Protection of Wages Convention, 1949 (No. 95) - Uruguay (Ratification: 1954)

Replies received to the issues raised in a direct request which do not give rise to further comments (CEACR) - adopted 2019, published 109th ILC session (2021)

The Committee notes the information provided by the Government, which answers the points raised in its previous direct request and has no further matters to raise in this regard.

Direct Request (CEACR) - adopted 2012, published 102nd ILC session (2013)

Article 4 of the Convention. Partial payment of wages in kind. The Committee recalls its previous comment in which it requested the Government to specify the legal provisions that give effect to this Article of the Convention. In its latest report, the Government refers to Act No. 10.449 of 12 November 1943 on the minimum wage, and Act No. 17.829 of 18 September 2004 on deductions from wages. These, however, do not regulate the conditions under which and the limits within which in-kind payments may be authorized.

In this regard, the Committee wishes to recall that Article 4 of the Convention is not a “self-executing” provision and requires therefore specific implementing measures to ensure that any allowances in kind which may be provided in partial settlement of the wages due: (i) do not unreasonably limit the portion of the wages received in cash; (ii) are practically useful and suited to the needs of the worker and his/her family; and (iii) are attributed a fair and reasonable value. The Committee draws the Government’s attention to paragraphs 114–160 of its 2003 General Survey on the protection of wages in which it highlighted possible ways of ensuring legislative conformity with these requirements (e.g. the cash value of allowances in kind not to exceed a specific percentage of the total amount of wages, allowances in kind limited to housing, food and clothing, or allowances to be valued at cost price). The Committee accordingly requests the Government to take appropriate measures to ensure that full effect is given to the requirements of this Article of the Convention. The Committee also requests the Government to provide copies of collective agreements containing clauses on the partial payment of wages in kind.

Article 6. Freedom of workers to dispose of their wages. The Committee notes the Government’s reference to Act No. 3.299 on the protection of wages and Act No. 108/007 of 22 March 2007 on work supervision documents. These, however, do not address specifically the question of protecting the full discretion of workers as to the use they wish to make of their wages against any coercion that an employer might apply in this regard. The Committee wishes to refer, in this connection, to paragraph 210 of the abovementioned General Survey in which it noted that nothing short of an explicit legislative provision setting forth a general prohibition upon employers from limiting the freedom of workers to dispose of their wages in any form and manner, directly or indirectly, and not simply in respect of the use of company stores, can be regarded as giving full effect to the requirements of the Convention. Other legislative measures, such as the exhaustive enumeration of authorized deductions, combined with an explicit provision to the effect that any deductions other than those expressly permitted by law are unlawful and without effect, may give only partial effect to the obligation laid down in this Article of the Convention. The Committee again requests the Government to take steps to ensure that the national legislation gives full effect to Article 6 of the Convention.

Article 7. Works stores. The Committee again requests the Government to transmit copies of collective agreements regulating the establishment and operation of works stores.

Article 13. Time and place of payment of wages. In the absence of any new information on this point, the Committee again requests the Government to take appropriate action to ensure that the national legislation expressly requires that the payment of wages, where made in cash, be made on working days only and at or near the workplace, as prescribed by this Article of the Convention.

Direct Request (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes the information in the latest reports from the Government, and the documents attached.

Articles 3 and 4 of the Convention. Part payment of wages in kind. The Committee notes that, in its report for 2002, the Government indicated that lawmakers were reticent about payment of wages in kind for historic reasons relating to the bartering system which had led to much abuse. It notes that provision of accommodation is very frequent in the case of caretakers and janitors, and in the rural sector. The Committee also notes from the information supplied by the Government that wages may be paid in part in the form of either food or food vouchers that can be used in supermarkets and restaurants but that such payment in kind may amount to not more than 20 per cent of the wage. It notes that numerous collective agreements allow for workers to receive clothing and uniforms and that payment in the form of transport or medical care may also constitute part of wages in kind. The Committee also notes the information in the Government’s latest report to the effect that wages may be paid partly in kind on two conditions: that such payment is for the personal use of the worker and his family and that it is assigned a fair and reasonable value. The Committee requests the Government to indicate the provisions of the law imposing these restrictions on part payment of wages in kind. The Government is also asked to provide copies of collective agreements allowing the part payment of wages in the form of clothing.

Article 6. Freedom of workers to dispose of their wages. The Committee notes that, pursuant to section 5 of Act No. 17.829 of 18 September 2004, any deductions from wages other than those imposed by a court require the consent of the worker. It also notes that, as will be enlarged on below, the Act seeks to protect workers against their own creditors by limiting the amount of such deductions so that the worker receives at least 30 per cent of his nominal wage. The Committee requests the Government to indicate the measures taken or envisaged for the legislation to provide expressly, and separately from the restrictions on deductions from wages, that workers are free to dispose of their wages.

Article 7. Works stores. The Committee notes that, in its report for 2002, the Government referred to Act No. 9.991 (applying to rice-producing establishments) and Act No. 10.471 (applying to workers employed in the exploitation of woodlands, forests and peat bogs), both of which allow suppliers to visit the workers’ accommodation during the day, the sale of alcoholic beverages being prohibited in such accommodation. It notes that, according to the Government, these provisions prevent the establishment of works stores in which workers would have to purchase commodities. The Committee notes, however, that these laws apply only to a limited number of workers, and asks it to indicate whether there are other provisions governing the operation of works stores. It also asks the Government once again to provide the texts of collective agreements providing for the establishment of such works stores.

Articles 8 and 10. Deductions from and attachment of wages. The Committee notes with interest the adoption of Act No. 17.829 of 18 September 2004 and its enabling Decree, No. 429/004 of 3 December 2004. It also notes the report submitted in September 2003 to the Labour Legislation Committee of the Chamber of Representatives, which accompanied the draft of the Act. According to this report, the various rules allowing deductions from wages set limits thereon but, in the absence of a general rule, it sometimes happened that the accumulated deductions made by various institutions amounted to more than the wage, so that the worker in effect received no remuneration. The Committee notes that section 3 of the above Act, as amended by Act No. 18.083 of 27 December 2006, establishes an “untouchable” portion of the wage, so that the remuneration received by the worker cannot amount to less than 30 per cent of his nominal wage after deduction of taxes and special social security contributions. The Committee accordingly observes that deductions from wages, other than for taxes and social security contributions, may not exceed 70 per cent of the net wage. The Committee requests the Government to indicate whether studies have been conducted to work out whether the “untouchable” portion of the wage is sufficient for the maintenance of the worker and his/her family – as advised in Paragraph 1 of the Protection of Wages Recommendation, 1949 (No. 85) – and to provide all relevant information on this matter.

Article 13. Date and place of payment. The Committee notes that, in reply to its previous comment, the Government refers to section 2, last paragraph, of Decree No. 429/004 of 3 December 2004, under which the wage must be paid directly to the worker or, with his agreement and at no cost to him, by bank transfer. The Committee also notes the information from the Government that payment is in most cases by bank transfer and otherwise must be made during working hours. The Committee observes, however, that the Government does not indicate which provisions of the law specify that the payment of wages, where made in cash, shall be made on working days only and at or near the workplace. The Committee therefore asks the Government once again to indicate the measures taken to ensure application of the Convention on this point.

Article 14(a). Informing workers of the conditions applicable in respect of wages. The Committee notes with interest the adoption of Decree No. 108/007 of 22 March 2007, which repeals and replaces Decree No. 392/980 of 18 June 1980 respecting work supervision documents. It notes that the Decree incorporates in its scope (section 1) non-state legal entities established under public law, whose workers were not covered by the former regulations. According to sections 3 and 19, all workers must be entered in the work supervision register on the day they are hired and, according to section 9, the register must record among other things the wage – expressed in the national currency – and any special features it may comprise. With regard to workers whose wages may be variable in part, section 17 specifies that the various components of the wage must be entered in the register. The Committee also notes that section 11 provides that the original of the register must remain in the enterprise and be accessible to workers wishing to consult it. Section 16 of the Decree provides that any general change in the wage must be recorded in the register within 15 days of its publication in the Official Journal, and that any voluntary change in the wage must be recorded in the register within the statutory time limit for payment. The Committee requests the Government to provide more extensive information on the manner and the period within which workers are informed in the event of voluntary changes in their wages.

Article 14(b). Payslips. The Committee notes that section 38 of Decree No. 108/007 requires all employers, including employers of domestic workers, to draw up and forward to their workers a payslip stating, among other things, the amount of the wage and the amount of the deductions made from it.

Part V of the report form. The Committee requests the Government to provide general information on the manner in which the Convention is applied in practice including, for instance, extracts of reports of the inspection services showing the number and nature of breaches of the wage protection legislation, and the measures taken to remedy them.

Observation (CEACR) - adopted 2007, published 97th ILC session (2008)

Further to its previous comments concerning observations made by the Latin American Central of Workers, the Committee notes that the Government has no knowledge of any court decisions on the complaint lodged by bank employees on grounds of failure to pay overtime and amounts improperly deducted from their wages. It further notes that, in a letter of July 2000 to the Minister of Labour, the Association of Bank Employees of Uruguay (AEBU), affiliated to the Inter-Trade Union Assembly–National Convention of Workers (PIT–CNT), stated that, no further attempts to breach the provisions of the Convention having been reported, it did not deem it appropriate to refer the matter to the Minister. The Committee requests the Government to indicate whether a court decision is still awaited in this case and, if so, to provide the text of it as soon as it is handed down.

Direct Request (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee notes the Government’s report.

Articles 3 and 4 of the Convention. The Committee notes that, by virtue of sections 2 and 18 of Act No. 10.449 of 12 November 1943, wages should be paid in legal tender and payments in kind may be authorized by wage boards but only in so far as minimum wages are concerned. The Committee would appreciate receiving further clarifications on the law applicable to wages other than minimum wages. It also requests the Government to provide a copy of any relevant legal text in this respect.

Article 6. The Committee notes that the principle according to which the employer should be prohibited from limiting in any manner the freedom of the worker to dispose of his/her wages does not appear to have been incorporated in national legislation. The Committee considers that an appropriate legislative provision laying down a specific prohibition is needed to give effect to the Convention in this regard and hopes that the Government will make every effort to take the necessary action in the very near future.

Article 7. The Committee notes the Government’s indication that workers’ stores are only established pursuant to the terms of collective agreements between the enterprise concerned and workers’ organizations and that their operation is controlled by joint committees in order to ensure compliance with the requirements of the Convention. The Committee requests the Government to supply additional information on the operation of such stores and also transmit the text of collective agreements providing for their establishment.

Articles 8 and 10. The Committee notes the various legislative provisions determining the grounds on which deductions from wages may be made or wages may be attached and the limits prescribed for each case, but wishes to draw attention to the fact that there seems to be no provision setting an overall limit not to be exceeded under any circumstances, particularly in those cases where deductions from wages or wage attachment would be permitted on multiple grounds. The Committee recalls the importance of setting such a limit in order to protect wages to the extent deemed necessary for the maintenance of the worker and his/her family. It therefore requests the Government to take measures to ensure that full effect is given to the requirements of the Convention in this regard.

Article 13. The Committee notes the Government’s indication that, as a matter of practice, the payment of wages is generally made at the workplace or at a bank near the workplace or the worker’s residence. The Committee hopes that the Government will find a suitable opportunity to bring its legislation in line with the practice, as well as with this Article of the Convention, in stipulating the payment of wages on working days only and at or near the working place but not in taverns and similar establishments or retail stores and places of amusement.

Observation (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee takes due note of the Government’s reply to its previous observation concerning the comments made by the Latin American Central of Workers (CLAT) with reference to cases of bank employees - principally those affiliated with the Association of Bank Employees of Uruguay (AEBU) - who are allegedly treated in a discriminatory manner in contravention of the Convention. The Government indicates in its response that, as soon as those allegations were made known, the AEBU was requested to provide detailed information in order to facilitate all necessary administrative controls. In its reply, a copy of which is annexed to the Government’s report, the AEBU stated that the case which had given rise to the communication of the CLAT had in the meantime been brought before the courts waiting for judicial settlement, and that to its knowledge there were no other cases of discrimination or violation of the Convention concerning the protection of wages to report.

The Committee wishes to emphasize the importance of such means as effective supervision and imposition of appropriate penalties in order to prevent and punish infringements of national laws and regulations on wage protection. It requests the Government to keep it informed of any further developments in this regard and to supply the text of the court’s decision on the above case once it is delivered.

The Committee is addressing a direct request to the Government concerning other points.

Observation (CEACR) - adopted 1999, published 88th ILC session (2000)

The Committee notes that the Government's report contains no reply to its previous comments. It must therefore repeat its previous observation which read as follows:

The Committee notes the observations made by the Latin American Central of Workers (CLAT), with reference to Articles 6 and 9 of the Convention, pointing out that there have been cases of non-payment of wages for overtime hours worked and inappropriate deductions from wages. These observations were transmitted to the Government for its comments in January 1998. In the absence of response from the Government, the Committee invites it to send its observation on the issues raised.

The Committee hopes that the Government will make every effort to take the necessary action in the very near future.

Observation (CEACR) - adopted 1998, published 87th ILC session (1999)

The Committee notes the observations made by the Latin American Central of Workers (CLAT), with reference to Articles 6 and 9 of the Convention, pointing out that there have been cases of non-payment of wages for overtime hours worked and inappropriate deductions from wages. These observations were transmitted to the Government for its comments in January 1998. In the absence of response from the Government, the Committee invites it to send its observation on the issues raised.

[The Government is asked to report in detail in 1999.]

Direct Request (CEACR) - adopted 1987, published 74th ILC session (1987)

The Committee notes the comments made by the Paycueros Workers' Union, transmitted in a communication of 12 February 1986, concerning a wage dispute, which presents aspects that appear to relate to the application of Conventions Nos. 95 and 131. It also notes the detailed comments supplied by the Government in its communication of 28 May 1986. The Committee considers that the measures taken do not conflict with the provisions of Convention No. 95.

Article 12(2) of the Convention. The Committee would be grateful if the Government would transmit the texts of Act No. 14.490 of 23 December 1975, and any judicial decisions relating to the application of the above Article.