The law provides criminal penalties for corruption by officials, but the government did not implement the law effectively, and officials often engaged in corrupt practices with impunity. While the government made some progress in combatting low-level corruption in the provision of government services, there were continued reports of corruption by government officials, including those at the highest levels. Media reported the arrest of the mayor of Agstafa on December 19 for accepting bribes.

Transparency International and other observers described corruption as widespread. There were reports of corruption in the executive, legislative, and judicial branches of government. For example, in six reports on visits made to the country between 2004 and 2017, the CPT noted that corruption in the country’s entire law enforcement system remained “systemic and endemic.” In a report on its most recent visit to the country in 2017, for example, the CPT cited the practice of law enforcement officials demanding payments in exchange for dropping or reducing charges or for releasing individuals from unrecorded custody.

Authorities continued to punish individuals for exposing government corruption. On March 19, the Baku Court of Appeals rejected investigative journalist Khadija Ismayilova’s appeal of the December 2018 decision of the Baku Economic Court to hold her accountable for 45,143 manat ($26,600) of RFE/RL’s alleged tax debt, despite RFE/RL’s tax-exempt status as a nonprofit entity. On August 7, the Supreme Court upheld the verdict. Ismayilova’s reporting on elite corruption was widely considered the reason for the targeting, which also included her imprisonment from 2014 to 2016, subsequent travel ban, and the freezing of her bank accounts since 2017.

Corruption: In April 2018 the Council of Europe issued a report of its Independent Investigation Body on allegations of corruption within the Council’s Parliamentary Assembly (PACE). The findings indicated strong suspicion that certain current and former members of PACE had engaged in illicit activities, such as the giving and receiving of bribes, to inappropriately influence processes related to Azerbaijan in the Council of Europe and PACE. PACE censured 13 of its members for accepting gifts and bribes from the government, stripped their voting rights, and removed them from current and future leadership positions on PACE committees.

The Organized Crime and Corruption Reporting Project (OCCRP) published an article on October 15 reporting on a 19-day vacation to the Greek island of Mykonos taken by a group of Azerbaijani young men whose parents were senior officials of the State Oil Company. The group reportedly spent $2.2 million on private helicopters, luxury villas, and extravagant parties. Previous OCCRP publications asserted that the children of government officials used dozens of offshore companies to obscure their investments in luxury properties, businesses, and high-end hotels in Europe and the Middle East. During the year authorities initiated some criminal cases related to bribery and other forms of government corruption, but few senior officials were prosecuted. The Anticorruption Department of the Prosecutor General’s Office stated that during the year it opened 25 criminal cases concerning corruption, but no senior officials were prosecuted.

There was widespread belief that a bribe could obtain a waiver of the military service obligation, which is universal for men between the ages of 18 and 35. Citizens also reported military personnel could buy assignments to easier military duties for a smaller bribe.

The government continued efforts to reduce low-level corruption and improve government services by expanding the capabilities and number of State Agency for Public Service and Social Innovations service centers, which functioned as one-stop locations for government services, such as obtaining birth certificates and marriage licenses, from nine ministries.

Financial Disclosure: The law requires officials to submit reports on their financial situation, and the electoral code requires all candidates to submit financial statements. The process of submitting reports was complex and nontransparent, with several agencies and bodies designated as recipients, including the Anticorruption Commission, the National Assembly, the Ministry of Justice, and the Central Election Commission, although their monitoring roles were not well understood. The public did not have access to the reports. The law permits administrative sanctions for noncompliance, but there were no reports that such sanctions were imposed.

The law prohibits the public release of the names and capital investments of business owners. Critics continued to state the purpose of the law was to curb investigative journalism into government officials’ business interests.

a. Freedom of Association and the Right to Collective Bargaining

The law provides for the right to form and join independent trade unions. Uniformed military and police and managerial staff are prohibited from joining unions. While the law provides workers the right to bargain collectively, unions could not effectively negotiate wage levels and working conditions because government-appointed boards ran major state-owned firms and set wages for government employees.

The law provides most private-sector workers the right to conduct legal strikes but prohibits civil servants from striking. Categories of workers prohibited from striking include high-ranking executive and legislative officials; law enforcement officers; court employees; fire fighters; and health, electric power, water supply, telephone, railroad, and air traffic control workers.

The law prohibits discrimination against trade unions and labor activists and requires the reinstatement of workers fired for union activity. The law also prohibits retribution against strikers, such as dismissal or replacement. Striking workers who disrupt public transportation, however, could be sentenced to up to three years in prison.

The government did not effectively enforce laws related to freedom of association and collective bargaining. Administrative penalties were insufficient to deter violations. Administrative and judicial procedures were subject to lengthy delays and appeals. There were some additional restrictions in practice, such as increased bureaucratic scrutiny of the right to form unions and conduct union activities.

Most unions were not independent, and the overwhelming majority remained tightly linked to the government, with the exception of some journalists’ unions. The Azerbaijan Trade Unions Confederation (ATUC) was the only trade union confederation in the country. Although ATUC registered as an independent organization, it was closely aligned with the government. ATUC reported it represented 1.2 million members in 27 sectors. Both local and international NGOs claimed that workers in most industries were largely unaware of their rights and afraid of retribution if they exercised those rights or initiated complaints. This was especially true for workers in the public sector.

Collective bargaining agreements were often treated as formalities and not enforced. Although the labor law applies to all workers and enterprises, the government may negotiate bilateral agreements that effectively exempt multinational enterprises from it. For example, production-sharing agreements between the government and multinational energy enterprises did not provide for employee participation in a trade union. While the law prohibits employers from impeding the collective bargaining process, employers engaged in activities that undercut the effectiveness of collective bargaining, such as subcontracting and using short-term employment agreements.

The state oil company’s 50,000 workers were required to belong to the Union of Oil and Gas Industry Workers, and authorities automatically deducted union dues from paychecks. Many of the state-owned enterprises that dominated the formal economy withheld union dues from workers’ pay but did not deliver the dues to the unions. Employers officially withheld one-quarter of the dues collected for the oil workers’ union for “administrative costs” associated with running the union. Unions and their members had no means of investigating how employers spent their dues.

b. Prohibition of Forced or Compulsory Labor

The law prohibits all forms of forced or compulsory labor, except in circumstances of war or in the execution of a court decision under the supervision of a government agency. Penalties for violations, including imprisonment, were generally sufficient to deter violations. The government did not effectively enforce applicable laws. Resources and inspections were inadequate, due in part to a moratorium on all routine and unannounced labor inspections.

Broad provisions in the criminal code provide for the imposition of compulsory labor as a punishment for expressing political views or views ideologically opposed to the established political, social, or economic system. In 2018 the International Labor Organization Committee of Experts noted its concern with a growing trend of using various provisions of the criminal code to prosecute journalists, bloggers, human rights defenders, and others who expressed critical opinions, under questionable charges that appeared politically motivated, resulting in long periods of corrective labor or imprisonment, both involving compulsory labor.

During the year there were anecdotal reports of workers subjected to conditions of forced labor in agriculture and the construction industry, forced begging by children, and forced domestic servitude. In 2018 the Ministry of Internal Affairs reported that 450 children were identified as being forced by their parents to beg in the streets. Although some children were removed from the exploitative situation, in general it was treated as a family issue rather than a criminal offense.

Also see the Department of State’s Trafficking in Persons Report at https://www.state.gov/trafficking-in-persons-report/.

c. Prohibition of Child Labor and Minimum Age for Employment

In most cases the law permits children to work from the age of 15 with a written employment contract; children who are 14 may work in family businesses or, with parental consent, in daytime after-school jobs that pose no hazard to their health. Children younger than age 16 may not work more than 24 hours per week; children 16 or 17 may not work more than 36 hours per week. The law prohibits employing children younger than 18 in difficult and hazardous conditions and identifies specific work and industries in which children are prohibited, including work with toxic substances and underground, at night, in mines, and in nightclubs, bars, casinos, or other businesses that serve alcohol.

The government did not effectively enforce laws prohibiting child labor and setting a minimum age for employment. The government maintained a moratorium on routine and unannounced inspections, which prevented effective enforcement of child labor laws. Resources and inspections were inadequate to enforce compliance, and penalties for violations were insufficient to deter violations. The Ministry of Labor and Social Protection of Population was only permitted to conduct inspections based on complaints. In 2018 the State Labor Inspection Service received five child-labor complaints in the catering industry but failed to take further action on them.

There were few complaints of abuses of child labor laws during the year, although there were anecdotal reports of child labor in agriculture, in restaurants and wedding halls, forced begging, and street work, such as in bazaars and markets, auto garages and car washes, and selling fruit and vegetables on roadsides throughout the country. In agriculture there were limited, anecdotal reports of children working in the production of fruits, vegetables, and cotton and, to a lesser extent, involved in producing tea and rice. There were also reports of children subjected to commercial sexual exploitation (see section 6, Children, and section 7.b.).

Also see the Department of Labor’s Findings on the Worst Forms of Child Labor at https://www.dol.gov/agencies/ilab/resources/reports/child-labor/findings , and the Department of Labor’s List of Goods Produced by Child Labor or Forced Labor at “http://www.dol.gov/ilab/reports/child-labor/findings/” www.dol.gov/ilab/reports/child-labor/findings/ https://www.dol.gov/agencies/ilab/reports/child-labor/list-of-goods .

d. Discrimination with Respect to Employment and Occupation

The law prohibits discrimination with respect to employment and occupation, but the government did not always enforce the law effectively. Penalties for discrimination in employment existed under various articles and laws but were patchwork in nature and did not effectively deter discrimination in all its forms. The law excludes women from certain occupations with inherently dangerous conditions, such as working underground in mines. Many of these positions were higher ranked and better paid than positions that women are permitted to occupy in the same industries.

Employers generally hesitated to hire persons with disabilities, and workplace access was limited. Discrimination in employment and occupation also occurred with respect to sexual orientation. LGBTI individuals reported employers found other reasons to dismiss them because they could not legally dismiss someone because of their sexual orientation. Women were underrepresented in high-level jobs, including top business positions. Traditional practices limited women’s access to economic opportunities in rural areas. According to the State Statistics Committee, in 2018 the average monthly salary for women was 53.8 percent of the average monthly salary for men.

e. Acceptable Conditions of Work

The national minimum wage was increased on March 1 and again on September 1, and it was higher than the poverty level (minimum living standard), which was increased on January 1. Experts stated government employers complied with the minimum wage law but that it was commonly ignored in the informal economy. The law requires equal pay for equal work regardless of gender, age, or other classification, although women’s pay lagged behind that of men.

The law provides for a 40-hour workweek. Workers in hazardous occupations may not work more than 36 hours per week. Information was not available on whether local companies provided the legally required premium compensation for overtime, although international companies generally did. There is no prohibition on excessive compulsory overtime. The law provides equal rights to foreign and domestic workers.

The government did not effectively enforce the laws on acceptable conditions of work, and penalties were insufficient to deter violations.

In 2017 the government extended its moratorium on scheduled and unannounced labor inspections until 2021. Although inspectors were still permitted to inspect private-sector workplaces after receiving a complaint and government-owned workplaces, the Ministry of Labor and Social Security did not report any inspections during the year. The ministry reportedly maintained its full staff of inspectors.

Inspection of working conditions by the Ministry of Labor and Social Protection’s labor inspectorate was weak and ineffective due to the moratorium. Although the law sets health and safety standards, employers widely ignored them. Violations of acceptable conditions of work in the construction and oil and gas sectors remained problematic.

Local human rights groups, including the Oil Workers Rights Defense Organization, an NGO dedicated to protecting worker rights in the petroleum sector, maintained that employers, particularly foreign oil companies, did not always treat foreign and domestic workers equally. Domestic employees of foreign oil companies reportedly often received lower pay and worked without contracts or private health-care insurance. Some domestic employees of foreign oil companies reported violations of the national labor code, noting they were unable to receive overtime payments or vacations.

According to official statistics, 63 workers died on the job during the year, including six in the oil and gas sector. Workers may not remove themselves from situations that endanger health or safety, as there is no legal protection of their employment if they did so. On July 16, the State Oil Company of Azerbaijan (SOCAR) reported the death of worker Seymur Valikhanov, stating the cause of death was trauma to the head from a fall in the bathroom. Media outlets reported that the real cause of death was a falling bucket of acid that hit Valikhanov in the head and throat, and that SOCAR had covered up the incident to avoid paying compensation to the family of the deceased.