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

Right to Organise and Collective Bargaining Convention, 1949 (No. 98) - Panama (Ratification: 1966)

The Committee notes the observations of the National Confederation of United Independent Unions (CONUSI) received on 31 August 2022, containing allegations of violations of freedom of association and collective bargaining, including non-compliance with the collective agreement signed by the Ships’ Deck Officers and Pilots (UCOC) and the Panama Canal Administration, and anti-union practices, bad faith in collective bargaining, interference and persecution of trade union leaders and trade union members in enterprises in the electricity industry, in the public sector and other sectors, as well as other issues examined in this comment. The Committee also notes the observations of the National Council of Organized Workers (CONATO) received on 6 September 2022 containing allegations of obstacles to freedom of association and collective bargaining, including the prolongation of collective bargaining processes and the adoption of unilateral measures by the Government since the beginning of the COVID-19 pandemic. The Committee takes note of the Government’s reply to the observations of the CONUSI and the CONATO, received on 6 December 2022, which it will take into consideration at its next examination of the application of the Convention in Panama.

The Committee notes the Government’s comments and the detailed observations of CONUSI with respect to Cases Nos 3317, 3319 and 3377 which are pending before the Committee on Freedom of Association, and Case No. 3328 which was examined and closed by the Committee on Freedom of Association.

Tripartite committees. The Committee notes the Government’s information regarding the functioning of the committees which form part of the Panama tripartite agreement of 2012, and which benefit from the technical assistance of the ILO: the Compliance Committee and the Committee for the Rapid Handling of Complaints relating to Freedom of Association and Collective Bargaining (the Complaints Committee). The Committee notes the Government’s comments that: (i) due to the COVID-19 pandemic, the committees’ functioning has been suspended since March 2020; and (ii) due to the lack of a statutory quorum, it has not been possible to reactivate the functioning of the tripartite committees even though the Ministry of Labour and Labour Development has called meetings. In its examination of the application of the Freedom of Association and Protection of the Right to Organise Convention, 1948 (No. 87), the Committee noted the reasons cited by the Government for the challenges to reactivating the functioning of the tripartite committees, including a dispute among trade unions. In addition, the Committee notes the observations of CONUSI, which alleges that such disputes have been generated by governmental policies that have been more favourable to other trade union organizations. Recalling the fundamental role that the two committees have played and should be able to continue to play in strengthening collective labour relations and achieving full application of the Convention, the Committee urges the Government to, in consultation with the social partners and with the continued technical support of the Office, take the necessary steps to review the policies applicable to the representation of the various trade union organizations on the tripartite committees with a view to reactivating their functioning in the near future. It also reiterates its invitation to the various state authorities to take duly into account the decisions of the committees in question. The Committee requests the Government to provide information in this respect.

Article 1 of the Convention. Adequate protection against anti-union discrimination. The Committee recalls that in its previous comments it noted that a number of trade union leaders in the public sector whose reinstatement had been recommended by the Complaints Committee had yet to be reinstated. The Committee notes the Government’s indication that of the 45 cases before the Complaints Committee concerning the reinstatement of trade union leaders: (i) five of them have been closed further to reinstatements and payment for lost wages; and (ii) in the remaining cases, some workers have already been reinstated or reassigned but there have been no payments for lost wages, with the exception of the workers of the Panama Fire Brigade. The Committee notes the Government’s indication that: (i) the payment of lost wages is the subject of legal debate within the Government; (ii) various institutions have not provided information or have refused to follow up on the recommendations of the Complaints Committee; (iii) in some cases, the bodies are waiting for information from trade union organizations; and (iv) further progress is expected once the Higher Labour Council is established. In this respect, the Committee notes the Government’s information with regard to Convention No. 87 that there are plans for the discussion in the National Assembly of a Bill on the establishment of this Council as of July 2022. The Committee once again requests the Government to take the necessary measures to ensure that all the trade union leaders referred to in Agreement No. 4 of the Complaints Committee are reinstated in their jobs as soon as possible and that the reinstatement complies with the terms of the Agreement.

Articles 4 and 6. Right to collective bargaining. Pending legislative issues. The Committee was expecting the adoption, as soon as possible, of the preliminary Bill regulating collective labour relations in the public sector, harmonizing national legislation with the Convention and addressing the following pending legislative issues:

• –the payment of wages for strike days attributable to the employer to be a matter for collective bargaining and not imposed by law (section 514 of the Labour Code);
• –the requirement for the number of representatives of the parties in negotiation to be between two and five (section 427 of the Labour Code);
• –the regulation of mechanisms for the settlement of legal disputes, and the possibility for employers to submit lists of demands and initiate a conciliation procedure; and
• –the guarantee of the right to collective bargaining for public employees and public servants who are not engaged in the administration of the State.

The Committee notes with regret the information provided by the Government that it was not possible to advance in the National Assembly with the Bill on collective labour relations in the public sector owing to the political agenda of groups of legislators and the opposition of some trade union organizations, which had already been part of the consensus on the Bill, thereby making it necessary to resubmit a Bill for consideration by the National Assembly. In addition, the Committee welcomes the Government’s information relating to the conclusion of the first collective agreement in the public sector (excluding those of the Panama Canal Authority) in June 2019 between the University of Panama and the National Union of Workers of the University of Panama (SINTUP), even though the legislative measures on this matter have not yet been adopted. The Committee notes that the Government trusts that once the Higher Labour Council is established and operational, more favourable conditions will be created to move forward with the adoption of necessary reforms and legislation in order to resolve the pending legislative issues. The Committee urges the Government to, without delay and in consultation with the social partners, take measures to harmonize the legislation with the Convention, including the adoption of legislation on collective labour relations in the public sector and the pending legislative issues relating to the Labour Code. The Committee requests the Government to provide information on the progress made in this respect and reminds it that it may avail itself of the technical assistance of the Office.

Application of the Convention in practice.Collective bargaining in the maritime sector. The Committee previously requested the Government to report on the number of collective agreements concluded in the maritime sector. The Committee notes the Government’s information that the collective agreements in question fall within the activity of “transport, storage and postage”, in line with the corresponding statistical classification. The Committee notes that 280 collective agreements were concluded from March 2018 to 2022, covering a total of 180,532 workers in that period. The Committee notes that of the agreements mentioned, 33 relate to the activity of “transport, storage and postage”, but that it is not possible to identify the ones that relate specifically to the maritime sector. In the light of the foregoing, the Committee requests the Government to continue to provide statistical information relating to the number of collective agreements concluded in the country, including the sectors of activity and the number of workers covered, and identifying those that relate specifically to the maritime sector.