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A Government representative stated that the commitment for compliance with the Conventions, ratified in 2004, had been reconfirmed by the Government through the European Union (EU)–Ukraine Association Agreement, as well as the free trade agreement between Ukraine and Canada. The Government had taken all the necessary measures to ensure full compliance with these important ILO Conventions, in both law and practice. The measures taken since the discussion in the Conference Committee in 2017 had included, with respect to legal developments: The cancellation of the moratorium on labour inspection visits through the adoption of: (a) the Law of Ukraine on Temporary Peculiarities of Performing State Supervision (Control) Measures in the Sphere of Economic Activity, dated 3 November 2016, No. 1728-VIII; and (b) Ministerial Decree No. 1104 of 18 December 2017 on the approval of the list of supervisory bodies exempt from the scope of the abovementioned law. These amendments had been made to exclude labour inspection, including occupational safety and health (OSH) and mining supervision, from the moratorium on state control. Concerning the Lugansk and Donetsk regions, a moratorium on labour inspection had been introduced for the period of anti-terrorist operations. The ensuing lack of labour inspections had not only led to a significant increase in wage arrears, but also to the significant deterioration of the social and economic conditions in those areas. The State Level Service (SLS) had established a bill to amend Article 3 of the Law on internal measures for the period of anti-terrorist operations dated 2 September 2014, No. 1669-VII, to exempt labour inspection from the scope of that law. The Government would strongly push for the adoption of those amendments, which were currently before Parliament. The Government had also adopted a new procedure for exercising state supervision of labour legislation, by a resolution which had come into force in May 2017. The Ministry of Social Policy had requested ILO technical comments on the resolution, which had concluded that the draft resolution was not in violation of Conventions Nos 81 and 129. The new labour inspection procedure had established fundamentally new approaches to labour inspection functions. During an inspection, labour inspectors had free and independent access. Concerning the alleged absence of planned control measures, state control was carried out in the form of inspection visits and non-visiting inspections, which by their nature were unscheduled control measures. With reference to policy respecting penalties, employers were given the opportunity to comply with the measures ordered by the labour inspectorate within a certain time limit, except for cases concerning undeclared work and the failure to comply with the payment of wages.
With regard to practical measures, the SLS endeavoured to strike a balance between the promotion of compliance and issuing sanctions. Between January and April 2018, the SLS had conducted more than 3,000 inspections and 137 non-visiting inspections of 3,834 enterprises. During inspections, labour inspectors had detected more than 8,000 cases of non-compliance with labour legislation by almost 2,000 employers. Violations had been detected in 74 per cent of all inspections, with three violations on average per enterprise. The greatest number of violations related to the payment of wages, followed by working hours and rest time. The largest share of violations had been detected in the private sector, mostly in the retail and wholesale services. A total of 2,800 compliance notices had been issued by labour inspectors and almost all of them had been strictly followed by employers. The rights of more than 8,000 workers had been re-established. As a result of inspections, more than 1,000 cases of administrative violations had been referred to court or resolved by the labour inspectorate and had resulted in fines being imposed. More than 200 cases had been referred to the law enforcement agencies and 47 cases had been referred for pre-trial investigation. With regard to preventive activities, labour inspectors had been directly involved in awareness-raising activities and the promotion of labour legislation. In 2018, almost 2,000 events nationwide had been undertaken, including more than 1,000 media events. The SLS had received 160 written requests for advice of complying with legislation and had provided advice to almost 6,000 employers on the most effective ways to comply with labour legislation. In the framework of the ILO technical assistance provided at the request of the Government, the SLS had been one of the main beneficiaries. In this context, reference should be made to the ILO project to strengthen the effectiveness of the labour inspection system and social dialogue mechanisms, including the development and implementation of a gender-responsive policy and measures for the recruitment and retention of labour inspectors. Moreover, the Government was working with the ILO to extend the work of the SLS to the informal economy and to establish a functioning model of tripartite dialogue within the labour administration. Starting in November 2017, the ILO–EU project “Enhancing labour administration capacity to improve working conditions and tackle undeclared work” had included measures to implement the obligations of Conventions Nos 81 and 129, selected EU Directives, and training on these Conventions and EU Directives. A variety of safety and health standards were also being reviewed with a view to the ratification of the Promotional Framework for Occupational Safety and Health Convention, 2006 (No. 187). The Government was committed to making efforts to ensure the adaptation of the legislation, the improvement of management mechanisms, the development of better business conditions and safer working conditions.
The Employer members welcomed the Government’s detailed statement and comprehensive information on the measures taken to address the situation, including those on capacity building and the training of inspectors as well as on awareness-raising campaigns. The Government was invited to provide that information to the Committee of Experts so that it could be analysed at its next session. Since 2010, the Committee of Experts had made six observations on the application by Ukraine of the Conventions. The case had been discussed by the Conference Committee in 2017 as a double-footnoted case. In 2017, the Conference Committee had noted positively the progress achieved in 2016. It had also noted that the ILO had undertaken a needs assessment of the labour inspection system in response to a request by the Government, and a number of recommendations had been made, as well as the ILO project on the strengthening of the effectiveness of the labour inspection system and social dialogue mechanisms launched from September 2016. They had noted with interest that new legislation had entered into force in May 2017, which had had an impact on state supervision and labour inspection. They also welcomed the information provided on what might trigger inspections, and the organization and feedback on engagement with the ILO, and particularly the training of labour inspectors. The Government was encouraged to continue accepting technical assistance to ensure that new and any existing legislation reflected the provisions of Convention No. 81, in particular the requirement for labour inspectors to be public officials, independent of changes of Government and any external influences. They had finally noted that the moratorium had expired and had not been extended. In its conclusions, the Conference Committee had called upon the Government to: (a) provide detailed information on recent legislation enacted regulating the labour inspection system; (b) promote effective dialogue with employers’ and workers’ organizations concerning labour inspection matters; (c) continue to avail itself of ILO technical assistance in order to strengthen the capacity and resources of the labour inspection system, in particular with regard to the training and capacity building of labour inspectors; (d) ensure that the status and conditions of service of labour inspectors guaranteed their independence and impartiality in line with the Conventions; and (e) ensure that other functions entrusted to labour inspectors did not interfere with their primary duties and impact negatively on the quality of labour inspections.
The Employer members emphasized at the outset the importance of compliance by member States with the two ILO Conventions on labour inspection. In this regard, they urged the Government to: (a) ensure that recent legislative amendments brought the national legislation into conformity with the Conventions; and (b) ensure that inspections were carried out as often as necessary and were not hampered by a strict regulatory timetable, while recalling that the means used should be proportionate to the legitimate aims pursued (under Article 16 of Convention No. 81 and Article 21 of Convention No. 129). Taking into account new legislation enacted in 2017 and the 2018 amendments, they encouraged the Government to provide detailed information on the measures taken to ensure that the status and conditions of service of labour inspectors guaranteed their independence and impartiality in line with the Conventions; and provide information to the Committee of Experts on how authorized officials working as labour inspectors under the SLS and local authorities were independent from any undue influence, as well as information related to the training received. In this regard, it was important to guarantee the impartiality of inspectors and that their activities were carried out according to law. Therefore, measures to guarantee impartiality should be accompanied by measures to ensure good governance, transparency and accountability of inspectors for their actions. The Government was also encouraged to take measures to ensure that the number of inspectors and the level of resources were appropriate for the effective performance of their duties, as well as measures to strengthen labour inspection in the informal economy. They finally encouraged the Government to continue to avail itself of ILO technical assistance in relation to the ongoing action to strengthen the effectiveness of the labour inspection system and looked forward to receiving information on the results of the ongoing cooperation.
The Worker members recalled that, during the discussion of the case in 2017 as a double-footnoted case, the Committee had invited the Government to ensure that the status and conditions of service of labour inspectors enabled them to be independent and impartial, and that the other tasks assigned to them did not prevent them from carrying out their primary duties, or have a negative impact on the quality of inspections. According to the latest comments by the Committee of Experts, even though the Government had refrained from adopting a new moratorium on labour inspection, the situation had not improved. Several legal and regulatory mechanisms adopted in 2017 limited the work of the labour inspectorate and were contrary to the Conventions, such as: the restrictions on the right of inspectors to conduct inspections without prior notice; the limitations on the frequency of inspections and the power of labour inspectors to initiate legal proceedings without advance warning; and the bill submitted to Parliament, which made it an administrative offence to carry out an inspection without prior notice. Such provisions had been adopted despite the fact that the Conventions gave inspectors the right to conduct inspections without prior notice and as often as necessary. The Government should therefore ensure that the restrictions were not implemented. It should also bring its legislation into conformity with the relevant provisions of the Conventions.
Furthermore, and in the light of the Conventions, the argument that advisory tasks should take precedence over inspections was untenable. The two types of tasks were complementary, and inspectors must have the freedom the carry out one or the other, depending on the situation. The requirement for the inspection system to be placed under the direct and exclusive control of a central authority, which was established in the Conventions, made it possible to ensure the independence of the labour inspectorate from the local authorities, and to facilitate the establishment and application of a uniform policy throughout the territory. Nevertheless, the existence of a central authority did not mean that there was no need to ensure the physical presence of inspection services at the regional and local levels. Such a regional presence was important as it allowed the legislation to be applied in the same way throughout the country and all employers and workers to be placed on an equal footing. It was also vital to ensure the allocation of sufficient budgetary resources to different departments when assigning certain responsibilities to them. The competent authority must also ensure that organizational changes were made in accordance with the provisions of the Conventions. The Worker members recalled the importance of ensuring that inspectors were free from all external influence, and that they had the qualifications and training needed to perform their duties. They asked the Government to provide the information requested by the Committee of Experts on that subject. It was also fundamental to allocate the material and human resources required for inspection, so that inspectors could adequately monitor workplaces. It should be ensured that inspectors were sufficient in number and had adequate resources to perform their tasks efficiently. As emphasized by the Committee of Experts, the issue of material and human resources remained problematic, and the objectives of the Conventions had not been achieved. Ukraine only had 542 inspectors and 223 posts were vacant. The Government should provide the information requested by the Committee of Experts on the subject and take the necessary steps to comply with the Conventions.
The Worker member of Ukraine stated that labour inspection was still being restricted by Act No. 877 of 1 January 2017 concerning the fundamental principles of state supervision and monitoring of economic activity, which was in contradiction of the Conventions. In July 2017, the Parliament had approved at its first reading the Bill on amending certain legislative acts of Ukraine regarding the prevention of unreasonable pressure on businesses by measures of State supervision and monitoring on compliance with labour and employment legislation (Bill No. 6489). The Bill was not aimed at improving State control of labour and employment legislation, as its name might suggest. While the authors of the Bill pretended that there was a need to move from punitive inspection to the prevention and rectification of offences, as well as to address undeclared work and abuses by labour inspectors during inspections, the Bill was in fact trying to restrict State labour control and provide businesses with a possibility to avoid penalties for first violations. The proposed legislative changes were an invitation for businesses to employ undeclared workers without having to fear any consequences. As the employment of undeclared workers was always an intentional offence, there should be no warnings, but dissuasive fines. In other countries, employers which did not hire legal workers were criminally liable, whereas the Bill even proposed to suppress administrative liability. The Bill also introduced administrative responsibility for individuals and officials who made groundless complaints to the State supervision and monitoring authorities about labour law violations. Those proposed changes directly contradicted Convention No. 81, under which national legislation should prohibit the disclosure by labour inspectors of the sources of complaints. Fines for such complaints in the Bill ranged from 50–100 times the minimum wage to 150–300 times the minimum wage, in the event of repeated offences. As the minimum wage in the country was equivalent to €122, workers in the informal sector would simply be afraid to make a complaint to the labour inspectorate in order to not lose their jobs. Currently, almost 4.5 million workers were working illegally, without the formalization of their employment relationship, and more than 100,000 workers had received their wages late.
At the end of 2017, the Cabinet of Ministers had prepared and sent to the Supreme Council a Bill on amending certain legislative acts of Ukraine concerning the establishment of proper safe and healthy working conditions (Bill No. 8045), which provided for State supervision of the legislation on labour protection and hygiene, and State mining supervision. The Bill complied with the requirements of the labour inspection Conventions, as it was proposed to lift the moratorium on labour inspection. A sharp increase in the number of deaths and injuries had occurred between 2017 and 2018 as a result of the moratorium. The Bill also envisaged regulations of on State supervision being issued by the Cabinet of Ministers. In May 2018, the specialized committee of the Supreme Council had recommended to Parliament the adoption of the Bill. He expressed the hope that the Bill would be adopted in the near future. However, attention should also be drawn to the fact that in 2017 the Government had illegally abolished the existing acts on labour protection, which had led to the deterioration of social protection, working conditions and the safety of workers. This was in violation of article 18 of the Act on Labour Protection (Safety and Health) of 14 October 1992, establishing the procedure for the development, adoption and abolition of regulations on labour protection, as the trade unions had not been consulted. The abolition of the laws regulating standards for the issuance of uniforms, special footwear and other personal protective equipment had been made without substituting them with more modern standards. The objective of reducing pressure on business was not justified, in view of the consequences for the health and safety of workers. He expressed the hope that the controversial Bill No. 6489, which was in violation of ILO standards would be withdrawn, and that the regulation of the labour inspectorate would be based on the provisions of Convention No. 81, and not on the interests of a separate group of persons promoting such bills. He pointed out the need to continue and intensify technical assistance to strengthen the capacity of labour inspection, in close cooperation with the social partners.
The Employer member of Cambodia, conveying the position of the Joint Representative Body of Employers at the National Level of Ukraine, referred to Act No. 1774 of 2016 amending Article 34 of the Local Self-Government Act, and the procedure for monitoring compliance with labour legislation, approved in connection with that Act. That legislation had empowered the local authorities to monitor compliance with labour and employment legislation within their territorial jurisdiction, conduct inspections and impose penalties for labour violations and had enabled officials working at the local authority to act as labour inspectors. That was not in conformity with the Conventions, in accordance with which labour inspectors had to be public servants and labour inspections were to be conducted under the supervision and control of a central authority; appropriately qualified technical experts and specialists should be involved in inspections and labour inspectors should receive continued training. In reality, the activities of the local self-government officials endowed with the powers of labour inspectors did not meet the requirements of the Conventions. Local self-government officials were neither controlled by, nor accountable to, the SLS. Moreover, there were often conflicts and confrontation in determining the limits on the powers of the local and central inspectors. Local self-government officials did not undergo the relevant qualification selection and were not under the coordination and methodological support of the SLS. Nor were local self-government officials independent. It was therefore impossible to appeal against the actions of local self-government officials or to hold them responsible for misconduct. Furthermore, there was a duplication of the powers of SLS regional branches and local authorities, resulting in double inspections by two different bodies, creating a burden for employers. In conclusion, she emphasized the need to repeal the above legislation which was in contradiction of the provisions of the Conventions and unreasonably extended the discretionary powers of labour inspectors, defined by these Conventions, to officials of local self-government incapable of effectively performing such functions. This problem could be resolved by adopting Bill No. 6489, which would deprive the local self-government of control functions and the power to impose penalties.
The Government member of Bulgaria, speaking on behalf of the European Union (EU) and its Member States, as well as Albania, Bosnia and Herzegovina, Montenegro and Norway, reiterated that effective labour inspection was fundamental to human rights, safe workplaces and decent work. She recalled the political association and economic integration in the framework of the EU–Ukraine Association Agreement and its Deep and Comprehensive Free Trade Area (DCFTA). Ukraine had ratified and committed to implement effectively, in law and practice, the ILO governance Conventions on labour inspection. It was regrettable that, although the Committee had discussed this case last year, the issues remained unresolved. Since 2014, the Government had undertaken reforms to strengthen labour inspection services and the SLS, with technical assistance from the ILO and support from the EU. She welcomed the Government’s exemption of the SLS from the general moratorium on inspections for 2018, and strongly encouraged making this exemption permanent. Furthermore, the preparation of new legislation that would permanently abolish the moratorium on labour inspections, was an important precondition for full compliance with ILO Conventions and the EU–Ukraine Association Agreement, which would send a positive signal to workers and employers regarding the Government’s intention to safeguard working standards. However, certain legislative measures were of great concern, namely Act No. 877 of 1 January 2017 concerning the fundamental principles of state supervision and the monitoring of economic activity and Ministerial Decree No. 295 of 26 April 2017 on the procedure for State control and State supervision of compliance with labour legislation, which drastically restricted labour inspectors’ ability to undertake inspections without prior notice, the frequency of inspections and their discretion to initiate prompt legal proceedings without prior notification. Bill No. 6489 would make unscheduled inspections an administrative offence. The Government was called upon to promptly amend Act No. 877 and Ministerial Decree No. 295 to ensure conformity with the Conventions, and to ensure in practice that no restrictions were imposed on the powers of labour inspectors, including limits on unscheduled inspections. Regarding decentralization of the labour inspection system, the Government must ensure close supervision and coordination by the central authority, the allocation of adequate budgetary resources to authorities performing inspections and the provision of sufficient training to inspectors; it must also provide information on how the new system guaranteed the independence of authorized officials working as inspectors. The Government was encouraged to thoroughly assess the new system and to commit to amending it as appropriate, with ILO technical assistance. Given the 223 vacant labour inspection positions, more information was needed on Government measures to improve the budgetary situation of the SLS, and the material and human resources of the labour inspection services. In light of the highly politicized debate on the adoption of the new Labour Code, the Government was strongly encouraged to take due regard of ILO comments, particularly concerning working conditions, OSH and mining. While remaining committed to constructive engagement and partnership with the Government, she expected it to avail itself of ILO expertise in taking the necessary steps to bring the national labour inspection legislation and practice into conformity with the Conventions.
The Worker member of Sweden, speaking on behalf of the trade unions of the Nordic countries and the United Kingdom, indicated that countries cooperating closely with the EU were expected to comply with international labour standards, including in times of hardship. As many ILO standards concerned occupational safety and health and working conditions, efficient labour inspection was of two-fold interest, both in ensuring compliance with the Conventions, and in securing the proper enforcement of other ILO standards. Since the review of this double-footnoted case the previous year, the EU and Ukraine had launched a project within the framework of the EU–Ukraine Association Agreement that was intended to support reforms in such areas as employment policy, labour market and social protection by enhancing the labour administration capacity to improve working conditions and tackle undeclared work. Through this valuable project, lawmakers and the social partners were working closely to align Ukrainian OSH and labour legislation with EU Directives and ILO Conventions, and to strengthen the capacity of the Ministry of Social Policy and the SLS to implement its labour inspection mandate, with a particular focus on undeclared work. It nonetheless remained important for the ILO to continue to provide technical support and to promote the active participation of the social partners. Just one month after the discussion of the case the previous year, Parliament had approved Bill No. 6489, which would eliminate penalties for first violations of labour legislation regarding undeclared work, introduce administrative penalties for unjustified unscheduled inspections, and would limit the access of labour inspectors to workplaces and the sanctions they could apply. She hoped that those provisions would be corrected. Labour inspection was not a mere formality, but an efficient means of ensuring compliance with applicable standards, fair competition, and a safe and healthy work environment. Therefore, the Government was expected to bring national legislation and practice into conformity with Convention No. 81.
The Government member of the United States indicated that the discussion of the case in 2017 had highlighted a number of legal constraints that had inhibited the carrying out of labour inspections. While there had been reports that the SLS had conducted some complaint-based labour inspections, including some without prior notice, according to other reports, the labour inspectorate was still unable to conduct inspections of its own initiative. The Committee of Experts had pointed to the significant legal restrictions on the activities of the labour inspection services (limitations on the free initiative of labour inspectors to undertake inspections without prior notice, on the frequency of labour inspections). Moreover, the legislative amendments enacted in 2014 required the SLS to seek approval from the Cabinet of Ministers to conduct inspections of businesses with an annual income of less than US$750,000 (which corresponded to 80 per cent of businesses). If enacted, Bill No. 6489 would make the conduct of unscheduled inspections visits an administrative offence. Those legal restrictions severely inhibited the capacity of the labour inspectorate to perform its key functions in the way that was required by the Conventions to most effectively protect workers. The Committee had already called upon the Government to adopt a number of measures to strengthen the capacity of the labour inspectorate; undertake legal reforms to ensure compliance with the Conventions; and, more importantly, ensure that the labour inspectorate was in a position to carry out the critical government function of labour law enforcement. He considered that to implement these recommendations, the Government should be urged to take the necessary measures to ensure that provisions creating legal obstacles to labour inspection were brought into conformity with the Conventions; avail itself of ILO technical assistance to ensure that the competent legislative and administrative authorities understood the obligations under the Conventions; and provide sufficient budgetary and other resources to the labour inspectorate, including by filling outstanding vacancies.
The Worker member of the United States welcomed the fact that Ukraine was not pursuing a nationwide moratorium on labour inspections. Nonetheless, he expressed concern about what seemed to be a regional trend towards weakening labour inspectorates. He also questioned the slow and excessively complex process of reforming the labour inspectorate, which indicated a reluctance to affirm the role of the State to perform labour inspection. One of the main remaining issues was that unannounced inspections were still prohibited, in spite of the fact that the Conventions provided for the right of labour inspectors to enter freely and without previous notice at any hour of the day or night any workplace subject to inspection. While it was positive that some inspections had been carried out as of February 2018, the requirement of advance permission greatly limited the effectiveness of the labour inspection system. Another issue of concern was Bill No. 6489. While the adoption of the Bill was still pending, it provided for the imposition of penalties for complaints which had been found not to have merit, thereby contradicting the spirit of Convention No. 81. Another matter of concern was that the inspectorate lacked adequate resources and technical capacity. Local unions reported that labour inspectors usually had no capacity to investigate cases of workplace injuries or wage arrears. For those reasons, the labour inspectorate needed to be fully empowered, with a mandate, budget, the capacity and confidence in its stature. A moratorium on inspections continued in the country’s conflict zones; those regions were heavily industrialized and the continued moratorium covered a number of particularly dangerous sectors, including the coal, metal and mining sectors, in which hundreds of thousands of workers were employed. The draft legislation to repeal the moratorium had not been approved by Parliament. Ukraine’s economy remained very fragile, and could not afford the adverse impact of shortcuts based on poor safety standards. In order to recover from conflict and from the moratorium on inspections, Ukraine should rebuild its institutions responsible for the vital function of labour inspection and professionalize labour inspectors. Those measures were especially important in high-risk sectors, such as mining, that were central to Ukraine’s economic life.
The Government member of Switzerland supported the statement made on behalf of the European Union and emphasized that the effective functioning of the labour inspection services was essential for labour conditions and workers’ rights to be respected. Such effectiveness also contributed to economic development, including fair competition between companies. Ukrainian legislation put several restrictions on the authority of labour inspectors, including on the frequency of inspections and the right to carry out inspections without notice. In addition, more than 223 inspector positions remained unfilled. It was regrettable that the Committee had to discuss the case again. The Government should therefore: ensure the implementation of legislation in accordance with the obligations established in the Conventions; make sure that national labour inspection services had the necessary human and financial resources to carry out their activities without restriction or interference; modernize inspection procedures and harmonize them with international standards. He emphasized that inspection procedures should be reviewed in consultation and cooperation with the social partners and the private sector.
An observer representing IndustriALL Global Union stated that the moratorium on labour inspection particularly affected workers in mines, where the rate of fatal accidents made them the country’s most dangerous work sector. The 2017 report of the Ukrainian Fund of Social Insurance showed that, as a result of the moratorium on labour inspection, the number of industrial accidents at production sites had substantially increased since 2016. The moratorium on inspections had seriously undermined and dismantled State labour inspection; the total number of inspectors had decreased and many competent specialists had gone. Even after the removal of the ban on labour safety inspections, time would be needed to restore the service to full strength. The problem of lack of staff, and especially of qualified staff, required urgent attention. He referred to recent examples, including in a steel plant, where 90 per cent of the rolling stock was worn out, and an investigation by the State Safety Inspectorate had found 83 violations, including locomotives without functioning brakes. In April 2018, the lives of 240 mining workers had been endangered when they had been trapped 1,000 metres underground for several hours after the local electricity provider had cut the power supply in a mine. Twice in April, electricity had also been cut in 16 different coalmines. The problem of OSH, which was a result of the moratorium on labour inspection, was aggravated by other work-related issues, such as low wages and arrears in the payment of wages. In April 2018, 12,000 members of an industrial affiliate, the Nuclear Power and Industry Workers’ Union of Ukraine, held actions in eight different cities to protest against a State policy of low-energy tariffs, which resulted in low pay for workers. Current wage arrears had amounted to 2.4 billion hryvnias (equal to US$92 million), of which one third concerned coalminers. Certain estimates had found that arrears in the formal economy, when combined with the shadow economy, could easily be double or even triple that amount. The Government needed to urgently address the situation of safety at work, as well as arrears in wages and low wages, a matter made more urgent by its past failure to implement the Committee’s recommendations and observations. Workers expected and demanded appropriate responses from the Government.
The Government representative emphasized that significant progress had been made in resolving the issues regarding labour inspection discussed at the Conference Committee in 2017. Except for the conflict areas of the country, in the rest of the territory, labour inspectors had free access to workplaces and could conduct inspections at any hour of the day or night without previous notice. This was guaranteed by Ministerial Decree No. 295 on certain questions of the implementation of article 259 of the Labour Code and article 34 of the Law on local government of 26 April 2017, as well as legislative changes which had come into effect in 2017. The labour inspection functions carried out by the local authorities were limited to the control of compliance with legal provisions respecting wages. The SLS exercised control in that it had access to the record of the inspection visits carried out by the local authorities (including the workplaces concerned, the actions taken and the penalties imposed). The SLS could not only step in, but had also set up an appeal procedure for enterprises against the actions taken by the local authorities. He emphasized that Bill No. 6489 had been introduced in accordance with the legislative procedure and that other bills existed, including Bill No. 8045 which proposed to lift the moratorium on labour inspection and Bill No. 8101 which proposed to remove the restrictions for labour inspection in the Donetsk and Lugansk regions. These Bills would hopefully soon be considered by Parliament. The late payment of wages in Ukraine was a priority issue for the SLS, and both national labour inspectors and inspectors working in the local authorities were doing all in their power to address that situation. The Government was also currently studying the issue of how to increase the resources for labour inspection, so that labour inspectors could focus on the priority areas of unregistered labour, wage arrears and the failure to pay minimum wages. With regard to the issue of fines, labour inspectors were indeed empowered to issue fines, up to an amount of more than 10,000 hyrvnia (approximately US$382) with regard to undeclared work. In the current difficult times (including the military conflict and efforts to promote the economic development of the country), the Government was trying to strike a balance between preventive measures and the imposition of penalties, intending to be judicious in applying fines. Replies to all requests for information on the measures taken to fully implement the Conventions would be sent for examination by the Committee of Experts.
The Worker members thanked the Government representative for the explanations provided and recalled that the Government had already made a series of commitments during the previous discussion. Not only had those commitments not been honoured, but a series of new violations had been noted. Consequently, the Government was requested to lift all the restrictions imposed on the labour inspectorate, particularly the restriction on conducting an inspection without prior warning and the limits placed on its discretionary power to commence legal proceedings. The provisions that made the conduct of unannounced inspections an administrative offence must also be amended, as they were incompatible with the Conventions. The Government should also provide information regarding the organization of the inspection services and provide for all the necessary guarantees to ensure the independence of inspectors and their ability to fulfil their duties. The Government should also provide sufficient material resources to the labour inspectorate and ensure their good working conditions, remuneration, transport costs and the provision of offices and office supplies. It was also crucial to take the necessary steps to fill the vacant positions. They invited the Government to continue to accept ILO technical assistance to facilitate the implementation of the Committee’s recommendations, in close collaboration with the social partners.
The Employer members welcomed the Government’s and responses to a number of issues, as well as the information on the priorities of the SLS, in particular with regard to the implementation of the two Conventions. Notwithstanding the challenges resulting from the military conflict in certain regions, the Government had taken positive measures to bring the law and practice into conformity with the Conventions. The Government was encouraged to allocate adequate resources for labour inspection and to continue capacity-building activities for labour inspectors. However, there was concern over local government officials and their potential capacity to fill the role of labour inspectors. As already mentioned, measures needed to be taken to ensure the independency, transparency and accountability of inspectors for their actions. They urged the Government to provide information to the Committee of Experts on the recent legislation enacted and on the issues raised, in order to fully measure progress in that regard. Effective dialogue was a very important component of that process. The Government also needed to guarantee the independence of labour inspectors in line with the provisions of the Convention and to ensure that other functions did not interfere with their primary duties or impact negatively on the functions performed. They finally urged the Government to continue to avail itself of ILO technical assistance in order to further strengthen the resources allocated to labour inspection, with specific emphasis on training and capacity building of inspectors.
Conclusions
The Committee took note of the oral statements made by the Government representative and the discussion that followed.
The Committee noted that the labour inspectorate must be given the necessary means to function effectively and independently, and it shall also be placed under the supervision and control of a central authority.
Taking into account the Government’s submissions and the discussion that followed, the Committee recommends the Government to:
- take the necessary measures and appropriate reforms to bring their labour inspection services into line with the provisions of Conventions Nos 81 and 129;
- provide detailed information regarding the restrictions on the powers of labour inspectors contained in Act No. 877 and Ministerial Decree No. 295 and regarding the recent legislation enacted on the labour inspection system;
- promote effective dialogue with employers’ and workers’ organizations concerning labour inspection matters;
- ensure that the status and conditions of service of labour inspectors guarantee their independence, transparency, impartiality and accountability in line with the Conventions;
- ensure that the inspection functions of the local authorities are placed under the supervision and control of the State Labour Service; and
- ensure that other functions entrusted to labour inspectors do not interfere with their primary duties and impact negatively on the quality of labour inspections.
The Committee encourages the Government to continue to avail itself of technical assistance in order to strengthen the capacity and resources of the labour inspection system, in particular with regard to the training and capacity building of labour inspectors. The Committee requested that the Government report in detail on the measures taken to implement these recommendations to the next meeting of the Committee of Experts in November 2018.
The Government has provided the following written information.
Since 1 January 2017, the Act concerning the fundamental principles of state supervision and monitoring of economic activity has been focusing on state supervision and monitoring of labour and employment legislation. The Act provides for state supervision and monitoring in accordance with the procedures in the Act and taking into account the features of legislation in other sectors and relevant international treaties, notably those relating to state supervision (monitoring) of civil aviation.
Changes introduced to section 34 of the Local Government Act delegate the exercise of state monitoring, including the power to impose fines for violations of the labour and employment legislation, to the local government authorities. Local labour inspectors will also be entitled to establish infringement reports on administrative offences and impose fines for breaches of labour and employment legislation. Cabinet of Ministers Decision No. 295 of 26 April 2017 on the application of section 259 of the Labour Code and of section 34 of the Local Government Act approved the procedure for state monitoring of labour legislation (hereinafter monitoring procedure) and the procedure for state supervision of labour legislation (hereinafter supervision procedure). Once Decision No. 295 will enter into force, the state supervision of labour legislation will be conducted by the National Labour Inspectorate (hereinafter Gostruda) including its regional branches, and by the local authorities (the executive bodies of councils in regional urban centres and in integrated rural and semi-rural territorial communities).
The Decision establishes a new approach to relations between the State and businesses, according to which the main priorities of inspection are prevention and the provision of advice to employers. The monitoring procedure enables employers to request regular information and awareness campaigns by state inspectors concerning the most effective ways to comply with labour regulations, thereby avoiding or remedying violations of labour and employment rights. At the request of employers, so-called “audits” of labour and employment legislation may be undertaken, but the Decision also recommends that state action should be taken only if the employer refuses to address violations. At the same time, the monitoring procedure establishes an effective mechanism for detecting undocumented workers, as the next step in the Government’s battle against money laundering by individual citizens and unscrupulous enterprises. The drafting of the Decision took into account the opinions of ILO experts regarding conformity with the requirements of the Conventions, and regulations were prepared in close collaboration with the social partners.
Reply to direct request
Articles 4 and 5(a) of Convention No. 81 and Articles 7 and 12 of Convention No. 129 (Organization of the State Labour Service (SLS))
Structure of the Gostruda
Pursuant to the Regulations on Gostruda approved by Decision No. 96 of the Cabinet of Ministers of 11 February 2015, the main tasks of Gostruda are to:
(1) implement the national policy on industrial and occupational safety and health and the handling of explosives; conduct state supervisions in the mining sector; and conduct supervision and monitoring of labour and employment legislation and compulsory insurance concerning the entitlements to benefits of insured persons;
(2) provide integrated management of industrial and occupational safety and health at the national level;
(3) ensure state regulation and monitoring of activities at highly hazardous facilities;
(4) organize and enforce state supervision (monitoring) of operations in the natural gas market relating to the sound technical conditions of the system, assemblies and gas metering equipment and ensure the safe and reliable operations of the plant used by the national transmission system.
Gostruda performs a total of 55 functions in relation to the responsibilities assigned to it. It has 3,636 staff members, of whom 158 work at its central office and 3,478 in its regional branches. About 80 per cent of staff are labour inspectors directly involved in conducting controls. Gostruda has 24 regional branches (including regions, districts, and towns). Its technical units, which are state enterprises under the authority of Gostruda, conduct expert assessments of working conditions and the operation of highly dangerous equipment, and provide other services to ensure occupational safety and the proper functioning of equipment. The main research and guidance centre of Gostruda provides distance-learning material on occupational safety and health to staff and experts; the National Scientific Research Institute for Industrial and Occupational Safety and Health ensures scientific back-up for the national policy; and the magazines Occupational safety and health and Technopolis, publish articles on measures taken, including by Gostruda, to ensure appropriate levels of industrial and occupational safety and health.
Article 5(b) of Convention No. 81 and Article 13 of Convention No. 129 (Collaboration of the labour inspection services with employers and workers or their representatives)
On 22 June 2016, Gostruda and the Federation of Trade Unions of Ukraine signed a cooperation agreement to collaborate on joint information and awareness campaigns and monitoring measures. In accordance with the existing legislation, the following bodies have been established within Gostruda:
– the social council, consisting of 26 members representing civil society institutions, is a provisional consultative and advisory body set up with the aim of promoting civil involvement in the formulation and implementation of state policy;
– a board of 17 members, representing workers’ and employers’ organizations at the national level as well as from the central Government, set up as a consultative and advisory body tasked with reaching consensual agreement on matters within the responsibility of Gostruda;
– expert working groups of variable size, established for the purpose of preparing new draft laws and regulations and introducing amendments to existing standards.
At the national level, the main labour administration body concerned with social dialogue is the National Tripartite Social and Economic Council, which was set up as a consultative and advisory body to enable participation of workers, employers and government representatives in formulating and implementing national economic and social policy and in regulating labour, economic and social relations.
Article 6 of Convention No. 81 and Article 8 of Convention No. 129 (Status and conditions of service of labour inspectors)
State labour inspectors are public employees governed by the terms and conditions in the Civil Service Act. Therefore, the working conditions and remuneration of state labour inspectors are in accordance with the State Budget Act, sections 50 to 53 of the Civil Service Act and the Cabinet of Ministers Decree No. 15 of 18 January 2017, on “matters concerning the remuneration of workers in governmental institutions”.
Article 7 of Convention No. 81 and Article 9 of Convention No. 129 (Training of labour inspectors)
In the context of the 2016–19 Decent Work Country Programme for Ukraine, the ILO is implementing a project to strengthen labour inspection systems and social dialogue mechanisms. Currently, a systematic training programme for state labour inspectors is being prepared. By the end of 2017, it is envisaged to launch a pilot version of the programme, to be followed by a review and then full implementation in early 2018.
Articles 10, 11 and 16 of Convention No. 81 and Articles 14, 15 and 21 of Convention No. 129 (Material means and human resources to achieve an adequate coverage of workplaces by labour inspection)
As mentioned above, Gostruda has 3,636 employees, including 158 at its central and 3,478 at its regional level. About 80 per cent of its employees are labour inspectors directly involved in conducting controls. In 2017, the actual number of labour inspectors empowered to carry out controls of compliance with labour and employment legislation is 542, and the official number is 765. Gostruda and its regional branches hold regular competitions to fill vacant posts, in accordance with the requirements of the Civil Service Act; they are announced in the relevant publications.
Article 14 of Convention No. 81 and Article 19 of Convention No. 129 (Notification of industrial accidents and cases of occupational diseases to the SLS)
Ukraine has committed itself, under the Ukraine–European Union Association Agreement, to improve its public health service and the safety of working conditions. This will involve a gradual adaptation to the legislation, standards and practices of the European Union (EU) Member States. A modern approach to problem-solving in the sphere of occupational safety and health is required, owing to the poor performance of the existing system. Many countries worldwide now indicate that their principal mechanism for ensuring industrial and occupational safety at the national and regional, individual plant and workplace level, is a monitoring system geared towards the assessment and management of risks to the life and health of workers. The current national legislation on occupational safety and health does not require employers to introduce a risk-oriented approach to their occupational safety and health management. The basic occupational safety and health laws and regulations are provided for in the Code of Labour Laws. Therefore, representatives of Gostruda have participated in a working group attached to the National Supreme Council (Rada) on matters of social policy, employment and pension, as part of the amendment process for the second reading of the draft Labour Code. This draft, in addition to introducing the requirements of the main EU Directive on safety and health (the “Framework Directive” 89/391/EEC), also proposes to implement a number of EU regulations. Once the new Labour Code is adopted, there will remain the considerable task of amending the other laws and regulations governing occupational safety and health.
Articles 20 and 21 of Convention No. 81 and Articles 26 and 27 of Convention No. 129 (Annual report on labour inspection)
Gostruda will prepare and submit an annual report on labour inspection, in accordance with the requirements of Article 20.
In addition, before the Committee, a Government representative confirmed that in 2015, at the legislative level, labour inspections in Ukraine had been totally suspended. However, new legislation regulating labour inspection had now been adopted and had entered into force on 1 January 2017. In addition, the Government adopted two important pieces of legislation, namely: (i) the Procedure on State Control over Compliance with Labour Laws; and (ii) the Procedure on State Supervision over Compliance with Labour Laws, which entered into force on 16 May 2017. The Government was concerned to promote the effective functioning of the labour inspection services to ensure compliance with legislation on occupational safety and health (OSH), wages and other matters. Labour inspections could be initiated on the basis of several grounds, including: notification of labour law violations; a claim from an individual with whom employment relations were not duly formalized; a court decision; information obtained from State supervision and monitoring bodies, law enforcement agencies and the labour inspectorate; a trade union organization; or state authorities. The new regulations enabled labour inspection services to operate independently, giving them the right to undertake inspections at any hour of the day, in all types of workplaces that use hired labour. A new system had been established to overcome violations. Employers could not be held liable if they had undertaken steps to rectify a violation following the issuing of a compliance notice, except in cases where they had been using undocumented workers and failed to pay the national minimum wage or did not pay wages on time and in full.
The Government was interested in establishing effective labour inspection services to ensure compliance with the new legislation on the national minimum wage, which had doubled in January 2017, a decision taken in agreement with the organizations of employers and workers, which was also used to strengthen efforts aimed at facilitating the transition from the informal to the formal economy. The ILO’s technical assistance in reforming the labour inspection services had been very welcome. Labour inspection was now also the responsibility of local authorities and could be conducted by public inspectors appointed by trade unions. In this context, it was important that labour inspectors received adequate training enabling them to carry out their work in an appropriate manner. The Government representative of Ukraine thanked the country’s social partners, namely trade unions, for having repeatedly raised the issue of labour inspection and thanked the Conference for having brought this issue to public attention.
The Worker members recalled that labour inspection had been one of the ILO’s primary concerns from the very beginning. This issue was one of the general principles set out in the Treaty of Versailles. It was evident that, without an efficient inspection system, the effectiveness of social norms was left to chance. It would be of no avail to formulate and adopt laws, if there were no inspection body responsible for ensuring their effective application and explaining their substance to the various actors. With regard to the case of Ukraine, the Committee of Experts had made a number of particularly worrying comments on the labour inspection services, which had recently been reorganized. The Government had communicated an organizational chart on the central structure, but had not provided any information on their regional structure. Nevertheless, Conventions Nos 81 and 129 highlighted the importance of labour inspection being placed under the direct and exclusive control of a central authority to ensure its independence in relation to local authorities and to facilitate the development and implementation of a uniform policy throughout the country. It was also essential for the inspection services to be effectively present at the regional and local levels. The presence of labour inspection at the regional level and effective monitoring by a central authority were complementary. The Worker members welcomed the technical assistance provided by the ILO within the framework of the reform of the labour inspection system and called on the Government to avail itself of such assistance as much as possible. With regard to cooperation between the inspection services and employers and workers, the Government’s approach regarding the involvement of the social partners in labour inspection issues should also be welcomed. However, the Government had not provided any information giving a clear idea of the arrangements for such cooperation. Labour inspection could not achieve its objectives without the effective collaboration of employers and workers. In particular, it was essential to guarantee and protect the right of workers to bring violations of the legislation to the attention of the labour inspectorate. The Worker members expressed concern at the establishment of a moratorium on labour inspections from January to June 2015, and the preparation of new texts with a view to the adoption of a further moratorium. In 2010, the Committee of Experts had already noted the adoption of a similar measure. A moratorium on inspections was a serious violation of the Convention and sent a particularly negative signal, as it implied that the enforcement of labour legislation was a minor concern. The Government should therefore be applauded for having abandoned this measure.
The resources allocated to the labour inspection services and labour inspectors reflected the importance attached to the standards and legislation that they were responsible for enforcing. If inspectors did not enjoy an appropriate status and conditions of service, the position of inspector would be less attractive and there would be a reduction in their numbers, as had happened in Ukraine, and their independence and impartiality would also be compromised. Particular attention should also be paid to the indication that labour inspectors in the country were being assigned duties other than those related to labour inspection. It was admittedly true that the Conventions did not prohibit the assignment of other functions to labour inspectors. However, it was imperative to have a clear idea of the volume of work that such functions involved, and to ensure that they did not interfere with the main duties of labour inspectors. The Government should supply detailed information in this regard, and provide the necessary guarantees. Nobody could dispute the fact that Ukraine was faced with a complex situation, due to the armed conflict in part of its territory and the implementation of austerity policies, which were weighing heavily on the country, with a view to securing financing from the International Monetary Fund. Nevertheless, these difficulties should not result in the sacrifice, in the name of austerity, of social justice and the means for its achievement, and particularly labour inspection. Austerity measures that affected such an essential institution were likely to have an even more negative impact on the overall balance of society. In this regard, it was important to recall the section of the Preamble of the ILO Constitution covering universal peace and harmony, and the Declaration of Philadelphia, which affirmed that labour was not a commodity. Nor had the Government provided information on the progress made in the implementation of a national action plan on OSH, particularly regarding the notification of work-related accidents and occupational diseases. It had also failed to supply information on the up-to-date register of workplaces liable to inspection, which allowed for the development of targeted inspection plans and the inclusion of relevant information in annual inspection reports. It was also important to emphasize in this respect that the preventive mission of the labour inspectorate was of particular significance to the economic and social health of the community as a whole, as poor working conditions inevitably led to conflict and difficulties in the workplace, and an increased number of social security claims, particularly for work-related accidents and occupational diseases. The Government was therefore invited to provide the information requested by the Committee of Experts on this subject. The Worker members were convinced that, in challenging times, the best approach was to move towards social justice by enhancing the means for its achievement. This was the only solution to combat poverty and despair.
The Employer members recalled that in 2010, the Committee of Experts had referenced the observations made by the Federation of Trade Unions of Ukraine (FTTU) regarding restrictions and limitations to the supervisory function of labour inspectors, and had noted that several legislative provisions (in particular Act No. 877-V concerning the fundamental principles of state supervision in the area of economic activity adopted on 5 April 2007, as well as the provisions of Cabinet Order 502) violated the Convention. The Committee had also noted that legislation was contemplated to remedy the situation. In 2011, the Committee of Experts noted that the Government had not provided relevant information and requested information on measures taken to ensure compliance with obligations under the Convention. In its 2013 observations, it again requested measures to ensure that Act No. 877-V be amended and requested information on the application of labour inspection in agriculture. Most recently, the Committee noted progress made in 2016, in its joint comments on Conventions Nos 81 and 129, noted with interest the technical assistance provided by the ILO to support the labour inspection reform initiated in 2014. Specifically, the Committee had noted that the ILO had undertaken a needs assessment of the labour inspection system in response to a Government request, and a number of recommendations had been made. The Committee had also positively noted the ILO project on “The strengthening of the effectiveness of the labour inspection system and social dialogue mechanisms” undertaken in September 2016. The Employer members noted with interest the information provided by the Government that new legislation had entered into force in May 2017, which had had an impact on state supervision and labour inspection. They also welcomed information provided on what may trigger inspections, and the organization and feedback on engagement with the ILO, particularly the training of labour inspectors. The Government was also encouraged to continue to accept technical assistance to ensure that new and any existing legislation reflected the provisions of the Convention, in particular, the requirement that labour inspectors be public officials, independent of changes in Government and any external influences. In this regard, improper external influences in the recruitment should be eliminated and measures to ensure qualifications and adequate training for inspectors to perform their duties were encouraged. Reports that the Government had appointed local self-government staff in the role of labour inspectors was noted with concern. The Government was requested to provide information to the Office so that training and qualifications of labour inspection staff could be assessed. The moratorium was an issue that had been raised by the Committee of Experts. The Employer members had noted that the moratorium had now expired and had not been extended. The suspension of labour inspections contravened obligations under the Convention. Information from the Government on the moratorium, including confirmation that it had been lifted was requested. Taking into account the difficult circumstances in the country, they urged the Government to continue to avail itself of ILO technical assistance in order to ensure compliance in law and practice.
The Worker member of Ukraine recalled that, for seven years, the Committee of Experts had been raising issues concerning Ukraine’s compliance with its obligations under Conventions Nos 81 and 129. The Committee of Experts had confirmed the views expressed by the FTUU in 2010 that a number of provisions in Act No. 877-V concerning the fundamental principles of state supervision in the area of economic activity, adopted on 5 April 2007, and the Cabinet Decree providing for temporary restrictions on state supervision and monitoring until the end of 2010 were not in conformity with the Conventions. The Cabinet of Ministers had acknowledged the violations and proposed amendments, but they had not been adopted. In 2015, the authorities had introduced a moratorium on labour inspections. In view of the serious situation concerning workers’ rights, the FTUU, together with the other most representative workers’ organizations, had once again made observations. More than 4 million workers were working illegally without contracts, and more than 100,000 workers were affected by delays in the payment of wages. During the moratorium, the number of complaints submitted both to Gostrud and to trade union organizations had significantly increased. The Government had taken specific steps to improve the situation in terms of monitoring compliance with labour legislation and preventing violations, including the adoption of new legislation, the repeal of the moratorium and the significant increase in the level of fines. The trade unions had supported the request of the Government for ILO technical assistance in reforming the labour inspection services. Many issues remained, including the inadequate number of labour inspectors, the insufficient qualification of inspection team leaders and the paltry wages of labour inspectors, which left them open to corruption. In fact, the Government standard of 3,636 labour inspectors for more than 1.2 million workplaces employing workers was insufficient to guarantee workers’ rights. According to Gostrud, in 2016, of 2,610 vacant positions, only 594 had been filled through new recruitment. Frequent changes to national legislation required systematic training for labour inspectors, including in the use of new technology.
In view of the need to enhance employer compliance with legislation on OSH, labour and employment and social insurance, in 2016 a cooperation agreement had been concluded between the trade unions and the State Labour Service (SLS) to complement State inspections with inspections by trade unions. This had been made possible by the adoption of Decision No. 295 in April 2017, which provided that labour inspections could be carried out on the basis of information received from trade unions, as well as individual workers. However, just days before the start of the 106th Session of the International Labour Conference, the Verkhovna Rada had seen the introduction of a new Bill to amend several laws to avoid excessive pressure on economic entities, including through labour inspection. It had been drafted by some 20 members of Parliament who were lobbying for the interests of enterprises. This was yet another attempt to introduce restrictions to labour inspection and weaken sanctions for employers in violation of labour legislation. One of the innovations was the proposed introduction of administrative liability for persons submitting unfounded complaints of violation of labour legislation. This was a direct breach of Convention No. 81, which provided that labour inspectors should be prohibited from revealing the source of complaints. The Bill particularly affected workers in the informal economy, who were not unionized and were afraid to approach the labour inspection services for fear of losing their jobs. The drafters of the Bill were deliberately trying to scare workers. The Bill also proposed fines ranging from about 850 to 1,700 hryvnia, which might even more than double in the case of repeat offenders. The Federation of Trade Unions of Ukraine (FTUU) had made a very negative assessment of the Bill to parliamentary parties but had received no reply. He requested the Committee to warn the Verkhovna Rada not to adopt the Bill, so as to avoid a negative impact on the application of Conventions Nos 81 and 129. He concluded by stating that further technical assistance was needed.
The Employer member of Ukraine noted that the moratorium in 2015 and the temporary restrictions on inspections in 2010 had been imposed to eliminate corruption in numerous government institutions, and did not only concern the State Labour Service (SLS). At that time, the moratorium had been supported by the national employers’ associations and had had a positive effect on business activity: 100,000 workplaces had been created, including many green workplaces, mostly small and medium-sized enterprises. As the moratorium had been brought to an end, there was no violation of the Conventions. However, some violations of the Conventions had occurred with the adoption of recent changes to the national legislation. Act No. 1774 (6 December 2016) amending section 34 of the Local Government Act had empowered local authorities to monitor compliance with labour and employment legislation within their territorial jurisdiction, to conduct inspections and to impose penalties. This was not in conformity with the Conventions: labour inspectors should be public servants, and labour inspection should be conducted under the supervision and control of a central authority; appropriately qualified technical experts and specialists should be involved in inspections, and labour inspectors should receive continued training. In reality, in Ukraine the activities of the local self-government officials endowed with the powers of labour inspectors did not meet the requirements of the Conventions. Local self-government officials were neither controlled by, nor accountable to, the central competent authority (SLS). Moreover, there were often conflicts and confrontation in determining the limits of the powers of the local and central inspectors. Local self-government officials did not undergo the relevant qualification selection and were not under the coordination and methodological support of the SLS. Nor were local self-government officials independent: they were under the influence of local elites and often could not be impartial. It was therefore impossible to appeal against the actions of the local self-government officials or to hold them responsible for misconduct. He noted that the changes had also created duplication of the powers of SLS regional branches and the local authorities. This had imposed double inspections by two different bodies on employers. He concluded by insisting on the need to repeal the mentioned provisions of the national legislation which in his view contradicted the provisions of the Conventions and unreasonably extended discretionary powers of the labour inspectors, defined by these Conventions, to the officials of local self-government incapable of effectively performing such state functions.
The Government member of Malta, speaking on behalf of the European Union (EU) and its Member States, as well as Albania, Bosnia and Herzegovina, Georgia, Montenegro, Norway, the former Yugoslav Republic of Macedonia, and Turkey, emphasized the commitment to the EU-Ukraine Association Agreement with its Deep and Comprehensive Free Trade Area (DCFTA), and welcomed the results of the EU-Ukraine summit held in November 2016. The speaker noted with interest the reform initiated by the Government in 2014 to strengthen labour inspection services, and expressed support to the development of the SLS with an important technical assistance project to be implemented by the ILO. Recalling the considerable drop in the number of inspections and significant rise in number of complaints concerning labour law violations when the moratorium was introduced in 2015, he welcomed the lifting of the moratorium for unplanned inspections and strongly encouraged the Government to seek further modernization of its labour inspection system. Recalling the highly politicised debate on the draft Labour Code, he strongly encouraged the Government to pay due regard to the comments provided by the Office, particularly in the area of working conditions, occupational health and safety and mining. Government intentions to include appropriate clauses on non-discrimination in the Labour Code in line with the Association Agreement were welcomed. It was expected that following these consultations, the Government would take the necessary steps to bring national legislation and practice related to labour inspection in conformity with ILO Conventions and that it would continue to avail itself of ILO assistance. The speaker reiterated his commitment to close and constructive engagement and partnership with the Government.
An observer representing the International Trade Union Confederation (ITUC) indicated that recent reforms to the labour inspection system had in fact resulted in the loss of many qualified labour inspectors. Only 3,500 remained to cover 1.2 million enterprises, making it difficult to monitor OSH effectively. Ukraine’s mines were the most dangerous in the world from a technical point of view, with deep shafts and high gas concentrations, among other hazards. Inspections carried out following a fatal accident in March 2017 had revealed thousands of breaches of OSH legislation in mines across the country. Nothing had been done to rectify the situation. The limited possibilities for labour inspections and the high level of corruption meant that tens of thousands of miners risked their lives and health every day. In 2016, the ILO had begun providing support to improve OSH and labour inspection, and a number of measures had been taken with international assistance, but this was not enough. The right of labour inspectors to carry out their duties not only in the event of an accident but also with a view to identifying violations proactively, as provided for in ILO Conventions, should finally be restored in law and practice. Draft amendments to the Labour Code had been examined with the Office, which had identified a number of discrepancies with ILO Conventions; however, so far only 22 of them had been removed. Further consideration of the draft Code was urgently needed, as subsequent amendments proposed had introduced further incompatibilities.
The Worker member of the United States recalled that, in this year’s General Survey, the Committee of Experts had noted that the national OSH programme in Ukraine had included a number of specific measures and targets relating to the mining sector. While this was positive, there was serious concern regarding labour inspection, including considerable reductions in the number of labour inspections and even occasional moratoriums. In the course of one year, the mining authority had performed inspections in only 2.7 per cent of production facilities. Ukraine was second only to China in mining and other industrial accident rates. There were violations of health and safety norms, insufficient preventive measures, and lack of individual security equipment. In March 2017, eight miners had died in the Stepnaya mine, and around 30 had been hospitalized, despite the specific prescriptions that had been issued by the labour inspectors who had visited the mine in November 2016. After that tragedy, the Government had decided to inspect many mining workplaces, discovering more than 2,500 violations. However, nothing had yet been done to correct these situations. The labour inspectorate had to be fully empowered, with a mandate, a budget and the capacity to impose and collect meaningful fines, and corruption had to be addressed. It was vital to resume unannounced workplace inspections and cease current efforts to weaken and suspend inspections in law and in practice simply to present a more “business-friendly” environment. Moreover, the lack of regular and broad inspections had had an impact on social protection schemes and workers’ rights. According to the Ukrainian Parliament Commissioner for Human Rights, this had led to a situation in which a third of the workforce was employed illegally, and about 40 per cent of the wages in the country were paid unofficially without paying taxes or a single social contribution, causing huge losses to the State, pension and other funds of compulsory social insurance. As much as freedom of association was the enabling right for workers to claim their rights, labour inspection was the government function and responsibility that allowed it to fulfil so many of its other obligations to protect and respect rights of workers and citizens.
The Worker member of Sweden speaking on behalf of the Nordic Trade Unions, indicated that the case under discussion fitted well into the context of the debate on the 2017 General Survey concerning occupational health and safety. Compliance with the requirements of the Conventions on labour inspection was not possible when labour inspections were subject to a moratorium. Ukraine had ratified the Conventions only in 2004, and the ratification of a Convention created obligations. Ukraine had reportedly imposed the moratorium on labour inspection to increase its competitiveness and attractiveness. However, that was not an acceptable justification for non-compliance with ratified standards. Labour inspection was not just a formality, but an efficient means for ensuring compliance with applicable standards, and thus fair competition, and to secure a safe and healthy work environment. She therefore expected that Ukraine would bring its national legislation into conformity with the Conventions, and that it would not introduce restrictions and limitations on labour inspection.
An observer representing IndustriALL Global Union stated that occupational health and safety in the majority of enterprises, particularly in state-owned and small and medium-sized enterprises, was close to an emergency-like situation. Despite having ratified Convention No. 81, many bureaucratic obstacles had hindered appropriate implementation, proving that there was inadequate funding and capacity for labour inspection. A systematic lack of financial support had led to the huge deficit of skilled health and safety specialists in all responsible State bodies, including the labour inspectorate. Thanks to the trade unions, some 2,946 health and safety violations had been registered in Ukrainian coal enterprises in 2016. Some 485 accidents in Ukrainian mines had occurred in 2016 alone, which had resulted in the death of 12 miners. Health and safety was chronically underfunded. A joint mission by IndustriALL and the ITUC to Ukraine had taken place in March 2017, whereby concern was expressed about the lack of real social dialogue. She expressed support for the concerns and demands of the Federation of Trade Unions of Ukraine (FTUU), particularly for the Bill passed in May 2017, and urged the Government to fund and give priority to setting up proper programmes to implement health and safety measures, including solid and competent health and safety bodies with highly skilled staff in 2017 and in subsequent years.
The Government member of Switzerland recalled that in recent years, and according to available information, the number of labour inspections in Ukraine had decreased. The role of labour inspection was essential in ensuring protection for workers and the Government was encouraged to ensure the application of labour legislation by means of inspections, in accordance with its obligations under Convention No. 81. Effective and functional inspections contributed not only to decent working conditions, but also to economic development and fair competition among enterprises. The Government was invited to modernize its inspection procedures and to bring them into line with international standards, in consultation and cooperation with the social partners and the private sector.
The Government representative noted that the criticism which had been voiced by the Ukrainian employers and workers reflected the internal processes under way in the country. He recalled that Parliament was a body that was not subject to the will of the Government, that employers’ organizations had lobbyists in Parliament, who could exert influence on its decisions, and on the adoption of legislation, by virtue of which all, including the Government, workers and employers, needed to abide. The Government was keen to establish effective labour inspection services that had adequate powers. He emphasized that full account would be taken of the criticisms expressed by the employers concerning the alleged inadequacy of the current legislation to ensure the effective functioning of labour inspection services and that relevant measures would be taken. Currently, about 3,500 labour inspectors worked at the labour inspectorate as public servants. Before its summer break, Parliament was planning to discuss the legislation on local government, which would also cover public labour services undertaken by the local authorities. The Government entirely agreed with the Worker representatives about the need for more funding and proper training of labour inspectors. He concluded by saying that his Government had welcomed the ILO technical assistance, which had made a significant contribution to the effective functioning of the labour inspectorate. He noted that a number of issues had been discussed in the framework of this assistance, such as the training of labour inspectors, and expressed hope that already next year, his Government would be in a position to report to the Committee of Experts on positive developments in relation to labour inspection.
The Employer members expressed their appreciation concerning the response of the Government on some of the specific issues raised during the discussion. The statements made by the Worker and Employer members from Ukraine had provided further insight into the national situation. It was clear that progress had been made, although the situation was not perfect. They welcomed the Government’s willingness to continue to engage with the national workers’ and employers’ organizations, and to avail itself of ILO support to continue to improve the labour inspection services and the training of labour inspectors. Information was requested from the Government on: (1) the legislation that had entered into force in May 2017, particularly with regard to its impact on labour inspection; (2) confirmation that the moratorium had not in any way been extended; and (3) the circumstances surrounding the moratorium and the relevant vote in Parliament. The positive engagement between the ILO, the Government and the social partners was the first of many steps to ensure a well-functioning and well trained labour inspection service.
The Worker members thanked the Government for its explanations, which showed its willingness to implement the Conventions, and suggested that it continue to avail itself of technical assistance from the Office within the framework of labour inspection reform. The Worker members were waiting for specific action from the Government to ensure that employers and workers were effectively involved in that process. The right of workers to file complaints, including on an anonymous basis, must be ensured, as well as their protection in exercising that right. Furthermore, the Government must firmly commit no longer to resort to measures such as a moratorium on inspections and to provide the Committee of Experts with information in that regard. Equally, in order to enable the labour inspectorate to carry out its advisory and supervisory duties, the Government must allocate more resources to it, including by increasing the number of inspectors, improving their training and ensuring that they received adequate remuneration. Inspectors must have the necessary leeway to carry out inspections, especially in high-risk industries. Lastly, the Government must make further efforts to implement a national action plan on occupational safety and health.
Taking into account the discussion, the Committee called upon the Government of Ukraine to:
- provide detailed information regarding recent legislation enacted on the regulation of the labour inspection system, including providing a copy of the same for analysis and consideration in relation to the application of Conventions Nos 81 and 129;
- continue to avail itself of ILO technical assistance in order to strengthen the capacity and resources of the labour inspection system, in particular with regards to the training and capacity building of labour inspectors;
- ensure that the status and conditions of service of labour inspectors guarantee their independence and impartiality in line with the Conventions;
In view of the information provided by the Government about the expiration of the moratorium placed on labour inspection, the Committee calls upon the Government to refrain from imposing any such restrictions on labour inspection in the future.
Previous comment
Also referring to its observation, the Committee draws the Government’s attention to its direct request on the application of the Labour Inspection Convention, 1947 (No. 81), and requests it to provide the Office with information on the points raised, in so far as this information also concerns, or specifically concerns, the application of the present Convention.
Referring to its previous observation regarding the comments by the Federation of Trade Unions of Ukraine (FTUU) dated 28 September 2009 on the application of this Convention, the Committee takes note of the Government’s communication of 12 January 2010 by which the Government replies to the points raised by the union.
In its comments, the FTUU referred to Act 877-V adopted on 5 April 2007 by the Supreme Council concerning the fundamental principles of state supervision in the area of economic activity, which entered into force on 1 January 2008. According to the union, the Act was supplemented on 23 May 2009 by Order of the Cabinet of Ministers of Ukraine concerning temporary restrictions on state supervision activities in the area of economic activity, applicable until 31 December 2010. Although the FTUU has not transmitted a copy of the abovementioned instruments to the ILO, it indicated a number of discrepancies they contain with regard to the provisions of this Convention as well as the Labour Inspection Convention, 1947 (No. 81).
Referring to its observation under Convention No. 81 and noting that the issues raised by the FTUU and the provisions referred to by the Government relate to the same extent to Articles 1(1)(a) and (2); 20(c); 21 and 24 of the present Convention, the Committee requests the Government to also provide, in addition to the requested documentation, any information relating specifically to the rights, the powers and the means of action of the labour inspection staff in agricultural enterprises.
The Committee is raising other points in a request addressed directly to the Government.
[The Government is asked to reply in detail to the present comments in 2011.]
The Committee notes the communication by the Federation of Trade Unions of Ukraine (FPU), dated 29 September 2009, containing comments concerning the application of the present Convention, particularly the impact of Cabinet Order No. 502 of 23 May 2009 supplementing Law No. 877/V of 5 April 2007 concerning the fundamental principles of state supervision of economic activities. The Office sent its comments to the Government on 20 November 2009. The Committee requests the Government to provide its opinion on the points raised by the Organization, as well as any relevant documentation.
[The Government is asked to reply in detail to the present comments in 2010.]
The Committee notes the detailed information provided by the Government in its first report and in the report received in 2007. Referring also to its comments under Convention No. 81 on the coverage of the labour inspection system and the prospect of creating an integrated inspection system incorporating occupational safety and health issues, the Committee draws the Government’s attention to the following points.
Article 9, paragraph 3, of the Convention. Training of inspectors. The Committee would be grateful if the Government would indicate the measures taken to ensure appropriate training for inspection staff performing their duties in the agricultural undertakings liable to inspection by each of the inspection authorities.
Article 15, paragraphs 1(b) and 2, and Article 21. Transport facilities, reimbursement of the travelling expenses of labour inspectors and inspections carried out. According to the information provided by the Government, during the period covered by the 2007 report, 8,672 agricultural undertakings were inspected out of almost 253,000 undertakings liable to inspection (legal entities and individuals who hire workers), representing a coverage rate of less than 3.5 per cent of undertakings. The information provided by the Government in its report under Article 17 of the Convention on inspection activities in the agricultural sector seems to indicate that these activities mainly target complexes in the food-processing industry. The Government also indicates that the inspection services do not have vehicles at their disposal for their work-related travel, but that the related expenses are reimbursed up to the relevant state budget allocation. The Committee would be grateful if the Government would provide further information on the distribution of inspections between industrial food-processing undertakings and agricultural undertakings employing agricultural workers. It also requests the Government to indicate the measures taken to ensure that agricultural undertakings which are situated far from urban centres and public transport facilities are inspected as often and as thoroughly as prescribed by Article 21.
Article 26. Publication of an annual report on the work of the inspection services in agriculture. The Committee notes with interest the detailed information provided by the Government on the activities of labour inspectors in 2005, 2006 and during the first half of 2007. It draws the Government’s attention to its comments in paragraphs 320 to 345 of its General Survey of 2006 on labour inspection on the objectives of an annual report containing the information required by Article 27 and on the value of its publication in one of the forms and within the time limits prescribed by Article 26, and it requests the Government to take measures to give full effect to these provisions and to keep the ILO informed.