Direct Request (CEACR) - adopted 2011, published 101st ILC session (2012)

Minimum Wage Fixing Convention, 1970 (No. 131) - Chile (Ratification: 1999)

Article 1(3) of the Convention. Categories of wage earners excluded from minimum wage coverage. The Committee notes the adoption of Act No. 20.524 fixing as from 1 July 2011 the national minimum wage (IMM) at 172,000 Chilean pesos (CLP) (approximately US$345) a month for workers aged between 18 and 65 years of age and CLP128,402 (approximately US$260) a month for workers under 18 or over 65 years of age. In addition, the Committee notes with interest the Government’s statement that, as from 1 March 2011, the IMM applies to domestic workers. The Committee recalls, in this respect, the recently adopted Domestic Workers Convention, 2011 (No. 189), in particular Article 11, which requires member States to take measures to ensure that domestic workers enjoy minimum wage coverage.

Article 2(1). Differentiated minimum wage based on age. The Committee notes the Government’s indication that the lower minimum wage rates applicable to young workers under 18 years of age and senior workers above 65 years of age are seeking to give an incentive and therefore promote the employment of these categories of workers. The Committee also notes, however, that in its final report published in June 2010 (p. 59), the Advisory Committee on Labour and the Minimum Wage expressed doubts as to the effectiveness of the policy of differentiated minimum wages on the basis of age. The Committee is bound to recall, in this respect, that although the Convention does not prohibit the fixing of lower minimum wage rates for workers on the basis of their age or disability, protective clauses should be adopted to guarantee them equal remuneration to that of other workers, provided that they perform work of a similar nature and meet the same requirements as to quantity and quality of work. The Committee therefore requests the Government to provide information on the measures taken or envisaged in order to ensure that the principle of equal remuneration for work of equal value is fully respected.

Article 3. Criteria for determining the level of the minimum wage. The Committee notes the Government’s indication that there are no legal provisions specifying the elements to be taken into consideration in establishing or readjusting minimum wage levels. The Committee notes also the recommendations of the Advisory Committee on Labour and the Minimum Wage according to which there is need to better evaluate indicators such as inflation, productivity, employment and poverty with a view to defining an appropriate minimum wage policy. In addition, the Advisory Committee suggests specific modifications to the existing minimum wage-fixing process. Furthermore, the Advisory Committee points at the insufficiency of the minimum wage to cover the basic needs of a representative household of 4.5 persons. Recalling that the Convention requires not only the basic needs of the workers but also those of their families to be taken into consideration as far as possible and appropriate in relation to national practice and conditions, the Committee requests the Government to provide information on any further developments following up on the recommendations of the Advisory Committee on Labour and the Minimum Wage.

Article 4. Consultations with social partners. Further to its previous comment, the Committee notes the Government’s indication that on the occasion of the annual review of the national minimum wage a Tripartite Committee is convened with the direct participation of the most representative employers’ and workers’ organizations. The Committee requests the Government to provide full particulars on the composition and mandate of the Tripartite Committee, and to transmit a copy of the legal text regulating its operation.

Part V of the report form. Practical application. The Committee notes the statistical information provided by the Government concerning the number of infringements of the minimum wage legislation recorded in the period 2007–11 and the sanctions imposed. The Committee would be grateful if the Government would continue to provide up-to-date information on the manner in which the Convention is applied in practice, including the approximate number of workers remunerated at the minimum wage rate, inspection results and copies of official publications on issues related to minimum wage policy.