In 2012, the Indonesian government increased minimum wages across the country. These increases range from three to 30 percent, depending on the province, with the most significant change seen in Kota Tangerang and Kabupaten Tangerang: 30.39 percent and 30.93 percent, respectively.
Protection contracts – the practice of official unions or corrupt lawyers negotiating a union contract without the knowledge of workers – is a common practice endorsed by some companies operating in Mexico in order to limit workers’ rights to freedom of association and collective bargaining. These contracts tend to exist only on paper, and workers are typically not informed of the agreement and are unaware of their collective bargaining rights.
From fibre2fashion: The American Apparel & Footwear Association (AAFA), along with the Fair Labor Association (FLA), the Ethical Trading Initiative, and a broad range of apparel and footwear brands and retailers sent a letter to Cambodia’s Minister of Commerce H. E. Cham Prasidh expressing concern over recent violent unrest that continues to plague Cambodia.
Representatives of major brands, the Chinese Government, and the Fair Labor Association (FLA) gathered in Beijing on January 8 to discuss a new book examining wage trends at the global level. The book, Fair Wages – Strengthening Corporate Social Responsibility, sheds light on wage inequalities and unfairness facing workers around the world. It was authored by Dr. Daniel Vaughan-Whitehead, professor of corporate social responsibility at Sciences Po in Paris, who is responsible for wage practices at the International Labour Organization (ILO).
Many countries have adopted plans designed to help their economies recover from the global financial crisis. Unfortunately, those have mostly concentrated on saving banks and companies on the one hand, and on stimulating consumption on the other. Amazingly, there has been relatively little emphasis on the labor market policies needed to save jobs and protect wages. One wonders who is meant to do all the consuming if unemployment keeps rising and wages keep falling (at least in real terms)?
In a nutshell
China has been through 30 years of unbridled growth based on its low-cost labor market structure. During this period, the state’s priority was employment creation. The laws and regulations issued were intended to support the low value-added processing industries that were flourishing at the time, but they were poorly enforced and created an unstable labor supply.