Promoting Labour Standards in Global Production: Selected ILO Experiences Anne Posthuma International Institute for Labour Studies, ILO

Fair Globalization Fair Globalization – where business is profitable and sustainable & Decent Work is promoted Promoting labour standards in global production Business cannot do this alone (BSR, 2006) Building collaborations, where formal institutions and regulations are weak and poorly enforced, via projects and programmes, provide technical expertise to promote social dialogue and ILSs Challenge to contribute systemic improvements, includes strengthening public services, functioning of regulatory and institutional frameworks, voice and rep. of workers

ILO-Supported Private Sector Initiatives Hybrid model – monitoring plus incentives, awareness-raising, training, remediation, technical expertise to build capacity Contributing to fill regulatory deficits and lead to productivity-enhancing and DW-enhancing local institutions Spanning factory-level, targeted campaigns, sectoral partnerships, Chambers of Commerce, national government, global supply chains

Selected ILO-Supported Initiatives Factory Improvement Programme (VN, SL, India) Raise factory competitiveness through improved working conditions, in-factory consultations Protective equipment for workers, reduce quality rejects, decrease absenteeism Factory-based, hard to work below first-tier firms IPEC initiatives Targeted sectors, area-based Partnerships Scope expanded to include other labour issues and approaches

Cocoa industry and stakeholders (W.Africa) Harken-Engel Protocol of 2001, set timetable to eliminate child and forced labour In 2002, partnership formed International Cocoa Initiative, multistakeholder forum Between , initiatives spread to cocoa & agricultural sectors in 5 other African countries Sialkot Soccer Ball Initiative 1997, ILO, UNICEF, Sialkot CCI Early example of voluntary industry collaboration with multilaterial agencies and key stakeholders to address labour rights in GSCs Beyond child labour to include all Core Labour Standards Strengthen government inspection, promote SD

Volkswagen (GTZ) Improve working conditions in VW’s supply chain in South Africa, Mexico and Brazil Partnership with VW suppliers & labour inspection to ensure legal compliance SMEs to improve prod’y and workplace practices Better Factories Cambodia Export licenses tied to ILO monitoring, created level playing field, to build up labour inspectorate Monitoring, remediation, training – improve. cycle Dialogue between government, employers, workers, buyers Expired trade agreement - project became self- financing, operating via CSR rather than incentives Project hand-over to Cambodian gov’t in 2009

Better Work Programme (ILO & IFC) Improve labour standards, competitiveness in GSCs export apparel sector in Jordan Lesotho, VN (1.2 million workers) Redefines labour standards compliance in GSCs, sustainable solutions in countries Enterprise compliance with national law, access new, more stable contracts with buyers Set of global tools to be developed Global monitoring & eval. framework Assessment results reported publicly, to buyers Broad SD - employers’ orgs., workers’ orgs., national government and international buyers (establish national tripartite industry scheme) Training & capacity building, institutional strengthening

Labour admin & inspection Sustainability and engagement Enterprise assessments Training and capacity building employer & union capacity building Enforcement Social Dialogue Industry-based scheme Better Work

Partnerships Building capacity to fill regulatory deficits and lead to productivity-enhancing and DW- enhancing local institutions Developing tools Learning from successful experience to scale up Harnessing spillovers Build key elements to achieve sustainability