Direct Request (CEACR) - adopted 2020, published 109th ILC session (2021)

Equal Remuneration Convention, 1951 (No. 100) - Lao People's Democratic Republic (Ratification: 2008)

Article 1(a) of the Convention. Definition of remuneration.  In its previous comments, the Committee asked the Government to clarify whether the terms “wages or salary” in section 96 of the Labour Law, 2014. and the term “remuneration” in section 15 of the Law on the Development and Protection of Women, 2004 (LDPW), include the ordinary, basic or minimum wage or salary, as well as any additional emoluments whatsoever payable directly or indirectly whether in cash or kind, as indicated in the Convention. The Committee notes with regret that in its report the Government once again fails to provide a clear answer to the request and merely declares that the terms “wages and salary” in section 96 of the Labour Law and the term “remuneration” in section 15 of the LDPW have the same meaning in Lao, but does not clarify whether they include all the elements of remuneration, or are to be interpreted more narrowly. The Committee once again draws the Government’s attention to the fact that the broad definition of remuneration set out in Article 1(a) of the Convention captures all elements that a worker may receive for his or her work, including payments in cash as well as in kind, and payments made directly or indirectly by the employer to the worker which arise out of the worker’s employment. The Committee therefore urges the Government to clarify whether in Lao the terms “wages and salary” in section 96 of the Labour Law and “remuneration” in section 15 of the LDPW include the ordinary, basic or minimum wage or salary, as well as any additional emoluments whatsoever payable directly or indirectly, whether in cash or in kind.

Article 1(b). Work of equal value. Legislation.  The Committee previously asked the Government to provide information on the practical application of section 15 of the LDWP (equal remuneration and benefits for women and men who have the same position, task, work or responsibility) and section 96 of the Labour Law (which no longer refers to “work of equal value”) in the case of jobs of an entirely different nature involving different positions, tasks, work and responsibility, but which are nevertheless of equal value. The Committee notes the Government’s general statement that, with respect to section 96, it is possible to bring a claim for a violation of equal remuneration for work of equal value, but that no case has been recorded by the courts. In this regard, the Committee once again recalls that only providing for equal salaries or wages between men and women generally may not be sufficient to give effect to the Convention, as it does not capture the concept of “work of equal value”. The Committee recalls that the concept of work of equal value set out in the Convention permits a broad scope of comparison including, but going beyond equal remuneration for “equal”, “the same” or “similar” work, and also encompasses work that is of an entirely different nature, but which is nevertheless of equal value. Moreover, the application of the Convention is not limited to comparisons between men and women in the “same labour unit” and allows for a much broader comparison to be made between jobs performed by men and women in different places or enterprises, or between different employers. Finally, the Committee recalls that once the area of wages becomes a matter for legislation, full legislative expression should be given to the principle of the Convention (2012 General Survey on the fundamental Conventions, paragraphs 673, 678 and 697). The Committee therefore asks the Government to consider the possibility of amending the wording of section 96 of the Labour Law and section 15 of the LDWP so as to give full legislative expression to the principle of equal remuneration for work of equal value. In the meantime, it asks the Government to indicate how it is ensured that the application of the legislation in practice permits the comparison of work which is overall of equal value based on a range of factors and allows for broad comparisons between jobs performed by men and women in different labour units, enterprises or for different employers.

Article 2(1). Scope of application. Public sector.  Recalling that the right to equal remuneration for men and women for work of equal value is not set out in the Governmental Decree on Public Servants No. 82/PM of 2003, the Committee previously asked the Government to provide information on the measures taken or envisaged to ensure that equal remuneration for men and women for work of equal value is applied in practice for public servants. The Committee notes the Government’s statement that sections 87(13) and 88(8) of Governmental Law on Public Servants No.74/NA, dated 18 December 2015, allow claims by civil servants regarding equal remuneration for work of equal value. The Committee asks the Government to provide a copy of Governmental Law on Public Servants No.74/NA, 18 December 2015, and to provide information on the application in practice of sections 87(13) and 88(8), including on successful claims brought by public servants with regard to unequal pay for men and women for work of equal value. Noting the Government’s indication that it does not currently collect information on the distribution of men and women in the different posts of the public service and their corresponding earnings levels, the Committee encourages the Government to take steps to collect such information when updating the Labour Force Survey and to provide its findings in its next report.

Private sector.  The Committee previously requested the Government to clarify how the principle of the Convention, as set out in the Labour Law, is applied to “household workers”, as the Law simply provides that they must “comply with the working contract” (section 6(3)). The Committee takes note of the Government’s indication that the legislation regarding household workers will be reviewed and that it is currently working on a Minister’s Decision on the Management of Domestic Workers which will ensure that the principle of the Convention also applies to domestic workers.  The Committee asks the Government to ensure that the principle of equal remuneration for men and women for work of equal value also applies to household workers. It also asks the Government to provide information on the progress made in the adoption of the draft Minister’s Decision on the Management of Domestic Workers and to provide a copy once adopted.

Article 2(2)(b). Wage determination and minimum wage.  In its previous comments, the Committee noted that, pursuant to section 108 of the Labour Law, the State is responsible for determining the levels of the minimum wage based on consultations, and that a “minimum wage can be determined for each sector”. It asked the Government to indicate the methods and criteria used for setting sectoral and industry-based minimum wages and how it is ensured that minimum wages in female-dominated occupations or sectors, such as the garment industry, are not set below the rates applying to male-dominated occupations or sectors involving work of equal value. The Committee notes the Government’s indication that, following consultation with the social partners, minimum wages are set according to living conditions, such as the price of food, clothes, shelter and health care, as well as trends in economic growth. It also notes the Government’s very general declaration that labour inspectors are responsible for ensuring that minimum wages are set in a manner that does not undervalue female-dominated occupations. The Committee wishes to recall that, where minimum wages are set at the sectoral level, there is a tendency to set lower wages for sectors predominantly employing women, and that due to such occupational segregation, special attention is needed in the design or adjustment of sectoral minimum wage schemes to ensure that the rates fixed are free from gender bias, and in particular that certain skills considered to be “female” are not undervalued. The Committee also recalls that the mere fact that the Government states that labour inspectors when determining the minimum wage do not make a distinction between men and women is not sufficient to ensure that there is no gender bias in the process (2012 General Survey, paragraph 683). The Committee also notes, from the Labour Force Survey 2017, that in sectors employing a majority of men, such as mining, the median monthly salaries are significantly higher than in sectors employing a majority of women, such as accommodation and food service activities. It further notes that it is in the mining sector that the gender pay gap is the highest at 33 per cent. The Committee therefore asks the Government to ensure that minimum wage rates are fixed on the basis of objective criteria, free from gender bias, and to ensure that the work in sectors with a high proportion of women, including the garment and service industries, is not undervalued in comparison with sectors in which men are predominantly employed. In order to assess whether the principle of the Convention is respected, the Committee asks the Government to indicate the method and criteria used for setting sectoral and industry-based minimum wages. Noting the lack of information in this regard, the Committee also asks the Government to provide information on the practical application of the Decree on minimum wages for workers in business enterprises, manufacturing and services sectors.

Article 3. Objective job evaluation.  Noting the Government’s indication in reply to its previous comment that it has not established any method of objective job evaluation, the Committee once again recalls that the concept of equal value enshrined in the Convention requires some method of measuring and comparing the relative value of different jobs. There needs to be an examination of the respective tasks involved, undertaken on the basis of entirely objective and non-discriminatory criteria to avoid the assessment being tainted by gender bias. Article 3 of the Convention presupposes the use of appropriate techniques for objective job evaluation, comparing factors such as skill, effort, responsibilities and working conditions (see the 2012 General Survey, paragraph 695).  The Committee once again asks the Government to take the necessary measures, in cooperation with employers’ and workers’ organizations, to promote objective job evaluation methods free from gender bias, in the public and private sectors, such as: (i) identifying and eliminating the influence of stereotypes and prejudices with regard to women’s work which cause predominantly female jobs to be undervalued; and (ii) identifying traditional job evaluation methods designed on the basis of the requirements of male-dominated jobs in order to adopt gender neutral evaluation methods instead. The Government is asked to provide information on any progress achieved in this regard.

Article 4. Cooperation with the social partners.  With reference to its previous comments, the Committee notes the Government’s statement that collective agreements are not registered in any labour administration agency and therefore the Government cannot provide information on how collective bargaining gives effect to the principle of the Convention, as set out in section 170 of the Labour Law. In this regard, the Committee recalls that governments should take the necessary steps, in cooperation with the social partners, to ensure that provisions of collective agreements observe the principle of equal remuneration for men and women for work of equal value (2012 General Survey, paragraph 680). The Committee therefore asks the Government to take steps, in cooperation with employers’ and workers’ organizations, to ensure that collective agreements observe the principal of equal remuneration for men and women for work of equal value.

Enforcement. The Government states that the courts and labour inspectors have not registered any case of violation of section 15 of the LDPW or section 96 of the Labour Law. In this regard, the Committee refers to its direct request on the implementation of the Discrimination (Employment and Occupation) Convention, 1958 (No. 111).  Noting the absence of information communicated, the Committee once again asks the Government to provide specific information on any steps taken to raise awareness among workers, employers and their respective organizations and to engage in the capacity building of judges and the labour inspectorate on the application of the principle of the Convention. The Committee asks the Government to provide information on any court or administrative decisions regarding the application of section 15 of the LDPW and section 96 of the Labour Law, as well as information on any violations recorded by the labour inspectorate.

Statistical data.  The Committee previously noted that, in accordance with section 156(5) of the Labour Law, the Ministry of Labour and Social Welfare is responsible for conducting research on labour and collecting statistics and information on the labour market, but that the Government has not collected statistics on the respective earnings levels of men and women in the different sectors of the economy and in different occupations. It requested the Government to make the necessary efforts to collect and analyse sex-disaggregated data on the remuneration levels in the various industries, in the public and private sectors, and for the different occupational categories. The Committee notes with interest that a Labour Force Survey was undertaken in 2017. It notes that the labour participation rate of men was 45.2 per cent compared to 36.5 per cent for women, and that women are more likely than men to be outside the labour force for family-related reasons. The Committee asks the Government to ensure that the Labour Force Survey 2017 is updated on a regular basis. The Government is asked to provide information on the distribution of men and women and their respective remuneration levels, in the various industries, in the public and private sectors, and in the different occupational categories. The Committee also asks the Government to provide information on the measures taken to address effectively discrimination and unequal pay, including its underlying causes, and to assess whether the measures taken are having a positive impact.