted construction companies and included training on work safety standards for employees and employers. During the year the NLI implemented its “Respect Life–Safe Work on Private Farms” campaign and visited many private farms to assess safety conditions and organized a number of competitions for individual farmers.

In the first half of the year, the Central Statistical Office (CSO) reported 37,007 victims of workplace accidents, a decrease of 2,086 from the same period in 2017. The highest number of victims worked in industrial processing, trade, car repairs, the health-service sector, transportation, warehouse management, and construction. The CSO reported 73 work-related deaths during the first six months of the year, in comparison with 93 death accidents during the same period in 2017. The CSO reported most of fatal accidents occurred in construction, industrial processing, and transport. In 2017 the inspectorate investigated 2,479 accidents in which there were deaths or injuries, including 263 workers killed and 924 persons seriously injured. The NLI reported that, as in previous years, most of the fatal accidents occurred in the construction, industrial-processing, transport, farming and forestry, mining, and trade industries. Employers routinely exceeded standards limiting exposure to chemicals, dust, and noise. According to the inspectorate’s 2017 report, inadequate training of employees, the poor quality of job-related risk assessment tools, and inadequate measures by employers to prevent accidents were the leading causes of workplace accidents.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right of most workers to form and join independent unions, bargain collectively, and conduct legal strikes. The government generally respected these rights. The law prohibits antiunion discrimination and requires reinstatement of workers fired for union activity.

While the law provides for freedom of association and collective bargaining, several restrictions limit these rights. The rights of police officers and members of the armed forces are limited. The Judiciary Police, the Foreigners and Borders Service, and prison guards may strike; the Public Security Police and the Republican National Guard may not. If a long strike occurs in a sector deemed essential, such as justice, health, energy, or transportation, the government may order strikers back to work for a specified period. Unions considered the list of essential sectors to be overly broad. Unions reported that compulsory conciliation and arbitration as prerequisites to strikes, restrictions on the scope of strikes, and restrictions on the types of strike actions permitted could limit the effectiveness of strikes.

The law requires unions to represent at least 50 percent of workers in a sector for collective bargaining units to be extended beyond the enterprise level. Public-sector employee unions have the right to discuss and consult with their employers on conditions of work, but they do not have the right to negotiate binding contracts. There remained a lack of clarity regarding criteria for union representation in the Permanent Commission for Social Partnerships, a tripartite advisory body. The law names specific unions, rather than giving participation rights to the most representative unions.

The government was generally effective in enforcing these laws. Resources, including inspections and remediation, were adequate. Penalties for violations range from fines to imprisonment and were sufficient to deter violations. Administrative and judicial procedures were subject to lengthy delays or appeals.

Authorities generally respected freedom of association and the right to collective bargaining. Worker organizations could generally operate free from government interference. Requirements for enterprise-level bargaining by work councils sometimes prevented local union representatives from bargaining directly on behalf of workers. There were instances of employers undermining strikes using last-minute minimum-service requirements. According to labor union representatives, some workers received threats that union participation would result in negative performance reviews.

The law prohibits all forms of forced and compulsory labor. The law places responsibility for complying with legal provisions on temporary employment agencies and employers of temporary workers. It provides that the contractor and the developer, company, or farm, as well as the respective managers, administrators, or directors, and companies with which they are connected are jointly liable for violations of the legal provisions relating to the health and safety of temporary workers and are responsible for entitlements, social security contributions, and the payment of the respective fines.

Government resources dedicated to prevention of forced labor, including inspections and remediation, and enforcement of the law remained inadequate, but penalties ranging from three to 15 years’ imprisonment were sufficiently stringent to deter violations. Convictions remained low, and convicted offenders frequently avoided imprisonment, undercutting enforcement efforts and victim protections, according to NGOs and media. Government efforts to prevent and eliminate forced labor during the year included a countrywide awareness campaign and training security forces to identify, flag, and direct victims to assistance services. In 2017 courts convicted and sentenced 11 traffickers for forced labor.

According to the Portuguese Observatory on Trafficking in Human Beings, foreign labor trafficking victims were exploited in agriculture, construction, and domestic service, while Portuguese victims were exploited in restaurants, agriculture, and domestic service, primarily in Portugal and Spain.

Traffickers subjected children to forced labor (see section 7.c.).

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law prohibits the worst forms of child labor. The statutory minimum age for employment is 16. The law prohibits the employment of persons younger than 18 at night, for overtime work, or in sectors considered hazardous. The Working Conditions Authority (ACT) in the Ministry of Solidarity, Employment, and Social Security has primary responsibility for enforcement of the minimum age law, and enforced it effectively in major industries and the service sector. The government effectively enforced the applicable laws, and penalties were sufficient to deter violations.

Child labor occurred in very limited cases. Children of Romani descent were subjected to forced begging and coerced to commit property crimes (see section 6, Children).

Resources and inspections were adequate. Penalties for violations included imprisonment and were sufficient to deter violations.

Labor laws and regulations prohibit discrimination with respect to employment and occupation, and the government effectively enforced these laws.

The law requires equal pay for equal work. According to the Ministry of Solidarity, Employment, and Social Security, however, women’s average salaries were approximately 17 percent lower than those of men.

In September the government launched a seven million euro ($ eight million) funding program for projects focused on reconciliation and gender equality under the European EEA Grants 2014-21 financial mechanism. According to the Presidency of the Council of Ministers, the program is the responsibility of the State Secretariat for Citizenship and Equality and is operated by the Commission for Citizenship and Gender Equality. The program includes one million euros ($1.15 million) in national funds, which is twice the amount of the previous program. The aim is to finance structural projects and initiatives in areas aligned with the National Strategy for Equality and Non-Discrimination 2018-2030 “Portugal + Equal.”

The minimum wage, which covers full-time workers, rural workers, and domestic employees who are 18 years of age and older, was 580 euros ($667) per month. The poverty income level for 2018 was 454 euros ($522) per month per adult.

The legal workday may not exceed 10 hours, and the maximum workweek is 40 hours. In 2016 the government approved a return to the public sector’s traditional 35-hour working week, down from the 40 hours that had become standard in the private sector. There is a maximum of two hours of paid overtime per day and 200 hours of overtime per year, with a minimum of 12 hours’ rest between workdays. Premium pay for overtime worked on a rest day or public holiday is 100 percent; overtime performed on a normal working day is paid at a premium of 50 percent for the first hour and 75 percent for subsequent time worked. Unions raised concerns regarding working hour provisions on flexibility schemes and time banking, which the government noted were designed to make working hours more flexible and increase productivity. Occupational safety and health standards set by ACT were current and appropriate. Information on enforcement of these laws in the small informal economy was not available.

ACT was responsible for enforcement of minimum wage, hours of work, and safety standards in the formal sector, and effectively enforced these measures. Resources, inspections, and remediation were adequate. Penalties ranged from fines to prison sentences and were sufficient to deter violations.

Workers have the right to lodge confidential grievances with ACT regarding hazardous conditions or circumstances they believe endanger their health. Inspectors have the right to conduct inspections at any private or public company at any time without warning, and they may shut down a workplace or a business permanently or temporarily if there is imminent danger to the workers’ health or safety. Workers are registered with social security services, whose funds cover their mandatory insurance for occupational diseases and work-related accidents. ACT conducts studies on labor accidents, salaries, and working conditions. It may impose administrative penalties and file lawsuits against employers. It has the right to access company records, files, and archives, and it may provide mediation services to resolve individual or group labor disputes. Labor enforcement tended to be less rigorous in sectors such as construction and agriculture, where most immigrant workers were employed, according to NGOs. ACT reported that there were 115 deaths from work-related accidents in 2017. Workers may remove themselves from situations that endanger health or safety without jeopardy to their employment, and authorities effectively protected employees in this situation.

a. Freedom of Association and the Right to Collective Bargaining

The law does not adequately protect the right of workers to form and join independent unions, conduct legal strikes, and bargain collectively, which made the exercise of these rights difficult. The law provides local citizen workers in private sector enterprises that have 100 citizen workers age 18 and older a limited right to organize, strike, and bargain collectively. The law does not prohibit antiunion discrimination or provide for reinstatement of workers fired for union activity.

The law excludes government employees, noncitizens, domestic workers, drivers, nurses, cooks, gardeners, casual workers, workers employed at sea, and most workers employed in agriculture and grazing from the right to join worker committees or the national union, effectively banning these workers from organizing, bargaining collectively, or striking.

In organizations with more than 50 workers, the law permits the establishment of “joint committees” with an equal number of worker and management representatives to deal with a limited number of workplace problems. Foreign workers may be members of joint labor-management committees. The law offers a means to file collective disputes. If disputes are not settled internally between the employees and employer, the Ministry of Administrative Development, Labor, and Social Affairs may mediate a solution. An agreement signed between the ministry and the International Labor Organization (ILO) includes provisions to create these committees with ILO supervision and assistance. Several pilot committees have begun operation and held elections during the year to determine the representatives for the workers.

The law requires approval by the Ministry of Administrative Development, Labor, and Social Affairs for worker organizations to affiliate with groups outside the country. The government did not respect freedom of association and the right to collective bargaining outside of the joint committees.

For those few workers covered by the law protecting the right to collective bargaining, the government circumscribed the right through its control over the rules and procedures of the bargaining and agreement processes. The labor code allows for only one trade union, the General Union of Workers of Qatar (General Union), which was composed of general committees for workers in various trades or industries. Trade or industry committees were composed of worker committees at the individual firm level. The General Union was not a functioning entity.

Employees could not freely practice collective bargaining, and there were no workers under collective bargaining contracts. While rare, when labor unrest occurred, mostly involving the country’ s overwhelmingly foreign workforce, the government reportedly responded by dispatching large numbers of police to the work sites or labor camps involved; the government also requested the assistance of the embassies for the nationals involved. Strikes generally ended after these shows of force and the involvement of their embassies to resolve disputes. In many cases, the government summarily deported the workers’ leaders and organizers. International labor NGOs were able to send researchers into the country under the sponsorship of academic institutions and quasi-governmental organizations such as the NHRC.

Although the law recognizes the right to strike for some workers, restrictive conditions made the likelihood of a legal strike extremely remote. The law requires approval for a strike by three-fourths of the General Committee of the workers in the trade or the industry, and potential strikers also must exhaust a lengthy dispute resolution procedure before a lawful strike may be called. Civil servants and domestic workers do not have the right to strike; the law also prohibits strikes at public utilities and health or security service facilities, including the gas, petroleum, and transportation sectors. The Complaint Department of the Ministry of Administrative Development, Labor, and Social Affairs, in coordination with the Ministry of Interior, must preauthorize all strikes, including approval of the time and place.

The law prohibits all forms of forced or compulsory labor. International media and human rights organizations alleged numerous abuses against foreign workers, including forced or compulsory labor, withheld wages, unsafe working conditions, poor living accommodations, employers who routinely confiscated worker passports, and a sponsorship system that gave employers inordinate control of workers.

The government made efforts to prevent and eliminate forced labor, although the restrictive sponsorship system left some migrant workers vulnerable to exploitation. The law allows employees to switch employers at the end of their contract, which can be up to five years, without the permission of their employer. Employees may also switch in cases of failure to pay, violation of contract, mutual agreement, filing of a legal case in court, and bankruptcy or death of employer. Law 13 of 2018 eliminated the exit visa requirement for most workers covered under the labor law. The law does not extend to domestic workers who continue to require their employers’ permission to leave the country. All workers subjected to exit permit requirements are allowed to seek the removal of such restrictions through a Ministry of Interior and Ministry of Administrative Development, Labor, and Social Affairs jointly operated Grievance Committee.

The government also inaugurated several new government-funded labor accommodation sites designed to replace unsafe temporary housing for migrant workers. The government arrested and prosecuted individuals for suspected labor law violations. Since opening its office in Doha in April, the ILO has collaborated with the government to receive worker complaints and as of October had facilitated the submission of 52 worker complaints to Ministry of Administrative Development, Labor, and Social Affairs involving more than 320 workers. The Ministry of Administrative Development, Labor, and Social Affairs, the Ministry of Interior, and the NHRC conducted training sessions for migrant laborers to educate them on their rights in the country. The three entities also printed and distributed pamphlets that included pertinent articles of the labor and sponsorship laws in multiple languages to educate migrant workers on their rights. To combat the problem of late and unpaid wages, the government mandated that employers pay wages electronically to all employees subject to the labor law through a system subject to audits by an inspection division at the Ministry of Administrative Development, Labor, and Social Affairs. Employers who failed to pay their workers faced penalties of 2,000-6,000 QAR ($550-$1,650) per case and possible prison sentences.

There were continuing indications of forced labor, especially in the construction and domestic labor sectors, which disproportionately affected migrant workers. Exorbitant recruitment fees incurred abroad entrapped many workers in long-term debt, making them more vulnerable to exploitation. Some foreign workers who voluntarily entered the country to work had their passports and pay withheld and worked under conditions to which they had not agreed. Contract substitution remained a problem according to representatives of the migrant worker community; however, a new government electronic contracting system was being piloted to help eliminate the practice.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law sets the minimum age for employment at 16 years and stipulates that minors between the ages of 16 and 18 years may work with parental or guardian permission. Minors may not work more than six hours a day or more than 36 hours a week. Employers must provide the Ministry of Administrative Development, Labor, and Social Affairs with the names and occupations of their minor employees and obtain permission from the Ministry of Education and Higher Education to hire a minor. The ministry may prohibit the employment of minors in jobs judged dangerous to their health, safety, or morals. The government generally enforced relevant laws effectively, and child labor rarely occurred.

The constitution prohibits discrimination based on sex, race, language, and religion, but not political opinion, national origin, social origin, disability, sexual orientation, age, or HIV-positive status. Local custom, however, outweighed government enforcement of nondiscrimination laws, and legal, cultural, and institutional discrimination existed against women, noncitizens, and foreign workers. The government prohibited lower-paid male workers from residing in specific “family” residential zones throughout the country. The government discriminated against noncitizens in employment, education, housing, and health services (see section 6).

The law requires reserving 2 percent of jobs in government agencies and public institutions for persons with disabilities, and most government entities appeared to conform to this law. Private-sector businesses employing a minimum of 25 persons are also required to hire persons with disabilities as 2 percent of their staff. Employers who violate these employment provisions are subject to fines of up to 20,000 QAR ($5,500). There were no reports of violations of the hiring quota requirement during the year.

In November 2017 the Ministry of Administrative Development, Labor, and Social Affairs announced a temporary minimum wage for migrant workers worth 750 QAR ($200) per month. The ministry and the ILO Office in Doha are currently conducting surveys and studies to set an appropriate permanent minimum wage for workers. The labor law provides for a 48-hour workweek with a 24-hour rest period and paid annual leave days. The law requires premium pay for overtime and prohibits excessive compulsory overtime. Employees who work more than 48 hours per week or 36 hours per week during the month of Ramadan are entitled to an overtime pay supplement of at least 25 percent. The government sets occupational health and safety standards including restrictions on working during the hottest hours of the day during the summer and general restrictions related to temperature during the rest of the day as well. The labor law and provisions for acceptable conditions of work do not apply to workers in the public sector or agriculture, or to domestic workers. In August 2017 the Amir ratified a law regulating service workers in the home. The law provides for a maximum 10-hour workday, one day a week off, and allows for overtime. Poverty among citizens was very low, and the government did not track poverty statistics among migrant workers.

Responsibility for laws related to acceptable conditions of work fell primarily to the Ministry of Administrative Development, Labor, and Social Affairs as well as the Ministry of Municipality and Environment and the Ministry of Public Health. The government did not effectively enforce standards in all sectors; working conditions for citizens were generally adequate, because government agencies and the major private sector companies employing them generally followed the relevant laws. Enforcement problems were in part due to insufficient training and lack of personnel.

The government took limited action to prevent violations and improve working conditions. In March the Worker Dispute Settlement Committees assumed their duties, chaired by first-instance judges appointed by the Supreme Judicial Council and members of the Ministry of Administrative Development, Labor, and Social Affairs. As of July the committees reported seeing over 120 cases per night and rulings were on behalf of employees in the over 70 percent of cases.

The Labor Inspection Department conducted monthly and random inspections of foreign worker camps. When inspectors found the camps to be below minimum standards, the operators received a warning, and authorities ordered them to remedy the violations within one month. For example, inspectors reportedly checked companies’ payrolls and health and safety practices, returning after one month to ensure any recommended changes were made. If a company did not remedy the violations, the Ministry of Administrative Development, Labor, and Social Affairs imposed fines, blacklisted the company, and on occasion referred the matter to the public prosecutor for action.

Fear of penalties such as blacklisting appeared to have had some effect as a deterrent to some labor law violations. Blacklisting is an administrative hold on a company or individual that freezes government services such as processing new visa applications from the firms. Firms must pay a 3,000 QAR ($825) fine to be removed from the list–even if the dispute is resolved–and the ministry reserves the right to keep companies on the list after the fine is paid as a punitive measure.

The Ministry of Administrative Development, Labor, and Social Affairs inspectors continued to conduct inspection visits to work and labor housing sites. Officials from the ILO joined labor inspectors on several inspections and assisted in the formation of a new strategic plan for strengthening the Labor Inspections Unit expected to begin implementation in 2019. Violators faced penalties of up to 6,000 QAR ($1,650) and 30 days’ imprisonment in the most serious cases, but labor observers reported that most safety and health violations were handled through administrative fines or blacklisting. The ministry maintained an office in Doha’s industrial area, where most unskilled foreign workers resided, to receive complaints about worker safety or nonpayment of wages.

Violations of wage, overtime, and safety and health standards were relatively common, especially in sectors employing foreign workers, in which working conditions were often poor. Employers must pay their employees electronically to provide a digital audit trail for the Ministry of Administrative Development, Labor, and Social Affairs. Employers who failed to pay their workers faced penalties of 2,000-6,000 QAR ($550-$1,650) per employee and possible prison sentences. By law employees have a right to remove themselves from situations that endangered their health or safety without jeopardy to their employment, but authorities did not effectively provide protection to employees exercising this right. Employers often ignored working-hour restrictions and other laws with respect to domestic workers and unskilled laborers, the majority of whom were foreigners.

Some employers did not pay workers for overtime or annual leave. Employers housed many unskilled foreign laborers in cramped, dirty, and hazardous conditions, often without running water, electricity, or adequate food. The government continued to serve eviction notices to landlords whose buildings were not up to code. Throughout the year international media alleged some abusive working conditions existed, including work-related deaths of young foreign workers, especially in the construction sector.

Domestic workers often faced unacceptable working conditions. Many such workers frequently worked seven days a week and more than 12 hours a day with few or no holidays, no overtime pay, and limited means to redress grievances. Some employers denied domestic workers food or access to a telephone, according to news reports and foreign embassy officials.

International NGOs found that foreign workers faced legal obstacles and lengthy legal processes that prevented them from seeking redress for violations and exploitative conditions. Noncitizen community leaders also highlighted migrant workers’ continued hesitation to report their plight due to fear of reprisals.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the rights of workers to form and join independent labor unions, bargain collectively, and conduct legal strikes. Unions can affiliate with regional, national, or EU union federations, but may affiliate with only one national organization. The law prohibits antiunion discrimination and allows workers fired for union activity to challenge in court for reinstatement. The law provides for protection of freedom of association and collective bargaining, but unions complained there was little enforcement to protect against violations of these rights.

Civil servants generally have the right to establish and join unions. Employees of the Ministry of National Defense, certain categories of civilian employees of the Ministries of Interior and Justice, judges, prosecutors, intelligence personnel, and senior public servants, including the president, parliamentarians, mayors, prime minister, ministers, employees involved in security-related activities, and president of the Supreme Court, however, do not have the right to unionize. Unions complained about the requirement that they submit lists of union members with their registration application. Since employers also had access to the list, union officials feared this could lead to reprisals against individual unionized employees, particularly dismissals, hindering the formation of new unions.

Unions may strike only if they give employers 48 hours’ notice, and employers can challenge the right in court, effectively suspending a strike for months. Military personnel and certain categories of staff within the Ministry of Internal Affairs, such as medical personnel, are not permitted to strike. Although not compulsory, unions and employers can seek arbitration and mediation from the Ministry of Labor’s Office for Mediation and Arbitration. Companies may claim damages from strike organizers if a court deems a strike illegal. The law permits strikes only in defense of workers’ economic, social, and professional interests and not for the modification or change of a law. As a result, workers may not challenge any condition of work established by law, such as salaries for public servants, limiting the effectiveness of unions in the public sector.

Unions complained that the legal requirement for representativeness, which states that the right to collective bargaining and to strike can be asserted only by a union that represents 50 percent plus one of the workers in an enterprise, is overly burdensome and limits the rights of workers to participate in collective bargaining and to strike. In the absence of this clear majority, an employer can appoint a worker representative of its choosing to negotiate the agreement. Unions also complained that some companies created separate legal entities to which they transferred employees, thereby preventing them from reaching the threshold for representation.

The law requires employers with more than 21 employees to negotiate a collective labor agreement but provides no basis for national collective labor agreements. Employers refusing to initiate negotiation of a collective bargaining agreement can receive fines. The law permits, but does not impose, collective labor agreements for groups of employers or sectors of activity. The law requires employers to consult with unions on such topics as imposing leave without pay or reducing the workweek due to economic reasons.

Unions complained that the government’s general prohibition on union engagement in political activities was intended to prohibit unions from entering unofficial agreements to support political parties. The law provides for this control due to past abuses by union officials. Unions also complained that authorities could exercise excessive control over union finances, although the government asserts that national fiscal laws apply to all organizations. The International Labor Organization’s Committee of Experts on the Application of Conventions and Recommendations identified fiscal laws as an area of concern.

Union representatives alleged that official reports of incidents of antiunion discrimination remained minimal, as it was difficult to prove legally that employers laid off employees in retaliation for union activities. The CNCD fines employers for antiunion discrimination, although it lacked the power to order reinstatement or other penalties. In 2017 the CNCD issued fines in 18 cases involving access to employment and profession, which includes antiunion discrimination and collective bargaining agreement infringement. The law prohibits public authorities, employers, or organizations from interfering, limiting, or preventing unions from organizing, developing internal regulations, and selecting representatives. Possible fines range from 15,000 to 20,000 lei ($3,800 to $5,000), but in recent years the Labor Inspectorate, which also has jurisdiction over discrimination claims, had not applied such sanctions. The potential fines were insufficient to deter violations, and employees must usually seek judicial remedies to order reinstatement.

The government and employers generally respected the right of association and collective bargaining, and union officials stated that registration requirements stipulated by law were complicated but generally reasonable.

The law prohibits all forms of forced or compulsory labor. Nevertheless, there were reports that such practices continued to occur, often involving Roma, disabled persons, and children. The government did not effectively enforce the law and took limited measures to prevent forced or compulsory labor. The law criminalizes forced labor with penalties ranging from one to three years’ imprisonment, exploitation for beggary with penalties ranging from six months’ to five years’ imprisonment, and enslavement with penalties of imprisonment for three to 10 years. These penalties were insufficient to deter violations.

According to the Ministry of Internal Affairs, 79 of the 662 victims of trafficking officially identified in 2017 were exploited specifically for labor purposes. Of these, 42 were trafficked for agricultural work. Appeals courts in Arges County affirmed the convictions of seven defendants sentenced to between four and eight years in prison for their roles in a forced labor case in Berevoiesti. In 2016 the Directorate for Investigating Organized Crime and Terrorism (DIICOT) uncovered a human trafficking ring that had forced its kidnapped victims, including children, into beggary, slavery, and other forms of forced labor. The captors allegedly kept the victims locked and chained, beat them, and forced them to work.

In October 2017 DIICOT uncovered a group of three citizens who had exploited minors and vulnerable adults for work at a mountain sheep hold on three separate occasions. The victims suffered abuse and assault and had their cell phones taken away. One victim escaped by walking nearly 18 miles back to his hometown.

Men, women, and children were subjected to labor trafficking in agriculture, construction, domestic service, hotels, and manufacturing. Organized rings, often involving family members, forced persons, including significant numbers of Romani women and children, to engage in begging and petty theft (see section 7.c.).

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law prohibits the worst forms of child labor. The minimum age for most forms of employment is 16. Children may work with the consent of parents or guardians at age 15 if the activities do not endanger their health, morality, or safety. The law prohibits persons younger than age 18 from working in hazardous conditions, includes a list of dangerous jobs, and specifies penalties for offenders. Some examples of hazardous jobs for children include those posing a high risk of accident or damage to health, exposure to psychological or sexual risk, night shifts, exposure to harmful temperatures, and those requiring use of hazardous equipment. Parents whose children carry out hazardous activities are required to attend parental education programs or counseling and may be fined between 100 and 1,000 lei ($25 and $250) if they fail to do so. Persons or companies who employ children for hazardous tasks may be fined 500 to 1,500 lei ($125 to $375).

Minors who work have the right to continue their education, and the law obliges employers to assist in this regard. Minors between the ages of 15 and 18 may work a maximum of six hours per day and no more than 30 hours per week, provided their school attendance is not affected. Businesses that impose tasks incommensurate with minors’ physical abilities or fail to respect restrictions on minors’ working hours can face fines of up to 6,000 lei ($1,500). Many minors reportedly did not attend school while working. Minors have the right to an additional three days of annual leave.

The law requires schools to notify social services immediately if children miss class to work, but schools often did not comply. Social welfare services have the responsibility to reintegrate such children into the educational system.

Penalties for violation of child labor laws include sentences ranging from one to two years’ imprisonment or fines. Violations were rarely prosecuted, and penalties were not sufficient to deter violations. The Ministry of Labor may impose fines and close businesses where it finds exploitation of child labor. The National Authority for the Protection of the Rights of the Child and Adoption (ANPFDC) in the Labor Ministry has responsibility for investigating reports of child labor abuse, but enforcement of child labor laws tended to be lax, especially in rural areas with many agricultural households and where social welfare services lacked personnel and capacity to address child labor violations.

The ANPFDC is responsible for monitoring and coordinating all programs for the prevention and elimination of child labor. Government efforts focused on reacting to reported cases, and the ANPFDC dedicated limited resources to prevention programs. According to the ANPFDC, 356 children were subject to child labor in 2017. The incidence of child labor was widely believed to be much higher than official statistics reflected. Child labor, including begging, selling trinkets on the street, and washing windshields, remained widespread in Romani communities, especially in urban areas. Children as young as five engaged in such activities, and cases were usually documented only when police became involved. Of the 356 documented cases of child labor in 2017, authorities prosecuted only 14 alleged perpetrators.

Labor laws and regulations prohibit discrimination with respect to employment and occupation because of race, sex, gender, age, religion, disability, language, sexual orientation or gender identity, HIV-positive or other communicable disease status, social status, or refugee or stateless status. The government did not enforce these laws effectively, reacting to claims of discrimination rather than adequately engaging in programs to prevent discrimination. Although the CNCD and the Labor Inspectorate investigated reported cases of discrimination, penalties were insufficient to deter violations. The penalties for discrimination include fines of between 1,000 and 30,000 lei ($250 and $7,500) for discrimination against an individual, or between 2,000 and 100,000 lei ($500 and $25,000) for discrimination targeting a group of individuals or a community.

Discrimination in employment or occupation occurred with respect to gender, disability, and HIV status. Discrimination against Roma and migrant workers also occurred. In 2017 the CNCD processed 273 discrimination cases with respect to employment. The CNCD addressed cases in both the public and private sectors.

According to Eurostat, the pay gap between men and women in the country was 5.2 percent in 2016. While the law provides female employees re-entering the workforce after maternity leave the right to return to their previous or a similar job, pregnant women and other women of childbearing age could still suffer unacknowledged discrimination in the labor market.

Although systematic discrimination against persons with disabilities did not exist, the public at large had a bias against those with disabilities. NGOs worked actively to change attitudes and assist persons with disabilities to gain skills and employment, but the government lacked adequate programs to prevent discrimination. A government ordinance that took effect in September 2017 includes a provision requiring companies or institutions with more than 50 employees to employ workers with disabilities for at least 4 percent of their workforce or pay a fine for lack of compliance. Before the ordinance was adopted, the law allowed companies not in compliance with the quota to fulfill their legal obligation by buying products from NGOs or firms, known as “sheltered units,” where large numbers of disabled persons were employed. NGOs reported that sheltered units lost an important source of income as a result.

In 2016 the LGBTI rights group ACCEPT received reports of eight cases of employment discrimination against LGBTI persons and guided the complainants in possible courses of action. One case was resolved after the complainant filed an internal complaint with the employer in June; three other individuals refused to appeal to the CNCD or the courts due to concerns about further harassment, preferring settlements with their employers.

The law provides for a national minimum wage that is greater than the official estimate for the poverty income level. The minimum wage more than doubled in nominal terms since 2012, rising from 700 lei ($186) to 1,900 lei ($505) during the year. Authorities enforced wage laws adequately, although a significant informal economy existed. According to Eurostat data, in 2017 more than a third of the population (35.7 percent) was at risk of poverty or social exclusion. Despite minimum wage increases, nearly one in five employed Romanians (18.9 percent) was at risk of poverty.

The law provides for a standard workweek of 40 hours or five days. Workers are entitled to overtime pay for weekend or holiday work or work of more than 40 hours. An employee’s workweek may not exceed 48 hours per week on average over a four-month reference period, although certain exceptions are allowed for certain sectors or professions. The law requires a 48-hour rest period in the workweek, although most workers received two days off per week. During reductions in workplace activity for economic or technical reasons, the law allows employers to shorten an employee’s workweek and reduce the associated salary. Excessive overtime may lead to fines for employers if workers file a complaint, but complaints were rare. The law prohibits compulsory overtime.

The law gives employers wide discretion regarding the performance-based evaluation of employees. The law permits 90-day probationary periods for new employees and simplifies termination procedures during this period.

The law provides for temporary and seasonal work and sets penalties for work performed without a labor contract in either the formal or the informal economy. The fine for employers using undeclared workers is 20,000 lei ($5,000) for each individual working without a labor contract, up to a maximum of 200,000 lei ($50,000). The maximum duration of a temporary contract 36 months, in accordance with EU regulations.

The Ministry of Labor, through the Labor Inspectorate, is responsible for enforcing the law on working conditions, health and safety, and minimum wage rates. The inspectorate was understaffed and inspectors underpaid; consequently, the inspectorate had high turnover and limited capacity. Minimum wage, hours of work, and occupational safety and health standards were not effectively enforced in all sectors. The construction, agriculture, and small manufacturers sectors were particularly problematic sectors for both labor underreporting and neglecting health and safety standards. The Labor Inspectorate identified 5,609 undeclared workers in 2017 and fined employers 45.7 million lei ($11.5 million). Through June the Labor Inspectorate identified 4,940 undeclared workers and fined employers 64.6 million lei ($16.2 million).

According to trade union reports, many employers paid supplemental salaries under the table to reduce both employees’ and employers’ tax burdens. To address underreported labor, in 2017 the government increased the minimum required payroll taxes that employers must pay for their part-time employees to equal those of a full-time employee earning minimum wage. In addition the Labor Inspectorate collaborated with the National Authority for Fiscal Administration to conduct joint operations to check employers in sectors prone to underreported labor, including the textile, construction, security, cleaning, food preparation, transportation, and storage industries. These investigations often focused on underpayment of taxes rather than workers’ rights.

The government did not effectively enforce overtime standards. Union leaders complained that overtime violations were the main problem facing their members, since employers often required employees to work longer than the legal maximum without always receiving mandatory overtime compensation. This practice was especially prevalent in the textile, banking and finance, and construction sectors. In August employees in a wiring and cable factory in Arges County complained about work conditions and practices, including insufficient breaks and mistreatment by management. Penalties for violating overtime standards ranged from 5,000 lei ($1,250) to 10,000 lei ($2,500). Fines of 20,000 lei ($5,000) were imposed for not respecting provisions regarding special compensation or leave for national holidays.

The Ministry of Labor is responsible for establishing occupational health and safety standards, and the Labor Inspectorate inspects employers for compliance with regulations. The high number of violations suggested that the penalties did not deter abuses. In 2017 inspectors focusing on workplace safety conducted 56,629 inspections, imposed 76,154 fines, and applied sanctions ranging from remedial recommendations to workplace or equipment suspension. Workers could remove themselves from situations they deemed dangerous to their health or safety without jeopardy to their employment. Not all workplace accidents are investigated by labor inspectors. Companies investigated minor incidents, while labor inspectors investigated more severe ones, typically those that resulted in fatalities or in multiple injuries. If appropriate, incidents may be referred for criminal investigation. Union leaders stated that labor inspectors only superficially investigated workplace accidents, including ones involving fatalities, and inspectors often wrongly concluded that the victims were at fault in most fatal accidents.

a. Freedom of Association and the Right to Collective Bargaining

The law provides that workers may form and join independent unions, bargain collectively, and conduct legal strikes. The law prohibits antiunion discrimination, but it does not require employers to reinstate workers fired due to their union activity. The law prohibits reprisals against striking workers. Unions must register with the Federal Registration Service, often a cumbersome process that included lengthy delays and convoluted bureaucracy. The grounds on which trade union registration may be denied are not defined and can be arbitrary or unjustified. Active members of the military, civil servants, customs workers, judges and prosecutors, and persons working under civil contracts are excluded from the right to organize. The law requires labor unions to be independent of government bodies, employers, political parties, and NGOs.

The law places several restrictions on the right to bargain collectively. For example, only one collective bargaining agreement is permitted per enterprise, and only a union or group of unions representing at least one-half the workforce may bargain collectively. The law allows workers to elect representatives if there is no union. The law does not specify who has authority to bargain collectively when there is no trade union in an enterprise.

The labor code prohibits strikes in the military and emergency response services. It also prohibits strikes in essential public-service sectors, including utilities and transportation, and strikes that would threaten the country’s defense, safety, and the life and health of its workers. The law also prohibits some nonessential public servants from striking and imposes compulsory arbitration for railroad, postal, and municipal workers as well as other public servants in roles other than law enforcement.

Union members must follow extensive legal requirements and engage in consultations with employers before acquiring the right to strike. According to the Federation of Independent Trade Unions of Russia, the legal preparation for a strike takes at least 40 days. Solidarity strikes and strikes on issues related to state policies are illegal, as are strikes that do not respect the onerous time limits, procedures, and requirements mandated by law. Employers may hire workers to replace strikers. Workers must give prior notice of the following aspects of a proposed strike: a list of the differences of opinion between the parties that triggered the strike; the date and time at which the strike will start, its duration and the number of anticipated participants; the name of the body that is leading the strike and the representatives authorized to participate in the conciliation procedures; and proposals for the minimum service to be provided during the strike. In the event a declared strike is ruled illegal and takes place, courts may confiscate union property to cover employers’ losses.

The Federal Labor and Employment Service (RosTrud) regulates employer compliance with labor laws and is responsible for “controlling and supervising compliance with labor laws and other legal acts which deal with labor norms” by employers. Several state agencies, including the Ministry of Justice, the Prosecutor’s Office, the Federal Service for Labor and Employment, and the Ministry of Internal Affairs, are responsible for enforcing the law. These agencies, however, frequently failed to enforce the law, and violations of freedom of association and collective bargaining were common. Penalties were not sufficient to deter violations.

Employers frequently engaged in reprisals against workers for independent union activity, including threatening to assign them to night shifts, denying benefits, and blacklisting or firing them. Although unions were occasionally successful in court, in most cases managers who engaged in antiunion activities did not face penalties.

On January 10, a court in St. Petersburg ruled to liquidate the “Worker’s Association” Interregional Labor Union, in the first-ever application of the country’s “foreign agents” law to a labor union. The St. Petersburg offices of the Justice Ministry and Federal Tax Service claimed the organization engaged in political activity and received foreign funding. Media reported that prosecutors alleged the union received more than 32 million rubles ($480,000) from a Swiss-based international union federation to train members. On May 22, however, the Supreme Court overturned the decision and restored the union’s legal status.

The law prohibits most forms of forced or compulsory labor but allows for it as a penal sentence, in some cases as prison labor contracted to private enterprises.

The government was generally effective in enforcing laws against forced labor, but gaps remained in protecting migrant laborers, particularly from North Korea. Migrant forced labor occurred in the construction and service industries, logging industry (timber), textile shops, brick making, and the agricultural sector (see section 7.c.). Migrant workers at times experienced exploitative labor conditions characteristic of trafficking cases, such as withholding of identity documents, nonpayment for services rendered, physical abuse, and extremely poor living conditions.

Under a state-to-state agreement in effect since 2009, North Korean citizens worked in the country in a variety of sectors, including the logging and construction industries in the Far East. As of 2016 the Federal State Statistics Service, citing GAMI numbers, reported 30,000 North Korean workers were in the country, many of whom worked under conditions of forced labor. Press reports indicated North Korean laborers helped build a new soccer stadium in St. Petersburg used in the World Cup soccer tournament held during the year, a project on which at least one laborer died. Two North Korean laborers died in central Moscow in July while working on a luxury apartment complex, and independent reports characterized as consistent with forced labor conditions in the logging camps in the country’s Far East that employed North Korean laborers.

Authorities failed to screen departing North Korean workers for human trafficking and indications of forced labor.

Also see the Department of State’s Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The law prohibits the employment of children younger than age 16 in most cases and regulates the working conditions of children younger than age 18. The law permits children to work at the age of 14 under certain conditions and with the approval of a parent or guardian. Such work must not threaten the child’s health or welfare. The labor code lists occupations restricted for children younger than age 18, including work in unhealthy or dangerous conditions, underground work, or jobs that might endanger a child’s health and moral development.

RosTrud is responsible for inspecting enterprises and organizations to identify violations of labor and occupational health standards for minors. The government did enforce the law, but violations, such as employing child labor, were at times classified as administrative matters and punished with insufficient fines, doing little to deter future violations.

Child labor was uncommon, but it could occur in brick making, the timber industry, and the informal service, construction, and retail sectors. Some children, both Russian and foreign, were subjected to commercial sexual exploitation and forced participation in the production of pornography (see section 6, Children).

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The law does not prohibit discrimination based on sexual orientation, HIV status, gender identity, or disability. Although the country placed a general ban on discrimination, the government did not effectively enforce the law.

Discrimination based on gender in compensation, professional training, hiring, and dismissal was common. Employers often preferred to hire men to save on maternity and child-care costs and to avoid the perceived unreliability associated with women with small children. Such discrimination was often very difficult to prove, although NGOs reported several successful lawsuits in St. Petersburg against companies for wrongful termination of women on maternity leave.

A 2013 law prohibits employer discrimination in posting job vacancy information. It also prohibits employers from requesting workers with specific gender, race, nationality, address registration, age, and other factors unrelated to personal skills and competencies. Notwithstanding the law, vacancy announcements sometimes specified gender and age requirements, and some also specified a desired physical appearance.

According to the Center for Social and Labor Rights, courts often ruled in favor of employees filing complaints, but the sums awarded were inconsequential. Many employees preferred not to spend the money and time to take legal action.

The labor code restricts women’s employment in jobs with “harmful or dangerous conditions or work underground, except in nonphysical jobs or sanitary and consumer services,” and forbids women’s employment in “manual handling of bulk weights that exceed the limits set for their handling.”

The labor code includes hundreds of tasks prohibited for women and includes restrictions on women’s employment in mining, manufacturing, and construction. The World Economic Forum’s publication, The Global Gender Gap Report 2015, based on the country’s annual statistics report, documented a widespread gender pay gap and noted that, while women were close to parity in senior business roles, women predominated in low-paying jobs in education, the health-care industry, and low-level sales positions. On average women earned 72.6 percent of salaries for men, notwithstanding that 85 percent of women had completed some form of higher education compared with 68 percent of men.

The law requires applicants to undergo mandatory medical screenings when entering into a labor agreement or when enrolling at educational institutions. The medical commission can restrict or prohibit access to jobs and secondary or higher education if they find signs of physical or mental issues. Persons with disabilities were subject to employment discrimination. Companies with 35 to 100 employees have an employment quota of 1 to 3 percent for persons with disabilities, while those with more than 100 employees have a 2- to 4-percent quota. Some local authorities and private employers continued to discourage persons with disabilities from working. Inadequate workplace access for persons with disabilities limited their work opportunities.

Many migrants regularly faced discrimination and hazardous or exploitative working conditions. Union organizers faced employment discrimination, limits on workplace access, and pressure to give up their union membership.

Employment discrimination based on sexual orientation and gender identity was a problem, especially in the public sector and education. Employers fired LGBTI persons for their sexual orientation, gender identity, or public activism in support of LGBTI rights. If they expected to be fired, some LGBTI persons chose to resign preemptively to avoid having their future prospects hindered by a dismissal on their resumes. Primary and secondary school teachers were often the targets of such pressure due to the law’s focus on so-called propaganda targeted at minors (see section 6, Acts of Violence, Discrimination, and Other Abuses Based on Sexual Orientation and Gender Identity).

Persons with HIV/AIDS were prohibited from working in some areas of medical research and medicine.

In September, as part of broader pension reform, amendments to the criminal code were adopted to establish criminal liability for employers who dismiss workers due to approaching pension age.

The monthly minimum wage increased to the official “subsistence” level of 11,163 rubles ($170) on May 1, and it will be regularly revised to keep pace with the increase in the subsistence minimum income. Some local governments enacted minimum wage rates higher than the national rate.

Nonpayment of wages is a criminal offense and is punishable by fines, compulsory labor, or imprisonment. Federal law provides for administrative fines of employers who fail to pay salaries and sets progressive compensation scales for workers affected by wage arrears. The government did not effectively enforce the law and nonpayment or late payment of wages remained widespread. According to Rosstat, as of October wage arrears amounted to 3.1 billion rubles ($48.4 million).

According to Novaya Gazeta, 60 coalminers in the TransBaikal region began a hunger strike in June for nonpayment of wages.

The labor code contains provisions for standard workhours, overtime, and annual leave. The standard workweek cannot exceed 40 hours. Employers may not request overtime work from pregnant women, workers younger than age 18, and other categories of employees specified by federal laws. Standard annual paid leave is 28 calendar days. Employees who perform work involving harmful or dangerous labor conditions and employees in the Far North regions receive additional annual paid leave. Organizations have discretion to grant additional leave to employees.

The labor code stipulates that payment for overtime must be at least 150 percent for the first two hours and not less than 200 percent after that. At an employee’s request, overtime may be compensated by additional holiday leave. Overtime work cannot exceed four hours in a two-day period or 120 hours in a year for each employee. The law establishes minimum conditions for workplace safety and worker health, but does not explicitly allow workers to remove themselves from hazardous workplaces without threat to their employment. The law entitles foreigners working legally to the same rights and protections as citizens.

Occupational safety and health standards were appropriate to the main industries. Government inspectors are responsible for enforcement and generally applied the law in the formal sector. Serious breaches of occupational safety and health provisions are criminal offenses. Experts generally pointed to prevention of these offenses, rather than adequacy of available punishment, as the main challenge to protection of worker rights. The number of labor inspectors was insufficient to enforce the law in all sectors. RosTrud, the agency that enforces the provisions, noted that state labor inspectors needed additional professional training and additional inspectors to enforce consistent compliance.

According Rosstat, in 2016 a total of 21.2 percent of the labor force was employed in the informal economy, up from 20.5 percent in 2015 and the highest percentage since 2006. Rosstat defined the informal economy as enterprises not registered as legal companies, including persons who were self-employed or worked for an “individual entrepreneur.” Employment in the informal sector was concentrated in the southern regions. The largest share of laborers in the informal economy was concentrated in the trade, construction, and agricultural sectors, where workers were more vulnerable to exploitative working conditions. Labor migrants worked in low-quality jobs in construction but also in housing, utilities, agriculture, and retail trade sectors, often informally.

No national-level information was available on the number of workplace accidents or fatalities during the year. According to Rosstat, in 2015 approximately 28,200 workers were injured in industrial accidents, including 1,290 deaths.

According to HRW at least 21 workers died from work-related accidents at World Cup soccer tournament construction sites. Many suffered from severe working conditions, including lack of proper safety equipment, freezing temperatures, and threats of termination for complaining. Some workers either did not receive employment contracts or received them late, and some went unpaid for months.

a. Freedom of Association and the Right to Collective Bargaining

In August the government enacted a law regulating labor. The law provides for the right to form and join unions and employer associations, bargain collectively and strike, but it places severe restrictions on these rights. An employer may refuse a recognized union access to the workplace, and the union must appeal this to the labor court. A union must include a majority of workers in the enterprise. Labor disputes are mediated by local, then national labor inspectors before they may be referred to a court, which may refuse to hear the case. The law applies to all employees with contracts. The law applies to informal sector employees with regard to occupational health and safety and the right to form trade unions and employers’ associations, but it does not address strikes in the informal sector.

The law provides that ministerial orders define implementation of labor law in many respects; as of September 15, many orders had not been issued.

The law provides some workers the right to conduct strikes, subject to numerous restrictions. The law states that employees have the right to strike in compliance with the provisions of the law and that a strike is legal when the arbitration committee has allowed more than 15 working days to pass without issuing a decision, the conciliation resolution on collective dispute has not been implemented, or the court award has not been enforced. The law further states all strikes must be preceded by a notice of four working days. The law states that a strike or lockout must not interrupt the continuity of “essential services” as defined by the Ministry of Public Service and Labor. The ministry broadly defined essential services to include public transportation, security, education (during national exams), water and sanitation, and telecommunications, which severely restricted the right to strike in these fields.

There were 29 labor unions organized into three confederations: 15 unions represented by the Rwanda Confederation of Trade Unions (CESTRAR), seven by the Labor and Worker’s Brotherhood Congress (COTRAF), and seven by the National Council of Free Trade Union Organizations in Rwanda. All three federations ostensibly were independent, but CESTRAR had close links to the government and the ruling RPF party.

Freedom of association and the right to collective bargaining generally were not respected. The government did not enforce applicable laws effectively and restricted these rights.

The government severely limited the right to collective bargaining, and legal mechanisms were inadequate to protect this right. Labor union officials commented that many private-sector businesses controlled by the RPF or the RDF were off limits to collective bargaining negotiations. The government also controlled collective bargaining with cooperatives and mandatory arbitration. No labor union had an established collective bargaining agreement with the government.

Collective bargaining occasionally was practiced in the private sector. For example, in 2015 an international tea exporter renewed its 2012 collective bargaining agreement with its employees. CESTRAR, COTRAF, and the Ministry of Labor participated in the negotiations.

There were neither registered strikes nor anecdotal reports of unlawful strikes during the year; the most recent recorded strike was by textile workers in 2013.

National elections for trade union representatives were last held in 2015. Trade union leaders stated the government interfered in the elections and pressured some candidates not to run.

There were no functioning labor courts or other formal mechanisms to resolve antiunion discrimination complaints, and COTRAF reported it could take four to five years for labor disputes to be resolved through the civil courts. According to several trade unions, employers in small companies frequently used transfers, demotions, and dismissals to intimidate union members.

The law prohibits forced labor and states it is unlawful to permit the imposition of forced labor. The government generally enforced the law. In 2014 the government issued a national trafficking in persons action plan that included programs to address forced labor; the government continued to update the plan during the year. In September the government enacted an updated law to prevent, suppress, and punish trafficking in persons. The 2018 Antitrafficking law prescribes penalties for conviction of imprisonment or fines. Penalties were sufficiently stringent to deter violations and were commensurate with those prescribed for other serious crimes, such as rape. Child trafficking convictions are subject to life imprisonment and a fine of 15 to 20 million Rwandan francs ($17,240 to $23,000). Conviction for subjecting a person to forced labor is punishable by at least five years in prison and a fine of not less than five million Rwandan francs ($5,750), with the penalties being higher if the victim is a child or a vulnerable person. Statistics on the number of victims removed from forced labor were not available. No reports indicate that forced labor by adults is a significant problem in the country.

Also see the Department of State’s annual Trafficking in Persons Report at www.state.gov/j/tip/rls/tiprpt/.

The minimum age for full-time employment is 16, but children ages 13 to 15 are allowed to perform light work in the context of an apprenticeship. The law prohibits children younger than age 18 from participating in physically harmful work, including work underground, under water, at dangerous heights, or in confined spaces; work with dangerous machinery, equipment, and tools, or which involves the manual handling or transport of heavy loads; work that exposes the child to unsafe temperatures or noise levels; and work for long hours or during the night. A 2010 Ministry of Labor ministerial order determines the nature of other prohibited forms of work for a child.

In addition to national law, some districts enforced local regulations against hazardous child labor and sanctioned employers and parents for violations. Police, immigration officials, local government officials, and labor inspectors received training on identifying victims of trafficking.

The NCC took the lead role in designating responsible agencies and establishing actions to be taken, timelines, and other concrete measures in relation to the integrated child rights policy and various national commissions, plans, and policies related to child protection subsumed therein. At the local level, 149 child-labor committees monitored incidents of child labor, and each district was required to establish a steering committee to combat child labor. At the village level, 320 child-labor focal point volunteers were supported by 10 national protection officers appointed by the NCC and 48 social workers.

The Ministry of Labor conducted labor inspections of sectors of the economy known to employ children, focusing on domestic work and the agriculture sector. The RNP operated a child protection unit. District government officials, as part of their performance contracts, enforced child-labor reduction and school attendance benchmarks. Observers noted considerable political will to address child labor but also that the government remained sensitive to public attention regarding the extent of child labor in the country. For example, the government continued to refuse to “validate” a 2015 NGO report on the prevalence of child labor in the tea sector.

The government worked with NGOs to raise awareness of the problem and to identify and send to school or vocational training children involved in child labor. As of August 2, private-sector businesses had not responded to the Ministry of Labor’s invitation to sign a memorandum of understanding committing them to eradicate child labor. The government’s 12-year basic education program aided in reducing the incidence of child labor, although many children who worked also attended school because classes were held in alternating morning or afternoon shifts. The government fined those who illegally employed children or parents who sent their children to work instead of school.

The government did not enforce the law effectively. The number of inspectors was inadequate, and penalties were not sufficient to deter violations. The majority of child laborers worked in the agricultural sector and as household domestics. Child labor also existed in isolated instances in small companies and light manufacturing, in cross-border transportation, construction, and mining industries. Children received low wages, and abuse was common. In addition forced labor and child sex trafficking were problems.

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at www.dol.gov/ilab/reports/child-labor/findings/ .

The law prohibits discrimination based on ethnic origin, family or ancestry, clan, race, sex, region, religion, culture, language, and physical or mental disability, as well as any other form of discrimination. The constitution requires equal pay for equal work.

The government did not consistently enforce antidiscrimination laws, and there were numerous reports of discrimination based on gender, disability, and ethnic origin. Migrant workers enjoyed the same legal protections, wages, and working conditions as citizens.

The law states the Ministry of Labor may establish a minimum wage by ministerial order, but as of September 13, such an order had not been issued.

The law provides a standard workweek of 45 hours and 18 to 21 days’ paid annual leave, in addition to official holidays. The law provides employers with the right to determine daily rest periods. Most employees received a one-hour lunch break. The law states female employees who have given birth are entitled to a maternity leave of at least 12 consecutive weeks. The law states collective agreements must address the compensation rate for overtime.

The law states employers must provide for the health, safety, and welfare of employees and visitors and that enterprises are to establish occupational safety and health committees. The law also states employees are not required to pay any cost in connection with measures aimed at ensuring occupational health and safety. Authorities conducted public awareness campaigns to inform workers of their rights and highlight employers’ obligation to register employees for social security and occupational health insurance and pay into those benefit systems. The law states the Ministry of Labor was to determine general occupational health and safety conditions by ministerial order, but as of September 13, such an order had not been issued.

The government did not effectively enforce the law. The number of inspectors was not sufficient to enforce labor standards effectively. The government employs 35 labor inspectors, although the International Labor Organization recommends that a country with the size of Rwanda’s workforce employ roughly 156 inspectors. The many violations reported to labor unions compared to the few actions taken by the government and employers to remedy substandard working conditions suggested penalties were insufficient to deter violations.

Families regularly supplemented their incomes by working in small businesses or subsistence agriculture in the informal sector, which included approximately 90 percent of all workers. Most workers in the formal sector worked six days per week. Violations of wage, overtime, and occupational health and safety standards were common in both the formal and informal sectors. Local media highlighted the common problem of employers violating the law by not registering employees for social security or occupational health insurance and not paying into those benefit systems. Workers in the subcontractor and business process outsourcing sectors were especially vulnerable to hazardous or exploitative working conditions. Statistics on workplace fatalities and accidents were not available, but ministry officials singled out mining as a sector with significant problems in implementing occupational safety and health standards. There were no major industrial accidents during the year.

Workers did not have explicit rights to remove themselves from situations that endangered their health or safety without jeopardizing their jobs. The Ministry of Labor maintained a list of dangerous professions subject to heightened safety scrutiny.