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Labour administration, labour
inspection and the ILO-current
regulatory perspectives
Giuseppe Casale
Director, LAB/ADMIN
Labour Administration and Inspection Programme
ILO, Geneva
http://www.ilo.org/labadmin
• Labour administration and labour inspection general item
on the agenda of the 100th ILC (June, 2011).
• Last discussions in 1973 (Experts’ meeting), 1978
(Adoption of Convention No. 150), 1997 (LA General
Survey) and 2006 (LI General Survey).
• Recent crisis has highlighted the role of LA, but debt crisis
and austerity measures challenge its future.
• Substantial differences between regions, sub-regions and
countries.
• Increased expectations, but funds limited.
Background
ILO concept of labour administration
• LA: all public bodies involved in labour policy.
• ILO and Labour Administration.
• ILO and Labour Inspection.
• Social Partners and Labour Administration.
International Labour Standards
• Historically, labour inspectorates among the first labour institutions
• Founding of the ILO (1919), creation of Ministries of Labour
• Labour Inspection Recommendation, 1923 (No. 20)
• Labour Inspection Convention, 1947 (No. 81)
• Labour Inspection (Agriculture) Convention, 1969 (No. 129)
• Labour Administration Convention, 1978 (No. 150)
• Protocol of 1995 to the Labour Inspection Convention, 1947
• Occupational Safety and Health Convention, 1981 (No. 155)
• Promotional Framework for OSH Convention, 2006 (No. 187)
Relationship between institutions and policies
• At the international level, institutions often considered
secondary, as if they only reflect policies, yet they also shape
them.
• One question is how formal policy reforms (changes in
institutional set-up) create: a) deliberate policy changes; and
b) indirect and unintended effects?
• For example, policy impact of changing mandates of labour
ministries (employment agendas, vocational training, labour
migration…).
• Effects (and risks) of “agencification”, decentralization and
outsourcing of core services…
• Delicate balance between policy making and service delivery.
New operating conditions
• Difficult economic environment: high and persistent
unemployment, increased inequality and austerity measures.
• Key issue of compliance because of diversified labour force as
well as multiplicity of employment relationships, informal
economy.
• Democratic reforms, spread of market economy and need of
policy coordination: the role of regional groupings and of global
players (ILO, WB, IMF, OECD).
• More transparency: increased interest in governance.
• More pragmatic political thinking in some quarters.
• Recent crisis, an opportunity to create and adapt policies and
institutions.
Main themes of the ILC Report
 Policy making capacity of labour administration and its role
in national development.
 Modernisation of labour administration in the post-crisis
environment.
 Labour Inspection: Trends and Challenges.
Policy making capacity
• Place of MoL within the Government and within the national
labour administration system.
• Historically, a specific mandate: protective legislation and
promoter of sound labour relations.
• More involvement in employment and macro-economic policies
after WWII.
• Today, what is the impact of MoL on government policies to
make them employment-centred?
• What is the range of MoL? what are the factors of influence?
• Revisited mandate: strategic and coordination capability,
institutional capacity, co-operation with E/W organizations.
Policy making capacity (contd.)
• Mandate: important recent changes and organizational “experiments”.
• Coordination through policy documents and through coordination organisms,
including economic and social councils and similar bodies.
• Institutional capacity: budgetary allocations, human resources, material
equipment, and working with data and appropriate internal structures.
• Even if not directly comparable, there are substantial gaps between regions.
• Gaps between policy strategies, laws and reality.
• Focus on better use of existing resources, but critical mass necessary to make
an impact.
• Co-operation with W/E organizations: asset of MoL. Political links and joint
interests, but also working relationship, provision of data and other services.
• Right balance between protection and developmental role.
The performance of labour administration
• Paradox of increasing expectations and budgetary
constraints: do better with existing resources. Large scope
for improving governance.
• Two approaches to better performance: traditional methods
based on better control and on the promotion of traditional
public sector values or the use of private sector methods.
• New Public Management (NPM) since the 1990s: incentives
to managers to make decisions and allocate resources to
produce better outcomes.
• Management by objectives (MBO): establishing long-term
objectives and more concrete outputs (goods and services)
and outcomes (impacts).
The performance of labour administration
(contd.)
• Performance contracts as a link between achievements of
organizations, its units and individuals (contractualism).
Importance of qualitative indicators.
• Evaluation of policies: objective and systematic assessment
is needed.
• Performance related pay compared to centrally established
and incremental salary scales with promotion as the main
incentive. Mixed results: increased motivation, but also
undermined morale, jealousies and reduced cooperation.
• Preconditions in terms of a mature, trust-based service
culture are necessary.
The performance of labour administration
(contd.)
• Public-public partnership necessary taking into account the multi-
disciplinary character of labour policy and the involvement of various
public bodies.
• For examples: job-creation programmes; sharing data-bases;
cooperation of various inspection bodies and the regulation of labour
migration.
• Public-private partnership in various fields of social services, job
brokering, vocational training, research...
• Requirements in terms of monitoring, evaluation, guarantee of individual
rights, etc.
• Appropriate managerial structures/methods in labour administration. The
issue of managerial support services.
• Human resources management: effects of fair salaries, training, proper
career planning and staff stability. The issue of political and administrative
appointments.
The performance of labour administration
(contd.)
• Use of new technologies:
 Widespread of computers and of internet: potential to improve the efficiency
and effectiveness of labour administration (e.g. raising awareness,
dissemination of information, transparent and consultative policy making).
 Adoption of new technologies remains extremely uneven between countries.
 Challenges for developing countries: inadequate financial resources,
underdeveloped ICT infrastructure, lack of expertise and literacy levels. Basic
administrative reforms may be more efficient than ambitious investments in ICT.
 Large and effective uses of simple tools adapted to country’s technological
development (e.g. mobile phones).
The performance of labour administration
(contd.)
• A case study: modernization of PES.
• PES given a pre-eminent role, not only in delivery of services, but also in
developing and testing employment programmes. Consequently, under
pressure to make their services more efficient.
• Institutional changes to achieve better coherence between active and
passive labour policies. Integration of placement services and
unemployment benefit administration.
• Better use of new technologies (internet, on-line service and data
management).
• Customer service orientation.
• Sophisticated indicators in performance measurement.
• Delivery of services outsourced in some countries (Australia,
Netherlands, UK): mixed results. What is the impact on employment
policies?
Labour Inspection: Trends and Challenges
• LI – essential part of the labour administration system
exercising the fundamental function of law compliance.
• Fundamentally, a public responsibility; the risk that private
initiatives (e.g. CSR) could undermine the role of national
inspectorates.
• Significant role of social partners: advocacy, awareness
raising and strategic planning.
• Collaboration with other stakeholders (police, social security
services, tax agencies, etc.) can improve its effectiveness.
Labour Inspection: Trends and Challenges
(contd.)
• Traditional and new challenges.
• Poor conditions in most developing countries threatening
integrity and independence of the staff.
• Informal economy, domestic work, undeclared work (e.g.
construction, agriculture).
• Regulation and prevention of child labour.
• Discrimination issues: gender, HIV/AIDS, race, national
extraction, etc.
Labour Inspection: Trends and Challenges
(contd.)
• Necessity to adapt to the changing world of work.
• New inspection skills and strategies for prevention needed
(complexity of industrial processes, new illnesses, mental
stress, outsourcing, complex supply chains).
• Improved data collection, use of special inspectors,
involvement of social partners and media.
• Cost cutting efforts of enterprises during the crisis:
inspection’s focus on wage payments and working time
arrangements.
• Fight against undeclared work: inspection in specific
sectors, strengthening of sanctions, promotional
campaigns.
Labour Inspection: Trends and Challenges
(contd.)
• Improving administrative and legal means of action.
• Planning programming and reporting. Standardized
administrative reports necessary. Management training of
inspectors.
• Involvement of social partners at the national level to
encourage more targeted action (OSH issues).
• Sanctions and remedies to fit a country’s regulatory and
economic conditions.
• Timely judicial proceedings and due process.
• However, deterrence measures alone are not enough: a
good mix of prevention and sanction to be employed,
including self-assessments and monitoring measures.

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gc_-_ilo_current_regulatory_perspectives.8feb.ppt

  • 1. Labour administration, labour inspection and the ILO-current regulatory perspectives Giuseppe Casale Director, LAB/ADMIN Labour Administration and Inspection Programme ILO, Geneva http://www.ilo.org/labadmin
  • 2. • Labour administration and labour inspection general item on the agenda of the 100th ILC (June, 2011). • Last discussions in 1973 (Experts’ meeting), 1978 (Adoption of Convention No. 150), 1997 (LA General Survey) and 2006 (LI General Survey). • Recent crisis has highlighted the role of LA, but debt crisis and austerity measures challenge its future. • Substantial differences between regions, sub-regions and countries. • Increased expectations, but funds limited. Background
  • 3. ILO concept of labour administration • LA: all public bodies involved in labour policy. • ILO and Labour Administration. • ILO and Labour Inspection. • Social Partners and Labour Administration.
  • 4. International Labour Standards • Historically, labour inspectorates among the first labour institutions • Founding of the ILO (1919), creation of Ministries of Labour • Labour Inspection Recommendation, 1923 (No. 20) • Labour Inspection Convention, 1947 (No. 81) • Labour Inspection (Agriculture) Convention, 1969 (No. 129) • Labour Administration Convention, 1978 (No. 150) • Protocol of 1995 to the Labour Inspection Convention, 1947 • Occupational Safety and Health Convention, 1981 (No. 155) • Promotional Framework for OSH Convention, 2006 (No. 187)
  • 5. Relationship between institutions and policies • At the international level, institutions often considered secondary, as if they only reflect policies, yet they also shape them. • One question is how formal policy reforms (changes in institutional set-up) create: a) deliberate policy changes; and b) indirect and unintended effects? • For example, policy impact of changing mandates of labour ministries (employment agendas, vocational training, labour migration…). • Effects (and risks) of “agencification”, decentralization and outsourcing of core services… • Delicate balance between policy making and service delivery.
  • 6. New operating conditions • Difficult economic environment: high and persistent unemployment, increased inequality and austerity measures. • Key issue of compliance because of diversified labour force as well as multiplicity of employment relationships, informal economy. • Democratic reforms, spread of market economy and need of policy coordination: the role of regional groupings and of global players (ILO, WB, IMF, OECD). • More transparency: increased interest in governance. • More pragmatic political thinking in some quarters. • Recent crisis, an opportunity to create and adapt policies and institutions.
  • 7. Main themes of the ILC Report  Policy making capacity of labour administration and its role in national development.  Modernisation of labour administration in the post-crisis environment.  Labour Inspection: Trends and Challenges.
  • 8. Policy making capacity • Place of MoL within the Government and within the national labour administration system. • Historically, a specific mandate: protective legislation and promoter of sound labour relations. • More involvement in employment and macro-economic policies after WWII. • Today, what is the impact of MoL on government policies to make them employment-centred? • What is the range of MoL? what are the factors of influence? • Revisited mandate: strategic and coordination capability, institutional capacity, co-operation with E/W organizations.
  • 9. Policy making capacity (contd.) • Mandate: important recent changes and organizational “experiments”. • Coordination through policy documents and through coordination organisms, including economic and social councils and similar bodies. • Institutional capacity: budgetary allocations, human resources, material equipment, and working with data and appropriate internal structures. • Even if not directly comparable, there are substantial gaps between regions. • Gaps between policy strategies, laws and reality. • Focus on better use of existing resources, but critical mass necessary to make an impact. • Co-operation with W/E organizations: asset of MoL. Political links and joint interests, but also working relationship, provision of data and other services. • Right balance between protection and developmental role.
  • 10. The performance of labour administration • Paradox of increasing expectations and budgetary constraints: do better with existing resources. Large scope for improving governance. • Two approaches to better performance: traditional methods based on better control and on the promotion of traditional public sector values or the use of private sector methods. • New Public Management (NPM) since the 1990s: incentives to managers to make decisions and allocate resources to produce better outcomes. • Management by objectives (MBO): establishing long-term objectives and more concrete outputs (goods and services) and outcomes (impacts).
  • 11. The performance of labour administration (contd.) • Performance contracts as a link between achievements of organizations, its units and individuals (contractualism). Importance of qualitative indicators. • Evaluation of policies: objective and systematic assessment is needed. • Performance related pay compared to centrally established and incremental salary scales with promotion as the main incentive. Mixed results: increased motivation, but also undermined morale, jealousies and reduced cooperation. • Preconditions in terms of a mature, trust-based service culture are necessary.
  • 12. The performance of labour administration (contd.) • Public-public partnership necessary taking into account the multi- disciplinary character of labour policy and the involvement of various public bodies. • For examples: job-creation programmes; sharing data-bases; cooperation of various inspection bodies and the regulation of labour migration. • Public-private partnership in various fields of social services, job brokering, vocational training, research... • Requirements in terms of monitoring, evaluation, guarantee of individual rights, etc. • Appropriate managerial structures/methods in labour administration. The issue of managerial support services. • Human resources management: effects of fair salaries, training, proper career planning and staff stability. The issue of political and administrative appointments.
  • 13. The performance of labour administration (contd.) • Use of new technologies:  Widespread of computers and of internet: potential to improve the efficiency and effectiveness of labour administration (e.g. raising awareness, dissemination of information, transparent and consultative policy making).  Adoption of new technologies remains extremely uneven between countries.  Challenges for developing countries: inadequate financial resources, underdeveloped ICT infrastructure, lack of expertise and literacy levels. Basic administrative reforms may be more efficient than ambitious investments in ICT.  Large and effective uses of simple tools adapted to country’s technological development (e.g. mobile phones).
  • 14. The performance of labour administration (contd.) • A case study: modernization of PES. • PES given a pre-eminent role, not only in delivery of services, but also in developing and testing employment programmes. Consequently, under pressure to make their services more efficient. • Institutional changes to achieve better coherence between active and passive labour policies. Integration of placement services and unemployment benefit administration. • Better use of new technologies (internet, on-line service and data management). • Customer service orientation. • Sophisticated indicators in performance measurement. • Delivery of services outsourced in some countries (Australia, Netherlands, UK): mixed results. What is the impact on employment policies?
  • 15. Labour Inspection: Trends and Challenges • LI – essential part of the labour administration system exercising the fundamental function of law compliance. • Fundamentally, a public responsibility; the risk that private initiatives (e.g. CSR) could undermine the role of national inspectorates. • Significant role of social partners: advocacy, awareness raising and strategic planning. • Collaboration with other stakeholders (police, social security services, tax agencies, etc.) can improve its effectiveness.
  • 16. Labour Inspection: Trends and Challenges (contd.) • Traditional and new challenges. • Poor conditions in most developing countries threatening integrity and independence of the staff. • Informal economy, domestic work, undeclared work (e.g. construction, agriculture). • Regulation and prevention of child labour. • Discrimination issues: gender, HIV/AIDS, race, national extraction, etc.
  • 17. Labour Inspection: Trends and Challenges (contd.) • Necessity to adapt to the changing world of work. • New inspection skills and strategies for prevention needed (complexity of industrial processes, new illnesses, mental stress, outsourcing, complex supply chains). • Improved data collection, use of special inspectors, involvement of social partners and media. • Cost cutting efforts of enterprises during the crisis: inspection’s focus on wage payments and working time arrangements. • Fight against undeclared work: inspection in specific sectors, strengthening of sanctions, promotional campaigns.
  • 18. Labour Inspection: Trends and Challenges (contd.) • Improving administrative and legal means of action. • Planning programming and reporting. Standardized administrative reports necessary. Management training of inspectors. • Involvement of social partners at the national level to encourage more targeted action (OSH issues). • Sanctions and remedies to fit a country’s regulatory and economic conditions. • Timely judicial proceedings and due process. • However, deterrence measures alone are not enough: a good mix of prevention and sanction to be employed, including self-assessments and monitoring measures.