Recent Developments in Philippine Labor Market Governance: Shifting Methods from Command to Collaboration?
10 Pages Posted: 6 Sep 2010
Date Written: September 5, 2010
The International Labor Organization (ILO) defines labor market governance as the institutions, authority structures, means of collaboration, policies, norms, laws, regulations, machinery and processes that influence the demand for and supply of labor in an economy, encompassing labor regulation, industrial relations and labor administration. Collective bargaining and labor dispute prevention and settlement are among the elements. Significantly, the ILO Declaration on Social Justice for a Fair Globalization, adopted in 2008, calls for developing new partnerships with non-state entities and economic actors, like multinational enterprises and trade unions operating at the global level. Under the Philippine Constitution, all workers have the right to self-organization, collective bargaining and negotiation, peaceful concerted activities including strikes, humane work conditions, a living wage, security of tenure and participation in decision and policy making. Speedy disposition of cases is required and voluntary modes in settling disputes are preferred. And the State regulates the relations between workers and employers, recognizing the right of labor to a just share in the fruits of production and the right of enterprise to reasonable returns on investments, expansion and growth. Notably, the Labor Standards Enforcement Framework (LSEF) was set up in 2004 to foster a culture of voluntary compliance with labor standards. Are the modes of realizing governance outcomes shifting from command (centralized control) to collaboration (shared creation), as one scholar noted? Are hierarchy and authority giving way to forms of networking, coordination, cooperation or collaboration? This paper explores recent developments in labor market governance in the Philippines. Relying on extant literature and using aggregate empirical data up to 2009, the paper identifies and describes indicators of labor market governance in the country, explains the relationship, i.e., correlation, if any, among the indicators and, based thereon, determines if there is a trend towards collaborative governance in the labor market.
Keywords: Collaborative governance, governance methods, industrial relations, labor regulation and administration, Philippine labor market governance.
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