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Regulating non-standard employment in ASEAN and East Asia: A comparative survey of regulatory frameworks and trade union strategies
Melisa R. SerranoSchool of Labor and Industrial Relations-University of the Philippines
Content outline
Convergences and divergences of trends in non-standard employment (NSE) in: ASEAN: Indonesia, Malaysia, Philippines,
Singapore, Thailand and Viet Nam East Asia: Hong Kong, Japan, South
Korea and Taiwan Types of regulatory regimes Role and strategies of trade unions in
regulating NSE
Defining non-standard employment
Dimensions Standard work/employment
Nonstandard work/employment
Contractual Highly regulated* and collectively negotiated
Deregulated and individually negotiated
Spatial Spatially concentrated, specialist site separate from home
Spatially variable, multiple sites
Temporal Full-time, permanent Variable time, impermanent
Gender system
Male breadwinner/female houseworker
Dual earner/variable houseworker
*Regulations covering hours, pay, redundacy, health, safety and benefits such as pensions, holiday and sick pay, etc.
Source: Table reproduced from Edgell, S (2012) The Sociology of Work: Continuity and Change in Paid and Unpaid Work (2nd ed). London: Sage Publications Ltd., p. 146.
A variety of terms in ASEAN
Terms Ind0 Mal Phil Sing Thai Viet
(Fixed or short) Term contract
√ √ √ √
Casual work √ √ √ √
Contract of service
√
Contract/piece paid
√ √ √
Project-based √
Seasonal work √ √
Apprenticeship √ √
On-call employment
√ √
A variety of terms in ASEAN
Terms Indo Mal Phil Sing Thai Viet
Part-time work √ √
Outsourced work*
√ √ √ √ √
Contract for service*
√
Service/labour contracting*
√ √ √
Agency hire* √ √ √
Labour dispatch work*
√ √
Employee subleasing*
√
*Involving triangular employment relationsSource: Serrano, 2014
A variety of terms in East Asia
Forms/types HK Japan S Korea Taiwan
Part-time √ √ √ √Fixed-term (directly-hired) √ √ √ √Contract work (directly-hired) √ √ √ √Agency/dispatch work √ √ √ √Contract-out or in-house subcontracting
√ √
Arbeits &/or temporary workers
√
‘Disguised’ self-employment √ √ √Entrusted √
Continuous & non-continuous employment
√
Casual work/daily workers √ √
Zero-term contract (as a special category)
√
Non-standard employment (NSE): Common characteristics & trends
Fixed or short duration employment contract
Lower and unstable incomes Fewer or absence of social security
benefits Working at multiple worksites Dominance of elementary occupations
without career prospect Dominance of services jobs Over-representation of women & young
workers; but increasingly among older workers in East Asia (except Taiwan)
Non-standard employment (NSE): Common characteristics & trends
Dangerous & risky jobs without adequate protection
Largely unorganized/non-unionized Use of fixed term contracts through
outsourcing in almost all sectors & across a variety of occupations
Outsourcing increasingly done within the enterprise
Outsourcing giving rise to triangular employment relations
High and increasing incidence of NSE (except in Singapore, Hong Kong & Taiwan)
Incidence of NSE
Country Incidence
Indonesia (2010)**
65% of all employed in formal enterprises
Malaysia (2011)*
1 in 4 workers in informal employment
Philippines (2012)*
1 in 3 rank-and-file workers in formal enterprises
Thailand (2012)* 63% of all employment considered informal
Viet Nam (2012)**
1 in 3 labour contracts with 1-3 years term
Japan (2013)* 36.3% of all workers are non-regular workers
South Korea (2014)*
32.1% of all workers are non-regular workers, plus 20% subcontracted workers= 52%
Notes: *Source of data from official statistics and official surveys of each country;**Source of data from studies done by various academics and organizations
Classification of legal frameworks
‘Relaxed’ regime
‘Highly-regulate
d’ regime
None
Existence of specifications on sectors, activities and types of jobs where fixed term & agency work is allowed
Yes
None
Limitations set on the duration of term contracts and the number of times a contract can be renewed
Yes
None
Laws and regulations on manpower recruitment and supply complemented with stricter and special regulations on the operations of third-party labour suppliers
Yes
None
Provisions on solidary liability between user company and third-party labour supplier
Yes
None or not clea
r
Provisions or regulations on the rights and legal entitlement of non-standard workers
Yes
Two stylized types of regulatory framework on non-standard
employment
Classification of countries according to regulatory regimes
‘Relaxed’ ‘Highly-regulated’
In between
Malaysia Indonesia ThailandSingapore Philippines TaiwanHong Kong Viet Nam
JapanSouth Korea
• However, having a “highly regulated” legal framework is no guarantee that abuses and violations will be prevented or at best minimal
Trade union strategies
Country Innovating new forms
of represent
ation
Use of collective bargainin
g
Use of strike action
Improving
regulatory
framework
Use of tripartite mechanis
ms
Indonesia √ √ √ √
Malaysia √ √
Philippines
√ √ √ √
Singapore
√ √
Thailand √ √ √
Viet Nam √
Hong Kong
√ √ √ √
Japan √ √
S. Korea √ √ √ √
Taiwan √ √ √
Note: Most of the trade unions interviewed belong to the services sector.
Conclusion and insights
Expansion and diversification of NSE in most of the 10 countries
Tightening of regulations as a result of expansion of NSE Equal treatment rules Specification on the duration and permitted
circumstances Listing of permissible jobs that can be
outsourced or subjected to agency work
Conclusion and insights
Existence of possible associations between union density trend, growth in NSE and type of regulatory regime In highly-regulate regimes, union density is
declining and proportion of non-standard workers is increasing (e.g. Philippines, Indonesia, Japan and South Korea)
Increasing role of trade unions in regulating NSE at various levels Use of a variety of strategies to accord
protection to non-standard workers and arrest the spread of NSE