Direct Request (CEACR) - adopted 2022, published 111st ILC session (2023)

Equal Remuneration Convention, 1951 (No. 100) - Panama (Ratification: 1958)

The Committee notes the observations of the National Confederation of United Independent Unions (CONUSI), received on 30 August 2021. The Committee also notes the Government’s response.

Impact of the COVID-19 pandemic. In its observations, CONUSI indicates that many Panamanian women workers have been greatly affected by the pandemic, being subjected to dismissals and violations of rights such as reductions in pay. CONUSI considers that in 2021 the gender pay gap and gender-related occupational segregation have worsened. The Committee notes that the Government indicates, in its reply to CONUSI’s observations, that during the pandemic the Plan of Action of the Gender Parity Initiative (IPG Panamá) produced several documents on the situation of women and the measures to address the impact of the pandemic on women. The Committee notes the Government’s indication in its report that the Ministry of Labour and Employment Development (Ministry of Labour) has measured the impact of the pandemic on the participation of women in employment, with the aim of seeking strategies to promote the stability of women in different jobs at all levels and with equal pay, and to reduce the pay gap during the time of pandemic. The Committee requests the Government to provide detailed information on the impact of the pandemic on women’s employment and conditions of work (and also statistics on the number of dismissals and reductions in pay resulting from the crisis, disaggregated by sex). The Committee also refers to its comments on this subject relating to the Discrimination (Employment and Occupation) Convention, 1958 (No. 111).

Articles 1 and 2 of the Convention. Wage gap and occupational segregation. The Committee notes the Government’s indication, in reply to its request for information on the evolution of the wage gap and the specific vocational training measures for women, that it is continuing its efforts to overcome the gaps indicated and refers to: (1) the implementation of the project, supported by the United Nations Development Programme (UNDP), on “Employment equality in Panama: Support for the implementation of the institutional equality plan and gender equality seal in enterprises”; (2) the “INAMU (National Women’s Institute) in your community” programme, which consists of the creation of networks of women promoting the empowerment and economic autonomy of women; and (3) the Mujer cambia tu vida programme, which includes the development of training projects in traditional and non-traditional occupations which promote and strengthen the empowerment and development of the entrepreneurship of rural women. The Committee takes note of the statistics sent by the Government showing, for 2019, that the median wage was 721.70 Panamanian balboas (PAB) for women and PAB722.10 for men. The Committee also observes that according to such statistics, women have a higher median wage than men in 10 out of 19 economic activities (for instance, in construction, agriculture, and entertainment). The Committee nonetheless notes that data disaggregated by occupation shows that women earn a lower median wage than men in all occupations, particularly women agricultural workers and women who are artisans or construction workers. While noting the efforts of the government to provide statistical information, the Committee observes that such data does not enable the Committee to draw any definitive conclusions regarding such differences in the median wage between women and men. For instance, it does not show if women earn more in specific sectors because they occupy jobs with a higher remuneration, if the statistical samples are representative of the sector, or if women are more present in sectors where their median wage is higher than men’s.

With regard to the impact of the “Plan of Action for equal opportunities for women (PPIOM) 2016–19” on reducing the gender-related wage gap and occupational segregation, the Committee notes the detailed information provided by the Government on the various actions implemented, including: (1) the fact that Panama was the first country in Latin America to join the Equal Pay International Coalition (EPIC), carrying out a pilot study free of gender bias in this context in 2018 with ILO technical assistance and implementing an EPIC National Plan; (2) the periodic production of Clara González national reports on the situation of women in Panama including systematic information on the situation and condition of women; (3) the adoption of Act No. 7 of 14 February 2018 adopting measures to prevent, prohibit and penalize discriminatory acts; (4) the adoption of Decree 241-A of 11 July 2018, regulating Act No. 56 of 11 July 2017, establishing that in the course of three years the number of women in decision-making positions in public and private entities has increased by at least 30 per cent; (5) the reinforcement of the network of public and civil entities producing and using statistical information with respect to gender mainstreaming in national statistics; (6) the IPG Panamá a public-private partnership model for promoting strategies to close gender gaps in the labour market and presenting proposals to the Government’s committee for economic recovery in the wake of the health crisis; and (7) the revival of the Gender Equality Committee at the Ministry of Labour in 2021. The Government also provides detailed information on the gender equality seal for private enterprises and the public sector and provides the list of certified enterprises and institutions. In its observations, CONUSI considers that the Government does not present any new data or information in its report that can demonstrate the concrete positive impact of the implementation of the PPIOM 2016–19 on reducing the wage gap. The Government indicates, in reply to these observations, that the “Network of public and civil entities that use and produce statistics for the introduction of a gender perspective in national statistics” has made progress in the validation and update of indicators for gender equality and in the ratification of a work plan. It also adds that under IPG Panamá 93 activities were carried out, impacting more than 3,500 women and 3,000 organizations. In this regard, the Committee recalls that it is essential to have appropriate data and statistics in order to set priorities and design appropriate measures, to monitor and evaluate the impact of such measures, and make any necessary adjustments (see 2012 General Survey on the fundamental Conventions, paragraph 891). The Committee notes the Government’s efforts to develop programmes aimed at reducing the gender wage gap. The Committee requests the Government to compile and communicate information on:

• (i)the impact of measures adopted in relation to the gender wage gap and to increase the diversity of occupations for men and women, and
• (ii)statistics disaggregated by sex on the distribution of men and women in the different sectors and occupations and their respective levels of pay.

Article 2(2)(b). Minimum wage. The Committee welcomes the Government’s indication that a reference to the principle of the Convention was included in the preamble of the Minimum Wage Executive Decree (No. 424 of 31 December 2019). It also indicates that the Decree is applied in accordance with article 67 of the Constitution and section 10 of the Labour Code, which guarantee the principle of wage equality. In its observations, CONUSI indicates that this principle is not taken into consideration when establishing minimum wage rates by activities, which depend on criteria such as geographical areas or regions and the size of enterprises. The Committee notes that, in certain sectors that are traditionally considered “female”, such as education, social or health services, lower minimum wage rates are applied than in sectors traditionally considered “male”, such as construction (PAB3.24 and 3.05 per hour in construction; PAB2.88 and 2.34 per hour in education; and PAB2.94 and 2.40 per hour in social and health services). In this regard, the Committee recalls the importance of ensuring that in minimum wage schemes certain skills considered to be “female” are not undervalued or even overlooked, in comparison with traditionally “male” skills (see 2012 General Survey, paragraph 706). The Committee therefore requests the Government to provide information on the measures taken or contemplated to ensure that the setting of minimum wage rates is free from gender bias in order to ensure that the principle of equal remuneration for men and women for work of equal value is fully applied when fixing minimum wage rates.

Articles 2(2)(c) and 4. Collective agreements and cooperation with workers’ and employers’ organizations. The Committee takes note of the data provided by the Government on the seminars held by the Panamanian Institute of Labour Studies in relation to collective bargaining. It notes that no information is provided on collective agreements that take account of the principle of the Convention. CONUSI indicates in its observations that it is unaware of the existence, among the Ministry of Labour’s training plans and programmes or in the context of its role as a mediator in collective negotiations, of measures that promote the inclusion in collective agreements of clauses containing the principle of equal pay for men and women for work of equal value. The Committee requests the Government to provide information on:

• (i)the specific measures taken to promote the inclusion of clauses concerning the principle of the Convention in collective agreements; and
• (ii)any collective agreement concluded which addresses this principle.

Enforcement. Labour inspection. The Government indicates that labour inspectors have not been given training exclusively on the principle of the Convention but that the subject is covered in training on gender equality. It also indicates that the labour inspection training centre is carrying out the relevant coordination with the Gender and Equal Opportunities Office and with the Panamanian Institute of Labour Studies to develop training programmes on equal pay and non-discrimination at work. As regards inspection activities, the Government indicates that there is no evidence in inspection report records of non-compliance with the Convention or complaints regarding pay inequalities. In its observations, CONUSI expresses regret that there is no training programme for labour inspectors aimed at effective monitoring of the principle of the Convention and points out that the fact that there is no evidence of non-compliance with the Convention or complaints regarding pay inequalities shows that the work of labour inspectors is not designed or implemented with the aim of securing compliance with the Convention. The Committee emphasizes that the absence of complaints does not necessarily mean that pay discrimination does not exist; rather, it might reflect the lack of an appropriate legal framework and lack of capacity in labour inspection, whose primary duty should be the monitoring of the relevant provisions. The Committee requests the Government to provide information on any measures taken or envisaged to improve the capacity of labour inspectors and other public officials to identify and process cases of pay inequality and to examine whether substantive and procedural provisions enable, in practice, the presentation of complaints in this regard and follow-up action on them.