Guatemala : labor relations analysis -- final report

In response, USAID/Guatemala is developing a Trade Policy and Labor Relations project that will address the two goals of increasing trade and improving labor relations. This study identifies activities which can be undertaken under the new project. Following an introduction, Section II analyzes the institutional and legal structure for labor relations in the country, focusing on the nontraditional agricultural and light manufacturing sectors. Discussion is given to worker organizations, the private sector, the Ministry of Labor (MOL), labor courts, and laws and regulations affecting labor relations. Section III identifies four major constraints to improved labor relations: lack of common objectives among organized labor, the private sector, and the MOL; frequent employer disregard for labor legislation and government enforcement efforts; the Government"s failure to uniformly enforce labor laws, as reflected in the low levels of funding and political support given to the MOL and the labor courts; and insufficient knowledge among labor unions and workers of political and economic changes affecting Guatemala. Section IV then specifies short- and medium-term activities that could be undertaken as part of the proposed project to improve labor-management relations. These include, in order of priority: activities in consensus building; firm-level training and TA; training and technical support for the MOL and its labor inspectors; and coordination with centrally funded USAID assistance to labor unions, e.g., that of the American Institute for Free Labor Development.