The Republic of the Union of Myanmar Population 60 Millions(est.)

1. The New Legal Framework (Labour Organization Law, Industrial Dispute Settlement and Collective Bargaining) by Dr.Than Win Director-General Department of Labour RelationsMINISTRY of LABOUR

2. The Republic of the Union of Myanmar Population 60 Millions(est.) Labour Force 37 Millions Labour Force Participation rate 66% No. of Factories, Shops and 126127 Establishments No. of workers 3.65 Millions

3. Existing Labour Laws (1) The Employment and Training Act, 1950 (2) The Employment Restriction Act, 1959 (3) The Dock Workers (Regulation of Employment) Act, 1948 (4) The Dock Labourers Act, 1934 (5) The Oilfields (Labourers and Welfare)Act, 1951 (6) The Factories Act, 1951 (7) The Payments of Wages Act, 1936 (8) Agricultural Workers Minimum Wages Act, 1948

4. (9) Minimum Wages Act, 1949 (10) The Leave and Holiday Act, 1951 (11) The Shops and Establishments Act, 1951 (12) The Workmen’s Compensation Act, 1923 (13) The Social Security Act, 1954 (14) The Employment Statistics Act, 1948 (15) The Law Relating to Overseas Employment, 1999 (16) The Labour Organization Law (11.10.2011) (17) The Settlement of Labour Dispute Law (28.3.2012)

5. Repealed Acts • (1) The Law Defining the Rights and Responsibilities of People’s Workers in 1964 • (2) The Trade Union Act, 1926 (11.10.2011) • (3) The Trade Disputes Act, 1929 (28.3.2012)

6. Bills on progress • (1) Social Security Bill • (2) Minimum Wages Bill • (3) Employment and Skill Development Bill • (4) Workmen Compensation Bill

7. Laws to be amended • (1) Payment of Wages Act • (2) Factories Act • (3) Leave and Holidays Act

8. Labour Law Reform(2008-2012) • Constitution of the Republic of the Union of Myanmar (2008) was promulgated on 29.5.2008. Chapter I Basic Principles of the Union Government Section 24 The Union shall enact necessary laws to protect the right of workers.

9. Chapter VIIICitizen Fundamental Rights and Duties of the Citizens Section 354 Every citizen shall be at libertyin the exercise of the following rights, if not contrary to the laws, enacted for Union security, prevalence of law and order, community peace and tranquility or public order and morality; (a) to express and publish freely their convictions and opinions; (b) to assemble peacefully without arms and holding procession; (c) to form associations and organizations;

10. Grounds for the Labour Organization Law and the Settlement of Labour Dispute Law • In conformity with the freedom of association and protection of the right to organize convention (C.87) ratified by Myanmar. • In harmony with the international practices. • The very first labour law Reform was done on the Labour Organization law. • The Labour Organization Law was promulgated on 11th October, 2011. But the law came into effect on 9th March, 2012 by announcing the Notification of the office of the President of Myanmar.

11. The Settlement of Labour Dispute Law was already promulgated on 28th March, 2012 to accompany with the Labour Organization Law(2011). • In the meantime the Law Defining the Rights and Responsibilities of People’s Workers (1964) was repealed on 21st, November, 2011 just to make the attraction especially for Foreign Direct Investment(FDI).

12. Ratified by Parliament(PyidaungsuHluttaw) Office of the President Discussion and Debate by Bill Committees in Parliament The President signed the Law Drafting & Promulgation Process for a Labour Law Submission to the Parliament Promulgation of the Law Cabinet of the Union Government Request the Legal Advise of the Office of Attorney General Consultation Meetings: -Other Ministries -Domestic Legal experts and ILO legal Experts -Employers’ Organization / Labour Organization Concerned Ministry

13. The Labour Organization Law Number of Chapters = 14 Chapter I Title, Enforcement and Definition Chapter II Establishment of the Labour Organizations Chapter III Registration Chapter IV Functions and Duties of the Executive Committee Chapter V Rights and Responsibilities of the Labour Organization Chapter VI Establishing and Expending of Fund Chapter VII Duties of Employer

14. Chapter VIII Duties and Powers of the Chief Registrar Chapter IX Application relating to the Decision of the Chief Registrar Chapter X Duties and Powers of the Township Registrar Chapter XI Lock-out and Strike Chapter XII Prohibitions Chapter XIII Penalties Chapter XIV Miscellaneous

15. Number of sections = 58 • The Ministrial Notification on Rules for the labour organization law was issued on the date 29.2.2012. (8 Chapters and 43 Rules)

16. Features of Labour Organization Law (2011)Formation Myanmar Labour Confederation 20% LFs Labour Federation 10% R/S LOs Region /State Labour Organization 10% TLOs Township Labour Organization 10% , 2 BLOs Support by not less than (10) percent of all workers 30 workers and more Basic Labour Organization

17. Section 8 The employers may organize in parallel structure under this law. Relevant Counterparts Myanmar Labour Confederation Myanmar Employers’ confederation Labour Federation Employers’ Federation Region/State/ Township Labour Organization Employers’ Organization workers Employers Basic

18. Rights of Labour Organization • Section 19 The labour organizations have the right to send representatives to the Conciliation Body in settling a dispute between the employer and the worker. Similarly, they have the right to send representatives to the Conciliation Tribunals formed with the representatives from the various levels of labour organizations. • Section 20 In discussing with the Government, the employer and the complaining workers in respect of worker's rights or interests contained in the labour laws, the representatives of the labour organization also have the right to participate and discuss.

19. Right to Collective Bargaining • Section 21 The labour organizations have the right to participate in solving the collective bargains of the workers in accord with the labour laws. • Section 29 The employer shall recognize the labour organizations of his trade as the organizations representing the workers. • Section 37,38,39 Right to Lock-out and Right to Strike • The workers organization (Labour Organization) has the right to strike but it must be done with the stipulations. • The employer has also the right to proceed lock-out.

20. Notification Period for Lock-out & Strike ServicesIndustrial Action Lock-outStrike • Public Utility Services 14 days 14 days • Services other than 14 days 3 days Public Utility Services • Essential Services X X

21. Section 41 Illegal Lock-out or illegal Strike - Essential services - Without permission of the relevant labour federation - Failing to inform in advance - Not being relevant to labour affair - Not in conformity with submission in advance (date, place, time, period, number of participants) • Section 42 If it is an illegal lock-out or illegal strike, it may be prohibited in accord with the existing law. (Especially when it is likely that threat to the law and order or acute national crisis can happen).

22. As of 2.6.2012, the registered labour organization and employers’ organization are as follows; - No. of labour organizations (30) [One Myanmar Seamen’s Federation and 29 basic labour organizations. ] - No. of Employers’ Organizations (10)

23. 29 Basic Labour Organizations

24. 10 Basic Employers’ Organizations

25. The Settlement of Labour Dispute Law • The President of the Republic of the Union of Myanmar signed the Law on 28th, March 2012. • The Trade Disputes Act, 1929 was also repealed.

26. The Settlement of Labour Dispute Law Number of Chapters = 10 Chapter I Title and Definition Chapter II Formation of the Workplace Coordinating Committee Chapter III Formation of the Conciliation Body Chapter IV Formation of the Dispute Settlement Arbitration Body Chapter V Formation of Dispute Settlement Arbitration Council

27. Chapter VISettlement of Dispute Chapter VII Confirmation, Amendment and Effectiveness of Decision Chapter VIII Prohibitions Chapter IX Penalties Chapter X Miscellaneous

28. Number of sections = 60 • The Ministrial Notification on Rules for the Settlement of Labour Dispute Law was issued on 26th April, 2012. ( 8 Chapters and 39 Rules)

29. Labour Dispute Resolution System (Flowchart) Labour Dispute Collective Dispute Individual Dispute 3 days Township Conciliation Body Township Conciliation Body AG Region/State Arbitration Body 7 days Competent Court 7 days Essential Services Industrial Action (strike& lock out) Arbitration Council 14days 7 days Tribunal Decision

30. Types of labour disputes Individual Dispute (Rights Dispute) Parties - The employer and worker or some workers. Subject - The employment contract - The collective Agreement - Existing Labour Laws & Rules, Regulations, Notification, ..etc.

31. Collective Dispute (rights dispute or interest dispute) The employer or employers or employer’s organization (Collective Labour) workers or worker’s organization Parties • working conditions • the recognition of organizations • the exercise of the recognized • right of their organizations • relations between employer and • workers Subject

32. - the dispute could jeopardize the operation of the work and social peace- by taking long industrial action it may lead to the threat to law and order stability or social and economic crisis to the workers as well as to the State. Consequence

33. Workplace Conflict Management • Section 3 In any trade in which more than 30 workers are employed, the employer shall establish the Workplace Coordinating Committee. • The Committee will comprise of representatives of workers and representatives of the employer. (equal Vote) • One year TENURE. • Right to Conclusion of Collective Bargaining Collective Agreement

34. Section 10 Formation of Conciliation Body • Township level • Tripartite structure (11 Persons) • The secretary is the Township Labour Officer (TLO). • Time to conciliate 3 days. • Extension is also possible if both parties agree.

35. Qualification of members of Conciliation Body Rules • Rule10. The member of a Conciliation Body: • (a) shall have attained 21 years of age; • (b) shall have experience in labour affairs; • (c) shall have good character.

36. Section 14 Township Special Conciliation Body can be established for Special Economic Zones (SEZ).

37. Region/ State Dispute Settlement Arbitration Body • Tripartite Formation ( 11 person ) - Government Representatives/ Public Interest - 3 Employers’ Representatives - 3 Workers’ Representatives • Self- administered Division • Self- administered Zone

38. Qualification of members of Arbitration Body Rules • Rule 14 The member of the Arbitration Body: (a) shall have attained 25 years of age; (b) (i) if he is a Chairman, shall have experience in work of legal affairs or labour affairs; (ii) if he is a person elected from the list recommended and submitted by the employers’ organizations and labour organizations, shall have work experience; (c ) shall have good character.

39. Arbitration Council • 15 qualified person of Good Standing from legal experts and experts in labour affairs (Section 19) • 3PANELS (a) The first panel submitted by the Ministry of Labour (5 persons) (b) The second panel submitted by the Employers’ Organizations (5 persons) (c) The third panel submitted by the Labour Organizations (5 persons)

40. Qualification of members of Arbitration Council Rules Rule 20 • (a) shall have attained 35 years of age; • (b) shall be a person who has experience in work relating to legal affairs or labour affairs or relevant work; • (c) shall be a person who may carry out the benefit of employer and worker fairly; • (d) shall be a person who has good character.

41. Labour Dispute Resolution Process(complete) Supreme Court Litigation decision Arbitration -II Arbitration Council Industrial Action (Strike/Lock-out) decision State/Region Arbitration Body Arbitration - I Conciliation Township Conciliation Body Negotiation Workplace Coordinating Committee

42. (Final and No appeal to Supreme Court ) Central Trade Disputes Committee (CTDC) Former Labour Dispute Resolution System Division Trade Disputes Appeal Committee (DTDAC) Township Trade Disputes Committee (TTDC) Arbitration Township Workers’ Supervisory Committee (TWSC) Concilitation

43. Cases of Labour Disputes (2009-2011) Source: Department of Labour and ( TWSC)

44. Cases that are decided by the Trade Disputes Committee (2009-2012) Source: CTDC

45. Recent Labour Disputes in the Year 2012 Source: Department of Labour

46. Collective Bargaining • The Right to Organize and Collective Bargaining (C.98) • The Collective Bargaining Convention (C.154) • Myanmar does not yet ratify C. 98 and C. 154 • Recent establishment of labour organizations means that they have the right to Collective Bargaining.

47. Collective Bargaining (Definition) • Collective Bargaining(CB) is a voluntary process through which employers (or their organizations) and trade unions ( or in their absence workers representatives) discuss and negotiate their relations and interaction at the workplace, such as pay and other terms and conditions of work. • This process of bargaining aims to reach mutually acceptable collective agreements.

48. Important conditions for effective recognition of the right to collective bargaining are that workers’ organization are independent and not under the control of employers , or employer’s organization and that the process of collective bargaining can proceed without undue interference by the authorities.

49. Collective Agreement (R. 91) • All agreements in writing regarding working conditions and terms of employment concluded between an employer, a group of employer or one or more employers’ organizations, on the one hand, and one or more representatives workers’ organizations, or in the absence of such organizations, the representatives of the workers duly elected and authorized by them in accordance with national laws and regulations, on the other. (ILO/ 1996 , P.656)

50. Collective Bargaining (C.154 , Art.2) The term “collective bargaining “ extends to all negotiations which take place between an employer, a group of employers or one or more employers' organizations, on the one hand, and one or more workers' organizations, on the other, for— (a) determining working conditions and terms of employment; and/or (b) regulating relations between employers and workers; and/ or (c) regulating relations between employers or their organizations and a workers’ organization or workers' organizations. (ILO, 1996, P.93)