ILO WTO and Indian Industrial Relation

ILO, WTO & Indian Industrial Relations
Author(s): John Koti and D. Janaki

Source: Indian Journal of Industrial Relations , January 2016, Vol. 51, No. 3 (January
2016), pp. 371-385
Published by: Shri Ram Centre for Industrial Relations and Human Resources
Stable URL: https://www.jstor.org/stable/43974551
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John Koti & D. Janaki
Introduction
Industrial relations are about people

in the world of work. The Labor Dic-
tionary (1949) defines industrial rela-
Today most of the industries are tions as the relations between employ-
going global and most of the com- ers and employees in industry. Accord-
panies are MNCs. All these com- ing to Dale Yoder "industrial relations de-
panies have to deal with differ- scribe the relationship between manage-
ent countries, cultures and be-
ment and employees or among employ-
liefs. The companies face various ees and their organizations that catego-
road blocks in trade like unions,
rize or grow out of employment
regional barriers, legal systems (Herberth G Henrman, 1949). The In-
etc. Outsiders are treated as a ternational Institute of Labor Studies has
problem and considered as aliens defined it as "social relations in produc-
who are out to ruin the locals'
tion'VmjLS Bulletin, 1972). Dunlop
prospects. This paper provides (1 958) considered industrial relations as
insights into the role of ILO ina complex of interrelationships among
promoting labor standards andmanagers, workers or their organiza-
also the extent to which the WTO
tions and government agencies. Thèse
seeks to establish trade policy actors combine to create a complex of
rules that help to expand trade rules and practices, which ensure that
and improve world living stan-they function together without constant
dards. conflict.
Industrial relations can be defined

as the relations between management
and union or between representatives of
employers and employees. In the past
K. John (e-mail: dr.johnkoti@gmail.com.) &
during the era of artisan guilds the scale
D. Janaki (e-mail: djanaki20@gmail.com) are Head
and size of operations were small and
and Research Scholar respectively in the Department
of Human Resource Management, Andhra relations were too simple and direct,
University, Visakhapatnam, 530003 which is quite in contrast with the mod-
The Indian Journal of Industrial Relation *, 'Vol. 51, No. 3, January 2016 371

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ern day complexities in the legal frame-• rising a typical and non-standard
work institutions and the governing in- forms of employment;
dustrial relations. Industrial relations are
• changes in work content and work-
primarily based on individual perceptions
ing conditions;
of what is right in respect of 'fairness'
and the exercise of 'power' and 'au-• Skills mismatch, multi-skilling and the
thority'. Initially industrial relations were need for lifelong learning.
influenced by the conditions prevalent
in the post-industrial revolution scenario.It is here that two most important
Later, changes caused by the develop- international organizations come into
ments in the IT revolution, rapid tech- focus to protect the growing threat to
nological changes and globalization pro-the way of globalization towards labor
vided new opportunities and tangible and their problems. One of them is In-
benefits for all countries and people. ternational Labor Organization (ILO)
which focuses on labor issues. ILO
Their effects in the past were different
from those occurring now. Earlier labor examines problems of the workers of
was more mobile than capital but nowthe member countries. They are dis-
cussed with international labor confer-
capital has become more mobile than la-
bor. Even now the employer's exploi- ence (a tripartite body of ILO). The
tation of workers continues but the second is the World Trade Organiza-
workers have become 'willing slaves'tion (WTO) whose primary purpose is
to open trade for the benefit of all.
while competing for career advance-
ment and they are even ready to work WTO provides a forum for negotiating
agreements
for long hours. Thus the study on indus- aimed at reducing obstacles
to
trial relations assumes significance for international trade and ensuring a
the following reasons: level playing field for all, thus contrib-
utes to economic growth and develop-
ment.
• Globalization of business and the
pressure on industries to have uni-
versal labor standards. Objectives of the Study
• The need to learn and apply what is• To probe the industrial relations sce-
relevant from the experiences of nario in India
other cultures, countries or continents
(Ratnam, 2010). • To examine the impact of ILO on
Indian industrial relations.
In terms of the labor market, the most
• To study the various conventions and
influential effects of globalization include
the following: recommendations of ILO which pro-
tect the working class in India.
• flexibilization of labor markets; • To analyze the various policies of
• increasing labor migration; WTO to establish best trade prac-
tices across the world.
372 The Indian Journal of Industrial Relations, Vol. 51, No. 3, January 2016

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• To study the role of ILO and WTO

in shaping the industrial relations in The ILO advocates international
India under global scenario. standards as essential for the
eradication of labor conditions in-
Method of Study
volving "injustice, hardship and
privation".
This study is based on the descrip-
tive analysis of the ILO and WTO in re-
value judgments, set forth to protect ba-
lation to Indian industrial relations sys-
sic worker rights, enhance workers' job
tem. The study also focuses on how ILO
security, and improve their terms of em-
and WTO are affecting Indian labor is-
ployment on a global scale. The intent of
sues. It is a content study done on the
such standards, then, is to establish a
basis of the secondary data gathered
worldwide minimum level of protection
from the articles, books and also websites.
from inhumane labor practices through
The main purpose of this research is to
the adoption and implementation of said
describe the state of affairs as they exist
measures. Thus, it is the aim of interna-
at present.
tional labor standards to ensure the pro-
vision of rights in the workplace, such as
International Labor Organization
against workplace aggression, bullying,
discrimination and gender inequality on
The ILO is currently the world's the one hand and on the other working
foremost multilateral labor organization
diversity, workplace democracy and em-
and since its inception it has been the part
powerment. According to the ILO, in-
of the League of Nations in 1919 and ternational labor standards contribute to
later it became an organ of UNO. The
the possibility of lasting peace, help to
ILO has a tripartite structure in which
mitigate potentially adverse effects of in-
member governments, workers, and em-
ternational market competition and help
ployers participate on an equal level. The
the progress of international development
ILO is composed of three main bodies:
the International Labor Conference, the
Governing Body and the International Impact on Industrial Relations in
Labor Office. India
India is a member of the ILO since

The principal means of action in the
ILO is the setting up of international la- its inception and it contributed to a great
bor standards in the form of conventions extent to the labor legislations in India.
and recommendations. The ILO advo- India has adopted many of the conven-
cates international standards as essen- tions and recommendations on interna-
tional standards for improvement in la-
tial for the eradication of labor cond itions
bor conditions, under Article 3 of the con-
involving "injustice, hardship and priva-
tion". International labor standards refer stitution of ILO. So far India has ratified
to conventions agreed upon by interna- 39 out of 1 89 conventions adopted by the
ILO. These ratifications have made In-
tional actors, resulting from a series of
The Indian Journal of Industrial Relations, Vol. 51, No. 3, January 2016 373

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dia obligated to implement the provisions• The tripartite pay commissions and
made by ILO by incorporating the provi- wage boards, all bear the stamp of
sions in labor laws and collective agree- the ILO's methods of consultation
ments. India being a founder and perma- and decision-making (Sen, 2010)
nent member of ILO's Governing body,
India has also availed considerable
it has been deeply involved with not only
technical assistance from the ILO in re-
ILO's labor standards but with the pro-
search and investigation in labor issues,
cesses established by ILO in employment
funding for welfare, safety and health
relations (Sen, 2010). The ILO's influ-
ence on India's labor relations, which projects, as well as elimination of child
labor. Many eminent Indians have served
was established and continues to govern
for extended periods on some of ILO's
employer and employee relations, is
expert bodies and committees.
marked. For instance,
The conventions ratified by India

• The systems of national tripartite
have been incorporated in the labor leg-
consultation were established right
islation. ILO standards have a decisive
from 1 943 in the Indian Labor Con-
ference. impact on the factory, mines, social se-
curity and wage legislation in India. The
• State-wise tripartite consultation wasILO has greatly influenced the trade
established later in the 1960s and union movement in our country. The
1970s but can be seen in the state AITUC formed in 1920, owes with im-
Labor Advisory Committees. mediate origin to the ILO. India's com-
mitment to the ILO is also reflected in
• Drafting committees on legislation or
the institution of tripartism which has been
other decisions are also tripartite in
a medium of resolving labor management
composition. conflict. The ILO conventions have in-
fluenced Indian labor legislation after
• A tripartite committee was set up in
the early years after Independence1947when the Indian National Govern-
ment assumed office at the centre. The
to oversee the incorporation of ILO
conventions and recommendations. Directive Principles of the State Policy
in Articles 34, 41, 42 and 43 of the con-
• The systems of dispute settlement
stitution lay down policy objectives in the
that are established under law (In-
field of labor which are influenced by
dustrial Disputes Act, 1 947), such asILO.
Conciliation and Arbitration (both vol-
untary and compulsory). International Standards & Trade
• The acceptance and encouragement

Labor standards in the World Trade
of collective bargaining in public sec-
Organization are binding rules, which
tor enterprises and the active involve-
ment in several industry - levelform a part of the jurisprudence and prin-
agreements. ciples applied within the rule making in-

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stitutions of the World Trade Organiza- negotiations concerning the controversial

tion (WTO). Labor standards play an issue of "social clause"- the linking of
implicit, but not an overt role within the labor standards with trade liberalization.
WTO. The conventions adopted by the The linking of trade and labor standards
ILO constitute the international labor within WTO was urged most strongly by
standards. Their purpose is to maintain the United States, France, and some other
certain basic minimum standards, world- developed countries, and opposed by a
wide. As a means of reconciling global- substantial number of developing coun-
ization and social justice, efforts are be-tries (and interestingly by United King-
ing made to link international trade with dom). The trade ministers also agreed
the system of Social Clause so that de- that labor standards should not be used
veloping countries do not enjoy the ben- for protectionist purposes and that the
efits of trade liberalization on the basiscomparative advantage of low wage de-
of comparatively low labor cost. veloping countries should be questioned.
Prodded by these controversies, the

Labor standards play an implicit,86,h International Labor Conference
but not an overt role within the I
WTO.
adopted the Declaration on Fundamen-
tal Principles and Rights at Work in 1 998
(Sen, 20 1 0). In 1 999, Convention No. 1 82
The Social Clause was the proposed
concerning immediate action to end the
worst forms of child labor was adopted.
linkage of social standards to institutional
arrangements governing multilateral A number developing countries still strives
to push the WTO to ensure respect for
trade. In other words, this clause permit-
Core Labor Standards and propose to
ted member countries to prohibit import
of goods from countries that did not ob- a working forum in trade, glo-
establish
serve the core labor standards as deter-
balization, development, and labor issues
mined by ILO. The clause was requiredat the Third Ministerial Conference in
to allow restrictions in an otherwiseSeattle
free in October 1999 (Ratnam, 2010).
trade regime. Most of the countries In spite of all these conferences differ-
against which import restrictions orences
bans still persist within and between
were envisaged were developing coun- developed and developing countries. The
tries. This was natural at the time, governments,
since employers and trade
the developing countries were violatingunions in most developing countries con-
the core standards and hence liable to tinue to mistrust the real links behind such
have their export restricted (Sen, 2010). linkages.
In December 1996, the ministerial There is concern among several de-

conference of the newly created Worldveloping countries that the WTO agree-
Trade Organization (WTO) was held in ment provides free movement of capital
Singapore. The conference attractedand products from developed countries
considerable attention, particularly theto developing countries, but does not pro-

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vide for mobility of labor or for easy ac-

committed itself "to promoting the goal
cess to technology (Ratnam, 2010). Fur- of full employment as a basic priority of
ther, while low wages may constituteour a economic and social policy, and to
comparative economic advantage, there enabling all men and women to attain se-
is also a comparative social disadvantage.
cure and sustainable livelihood through
In the absence of credible evidence of a freely chosen productive environment and
fairer distribution of the benefits of tradework" (Ratnam, 2010).
among nations, consensus on the linkage
between labor standards and trade re- There are some major road blocks
mains elusive (Sen, 20 1 0). to the process of recognizing Core La-
bor Standards within the WTO. Trade lib-
Barriers eralization constraints the domestic policy
making ability, and the ability of states to
fulfill their treaty obligations (United
Most of the employers, unions, gov-
ernments in developed countries and Nations
in Economic and Social Council,
several developing countries have been
1 999). For example, it is trade liberaliza-
resisting any formal linkage betweention
la- that has led developing countries to
bor standards and trade. Their major con-
deregulate in order to attract investment
cern is that producers in developed coun-
and retain a competitive advantage. The
tries are exploiting the cheap labor ofgovernments
the are therefore restricted in
developing countries. This in turn affects
providing key workplace rights and sat-
jobs of the workers in the developed
isfying Core Labor Standards. This is
countries. Therefore, the linkage ofknown
so- as the 'race to the bottom' (Erest,
cial clause to trade is considered by2004).
so- In simple terms, it is a phenom-
cial partners in developing countries as where interstate competition results
enon
an effort of government and workers in in
the progressive dismantling of regula-
developed countries to deprive the tory
de- standards, and in this case, those
veloping countries of this advantage. governing labor standards. In order to
gain a comparative advantage and attract
World Social Summit at foreign investment, countries deregulate
which leads to a decrease in working
Copenhagen in 1995 committed
conditions and wages. The race to the
itself "to promoting the goal of full
bottom becomes a vicious circle with
employment as a basic priority of I
states competing to deregulate even fur-
our economic and social policy.
ther resulting in major human rights prob-
lems.
The Uruguay Round of trade liberal-
ization resulted in the General
ManyAgreement
developing countries express
of Trade and Tariff (GATT) giving
their concern way
that labor standards will
to the establishment of World Trade Or- have a deleterious effect on their econo-
ganization (WTO) in 1995. The Worldmies. The comparative wage advantage
Social Summit at Copenhagen in 1995 is an essential part of the world economic

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order. So there is a general opposition to ing remarks that this collaboration "re-
the incorporation of labor standards spects fully the respective and separate
within the WTO. Developing countries mandates of the two organizations".
also hold legitimate fears that the at- During the Geneva Ministerial Confer-
tempts to incorporate labor standards ence, the US, EU and South Africa
may be used as a thinly veiled protec- pushed again for a more substantive re-
tionist measure. Tariffs can have a dev- lationship between the two organizations
astating effect on a developing economy. which was opposed by a group of devel-
Although the threat of protectionism is oping countries, led by Brazil. But despite
valid and justified, in some cases it is just the amount of controversy and discus-
trade language being used to justify hei- sion about the issue, the Ministerial Dec-
nous human rights abuses such as slave laration failed to make a mention of it.
labor and exploitive forms of child labor.
The recognition of labor standards in the The obvious reluctance of the WTO
WTO may "alienate members who ne- to deal with labor standards and the un-
gotiated the agreement with different likelihood of recognition in this field in the
expectations" and cause further unrest near future means that the link between
(Erest, 2004). However a country is un- the WTO and ILO is crucial in regulat-
likely to leave the WTO altogether as the ing labor standards. However this rela-
disadvantages of leaving the system tionship has never been formalized within
would be too great. the WTO and so will remain ineffective
at best without proactive change. Within
WTO & ILO the Agreement establishing the WTO,
Article III 'Functions of the WTO' Par.
5 reads:
Originally however, the WTO was "With a view to achieving greater
coherence
supposed to have a strong working rela- in global economic policy-
making,
tionship with the ILO and "consult andthe WTO shall co-operate, as
co-operate" in all labor related matters, with the International Mon-
appropriate,
and co-operate in such issuesetary Fund and with the International
as eco-
Bank
nomic development and reconstruction for Reconstruction and Develop-
(Final Act of the United Nations ment and its affiliated agencies." The
Confer-
ILO should
ence on Trade and Employment). The be inserted into this section.
current system is but a shadow ofFurthermore,
this, in order to establish a for-
mal, more
with very limited collaboration. When themeaningful relationship, a Min-
isterial
issue of labor standards was raised Declaration should be written
at the
acknowledging the high level of co-op-
1996 Singapore Ministerial Conference,
eration
Article 4 of the resultant Ministerial and inter-connectedness of the
Dec-
laration ruled that "the WTO and ILO
organizations, similar to the Ministerial
Declarations regarding the relationship
Secretariats will continue their existing
collaboration". The Chairman of the with the IMF and World Bank. The ad-
Singapore Ministerial Conference Yeo vantage of this relationship is that the ILO
Chow Tongłater clarified in his conclud- would not be undermined by the WTO,

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maintaining its authority in regard to la-consideration (b) The offending govern-

bor standards. The mandates of each or- ment rectify the labor standards abuse
ganization would be respected, and there (c) The matter be referred to the Fact-
would be no recourse to trade sanctions finding and Conciliation Commission of
whilst maintaining a degree of basic pro-the ILO with the agreement of the of-
tection for labor rights. fending government. Unfortunately, the
committee idea failed to gain support.
Collaboration between the ILO and
WTO should also make use of the joint It has been suggested that another
research facilities available, and a se-way in which to increase the importance
ries of reports on labor rights should beof the relationship between the WTO
created, similar to the ILO and WTO and ILO is that countries wishing to join
report "Joint Study on Trade and Em- the organization must first ratify the rel-
ployment" (World Trade Organization,evant ILO convention. Within the WTO,
2007), but with a focus on labor stan- existing members set the standards of
dards. In the thinking of ILO Directoraccession. However, this use of double
General Michel Hansenne in the after- standards is completely unjust, and does
math of the Singapore Ministerial Con- nothing to address the labor standards
ference, a good working relationship abuses of existing members. There is
could be established by pressuring states still no way of coercing unco-operative
to ratify the relevant ILO conventions states into respecting core standards,
comprising the Core Labor Standards. and not including labor standards ex-
A scheme was established where those pressly within the WTO has the possible
states who do not choose to ratify have result of sidelining the issue and so is
to present a brief every 4 years "show- no means an ideal solution, but remains
ing the extent to which effect has beena worthy first step.
given, or is proposed to be given, to any
of the provisions of the Convention by
Mechanisms
legislation, administrative action, collec-
tive agreement or otherwise and stating Within the WTO Agreements there
the difficulties which prevent or delay are "general exceptions" clause (GATT
the ratification of such Convention" (In-Article XX) that can be used for the
ternational Labor Organization, 'Consti- protection of specific human rights
tution' Art. 19.5e). Although the ILO is (Marrakech Agreement Preamble).
unable to enforce labor standards it can GATT Article XX paragraphs (a), (b)
simply make recommendations, relying and (d) can be used to impose unilat-
on moral tensions. Following the eral trade restrictive measures on
Singapore Ministerial Conference countries for unacceptable labor stan-
Hansenne further opined that it would dards. Article XX was incorporated
be beneficial if a Complaints Commit- into the Final Act of the Uruguay Round
tee were set up which could recommend establishing the WTO. It allows mem-
that (a) A case does not require further ber countries to deviate from the oth-

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erwise inviolate principie of non-dis- exception (b) yet children cannot be pro-
crimination and to adopt trade restric- tected under this because it is their work
tions that would otherwise be unlawful conditions which are harmful, not the
under GATT. Such restrictions are al- products themselves.
lowed then if they are:
A Social Clause
a) necessary to protect public morals;
A solution that is widely talked
b) necessary to protect human, animal
about by some trade unionists and hu-
or plant life or health
man rights groups is the incorporation
Politically it is stated that GATT Ar-of a social clause into the WTO Agree-
ticle XX has technical and legal prob- ment ( Greenfield, 2001). Essentially,
this means that the Core Labor Stan-
lems involved with invoking the clause
dards
in the first place. The wording in the would be inserted into an article
relevant sections of GATT Article XX within the WTO Agreements which
means that it must be proved that it iscould be a more viable option than
"necessary" to restrict a product in or-amendment of the Agreements them-
selves.
der to protect human, animal or plant life
or health. For a state to legally take uni-
lateral trade restrictive measures underCivil Society Participation
these sections, the 'necessity tesť must
first be passed. There are three com- One suggestion for the improvement
ponents. Firstly, it must be determined of the WTO system is to allow for in-
whether the interests protected are vi-creased civil society participation. This
would result in the centralization of so-
tal. Secondly, there is an assessment as
to whether or not alternative measures cial issues, and within this, the Core La-
are reasonably available and thirdly it is bor Standards. Furthermore, civil society
determined whether these alternate groups are in an ideal position to put pres-
measures are less inconsistent with sure on governments to uphold their hu-
GATT. The 'necessity tesť ensures that man rights commitments, and monitor any
only when the products themselves progress in this field. Within civil society,
present a threat can they be restricted. non-government organizations (NGOs)
Therefore protecting labor rights through would play a particularly crucial role.
GATT Article XX is impossible, even if Within the UN under Article 71 there are
the production of the product may 2,350 (2004) NGOs with consultative sta-
threaten human life. For example, the tus. There is provision for NGO partici-
worst forms of child labor are a heinous pation within the WTO already under Ar-
practice which fall within the Article XX ticle 5:2 'Relations with Other Organi-
zations of the Marrakech Agreement':
"The General Council may make appro-
Protecting labor rights through I
priate arrangements for consultation and
I GATT Article XX is impossible.
cooperation with non-governmental

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organizations concerned with matters re-• Elimination of discrimination in re-

lated to those of the WTO". Allowing spect of employment and occupation
NGOs to have a say could increase trans- (No. Ill)
parency of the system, put pressure on
• Elimination of forced or compulsory
non-compliant governments and provide
labor (No. 29 and No. 105)
specialist knowledge and support.
• Abolition of child labor (No. 1 82)
Ratification by India
These core or fundamental standards
were considered to be the bare minimum
In the 86th International Labor Con-
in labor standards which must be
ference, 1998 the declaration on fun-
achieved by all member states and em-
damental principles and the rights at
ployers regardless of the economic con-
work was adopted which identified four
areas which are further divided into ditions or compulsions of a country or
eight key conventions and any ILO industry. They have been ratified by an
member state should have ratified at overwhelming majority of ILO member
states. In the World Summit for Social
least the eight conventions which deal
with Development in 1995, the above-men-
tioned conventions were categorized as
the Fundamental Human Rights Conven-
• Right of freedom of association (No.
87) and collective bargaining (No. tions or Core Conventions by the ILO.
98) Later on, Convention No. 182 (Sl.No.8)
was added to the list (Ratnam, 2010).
Ratified Convention Non-ratified Convention
• Forced Labor (No. 29) • Freedom of Association and Rights to organize

(No.87)
• Abolition of Forced labor (No. 105) • Right to Collective Bargaining (No. 98)
• Equal Remuneration (No. 100) • Minimum Age Convention (No. 138)
• Discrimination • Worst Form of child labour convention (No.
(Employment/Occupation) (No. Ill) 182)
Freedom of Association and Protec- representatives in full freedom, to or-

tion of the Right to Organize Conv-
ganize their administration and activities
ention, 1948 (No. 87) and to formulate their programs. It calls
upon public authorities to refrain from
The Convention applies to all work- any interference that would restrict this
ers-with the exception who are em- right or impede its lawful exercise. The
ployed in the armed forces, police ser- right to strike has not been explicitly
vice and all employers. The Convention guaranteed under the Convention. How-
also guarantees to workers' and employ- ever, the right to strike is considered to
ers' organizations the right to draw up be an intrinsic corollary of the right to
their constitutions and rules, to elect their organize guaranteed under the Conven-

49.37.4.110 on Mon, 29 Mar 2021 18:09:12 UTC
tion. Articles 3, 8 and 10 of the Con- Non-ratification by India: Convent-

vention that guarantee to trade unions ions nos. 87 & 98
the right to organize their administration
and activities and to formulate their pro- The main reason for non-ratification
grams and further the interests of work- of the two conventions is the reservations
ers have been interpreted as being in- expressed by Department of Personnel
clusive of the right to strike. ISO mem- and Training (DoPT) because ratification
ber states of the ILO have ratified Con- would create legally binding obligations
vention No. 87. which are inconsistent with our laws and
practices. Department of Personnel and
Right to Organize & Collective Ba-Training 's (DoPT) view is that ratifica-
rgaining Convention, 1949 (No. 98)tion of these conventions would involve
granting of certain rights that are prohib-
The Convention guarantees to allited under the statutory rules for govern-
workers adequate protection against
ment employees, namely, to strike work,
acts of anti-union discrimination in re- restrictions on maintaining any political
spect of their employment. It provides funds, to openly criticize government poli-
that such protection shall apply more cies, to freely accept financial contribu-
particularly in respect of acts calcu- to freely join foreign organizations etc.
tion,
lated to: (a) make the employment of a
worker subject to the condition that he The guarantees provided for under
shall not join a union or shall relinquishthese two conventions i.e. convention
trade union membership or (b) cause
nos.87 and 98 are by and large available
the dismissal of or otherwise prejudice to workers in India by means of consti-
a worker by reason of union member- tutional provisions, laws and regulations
ship or because of participation in unionand practices. The main reason for our
activities outside working hours or withnot ratifying these two conventions is the
the consent of the employer, withininability of the government to promote
working hours. It also protects work- unionization of the government servants
ers' organizations from acts of inter- in a highly politicized trade union system
ference by employers or their organi- of the country. Freedom of expression,
zations. In addition, the Convention re-freedom of association and functional
democracy are guaranteed by our Con-
quires member states to take appropri-
ate measures to encourage and pro-
stitution. The government has promoted
mote collective bargaining between
and implemented the principles and rights
workers' organizations and employers envisaged under these two conventions
or employers' organizations and work- in India and the workers are exercising
these rights in a free and fair democratic
ers' organizations in order to regulate
society. Our Constitution guarantees job
the terms and conditions of employment
security, social security and fair working
by means of collective agreements. 1 60
member states of the ILO have rati- conditions and fair wages to the govern-
fied Convention No. 98. ment servants. They have also been

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provided with alternative grievance work, which is likely to compromise

redressai mechanisms like Joint Consul- health, safety and morals of young
tative Machinery, Central Administrative person's shall not be less than 1 8years.
Tribunal etc. Hence, our stand has been
Convention No.182 on Worst
that this section of the workforce cannot
Forms of Child Labor:
be said to have been deprived of the right
of association.
Convention No. 1 82 on Worst Forms
Ratification of ILO conventions es- of Child Labor was adopted in June 1 999.
pecially Core Conventions including C- It calls for the prohibition and elimination
87 and C-98 has been identified as a key of the worst forms of child labor, as a
priority area in our Decent Work Coun- matter of urgency. Convention No. 182
defines the worst forms of child labor as:
try Program for 20 1 3-20 1 7
Convention No.138: (Minimum • All types of slavery, including the sale

Age) and trafficking of children; forced
labor to pay off a debt; any other type
ILO Convention No. 138 concerning of forced labor, including using chil-
minimum age for entry to employment dren in war and armed conflict.
and work was adopted by the Interna-
• All activities which sexually exploit
tional Labor Conference at its 58th ses-
children, such as prostitution, pornog-
sion in June, 1973. This convention is one
raphy or pornographic performances.
of the 8 Core Conventions of the ILO
being referred to as Fundamental or Ba- • Any involvement in illegal activities,
sic Human Rights Conventions and the especially the production or traffick-
ILO has been very active in promoting ing of drugs.
its ratification. Each countiy ratifying this
convention undertakes to: • Any work which could damage the
health, safety or well-being of chil-
dren (so called "hazardous work").
• Pursue a national policy designed to
ensure the effective abolition of child
Reasons for Non-ratification by
labor. India: Conventions no.138 and 182:
• Specify a minimum age for entry to

As a founder member of the Inter-
employment or work which will not
be less than the ages of completion national Labor Organization, which came
of compulsory schooling. into existence in 1919, the Government
of India should be at the forefront in up-
• To raise this progressively to a level holding the ILO Conventions, especially
consistent with the fullest physical and the Core Labor Standards Convention -
mental development of young people. Convention 1 82 on worst forms of child
labor and Convention 138 on minimum
• Guarantee that the minimum age of
entry to any type of employment or age of employment. In fact, the present

49.37.4.110 on Mon, 29 Mar 2021 18:09:12 UTC
laws, like the Right of Children to Free Government to ratify Conventions 1 38 on

and Compulsory Education Act 2009, Minimum Age of Employment and 1 82 on
Juvenile Justice (Care and Protection of Worst Forms of Child Labor which are
Children) Act 2000, Immoral Traffic Pre- two of the eight Core ILO Labor Con-
vention Act, 1956, Bonded Labor System ventions that have been pending for a long
(Abolition) Act 1976, and the provisions time now reflecting poorly on India as a
of the Indian Penal Code, and the adop- nation which is a founder member of the
tion of ILO Declaration on Fundamental International Labor Organization.
Principles and Rights at Work in 1998,
already contain the claims of the ILO Government of India follows the
Conventions No. 138 and No. 182. policy of ratifying the ILO convention
only when the existing laws and practices
The main bottleneck in the way of are in conformity with the provisions of
Government of India to ratify Conventions the said convention. Cabinet has approved
1 38 and 1 82 are addressing forced or com-the proposal of Ministry of Labor &
pulsory recruitment of children for use in Employment for amending the Child La-
armed conflict and appropriately raisingbor (Prohibition & Regulation) Act, 1986
the age of employment in hazardous oc-which is in line with the ratification of
cupations from 1 4 to 1 8 years in the ChildConvention No. 182. The Child Labor
Labor (Prohibition and Regulation) Act (Prohibition & Regulation) Amendment
Bill, 2012 was introduced in the Rajya
1986. A provision already exists in Sec-
Sabha during the Winter Session of Par-
tion 26 of Juvenile Justice (Care and Pro-
tection) of Children Act 2000 that high-liament, 2012. The above said bill is
lights that whoever ostensibly procures apassed by the parliament and led to vari-
ous amendments in the existing act. The
juvenile or child (an individual less than
1 8 years) for the purpose of any hazard-Standing Committee on Labor and Em-
ous employment, keeps him in bondage,ployment under D.S. Chauhan had in its
withholds his/her earnings or uses suchreport on CLPRA Bill, in December 2013,
earnings for his own purposes shall berecommended that the Bill give details
punishable with imprisonment for a termfor regulation for prescribing the condi-
tions of work for adolescents - criteria
which may extend to three years and shall
be liable to fine. Government of India for wages, hours of work, settlement of
agrees with the principles of the conven- disputes. This was incorporated. It had
tion. The convention could not be ratified suggested that adolescents should have
so far because it mandates the age of 1 8 completed Class VIII before being al-
years for prohibition of children from em- lowed to join an occupation. The Right
ployment in specified hazardous occupa- of Children to Free and Compulsory Edu-
tions whereas, according to the Child La- cation Act, 2009 enjoins the State to en-
bor (Prohibition & Regulation) Act, 1 986, sure free and compulsory education to
the minimum specified age for employ- all children in the age group of 6 -14
ment in the hazardous occupations is 14 years. A corollary to this would be that if
years. This in a way eases the job of the a child is in the work place, he would miss

49.37.4.110 on Mon, 29 Mar 2021 18:09:12 UTC
school. Thus, the CLPR Act is not ing countries expressed deep concern
regarding
aligned to the RTE Act as it permits em- efforts to link International
ployment of child below 14 years in oc-Trade and enforcement of labor stan-
cupations/processes not prohibited. dards through the imposition of social
clause. It has consistently opposed the
Conclusion proposals to link labor standards and
trade through 'social labeling' etc. India
also played an active role in Seattle in
The industrial member states believe
1999 to prevent linking trade with labor
the right to bargain collectively, freedom
and
of association and workplace abuse, (in- environmental issues. All the stake-
holders
cluding forced labor and certain types ofin India including the trade unions,
government are in favor of upgrading la-
child labor), are matters for consideration
bor standards, but are against the linking
in the WTO. WTO rules and disciplines,
of labor standards with trade and also
they argue, would provide a powerful in-
centive for member nations to improveagainst enforcing it under the threat of
trade sanctions. They suspect that the
workplace conditions. These proposals
linkage
have been highly controversial. Many de- is aimed at putting artificial bar-
veloping and some developed nations be-against competition and in the words
riers
lieve the issue has no place in theof the Mexican President, 'saving India
WTO
framework. These nations argue that andef-
other developing countries from de-
velopment'.
forts to bring labor standards into the arena Also, concern for improving
labor standards should be more holistic
of multilateral trade negotiations are little
more than a smokescreen for protection-
and should encompass the entire work-
ism. Many officials in developing ing class rather than the microscopic mi-
coun-
nority engaged in production for exports.
tries believe the campaign to bring labor
(Ratnam, 2010)
issues into the WTO is actually a bid by
industrial nations to undermine the com-
India will continue to adhere to the
parative advantage of lower wage trad-
stand that all matters related to interna-
ing partners. Since then there has been
tional labour standards are to be agitated
debate in the International Labor Organi-
only in the relevant forum of the ILO. In-
zation on the possibility of including a "so-
dia will continue to reject the use of labor
cial clause" in the WTO to enforce Core
standards for protectionist purposes and
ILO Labor Standards. The debate there
any attempt to link labor standards with
has also been marked by divergences of
trade will be vehemently opposed invari-
views between ILO member governments
ably, even if isolated by other countries.
and more generally across an ILO struc-
ture that includes representatives from References
government, labor and business.
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The Delhi Declaration of January sophical Library, New York
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Dunlop, John T(1958), Industrial Relations Sys-
ence of non-aligned and other develop- tem, Henry Holt & Co., New York.
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XX", Georgetown Journal of International namics of Industrial Relations, Himalaya
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Trade and Employment: Havana Charter Tone. http://www.twnside.org.sg/title/tong-
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Sen, Ratna (2010), Industrial Relations, Second
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Fourth Impression Oxford University
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ILO Decent Work Team for South Asia (201 1),
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World Trade Organization, (March 29, 2007),
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ILO WTO and Indian Industrial Relation

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ILO WTO and Indian Industrial Relation

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ILO, WTO & Indian Industrial Relations

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Stable URL: https://www.jstor.org/stable/43974551

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John Koti & D. Janaki

Industrial relations are about people

Industrial relations can be defined

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• To study the role of ILO and WTO

India is a member of the ILO since

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The conventions ratified by India

• The acceptance and encouragement

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stitutions of the World Trade Organiza- negotiations concerning the controversial

Prodded by these controversies, the

In December 1996, the ministerial There is concern among several de-

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vide for mobility of labor or for easy ac-

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maintaining its authority in regard to la-consideration (b) The offending govern-

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organizations concerned with matters re-• Elimination of discrimination in re-

• Forced Labor (No. 29) • Freedom of Association and Rights to organize

Freedom of Association and Protec- representatives in full freedom, to or-

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tion. Articles 3, 8 and 10 of the Con- Non-ratification by India: Convent-

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provided with alternative grievance work, which is likely to compromise

Convention No.138: (Minimum • All types of slavery, including the sale

• Specify a minimum age for entry to

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laws, like the Right of Children to Free Government to ratify Conventions 1 38 on

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ILO, Activities of ILO ( 1 966), Report of the Di-

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