Peruvian trade union leader, Paula Aliaga, General Secretary of the Central Autónoma de Trabajadores del Perú (CATP), today called on the OECD to insist and ensure that Peru joining the OECD leads to respect for fundamental labour rights and results in improvements in employment conditions for working people.
In a presentation to officials from labour and employment Ministries of OECD member governments and OECD officials, Paula Aliaga presented the facts about work in Peru, including
- Among the lowest minimum wages in Latin America.
- Less than 30% of jobs are permanent and full time.
- Only 5% of workers are members of a union and a mere 4.2% are covered by collective bargaining.
- Multiple cases of workers for being fired after setting up a union.
- Collective bargaining is restricted by law to regional or entity level.
- Fixed-term contracts are often used as a way to prevent the formation or growth of trade unions, as companies choose not to renew the contracts of fixed-term workers who join a union.
- 70% of workers in the mining sector – a key pillar of the Peruvian economy – are employed in out-sourced services, almost 90% of jobs in outsourced services in mining are temporary and are paid less than half of those employed directly by mining companies that out-source services.
- Under-resourced labour inspection, with just 400 inspectors for the labour rights of 17 million workers.
“we have a labour market that is far from being rigid, is rather too flexible, generates job insecurity, has job instability, and leads to an increase in the inequality gaps in the country.”
Paula Aliaga added that Peru’s labour relations system is one in which “the employer’s free exercise of managerial power to set workers’ wages prevails.”
“Countries joining the OECD must respect the right of workers to organise and engage in collective bargaining and promote decent pay and good working conditions. The OECD must make implementation of fundamental labour rights and the existence of a well-functioning system of industrial relations key focus points in the accession decisions.”
‘’This applies not only to Peru but also to Indonesia, Thailand and any other country that wants to join the OECD.”
TUAC has already presented the OECD with a list of the most important reforms needed for Peru to join the OECD including guaranteeing the effective exercise of fundamental labour rights; labour clauses in public procurement, investment and concession policy, limiting or excluding businesses that violate fundamental labour rights; and the introduction of multi-employer collective bargaining.
This was drawn up after consulting with Peruvian trade union confederations Central Unitaria de Trabajadores del Peru (CUT) and the Central Autonoma de Trabajdores del Peru (CATP).
TUAC has also done similar reports for Bulgaria, Croatia and Romania and will follow up with reports on Argentina, Indonesia and Thailand in due course, and after consulting unions in those countries.
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TUAC’s view on OECD accession
