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The Regulation of Non-Standard Forms of Employment in India, Indonesia and Viet Nam

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The Regulation of Non-Standard Forms of Employment in India, Indonesia and Viet Nam The regulation of non-standard forms of employment in India, Indonesia and Viet Nam Ingrid Landau, Petra Mahy, Richard Mitchell CONDITIONS OF WORK AND EMPLOYMENT SERIES No. 63 INWORK For information on the Inclusive Labour Markets, Labour Relations and Working Conditions Branch, please contact: Phone: (+41 22) 799 67 54 Fax: (+41 22) 799 84 51 [email protected] International Labour Office, Inclusive Labour Markets, Labour Relations and Working Conditions Branch 4, route des Morillons CH-1211 Geneva 22 Switzerland www.ilo.org/inwork ISSN 2226-8944 Conditions of Work and Employment Series No. 63 Inclusive Labour Markets, Labour Relations and Working Conditions Branch The regulation of non-standard forms of employment in India, Indonesia and Viet Nam Ingrid Landau* Petra Mahy** Richard Mitchell*** * Centre for Employment and Labour Relations Law (CELRL), Melbourne ** School of Oriental and African Studies (SOAS), University of London *** Department of Business Law and Taxation, Monash University, Melbourne INTERNATIONAL LABOUR OFFICE - GENEVA Copyright © International Labour Organization 2015 Publications of the International Labour Office enjoy copyright under Protocol 2 of the Universal Copyright Convention. Nevertheless, short excerpts from them may be reproduced without authorization, on condition that the source is indicated. For rights of reproduction or translation, application should be made to the Publications Bureau (Rights and Permissions), International Labour Office, CH-1211 Geneva 22, Switzerland. The International Labour Office welcomes such applications. Libraries, institutions and other users registered in the United Kingdom with the Copyright Licensing Agency, 90 Tottenham Court Road, London W1T 4LP [Fax: (+44) (0)20 7631 5500; email: [email protected]], in the United States with the Copyright Clearance Centre, 222 Rosewood Drive, Danvers, MA 01923 [Fax: (+1) (978) 750 4470; email: [email protected]] or in other countries with associated Reproduction Rights Organizations, may make photocopies in accordance with the licences issued to them for this purpose. ILO Cataloguing in Publication Data Landau, Ingrid; Mahy, Petra; Mitchell, Richard The regulation of non-standard forms of employment in India, Indonesia and Viet Nam / Ingrid Landau, Petra Mahy, Richard Mitchell ; International Labour Office, Inclusive Labour Markets, Labour Relations and Working Conditions Branch. - Geneva: ILO, 2015 (Conditions of work and employment series ; No. 63) International Labour Office. Inclusive Labour Markets, Labour Relations and Working Conditions Branch. precarious employment / part time employment / temporary employment / working conditions / labour standards / regulation / labour contract / employment service / temporary work agency / India / Indonesia / Viet Nam 13.01.3 First published 2015 Cover: DTP/Design Unit, ILO The designations employed in ILO publications, which are in conformity with United Nations practice, and the presentation of material therein do not imply the expression of any opinion whatsoever on the part of the International Labour Office concerning the legal status of any country, area or territory or of its authorities, or concerning the delimitation of its frontiers. The responsibility for opinions expressed in signed articles, studies and other contributions rests solely with their authors, and publication does not constitute an endorsement by the International Labour Office of the opinions expressed in them. Reference to names of firms and commercial products and processes does not imply their endorsement by the International Labour Office, and any failure to mention a particular firm, commercial product or process is not a sign of disapproval. ILO publications can be obtained through major booksellers or ILO local offices in many countries, or direct from ILO Publications, International Labour Office, CH-1211 Geneva 22, Switzerland. Catalogues or lists of new publications are available free of charge from the above address, or by email: [email protected] Visit our website: www.ilo.org/publns Printed by the International Labour Office, Geneva, Switzerland Contents List of abbreviations ......................................................................................................................... v List of figures and tables ................................................................................................................. vi 1. Introduction............................................................................................................................... 1 1.1 Methodology ...................................................................................................................... 5 1.2 Literature review .............................................................................................................. 6 1.3 A note on terminology ...................................................................................................... 7 2. The nature and prevalence of non-standard forms of employment in India, Indonesia and Viet Nam............................................................................................................................. 8 2.1 What accounts for the prevalence of non-standard forms of employment? ............ 13 3. The regulation of non-standard employment in India ........................................................ 15 3.1 An overview of Indian labour law ................................................................................. 15 3.2 Forms of non-standard employment recognised and regulated in law...................... 16 3.2.1 Temporary employment ........................................................................................... 17 3.2.2 Sub-contracting and independent contracting arrangements .................................... 21 3.2.3 Agency work ............................................................................................................ 21 3.2.4 Other forms of non-standard employment ................................................................ 25 3.2.5 Summary of rights and entitlements, by type of employment .................................. 26 3.3 Regulatory debates and initiatives ................................................................................ 27 4. The regulation of non-standard employment in Indonesia ................................................. 28 4.1 An overview of Indonesian labour law ......................................................................... 28 4.2 Forms of non-standard employment recognised and regulated in law...................... 29 4.2.1 Temporary employment ........................................................................................... 29 4.2.2 Agency work ............................................................................................................ 31 4.2.3 Sub-contracting and independent contracting arrangements .................................... 33 4.2.4 Honorary public servants .......................................................................................... 34 4.2.5 Summary of rights and entitlements, by type of employment .................................. 34 Conditions of Work and Employment Series No. 63 iii 4.3 Regulatory debates and initiatives ................................................................................ 37 5. The regulation of non-standard employment in Viet Nam ................................................. 37 5.1 An overview of Vietnamese labour law ........................................................................ 37 5.2 Forms of non-standard employment recognised and regulated in law...................... 38 5.2.1 Temporary employment ........................................................................................... 39 5.2.2 Part-time employment .............................................................................................. 41 5.2.3 Home-work ............................................................................................................... 41 5.2.4 Agency work ............................................................................................................ 41 5.2.5 Sub-contracting and independent contracting arrangements .................................... 44 5.2.6 Summary of rights and entitlements, by type of employment .................................. 44 5.3 Regulatory debates and initiatives ................................................................................ 46 6. The impact of non-standard forms of employment and its regulation .............................. 46 6.1 The impact of non-standard forms of employment on workers ................................. 46 6.2 The impact of the regulation of non-standard employment on labour markets ....... 49 7. Discussion and conclusions .................................................................................................... 50 List of cases ..................................................................................................................................... 54 List of laws and implementing regulations .................................................................................. 55 References ....................................................................................................................................... 58 Appendix 1 – Summary of regulation of fixed-term contracts ................................................... 69 Appendix 2 – Summary of regulation of agency work ...............................................................
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