Trade unions in Asia India, Indonesia, Malaysia, Thailand, Vietnam, Korea

(1)

Trade unions in Asia

India, Indonesia, Malaysia, Thailand, Vietnam, Korea

IndustriALL Consultant

(2)

(3)

India

• Workers (2005): 464.3 million

• Trade unions (2005):

–

68,544 registered unions (but, only 7,812 union

“returned” to government)

–

24,601,589 registered members (but, only 6.97

million members belonging to “returned” unions

to government.

–

On average, 893 members per a union (73.2%

(4)

National Centers

1.All India Trade Union Congress (Communist Party of India), established in 1920, 3

.36 million members as of 2002.

2.Indian National Trade Union Congress (Indian National Congress), established in

1947, 1.54 million members, as of 2002

3.Hind Mazdoor Sabha (socialists), established in 1948, 3.33 miollion members, as

of 2002

4.Bharatiya Mazdoor Sangh (Rashtriya Swayamsevak Sangh), established in 1955,

6.21 million members, as of 2002

5.Centre of Indian Trade Unions (Communist Party of India (Marxist)), established in

1970, 2.67 million members, self claimed in its website

6.All India Central Council of Trade Unions (Communist Party of India (Marxist-Leni

nist) Liberation)

7.All India United Trade Union Centre (Socialist Unity Centre of India (Communist)) 8.New Trade Union Initiative (Independent from political parties, but left)

9.Labour Progressive Federation (Dravida Munnetra Kazhagam) 10.SEWA

(5)

Characteristics

• Pluralism: political division and ideological diversity

• _{The existence of militant labor movement}

• Decentralized union structure and bargaining structure: the increas

e of in-house unions (company unionism) and independent unions

• Poor manpower and finance of upper-level unions (Industrial feder

ations), poor function in supporting workplace-level unions activity

such as collective bargaining

• Excessive politicization of union leaders: poor capacity and corrupti

on of some leaders

• The deepening and spread of company unionism and only compan

y-level bargaining

(6)

Indonesia

• Workers: 114.5 million

• Worker in formal economy: 30 million

• Unionized workers: 3,414,455 members

• Main national centers (confederations)

– _{KSPSI (1.5 million with 17 industrial federations – Confederation of ALL Indonesian}

Workers’ Unions)

– _{KSPI (600,000 members with 9 industrial federations – Confederation of Indonesia}

n Trade Unions, established in 2003)

– _{KSBSI (380,000 members with 13 industrial federations – Confederation of Indones}

ia Prosperity Trade Unions, established in 1992)

• Only 39 out of 90 industrial federations belong to the main three confederat

ions

• _{The number of trade unions: 11,766 unions, including 170 state company u}

nions

(7)

Characteristics

• Indonesia ratifies all the 8 ILO fundamental conventions.

• _{The split of the trade union movement (3 confederations and + @@@)}

• Union structure and collective bargaining based on company unionism

• The prevalence of wage confidentiality among unions

• _{Poor quality of collective agreements: mainly focusing on economy intere}

sts rather than workers’ collective rights, even including company policy

against workers and union members

• Poor manpower and finance of upper-level unions (industrial federation

s), but comparatively active and powerful activity and function by upper-l

evel unions in ASEAN countries

(8)

Malaysia

• Workers: 12 million

• Unionized workers: 803,405

• Single national center: Malaysian Trade U

nion Congress (MTUC)

–

500,000 members

–

244 affiliates

• 20 national unions

(9)

Foreign (migrant) workers

• Importing foreign started in 1992 only in plantation and construction

sectors

• Expanded to industrial or manufacturing sectors in 2000.

• Allowed in every industry and sector in 2002.

• There were over 2 million of foreign workers registered to governm

ent in 2007. it was estimated that there were more than 1 million of

foreign workers, not registered.

• _{Over 30% of Malaysia workforce is foreigners}

• Main sending countries: Indonesia, Nepal, Bangladesh, India, Pakis

tan, Vietnam, Cambodia, Thailand and the Philippines

• The distortion of labor markets and the spread of low-wage structur

e

(10)

Characteristics

• Strong intervention and interference by government (against the freedom of as

sociation)

• _{National unions are based on “intentionally fragmented or divided” industries or}

sectors (by government)

• The spread of company unionism, pushed by government and employers since

the early 1990

• _{Only company or factory-wide collective bargaining. There is no sector or indu}

stry-wide collective bargaining. but, collective agreements are signed by nation

al unions, excluding ordinary members (union bureaucracy or corruption)

• Too many foreign workers, resulting in the challenges to the trade union move

ment in organizing and bargaining

• _{The issue of union democracy and transparency}

• _{Lost militant or struggling spirit of trade unions}

(11)

Thailand

• Working population: 37 million

–

state/public sector: 3.23 million

–

private sector: 8.89 million

–

information economy: 23 million

–

foreign workers: 470,000

–

Thai workers working overseas: 2 million

• Unionized workers: 516,000 (Thai government 2007)

–

_{State-owned companies: 180,500}

–

_{Private sector: 335,600 (in 1,258 trade unions)}

• 18 industrial federations, 1 federation of state-owned com

(12)

Characteristics

• There is no systematic connection between workplace-level unions an

d upper-level unions

• Poor coordination and poor cooperation among upper-level unions

• Poor manpower and resources of upper-level unions (no office, no full-t

ime union officers)

• Poor role and function of upper-level unions in supporting union activiti

es at workplace level

• Company unionism and company-limited bargaining

• the historical legacy of feudalism in Thai politics, society and culture

– Split between Yellow Shirts and Red Shirts

– Language problem: “dialogue”, “collective agreement”, “employers”, “employee

s”

(13)

Vietnam

• Workers: 13.5 million (2011)

–

state/public sector: 4.2 million

–

Private sector: 9.3 million (including 1.9 million worki

ng in foreign companies)

• Vietnam General Confederation of Labor (VGC

L)

–

20 industrial unions

–

63 provincial-level federations of labor

–

7,727,178 members (as of June 2012)

(14)

Characteristics

• Trade union activity under the guidance of communist party

• _{Rich and plentiful manpower and resources of upper-level unions (full-time officers,}

building, facilities, vehicles): the historical legacy of socialism

• _{Poor experience and knowledge on labor relations and union activity of capitalist ec}

onomy

• _{Lack of understanding on union role: playing the role of “mediator” between workers}

and employers, rather than defending workers rights and interests (trade union offic er or public servant?)

• _{Lack of independence and democracy from party, government and employers}

• _{The problem of dual positions of union leaders (union officers, at the same time hig}

h-ranking managers)

• _{Company-level labor relations and bargaining are dominant}

• Abnormal union structure: provincial federations are more powerful than industrial u

nions; the legacy of socialism

• _{the existence of trade union “organizations”, but the non-existence of labor “movem}

(15)