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International Labour Organisation Reports by the States of Jersey, July 2012.

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STATES OF JERSEY

INTERNATIONAL LABOUR ORGANISATION REPORTS BY THE STATES OF JERSEY, JULY 2012

Presented to the States on 1st October 2012 by the Chief Minister

STATES GREFFE

2012   Price code: C  R.119

INTERNATIONAL LABOUR ORGANISATION REPORTS BY THE STATES OF JERSEY, JULY 2012 ON

Minimum Age (Industry) Convention, 1919 (No. 5)

Minimum Age (Agriculture) Convention, 1921 (No. 10)

Protection against Accidents (Dockers) (Revised) Convention, 1932 (No. 32) Freedom of Association and Protection of the Right to Organise, 1948 (No. 87) Migration for Employment Convention (Revised), 1949 (No. 97)

Right to Organise and Collective Bargaining Convention, 1949 (No. 98) Minimum Wage Fixing Machinery (Agriculture) Convention, 1951 (No. 99)

REPORT

For the period of 27th July 2007 to 31st May 2012, made by the States of Jersey, in accordance  with  Article 22  of  the  Constitution  of  the  International  Labour Organisation, on measures taken to give effect to the provisions of the –

Minimum Age (Industry) Convention, 1919 (No. 5).

The  arrangements  described  in  the  2007  Report  in  relation  to  legislation –  the Education  (Jersey)  Law  1999 –  are  still  applicable.  In  addition,  there  is  further legislation subordinate to the Children (Jersey) Law 2002.

The relevant legislation is the –

Children (Regulation of Employment) (Jersey) Order 2011 (the Children Order'), which deals with issues relating to the employment of children up to the age of 16 years. http://www.jerseylaw.je/Law/display.aspx?url=lawsinforce%2fconsolidated%2f12%2f 12.200.65_Children(RegulationofEmployment)Order2011_RevisedEdition_1January2 012.htm

Article 2

Under the provisions of the Children Order at Article 2, no child under the age of 13 years may be employed in any capacity. The Children Order does not apply to children  in  work  placements  arranged  or  approved  under  Article 26(2)  of  the Education (Jersey) Law 1999.

Whilst the Children Order does not specifically prohibit all of the activities described in industrial undertakings by the Convention, it does prohibit any employment which is likely to be harmful to the child's safety, health or development. It also prohibits the following specific employment –

  • Selling or delivering liquor Selling or delivering tobacco
  • Selling or delivering fuel oil Collecting or sorting refuse
  • Work which involves harmful exposure to physical, biological or chemical agents
  • Any work where the child could fall from an elevation of 2 metres.

Article 3

There are no technical schools in Jersey.

Article 4

The prohibited employment described under Article 2 above by implication excludes children from working in an industrial undertaking and goes further by ensuring the safety,  health  and  development  of  children  is  not compromised  at  Article 7.  The requirement  to  keep  a  register  of  children  working  as  such  is  therefore  deemed unnecessary in this case.

The provisions of the legislation are administered by the Health and Social Services Department, with responsibility under the legislation being given to the Minister of that Department.

Enforcement  has  a  joint  agency  approach  between  Health  and  Social  Services, Education, Sport and Culture, and Home Affairs. This is overseen by the Children's Policy Group, a forum where these Departments are represented by their respective Ministers and Chief Officers.

REPORT

For the period of 27th July 2007 to 31st May 2012, made by the States of Jersey, in accordance  with  Article 22  of  the  Constitution  of  the  International  Labour Organisation, on measures taken to give effect to the provisions of the –

Minimum Age (Agriculture) Convention, 1921 (No. 10).

The  arrangements  described  in  the  2007  Report  in  relation  to  legislation –  the Education  (Jersey)  Law  1999  and  the  Children  (Jersey)  Law  2002 –  are  still applicable. In addition, there is further legislation subordinate to the Children (Jersey) Law 2002.

The relevant legislation is the –

Children (Regulation of Employment) (Jersey) Order 2011 (the Children Order'), which deals with issues relating to the employment of children up to the age of 16 years. http://www.jerseylaw.je/Law/display.aspx?url=lawsinforce%2fconsolidated%2f12%2f 12.200.65_Children(RegulationofEmployment)Order2011_RevisedEdition_1January2 012.htm

Article 1

Under the provisions of the Children Order, no child under the age of 13 years may be employed in any capacity, and in addition, no child may be employed inside of school hours (Articles 2 and 3). The Order does not apply to children in work placements arranged or approved under Article 26(2) of the Education (Jersey) Law 1999.

The Order gives further protection at Article 4 to a child's ability to attend and be fit for school by –

Permitting employment only within certain hours

Restricting the number of hours per day and per week a child can work

Restricting the number of days in a week a child can work

Providing for rest periods and breaks including holidays.

Article 2

No work is permitted inside of school hours (Article 3).

Article 3

There are no technical schools in Jersey.

The provisions of the legislation are administered by the Health and Social Services Department, with responsibility under the legislation being given to the Minister of that Department.

Enforcement  has  a  joint  agency  approach  between  Health  and  Social  Services, Education, Sport and Culture, and Home Affairs. This is overseen by the Children's Policy Group, a forum where these Departments are represented by their respective Ministers and Chief Officers.

REPORT

For the period 1st June 2007 to 31st May 2012, made by the States of Jersey, in accordance  with  Article 22  of  the  Constitution  of  the  International  Labour Organisation, on measures to give effect to the provisions of the –

Protection against Accidents (Dockers) (Revised) Convention, 1932 (No. 32)

I.

There have been no changes to the prescriptive Regulations, the Safeguarding of Workers (Cranes and Lifting Appliances) (Jersey) Regulations 1978, which set out requirements  relating  to  the  safety  of  persons  working  on  vessels,  and  the Safeguarding of Workers (Chains, Ropes and Lifting Gear) (Jersey) Regulations 1980, which stipulate requirements for lifting gear.

II.  Article 12

There has been an amendment to the principal occupational health and safety law, the Health and Safety at Work (Jersey) Law 1989 which, under Part 2 of the Law, sets out general duties for all those involved with working activities, including responsibility for addressing issues covered by the Convention (Article 3). The amendment clarifies the need for employers to carry out risk assessments and, for employers with 5 or more employees, to identify significant risks and the action taken to control them, in their health and safety policy. The amendment to Article 3 of the Health and Safety at Work (Jersey) Law 1989 came fully into force on 5th June 2010.

The Health and Safety at Work (Jersey) Law 1989, incorporating the amendment, can be accessed through the Jersey Law website – http://www.jerseylaw.je/Law/display.aspx?url=lawsinforce%2fconsolidated%2f05%2f 05.300_HealthandSafetyatWorkLaw1989_RevisedEdition_1January2011.htm  

with an explanation of the amendment available on the Inspectorate section of the States of Jersey website – http://www.gov.je/Government/Departments/SocialSecurity/HealthSafetyInspectorate/ Updates/Archive/Pages/Riskassessmentfullyinforce.aspx

III – VI. No change.

REPORT

For the period 1st July 2010 to 31st May 2012, made by the States of Jersey, in accordance  with  Article 22  of  the  Constitution  of  the  International  Labour Organisation, on measures taken to give effect to the provisions of the –

Freedom of Association and Protection of the Right to Organise, 1948 (No. 87). Specific responses:

I.

There has been no change since the previous Report.

II.

There has been no change since the previous Report. The insular authorities provide the  following  response  to  the  Observations  of  the  Committee  of  Experts  on  the Application of Conventions and Recommendations:

Observation, CEACR 2011/100th ILC Session

In response to the Observations of the Committee of Experts on the Application of Conventions and Recommendations, the insular authorities can confirm that a review of the provisions of the Employment Relations (Jersey) Law 2007 (the Employment Relations Law'), and accompanying codes of practice continues to be included in the Minister for Social Security's programme of work.

The insular authorities regret that the review is still pending and had hoped that more progress would have been made. The global economic downturn continues to have an impact on Jersey. As previously reported, recent political decisions have required that the insular authorities introduce statutory protection for workers in redundancy and insolvency situations in a shorter timescale than had been anticipated.

The  insular  authorities  have  met  those  requirements  by  introducing  redundancy legislation (including statutory redundancy pay and collective consultation rights), and preparing legislation to provide financial compensation to employees who have been made redundant due to the insolvency of their employer. A new Minister for Social Security was appointed in November 2011.

The delay is regretted; however the review will be undertaken as soon as resources allow  it.  The  insular  authorities  are  grateful  for  the  previous  comments  of  the Committee and can confirm that the comments will be given due account in the review.

Jersey  continues  to  have  a  very  good  industrial  relations  record.  Since  the Employment (Jersey) Law 2003 (the Employment Law') came into force on 1st July 2005, there have been no claims to the Employment Tribunal of unfair dismissal or selection  for  redundancy  on  grounds  of  trade  union  membership  or  activities (Article 65).

The  Employment  Relations  Law's  minimalist  and  non-adversarial  approach  also reflects well in the figures released in the Jersey Advisory and Conciliation Service (JACS) Annual Report for 2011. During 2011, JACS was involved in 4 collective

mediations, all of which resulted in an agreed outcome. JACS also administered 4 pay and  conditions  ballots  and  acted  as  independent  scrutineer  for  one  trade  union recognition ballot.

In the previous Report of the insular authorities, it was noted that JACS received 141 requests for advice in respect of collective disputes and trade union recognition during 2008. In 2011, this reduced to 97 such requests. This does not mean that JACS dealt with 97 disputes, as each dispute normally gives rise to a series of contacts as discussions progress.

JACS  involvement  includes  acting  as  conciliators  or  mediators  with  both  parties present, and also as an impartial third party to discuss and explore options to settle collective disputes. JACS Annual Report for 2011 notes that, while conciliation is not always successful in terms of helping the parties to reach an agreement, conciliation or mediation helps employers and employee representatives to focus on the key issues, and provides an opportunity for one side to reflect on the pressures or restrictions faced by the other. As a result, mediation often helps the parties to move towards a greater understanding of the other's point of view, allowing a solution to be reached at a later date.

Articles 2 to 10

There have been no changes since the previous Report.

III.

This is achieved by virtue of the common law right to associate for lawful purposes.

IV.

No such decisions have been given. Since the Employment Relations Law came into force on 21st January 2008, no collective or trade union recognition disputes have been referred to the Employment Tribunal. Since the Employment Law came into force on 1st July 2005, there have been no claims of unfair dismissal or selection for redundancy on grounds of trade union membership or activities.

V.

No observations to report.

VI.

Copies of these papers have been shared with Unite (the Union), Jersey branch, and the Jersey Chamber of Commerce.

REPORT

For the period 27th July 2007 to 31st May 2012, made by the States of Jersey, in accordance  with  Article 22  of  the  Constitution  of  the  International  Labour Organisation, on measures taken to give effect to the provisions of the –

Migration for Employment Convention (Revised), 1949 (No. 97).

I.

There have been no changes in Jersey legislation in relation to the provisions of this Convention.

II.

Direct Request (CEACR) – adopted 2008, published 98th ILC Session (2009)

The insular authorities provide the following response to the Direct Request of the Committee of Experts on the Application of Conventions and Recommendations:

Article 6 – Equality of treatment, Minimum Wage

Article 6 does not appear to require that legislative measures must be taken to prevent differential treatment, but that Member States undertake to apply no less favourable treatment to migrant workers than it applies to national workers.

Although a difference in treatment between employees with respect to religion is not prohibited  by  Article 17(7)  and  (8)  of  the  Employment  (Jersey)  Law  2003  (the Employment Law') in respect of the minimum wage Regulation-making powers, the Minimum Wage Regulations do not make any provisions for differential treatment between  national  and  migrant  workers  on  any  grounds,  including  on  grounds  of religion. All employees aged over 16 are entitled to receive either the full minimum wage or the trainee rate.

The Committee has also requested information concerning equal treatment of foreign and national workers with respect to the other matters covered by Article 6(1)(a) to (d) of the Convention:

6(1)(a)

  1. Part 3 of the Employment Law makes provisions for weekly (or fortnightly) rest periods and annual leave in which there is no distinction between migrant and  national  workers  nor  any  provisions  for  less  favourable  treatment  of migrant  workers  on  grounds  of  nationality,  race,  religion  or  sex.  The Employment Law makes no provision relating to hours of work, overtime arrangements or restrictions on home work for people over school-leaving age.
  2. Apprenticeships  in Jersey  relate  to individuals  attaining  a  technical qualification in a particular craft area, either through the Further Education College or through an off-Island training provider. To assist employers in employing  and  training  these  apprentices,  the  Economic  Development Department  currently  manages  a  programme  entitled  the  Jersey Apprenticeship Scheme. This is a grant-funded programme where employers receive  monies  to cross-subsidise  both  on-the-job  and  off-the-job  training

costs for their apprentices. To access the funding, the employer's employee must meet 2 criteria: one of academic ability (this differs for each craft area) and the other relates to residency as follows:

"To be eligible, prospective apprentices have to have been resident on the Island over a period of 5 years, either continuous or aggregated, prior to the commencement of the first year of the Apprenticeship Scheme, unless the family is residentially qualified."

Not everyone who attends the day release programmes, to attain the technical qualification, is on the Jersey Apprenticeship Scheme (it is not mandatory). Individuals, however long they have been in the Island, can attend the day release  programme  and  pay  the  course  fee,  however  the  employer  is  not subsidised.

  1. The Employment Relations (Jersey) Law 2007 and Employment Law apply no distinction between migrant and national workers, and so there is no less favourable  treatment  of  migrant  workers  on  grounds  of  nationality,  race, religion or gender in terms of the membership of trade unions and collective bargaining.

6(1)(b)

Nationality cannot be used as an eligibility criterion for participation in contributory or non-contributory benefit schemes.

Contributory  benefits  (Social  Security  (Jersey)  Law  1974)  are  accessible  by  the payment of contributions, and contain provisions for acquired rights and rights in the course of acquisition, which are further protected by the negotiation of reciprocal agreements (Article 48). Contribution conditions are satisfied following payment of contributions for 3 months, but through reciprocal agreements, these can be satisfied on  starting  work  in  Jersey.  Contributions  paid  for  less  than  a  year  may  also  be transferred to countries to protect individual payment.

Anyone who lawfully satisfies the residency conditions falls under Article 3 of the Social Security (Jersey) Law 1974 (the Social Security Law') and so is an insured person who is liable to pay contributions. The residency conditions are prescribed under Article 2 of the Social Security (Residence and Persons Abroad) (Jersey) Order 1974. Once a person is an insured person, then they are eligible to claim any benefit stipulated  under  Article 12  of  the  Social  Security  Law  provided  that  they  have satisfied the relevant contribution conditions under Article 14 and Schedule 2 of the Social Security Law.

Anyone  lawfully  ordinarily  resident  in Jersey  who  satisfies the  eligibility  criteria stipulated under Article 2 of the Income Support (Jersey) Law 2007 is entitled to claim income support.

6(1)(c)

There is equal treatment in respect of foreign and national workers with respect to employment taxes due or contributions payable in respect of the person employed.

6(1)(d)

Provisions  for  legal  proceedings  apply  to  both  national  and  migrant  workers, irrespective of race, nationality, religion and sex.

Article 6 – Scope of protection, Private household employees

  1. The Committee has noted that the Employment Law does not apply to the employment of a person where their work relates to the employer's family household, but only where 3 other specific conditions are met; by virtue of the fact that the person works in the family household and is treated as part of the family, shares accommodation and meals (at no cost), and shares in tasks and leisure activities as part of the family. The Committee has requested statistical information, disaggregated by sex and nationality, on the numbers of national and foreign workers employed in private households.

It is anticipated that the majority of people who work in private households would be protected by the Employment Law, as most would not reside in the family home (e.g. domestic cleaners). Workers employed in private households who are also likely to  meet  the  3 additional  conditions,  particularly  living  in  the  family  home,  are au pairs'. The total number of au pairs recorded by the Social Security Department as working in Jersey during 2010–2012, broken down by nationality, was –

All recorded au pairs were female, except one male German national in 2010 and 2011.

  1. The Employment Law provides no difference in treatment between migrant and national workers in the right to paid holidays and minimum wage on any grounds,  including  race,  nationality,  religion  and  sex  (Article 17).  Both migrant and national workers who are employed in private households have the right to paid holidays and the minimum wage, unless the worker (whether a migrant or national worker) is excluded by Article 1(5) of the Employment Law.  An  employee  of  a  private  household  who  simply  resides  in that household, but does not meet the other conditions, is not excluded from the protection of the Employment Law.

Compliance Officers of the Social Security Department are empowered to inspect employers'  records  for  the  purpose  of  enforcing  certain  requirements  of  the Employment Law, including the minimum wage (Article 97). A total of 388 employer surveys  were  undertaken  in  2011;  55 employers  with  domestic  employees  (not necessarily with live-in' employees) were surveyed, none of which had a minimum wage issue. Twelve surveys found issues with contracts of employment. This might include a failure to issue a contract of employment, and where a contract does not comply with the Employment Law.

The Jersey Advisory and Conciliation Service (JACS) is available to both migrant and national workers to deal with complaints, settle employment disputes, give impartial, professional advice and provide free leaflets and booklets. JACS estimates dealing with a maximum of 5 requests for advice each year from employees working in (but not necessarily living in) private households in roles such as child care, care of elderly people and housekeeping.

Annex II and Article 3 – Private recruitment agencies and misleading propaganda

The Minister for Social Security has received no complaints regarding unsatisfactory agency service pursuant to the Employment Agencies (Registration) Code of Conduct (Jersey) Order 1970.

Articles 3, 4 and 6 – Misleading propaganda and equality of treatment. Measures to facilitate departure

The insular authorities will consider reviewing the legislation relating to equality of treatment between male and female migrant workers with respect to the migration process, when resources allow it.

III.

No change.

IV.

There  have  been  no  decisions  of  the  Jersey  Employment  Tribunal  or  the  Social Security  Tribunal  dealing  with  questions  of  principle  relating  directly  to  this Convention.

V.

No change.

VI.

Copies of these papers have been shared with Unite (the Union), Jersey branch, and the Jersey Chamber of Commerce.

REPORT

For the period 1st July 2010 to 31st May 2012, made by the States of Jersey, in accordance  with  Article 22  of  the  Constitution  of  the  International  Labour Organisation, on measures taken to give effect to the provisions of the –

Right to Organise and Collective Bargaining Convention, 1949 (No. 98) Specific responses:

I.

There has been no change since the previous Report.

II.

There has been no change since the previous Report.

The Jersey Advisory and Conciliation Service (JACS) continues to operate as stated in the  insular  authorities'  previous  Report;  promoting  the  improvement  of  industrial relations in Jersey by settling employment disputes through conciliation, mediation or arbitration.

Jersey continues to have a very good industrial relations record. The minimalist and non-adversarial  approach  of  the  Employment  Relations  (Jersey)  Law  2007  (the Employment  Relations  Law'),  reflects  well  in  the  figures  released  in  the  Jersey Advisory and Conciliation Service (JACS) Annual Report for 2011. During 2011, JACS was involved in 4 collective mediations, all of which resulted in an agreed outcome.  JACS  also  administered  4 pay  and  conditions  ballots  and  acted  as independent scrutineer for one trade union recognition ballot.

In the previous Report of the insular authorities, it was noted that JACS received 141 requests for advice in respect of collective disputes and trade union recognition during 2008. In 2011, this reduced to 97 such requests. This does not mean that JACS dealt with 97 disputes, as each dispute normally gives rise to a series of contacts as discussions progress.

JACS  involvement  includes  acting  as  conciliators  or  mediators  with  both  parties present, and also as an impartial third party to discuss and explore options to settle collective disputes. JACS Annual Report for 2011 notes that, while conciliation is not always successful in terms of helping the parties to reach an agreement, conciliation or mediation helps employers and employee representatives to focus on the key issues and provides an opportunity for one side to reflect on the pressures or restrictions faced by the other. As a result, mediation often helps the parties to move towards a greater understanding of the other's point of view, allowing a solution to be reached at a later date.

Observation, CEACR 2011/100th ILC Session

The insular authorities provide the following response to the Observations of the Committee of Experts on the Application of Conventions and Recommendations:

Article 1

Protection against acts of anti-union discrimination

In  2008,  the  independent  consultation  body,  the  Employment  Forum,  consulted publicly on the proposed amendment to the Employment (Jersey) Law 2003 (the Employment Law') relating to re-employment. The Forum is made up of 3 employer, 3 employee  and  3 independent  members,  and  consults  a  wide  range  of  interested parties, including trade unions, staff associations and employers' associations.

Following consultation, the Forum recommended to the Minister for Social Security that the Employment Tribunal should not have the power to compensate an employee for any financial losses, such as arrears of pay, for the period between the dismissal and the order for re-employment, until such a time as a review of the award-making powers of the Employment Tribunal can be undertaken, which would include a review of how compensatory sums are calculated in other jurisdictions.

As currently drafted, the Employment (Awards) (Jersey) Order 2009 provides that the award for unfair dismissal is a fixed award based on salary and length of service (Article 3). There is no option for an employee to seek additional compensation for financial losses following an unfair dismissal; only contractual and statutory sums owed up to the date of dismissal.

The  Minister  accepted  the  Forum's  concern  that,  given  that  equivalent  financial compensation is not available to unfairly dismissed employees who are not seeking re-employment at this time, the opportunity to receive additional compensation on these grounds may lead employees to seek re-employment as a matter of course, resulting in a reduced number of pre-hearing settlements.

Articles 2 and 4

Protection against acts of interference and promotion of collective bargaining

The insular authorities continue to prepare the provisions that will be necessary to prohibit  employer  inducements  to  encourage  employees  to  give  up  trade  union representation.

Recognition of trade unions (code 1)

Code 1 will be reviewed in relation to the rights under this Convention as part of the proposed wider review of the Employment Relations Law and codes of practice.

The insular authorities regret that provisions to prohibit employer inducements and a review of the Employment Relations Law and codes of practice are pending. The global economic downturn continues to have an impact on Jersey. As previously reported, recent political decisions have required that the insular authorities introduce statutory protection for workers in redundancy and insolvency situations in a shorter timescale than had been anticipated. A new Minister for Social Security was appointed in November 2011.

The delay is regretted; however the review will be undertaken as soon as resources allow it.

III.

No such decisions have been given.

Since the Employment Relations Law came into force on 21st January 2008, no collective or trade union recognition disputes have been referred to the Employment Tribunal.

Since the Employment Law came into force on 1st July 2005, there have been no claims  of  unfair  dismissal  or  selection  for  redundancy  that  relate  to  trade  union membership or activities. There have, therefore been no orders for reinstatement or re-engagement resulting from unfair dismissal, or selection for redundancy on grounds of trade union membership or activities.

IV.

No observations to report.

V.

Copies of these papers have been shared with Unite (the Union), Jersey branch, and the Jersey Chamber of Commerce.

REPORT

For the period 27th July 2007 to 31st May 2012, made by the States of Jersey, in accordance  with  Article 22  of  the  Constitution  of  the  International  Labour Organisation, on measures taken to give effect to the provisions of the –

Minimum Wage Fixing Machinery (Agriculture) Convention, 1951 (No. 99).

I.

Employment (Minimum Wage) (Jersey) Regulations 2004 www.jerseylaw.je/Law/display.aspx?url=lawsinforce%2fconsolidated%2f05%2f05.25 5.45_Employment(MinimumWage)Regulations2004_RevisedEdition_1January2012.h tm

Employment (Minimum Wage) (Amendment No. 8) (Jersey) Regulations 2012 www.jerseylaw.je/Law/display.aspx?url=lawsinforce%2fhtm%2fROFiles%2fR%26O Year2012%2fR%26O-008-2012.htm

Employment (Minimum Wage) (Jersey) Order 2007 www.jerseylaw.je/Law/display.aspx?url=lawsinforce%2fconsolidated%2f05%2f05.25 5.40_Employment(MinimumWage)Order2007_RevisedEdition_1January2012.htm  

Employment (Minimum Wage) (Amendment No. 5) (Jersey) Order 2012 www.jerseylaw.je/Law/display.aspx?url=lawsinforce%2fhtm%2fROFiles%2fR%26O Year2012%2fR%26O-013-2012.htm

II.

There have been no changes since the previous Report, other than those described below. The insular authorities' responses to the Direct Requests of the Committee of Experts  on  the  Application  of  Conventions  and  Recommendations:  (CEACR – adopted 2007, published 97th ILC Session (2008)) are also included below in respect of each Article.

Article 2

The maximum amounts that may be counted in determining whether the minimum wage has been paid, and the minimum wage rates that have applied since 2008, are detailed in the table shown below –

 

2008

  2009

  2010  2011  2012   £6.20  £6.32  £6.48  £4.65  £4.74  £4.86 £67.85 £69.21 £70.94

£5.80

  £6.08

£4.35

  £4.56

£63.47

 £66.52

£84.63

 £88.69

 £90.46 £92.27 £94.58 £67.85 £69.21 £53.21 £90.46 £92.27 £70.94

£63.47

 £66.52

£84.63

 £88.69

Direct Request, Article 2 – Partial payment of wages in kind

Whilst the primary legislation allows that provision may be made for determining the hourly rate of pay in cases where pay consists wholly of benefits in kind, further legislative provision would have to be made for that to apply in practice. If any such legislation were to be proposed, however, the Employment Forum would first have to be consulted and draft legislation would be subject to the approval of the Minister for Social Security, and the States of Jersey.

As  the  Committee  has  noted,  Regulations  made  under  Article 17(2)(d)  of  the Employment (Jersey) Law 2003 (the Employment Law') permit accommodation, or accommodation with meals, as the only benefits in kind that may be counted in determining the hourly rate of pay. It is the Forum's responsibility to ensure that the maximum offsets are appropriate based on the local economic situation. It is not the intention of the Forum or the Minister for Social Security to propose to extend the benefits in kind that may be counted when determining minimum wage pay beyond partial payment of minimum wage.

In  both  its  2010  and  2011  minimum  wage  recommendations,  the  Forum  has recommended that the benefits in kind should not be more flexible, and that it should only be permissible for an employer to offset accommodation, or accommodation with 3 meals each day, against minimum wage pay.

Article 3

The Employment Forum continues to have a statutory duty under the Employment Law (at Article 18) to consult organisations that are representative of workers and employers, as well as to consider competitiveness, jobs and the economy, in making its recommendations to the Minister for Social Security.

The Employment Forum conducts wide-ranging public consultations, which include direct consultation with a database of approximately 250 consultees. The database includes  a  wide  cross-section  of  interested  parties,  including  trade  unions,  staff associations,  employers,  employers'  associations,  employees,  independent organisations, and advisory bodies. The Forum considers all representations, both in writing and orally.

Direct  Request,  Article 3(3) –  Participation  of  representatives  of  employers'  and workers' organisations on a basis of complete equality

The Committee has requested continued information on the minimum wage fixing activities of the Employment Forum. The Forum's latest consultation was undertaken during June to August 2011; 72 written responses were received from a range of respondents and industries and a public meeting was held. The Minister accepted the Forum's recommendations and made the necessary legislative changes which came into force on 1st April 2012. Full details of the Forum's previous consultations and recommendations on the Minimum Wage are available on the website: www.gov.je/minimumwage.

Direct Request, Article 3(4) – Minimum wage not subject to abatement

Whilst the Minimum Wage Regulations in force at the time of the Insular Authorities' previous Report provided for the possibility of a lower hourly rate of pay to be set for employees who have not attained 18 years of age, an Order was not made under that Regulation and the provision was never applied in practice. Regulation 4 was amended in 2008 to remove the power to make an Order setting a different hourly rate of pay for employees under age 18, since which time, Orders have been made only in respect of setting lower hourly rates for trainees.

Article 5

The minimum wage rates that have been implemented on 1st April each year since 2008 are shown in the table provided in respect of Article 2.

Data from Jersey's most recent (2009/2010) Income Distribution Survey[1] allows the number of minimum wage earners in Jersey to be estimated at 400 +/- 200. However, there are limitations, as the survey was not created for this purpose; there is unlikely to have been a representative sample of employees in the hospitality and agriculture industries, particularly seasonal workers.

The current minimum wage system was developed on the premise that the majority of minimum wage earners work in the hospitality and agriculture industries and live in tied accommodation. According to Jersey's latest labour market report (for December 2011[2]), a combined total of 11% of the labour market – around 5,900 people – were employed in hotels, restaurants and bars, and agriculture and fishing, a proportion of whom are minimum wage earners. There is also evidence from the Forum's consultation that the minimum wage is paid, perhaps to a lesser extent, to employees working in services, fulfilment and retail.

Jersey's Average Earnings[3] survey will be undertaken in June/July 2012 which, for the first time this year, will provide data about the number of minimum wage earners in different industries in the Island. Earnings data is collected for a large representative sample of firms in the private sector, covering nearly two-thirds of Jersey's working population, as well as all public sector departments.

Compliance Officers of the Social Security Department are empowered to inspect employers' records for the purpose of enforcing certain requirements of the Employment Law, including the minimum wage (Article 97). Details of relevant inspections are listed below. Where minimum wage issues were identified by Officers, the employers resolved those issues. No Penalty or Enforcement Notices were issued by Officers of the Department in any of the following years –

A total of 265 surveys were undertaken in 2007; 14 employers in the agriculture sector were surveyed, 2 of which had minimum wage issues.

A total of 396 surveys were undertaken in 2008; 12 employers in the agriculture sector were surveyed, one of which had a minimum wage issue.

A total of 265 surveys were undertaken in 2009; 15 employers in the agriculture sector were surveyed, none of which had minimum wage issues.

A total of 338 surveys were undertaken in 2010; 12 employers in the agriculture sector were surveyed, one of which had a minimum wage issue.

A total of 388 surveys were undertaken in 2011; 21 employers in the agriculture sector were surveyed, none of which had a minimum wage compliance issue.

Direct Request, Article 5 and Part 5 of the Report form

As suggested by the Committee, the Government will consider the possibility of ratifying the Minimum Wage Fixing Convention, 1970 (No. 131).

III.

There has been no change since the previous Report.

IV.

There have been no decisions of the Jersey Employment Tribunal dealing with questions of principle relating directly to this Convention.

V.

Details of inspections are included under Part 2 of the Report form.

VI.

Copies of this Report have been sent to the Jersey Chamber of Commerce and Unite (the Union), Jersey branch.

ANNEX Response to Direct Request, CEACR 2003/74th Session

The Employment Forum became a statutory body when the Employment (Jersey) Law 2003 ("the Employment Law") came into force on 1st July 2005.

Subordinate legislation setting the minimum wage is in place under the Employment Law: the Employment (Minimum Wage) (Jersey) Order 2007 and the Employment (Minimum  Wage)  (Jersey)  Regulations  2004,  as  amended  by  the  Employment (Minimum Wage) (Amendment No. 2) (Jersey) Regulations 2007.

The relevant legislation is attached with the main Report.

The  Minimum  Wage  Order  applies  to  all  employees  who  have  ceased  to  be  of compulsory school leaving age (over 16). All employees aged over 16 are entitled to receive either the full minimum wage, or a lower trainee rate, which can be paid to an employee who is undergoing "accredited" training for a maximum period of one year, in a new job, with a new employer. Accreditation of training is via the approval of the Minister for Social Security or meeting the requirements of a code of practice, as explained more fully in the attached Report relating to Article 5.

The basis upon which wages may be partially paid in the form of allowances in kind is explained  fully  in  the  attached  Report  in  the  paragraphs  relating  to  Article 2.  In summary, only the provision of accommodation, or food and accommodation may be taken into account in determining whether the minimum wage has been paid and a maximum value is attributed to each of those benefits.