Key labour actors of Timor-Leste jointly reviewed dispute resolution mechanisms during a National Tripartite Dialogue held in Dili on 18 August. The dialogue aimed to improve effectiveness of the available mechanisms and processes. The dialogue also aimed to promote a culture of industrial relations that encourages cooperation and prevent conflicts in the world of work.

Angelo Veloso, Vice President of National Labour Council, recognized the urgent need for the country to strengthen its dispute resolution system. “There is a need to strengthen and improve dispute resolution system at the all levels from bipartite and mediation by the Secretary of State for Vocational Training and Employment (SEFOPE) levels to tripartite arbitration and district court,” he said in his opening remarks.

Supporting this initiative to establish a harmonious industrial relation, Albert Uriyo, Office-in-Charge Head of Mission ILO Timor-Leste, underscored the importance of social dialogues among relevant parties. “History and experience have revealed that social dialogue is the most cost-effective strategy for addressing disputes as it generates savings across dispute mediation, judiciary and welfare services.”

The dialogue presented the ILO’s Collective bargaining and Social dialogue Specialist, Arun Kumar, who pointed out that workplace practices are not a cure-all for all problems but do have an influential role to play in preventing disputes, improving company performance and promote decent work. He also highlighted the key ILO’s principles that bodies and procedures for the settlement of labour disputes should be so conceived as to contribute to the promotion of collective bargaining.

Discussing the dispute resolution system from enterprise level (bipartite) through to third party dispute resolutions via mediation, arbitration and the court intervention, participants focused discussion on three major questions: What dispute resolution mechanism and process are now in place? What reforms are needed? What commitments on actions to be taken as next steps?

Discussions revealed that constituents tend to rely mostly on bipartite negotiations between employers and union and secondly on mediation by SEFOPE to which workers often turn to. Thus, improving the efficiency and effectiveness of these two mechanisms is essential for securing sound industrial relationships in Timor-Leste.

The dialogue led to few recommendations for the reform of the entire dispute resolution system. Two main recommendations presented included the need to develop guidelines on dispute resolution at enterprise level and the establishment of national bipartite forum for dialogue, relationship building and cooperation to achieve mutual objectives.

In regard to mediation and conciliation, it was recommended that SEFOPE should formulate a specific law for mediation and provision of training for the existing mediators, including training at Judicial Training Center. It was also recommended to develop procedural guidelines to ensure consistency of procedure followed by SEFOPE mediators.

Concerning the arbitration and district court, it was recommended to have specific law for arbitration and to promote regular dialogue between District Court and Arbitration Council to discuss streamlining implementation of processes and decisions, including the Memorandum of Understanding (MoU) between Arbitration Council and District Court and the need to amend Labour Law No. 4/2012.

The dialogue was jointly organized by the SEFOPE and the ILO, bringing together 30 representatives from government, workers’ and employers’ organizations as well as district courts.