Better Work Indonesia: 3rd Compliance Synthesis Report

2 Dec 2013

Better Work Indonesia

Initial assessment results highlighted the following:

In the areas of core labour standards:

♦ Child Labour: There were three findings under the child labour cluster related to employers not having a system in place to verify the age of workers prior to hiring.

♦ Discrimination: With respect to discrimination, most factories (92%) are non-compliant in this cluster due to not recruiting at least 1% of their workers being people with disabilities.

♦ Forced Labour: No factory was non-compliant with respect to forced labour. The main noncompliance findings with respect to collective bargaining (55%) was that workers were not informed about the contents of the agreements, employers do not implement the agreement and/or the agreement had conditions that were less favourable than the law.

♦ Compensation: Incorrect overtime payment (78%) and insufficient social security benefits (60%) were the main areas of non-compliance with respect to remuneration.

♦ Contract and Human Resources: Findings of subcontractors and workers not receiving contracts (88%) and weak bipartite committees (85%) reflect poor contracting procedures and a lack of commitment to engage in social dialogue.

♦ Sexual Harassment: Of significant concern was that in eight factories, workers raised concerns about harassment, sexual harassment and bullying in the workplace.

OSH: Most factories continue to be non-compliant with respect to OSH, with all factories not being fully prepared for an emergency.

Compliance synthesis reports for each of its country programmes, presenting analysis of non-compliance at the aggregate level. The goal of these reports is to provide transparent information for all programme stakeholders regarding working conditions in the factories participating in the programme.

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