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A Government representative stated that the labour authorities had had to intervene in many disputes between workers and employers. The Ministry of Justice and of Labour had convened several tripartite meetings with a view to allowing dialogue so that a solution could be found to the workers' claims. Non-observance of the obligation incumbent upon it had been noted on the part of the enterprise concerned. The labour authorities had imposed a fine of 88,571,502 Guarani, the equivalent of $44,285, in conformity with Resolution No. 1 of 5 January 1993. This decision was the object of an appeal before the Supreme Court of Paraguay. This dispute triggered off a strike by the workers of the enterprise. The mediation of the Minister in the dispute resulted in an agreement. The enterprise Eximpora SA committed itself to pay immediately the minimum wage to all the workers. This question had also been submitted to the Human Rights Committee of the National Congress which had taken measures for which it was competent. With regard to the mass dismissal of workers, the Ministry of Justice and Labour jointly with the representatives of the Senate, managed to get the parties to sign an agreement which provided that the enterprise would pay wages in conformity with the labour legislation of the country.
The speaker emphasized that this situation was an isolated case and could not be considered as being a general phenomenon. The Government had committed itself to ensuring that the provisions of the Labour Code as well as the decisions handed down by the judiciary were observed.
As for Chapter 2 of the Labour Code which spoke of specific machinery for setting minimum wages, the speaker stated that the National Minimum Wage Council, in which the three social partners were represented, was functioning normally and that upon its recommendation the Government had decided to raise minimum wages by 10 per cent from 1 April 1996. In the month of May, tripartite negotiations had been initiated once again and had broached the issue of the minimum wage. Further to a government proposal, dialogue was continuing on this subject.
The Government had met with representatives of the public sector to examine the claims formulated by the trade union confederation in this sector to finalize a draft code respecting the civil service and to examine problems of workers in this sector. These measures showed the importance of dialogue between the three parties. Disputes had thus been resolved through dialogue, negotiation and tripartite agreement. The number of situations which were resolved similarly had increased. The speaker stated that the General Labour Inspectorate had handed down 54 decisions in 1995 imposing fines against enterprises because of violations of labour legislation.
Finally, stressing the efforts deployed by the Ministry of Justice and of Labour with the aim of ensuring the observance of labour legislation, the speaker reaffirmed the political will of his Government to intensify its cooperation with the ILO.
The Workers' members thanked the Government representative for the intention that he had expressed of continuing the dialogue, also with workers' organizations, in order to improve the situation. The case related to the follow-up to the conclusions and recommendations made by the tripartite committee and approved by the ILO Governing Body as a result of the representation that had been made under article 24 of the Constitution by the CLAT concerning non-observance of Convention No. 26.
The comments of the Committee of Experts related to four points. The first of these concerned the non-observance in practice of the minimum wages fixed by the legislation that was in force. Although the legislation that was necessary to give effect to the Convention existed, problems arose with its application in practice. The example of the enterprise Eximpora SA, cited by the Committee of Experts, was only one of many examples which illustrated the widespread practice in Paraguay of not respecting minimum wages. The second problem consisted of the non-participation of workers' organizations in the fixing of minimum wages. In the third place, the supervisory and inspection services did not function properly and, as a consequence, the practical application of the legislation and of the Convention was not guaranteed. Fourthly, the labour administration did not take the necessary measures to ensure that the additional remuneration due to workers, namely the difference between the minimum wage and what had actually been paid, was actually received by them in practice.
In this case, despite the existence of a national Constitution which provided for the right to a minimum wage, as well as the adoption of legislation thereunder and supervisory machinery, at least on paper, the fact remained that minimum wages were not respected. Paragraph 21 of the conclusions of the tripartite committee indicated, on the basis of the various analyses carried out under the auspices of the ILO, that only 42 per cent of workers earned a wage that was equivalent to or higher than the minimum wage. Strikes had been called and hunger strikes organized in several enterprises to call for the observance of minimum wages. The surveys that were needed to identify violations had not been carried out, and the machinery envisaged in order to be able to reclaim the additional wages due, was not operational.
The Workers' members called for the implementation of the conclusions and recommendations of the tripartite committee, to which the Committee of Experts had referred. The Government should also provide detailed information on the application of the Convention in practice, including statistics, reports of inquiries and the sanctions imposed, as had been requested by the Committee of Experts. It was particularly important to provide this additional data since the information provided by the Government representative appeared to be in contradiction with the situation, as described in the report of the Committee of Experts.
The Employers' members indicated that, while the Experts' report stated that there were appropriate regulations and a tripartite committee to consider all the questions of the establishment of a minimum wage, the problem appeared to be whether this committee in fact really operated or not, because according to what was said by the Government representative, the Workers' side did not send a representative to the Committee. Generally speaking, it was the problem of whether the minimum wages were, in fact, paid in practice, or whether individual agreements were acceptable in practice, according to which there could be an abatement of the minimum wage. According to the labour legislation, a claim could be lodged against the employer if he paid less than the minimum wage, and then within 30 days he had to pay the difference. But of course, the whole thing was a question of implementation of the labour inspectorate and of measures taken in order to ensure that the law was actually applied. The Committee on Freedom of Association and the tripartite committee of the Governing Body in their reports called for measures that in general would provide for a better implementation of the minimum wage system. The Government representative had also referred to a number of cases and representations that were pending which demonstrated that this was a frequent problem.
Therefore, in the Employers' view, the Government should take every measure to ensure that the legislative provisions governing the minimum wage should be observed in practice, and that there should be sufficient supervision in order to make sure that the minimum wage really could be paid, and if there was any difference between what was in fact paid and what should be, that difference should be paid up. All of this should be done on a tripartite basis. The Employers' members requested the Government to provide full information in their next report so as to enable the Committee to once again comprehensively consider the situation.
The Workers' member of Colombia stated that, according to the information obtained, there was a new team in the Ministry of Labour which could also mean a new stage in the handling of labour relations. Nevertheless, he expressed profound disagreement with the way in which the minimum wage was established without taking into account the views of the workers. In Latin American countries now, more than ever, it was necessary to agree on minimum wages, above all taking into account their precarious nature. However, on many occasions the Ministers of Labour did not accept the responsibility that they should, in order to guarantee that these minimum wages which were very low, in fact be paid to the workers.
The Government representative of Paraguay reiterated that in the tripartite committee for fixing the minimum wage there were representatives of the workers. Furthermore, at the moment in Paraguay there was an ongoing dialogue between employers, workers and the Government with a view to establishing a new machinery for fixing the minimum wage which would take inflation into account. While it would be wrong to pretend that there were no problems in Paraguay in this respect, the Ministry of Labour carried out its responsibility and was making efforts in order to fulfil everything that was laid down by the international Conventions, the national Constitution and the laws of the country. The Paraguayan delegation to this Conference was composed of one deputy minister and five workers' representatives from all the union centres of the country. Ever since the new team took over in the Ministry, the policy had been changed completely. Before there was a policy of confrontation, whereas now the actual attitude was to monitor and seek a dialogue with the workers and try to reconcile their interests with those of the employers.
The Committee took note of the information provided by the Government representative and of the discussion that took place. Noting that under national legislation there still existed serious problems with respect to the practical application of the Convention, the Committee hoped that the Government would take all necessary measures to ensure full conformity with the Convention. It hoped that the next report of the Government would contain detailed and complete information regarding the measures taken or envisaged, including statistics, so that it would be able in the near future to record concrete and substantial progress.
Previous comment
Articles 1 and 3 of the Convention. Minimum wage fixing. The Committee notes the adoption of Decree No. 11.137 of 24 October 2007 increasing minimum wage rates by 10 per cent, as well as Decisions Nos 700, 701, 702, 703, 704, 705, 706 and 707 of 30 October 2007, fixing the level of the minimum wage by sector and occupation. It further notes that, under the terms of sections 255 and 256 of the Labour Code of 1995, the rate of the minimum wage remains in force for two years, unless a significant deterioration is observed in the conditions in a particular area or industry, due to economic or financial factors, and a fluctuation in the cost of living estimated at a minimum of 10 per cent. In this respect, the Committee understands that the National Minimum Wage Council (CONASAM) met in January 2009, and recommended a readjustment of the minimum wage in the private sector following an increase of over 10 per cent in the cost of living, but leaving the percentage of the increase to be decided by the executive authorities. The Committee requests the Government to keep the Office informed of any developments in this field and to provide a copy of any relevant text that is adopted.
Furthermore, the Committee notes from official documents, such as the conclusions of the Committee on the Elimination of Discrimination against Women (CEDAW) (document CEDAW/C/PAR/CC/3-5 of 2005, paragraph 30) and the conclusions of the United Nations Committee on Economic, Social and Cultural Rights (document E/C.12/PRY/CO/3 of 2008, paragraph 15) that domestic workers are reported to be the victims of discriminatory practices in terms of the payment of wages that are lower than half the minimum wage for 12‑hour working days. The Committee requests the Government to provide additional information on the coverage of domestic workers in relation to minimum wages in both law and practice.
Part V of the report form. Application in practice. The Committee notes the extracts from judicial rulings included in the Government’s report. It also notes the request made to the Office for technical assistance with a view to improving the system for the collection of data and the training of labour inspectors. The Committee refers, in this respect, to the observation that it is making under Convention No. 81 and requests the Government to provide detailed information on the application of the Convention in practice including, for example, extracts from the reports of the inspection services indicating the number of violations reported in relation to minimum wages, the number of workers covered by the relevant legislation, studies or collective agreements containing provisions on minimum wages, etc. The Committee is also bound to draw the Government’s attention once again to the situation of the indigenous population of Chaco and the systematic violation of the minimum wage legislation in their regard, as described in the Committee’s comments under Conventions Nos 29, 95 and 169, and it requests the Government to provide fuller information on any measures adopted or envisaged to remedy this situation.
Finally, the Committee wishes to take this occasion to draw the Government’s attention to the conclusions of the ILO Governing Body based on the recommendations of the Working Party on Policy regarding the Revision of Standards (GB.283/LILS/WP/PRS/1/2, paragraphs 19 and 40). The Governing Body decided that Convention No. 26 was among the instruments that may no longer be fully up to date but which remain relevant in certain respects. The Committee therefore suggests that the Government should consider the possibility of ratifying the Minimum Wage Fixing Convention, 1970 (No. 131), which contains certain advances compared to older instruments on minimum wage fixing, such as its broader scope of application, the requirement for a comprehensive minimum wage system and the adoption of certain criteria for the determination of minimum wage levels. The ratification of Convention No. 131 would appear to be particularly advisable as the legislation in Paraguay respecting minimum wages appears to be broadly in conformity with the requirements of this instrument. The Committee requests the Government to keep the Office informed of any decision adopted or envisaged in this respect.
Article 2 of the Convention. Scope of application – agricultural workers. Further to its previous comments concerning sections 157–191 of the Labour Code, which do not allow the full application of the provisions of the Convention to agricultural workers, the Committee notes the Government’s indication that it will take into account the need to amend the legislation in order to include the protection of the wages of those workers. It also notes the adoption of Decree No. 1968 of 6 May 2009, which provides for the meeting of a tripartite and inter-institutional social dialogue forum to discuss a new wages policy, in consultation with the social partners, and the strengthening of the powers of the Deputy Minister for Labour and Social Welfare concerning the supervision and application of the labour legislation. The Committee recalls that the Convention is applicable to all persons to whom wages are paid or payable, including agricultural workers. However, section 162 of the Labour Code stipulates that the general provisions of this Code, in particular those relating to the protection of wages, do not apply to agricultural workers. The Committee hopes that the Government will take the necessary measures without delay so that the wages of agricultural workers are protected in both law and practice. It requests the Government to keep the Office informed of any developments in this regard.
Article 4, paragraph 1. Partial payment of wages in kind. With regard to the prohibition of the payment of wages in the form of liquor of high alcoholic content or of noxious drugs, set out in Article 4(1) of the Convention, the Committee notes that the Government provides no new information on this matter. It therefore requests the Government once again to take the necessary measures to include in the legislation a provision expressly prohibiting the partial payment of wages in the form of noxious drugs or liquor of high alcoholic content, as required by this Article of the Convention.
Part V of the report form. Application in practice. The Committee notes the statistics provided by the Government. The Committee requests the Government to continue providing general information on the manner in which the Convention is applied in practice, including, for example, information concerning the number of workers covered by the relevant legislation, extracts from the reports of the inspection services indicating the number and nature of violations reported and penalties imposed, etc.
Article 3 of the Convention. Minimum wage fixing machinery. With reference to its previous comments, the Committee notes the adoption of Ministry of Justice and Labour Resolution No. 546 of 7 May 2009 setting the minimum wage for agricultural workers at 1,408,864 Paraguayan guaraníes (PYG) (approximately US$290) per month and PYG54,187 (approximately US$11) per day as from 1 May 2009. The Committee also notes the changes in the composition of the National Council on Minimum Wages (CONASAM), as provided for in section 252 of the Labour Code, pursuant to Act No. 2.199 of 2003. The Committee further notes the Government’s statement that it plans to organize a tripartite and inter-institutional forum for social dialogue in order to discuss a new wage policy in consultation with the social partners. The Committee requests the Government to keep the Office informed of all progress in this area.
Article 5 and Part V of the report form. Practical application. The Committee requests the Government to provide detailed information in its next report on the practical effect given to the Convention, and in particular statistics on the number of inspections carried out in agricultural undertakings, reported infringements of the minimum wages legislation and the penalties imposed. Noting that the Government has as yet sent no information on the matter, the Committee asks it to provide up to date information on developments in the situation covered by the representation made under article 24 of the ILO Constitution in 1995 and which was discussed in the Conference Committee on the Application of Standards in1996.
Articles 3, 4, 6, 7 and 12 of the Convention. Debt bondage. Further to its previous comment concerning the problem of debt bondage affecting numerous indigenous workers in agricultural undertakings in the Paraguayan Chaco, the Committee notes the Government’s indications that a regional labour directorate has been created in the town of Teniente Irala Fernández (Central Chaco) in order, in particular, to supervise and prevent situations of forced labour, and inspections have been carried out in the context of the decent work programme in the agricultural sector. The Committee also notes the adoption of Resolution No. 230 of 27 March 2009 creating the Committee on Fundamental Rights at Work and the Prevention of Forced Labour, and Decree No. 1945 of 30 April 2009 approving the National Programme for Indigenous Peoples (PRONAPI). Furthermore, the Committee notes that the eradication of forced labour is one of the major components of the Decent Work Country Programme concluded with the ILO in February 2009. It recalls that, even if the legislative provisions exist, they still have to be applied effectively. In this regard, the Committee refers to paragraph 356 of the Global Report under the follow-up to the ILO Declaration on Fundamental Principles and Rights at Work (Report I(B)), submitted to the 98th Session of the International Labour Conference, 2009, in which it is emphasized that forced labour can only be eradicated “through integrated policies and programmes, mixing law enforcement with proactive measures of prevention and protection, and empowering those at risk of forced labour to defend their own rights”. The Committee therefore requests the Government to provide detailed information on the impact of the above measures on the working conditions of the workers concerned, in particular with regard to the application of Article 3 (payment of wages in legal tender), Article 4 (partial payment of wages in kind), Article 6 (freedom of workers to dispose of their wages), Article 7 (work stores) and Article 12 (payment of wages at regular intervals) of Convention No. 95.
Furthermore, the Committee requests the Government to refer to its comments under the Forced Labour Convention, 1930 (No. 29), and the Indigenous and Tribal Peoples Convention, 1989 (No. 169).
The Committee is raising other points in a request addressed directly to the Government.
[The Government is asked to reply in detail to the present comments in 2010.]
The Committee notes the Government’s report and the voluminous documentation attached. However, it notes that the Government has not replied in full to its previous comment. It is therefore bound to raise once again the following points.
Article 2 of the Convention. Scope of application – Rural workers. With reference to its previous comment, the Committee notes that certain documents attached to the Government’s report relate to the conditions of employment of agricultural workers. It notes in particular resolution No. 311 of the Ministry of Justice and Labour, of 3 May 2006, fixing the minimum wage for workers employed in agricultural establishments. It also notes resolution No. 111 of the Ministry of Justice and Labour, of 24 February 1999, granting workers in a poultry enterprise coverage by section 247 of the Labour Code respecting the protection of wage claims by a privilege in the event of the bankruptcy of the employer. The Committee notes, however, that the provisions of the Labour Code determining its scope of application have not been amended. Accordingly, the conditions of employment of rural workers are still subject to specific provisions, namely sections 157 to 191 of the Labour Code, which do not give effect to the Convention. Furthermore, under the terms of section 162, the general provisions of the Labour Code, including those respecting the protection of wages, do not apply to rural workers, except to those engaged in work of an industrial character (production of cheese, wine, etc.).
The Committee recalls that the Convention applies to all persons to whom wages are paid or payable, including agricultural workers. It notes the Government’s indications that rural workers benefit from the same protection in relation to wages as industrial workers. However, it recalls that such protection has to be explicitly set out in the national legislation and cannot take the form of a mere practice. The Committee therefore hopes that the Government will take the necessary measures without further ado to amend the Labour Code and extend the scope of application of its provisions respecting the protection of wages to all agricultural workers. Such an amendment could, for example, take the form of a provision with wording similar to that of section 147 of the Labour Code respecting domestic workers.
Article 4, paragraph 1. Partial payment of wages in kind. The Committee notes that the Government refers to section 231 of the Labour Code, which allows the partial payment of wages in kind on an exceptional basis and within the limit of 30 per cent of the wage. It notes in this respect that section 231 follows the wording of Article 4, paragraph 2, of the Convention in requiring that allowances in kind be appropriate for the personal use and benefit of the worker and his family and that the value attributed to such allowances be fair and reasonable. The Committee however notes that the Labour Code fails to specify, as required by Article 4, paragraph 1, of the Convention, that the payment of wages in the form of liquor of high alcoholic content or of noxious drugs is prohibited under any circumstances. In this respect, it notes the Government’s reference to section 392 of the Labour Code, which establishes the penalties applicable to an employer who sets up taverns or outlets for drugs or gaming at the workplace. While this provision is undoubtedly positive for the protection of wages, it is not sufficient to give effect to Article 4, paragraph 2, of the Convention, which specifically covers arrangements for the partial payment of wages in kind. In the light of these explanations, the Committee hopes that the Government will adopt a provision in the very near future explicitly prohibiting the payment of wages in the form of noxious drugs or liquor of high alcoholic content, as required by the Convention.
The Committee notes with regret that the Government’s report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:
The Committee notes Decree No. 11.137/07 dated 24 October 2007 of the National Minimum Wage Council (CONASAM) which raises the minimum wage by 10 per cent for workers in the private sector. The Committee notes, however, that this decree establishes no minimum wage applicable to the agricultural sector. The Committee understands that minimum wage rates for this sector were last adjusted in 1997 by Decree No. 16037 of 15 January 1997 and by resolutions Nos 20 and 25 of 24 January 1997. The Committee requests the Government to indicate in its next report the measures adopted or envisaged to readjust these rates.
Furthermore, the Committee requests the Government to make every effort to collect and communicate in its next report detailed information on the application of the Convention in practice, in conformity with Article 5 and Part V of the report form and, in particular, to supply statistics on the application of methods of enforcement (violations reported, sanctions imposed, etc.) and copies of court decisions concerning the implementation of minimum wage legislation. The Committee also requests the Government to transmit information on any changes in the situation covered by the representation made under article 24 of the ILO Constitution in 1995 and which was discussed in the Conference Committee on the Application of Standards in 1996.
Articles 3, 4, 6, 7 and 12 of the Convention. Debt bondage. The Committee refers to the comments that it has been making for over ten years under the Forced Labour Convention, 1930 (No. 29), and the Indigenous and Tribal Peoples Convention, 1989 (No. 169), concerning the problem of debt bondage affecting indigenous populations, and particularly in the Paraguayan Chaco. It notes that this problem was also examined in 2006 by the Conference Committee on the Application of Standards, which invited the Government, among other things, to seek the Office’s technical assistance in this connection. Furthermore, the Committee notes the report Debt bondage and marginalization in the Paraguayan Chaco, published by the ILO in September 2006, which was endorsed at seminars held separately with employers’ and workers’ organizations, and with the labour inspection services. According to this report, in agricultural establishments in the Chaco, many indigenous permanent or temporary workers receive a wage that is lower than the minimum wage or are compelled to buy products at excessive prices in the establishment’s store. In certain cases, this results in situations of permanent debt in which the worker concerned is likely to be compelled to stay in the service of the establishment against her or his will, under the menace of imprisonment. The findings of the report show that nearly 8,000 indigenous workers are victims of forced labour or are likely to become so. The report’s recommendations include the formulation of a plan of action to eliminate forced labour with a view to eradicating debt bondage in the Chaco, the opening of a regional labour office and the strengthening of inspection activities.
As the Committee emphasized in the observation that it made in 2007 under Convention No. 29, the national legislation contains provisions which, if they were properly applied in practice, would contribute to preventing the chronic indebtedness of indigenous workers.
The Committee is bound to express concern in view of the gravity of the persistent practices of debt bondage in the Paraguayan Chaco, which constitute not only violations of Conventions Nos 29 and 169, but also raise serious problems of application of Articles 3 (payment of wages in legal tender), 4 (partial payment of wages in kind), 6 (freedom of the worker to dispose of her or his wages), 7 (works stores) and 12 (payment of wages regularly) of Convention No. 95. It therefore requests the Government to provide detailed information on the measures adopted in the context of the follow-up to the ILO study referred to above, and particularly with a view to the formulation and implementation of a national action plan in order to bring an end to debt bondage in the country.
The Committee is raising other matters in a request addressed directly to the Government.
[The Government is asked to reply in detail to the present comments in 2009.]
The Committee notes that the Government’s report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:
The Committee notes the Executive Decree No. 18264 of 14 August 2002, issued pursuant to the recommendation of the National Minimum Wage Council (CONASAM) of 6 August 2002, which raises the minimum wage by 12 per cent for workers in the private sector only. The Committee also notes resolutions Nos. 536 and 537, dated 22 August 2002, of the Ministry of Justice and Labour, which fix monthly wage rates by occupational category. The Committee requests the Government to indicate in its next report the minimum wage rates applicable to the economic sectors or branches of activity not covered by the above resolutions.
With regard to its previous observations relating to the effective application of the national minimum wage legislation, the Committee wishes to emphasize once again that legislative compliance with the Convention cannot by itself ensure implementation where the law is not applied in practice. Therefore, the Committee requests the Government to make every effort to collect and communicate detailed and documented information on the operation of the inspection system to ensure that the minimum wage provisions are being applied and workers are able to recover the amounts by which they have been underpaid as a result of wage payments lower than applicable minimum wage rates. In this respect the Committee recalls that, although the laws and regulations relating to minimum wage fixing machinery appear to be in conformity with the provisions of the Convention, serious problems relating to their application in practice led to a complaint under article 24 of the ILO Constitution in 1995 and a debate in the Conference Committee for the Application of Standards in 1996. In the light of the recommendations addressed to the Government in recent years, the Committee hopes that the Government will provide in its next report all the information that it requires to reassess the situation in a comprehensive manner.
The Committee notes in particular Executive Decree No. 18264 of 14 August 2002, issued pursuant to the recommendation of the National Minimum Wage Council (CONASAM) of 6 August 2002, which raises the minimum wage by 12 per cent for workers in the private sector only. The Committee also notes resolutions Nos 536 and 537, dated 22 August 2002, of the Ministry of Justice and Labour, which fix monthly wage rates by occupational category. The Committee notes, however, that these provisions bear no relation to the minimum wage applicable to the agricultural sector. The Committee understands that minimum wage rates for this sector were last adjusted in 1997 by Decree No. 16037 of 15 January 1997 and by resolutions Nos 20 and 25 of 24 January 1997. The Committee requests the Government to indicate in its next report the measures adopted or envisaged to readjust these rates.
Furthermore, the Committee requests the Government to make every effort to collect and communicate in its next report detailed information on the application of the Convention in practice, in conformity with Article 5 and Part V of the report form and, in particular, to supply statistics on the application of methods of enforcement (violations reported, sanctions imposed, etc.) and copies of court decisions concerning the implementation of minimum wage legislation. The Committee also requests the Government to transmit information on any changes in the situation covered by the complaint made under article 24 of the ILO Constitution in 1995 and which was discussed in the Conference Committee on the Application of Standards in 1996.
The Committee notes the information contained in the Government’s report and the attached documentation. The Committee notes in particular Executive Decree No. 18264 of 14 August 2002, issued pursuant to the recommendation of the National Minimum Wage Council (CONASAM) of 6 August 2002, which raises the minimum wage by 12 per cent for workers in the private sector only. The Committee also notes resolutions Nos. 536 and 537, dated 22 August 2002, of the Ministry of Justice and Labour, which fix monthly wage rates by occupational category. The Committee notes, however, that these provisions bear no relation to the minimum wage applicable to the agricultural sector. The Committee understands that minimum wage rates for this sector were last adjusted in 1997 by Decree No. 16037 of 15 January 1997 and by resolutions Nos. 20 and 25 of 24 January 1997. The Committee requests the Government to indicate in its next report the measures adopted or envisaged to readjust these rates.
The Committee notes the information contained in the Government’s report and the attached documentation. The Committee notes in particular Executive Decree No. 18264 of 14 August 2002, issued pursuant to the recommendation of the National Minimum Wage Council (CONASAM) of 6 August 2002, which raises the minimum wage by 12 per cent for workers in the private sector only. The Committee also notes resolutions Nos. 536 and 537, dated 22 August 2002, of the Ministry of Justice and Labour, which fix monthly wage rates by occupational category. The Committee requests the Government to indicate in its next report the minimum wage rates applicable to the economic sectors or branches of activity not covered by the above resolutions.
The Committee notes the Government’s report and its annexes.
Article 2 of the Convention. The Committee recalls its previous direct request in which it noted that no provision in the new Labour Code, Act No. 213/93, as amended by Act No. 496/95, ensures the application of the provisions regarding the protection of wages to rural workers except for those engaged in work of an industrial character under section 162. In its reply, the Government affirms that in practice the Labour Code applies to all workers subject to the exceptions provided for therein, and refers to section 251 of the Labour Code regarding the establishment of different minimum wages for urban and rural areas. Recalling that under Article 2(1) of the Convention, its provisions are applicable to all persons to whom wages are paid or payable, and also that the Government has only excluded domestic workers from the application of the provisions of the Convention in accordance with Article 2(3) of the Convention, the Committee requests the Government to specify the legislative or regulatory provisions which ensure that all agricultural workers enjoy the same coverage with respect to wage protection.
Article 4(1). Further to its previous comment, the Committee notes that the Labour Code contains no provision expressly prohibiting wage payment in the form of liquors of high alcoholic content or of noxious drugs in any circumstances, as set forth under this Article of the Convention. In its reply, the Government refers to sections 231 and 390 of the Labour Code regarding the requirement to pay wages only in legal tender and the employer’s liability for paying wages in the form of promissory notes, vouchers or coupons, or in any other form alleged to represent legal tender. The Committee is bound to observe, in this connection, that the above provisions are strictly irrelevant to the regulation of wage payment in the form of allowances in kind, in particular payment in the form of alcoholic drinks or noxious drugs. It therefore asks the Government to indicate the measures taken or envisaged to ensure that full effect is given to the Convention in this regard.
The Committee notes the information provided in the Government's report. It requests the Government to continue to provide general information (including relevant statistics) on the manner in which the Convention is applied, in accordance with Article 5 of the Convention and point V of the report form.
The Committee notes the report submitted by the Government.
Article 3, paragraph 2(2) and (3), of the Convention (in conjunction with point V of the report form).In its previous comments, as regards implementation of the recommendations adopted by the Governing Body subsequent to the complaint submitted by the Latin American Central of Workers (CLAT), the Committee requested the Government to indicate the measures taken or envisaged to ensure the application of the national legislation so as to guarantee: (i) the participation of representatives of workers and employers in minimum wage fixing machinery, in accordance with Article 3, paragraph 2(2); and (ii) the right to receive the minimum wage rates fixed, which may not be subject to abatement by individual agreement, in accordance with Article 3, paragraph 2(3).
In its reply, the Government states that the enterprise named in the representation has agreed to comply with the legislative provisions it violated. It has also been subjected to an administrative sanction in the form of a fine of 88,571,502 guaranis (about US$43,400) which it has appealed to have quashed. The matter is currently before the Constitutional Chamber of the Supreme Court of Justice. The Committee requests the Government to continue to provide information on developments in the affair and to send copies of any relevant decisions which may be handed down.
Furthermore, the Committee notes with interest Decrees Nos. 8542/95, 12459/96, 15245/96 and 16031/97 concerning the composition of the National Minimum Wage Council (CONASAM). It notes in particular that employers and workers are represented on an equal footing in this consultative body.
Article 4 (in conjunction with point V of the report form).In its previous comments, the Committee noted that section 259 of the Labour Code provides that "any worker who has received a wage lower than the established minimum is entitled to reclaim from his employer the amount remaining due. The labour administration shall establish a time period for the recovery of this amount, which may not exceed 30 days". The Committee also noted that, without prejudice to the other measures contained in the Code (section 384), section 390 provides that "employers who pay their workers wages lower than the minimum legal amount or the amount established by collective agreement shall be punishable by a fine amounting to a minimum of 30 days' wages for each worker concerned and double that amount for any repetition of the offence". The Committee also noted that responsibility for ensuring the application of the requirements set out in labour laws and regulations and compliance with the obligations contained in the Labour Code is entrusted to the labour inspection services, by virtue of Decree No. 3286 of 4 March 1964, which empowers those services to carry out direct inquiries to identify violations and refer them to the labour administration (Directorate of Labour). The Committee then requested the Government to indicate the measures which had been taken or were envisaged to ensure the application of the national legislation with a view to: (i) making possible the operation of the national bodies responsible for supervising the application of the standards respecting minimum wages; and (ii) guaranteeing, through the labour administration authority, the recovery of any further wages due to workers who have received wages lower than the applicable minimum wage.
The Committee notes the Government's indication that there is a body of labour inspectors who carry out inspections which may be ordinary, or special in cases of complaints, which numbered 767 during 1996. It notes that these inspections were not followed by sanctions. In addition, the Committee notes that section 259 of the Labour Code provides specifically that the fixing of a minimum wage automatically modifies labour contracts stipulating a lower wage and that any contractual clause establishing a wage lower than the legal minimum is null and void.
The Committee requests the Government to supply information on the application in practice of this Article and, particularly, on the number of appeals presented to the labour administration authority. It requests the Government to continue to supply information on the application of the Convention in practice, in accordance with point V of the report form.
The Committee notes the detailed discussion which took place in the Conference Committee in 1996. It must express its regret that it has not received a detailed report from the Government, as requested in its previous observation and in consequence of the Conference Committee's conclusions. It must therefore repeat its previous observation on the following points:
The Committee notes the conclusions and recommendations of the tripartite committee set up to examine the representation made by the Latin American Central of Workers (CLAT), which were approved by the Governing Body of the ILO at its 264th Session (November 1995). Article 3, paragraph 2(2) and (3), of the Convention (in relation with point V of the report form). The Committee recalls that in its representation the CLAT states that the enterprise EXIMPORA SA has not complied with national minimum wages standards, which tantamounts, by implication, to non-compliance with the provisions of Article 3, paragraph 2(3), of the Convention, which guarantees the right to receive the minimum rates of wages, as fixed nationally, and at the same time excludes the possibility that these rates may be subject to abatement by individual agreement. The Committee also recalls the Government's statement in its communication that the Labour Code, in Chapter II, establishes and regulates the minimum wage, as well as determining the machinery for fixing it and the cases in which it may be modified as a function of the economic situation and variations in the cost of living. The Government indicates that section 252 of the Labour Code envisages the establishment of a tripartite body, the National Minimum Wage Council, which it has not yet been possible to establish due to the fact that the Workers' Central Organization (CUT) and the Latin American Central of Workers (CLAT) have not appointed their representatives. However, the Government adds that, in accordance with section 256 of the Labour Code, Decree No. 4598, adopted on 11 July 1994, raises minimum wages in order to take into account the increase in the cost of living and the decline in the purchasing power of the population. Nevertheless, the Committee notes that according to the various studies carried out under the auspices of the ILO on labour relations in Paraguay, the situation denounced by the CLAT is only one example among many of the generalized non-compliance with the obligations deriving from the Convention. The Committee requests the Government to indicate the measures which have been taken or are envisaged to ensure the application of the national legislation so as to guarantee: (i) the participation of representatives of workers and employers in minimum wage fixing machinery, in accordance with Article 3, paragraph 2(2); and (ii) the right to receive the minimum rates of wages which have been fixed, which may not be subject to abatement by individual agreement, in accordance with Article 3, paragraph 2(3). Article 4 (in conjunction with point V of the report form). The Committee notes that section 259 of the Labour Code provides that "any worker who has received a wage lower than the established minimum is entitled to reclaim from his employer the amount remaining due. The labour administration shall establish a time period for the recovery of this amount, which may not exceed 30 days." The Committee also notes that, without prejudice to the other measures contained in the Code (section 384), section 390 provides that "employers who pay their workers wages lower than the minimum legal amount or the amount established by collective agreement shall be punishable by a fine amounting to a minimum of 30 days' wages for each worker concerned and double that amount for any repetition of the offence". The Committee also notes that the responsibility for ensuring the application of the requirements set out in labour laws and regulations and compliance with the obligations contained in the Labour Code is entrusted to the labour inspection services, by virtue of Decree No. 3286 of 4 March 1964, which empowers those services to carry out the necessary inquiries to identify violations and refer them to the labour administration (Directorate of Labour). The Committee requests the Government to indicate the measures which have been taken or are envisaged to ensure the application of the national legislation with a view to: (i) making possible the operation of the national bodies which are responsible for supervising the application of the standards respecting minimum wages; and (ii) guaranteeing, through the labour administration authority, the recovery of any further wages due to workers who have received wages lower than the applicable minimum wage. Point V of the report form. The Committee would be grateful if the Government would supply information on the effect given in practice to the Convention: (i) by supplying the available statistical data on the number and various categories of workers covered by the minimum wage regulations; and (ii) by indicating, for example, the results of the inspections carried out, the violations reported and the sanctions imposed.
The Committee hopes that the Government will make every effort to take the necessary action in the very near future.
The Committee has noted the information supplied by the Government in its reports as well as the new Labour Code established by Act No. 213/93. It asks the Government to supply information on the following points.
Article 2 of the Convention. The Committee notes that Chapter V of the Labour Code dealing with rural workers (Book I, Title III) does not expressly lay down that the general provisions of the Code are applicable to these workers, contrary to what was the case in the old Code regarding forestry (section 179 of the old Code) and in the chapters on home work (section 147) and on workers in the enterprises of motorized land transport (section 192) of the present Code. Please indicate whether the Labour Code in general and, more particularly, its provisions regarding the protection of wages are applicable to rural workers other than those in work of industrial character, who are already covered by virtue of section 162.
Article 4(1). The Committee recalls that section 232 of the old Code was modified by Act No. 506 of 27 December 1974 and brought into conformity with this provision of the Convention (prohibition to pay wages in the form of alcoholic liquors or noxious drugs). Noting that the new Code does not contain such prohibition, the Committee asks the Government to indicate how effect is given to this provision of the Convention.
The Committee notes the conclusions and recommendations of the tripartite committee set up to examine the representation made by the Latin American Central of Workers (CLAT), which were approved by the Governing Body of the ILO at its 264th Session (November 1995).
Article 3, paragraph 2(2) and (3), of the Convention (in relation with point V of the report form). The Committee recalls that in its representation the CLAT states that the enterprise EXIMPORA SA has not complied with national minimum wages standards, which tantamounts, by implication, to non-compliance with the provisions of Article 3, paragraph 2(3), of the Convention, which guarantees the right to receive the minimum rates of wages, as fixed nationally, and at the same time excludes the possibility that these rates may be subject to abatement by individual agreement. The Committee also recalls the Government's statement in its communication that the Labour Code, in Chapter II, establishes and regulates the minimum wage, as well as determining the machinery for fixing it and the cases in which it may be modified as a function of the economic situation and variations in the cost of living. The Government indicates that section 252 of the Labour Code envisages the establishment of a tripartite body, the National Minimum Wage Council, which it has not yet been possible to establish due to the fact that the Workers' Central Organization (CUT) and the Latin American Central of Workers (CLAT) have not appointed their representatives. However, the Government adds that, in accordance with section 256 of the Labour Code, Decree No. 4598, adopted on 11 July 1994, raises minimum wages in order to take into account the increase in the cost of living and the decline in the purchasing power of the population. Nevertheless, the Committee notes that according to the various studies carried out under the auspices of the ILO on labour relations in Paraguay, the situation denounced by the CLAT is only one example among many of the generalized non-compliance with the obligations deriving from the Convention.
The Committee requests the Government to indicate the measures which have been taken or are envisaged to ensure the application of the national legislation so as to guarantee: (i) the participation of representatives of workers and employers in minimum wage-fixing machinery, in accordance with Article 3, paragraph 2(2); and (ii) the right to receive the minimum rates of wages which have been fixed, which may not be subject to abatement by individual agreement, in accordance with Article 3, paragraph 2(3).
Article 4 (in conjunction with point V of the report form). The Committee notes that section 259 of the Labour Code provides that "any worker who has received a wage lower than the established minimum is entitled to reclaim from his employer the amount remaining due. The labour administration shall establish a time period for the recovery of this amount, which may not exceed 30 days." The Committee also notes that, without prejudice to the other measures contained in the Code (section 384), section 390 provides that "employers who pay their workers wages lower than the minimum legal amount or the amount established by collective agreement shall be punishable by a fine amounting to a minimum of 30 days' wages for each worker concerned and double that amount for any repetition of the offence". The Committee also notes that the responsibility for ensuring the application of the requirements set out in labour laws and regulations and compliance with the obligations contained in the Labour Code is entrusted to the labour inspection services, by virtue of Decree No. 3286 of 4 March 1964, which empowers those services to carry out the necessary inquiries to identify violations and refer them to the labour administration (Directorate of Labour).
The Committee requests the Government to indicate the measures which have been taken or are envisaged to ensure the application of the national legislation with a view to: (i) making possible the operation of the national bodies which are responsible for supervising the application of the standards respecting minimum wages; and (ii) guaranteeing, through the labour administration authority, the recovery of any further wages due to workers who have received wages lower than the applicable minimum wage.
Point V of the report form. The Committee would be grateful if the Government would supply information on the effect given in practice to the Convention: (i) by supplying the available statistical data on the number and various categories of workers covered by the minimum wage regulations; and (ii) by indicating, for example, the results of the inspections carried out, the violations reported and the sanctions imposed.
[The Government is asked to report in detail in 1996.]
The Committee notes that the Governing Body at its 261st Session (November 1994) entrusted to a tripartite committee, the examination of a representation made by the Latin American Central of Workers (CLAT), under article 24 of the Constitution, alleging non-compliance by Paraguay with Convention No. 26 on minimum wage fixing machinery.
In accordance with normal practice, the Committee is postponing its comments on the application of the Convention pending the Governing Body's adoption of the conclusions and recommendations of the above committee.