JOINT MISSION TO REVIEW ILO INITIATIVES FOR DECENT WORK AND ASEAN IAI PRIORITIES ON LABOUR AND EMPLOYMENT PRELIMINARY REPORT

JOINT MISSION TO REVIEW ILO INITIATIVES FOR DECENT WORK AND ASEAN IAI PRIORITIES ON LABOUR AND EMPLOYMENT PRELIMINARY REPORT May 2003 1

Copyright Internationa Labour Organization 2003 First pubished 2003 Pubications of the Internationa Labour Office enjoy copyright under Protoco 2 of the Universa Copyright Convention. Nevertheess, short excerpts from them may be reproduced without authorization, on condition that the source is indicated. For rights of reproduction or transation, appication shoud be made to the Pubications Bureau (Rights and Permissions), Internationa Labour Office, CH-1211 Geneva 22, Switzerand. The Internationa Labour Office wecomes such appications. Libraries, institutions and other users registered in the United Kingdom with the Copyright Licensing Agency, 90 Tottenham Court Road, London W1T 4LP [Fax: (+44) (0)20 7631 5500; emai: ca@ca.co.uk], in the United States with the Copyright Cearance Center, 222 Rosewood Drive, Danvers, MA 01923 [Fax: (+1) (978) 750 4470; emai: info@copyright.com] or in other countries with associated Reproduction Rights Organizations, may make photocopies in accordance with the icences issued to them for this purpose. ILO ; ASEAN Joint Mission to Review ILO Initiatives for Decent Work and ASEAN IAI Priorities on Labour and Empoyment Preiminary Report May 2003 Jakarta, Internationa Labour Office, 2003 ISBN 92-2-113 The designations empoyed in ILO pubications, which are in conformity with United Nations practice, and the presentation of materia therein do not impy the expression of any opinion whatsoever on the part of the Internationa Labour Office concerning the ega status of any country, area or territory or of its authorities, or concerning the deimitation of its frontiers. The responsibiity for opinions expressed in signed artices, studies and other contributions rests soey with their authors, and pubication does not constitute an endorsement by the Internationa Labour Office of the opinions expressed in them. Reference to names of firms and commercia products and processes does not impy their endorsement by the Internationa Labour Office, and any faiure to mention a particuar firm, commercia product or process is not a sign of disapprova. ILO pubications can be obtained through major bookseers or ILO oca offices in many countries, or direct from ILO Pubications, Internationa Labour Office, CH-1211 Geneva 22, Switzerand or from the ILO Office in Jakarta, UN Buiding, 5th foor, J. MH Thamrin 14, Jakarta 10350. Cataogues or ists of new pubications are avaiabe free of charge from the above address, or by emai: pubvente@io.org ; jakarta@io.org. Visit our website: www.io.org/pubns ; www.un.or.id/io Printed in Jakarta 2

CONTENTS 1. The Joint Review 1-2 2. Background to the Review 2-5 3. Joint Review Mission 5-9 Vietnam Lao PDR Thaiand Genera Comments 4. Concusions and Recommendations 9-14 Concusions Recommendations o ASEAN Senior Labour Officias Meeting o Genera Cooperation between ASEAN - ILO o Cooperation on Specific Matters * Socia Security * Skis Training * Labour Impications of AFTA * Informa Sector 5. Acknowedgements 16 Page ATTACHMENTS Attachment 1 Attachment 2 Attachment 3 Attachment 4 Attachment 5 Attachment 6 Attachment 7 Terms of Reference for Joint Review ASEAN IAI Work Pan (extracts from component on abour and empoyment) Matrix on ILO Country Programs and Activities in ASEAN Countries Recommendations of ILO Commission of Inquiry on Forced Labour in Myanmar Meetings and consutations in Vietnam Meetings and consutations in Lao PDR Meetings and consutations in Thaiand 3

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JOINT MISSION TO REVIEW ILO INITIATIVES FOR DECENT WORK AND ASEAN IAI PRIORITIES ON LABOUR AND EMPLOYMENT Preiminary Report 1. This report is intended to provide a basis for further discussions between the Association of South East Asian Nations (ASEAN) and the Internationa Labour Organization (ILO) on ways of improving cooperation on abour and empoyment issues. It buids upon discussions and consutations between the organizations over the past 12 months and has been prepared by a joint review team comprising representatives from the ASEAN Secretariat and the ILO. As part of the review, discussions were hed with representatives of government, empoyers and workers organizations in Vietnam, Lao PDR and Thaiand about programs and needs in those countries and the scope for ASEAN-ILO cooperation in these countries and in ASEAN generay. 2. The report concudes that there is considerabe scope for cooperation and coaboration between ASEAN and the ILO and makes specific recommendations as to how this might be deveoped over the next two years. THE JOINT REVIEW 3. The purpose of the joint review was to expore potentia areas for ILO-ASEAN cooperation within the framework of the ILO s decent work agenda and ASEAN s Initiative for ASEAN Integration (IAI) Work Pan component on abour and empoyment and other current and proposed programs. 4. The joint review incuded: Anaysis and review of the IAI work pan and other ASEAN programs, and the progress with impementation; Examination of the deveopment of decent work country programs in ASEAN countries; Identification of possibe areas for joint ILO-ASEAN program deveopment; and Conduct of a joint ILO-ASEAN study mission to Lao PDR, Thaiand and Vietnam to discuss with governments, empoyers and unions the priority needs in the abour and empoyment fieds and the possibiities for ILO-ASEAN cooperation in addressing these needs. 5. The joint review team comprised: Mr. Aan Bouton Director, ILO Area Office Jakarta (Liaison Office for ASEAN) Mr. Cho Kah Sin Head, Socia Deveopment Unit, and Assistant Director, Bureau of Functiona Cooperation, ASEAN Secretariat 5

Ms. Carmea Torres Deputy Director, ILO SEAPAT, Mania Ms. Chomesri Vichitekakarn Senior Programme officer, ILO EASMAT/BAO, Bangkok 6. The terms of reference for the joint review were agreed between the ASEAN Secretariat and the ILO in December 2002 (Attachment 1). In discussions, there were five areas identified as possibe areas for future work and coaboration between the ILO and ASEAN. These were: Skis training network and vocationa training; Overseas empoyment administration; Tripartite Seminar on Impementation of the ASEAN Free Trade Area (AFTA) and the abour and empoyment impacts; Strengthening socia security/socia protection; and Informa economy. These areas were identified having regard to the IAI Work Pan and potentia compementary work being undertaken by the ILO in various ASEAN countries. The reevant parts of the IAI Work Pan are attached (Attachment 2). Aso attached is a matrix prepared by the ILO as background information for the review, isting information regarding ILO country programs and activities in ASEAN countries (Attachment 3). BACKGROUND TO THE REVIEW 7. At the ASEAN Informa Summit in Singapore in November 2000, the Initiative for ASEAN Integration (IAI) was aunched with the aim of narrowing the deveopment gap within ASEAN and enhancing ASEAN competitiveness. Subsequenty, ASEAN Ministers in Juy 2001 adopted the Ha Noi Decaration on Narrowing the Deveopment Gap for Coser ASEAN Integration with focus on four main priority areas: i. infrastructure, ii. human resource deveopment, iii. information and communication technoogy, and iv. regiona economic integration. 8. The IAI Work Pan is targeted at assisting the new member States of ASEAN, namey Cambodia, Lao PDR, Myanmar and Vietnam (CLMV). It was formuated on the basis of a needs assessment of the countries, and was endorsed by the Foreign Ministers of CLMV countries in February 2002. The Work Pan covers 2002-2008 with specific objectives, expected outputs and impementation timeframes for each of the four priority areas. It is expected to be a main management too for ASEAN to engage in diaogue with its partners for deveopment cooperation. This partnership process has started with financia support from Japan for a series of meetings during the preparation of the IAI Work Pan, foowed by an ASEAN diaogue with China, Japan and Korea, which was hed in Tokyo on 12 August 2002. 9. On 15-16 August 2002, an IAI Deveopment Cooperation Forum was convened in Jakarta to deveop and strengthen partnership with ASEAN diaogue partners, donor agencies, internationa and regiona organizations, NGOs, business councis, and other interested institutions. The 6

ILO participated in the forum and was represented by the Regiona Director for Asia and the Pacific, Mr. Y. Nodera. There was a foow-up meeting with representatives of the ASEAN Secretariat to discuss possibe areas for ASEAN-ILO cooperation. 10. ASEAN gives priority to the IAI Work Pan and is seeking donor and technica support to move forward. Among the four main sectors identified, human resource deveopment (HRD) is a core area for possibe ILO-ASEAN cooperation, especiay for Cambodia, Lao PDR and Vietnam. 11. The HRD sector covers three main areas: Capacity buiding for the civi service sector Labour and empoyment Higher education. 12. The abour and empoyment area is based mainy on the ASEAN Labour Ministers vision and mission statement adopted in May 2000 and the work program adopted in 2001. The work program gives particuar emphasis to the abour and empoyment impact of economic downturns and the economic integration of ASEAN. Priority areas of the work program incude HRD in the context of gobaization; HRD panning and abour market monitoring; enhancing abour mobiity; strengthening socia security and socia protection; and strengthening tripartite cooperation. The IAI identifies the foowing key main abour issues in the transition of CLMV countries to market economies: (i) inadequate skied abour; (ii) increased cross abour border movements; (iii) inadequate system for skis testing/certification and accreditation of training institutions; (iv) socia security reforms; and (v) inadequate or ack of mechanisms for conciiation and socia diaogue. 13. The IAI Work Pan component on abour and empoyment paces emphasis on five main areas: (i) informa sector; (ii) empoyment promotion, HRD panning and abour market monitoring; (iii) enhancing abour mobiity; (iv) strengthening socia security; and (v) strengthening tripartite cooperation. Though specific projects have been identified, there is potentia for joint deveopment and cost sharing of those proposas based on the interest of donors and deveopment partners. At this stage, ASEAN has received support from AusAID for a abour mobiity project and from Japan for an industria reations project. UNDP aso recenty confirmed funding for a package of proposas under the ASEAN-UNDP Partnership Faciity which incudes project components on a) studying the impact of trade iberaization on human deveopment (incuding poverty and empoyment), and b) human resources deveopment panning and abour market monitoring. Severa projects on vocationa training are under funding consideration by the ASEAN Foundation. The ILO has had discussions and shared experience to assist with the design of the ASEAN industria reations project, and may provide further assistance in the impementation incuding through existing ILO Decaration industria reations projects in severa ASEAN countries. 14. The ILO s decent work strategy aims to promote opportunities for a women and men to obtain decent and productive work in conditions of freedom, equity, security and human dignity (Decent Work: Report of the Director Genera, Geneva, Internationa Labour Conference, 1999). It brings together the four strategic objectives of the ILO: fundamenta principes and rights at work, empoyment, socia protection and socia diaogue. The ILO Asian Regiona Meeting, hed in Bangkok in August 2001, caed upon a ILO member States in the region to define 7

through a tripartite process, a nationa pan of action for decent work, that integrates fundamenta rights at work, greater opportunities for women and men to secure decent work, socia protection, incuding occupationa safety and heath standards, for the greatest possibe number of workers, as we as increased socia diaogue. 15. The ILO s decent work agenda and nationa pans of action on decent work in ASEAN member countries, being deveoped as a foow-up of the concusions of the ILO Asian Regiona Meeting may serve as patforms for identifying cooperation frameworks between the ILO and ASEAN at country and inter-country eves. As the goa of decent work must have regard to nationa circumstances, decent work actions pans shoud be formuated through a process of diaogue and consutation and shoud identify practica and effective strategies to promote decent work in the country concerned. These pans can provide a strategic framework for government, empoyers and workers organizations, together with the ILO, to work in partnership in addressing identified needs and priorities. The decent work strategy takes into account gender and deveopment as cross-cutting issues in the word of work and provides a patform for socia incusion and poverty aeviation. 16. There have been difficuties in the reations between the ILO and ASEAN in recent years, even though a ASEAN countries (except Brunei Darussaam) are members of the ILO. These reate to the forced abour issue in Myanmar and the resoution passed by the Internationa Labour Conference in 1999. Foowing the adoption of the recommendations of the ILO Commission of Inquiry on forced abour in Myanmar and the response of the Government of Myanmar to those recommendations, ILO participation in technica cooperation invoving Myanmar is imited to activities specificay aimed at the eimination of forced abour (see Attachment 4). 17. The Sixteenth ASEAN Labour Ministers Meeting (9-10 May 2002, Vientiane, Lao PDR) noted progress made towards the eimination of forced abour in Myanmar in cooperation with the ILO. The Ministers wecomed the agreement between the Government of Myanmar and the ILO on the estabishment of a Liaison Office in Yangon as a major step forward in the process of diaogue and cooperation between Myanmar and the ILO. The Labour Ministers caed upon the ILO to consider removing the measures taken against Myanmar. Currenty negotiations between the ILO and the Government of Myanmar are taking pace on a possibe pan of action for the eimination of forced abour in that country. However no agreement has yet been reached on such a pan. 18. At the May 2002 Meeting of ASEAN Labour Ministers, the ILO was officiay invited to attend the opening function. The ILO was represented by Mr. R. Dudey, Deputy Regiona Director for Asia and the Pacific, who was requested to be avaiabe for appointments and/or informa discussions/ consutations during the meeting. Mr Dudey hed informa discussions with members of a the deegations from the ASEAN countries. 19. The first ASEAN Senior Labour Officias Meeting (SLOM) hed from 6-7 May 2002 in Vientiane agreed that ILO s participation in SLOM shoud be by invitation provided that this attendance is confined to specific items of the SLOM agenda. The next SLOM is schedued for May 2003 in Indonesia. In this connection, the ILO coud suggest topics for discussion at that meeting and the review team has put forward some topics for consideration (see Recommendations beow). 8

JOINT REVIEW MISSION 20. As part of the review, a study mission to Vietnam, Lao PDR and Thaiand was conducted on 15-25 January 2003. Discussions were hed in each country with government officias responsibe for ASEAN abour issues and with representatives of empoyers and workers organizations. Vietnam 21. On 16 January 2003, the joint review team hed discussions with senior officias of the Ministry of Labour, Invaids and Socia Affairs in Ha Noi. The top priority of the government is empoyment. The meetings covered a range of issues incuding: The progress with the deveopment of a decent work agenda and its reationship to the Comprehensive Poverty Reduction and Growth strategy and deveopment pans for Vietnam; The need for technica assistance to address country specific needs and circumstances; The importance of the informa economy and the need for assistance with regard to training, expansion of socia security, improving working conditions and safety, and conducting studies; The need for proper examination and studies of the empoyment/hrd impications of trade iberaization in Vietnam and other ASEAN countries; Skis training and the deveopment of curricuum standards and modes and the recognition of skis in ASEAN countries; The invovement of Vietnam in the ASEAN Skis Competition and the benefits of such participation; and The growing importance of overseas empoyment, efforts to expand opportunities for such empoyment and the need to deveop the skis and to provide protections and training for overseas workers. 22. On 17 January 2003, separate meetings were hed with the Bureau of Empoyers Activities of the Vietnam Chamber of Commerce and Industry (VCCI) and with the Vietnam Genera Confederation of Labour (VGCL). The meetings covered simiar issues as raised with government officias. In addition, there was discussion about the new abour code, bargaining issues and industria reations probems; the ILO Industria Reations project in Vietnam; the impications of the growing private sector; the importance of vocationa training; the need to deveop the capacity of empoyers and workers organizations to be effective socia partners and the need to strengthen tripartite cooperation; and the importance of the informa economy incuding as a pace for retrenched workers from stateowned enterprises to find empoyment. 23. The VCCI is a member of the ASEAN Association of Chambers of Commerce and the Confederation of Asia Pacific Empoyers (but not the ASEAN Confederation of Empoyers). The VGCL is a member of the ASEAN Trade Union Counci. Both the VCCI and the VGCL recognize the vaue of earning from the experiences of ike organizations in other ASEAN countries. 24. Meetings were aso hed with the Country Director of the ILO and the Chief Technica Adviser of the ILO/Vietnam Industria Reations Project. Vietnam has ratified ILO Conventions 100, 111 and 182 and is presenty considering the ratification of the Forced Labour Conventions and Convention 144 (Tripartite Consutation). 9

25. A detaied report of the meetings hed in Hanoi and the issues discussed is attached (Attachment 5). Lao PDR 26. On 20-21 January 2003, the review team had meetings in Vientiane, Lao PDR with representatives of government, empoyers and unions. In particuar, the team met with Mr. Sayakane Sisouvong, Director Genera, ASEAN Department, Ministry of Foreign Affairs. Mr. Sayakane is the Chairman of the HRD Working Group under the IAI Work Pan and is currenty aso the Chairman of the ASEAN Standing Committee s Working Group on IAI. Mr. Sayakane stressed that each of the CLMV countries had their own specific needs and that programs needed to be formuated accordingy. He referred to the importance of capacity buiding in Lao PDR. 27. The team met with government officias from the Ministry of Labour and Socia Wefare, together with representatives of the Lao Nationa Chamber of Commerce and Industry (LNCCI) and the Lao Federation of Trade Unions (LFTU). Priority needs for Laos were identified as skis deveopment and empoyment promotion with specia emphasis given to technica assistance to buid capacity for overseas empoyment administration and informa sector deveopment. Other matters discussed incuded: The steps being taken by government to find empoyment opportunities for its citizens in other countries and the need for assistance with the administration of overseas empoyment; Training needs and the probems with curricuum deveopment and skis accreditation; Trafficking issues and the various projects incuding ILO projects working in the Mekong area; The imited coverage of socia security and the efforts made, with the assistance of a new ILO project, to reform the pubic sector scheme, to extend the coverage of the private sector scheme and to deveop a scheme for the informa sector; The need to improve tripartite consutation and to deveop empoyers organizations; Laos is considering the ratification of various ILO Conventions, incuding Conventions 100 and 111 and 182 (Worst Forms of Chid Labour); On 21 January the review team aso hed separate meetings the Lao Nationa Chamber of Commerce and Industry and Lao Federation of Trade Unions. Issues covered incuded the imited capacity of organizations of empoyers and workers to take part in socia diaogue, vocationa training and skis deveopment needs of the workforce, the need for revision of abour aws and probems facing Lao migrant workers. The LNCCI is preparing to organize a Bureau for Empoyers Activities, ike that estabished in Vietnam, and is seeking support to promote this as an empoyers association. The LNCCI joined the ASEAN Chambers of Commerce and Industry (ASEAN CCI) in 2002. The LFTU has been a member of the ASEAN Trade Union Counci (ATUC) since 2000 and has been invoved in various ILO training and projects (e.g. coective bargaining, abour standards, chid abour and sma enterprise deveopment. 28. The review team visited the Skis Deveopment Centre, the government-funded vocationa training institute, run by the Labour Ministry, and hed discussions with the Director and other staff. It is cear that vocationa training and skis accreditation are important priorities for Lao PDR. The ASEAN Skis Competition is seen as an opportunity for testing competency standards of Lao skied workers in a variety of trades and occupations. 29. The team aso met with Ms. Fiona Howe, the Chief Technica Adviser of the ILO Socia Security Project in Lao PDR, which is funded by Luxembourg. 10

30. A detaied report of the meetings and discussions in Vientiane is attached (Attachment 6). Thaiand 31. On 23 January 2003, the joint review team hed discussions with senior officias of the Ministries of Labour and Foreign Affairs of Thaiand. The meeting covered a range of topics reating to the specia needs of the CLMV countries, the resources avaiabe in the more deveoped ASEAN States to assist and the possibe strategic entry points for ASEAN ILO cooperation in addressing the objectives of the IAI Work Pan. The discussions covered: Assistance by Thaiand to Cambodia, Lao PDR and Vietnam in skis deveopment and the roe of Thaiand as the foca point for pooing information about training and skis standards in these countries; The cose cooperation with Lao PDR and Vietnam in reation to socia security reform (Thaiand has not yet provided technica assistance on socia security matters to Cambodia and Myanmar); The invovement of Thaiand and a other ASEAN countries (except Singapore and Myanmar) in the ASEAN Skis Competition; The experience of Thaiand as both a sending and receiving country for migrant workers and efforts by Thaiand to improve its administration of this area; and The imited understanding as to the abour impications of AFTA and the emphasis on skis deveopment in order to meet competitive pressures. 32. A separate meeting was hed with representatives of empoyers and workers organizations in Thaiand. The topics for discussion were the genera areas raised during the review team s mission: skis deveopment, overseas workers, socia security reform, AFTA and the informa economy. The need to strengthen the capacity of empoyers and workers organizations in CLMV countries was raised and it was suggested that these organizations shoud join and participate in the ASEAN Confederation of Empoyers and the ASEAN Trade Union Counci. This woud enabe them to share experiences and seek assistance from empoyers and unions in other ASEAN States. There was genera support for ILO-ASEAN cooperation in the fieds of occupationa safety and heath, abour reations and coective bargaining and the impact of gobaization and trade iberaization. 33. A detaied report of the meetings with government, empoyers and unions in Thaiand is attached (Attachment 7). 34. On 24 January 2003, the joint review team met with Mr. Y. Nodera, ILO Regiona Director for Asia and the Pacific, and with the Acting Director of ILO EASMAT (East Asia Mutidiscipinary Advisory Team). Meetings were aso hed with ILO officias from the Asia and the Pacific Skis Deveopment Programme (APSDEP) and the ILO/Japan Feowship Programme. Genera Comments 35. From the discussions with government officias and representatives of empoyers and workers in Lao PDR, Thaiand and Vietnam, a number of genera comments may be made concerning the 11

matters discussed. Labour officias, empoyers and unions are generay not famiiar with issues reating to AFTA and other trade iberaization and regiona integration measures. There have been few studies as to the impact of AFTA and industries that might be affected. There is a need for capacity buiding to assist with the deveopment of poicies, programs and strategies to dea with adjustment issues (e.g. skis training, retrenchment and eary retirement schemes, and aternative empoyment opportunities). Decent work action pans are under discussion in Vietnam and Thaiand. The pans wi focus on country specific needs and priorities, and in the case of Vietnam wi need to fit into the nationa deveopment strategy. As the pans are at an eary stage of deveopment, priorities in the IAI Work Pan might be incorporated. This may assist both the ILO and ASEAN in mobiizing donor support for the needed programs, incuding through joint approaches. Overseas empoyment is an area of growing importance for Vietnam and Lao PDR and assistance is needed in the administration of schemes and in reation to the training and protection of workers, particuary from countries with more experience in this fied (e.g. Phiippines). It is important that there be reguar and structured sharing of information between the ILO and ASEAN as to programs and projects in ASEAN countries. This wi hep to avoid unnecessary dupication and improve effectiveness and wi assist with the identification of opportunities for working together on the achievement of shared goas. CONCLUSIONS AND RECOMMENDATIONS 36. On the basis of the work undertaken and discussions hed during the course of the mission to Lao PDR, Vietnam and Thaiand, the joint review team puts forward the foowing concusions and recommendations for further consideration between ASEAN and the ILO. Concusions 37. Some of the main concusions of the joint mission may be summarized as foows. (a) There is considerabe scope for cooperation and coaboration between ASEAN and the ILO in work on abour and empoyment issues in the ASEAN countries. (b) The main purpose of the mission was to identify potentia areas of coaboration and ways in which ASEAN and the ILO might improve the impact and benefits of existing projects and activities through coser working reationships. (c) An important focus of the mission was the Initiative for ASEAN Integration (IAI) Work Pan and in particuar the Human Resource Deveopment objectives under that Pan. This is directed at assisting the new member States of ASEAN (Cambodia, Lao PDR, Myanmar and Vietnam) (CLMV), both through donor-supported programs and through assistance from the more deveoped ASEAN countries. Potentia areas under the IAI Work Pan for ASEAN-ILO cooperation incude: Improving Overseas Empoyment Administration for CLMV countries; Strengthening Socia Security/Socia Protection; Examining the impications for abour of the ASEAN Free Trade Area (AFTA) and other trade iberaization measures and changes brought about by the process of regiona economic 12

(d) (e) integration; Estabishing a Network of Skis Training Institutions and assisting with moves towards mutua recognition of skis and standards; and Addressing issues reating to the Informa Economy, incuding the extension of socia protection. These reate to paragraphs 2.15, 2.17, 2.20, 2.21 and 2.23 in the ASEAN Work Pan Narrowing the Deveopment Gap within ASEAN: Assisting New Member Countries 2002-2008. These parts of the Work Pan have not received donor support to date. Another area considered for ASEAN-ILO coaboration is industria reations. There is a need to strengthen socia diaogue incuding the capacity of empoyers and workers organizations to participate in poicy forum. Cooperation between existing ILO and ASEAN projects and programs on industria reations aso need to be strengthened (incuding HIV/AIDS in the workpace). Promotion of decent work is the key objective of the ILO and action pans have been prepared or are being deveoped in various ASEAN countries. These pans recognize the different circumstances of the countries concerned and refect the views of the socia partners (governments, empoyers and workers) on priority areas for action. Athough the pans in each country are deveoped on a nationa basis, there may be scope for regiona or sub-regiona coaboration in addressing issues and impementing programs consistent with the decent work agenda of the ASEAN countries. Recommendations 38. The joint review team has sought to put forward a range of options as to ways to strengthen ASEAN-ILO cooperation and coaboration on abour and empoyment issues. These options need to be considered by the respective organizations and in further discussions. (i) It is important that diaogue between ASEAN and the ILO continue. With respect to the ILO s attendance at the ASEAN Senior Labour Officias Meeting (SLOM), the joint review team recaed the decision of the First Senior Labour Officias Meeting hed in May 2002 in Lao PDR that attendance by the ILO woud be by invitation and... confined to specific items of the SLOM agenda. Further meetings and contacts between the ASEAN Secretariat and the ILO Regiona Office for Asia and the Pacific coud be encouraged, with the ASEAN Secretariat and the ILO extending invitations to each other to participate in important activities, such as conferences or seminars deaing with abour and empoyment matters. ASEAN Senior Labour Officias Meeting (ii) The ILO is considering putting forward possibe agenda items for discussion at the next ASEAN Senior Labour Officias Meeting (SLOM), to be hed in Indonesia, in eary May 2003. From discussions hed during the mission, the foowing items of mutua interest to ASEAN and the ILO might be considered for possibe discussion between SLOM and ILO officias, subject to the concurrence of Member Countries: Progress with decent work action pans in ASEAN countries; Briefing on outcome of the 2002 Internationa Labour Conference, with specia reference to the genera discussion on the Informa Economy; Briefing on major agenda items for the 2003 Internationa Labour Conference; and 13

Overseas empoyment administration and preparations and report for the panned genera discussion on Migrant Workers at the 2004 Internationa Labour Conference. It might aso be usefu for both the ASEAN Senior Labour Officias and the ILO to have an overview at the meeting of the work of ASEAN and the ILO in the various ASEAN countries. Genera Cooperation between ASEAN-ILO (iii) There woud be many advantages for ASEAN and the ILO in sharing of information about programs and activities in the abour and empoyment fieds. This woud hep to identify possibiities for cooperation, imit unnecessary dupication and improve the effectiveness of the work. In particuar, there is scope for cooperation between the ILO Decaration projects on Industria Reations in Cambodia, Indonesia and Vietnam and the Japan-funded ASEAN project on industria reations. There shoud aso be discussions regarding ILO country programs for the promotion of the ILO Code of Practice on HIV/AIDS and the Word of Work and the ASEAN HIV/AIDS programme. The deveopment of decent work country program frameworks coud become an entry point for addressing priority areas under the IAI Work Pan s component on abour and empoyment. Further, the experience with the deveopment of Youth Empoyment Networks under the framework estabished by the UN, Word Bank and ILO (e.g. in Indonesia) is of considerabe interest to ASEAN. Youth empoyment is a very high priority of the ASEAN Senior Officias Meeting on Youth and the sharing of experiences by the ILO with the setting up of networks woud be of interest to a ASEAN countries. Cooperation might be pursued through reguar meetings between the ASEAN Secretariat and the ILO. A more forma commitment to cooperation and coaboration between the organizations might be given effect through a Memorandum of Understanding, such as that entered into between ASEAN and the Word Heath Organization. ASEAN-ILO Cooperation on Specific Matters (iv) Of the various matters in the IAI Work Pan, discussions and meetings hed during the joint review mission suggest that there is an opportunity for worthwhie coaboration between ASEAN and the ILO in the foowing areas: socia security, skis training and the abour impications of the AFTA. (v) We have not sought to deveop detaied proposas in reation to these areas. Such work wi need to foow the consideration of this report by ASEAN and the ILO and decisions taken as to the way ahead. We have, however, sought to assist by identifying practica and usefu things which might be done and achieved in the near future in these areas by ASEAN and the ILO working together. These invove imited additiona resources for initia activities and/or scope for the deveopment of joint projects proposas for donor funding. (a) Socia Security. The IAI Work Pan refers to the strengthening of socia security and socia protection both through buiding capacity for estabishing nationa systems and the sharing of experience. Specific outputs sought incude a handbook of socia protection systems in ASEAN countries, a directory of services, identified needs in the CLMV countries and a paper on poicy options. The ILO has considerabe experience and expertise in the deveopment of socia protection systems. There have recenty been ILO socia security projects in Indonesia and Vietnam and there is currenty a major project in Lao PDR. There is aso a UNDP project in Maaysia and Word Bank and ILO assistance to Thaiand. The ILO is aso undertaking a major effort to improve socia protection for workers through its 14

goba campaign on Socia Security and Coverage for A. There are many common objectives between the ILO s work in the socia security fied and the ASEAN initiative under the IAI Work Pan of Incuding the Excuded: Towards an Integrated Socia Protection/Socia Risks Management System in ASEAN. It woud seem that much of the information sought to be coected under the IAI Work Pan is readiy avaiabe from ILO sources and that there is a shared interest between ASEAN and the ILO in identifying poicy options and foow-up actions to strengthen socia security /socia protection in ASEAN countries. These activities might be pursued in coaboration between ASEAN and the ILO using existing expertise and woud require ony imited additiona resources. There woud be a need to seek donor funding for impementation efforts. (b) Skis Training. The IAI Work Pan refers to the estabishment of a network of ASEAN Skis Training Institutions to share experiences and best practices and to faciitate harmonization of vocationa training methodoogies toward the objective of mutua recognition of skis and standards. Specific outputs sought incude the deveopment of the foowing: webpage, handbook on best practices in skis training, manua on vocationa training methodoogies, projects to address identified needs of CLMV countries and poicy measures to encourage private sector investment in vocationa training. The ILO has a speciaized program on vocationa training the Asian and Pacific Ski Deveopment Program (APSDEP). The majority of the resources of this program come from Japan and APSDEP conducts a wide variety of activities covering ASEAN countries, incuding improving its website and the deveopment of regiona mode competency standards. APSDEP is a regiona mechanism to promote vocationa training through a network of vocationa training institutions in ILO member countries. It woud seem that there woud be mutua advantage in the conduct of a meeting between the ASEAN technica team working on skis deveopment and ILO/APSDEP. The meeting woud discuss the work being undertaken by ASEAN and the ILO on skis deveopment and examine ways of improving effectiveness and avoiding unnecessary dupication. For exampe, ILO is in the process of updating the APSDEP website and coud consider a ink to the proposed ASEAN skis network homepage. ILO coud expore the possibiity of ASEAN participation in the deveopment of the Regiona Mode of Competency Standards (RMCS) in seected occupations and sending participants to the training in new technoogy conducted by the ILO Turin Training Centre (Itay). Further, a regiona study tour funded by Korea on The administration of Occupationa Standards, Testing and Certification is being panned by the ILO for Cambodia, Lao PDR and Vietnam in 2003. This might be inked to reated IAI projects on vocationa training and skis recognition. (c) Labour Impications of AFTA. The IAI Work Pan cas for the conduct of a tripartite seminar on the impementation of the ASEAN Free Trade Area (AFTA) and its impacts on ASEAN abour/human resources. This woud raise awareness and inform unions, empoyers and abour ministries on the possibe impacts of AFTA on industries and empoyment generay. The ILO is committed to the promotion of socia diaogue, especiay in reation to matters of direct reevance to empoyers and workers. The ILO has significant programs and experience deaing with abour and empoyment issues arising from trade iberaization measures and has recenty assisted the ASEAN Trade Union Counci in the conduct of a Seminar on the Empoyment Dimension of the Economic Integration of ASEAN (Bangkok, 1-3 October 2002). There is imited understanding of the abour and human resource impications for 15

ASEAN countries of AFTA and other trade iberaization measures. In particuar, it woud seem that very few studies have been undertaken which woud contribute both to diaogue regarding these matters and the deveopment of poicies and strategies to dea with impacts on industries and on the empoyers and workers concerned. The commissioning of research on the abour impications of AFTA in seected ASEAN countries and the conduct of tripartite nationa or regiona seminars to consider the research findings woud be a good starting point in raising awareness amongst abour ministers, empoyers and workers. (d) Informa Sector. The IAI Work Pan on abour and empoyment identifies the informa sector as an important area for coaboration. Whie it is uncear that piecemea projects woud be abe to produce measurabe impact, there are severa opportunities for inkage which shoud be highighted. The preparation of the country Poverty Reduction Strategy Papers (PRSP) coud provide an entry point for addressing issues such as empoyment promotion and income generation for informa sector workers. The ILO is panning various meetings and consutations regarding the informa sector in 2003 and coud consider inviting ASEAN representatives and commissioning a paper on the specia concerns and probems reating to the informa sector in the CLMV countries. It might aso be usefu to expore the possibiity of opening to CLMV countries the activities panned under the Phiippines UNDP funded project Deveopment of poicy, egisative, and institutiona responses for the promotion and protection of workers in the informa sector. ACKNOWLEDGEMENTS The joint review team gained enormous assistance and many hepfu insights and suggestions from the discussions and meetings hed with representatives of government, empoyers and workers organizations in Lao PDR, Thaiand and Vietnam. We are most appreciative of the work of the abour ministries and/or foreign ministries of these countries for arranging the programme of meetings and for the time devoted to meetings with us by senior abour and foreign affairs officias. 16

ATTACHMENTS Attachment 1 Attachment 2 Attachment 3 Attachment 4 Attachment 5 Attachment 6 Attachment 7 Terms of Reference for Joint Review ASEAN IAI Work Pan (extracts from component on abour and empoyment) Matrix on ILO Country Programme and Activities in ASEAN Countries Recommendations of ILO Commission of Inquiry on Forced Labour in Myanmar Meetings and consutations in Vietnam Meetings and consutations in Lao PDR Meetings and consutations in Thaiand 17

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Attachment 1 Terms of Reference for Joint Review 19

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TERMS OF REFERENCE For Joint Review of ILO-ASEAN initiatives for Decent Work Introduction and Objective ASEAN has aunched the Initiative for ASEAN Integration (IAI) which aims to narrow the deveopment gap within ASEAN and enhance ASEAN competitiveness. The IAI work pan for 2002-2008 is expected to be a management too for ASEAN to engage in diaogue with its partners for deveopment cooperation. During the IAI Deveopment Cooperation Forum hed at the ASEAN Secretariat in Jakarta on 15 and 16 August 2002, ASEAN convened sideine consutations with its deveopment partners, incuding the ILO, on possibe areas for cooperation. The ASEAN Secretariat and the ILO have initiay agreed to conduct a joint review to identify fagship activities at nationa and sub-regiona eves to prepare a regiona framework for coaboration, based on deveopments with decent work agendas in ASEAN countries, the IAI work pan and other ASEAN priorities in abour and empoyment. The Joint Review wi aso identify possibiities for strengthened ASEAN-ILO working reationships. Duties and Responsibiities The ILO and ASEAN wi nominate their representatives for this joint review. Major tasks wi cover (i) desk reviews by the ILO and ASEAN based on current and panned activities; (ii) a joint mission for consutations with the ILO Offices, nationa governments, empoyers and workers organizations, and other interested parties in Jakarta, Bangkok, and two new ASEAN members (possiby Cambodia and Laos); and (iii) a meeting (either in Bangkok or Jakarta) to present the findings of the review and recommendations for future foow-up by the ILO and the ASEAN Secretariat. The ILO Jakarta Office wi consut EASMAT, SEAPAT and the ILO Regiona Office for Asia and Pacific to seek their contribution and support for this ILO-ASEAN joint exercise. The mission wi cover the foowing activities: Identify country and regiona programmes carried out by ASEAN, ILO and other institutions reevant to the ILO s decent work agenda, the IAI Work Pan s HRD priorities and ASEAN s priorities in abour and empoyment. Aso verify abour and empoyment needs of the CLMV countries and the capacities of other ASEAN member countries to address these needs (with reference to the priorities identified under the ASEAN IAI Work Programme component on Labour & Empoyment). Potentia areas for cooperation may incude t t t t A tripartite diaogue process for identifying needs, priorities and nationa agenda for action; Labour standards and industria reations; Human resource deveopment and panning; The deveopment of abour market information systems; 21

t t t t t t The deveopment of vocationa training poicy and skis deveopment systems; Socia security and socia protection system; Occupationa safety and heath; Empoyment promotion /generation through SME deveopment; Promoting sef-empoyment opportunities in the informa economy; and Overseas empoyment administration. Compie information on the nationa pans of action for decent work in ASEAN countries, incuding processes and priorities in improving decent work deficits that coud be shared within ASEAN. ASEAN Secretariat to assist in coecting and compiing necessary information and country needs in consutation with the ASEAN Senior Labour Officias. Identify strategic entry points for ASEAN countries to participate in reevant ILO activities in the region and those of other agencies that address the IAI priorities for abour and empoyment, taking into consideration the foowing possibe strategies: t t t t participation by interested ASEAN countries in ongoing ILO country or sub-regiona programmes; deveopment of ASEAN activities under the Youth Empoyment Network; capacity-buiding activities and/or technica assistance for ASEAN officias deaing with abour and empoyment issues; coaboration in mobiising resources from donor countries and agencies. Identify and hep resove other issues or concerns reevant to strengthening ASEAN-ILO working reationships incuding in possibe new areas for cooperation such as HIV/AIDS in the workpace and the impact on abour of gobaisation and the iberaisation of trade and services. Review other areas of ASEAN-ILO cooperation on abour and empoyment and examine the use of existing ILO networks, programmes and other resources to strengthen such cooperation. Prepare a report highighting concusions, findings and recommendations, and a proposed ILO- ASEAN cooperation framework which incudes a work programme on IAI HRD issues and Decent Work.. Present the findings and recommendations at a joint ILO-ASEAN meeting for discussion and further foow-up. The Review Team The review team is expected to produce a short report and proposas for ILO-ASEAN cooperation based on existing information avaiabe in the ASEAN Secretariat and the ILO, and a short review mission to Thaiand, Lao PDR and Viet Nam. The review team wi comprise 1) Mr Aan Bouton, Director, ILO Jakarta Office (Team eader); 2) Ms Amy Torres, Deputy Director, ILO-SEAPAT, Mania; 3) Ms Chomesri Vichitekakarn, Senior Programme Officer, EASMAT/BAO, Bangkok; 4) An ASEAN Secretariat Representative (to be designated). The ASEAN Secretariat wi cover the costs of its representative for the review mission. 22

EASMAT, SEAPAT, ROAP and the ASEAN Secretariat wi provide technica inputs and essentia support to the mission. The ILO Jakarta Office wi be responsibe for overa coordination. The ASEAN Secretariat wi assist in identifying officers to coordinate the Review Team s discussions with reevant foca points and agencies in the countries to be visited. Time Frame The joint review is panned to start 8 January 2003 and is expected to produce a draft report by the end of January 2003. Additiona inputs wi be provided as and when necessary for required foowup activities. An indicative work schedue is proposed as foows: Indicative Work Schedue 8-18 January 2003: Review Team to trave to Lao PDR, Viet Nam and Thaiand to meet and discuss with reevant ASEAN foca points, coordinating agencies and interested donors/ partners. Third week of January - first week of February 2003: Based on resuts of discussions, Review Team wi prepare a Draft Report and Work Pan. Week of 10 February 2003: Technica discussions among ASEAN Secretariat and ILO officers to review the Draft Report and Work Pan (in Jakarta or Bangkok). Circuate the draft documents to ASEAN Senior Labour Officias for further review and input. March 2003: Convene an ASEAN-ILO roundtabe meeting to discuss and finaise the Joint Review and Work Pan. The roundtabe meeting wi invove past, present and incoming Chairs of the ASEAN Labour Ministers Meeting (Maaysia, Lao PDR, Indonesia). 23

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Attachment 2 ASEAN IAI Work Pan (extracts from component on abour and empoyment) 25

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Extracts from Ha Noi Decaration On Narrowing the Deveopment Gap for Coser ASEAN Integration 23 Juy 2001 2.17 Estabishment of a Network of Skis Training Institution/Programme on Vocationa Training Methodoogies Objective a. To share experience and best practices among ASEAN skis training institutions; and b. To faciitate harmonization of vocationa training methodoogies toward the objective of mutua recognition of skis and standards. Outputs (1) Webpage and discussion board to faciitate diaogue among stakehoders on Skis Training and Mutua Recognition of Skis; (Category: Technica Assistance, expected time for impementation: 2002) (2) Cases and Best Practices Handbook on Skis Training Toward Mutua Recognition of Skis in ASEAN; (Category: Technica Assistance, expected time for impementation: 2003) (3) Programme Design and Training Manua on Vocationa Training Methodoogies in ASEAN; (Category: Technica Assistance, expected time for impementation: 2003) (4) Identified specia needs of CLMV countries to be addressed by the project; and (Category: Technica Assistance, expected time for impementation: 2002-2003) (5) Poicy measures to create an enabing environment for private sector to invest in deveoping vocationa training centers for particuar sectors of the industry. (Category: Poicy Formuation, expected time for impementation: 2002-2003) 2.20 Strengthening Socia Security/Socia Protection Incuding the Excuded: Towards an Integrated Socia Protection/Socia Risks Management System in ASEAN Objective a. To buid capacity for estabishing nationa system of socia protection or socia risk management that buid upon oca strength and existing format and informa mechanisms; and b. To share essons earned on estabishing mechanisms that reieve the impact of economic shocks and crisis on abour/empoyment 27

Outputs (1) Handbook of socia protection/socia risk management systems in the ASEAN countries; (Category: Technica Assistance, expected time for impementation: 2002-2003) (2) Directory of services in socia protection/socia risk management and institutions in ASEAN handing such services; (Category: Technica Assistance, expected time for impementation: 2002-2003) (3) Identified needs of CLMV countries; and (Category: Technica Assistance, expected time for impementation: 2002-2003) (4) Paper on poicy options and foow-up actions for adoption by ASEAN Labour Ministers. (Category: Poicy Formuation, expected time for impementation: 2004) 2.21 Tripartite Seminar on the Impementation of the ASEAN Free Trade Area (AFTA) and Its Impacts on ASEAN Labour/Human Resources Objective a. To raise awareness and inform unions, empoyers and abour ministers on the status of AFTA and its possibe impact on industries and abour; and b. To transate into aymen s terms, the concepts and modaities of a free trading system under AFTA. Outputs (1) Avaiabiity of seminar curricua/materias for the socia partners on the AFTA and its impementation; (2) Recommendations for responses to sector-specific probems and questions on AFTA; and (3) Identified issues specific to the CLMV countries. (Category: Technica Assistance, expected time for impementation: 2002-2003) 2.23 Overseas Empoyment Administration for CLMV Countries Objective a. To guide countries embarking on an overseas empoyment programme, provide cear directions on the steps to proceed with the programme, and how to ocate themseves in the present internationa division of abour. Outputs (1) Action pans on strengthening overseas empoyment administration with specific reference to the needs of CLMV countries; (Category: Poicy Formuation, expected time for impementation: 2004) 28