Garment: Forced Labour

FORCED LABOR IN GARMENT

1. What is forced labor? 
2. What are the factors causing forced labor? 
3. What kinds of actions that can be categorized as forced labor in the garment industry?
4. Does Indonesian Laws forbid forced labor in Garment Industry?
5. Is there any sanction imposed if an employer implements forced labor?  

FORMS OF FORCED LABOR IN GARMENT INDUSTRY 

Are long working hours that are commonly experienced by workers in garment industry can be considered to be forced labor? 

1. Is labor outsourcing also a form of forced labor? 
2. What is bonded labor?
3. What should workers do if the employer adopts forced labor practice? 

Forced labor in Garment Industry

What is Forced Labor?

In Forced Labor Convention Number 29 of 1930, Forced Labor means all work or service which is exacted from any person under the threat of a penalty and for which the labor has not offered himself or herself voluntarily. 

WHAT ARE FACTORS CONTRIBUTING TO FORCED LABOR?

The followings are the factors contributing to forced labor cases arising in Indonesia:

1. High unemployment rate that makes the people seeking for jobs “easily accept” whatever work opportunities or work conditions available to them.
2. The Employers’ Lack of understanding of workers’ rights regulated by Employment Law.
3. The lack of supervision by employment relations authority and the lack of legal protection for workers.

WHAT KINDS OF ACTIONS THAT CAN BE CATEGORIZED AS FORCED LABOR IN GARMENT INDUSTRY?

The followings are the examples of forced labor that can happen/be practiced by the employers in Garment Industry:

1. Restricting the workers’ movement and prohibiting the workers from going outside the work place.
2. Threats of violence against workers.
3. Bonded Labor – giving a large amount of loan to a worker so that the worker cannot escape the indebtedness and making the worker to work forcefully, without any consideration, or cannot leave his/her job freely.
4. Delaying workers’ wage payments if they do not deposit some sums.
5. Retaining or withholding the personal documents of the workers, such as birth certificates, diplomas or resident’s identity cards can also indicate forced labor because it restrains the workers from freely leaving their jobs or looking for another job.
6. Forcing the workers to work overtime beyond the limits specified by  Employment Laws by threating them of termination.
7. Giving them punishment for taking part in Labor Union or on strike. 

Does Indonesian Laws forbid forced labor in Garment Industry?

Forced Labor is prohibited and is declared illegal by the employment laws. Besides that, Indonesia has ratified two International Labor Organization (ILO) conventions concerning the prohibition of forced labor, namely: ILO convention Number 29 of 1930 on Forced Labor and ILO Convention Number 104 of 1957 on the Abolition of Forced Labor, This Convention has been ratified by Law Number 19 of 1999 on the Ratification of ILO Convention No. 105 on the Abolition of Forced Labor.

The Prohibition of Forced Labor is also endorsed by Law Number 5 of 1998 on the Endorsement of Conventions Standing against Prosecution or cruel and inhuman punishment or actions, or other actions degrading human dignity.

IS THERE ANY SANCTION IMPOSED IF AN EMPLOYER USES FORCED LABOR? 

Yes. Adopting forced labor practice at work place may be subject to legal sanctions, for instance, not paying the workers’ wages shall be sanctioned according to Employment Laws, likewise forcing workers to work overtime without getting paid. On the other hand, documents withholding can be considered to be an embezzlement criminal offense pursuant to Indonesian Penal Code.

THE FORMS OF FORCED LABOR IN GARMENT INDUSTRY 

ARE LONG WORKING HOURS OFTEN EXPERIENCED BY WORKERS WORKING IN GARMENT SECTOR CONSIDERED TO FORCED LABOR?

The Laws specify that the maximum limit of working hours is 40 hours/week. Employers, which employ their workers more than 40 hours/week, are obliged to give overtime pay, provided that overtime shall not be more than 4(four) hours on a day and 18 (eighteen) hours in a week (Government Regulation Number 35 of 2021 on Fixed Term Employment Agreements, Outsourcing, Working Hours, and Rest Hours, and Termination of Employment).  

Moreover, the Laws underline that essentially overtime is voluntary, meaning if a worker does not want to undertake the overtime work, the Company shall not force him/her to work. If an employer requires his/her workers to work overtime without their consent and without the agreement on overtime pay, then it can be considered to be forced labor. 

IS OUTSOURCING PRACTICE CONSIDERED TO BE FORCED LABOR?

Outsourcing system means an assignment of a specific work under an agreement agreed upon between an outsourcing company and employer. Outsourcing practice allows the company to hire workers through a third party or mediator. 

As such, the workers do not work directly to the Company, but they work trough a service provider company. 

Although this working system is legalized by the laws, there are facts that outsourcing workers experience discrimination and unfair treatment compared to other workers, as well as right violations with regard to allowance, severance pay, leave, etc.. These outsourcing workers have to work with contracted worker status, despite the miserable working situation and low wage. They have very small bargaining power because they cannot join labor union. Many say that outsourcing working system is ‘precarious’ for the workers, the workers find themselves into a working condition that is uncertain, unsafe, unstable and without protection. 

WHAT DOES BONDED LABOR MEAN?

Bonded labor is forced labor that is undertaken by a worker because of indebtedness and high debt interest imposed by the employer without any agreement with the worker. Because the worker cannot pay his/her debts, the worker does not have freedom in setting out the working conditions, works exceeding their capacity, does not receive wages or have their wages deducted, have no option to leave his/her job. Bonded labor is one of the examples of forced labor, and it is prohibited by the laws and regulations. 

WHAT CAN THE WORKERS DO IF THE EMPLOYERS ADOPTS FORCED LABOR PRACTICE?

If a garment company uses forced labor, this practice can be reported to a local Employment Supervisory Authority.