Preliminary document for discussion


Role of the Ministries of Labour



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4.2. 1Role of the Ministries of Labour

In both countries the Ministry of Labour has a crucial role. Jamaica has a full Ministry of Labour and Social Security, while Barbados has a Labour Department, headed by a Chief Labour Officer. It is to be noted that the Labour Department in Barbados as well as the Social Security administration are under the direct jurisdiction of the Minister of Labour.



4.2.1. The Ministry of Labour: Jamaica

The role of the Ministry of Labour is virtually identical in each country. Jamaica’s Labour Ministry comprises; Manpower; Industrial Relations; Industrial Safety as specialized divisions. The Industrial Disputes Tribunal (IDT) is a relatively autonomous organ of the Ministry. On the other hand, the Social Security division is a part of the Ministry, for which the Minister has direct responsibility.


Among the roles of the Labour Division of the Ministry is the administration and maintenance of the labour laws enacted. It is also responsible for the establishment and perpetuation of industrial harmony among the various players in industrial relations. For the purposes of this study its most important function has to do with its administration of the statutes which underline and enforce the fundamental labour standards of the ILO and CARICOM.
A sub-division of the Industrial Relations Branch is the Pay and Conditions of Employment Branch (PCEB). This branch comprises a labour inspectorate which administers the Employment [Termination and Redundancy Payment] Act (ETRPA); the Employment [Equal Pay for Men and Women] Act; the National Minimum Wage Orders; the Holiday With Pay Act; the Maternity Leave Act and the Employment of Women Act. Officers of this division receive complaints and conduct investigations and inspections regarding the application of these statutes. The typical worker who is attended to by this branch is non-unionized and therefore outside of the scope of collective bargaining.
Jamaica has what can best be described as a dual labour relations system. Workers who are non-unionized do not have access to the processes of collective bargaining and thus, are excluded from conciliation/mediation and arbitration. Workers who are not covered under collective labour agreements generally do not have access to the IDT, even where their dismissals are unjustifiable. Thus, they do not have recourse to reinstatement. It is of significance that just around 20 per cent of the employed labour force is covered under collective labour agreements (unionized).
The PCEB has a limited scope as it can only attempt to enforce existing statutes. Also, if a worker has certain entitlements under a proven contract of employment, the Branch can intervene. However, all it can do is to refer matters to the court if there is delinquency in meeting the legal obligations. It has to powers to act to determine whether a contract of employment exists as opposed to a disguised contract for services. Similarly it cannot act to enforce the provisions regarding the constitutional rights of freedom of association. This right is reinforced under the Labour Relations and Industrial Disputes Act (LRIDA).
A Conciliation Division administers the LRIDA. Its main functions are the settlement of industrial disputes which arise between unionized workers and employers. Although uncommon it sometimes has to deal with matters relating to the breach of the LRIDA as regards freedom of association. In such cases however, it refers the matter to the courts. More typical is its role as a facilitator in the process of recognition. Under the LRIDA there is a set of Regulations, larger than the Act, which outlines a procedure whereby a trade union can become the recognized majority union.
Within the process of collective bargaining the Ministry has a pivotal role. Conciliation is the second stage of a three-staged process, beginning with free collective bargaining or negotiation at the local level and ending with Arbitration at the IDT. A tripartite entity, the IDT is manned by nominees of government, employers and trade unions. Each panel it assembles to hear a dispute reflects a tripartite composition and its awards are final, conclusive and binding on all parties. Normally disputes are referred to the Tribunal by the Minister or his/her officers acting on his/her behalf if they are unresolved and the parties with to forward it to arbitration.
Nonetheless, in the essential services, and in other industries when the Minister is of the opinion that the dispute should be settled ‘expeditiously’ s/he has the discretion to refer the dispute to the IDT, irrespective of the wishes of the parties. Thus, the Minister has much power over the process. Such power, the ILO’s Committee of Experts (CEACR) has consistently asserted, is tantamount to compulsory arbitration in the non-essential services. As such, it is its view that the Minister’s powers breach the provisions of Convention N° 98.
Nevertheless, beyond its role as a facilitator of industrial peace and a ‘watchdog’ the Ministry is also the main axis upon which the entire system of labour-management relations revolves. In this regard it is the host and main player in the tripartite Labour Advisory Committee, the National Productivity Council and the National Minimum Wage Advisory Council, The National Insurance Board and any other tripartite initiatives. It is this role that places the Ministry in a strategic position within the process of regional integration in terms of labour standards.
The Social Security Division traditionally administers a number of programmes, thereby carrying out the role of. These included poor relief, food stamps and the national insurance scheme. In the past two years the government has introduced a combined benefits programme called Programme of Advancement through Health and Education (PATH). Intended to link outcomes with access to assistance, the programme is, on the surface, an improvement on the pre-existing one. However, it is too early to make an assessment of its effectiveness.

4.2.2. Department of Labour: Barbados

Barbados is a less regulated labour relations environment than Jamaica in the sense that it does not have a main piece of legislation that deals with deals with the maintenance of industrial peace. Nothing in the Barbadian statutes gives to trade unions the right to bargaining on behalf of workers. No trade union or employer can be forced or coerced into attending a conciliation meeting at the Labour Department. Neither does Barbados have a compulsory arbitration system. This points to a system which is very voluntary and consensual.


The limited scope of the Department’s power in industrial relations begins with the very dated Trade Disputes (Arbitration and Enquiry) Act of 1939. This statute, one of several similarly named legislations, enacted during the late 1930s in the Anglophone Caribbean, defines ‘trade disputes’ and outlines a sort of three-tiered system somewhat similar to that which exists in most of CARICOM. However, while Section 3 (1) allows for the intervention of the Governor (conceivably now replaced by the Minister), subsection (2) speaks to arbitration only if both parties consent. No legislation exists regarding the essential services. However, the Better Security Act outlaws industrial action in industries which supply gas; electricity or water.
Given the lack of enforceable legislation on the settlement of disputes, the Department has an even more important role in the system than its Jamaican counterpart. There is no separate department for a labour inspectorate such as Jamaica’s PCEB. All complaints and inspections are carried out in this industrial relations unit. There is however, a factory inspectorate like Jamaica. Unlike Jamaica there is no bifurcated labour relations system, therefore, it is not unlikely that a complaint to the department might be a dispute as between a trade union and an employer. Several pieces of statute are under the jurisdiction of the Department. These include; the Employment of Women (Maternity Leave) Act; the Public Holidays Act; the Protection of Wages Act; the Domestic Employees (Hours of Duty) Act; and Trade Union Act.
A great deal of confidence in the officers of the Labour Department is perhaps the most salient characteristic of its functioning. As regards conciliation/mediation not much separates the practices in Barbados from those in Jamaica, given that conciliation is in itself a voluntary process. What is of note is that recognition itself, which is the normal pre-requisite for collective bargaining and thus, conciliation, is voluntary. Where a trade union wishes to become the bargaining agent for workers engaged to a particular employer it serves a claim unto the employer and asks the Department to intervene. On the face of it there is little difference between the Jamaican and Barbadian situations. However, whereas the Jamaican officers have a long set of guidelines which, when followed, lead to binding recognition, Barbadian officers conduct an investigation to determine in their own discretion, whether the union has a simple majority. The process is not open to inspection by neither the union nor the employer. The effectiveness of the Department is obviously based on trust in the neutrality and objectivity of the officers.
Yet, despite the lack of a legally binding procedure or process there is a high rate of unionization. With an estimated 30 per cent of the employed labour force being dues paying members and a similar percentage being ‘free riders’, Barbados has a rate of unionization three times that of Jamaica.
Social Security is not as direct a responsibility of the Labour Minister as the Labour Department is. The National Insurance Scheme is independently administered by a statutory board, the National Insurance (NIS) Office. It has the same range of activities as its Jamaican counterpart. However, it also deals with unemployment benefits, which makes it unique in CARICOM. Yet, it has another responsibility which is the administration of the Severance Payment Act. Under this statute not only are workers protected where a business has closed down or reduced its requirement for labour, but it also has a fund whereby workers can be compensated if an employer is delinquent or incapable of meeting his/her obligations to the displaced workers. This fund is administered by the NIS Office as well.
The effect of the payment of unemployment and the protection of severance payments make workers in Barbados the most socially protected in CARICOM.



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