ASEAN resists labor rights link to trade

ASEAN resists labor rights link to trade

JAKARTA (JP): The Association of Southeast Asian Nations (ASEAN)
expressed strong opposition yesterday to the move by some developed
countries to link international labor standards with trade agreements.

Labor ministers of ASEAN nations stated at the end of a two-day
meeting in Singapore that they are not opposed to the application of
labor standards and are committed to improving the economic and social
well-being of workers.

However, they expressed concern about the rigid imposition of labor
standards and the use of strict standards to stifle free trade and
economic development which constitutes a new form of protectionism, the
ministers said in a joint communique.

The communique, a copy of which was released by the ASEAN Secretariat
here, urged the International Labor Organization (ILO) to strongly
resist any attempt to introduce new conditions that link social clauses
and ILO labor standards with market accessibility.

"The move to link labor standards with trade smacks of attempts to
undermine the economic growth of developing countries," contended
Indonesia's Labor Minister Abdul Latief.

Latief was quoted by the Antara news agency as saying yesterday that
the six ASEAN countries adopted a firm common stance on that issue and
saw it as a new form of trade protectionism.

The American government gave Indonesia until August to improve
workers' rights as a condition to its continued access to the U.S.
Generalized System of Preferences trade privileges.

The labor ministers from Brunei, Indonesia, Malaysia, Singapore,
Thailand and the Philippines also expressed their concern that some
international trade secretariats are using local trade unions as their
proxies to force compliance with ILO labor standards.

"Such attempts would undermine the competitiveness of developing
countries and erode their comparative advantage, thereby hurting their
economies," the ministers pointed out.

Argument

They argued that poor economic conditions in the developing countries
would weaken the purchasing power of their populations and this in turn
would adversely affect the economies of the developed world.

The ministers are of the view that given their differing levels of
economic development, developing countries should not be pressured into
complying with standards based mainly on those in developed countries.

They called on the ILO to review outdated labor standards as a
follow-up to the ILO Director-General report, taking into account the
special circumstances and peculiarities of the developing countries, and
be more flexible in implementing labor standards.

"ILO should give due regard to the overall progress of the social and
economic conditions of member states in its assessment of their
compliance with ratified ILO conventions," the communique added.

At the meeting, which was opened by Singapore's Deputy Prime Minister
Lee Hsien Loong, the labor ministers also agreed to support the
Philippines candidacy as the ASEAN bid for the chairmanship of the ILO
Governing Body for the 1994-1995 term.

They reemphasized the importance of creating a climate of industrial
peace and harmony to achieving economic growth in an increasingly
competitive international environment. (vin)