Description of Rating and Scored Questions

DESCRIPTION OF THE RATINGS

 

Ratings   Score Range
Decent Work 1 90.5-100
Approaching Decent Work  2 80.5-90
Reasonable Access to Decent Work  3 70.5-80
Limited Access to Decent Work 4 60.5-70
Basic Access to Decent Work 5 50.5-60
Total Lack of Decent Work 6 0-50

1. DECENT WORK

Almost all labour rights, as covered by the Index, are provided under the legislation in countries with a ranking of 1 (Decent Work). Workers have regular access to decent work in nearly every aspect of working life. Reforms in labour legislation in a couple of areas can improve the statutory rights further.  

2. APPROACHING DECENT WORK

Countries with a rating of 2 (Approaching to Decent Work) have generally a lower level of labour rights than those with a rating of 1. Countries with this rating have scored Yes on at least 37 of the 46 evaluation criteria. Most labour rights are provided under the legislation. Workers have frequent access to decent work in most aspects of working life.

3. REASONABLE ACCESS TO DECENT WORK

Generally, labour rights are reasonably provided under the legislation in Countries with a rating of 3 (Reasonable Access to Decent Work). Workers have fair access to decent work in some aspects of working life. The countries with this rating have scored Yes on at least 33 of the 46 evaluation criteria.  

4. LIMITED ACCESS TO DECENT WORK

Restricted labour rights are provided under the legislation in countries with a rating of 4 (Limited Access to Decent Work). Workers have access to decent work in limited aspects of working life only. The national/local legislation does not meet the international standard on nearly 18 of the 46 evaluation criteria.

5. BASIC ACCESS TO DECENT WORK

Minimal labour rights are provided under the legislation in countries with a rating of 5 (Basic Access to Decent Work). There are systematic violations of workplace rights through statutory means. Workers have nominal access to decent work in a few aspects of working life only. The national/local legislation does not meet the international standard on nearly 20 of the 46 evaluation criteria. 

6. TOTAL LACK OF DECENT WORK

Decent work deficits are rife in countries with a rating of 6 (Total Lack of Decent Work). The national/local legislation barely meets the international standard on even half of the 46 evaluation criteria. There is an absence of minimal labour rights under the legislation. Workers are deprived of access to decent work in nearly every aspect of working life.

WHAT IS NEXT?

In the upcoming editions of the Labour Rights Index, we plan to include the following components: provision of day care/childcare centres at the workplace; fair treatment of part-time workers equivalent to comparable full-time workers with respect to different aspects of employment; the labour inspection system; prohibition of worst forms of child labour; establishment of social dialogue or tripartite mechanism to discuss labour market issues at economy level.

Establishment of a vibrant labour inspection system and social dialogue mechanism with due representation from all relevant stakeholders is important from a governance viewpoint. While these are not directly associated with workers’ rights, these make the attainment of workers’ rights easier by simplifying the processes and removing any institutional hurdles.

It is also planned to extend the coverage to 140 countries. These mainly include countries from Central Asia, North Africa, and some South American countries. Any future legal updates which lead to changes in the scores, as well as near misses will also be included.

SCORED QUESTIONS

This section focuses on the 46 scored binary questions, grouped by indicators. While recognising the fact that there will always be a divergence between “what is on the books” and “what happens in practice”, the Index does not consider the implementation of legislation; the scoring is based on statutory law only.

FAIR WAGES

The Fair Wages indicator measures whether the law requires payment of minimum wages and regular as well as timely disbursement of wages. The indicator also refers to additional compensation for overtime work, night work and work on weekly rest days.  This indicator has five components that measure: 

  • Whether labour legislation sets the minimum wage. A score of 1 is assigned if labour legislation sets the minimum wage or if the minimum wage is set through negotiation between the parties or through sectoral bargaining at the sectoral or even national level. In order to be assigned a score of 1, a country must have updated their minimum wage at least once during the past two years. A score of 0 is assigned if there is no provision in legislation on minimum wage or in the absence of statutory minimum wage, there is no sectoral bargaining. A score of 0 is assigned if the minimum wage has not been updated at least once during the last two years. 
  • Whether labour legislation requires regular payment of wages.  A score of 1 is assigned if labour legislation requires employers to ensure regular and timely payment of wages. Wage payment periods can be set at the hourly, daily, weekly, fortnightly or monthly level. A score of 0 is assigned if labour legislation does not require employers to ensure regular and timely payment of wages on completion of a wage period. 
  • Whether overtime compensation is at least 125% of the regular rate. A score of 1 is assigned if monetary compensation for overtime is 125% or more of the regular hourly rate or where paid time-off is given as compensation for overtime. A score of 0 is assigned if overtime compensation is less than 125% of the regular hourly rate. 
  • Whether there is additional compensation for working on a weekly rest day. A score of 1 is assigned if legislation requires provision of compensatory rest day. A score of 1 is also assigned if workers are given both the substitute day-off and a premium payment. A score of 0 is assigned if working on a weekly rest day is compensated with only a premium payment or workers have the option to choose between either. 
  • Whether there is additional compensation for work during night hours. A score of 1 is assigned if monetary compensation (premium, additional or extra pay) is awarded to those who work during night hours or if working hours for night workers are reduced. A score of 0 is assigned if night work does not lead to premium payment or reduction in working hours. For scoring this question, other than legislation, general/inter-professional collective agreements are taken into account.

DECENT WORKING HOURS

The Decent Working Hours indicator measures whether workers' health and well-being are preserved while ensuring their productiveness and motivation. The indicator considers daily and weekly maximum hours of work in excess of which any time worked is remunerated at overtime rates. This indicator also considers weekly rest periods, public holidays, and annual leave. Paid rest days, whether in the form of weekly rest, public holidays or annual leave, are periods during which a worker is off work while continuing to receive an income and being entitled to social protection. 

This indicator has five components that measure:  

  • Whether labour legislation limits general working hours to 48 hours per week. A score of 1 is assigned if general working hours do not exceed 48 hours per week. A score of 0 is assigned if there is no restriction on weekly working hours or if general working hours are more than 48 hours per week. 
  • Whether labour legislation limits maximum working hours to 56 hours per week. A score of 1 is assigned if total working hours inclusive of overtime do not exceed 56 hours per week. A score of 0 is assigned in all such cases where total working hours are more than 56 hours per week. 
  • Whether labour legislation requires a weekly rest of at least 24 hours. A score of 1 is assigned if workers have the right to a weekly rest of a minimum of 24 consecutive hours. A score of 0 is assigned if labour legislation does not require a weekly rest day, as specified above. 
  • Whether there are paid public holidays. A score of 1 is assigned if workers are allowed fully paid public holidays. A score of 0 is assigned if labour legislation does not require employers to grant a fully paid day-off on public holidays. 
  • Whether there is paid annual leave. A score of 1 is assigned if labour legislation requires employers to grant workers at least three working weeks of paid annual leave52 after completion of one year of service. A score of 0 is assigned if the length of paid annual leave is less than three working weeks. 

EMPLOYMENT SECURITY

The Employment Security indicator measures whether labour legislation ensures that workers' jobs are characterised by a degree of permanence and reliability. The indicator considers various aspects of employment security and stability like a written employment contract, indefinite vs fixed-term contracts for tasks of a permanent nature, a probation period, a notice period before termination of contract and severance pay. 

This indicator has five components that measure: 

  • Whether employers are required to provide written employment contracts to workers. A score of 1 is assigned if labour legislation requires employers to provide written employment contracts or at least written employment particulars to workers on commencement of employment. A score of 0 is assigned if there is no requirement on the part of the employer to provide any such written document. 
  • Whether labour legislation restricts the hiring of fixed-term contract workers. A score of 1 is assigned if the maximum length of fixed contacts including renewals is less than 5 years.  A score of 0 is assigned in all such cases where labour legislation does not specify the maximum length of fixed-term contracts or allows the maximum length of fixed-term contracts including renewals to exceed five years. 
  • Whether labour legislation limits the length of the probation period to three months. A score of 1 is assigned if labour legislation limits the maximum length of the probation period, including renewals to three months. A score of 0 is assigned if labour legislation does not refer to probation or trial period or allows it to exceed three months. 
  • Whether there is a 30-day notice before contract termination. A score of 1 is assigned if both parties can terminate an indefinite term contract after serving a 30-day53  written notice or paying in lieu of notice, except in cases of gross misconduct. A score of 1 is also assigned where a termination notice required from employees is 30 days, but is still less than what is required of employers or where the notice period required from employers is 30 days, but for employees ranges between 14 to 30 days. A score of 0 is assigned if the contract termination notice is less than 30 days or more than 30 days. 
  • Whether there is severance pay on contract termination. A score of 1 is assigned if labour legislation requires employers to provide severance pay (gratuity or end of service allowance) at the rate of two weeks wages for every year of service on contract termination in the event of individual dismissal or economic dismissals (redundancy) or on expiry of a fixed-term contract, except in cases of gross misconduct. A score of 0 is assigned if severance pay is not required under the law or is provided at a rate lower than two weeks wages for every year of service or if the rate is not clearly specified under the law. 

FAMILY RESPONSIBILITIES

Family responsibilities are responsibilities in relation to dependent children and other immediate family members who need care (sick, elder, infirm). The Family Responsibilities indicator measures whether labour legislation ensures that workers get paternity leave, parental leave and flexible work options while tending to their family responsibilities. 

This indicator has four components that measure:

  • Whether parental leave is available to parents. A score of 1 is assigned if workers have the right to paid or unpaid parental leave of at least four months, on exhaustion of paternity and maternity leave. A score of 0 is assigned if labour legislation does not provide for the right to parental leave54.  
  • Whether fathers have the right to take paid paternity leave. A score of 1 is assigned if labour legislation requires employers to grant paid paternity leave of at least one week on the birth of a child. Paternity leave might be an employer liability or paid by the social security system or general tax financing. A score of 0 is assigned if there is no provision for paid paternity leave of at least one week. 
  • Whether flexible working arrangements are available to workers with family responsibilities. A score of 1 is assigned if labour legislation allows flexible work arrangements (flextime or part-time work option or work from home options, etc) for workers with family responsibilities. A score of 0 is assigned if labour legislation provides access to part-time work or flextime generally to all workers without mandating it for workers with family responsibilities. 
  • Whether there are paid nursing breaks. A score of 1 is assigned if labour legislation requires the provision of paid nursing breaks to workers (mainly mothers) until the infant is six months old.  A score of 0 is assigned if labour legislation does not require employers to grant fully paid nursing breaks to workers until the infant is six months old. These nursing breaks can either be during the working day or can also take the form of reduced working hours. 

MATERNITY AT WORK

Maternity protection allows women to successfully combine their productive and reproductive roles without compromising one at the cost of another. Similarly, it protects women from discrimination in the labour market due to their reproductive roles. The Maternity at Work indicator measures whether labour legislation ensures that workers get paid maternity leave and are protected from dismissal during and on account of pregnancy. 

This indicator has four components that measure:

  • Whether law prohibits inquiring about pregnancy during recruitment. A score of 1 is assigned if labour legislation prohibits employers from inquiring about pregnancy (through pregnancy testing or other means) during recruitment. A score of 0 is assigned if there is no prohibition in law on inquiring about pregnancy/family planning during recruitment or making it a recruitment condition.  
  • Whether maternity leave is available for 14 weeks. A score of 1 is assigned if pregnant workers have the right to maternity leave of at least 14 weeks. A score of 0 is assigned if the length of maternity leave is less than 14 weeks. 
  • Whether maternity leave benefit is at least 66.67% of the worker's former wage. A score of 1 is assigned if maternity leave benefit is 66.67% or higher than the pregnant worker's former wage. In cases where the maternity leave is over and above 14 weeks, the score will remain 1 if the payment for maternity leave through social insurance or universal benefits is at least 66.67% of the former wage for at least the first 14 weeks. In cases where workers are paid flat rate maternity benefits, these must be at least 66.67% of the applicable minimum wage. A score of 0 is assigned if maternity leave benefit is less than the above threshold. 
  • Whether maternity benefit is employer liability. A score of 1 is assigned if maternity benefit is paid through a contributory social insurance system or through a non-contributory universal benefits system financed through general taxation. A score of 0 is assigned if maternity benefit is only employer liability and employers are required to pay workers their wages during maternity leave. 
  • Whether law protects workers from dismissal during pregnancy. A score of 1 is assigned if legislation prohibits employers from terminating workers during or on account of pregnancy (e.g. certified sickness related to pregnancy) except in cases of gross misconduct. A score of 0 is assigned if legislation does not protect workers from dismissal during or on account of pregnancy. 

SAFE WORK 

Decent work, in essence, is safe work. The Safe Work indicator measures whether labour legislation ensures that workers are trained about health and safety issues before the commencement of work and whether the employer provides free protective equipment to workers. 

This indicator has four components that measure: 

  • Whether the law requires employers to provide free personal protective equipment to workers. A score of 1 is assigned if labour legislation requires employers to provide free personal protective equipment to the workers. A score of 0 is assigned if there is no requirement for the provision of free personal protective equipment.  
  • Whether law requires training on health and safety issues. A score of 1 is assigned if the law requires employers to provide health and safety training while they join work or where they are assigned on some new work. A score of 0 is assigned if legislation does not require training on health and safety issues. 
  • Whether law restricts work that is determined to be prejudicial to the health of the mother or the child. A score of 1 is assigned if legislation restricts pregnant or nursing women from being obliged to perform arduous work that is prejudicial to the health of the mother or the child. Based on the workplace assessment and medical certificate, legislation should require elimination of risk, adaptation of working conditions, transfer to another post without loss of pay and access to paid leave when neither of the above are possible. A score of 1 is also assigned if legislation prohibits night work where a medical certificate declares such work as incompatible with a woman’s pregnancy or nursing. A score of 0 is assigned if arduous work and any of its other forms, as noted in Paragraph 6(3) of the ILO Recommendation 191, are not restricted for pregnant or nursing workers and/or there is a general prohibition only.
  • Whether legislation provides for employment injury benefit. A score of 1 is assigned if employment injury or disease benefit is provided under the law and is paid through social insurance or where the employer pays a monthly premium to the private or public carrier (insurance provider) to provide employment injury benefits. A score of 0 is assigned if employment injury benefit is not financed through the social insurance system (employer liability program only) or is not provided under the law. 

SOCIAL SECURITY

Adequate social protection is an important aspect of decent work. Protection from the major risks in life through social protection helps keep people out of poverty and prevents them from being thrown into poverty when unforeseen catastrophes occur, such as an accident, an illness or the loss of a job or in old age when work is impossible or very difficult.

Social security covers a broad range of benefits which, depending on the country, may include:

(i) old-age pensions; (ii) health care; (ii) dependants’/survivors’ benefit; (iv) disability/invalidity insurance; (v) paid sick leave; and (vi) unemployment insurance.

This indicator has five components that measure: 

  • Whether law provides for old-age pension. A score of 1 is assigned if legislation creates a contributory old-age pension or if old-age pension is paid through a non-contributory universal benefits system (both administered by state). A score of 0 is assigned if there is no explicit provision for state administered old age pension or is employer liability or if the old age pension is means-tested. 
  • Whether law provides for survivors'/dependants' pension. A score of 1 is assigned if legislation provides for a contributory social insurance survivors' or dependants' pension, or it is paid through a non-contributory universal benefits system in the event of workers' or pensioners' death once they are eligible for old-age pension or disability pension (both administered by the state). A score of 0 is assigned if there is no explicit provision for state administered survivors’ pension or is employer liability or if survivors' pension is means-tested. 
  • Whether law provides for unemployment benefits. A score of 1 is assigned if legislation provides for unemployment benefit if a worker loses employment either through a contributory social insurance system or non-contributory universal benefits system. A score of 0 is assigned if there is no explicit provision for a state administered unemployment benefits system or where unemployment benefits are means-tested or where only severance pay is provided. 
  • Whether law provides for paid sick leave for the first six months of sickness. A score of 1 is assigned if legislation allows paid sick leave or sickness benefits for a minimum of the first six months of illness. The paid sick leave/sickness benefits must have been funded through a contributory social insurance system or universally accessible system. A score of 0 is assigned if paid sick leave/sickness benefit is less than six months or if it is paid after a more than 10-day waiting period, or if it is only employer liability.  
  • Whether legislation provides for invalidity benefits. A score of 1 is assigned if the non-occupational disability or invalidity benefit is provided under the law and is paid through a contributory social insurance system or through a non-contributory universal benefits system financed through general taxation (both administered by the state). A score of 0 is assigned if the invalidity benefit is only employer liability or means-tested, or if there is no explicit provision for a state administered invalidity pension.

FAIR TREATMENT

The Fair Treatment indicator measures legislation causing wage gap, discrimination in employment matters, sexual harassment at work, employment segregation and unequal access to basic labour protection for gig workers. Equal remuneration for all workers, referring to the rates of remuneration without discrimination on the basis of gender and any other discriminatory grounds, is the fundamental requirement for promoting non-discrimination at the workplace. 

This indicator has five components that assess: 

  • Whether the law prohibits discrimination in employment. A score of 1 is assigned if the law prohibits employers from discrimination or mandates equal treatment of all workers in employment matters. A score of 0 is assigned if the law does not prohibit such discrimination or only prohibits such in one aspect of employment, such as pay or dismissal. The prohibited grounds for discrimination are "race, colour, sex, religion, political opinion, national extraction or social origin, age, disability and trade union membership". A score of 1 is assigned only if a country has prohibited discrimination on at least 7 of the above 10 grounds. 
  • Whether the law requires equal remuneration for work of equal value. A score of 1 is assigned if legislation mandates equal remuneration for male and female workers for work of equal value without any discrimination on the grounds of sex. A score of 0 is assigned if the law limits the principle of equal remuneration to the same work, similar work, equal work or work of a similar nature. 
  • Whether law prohibits sexual harassment at work. A score of 1 is assigned if legislation protects against workplace sexual harassment. A score of 0 is assigned if there is no such legislation or if it addresses harassment in general or has a general prohibition on harassment only without any criminal penalties (fines and/or imprisonment) or civil remedies (monetary compensation for victims and recovery of damages). 
  • Whether the law allows women to do the same jobs as men. A score of 1 is assigned if legislation does not restrict non-pregnant and non-nursing women from working in the same jobs as men. A score of 0 is assigned if the law prohibits or restricts women from working in jobs deemed hazardous, arduous, or morally inappropriate. A score of 0 is also assigned if women workers are prohibited from working during night hours. 
  • Whether the law guarantees basic labour protections to the gig economy workers. Considering the new phenomenon of gig economy, a score of 1 is currently assigned to all such countries which provide at least the basic social protection55 (old age pension, survivors’ benefits and invalidity benefits) to the self-employed workers.  A score of 0 is assigned if the basic social protection is not afforded to the self-employed workers or where access to these benefits is linked to citizenship.  

CHILD AND FORCED LABOUR

The Child and Forced Labour indicator measures legislation regulating employment of children and linking this employment to their compulsory education. The indicator also measures whether legislation prohibits forced labour.  

This indicator has four components that assess:

  • Whether the law prohibits the employment of children. A score of 1 is assigned if legislation prohibits the employment of children under the age of 15 years (14 years in the case of developing countries). A score of 0 is assigned if the employment entry age is lower than 14 or 15 years except in case of light work. 
  • Whether employment entry age is similar or higher than the compulsory education age. A score of 1 is assigned if legislation sets the employment entry age similar to or higher than the compulsory education age. A score of 0 is assigned if the employment entry age is lower than the compulsory education age or if compulsory schooling age is not defined under the law. 
  • Whether the law prohibits the employment of adolescents in hazardous work. A score of 1 is assigned if legislation prohibits employment of children under the age of 18 years in hazardous work56 . A score of 0 is assigned if the employment entry age for hazardous work is lower than 18 years or is not specified. 
  • Whether the law prohibits forced labour. A score of 1 is assigned if legislation prohibits forced labour except in certain extraordinary circumstances. A score of 0 is assigned if the law does not prohibit forced labour or has only a general prohibition without any sanctions. 

TRADE UNION

The Trade Union indicator measures legislation regulating freedom of association, the right to collective bargaining as well as the right to strike. 

This indicator has four components that assess:

  • Whether the law allows freedom of association. A score of 1 is assigned if legislation allows workers to form and join organisations of their own choice with the exception of armed forces, police, prison services, intelligence agencies, judges, firefighting, those engaged in the administration of the state, and managerial employees. A score of 0 is assigned in the following cases: 
    • There is an explicit general prohibition in law of the right to establish and join organisations or the law prohibits more than one trade union in a single enterprise or there is state monopoly through the imposition of a single organisation to which workers must belong. 
    • There are restrictions or exclusions from the right to freedom of association, other than those referred above.
    • Workers are excluded from the right to form and join organisations of their own choice based on exclusionary criteria like race, political opinion, nationality, age or on the grounds of occupational categories (public or private sector)57.   
  • Whether the law allows workers to bargain collectively. A score of 1 is assigned if legislation allows workers - with the exception of armed forces, police, prison services, intelligence agencies, firefighting, judges, those engaged in the administration of the state, and managerial employees - and their representative organisations to negotiate and conclude collective agreements with employers to determine terms and conditions of employment. A score of 0 is assigned in the following cases:
    • There is an explicit general prohibition in law of the right to collective bargaining.
    • Workers are excluded from the right to form and join organisations of their own choice based on exclusionary criteria like race, political opinion, nationality or on the grounds of occupational categories (public or private sector) except those referred above.
    • There are excessive requirements and/or there is a lack of objective, pre-established and precise criteria for the determination/recognition of trade unions entitled to collective bargaining.
    • There are excessively high representation thresholds (higher than 20%) for trade unions for collective bargaining purposes.58 
  • Whether the law allows the right to strike. A score of 1 is assigned if legislation provides for the right to strike to workers. A score of 0 is assigned in the following cases:
    • The right to strike is not provided in law or if there is an explicit general prohibition on strikes. 
    • There are excessive exclusions based on race, political opinion, nationality or occupational categories (public or private sector).
    • The right is jeopardised through many restrictions or where the list of essential services is broader than the list provided in the definitions.
    • Requirement for more than 50% workers to be in favour of a strike.
    • Legislation sets too lengthy a period of time (greater than 14 days) for previous negotiation, conciliation and mediation or unreasonable period of notice/cooling-off periods before calling a strike59.  
  • Whether the law prohibits replacing workers on strike. A score of 1 is assigned if legislation prohibits the replacement of striking workers. A score of 0 is assigned if the law does not prohibit replacement of those workers who are on legitimate and peaceful strike and/or if there are excessive sanctions in case of legitimate strikes including dismissals of workers.60
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