Report in which the committee requests to be kept informed of development - Report No 275, November 1990

Case No 1505 (Barbados) - Complaint date: 23-JUN-89 - Closed

1. 152. The Committee examined this case and presented an interim report in May-June 1990 to the Governing Body, which approved it at its 246th Session (see 272nd Report, paras. 475-505).
2. 153. The Government submitted its further observations in communications dated 20 September and 3 October 1990.
3. 154. Barbados has ratified the Freedom of Association and Protection of the Right to Organise Convention, 1948 (No. 87) and the Right to Organise and Collective Bargaining Convention, 1949 (No. 98). It has not ratified the Promotion of Collective Bargaining Convention, 1981 (No. 154).

A. Previous examination of the case

1. 155. The complaint raised three issues: the level of collective bargaining; the setting of guide-lines (taking into account the Government's policy and the national economic interest) for the negotiation of conditions of work in statutory bodies; and the Government's approval of negotiated working conditions.
2. 156. The Committee concluded that the level of bargaining was a question to be agreed upon by the parties and, in relation to the remaining allegations, invited the Governing Body to approve the following recommendations (272nd Report, para. 505):
3. ...
4. (b) Given the Government's willingness to maintain in statutory bodies financed through subsidies working conditions that are reasonable and comparable to those prevailing in the public service, the Committee considers that more direct government participation in negotiations, or the possibility of presenting its arguments at an early stage, or prior consultation with an appropriate body, would not be contrary to the principles of freedom of association; however, the Committee considers that the requirements of Cabinet approval for negotiated agreements and of conformity with the policy and guide-lines unilaterally set for the public sector are not in full conformity with these principles.
5. (c) The Committee requests the Government to take measures to implement the agreements negotiated by NUPW at the enterprise level, such as in the Barbados Agricultural Development Corporation, including the payment of outstanding arrears.
6. (d) The Committee invites the Government to take these comments into consideration during the current and future rounds of negotiations with NUPW, and requests both parties to keep it informed on the outcome of these bargaining sessions.
7. (e) The Committee requests the Government to communicate the official texts providing that:
8. - conditions of service in statutory boards must take into account the guide-lines set by the Government for the public sector;
9. - the outcome of negotiations in statutory boards is subject to Cabinet approval before implementation.
10. B. The Government's further observations
11. 157. In its communication dated 20 September 1990, the Government reiterates that the guide-lines which are issued to statutory boards from time to time recognise the principle that collective bargaining is essentially a matter for the parties involved. It acknowledges, however, that there have been instances where, for just and sufficient reason, final agreement has been reached outside the limits of the guide-lines.
12. 158. Concerning the particular cases at hand, the Government adds that the level of pay increase set for the public sector in 1986 ranged from 9 per cent at the bottom of the pay structure to 1.25 per cent at the top. For most categories of workers, the increase represented a sum of Bds.$74 per month. However, in order to establish the concept of autonomy in collective bargaining for statutory boards, the National Union of Public Workers sought from the Industrial Development Corporation on the one hand, a lesser rate of Bds.$73.50. On the other hand, for the same categories of staff at the Barbados Agricultural Development Corporation, the union sought an increase of Bds.$77.
13. 159. According to the Government, this kind of manoeuvering has the potential to foster undesirable trade union rivalry which could lead to disruption of the industrial relations climate of the country and which should not be encouraged on any grounds. In this regard, the Government draws the Committee's attention to its response of 3 January 1990 wherein it is stated that the objective of the National Union of Public Workers is to upstage the Barbados Workers' Union in their joint representation of the same categories of workers. The Government could not be a party to such an attempt by any one union against another.
14. 160. The Government stresses that Parliament is the authority which provides funding for government operations, including the payment of subventions to statutory boards. The mandate of Parliament is carried out through the Cabinet which has to ensure as far as possible that the interest of the country as a whole is accorded the proper priority over temporary interests of any single group in the society. The Government does not intend to surrender its constitutional responsibility for the good Government of Barbados to this inappropriate behaviour which, though it may legally be accommodated within the collective bargaining process, is not in the best interest of the country.
15. 161. The Government also communicated the official texts requested by the Committee. The first one, being a Cabinet memorandum dated 1 October 1975, describes the procedure to be followed by Statutory Boards and Corporations when negotiating salaries and conditions of service. This document provides, inter alia, that upon receiving the trade union claims, the management of Boards must consult the Establishments Division and the Ministry of Finance with a view to determining the broad principles on which the proposals will be considered; the union's claims and the broad principles so determined are then referred to the Board's management, the relevant Ministry and to the Cabinet as may be necessary for general direction on the approach to be taken in subsequent negotiations with the union. The negotiating team must include, in addition to the management of the Board, representatives of the Establishments Division and of the Ministry of Finance and Planning; furthermore, during the negotiations the management of the Board should keep the Board and the Minister informed of progress. This document is complemented by a Cabinet Directive, dated 14 April 1987, which reads in part as follows:
16. Boards/Corporations should not determine conditions of service for their staff without prior approval of the relevant Minister, who should seek the advice of the Establishments and the Ministry of Finance before approving such conditions of service; ...
17. Finally, the Government provided the text of the standard clause included in laws establishing Statutory Boards, which reads in part as follows:
18. The Board may not, without the prior approval of the Minister:
19. - assign a salary in excess of such sum as the Minister determines and notifies in writing to the Board in respect of any office established by the Board; or ...
20. - make provision for the payment of pensions, gratuities or other like benefits to the officers or employees of the Board in respect of services to the Board.
21. According to the Government, these directives do not run counter to the letter or spirit of the enabling legislation.

C. The Committee's conclusions

1. 162. The Committee notes that, while recognising the principle that collective bargaining is essentially a matter for the parties involved, the Government justifies on two grounds its refusal to implement the agreements negotiated by the NUPW with statutory boards. Firstly, the Government states that the different wage claims presented by the NUPW in respect of same categories of staff in different boards could lead to disruption of the industrial relations climate of the country by fostering undesirable trade union rivalry. Secondly, it reiterates that the statutory boards are financed through public funds, and that the Cabinet must ensure precedence of the country's collective interest over the temporary interest of any single group; in the present case, although the agreements in question may legally be accommodated within the collective bargaining process, the Government considers that they are not in the best interest of the country.
2. 163. The Committee has already explained that it fully appreciated the Government's concern in that respect (see 272nd Report, para. 497). It drew the Government's attention to principles established in the past, both by this Committee and the Committee of Experts on the Application of Conventions and Recommendations, and suggested possible alternatives (ibid., para. 498) as regards the Government's input in the bargaining process. However, the Committee also made clear that the final decision must rest with the parties to the agreement, and that the requirement of Cabinet approval for negotiated agreements and of conformity with guide-lines unilaterally set for the public sector are not in full conformity with the principles of freedom of association, it being understood that this applies to all workers covered by Convention No. 98. In the circumstances, the Committee feels bound to request once more the Government to implement the collective agreements negotiated by NUPW with the statutory boards, including the payment of outstanding arrears, and to keep it informed of future developments in that respect.
3. 164. The Government states that the NUPW's actions could disrupt the industrial relations climate of the country by fostering trade union rivalry; it further argues that the NUPW's clear objective is to upstage the Barbados Workers' Union in their joint representation of the same categories of workers, and that it could not be a party to such an attempt by any one union against another. The Committee not only agrees with the latter proposition, but adds that the Government should neither support nor obstruct a legal attempt by a trade union to displace an existing organisation. Workers should be free to choose the union which, in their opinion, will best promote their occupational interests, without interference by the authorities. It may be to the advantage of workers to avoid a multiplicity of trade unions, but this choice should be made freely and voluntarily. By including the words "organisations of their own choosing" in Convention No. 87, the International Labour Conference recognised that individuals may choose between several workers' or employers' organisations for occupational, denominational or political reasons; it did not pronounce as to whether, in the interests of workers and employers, a unified trade union movement is preferable to trade union pluralism. Furthermore, freedom of association implies the right of workers and employers to organise their administration and activities, and in particular to bargain freely conditions of work, without any interference by the public authorities, which, in the present case, certainly includes the choice of bargaining strategy by the NUPW.
4. 165. As regards the various texts establishing the Government's power of intervention in collective bargaining, the Committee observes that the Government is being given a significant role in this process and that, for all practical purposes, the Minister has the final word with respect to pay and working conditions in Statutory Boards. The Committee refers the legislative aspects of this case to the Committee of Experts on the Application of Conventions and Recommendations.

The Committee's recommendations

1. 166. In the light of its foregoing conclusions, the Committee invites the Governing Body to approve the following recommendations:
   • (a) The Committee recalls that the requirements of Cabinet approval for negotiated agreements and of conformity with the policy and guide-lines unilaterally set for the public sector are not in full conformity with the principles on freedom of association, it being understood that this applies to all workers covered by Convention No. 98. It invites the Government to take these comments into consideration during the current and future rounds of negotiations with the NUPW and other bargaining agents, and to keep it informed on the outcome of these bargaining sessions.
   • (b) The Committee requests once more the Government to implement the collective agreements negotiated by the NUPW with the statutory boards, including the payment of outstanding arrears, and to keep it informed of future developments in that respect.
   • (c) The Committee refers the legislative aspects of this case to the Committee of Experts on the Application of Conventions and Recommendations.