Observation (CEACR) - adopted 2016, published 106th ILC session (2017)

Protection of Wages Convention, 1949 (No. 95) - Iran (Islamic Republic of) (Ratification: 1972)

The Committee notes the observations of the International Trade Union Confederation (ITUC), received on 1 September 2016, by which it alleges that, according to the Labour Department statistics, 752,856 complaints have been filed from March 2015 to March 2016, including 555,755 wage disputes. The ITUC also specifies that the said figures under-represent the actual entity of the issue, since many workers do not complain out of fear of being dismissed. The Committee requests the Government to provide its comments in this respect.

Article 11 of the Convention. Wages as privileged debts. The Committee previously noted the observations made in 2014 by the ITUC, alleging that an amendment had been proposed to section 37 of the Labour Code – which stipulates that workers shall be paid regularly and in full on a biweekly or monthly basis – that would result in the unpaid wages no longer being categorized as preferred debt. In this connection, the Committee notes that the Government indicates in its report that the amendment referred to by the ITUC has not yet been approved and that, should it come into force, more appropriate legal instruments would be provided on a tripartite basis and under the supervision of the Supreme Labour Council in order to protect the workers’ right to be compensated. The Committee recalls that Article 11 of the Convention provides that, in the event of bankruptcy or judicial liquidation of an undertaking, the workers employed therein shall be treated as privileged creditors.

Article 12. Payment of wages at regular intervals. The wage arrears situation. In its observations made in 2014, the ITUC had alleged that more than 1 million workers were not paid on time – according to multiple media reports – and that some employers did not pay the wages for as long as five years, making it impossible for the workers to afford the bare necessities of life. In this respect, the Committee notes the Government’s statement that the media may reflect the news on the basis of undocumented and inaccurate data sources and, consequently, some of the numbers and figures provided by the ITUC are considered to be unreliable. Furthermore, the Government indicates that several measures have been taken in order to tackle the wage arrears situation in the country, such as: (i) the creation of the Supreme Economic Council and national taskforce, with the aim of monitoring economic development and production promotion; and (ii) the granting of low interest banking facilities to enterprises facing production and economic difficulties, provided that unpaid wages are prioritized.

Furthermore, the Committee requested the Government to take measures to improve the system of data collection in order to better cope with the wage arrears crisis. The Committee notes the Government’s reference to the troubled units identification software, which aims at identifying, monitoring and collecting information of enterprises that face economic disruption and/or non-payment of workers’ legal claims and entitlements. The Committee also notes that the Government reiterates its wish to avail itself of the technical assistance of the International Labour Office for the purpose of implementing the Convention. The Committee hopes that the technical assistance required would be provided in the near future. The Committee requests the Government to take all the necessary measures to ensure that wages are paid at regular intervals.