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The report of the workshop “Addressing the Demand Side of

Chinese Migrant Workers in European Countries: Workshop in

Romania”

11-12 November 2009 Bucharest, Romania

Content

1. Agenda of the workshop 2. List of participants 3. Press Release 4. Report on the discussions of the workshop 5. List of presentations

1. Agenda of the workshop “Addressing the Demand Side of Chinese Migrant Workers in European Countries: Workshop in

Romania” 11-12 November 2009 Bucharest, Romania

11 November 2009

09:00-09:30 Welcome and introduction • Mr. Ovidiu Nicolescu, Ph.D., president of CNIPMMR

• Mr. Roger Plant, Head, Special Action Programme to Combat Forced Labour (SAP – FL), International Labour Office, Geneva

• The Embassy of the People's Republic of China in Romania

09:30 – 11:15 Management of Migration from China: ILO perspectives Presentation of ILO consultancy paper on Chinese Migrants in Romania

• Mr. Roger Plant, Head, Special Action Programme to Combat Forced Labour (SAP – FL), International Labour Office, Geneva

• The management and regulation of recruitment agencies in China - Ms. Lanlan Lu, Project manager, ILO office for China and Mongolia, Beijing

• Discussion

11:15 – 11:30 Coffee break

11:30 – 13:00 National legal framework and politics in the field of migrant workers’ protection - Perspective from Romanian Government:

• Ministery of Labour, Family and Social Protection - Mr. Valentin Mocanu, State Secretary - Speakers from:

- ANOFM (National Agency for Employment ) • Ministery of SMEs, Commerce and Bussines Enviroment • Ministery of Foreing Affairs

• Ministery of Administration and Interior - Romanian Office for Immigration

• Discussion 13:00 –14:30 Lunch

14:30 – 15:30 Cooperation at national and international level regarding migrant workers’ prevention by exploitation – Point of view from Employers organization

- Aliance of Employers’ Confederation in Romania - Mrs. Ana Bontea, Head of Legal and Social Dialog Departament of

CNIPMMR and member of EESC - Ms. Roxana Prodan, President of ACCORD

• Point of view from Trade Unions - Mr. Ovidiu Jurca, National Trade Union Block

15:30 – 15:45 Coffe break 15:45 – 16:15 Improvement of recruitment agencies practices • Mr. Ashling Seely, International Textile, Garment and Leather Workers Federation (ITGLWF)

Point of view of civil society - Mr. Gabriel Ghelmegeanu, President of Romanian-China Commerce

Chamber - Ms. Rodica Novac, Coordinator, Association for Development of Organization

- SAH ROM (ADO SAH ROM) 16:15 – 17:00 Questions and answers

12 November 2009

10:00 – 10:15 The summary of problems identified in the previous day 10:15 – 10:45 Panel 1 Governmental politics – improvement of legal framework and cooperation Questions and answers Conclusions and recommendations 10:45 – 11:00 Coffe break 11:00 – 11:30 Panelul 2 Cooperation between recruitment agencies of labour force and employers Questions and answers Conclusions and recommendations 11:30 – 11:45 Coffe break 11:45 – 12:15 Panel 3 Cooperation between trade unions and employers: collective bargains and presenting interests of trade unions and employer organizations Questions and answers 12:15 – 12:30 Final conlusions and recommendations 12:30 – 13:30 Cocktail

2. List of participants 11.12.2009

No. Name and surname of participant Institution / Organisation/

Company 1 Plant Roger SAP FL ILO 2 Lu LanLan Project Manager ILO Beijing 3 Ashling Seely ITGLWF 4 Mocanu Valentin MMFPS - Secretar de Stat 5 Pasca Bogdan MMFPS 6 Marinescu Auras MMFPS 7 Cojoaca Ramona ANOFM - sef serviciu statistica 8 Prodan Roxana ACORD Presedinte 9 Cherata Carapit MIMMCMA 10 Predescu Andrei MIMMCMA 11 Godeanu Radu UGIR 12 Mihalache Dragos UGIR 13 Jurca Ovidiu BNS 14 Radu Ion Confederatia Sindicala Meridian

15 Ghelmegeanu Gabriel Camera de Comert si Industrie Romania China - Presedinte

16 Dumitrescu Florea Asociatia de prietenie Romania China - Presedinte

17 Novac Rodica

Coordonator Asociatia pentru dezvoltarea organizatiei - SAH ROM

18 Seandru Cristian PTIR Braila 19 Catargiu Irimie ARACO 20 Scarlat Ionut Andrei PTIR Focsani 21 Glisca Ion Giramex 22 Duta Laura FPIMM Arges 23 Aghiorghicesei Liliana PIMM Suceava 24 Miron Horatiu CIMM HARGHITA 25 Jurge Liana Claudia CLIMM Craiova 26 Jurge Elena Mihaela CLIMM Craiova 27 Balas Stefan PTIR Buzau 28 Oprica Savin FPR Oltenia 29 Voina Ioan SC Marion Trade SRL 30 Cercel Iulica CLIMM Calarasi 31 Balasa Nelu CLIMM Calarasi 32 Dinu Ionut CLIMM Calarasi 33 Iordache Stefan CLIMM Calarasi 34 Naggy Toth Catalin SC Carrel SRL 35 Barna Istvan SC Compietta SRL 36 Soos Istvan ITSC 37 Duta Mihaela FPIMM Arges 38 Budel Alexandru PJIMM

39 Albu Anca Nicoleta ASE 40 Alion Danut Marius ASE 41 Ionescu Rares PTIR Buzau 42 Tudori Doru PTIR Galati 43 Amariutei Catalin ASE 44 Andra Balasa ASE 45 Tomescu Andreea ASE 46 Lucian Ionita PTIR Constanta 47 Radulescu Elisabeta ASE 48 Ghimpeteanu Andreea ASE 49 Manole Luca CLIMM Calarasi 50 Cirdei Ionut Oficiul Roman pentru Imigrari 51 Balatchi Florentina SC Uniflor SRL 52 Shramo Kispu China 53 Pantiru Elena SC PROBP SRL 54 Susan Li F&J Group 55 Coga Daniel INIMM 56 Bobocea Ion Ministerul Afacerilor Externe 57 Stoian Maria PIMM Teleorman 58 Toader Marinela PIMM Teleorman 59 Kaya Sebahat PNFAIMM 60 Dumitrescu Ovidiu SC Bursa SRL 61 Dumitrescu Sarmis PNFAIMM 62 Gheorghe Tranca Cristina OIM 63 Pop Giovana SC Astra Tour SRL 64 Popescu Savu Laurentiu SC Rompescaria SRL 65 Lobontiu Silvia IOM Mission in Romania 66 Maciuca Florin SC Adversary Trotde SRL 67 Caruntu Simona SC Universum Autovox SRL 68 Ciuciula Gabriela SC Bocris SA 69 Trusca Marinela SC CIAC Oradea 70 Chelu Catalin SC CIAC Oradea 71 Anghel Mihai PIMM Tulcea 72 Anghel Florin Lector ASE 73 Rogoz Daniel PTIR Buzau 74 Grajdeanu Paul PTIR Galati 75 Fudulea Mihaela PTIR Tulcea 76 Omer Socol PTIR Constanta 77 Mizdrea Marian Radio Romania International 78 Draghici Madalina Curierul National 79 Balasa Victor Media Argument 80 Onesa Razvan TVR 81 Stanescu Sorana TVR 82 Alexa Aurelia Mediafax 83 Anastasiu Vlad Ziarul financiar 84 Anghel Corina Evenimentul zilei 85 Zaharia Cosmin Newsin 86 Siman Raluca Club Afaceri

87 Toghiria Daniel Ag. IMPACT 88 Zaharia Carmen ASE 89 Stirbu Ortansa ASE

12.12.2009

No. Name and surname of participant Institution / Organisation/

Company 1 Plant Roger SAP FL ILO 2 Lu LanLan Project Manager ILO Beijing 3 Ashling Seely ITGLWF 4 Pasca Bogdan MMFPS 5 Marinescu Auras MMFPS 6 Prodan Roxana ACORD Presedinte 7 Cherata Carapit MIMMCMA 8 Predescu Andrei MIMMCMA 9 Jurca Ovidiu BNS

10 Ghelmegeanu Gabriel Camera de Comert si Industrie Romania China - Presedinte

11 Catargiu Irimie ARACO 12 Glisca Ion Giramex 13 Duta Laura FPIMM Arges 14 Aghiorghicesei Liliana PIMM Suceava 15 Miron Horatiu CIMM HARGHITA 16 Jurge Liana Claudia CLIMM Craiova 17 Jurge Elena Mihaela CLIMM Craiova 18 Oprica Savin FPR Oltenia 19 Voina Ioan SC Marion Trade SRL 20 Cercel Iulica CLIMM Calarasi

21 Balasa Nelu CLIMM Calarasi 22 Dinu Ionut CLIMM Calarasi 23 Iordache Stefan CLIMM Calarasi 24 Naggy Toth Catalin SC Carrel SRL 25 Barna Istvan SC Compietta SRL 26 Soos Istvan ITSC 27 Dirilie Claudiu ASE 28 Timofticiuc Elena AIDROM 29 Petre Doina INIMM 30 Duta Mihaela FPIMM Arges 31 Budel Alexandru PJIMM 32 Balatchi Florentina SC Uniflor SRL 33 Ion Alexandru INIMM 34 Morar Ana Maria PTIR 35 Manole Luca CLIMM Calarasi 36 Kaya Sebahat PNFAIMM 37 Dumitrescu Ovidiu SC Bursa SRL 38 Dumitrescu Sarmis PNFAIMM

39 Giovana Pop SC Astra Tour SRL 40 Cirdei Ionut Oficiul Roman pentru Imigrari 41 Pantiru Elena SC PROBP SRL 42 Stoian Maria PIMM Teleorman 43 Toader Marinela PIMM Teleorman 44 Vlad Angel AS Computer Bucuresti 45 Maciuca Florin SC Adversary Trotde SRL 46 Caruntu Simona SC Universum Autovox SRL 47 Ciuciula Gabriela SC Bocris SA 48 Trusca Marinela SC CIAC Oradea 49 Chelu Catalin SC CIAC Oradea 50 Anghel Mihai PIMM Tulcea 51 Anghel Florin Lector ASE 52 Rogoz Daniel PTIR Buzau 53 Ionescu Rares PTIR Buzau 54 Tudori Doru PTIR Galati 55 Seandru Cristian PTIR Braila 56 Lucian Ionita PTIR Constanta 57 Grajdeanu Paul PTIR Galati 58 Balas Stefan PTIR Buzau 59 Scarlat Ionut Andrei PTIR Focsani 60 Fudulea Mihaela PTIR Tulcea 61 Omer Socol PTIR Constanta 62 Balasa Victor Media Argument

3. Press Release

The International Labour Organization (ILO), in cooperation with the National Council of Small and Medium Sized Private Enterprises in Romania (CNIPMMR), during the 11th – 12th of November 2009, organized in Bucharest the workshop “Addressing the demand side of Chinese migrant workers in European Countries”.

The workshop was organized as a component of the Project on “Capacity Building for Migration Management in China (CBMM)”, which is funded under the Aeneas programme of the European Union and is being jointly implemented by the International Labour Organization (ILO) and International Organization for Migration (IOM) in close partnership with the Ministry of Foreign Affairs, Ministry of Human Resources and Security, and the Ministry of Public Security of the People's Republic of China.

The objective of the meeting was to analyze the demand for labor in the labor market in European countries aimed at Chinese migrants in order to promote dialogue between the governments of China and Romania and the business community. Participants at the event included:

• Mr. Valentin Mocanu, Secretary of State MMFPS • Mr. Roger Plant, Head of the ILO's special action program to combat forced labor • Mrs. Lanlan Lu, Project Manager, ILO Representation for China and Mongolia, Beijing • Ms. Roxana Prodan, President ACORD • Mr. Gabriel Ghelmegeanu, President Chamber of Commerce and Industry Romania-China • Mr. Dragos Mihalache, Vicepresident of UGIR • Mr. Ovidiu Jurca, vicepresident of BNS • Mrs. Ramona Cojoaca, Chief Statistics Service in ANOFM • Mr. Ionut Cardei, Romanian Immigration Office • Ms Ashling Seely, International Federation of Workers in Textile, Garment and Leather • Mrs. Rodica Novac, Coordinator, Association for the Development Organization - SAH ROM • VicePresidents and members of CNIPMMR. During this seminar were presented the results of research conducted at the request

of the ILO, which focused largely on the channels and mechanisms through which Chinese workers were recruited for temporary work period in Romania, as well as aspects of their lives and work conditions. They identified a number of areas where improvements are needed, both by law and regulations clearer, and a strong monitoring law enforcement, to ensure that treatment of these migrant workers is consistent both with Romanian standards in terms of labor market and those which Romania is party. Issues that were addressed included:

- Adequate regulations on employment and recruitment agencies - International cooperation to harmonize recruitment practices - Strengthen monitoring capacity of public institutions - The importance of social dialogue - Guide to prevent forced labor and human trafficking. The action has also considered the following issues: - Promoting mutual understanding between the Chinese community and local

societies in Romania;

- Raising the awareness of business actors with regard to risks of engaging irregular migrants and trafficking victims, and of exploitative practices which do not comply with labour standards;

- Identifying alternatives to abusive forms of recruitment, introducing good practices in self-regulation of employers and labour recruiters, and

- Promoting dialogue between China and Romania with regard to strategies to be adopted to inform and safeguard the rights of Chinese migrant workers.

4. Report on the Performance of the Workshop: "Addressing the Demand Side of Chinese Migrant Workers in European Countries” – 11th

-12th of November 2009, Bucharest, Romania

I. Introduction

The International Labour Organization (ILO), in cooperation with the National Council of Small and Medium Sized Private Enterprises in Romania (CNIPMMR), during the 11th – 12th of November 2009, organized in Bucharest the workshop “Addressing the demand side of Chinese migrant workers in European Countries”.

The objective of the workshop was to address the demand side of Chinese

migration towards European countries. The aim of the event was to promote dialogue between the governments of China

and Romania and the business community, including Chinese ethnic community and Romanian companies engaging Chinese workers, in actions to improve labour compliance and prevent the incidence of labour exploitation and trafficking against Chinese migrants.

The workshop was organized as a component of the Project on “Capacity

Building for Migration Management in China (CBMM)”, which is funded under the Aeneas programme of the European Union and is being jointly implemented by the International Labour Organization (ILO) and International Organization for Migration (IOM) in close partnership with the Ministry of Foreign Affairs, Ministry of Human Resources and Security, and the Ministry of Public Security of the People's Republic of China. The project targeted several European countries (including Italy, Great Britain and Romania), aiming to promote cooperation between China and the European countries in the area of migration management, with the focus on fighting illegal migration, preventing human trafficking and promoting safe and legal migration, by means of research, courses and workshops with the purpose of professional and specialized training, group study visits, dissemination of guidance materials, information campaigns, experience exchange and establishing a professional network between similar institutions and organizations.

One of the main ILO inputs relating to those aspects of the project concerns the

prevention and elimination of human trafficking. Building on the research carried out in selected European countries including

Romania, which will identify both the economic sectors most prone to employ illegal Chinese workers and the demand of Chinese migrant workers, the actions contemplated will include:

- Promoting mutual understanding between the Chinese community and local societies in Romania;

- Raising the awareness of business actors with regard to risks of engaging irregular migrants and trafficking victims, and of exploitative practices which do not comply with labour standards;

- Identifying alternatives to abusive forms of recruitment, introducing good practices in self-regulation of employers and labour recruiters, and

- Promoting dialogue between China and Romania with regard to strategies to be adopted to inform and safeguard the rights of Chinese migrant workers.

II. Performance of the workshop

The workshop on the topic “Addressing the demand side of Chinese migrant workers in European countries” was organized in the period 11th – 12th of November 2009, in Bucharest, at the Caro Hotel, 164A Barbu Vacarescu Boulevard, district 2, Bucharest.

There were 151 participants at the event (89 in the first day and 62 in the second

day), representatives of ILO, of public authorities and of government agencies qualified on labour relations and migration, of the employers' and trade union confederations representative at a national level, of entrepreneurs in Romania.

Among the participants in the workshop, we would like to mention:

- Mr. Roger Plant, Special Action Programme to Combat Forced Labour in the ILO; - Mrs. Lanlan Lu, Project manager, ILO office for China and Mongolia, Beijing; - Mrs. Ashling Seely International Textile, Garment and Leather Workers Federation

(ITGLWF); - Mr. Valentin Mocanu, State Secretary - Ministry of Labor, Family and Social

Protection in Romania; - Mr. Bogdan Pasca and Mr. Auras Marinescu - Ministry of Labor, Family and Social

Protection in Romania; - Mrs. Cherata Carapit and Mr. Petrescu Andrei – Ministry of Small and Medium Sized

Enterprises, Commerce and Business Environment in Romania; - Mrs. Ramona Cojoaca – The National Agency for Employment - Head of Statistics

Department; - Mr. Cirdei Ionut - Romanian Office for Immigrations; - Mr. Ovidiu Niculescu, Chairman of the National Council for Small and Medium Sized

Private Enterprises in Romania (CNIPMMR); - Mr. Dragos Mihalache, Vice-President of UGIR and representative of the Alliance of

Employers’ Confederation in Romania – ACPR; - Mrs. Roxana Prodan, President of ACCORD and representative of the Alliance of

Employers’ Confederation in Romania – ACPR; - Mr. Catargiu Irimie – Romania Association of Entrepreneurs in Constructions -

ARACO - Mr. Ovidiu Jurca, Vice- President of the National Trade Union Block; - Mr. Radu Ion – Medirian Trade Union Confederation; - Mr. Gabriel Ghelmegeanu, President of the Chamber of Commerce and Industry

Romania-China; - Mr. Florea Dumitrescu - Representative of the Friendship Association Romania

China;

- Mrs. Rodica Novac, Coordinator, The Association for Organization Development (SAH ROM).

Media representatives also participated to the workshop. Work methods applied included presentations and discussions focused on specific topics, i.e.: - Management of migration from China: Perspectives presented by ILO, with

presentations on: • The results of the ILO research on the Chinese migrants in Romania (Mr. Roger

Plant); • The management and regulation of recruitment agencies in China (Mrs. Lanlan

Lu); - National legal framework and politics in the area of protection of migrant workers -

Perspectives from Romanian Government; - Cooperation at national and international level regarding migrant workers’ prevention

by exploitation – Point of view from Employers’ and trade unions’ organizations; - Improvement of recruitment agencies practices, presented by Mrs. Ashling Seely; - Point of view of the civil society; - Debates on government policies – improvement of legal framework and cooperation;

cooperation between trade unions and employers; collective bargaining and representing the trade unions’ and the employers’ interests; cooperation between recruitment agencies and employers;

- Final conclusion and recommendations of the event.

III. Points of view from the seminar

After the opening of the workshop by Mr. Ovidiu Niculescu, Chairman of the National Council for Small and Medium Sized Private Enterprises in Romania (CNIPMMR) and Mr. Roger Plant, Head of the Special Action Programme to Combat Forced Labour in the ILO, there were several interventions highlighting the special interest in the workshop and the willingness to collaborate from public authorities competent in the field of labour relations and migration in Romania, of the employers’ and trade unions' confederations representative at a national level, main interventions coming from the following participants:

- Mr. Valentin Mocanu, State Secretary - Ministry of Labor, Family and Social Protection in Romania;

- Mr. Dragos Mihalache, Vice-President of UGIR and representative of the Alliance of Employers’ Confederation in Romania – ACPR;

- Mrs. Ramona Cojoaca – The National Agency for Employment - Head of Statistics Department;

- Mr. Cirdei Ionut - Romanian Office for Immigrations. After the two vast presentations: presenting the results of the ILO research on the

Chinese migrants in Romania, by Mr. Roger Plant (found in found in point 5 Presentations) and the presentation entitled: "The management and regulation of recruitment agencies in China", by Mrs. Lanlan Lu (found in point 5 Presentations), debates followed on the content of the materials presented.

With respect to the summary of the document prepared by Xiao Chen, University of

Shanghai, entitled “Recruitment and employment of Chinese in Romania: perspectives and

challenges”, one mentioned that the responsibility for the opinions mentioned in this report is exclusively that of the author and publishing or dissemination thereof is not an approval from the International Labour Office regarding the opinions in the said document.

It was underlined that the document drafted by Xiao Chen focused largely on the

channels and mechanisms via which Chinese workers were recruited for the temporary working period in Romania, as well as aspects related to their life and working conditions.

With respect to the content of the document prepared by Xiao Chen, entitled

“Recruitment and employment of Chinese in Romania: perspectives and challenges" and the topic of the workshop, here are the main opinions from the participants:

Mrs. Roxana Prodan, President of ACCORD and representative of the Alliance of

Employers’ Confederation in Romania - ACPR brought several criticisms to the presented document, also presented in writing before the opening of the workshop and that can be found in point 5 Presentations of this report. In her intervention, Mrs. Roxana Prodan highlighted the her experience of over 18 years in the field of recruiting foreign workers, mentioning the opportunities, best practices taken from the Israeli societies and also applied in Romania, good results registered so far, as well as clarifications regarding the actual situation of the cases presented in the research. She emphasized that individual employment contracts were signed, with the explicit mentioning of the salary, accommodation, meal and transport provided by the employer, that working norms smaller than those in China were accepted and that the employers were mainly companies in Romania from the areas of constructions and light industry.

Mrs. Roxana Prodan mentioned that there were problems in the case of works with relocated employees, for which the Chinese companies received very high commissions, these companies sending, in some cases, information to Chinese workers that were above the hiring offer received from Romania. She underlined the need that the companies bringing workers to Romania be licensed, similar to the mandatory licensing condition for the companies sending workers from Romania.

Mrs. Roxana Prodan highlighted the opportunities and benefits of free movement of people and believes it to be necessary to have initiatives for simplifying bureaucracy, for avoiding unfair competition of public institutions with the economic agents specialized in the field and that it is also necessary to have similar actions for the Romanian emigrant workers whose rights are infringed.

With respect to proposal and recommendations, Mrs. Roxana Prodan supported the need to increase monitoring of recruiting companies, their licensing, suggesting that the employment companies work according to the model of the temporary work agent, that authorities take more responsibility, to increase collaboration between trade unions and employers' associations, on a "win-win" principle.

Furthermore, she mentioned her full availability to cooperate and be involved in view of finding the best solutions and to develop actions launched in the field of migration and work force recruitment.


“Recruitment and employment of Chinese in Romania: perspectives and challenges”, Mrs. Ana Bontea – Director of the Legal Department and Social Dialogue within CNIPMMR mentioned that improvements are required regarding the more objective and accurate presentation of the actual situation in the analyzed cases, underlining the existence of incongruities in the research and lack of differentiated treatment for workers that had signed an individual employment contract with a Romanian employer (for which the entire internal labour legislation is applied, situation in which the registered contract includes all

aspects regarding working conditions, rights and obligations of the parties, the salary, according to the mandatory provisions of Order no. 64/2003 of the Minister of Labour in Romania) and the relocated workers.

As far as the research is concerned, she presented several suggestions to complete it with:

• aspects on the legal provisions applicable in Romania and in China in this respect;

• a SWOT analysis, highlighting weak and strong points, opportunities and threats of recruiting and hiring Chinese in Romania;

• an inventory of best practices in this area for promoting and valorizing them; • proposals to improve the legal framework and the procedures.

Mr. Ovidiu Jurca, Vice-President of the National Trade Union Block – BNS underlined the following main ideas:

- In order to have social peace and decent labour relations, in order to contribute to the common good, one must observe the fundamental rights and obligations of the workers, the regulations in the field being fundamental human rights;

- The trade unions in Romania acknowledge the need to be consistent, in the sense that any worker in the country must benefit from the protection of the internal and international legislation;

- He presented various examples on hiring migrants and their relation with the trade unions (the case Dacia Pitesti and Mangalia Shipyard);

- He thanked ILO for promoting the defense of the workers' rights; - He mentioned to have been directly involved in trying to solve conflicts existing

between relocated workers and the employers and for which there were protests in front of the Embassy of the People’s Republic of China and that these workers claimed to have been brought with false promises and to have paid very high commissions to recruitment companies in China; that they had qualification certificates in constructions but that they were not familiar with the specific technologies, that the Labour Inspectorate and the ROI were informed on the existing problems and that measures were taken at the level of the Embassy of the People’s Republic of China; that some of these Chinese workers were hired by Romanian employers at the insistence of Romanian authorities and of the Embassy’s and that the Trade Unions in China were required to follow-up on solving the problems of the workers that returned to their country.

- He believes that it is recommended to transfer the trade union identity so that the workers leave their country with a trade union identity and to choose a trade union in the country were they emigrate.

- He believes that migrants should be welcomed and understood in their diversity, which should not be a cause for exclusion.

- He underlined the importance of the cooperation between trade unions and employers’ associations at the level of collective bargaining;

- He presented the project launched by BNS on the trade union representation of migrant workers and the involvement in providing information, counseling and assistance for them, with the creation of a headquarters, with working points in the county capitals, interconnected in a network offering information for all foreign workers in Romania. The project is made in partnership with the R.O.I, Labour Inspectorate and affiliated BNR federations and it aims to issue informative materials, accessible in English, French, Turkish, Chinese, Arabic, that the foreign workers are to receive upon receiving the visa. Workers also receive information on the 5 trade unions on Romania that they can join.

Mr. Gabriel Ghelmegeanu, President of the Chamber of Commerce and Industry

Romania-China mentioned that although the number of foreign workers in Romania is very low, some cases were highly public, cases without sufficient training for solving the problems of Chinese workers in Romania. He also mentioned that integrating migrant workers is favored by close environments and cultures, offering the example of the employees from the Republic of Moldova who were easily integrated in the Romanian community.

He believes that the study was made based on documentation from China and that the Chinese authorities already took measures and performed checks before granting the visa, in order to avoid deceit.

Moreover, Mr. Gabriel Ghelmegeanu recommends enterprises, which provide translators, technical specialists and large groups of workers, not hiring individual migrants and he believes that an enterprise provides monitoring and control that allow problems to be avoided.

The believes that concluding an agreement between Romania and China, applied by all parties involved, as well as a close cooperation between competent authorities in the field, the civil society and the Chambers of Commerce, proposing and improving the legal framework for a higher clarity of legal provisions applicable. He also mentioned that there must a general framework for using labour force between Romania and China that must be applied by employers, that one must encourage and stimulate cooperation between enterprises in the two countries, especially large enterprises and that there must be an increased control in the field from authorities and social partners.

Mr. Gabriel Ghelmegeanu believes that the phenomenon must continue to be analyzed and the workshops and actions organized in the field are highly useful for all parties involved.

Mrs. Rodica Novac, Coordinator, Association for Organization Development (SAH

ROM) mentioned that there does exist a list of bad practice employers, that the accreditation system should be expanded according to the English model, that the ILO Conventions must be ratified and that it is necessary to improve the legislation in the field, that social partners (trade unions and employers’ associations) and NGOs must by involved in elaborating national programmes and strategies on migration.

Furthermore, she mentioned several recommendations regarding the inclusion in the Romanian legislation of rules for the application of the labour legislation in the same conditions for the employees and for the migrant workers.

Mr. Catargiu Irimie - the Romanian Association of Entrepreneurs in Constructions -

ARACO presented the very good cooperation of the organization he represents with China, mentioning that during this seminar there is an economic mission of 47 Romanian companies in the field of constructions in China. Moreover, he presented specific aspects on hiring migrant workers in the field of constructions, evolutions of the necessary work force in this sector, the need for highly qualified personnel in the field and actions to stimulate the maintaining of local work force, in order to reduce the migration of Romanian specialists to Spain and to other countries.

Mr. Cirdei Ionut - Romanian Office for Immigrations and the representatives of the

Ministry of Labor, Family and Social Protection in Romania (Mr. Bodgan Pasca and Mr. Auras Marinescu) clarified the applicable legislation on the competent institutions in Romania and their attributions in the field, on the legal framework for migrant workers and for relocated workers, presented statistics in the field and answered the requests to clarify aspects mentioned by the participants.

Moreover, they reinforced their availability to valorize conclusions and recommendations of the workshop and to collaborate with the social partners for identifying and applying the best solutions in the field.

There were numerous interventions from the representatives of the enterprises

participating to the workshop, highlighting the difficulties encountered in relation of providing highly qualified work force, best practices in the field of using foreign work force, specific aspects for the activity of small and medium sized enterprises and their relation with foreign workers, proposals to simplify bureaucratic and long procedures, expressing their interest to be informed on the phenomenon of migration, the evolution of the labour market and the changes in legislation.

IV. Conclusions and recommendations

1. The workshop on "Addressing the Demand Side of Chinese Migrant Workers in European Countries”, organized by the International Labour Organization (ILO), in cooperation with the National Council of Small and Medium Sized Private Enterprises in Romania (CNIPMMR), during the 11th – 12th of November 2009 attracted significant interest from the public authorities and government agencies competent in the field of labour relations and migration in Romania, of employers' and trade unions’ confederations representative at the national level and of entrepreneurs.

2. All participants to the workshop mentioned their availability to collaborate in view

of promoting dialogue between the Chinese and the Romanian government and the business community, including the ethnic Chinese community and the Romanian companies hiring Chinese workers, so as to improve working conditions and to prevent exploitation and human trafficking that could affect Chinese migrants, in the field of management of migration, focusing on fighting against illegal migration and promoting safe and legal migration.

3. With respect to the summary of the document prepared by Xiao Chen, University

of Shanghai, entitled “Recruitment and employment of Chinese in Romania: perspectives and challenges”, it was underlined that the document drafted by Xiao Chen focused largely on the channels and mechanisms via which Chinese workers were recruited for the temporary working period in Romania, as well as aspects related to their life and working conditions.


“Recruitment and employment of Chinese in Romania: perspectives and challenges”, several participants to the workshop mentioned that improvements are required on:

- a more objective and accurate presentation of the actual situation in the analyzed cases, and

- for the content of the research, there were proposals to complete it with: • aspects on the legal provisions applicable in Romania and in China in this

respect; • a SWOT analysis, highlighting weak and strong points, opportunities and threats

of recruiting and hiring Chinese in Romania; • an inventory of best practices in this area for promoting and valorizing them; • proposals to improve the legal framework and the procedures.

4. A number of domains requiring improvements was identified, both regarding the legal framework (clearer regulations) and an improved monitoring of the application of legal provisions in force, in order to assure that migrant workers are treated both according to the Romanian standards in the field, regarding labour market, and with the international standards that Romania is part of.

The aspects debated and analyzed in the workshop highlight the need of a good cooperation between China as source country and Romania as target country for migrant workers.

During past years, economic and social factors both in Romania and in China

attracted several thousand Chinese citizens searching for a job in Romania, especially in the fields such as: constructions, textile and shipbuilding industry.

Although last year both the demand and offer decreased, first of all due to the economic and financial recession and secondly due to protests of Chinese workers at the beginning of 2009, it is still important to examine measures that could be taken by Chinese and Romanian governments, if possible, in close cooperation with the representatives of the employers' and trade unions' organizations in order to increase possibilities of legal and well-managed migration, answering both the demand of the employers and the need to protect the workers' rights.

5. Aspects to be approached include the following:

5.1. Proper regulations regarding employment and recruiting agencies There is a need to have clear regulations on the labour operations in the private

sector and the recruiting agencies. A useful framework is provided by the ILO document - Convention on Private Recruiting Agencies, no.181 (1997), that several Member States are encouraged by ILO to ratify. It contains several dispositions that can consolidate Romania's offers to stop abusive practices. Article 8 presents as measures (where applicable, in cooperation with other members) the provision of proper protection and the prevention of abuse against migrant workers recruited or employed on its territory by the recruiting agencies in the private sector. These will include laws or regulations stipulating sanctions, including exclusion of the respective labour agencies that use illicit practices and abuses from the private sector. Moreover, if workers are recruited in a country to work in another country, the respective members should take into account the conclusion of bilateral agreements in order to prevent abuses and illicit practices in the recruitment, relocation and employment process. Article 7 sets the general principles, i.e. that labour agencies in the private sector do not receive, directly or indirectly, taxes or costs for the workers. Article 10 stipulates the creation of proper mechanisms and procedures involving, as the case may be, the most representative employers’ and trade unions’ organizations in view of investigating complaints, alleged abuses and illicit practices on the activities of labour agencies in the private sector.

5.2. International cooperation in view of harmonizing recruitment practices

The study identified various forms and recruiting channels, through a complex network of various agencies in China, Romania and also in third countries. It is important that migrant workers receive a contract, in the source location, identical with the one in the target location, explaining clearly the workers' rights, as well as their obligations, covering salaries and payment of the said, working hours and other matters. Vigilant measures must be applied to prevent the risk of "replacing" the initial contract by various contracts at the

target location. Both Romanian consular officials in China and the Chinese consular officials in Romania can play an important role in monitoring the application of contracts and informing the relevant authorities on any dissatisfaction.

5.3. Consolidating the monitoring capacity of public institutions

Many public institutions and agencies have a role to play in assuring a well-organized management of migration while protecting the rights of all workers. An inter-ministry coordination mechanism can be useful for the revision of the process of granting the work permit and the visa as well as for improving the monitoring of recruitment activities. Granting licenses and registering employers in the private sector and private work force recruitment agencies is an efficient manner of providing compliance with the labour legislation.

5.4. The importance of social dialogue The social dialogue, involving employers’ and trade unions’ organizations, as well as

government agencies and NGOs with experience in the field, is important at several levels. First of all, it is essential that any new regulations or any new mechanisms of granting licenses and monitoring be adopted by consulting with the employers’ and trade unions’ organizations and should reflect their preoccupations. Secondly, it is necessary to have a consolidated dialogue between the source and target country, reuniting employers’ and trade unions’ organizations in China and Romania in order to discuss about common platforms and to agree upon concrete measures to assist migrant workers and to find ways to solve their dissatisfactions. For example, the Federation of all trade unions in China recently established a new initiative to help migrant Chinese workers. Public servants from all countries, from all levels, must also take responsibility for the fact that workers understand their rights and that employers and recruiting companies are fully familiar with the legal procedures.

5.5. Guideline for preventing forced labour and human trafficking

Worst case scenario, abusive practices can be not only an infringement of the right to work but also crimes of forces labour and human trafficking. ILO made a series of guidebooks regarding the prevention and criminal prosecution of forced labour and human trafficking, oriented on the various public categories, including: employers and businessmen, labour inspectors, judges and prosecutors and legislators and public servants trying to apply the law. Employers' and trade unions' organizations in Romania, as well as government agencies, academic universities can play an important part in adapting these documents to the Romanian context and in assuring their national dissemination.

5.List of presentations

- “Capacity Building for Migration Management in China (CBMM

China)” made by Ms. Lanlan Lu - “The situation of the labor market in Romania in perspective of

unemployment” made by Mrs. Ramona Cojoaca – The National Agency for Employment - Head of Statistics Department

- “Foreign workers in Romania - Workers' rights in third countries in Romania” - Mrs. Rodica Novac, Coordinator, The Association for Organization Development (SAH ROM)

- “The Recruitment and Employment of Chinese Workers in Romania a Win-Win Solution” – Ms. Roxana Prodan, president ACCORD

- Improving the Management of Migration Systems: Challenges for China and Europe – speech of Mr. Roger Plant. Head of SAP FL ILO

1

Capacity Building for Migration Management in

China (CBMM China)Lanlan Lu

Bucharest, 11 Nov, 2009

2

History of China’s Overseas Employment

n Three Phases: - 1949-1960 only in former Soviet Union and Mongolia- 1961- 1978 mainly for foreign economic aid project- 1978 onward—economic reform with new market oriented

system. Private Recruitment Agencies (PREAs) enter into the market from 1990s and was administrated by the Ministry of Labour and Social Security.

The Situation of China’s Overseas Employment

-China’s overseas employment has been developing fast after 1978.

-There are about 792,000 Chinese overseas workers up to 2007 and their remuneration is estimated at about 8 billion USD (does not include students who went on employment overseas or irregular migrant workers)

0

10

20

30

40

50

60

70

80

1999 2000 2001 2001 2003 2004 2005 2006 2007

annual numberyear end number

4

The Situation of China’s Overseas Employment

n Overseas employment destination was focusing on Asia, with about 70% of the total. Of that Asia market, Japan, Korea and Singapore are the first three receiving countries, accounting for 31%, 18% and 14 % of the total overseas employment in 2006. nThe business scope and geographical area covered by China’s overseas employment has been expanded.Not only low end but also technology intensive industriesn Overseas employment to Europe has been increasing and it is about 10% up to now.

-Chinese Overseas Workers Distribution of Destinations in 2006

2006年

76%

4%10%

3%2%

1%

4%Asi aAf r i caEur opeNor t h Amer i caSout h Amer i caOceani aHK, Macao，Tai wan

5

China’s Overseas Employmentn Two Categories: 1. Overseas Employment Agencies and 2. Project engineering and international labour cooperation.nThere are 512 overseas employment agencies approved by the former Ministry of Labour and Social Security, of which ¾ are PREAs.At present about 2000 companies undertake overseas employment agencies’ intermediary service and international labour cooperation. nThe Channels of China’s overseas employment:-Through bilateral agreement on labour cooperation such as Sino-Russian labour Cooperation Agreement.-Through overseas projects contracts. The type and number of the expertise for the dispatched labour-force depend on the actual needs of the projects or programs.-Overseas employment through setting up joint ventures abroad. Overseas employment through individual, relative or self-employment abroad. -Overseas employment through the overseas employer’s contracts—Private Recruitment Agencies (PREAs)

Overseas Employment Agencies: PREAs

n About 120,000 Chinese workers were employed abroad under the arrangement of PREAs by the end of 2007.

n Function of PREAs:Provide labour market information, job recommendation and recruitment, signing employment contract, technology and language training, assistance with social insurance, protection of labour rights by means of mediation and legal action.

n Registration and license for PREAs: Deposit on average is about 1 million RMB (about 200,000USD). 3 Years license with annual inspection.

n Required competence of PREAs: equipped with staff with college degree or above, foreign language competency, accounting and financial management skills, ability to conduct market research etc.

China’s laws and policies in managing overseas employment

n Regulations on management of Overseas Employment Agencies was issued in 2002 by the former Ministry of Labour. The regulations are formulated in accordance with the Labour Law of China, governing overseas employment intermediary activities.

n Notice on Strengthening the management of Overseas Employment was issued in 2008 by the Ministry of Commerce.

n Bilateral agreement to promote safe labour cooperation.n The policy measures pay more attention on pre-

departure and starts to emphasize on after departure but very little on after returning.

8

Problems in China’s Overseas Employment

• Management on overseas employment are fragmented and no single national law —regulations issued by government departments (weak integration with international conventions and domestic labour and employment promotion laws).

• Channels for of overseas employment can not meet the demand of Chinese workers.

• Chinese potential overseas workers lack of information access on the international labour market trends and international labour standards.

• The legitimate rights and interests of Chinese workers are damaged by PREAs’ malpractices or limited capacity to negotiate or verify working conditions.

• Lack of effective protection mechanism for the Chinese overseas workers.—PREAs have limited capacity to handle dispute settlement.

• Chinese workers find it difficult to adapt abroad or achieve social integration; often engaged in 3D jobs, and the service for workers overseas is limited.

9

Challenges identified through the implementation of CBMM Project

nChallenges identified:n No standard fee structure on the Recruitment Agencies, and Chinese

recruitment agencies lack contacts with foreign organizations;n Lack of Chinese foreign labour attaches posted abroad, despite large

concentrations of Chinese workers abroad; n Lack of understanding of foreign labour and immigration laws amongst

central level and provincial labour officials;n Huge interest of potential migrants (website in Liaoning getting 130,000

hits/day) but lack of information on destination opportunities for potential migrants;

n No mapping of Chinese communities abroad nor identification of the challenges of integration.

10

CBMM Project Approach to Address the Challenges

- Manual on licensing and monitoring of PREAs.- Manual on enhancing self-discipline of PREAs-develop sample contract to cross check legitimate conditions.-Capacity building for law enforcement officials from MPS, MOFCOM, MOHRSS, and PREAs, reached 500 target stakeholders.-Develop “black list PREAs” and share it with the EU MS.-Information Campaign on safe migration- In Fujian province along reached 150,000 in 3-month duration.-Policy suggestions on the mechanism of overseas employment management and development of minimum standards for overseas employment. -Explore ways to enhance the role of Chinese trade union in rights protection, pre-departure orientation and skills building; shed lights on ‘black recruitment agencies’ and their role in facilitating irregular migration.-Research on Demand side conditions for irregular Chinese Workers.

11

CBMM Project Approach to Address the Challenges

- China’s main challenge:Promote regular migration, regulate the market of PREAs to curb unfair competition and protect Chinese overseas workers from abuse or exploitation.

CBMM Continued Efforts:- Share European experience on circular migration/labour mobility and international best practice on recruitment management. -Policy dialogue to identify areas blocking the expansion of regular labour migration channels to Europe- Better engagement with Chinese labour officials to combat labour exploitation of Chinese workers in Europe- Promote measures to encourage the integration of Chinese migrants in Europe- Maximize the positive contribution of migration to the development of both countries of origin and destination.

ROMANIA

NATIONAL AGENCY FOR EMPLOYMENT

THE SITUATION OF THE LABOR MARKET IN ROMANIA IN

PERSPECTIVE OF UNEMPLOYMENT

ROMANIA

In Romania, the first signs of economic andfinancial crisis occurred in late 2008primarily due to decreased economicgrowth, restriction of activities anddevelopment lay.The year 2009 began with a sudden andsteep rise in unemployment, labor market inRomania is affected by financial andeconomic crisis manifested in the world.

ROMANIARegistered unemployed and unemployment rate during

2004-September 2009

q If at the end of December 2008, the number of unemployed registered in the records of 403,441 people NAE was at the end of September 2009, their number was 625,140 persons, 272,228 persons more than in the same months of 2008.

Registered unemployment rate raised during December 2008 (4.4%)-September 2009 (6.9) by 2.5 percentage points.

367,8

403,4

557,9

523,0

460,5

625,1

4,4

6,35,9

5,2

4,1

6,9

300

350

400

450

500

550

600

650

700

dec 2004 dec 2005 dec 2006 dec 2007 dec 2008 sept 2009

mii

per

soan

e

0

1

2

3

4

5

6

7

8

%

Nr someri inregistrati Rata somajului inregistrat

Evoluţiile ratei şomajului înregistrat în perioada ianuarie 2006 – septembrie 2009

ROMANIA

3,5

4,0

4,5

5,0

5,5

6,0

6,5

7,0

ian febr mart apr mai iun iul aug sept oct nov dec

rata

so

ma

julu

i(%

)

2009 2008 2007 2006

In the period 2006 - 2009,registered unemploymenthas fluctuated and hasexperienced significant andsteady decreasingtendency of attenuation andflattening the entirereference period. Since2008 the unemploymentrate evolved ascendinghigher in 2009 withincreasing number ofregistered unemployed.

ROMANIA

300.000

350.000

400.000

450.000

500.000

550.000

600.000

650.000

pers

oan

e

Evoluţia numărului de şomeri înregistraţi în perioada 2007 - septembrie 2009

2007 477.309 459.013 433.023 400.339 369.832 354.714 343.163 350.420 345.012 367.375 371.969 367.838

2008 383.989 379.779 374.050 352.466 338.298 337.084 340.462 345.510 352.912 364.183 376.971 403.441

2009 444.907 477.860 513.621 517.741 526.803 548.930 572.562 601.673 625.140

ian. feb. martie aprilie mai iunie iulie august sept. oct. nov. dec.

Increased number ofunemployed is due tocollective redundancies inrecent years, theredundancies, lack ofvacancies but the wave ofgraduates who failed tocommit after completingtheir studies. However, manyemployers chose this time toliquidate their businesses orbusiness stay.

ROMANIA

Unemployed compensated:- are people from economic activities and were made available in previous months- are individuals who received extended period of compensation under the Government Emergency Ordinance nr.28/2009.- Promotion of education graduates of 2009 who enrolled as individuals seeking work

Evolutia numarului de someri inregistrati si a numarului de someri indemnizati in anul 2009

100.000

200.000

300.000

400.000

500.000

600.000

700.000

ian febr

martie

aprili

emai

iunie

iulie

augu

st

septe

mbrie

per

soan

e

numar total someri numar someri indemnizati

ROMANIA

AGENŢIA NAŢIONALĂ PENTRU OCUPAREA FORŢEI DE MUNCĂ

Evolutia locurilor de munca vacante in perioada 2007 septembrie 2009

20.000

30.000

40.000

50.000

60.000

70.000

80.000

IAN FEBR MART APR MAI IUN IUL AUG SEPT OCT NOV DEC

intr

ari l

ocu

ri d

e m

un

ca v

acan

te

intrari 2007 intrari 2008 intrari 2009

Job vacancies reported by the operators have been reduced by about 50% during January-September of 2009, compared with same period last year.

ROMANIA

Starting in October 2008, redundancies expected to take place by traders monitored daily so that NAE may know and counteract the effects of economic crisis on the labor market under the specific set of legal framework.

Evolutia disponibilizarilor colective, estimate/ realizate in perioada octombrie 2008- septembrie 2009

Evolutia disponibilizarilor colective, estimate/ realizate in perioada octombrie 2008- septembrie 2009

-

5.000

10.000

15.000

20.000

25.000

30.000

35.000

40.000

OCT 200

8

NOV 200

8

DEC 2008

IANUAR

IE

FEBRUAR

IE

MARTIE

APRILI

E MAI

IUNIE

IULIE

AUGUST

SEPTE

MBRIE

ESTIMAT REALIZAT

ROMANIAEvoluţia şomajului în perioada 2004 – septembrie 2009

2004 2005 2006 2007 2008 9 LUNI 2009

Rata şomajului înregistrat - % 6,8 5,8 5,4 4,3 4,0 5,9

Rata şomajului feminin înregistrat - % 6,0 5,1 4,7 4,0 3,6 5,5

Rata şomajului masculin înregistrat - % 7,5 6,5 6,1 4,6 4,0 6,2

Număr mediu de şomeri, din care: 607.192 513.721 484.698 386.667 362.429 536.582

- Indemnizaţi 253.868 195.445 178.530 128.561 108.632 264.997

- Neindemnizaţi 353.324 318.276 306.169 258106253.797 271.585

Total intrări, din care: 1.100.915 965.192 1.026.803

1.060.578 920.023 797.665

- Noi înscrişi, din care 699.447 647.703 685.368 622.996 605.327 601.013

- prin Disponibilizări curente si colective de personal 278080 230.149 229.645 176.426 168.867 325.887

Total ieşiri, din care: 1.201.914 1.000.117 1.089.275 1.153.235 884.423 575.966

- Prin încadrare 476.509 468.491 490.063 497.040 397.574 220.333

Procent persoane încadrate/total ieşiri % 39,64 46,84 44,98 43,09 44,95 38,25

MEASURES

TO STIMULATE THE

EMPLOYMENT

Under Law no. 76/2002

MEASURESSTIMULATION OF EMPLOYMENTIt addresses:

- Persons seeking employment

- Employers

- Both segments of the labor market

Measures to increase employment opportunities for persons seeking employment• information and counseling;• employment mediation;• training;• advice and assistance to start self• employment or starting a business;• supplementing wage income of• employees;• stimulating labor mobility;• premium for graduates.

• mediation work - linking employers with thoseseeking employment, pre-candidates meet therequirements of job vacancies, in accordance withtraining, skills, experience and their interests;

• information and advice on career - is to provide labormarket information, self assessment and personalityto vocational guidance, training methods andtechniques of job search;

• training - start, skills retraining, improvement andspecialization according to individual choices andabilities of people seeking employment;

• advice and assistance to start self-employment orstarting a business - be granted upon request, aslegal, marketing, financial management methods andeffective techniques and other advisory services;

• supplementing wage income - people who arecommitted to working normal hours, before theperiod for receiving unemployment benefits, aregiven monthly allowance until expiration of anamount representing 30% of the unemployment

benefit;

• stimulate mobility - people while receivingunemployment benefits fall in employment in a localitysituated at a distance greater than 50 km from thelocality in which the normal residence, shall receive apremium equal to two times the indicator socialreference, and those falling in other locality andtherefore are moving house, receive a premium equal tothe 7 installation or social indicators of reference;

• providing low interest loans - are granted to unemployedor students 30 years who wish to develop their ownbusiness interest loans for 25% of the interest ofreference of the National Bank.

• providing materials for graduates - an amount equal tounemployment benefits, given the time of hiring until theend of the grant award if it would not be hired.

Measures to encourage employers for employment of unemployed is achieved by• subsidized employment for recruitment of disadvantaged categories:

- People over 45 or unemployed sole supporters of single parentfamilies - is granted for a period of 12 months worth of a socialindicator of reference provided they remain at work and at least 2

years;- school graduates: 1, 1.2 or 1.5 reference value of social indicatorsbased on level of education provided and maintained to work at least 3years. During the 3 years the agency settled charges with the trainingof such persons employed;- People who have 3 years to their current retirement - is granted forthe period until retirement (3 years) an amount equal to 1 ISR;- persons with disabilities - is given to employers who are under 75employees, the subsidy is 12 months, the condition is to maintain theemployment relationship at least 2 years;

* subsidy expenditure programs pay people employed in temporarycommunity interest

Measures aimed at employers• low interest loans - are granted in order to create new jobs for the establishment or

development of small and medium enterprises, cooperative units, family associations

or self-employment, interest loans for 50% of the interest of reference of the National

Bank and the counties where the unemployment rate stood above the average annual

unemployment rate in the country, interest is 25% of the interest of reference of the

National Bank;

• tax incentives - reducing the contribution to the unemployment insurance budget by

0.5% for employers employing the unemployed and maintain its activity for at least 6

months, the recovery of contributions to unemployment insurance budget by

employers that graduates remain in business education after the period of 3 years, or

persons with disabilities after the 2 years.

• financing training programs organized by employers for their employees (for up to 20%

of staff) of 50% of costs incurred with these programs

MEASURES TO both segments of the labor market1. services of pre dismissal as prevention of

unemployment - is given prior to dismissal of staff

TrainingLabor MediationLow interest loans

• Law No.76/2002 on unemployment insurance system and stimulating employment created the possibility of implementation of employment services by providing specialized

- Employment Services - accredited by the NAE- Training Services - Authorize the territorial authority committees (the Tripartite Commission)

Incentives for employment of young

people subject to social marginalization

• National Agency for Employment is required to achieve apersonalized social accompaniment for young people aged between16 and 25 in difficulty and face the risk of professional exclusion inorder to facilitate their access to employment

• People are entitled to professional advice and mediation by devisingan individual plan of mediation, in order to integrate or reintegrateinto working people eligible for entry into employment with anemployer approved by the Agency under a contract of solidarity,which may be concluded between the young beneficiary and theAgency for a term of up to 2 years but not more than a year. In thecontract the employer will complete solidarity with the youngindividual employment contracts to fixed-term, equal to the contractof solidarity

.

• Employers who belong to youth in terms of acontract of solidarity, named as inserţteemployers, will end the agreement with theagency through which it undertakes to repay themonthly base salary set on youth employment,but not more than 75% of earning net averageeconomy, the National Statistics Institute Press

• If the termination date of listing contract ofsolidarity employers hire young people withindividual employment contract of indefiniteduration, they have the the same convention, themonthly repayment of a sum, amounting to 50%of unemployment benefit due under the law, thethe young beneficiary would have received if hehad been dismissed at that time. The amount isgranted to employers for a period not exceeding2 years, until the employee reaches the age of25 years .

• Categories of beneficiaries of the law 116/2002 are:a) Young people from orphanages and centers for receipt

of child in public services and special of approved private bodies in the field of protection of children,

b) young travelers with dependent children; c) young family man with dependent children; d) young householder with no dependent children; e) young family man who performed custodial sentences, f) other types of young people in need.

In case the agency has contracted to solidarity for all people in the records it in the last two months of budget year, the amounts available in the budget of unemployment insurance, may conclude additional contracts solidarity and others aged up to 35 years, with the priorities set out above, under the law.

Law no. 72/2002 on boosting pupils and

students

• Employer employing students workduring school holidays benefit of amonthly financial incentive equal to50% of the ISR for each pupil andstudent.

• The maximum grant of incentive is60 days in a calendar year.

• The difference between the monthlyincentive pay granted and made bythe employer shall bear its ownfunds.

*Annual- National Progam labor employment- National training for PCLM

*Structured- county officers

- the towns and villages deprivedareas reported higher unemploymentrate

- the types of measures- target groups

Programs ofANOFM

*PCLM/ unemployed-Youth-SLD-People over 45 years-People w ith disabilities-Roma-People at risk of social exclusion-People released from detention

*Other groups provided by law :StudentsPeople returning to work in child care leavePersons in detentionPersons employed for which the employer receives financing for FP

Target groups

• On the basis of objectives • By AJOFM - debate Advisory Councils • Submittal NAE - analysis

- Correlation with the unemployment insurance budget

- Adjustment - Approval of the Management Board of the

NEA (training plan is approved by the Ministry of Labor, Family and Equal Opportunities)

• Contract Performance Management (MMFPS and NAE) and management contracts (NAE and AJOFM) - performance indicators (Monitoring monthly, monthly and annual assessment)

Elaboration

1

Foreign workers in Romania

Workers' rights in third countries in

Romania

Addressing the Demand Side of Chinese Migrant Workers in European Countries: Workshop in Romania

11-12 November 2009, Bucharest

2

• It is an NGO founded in 2000, working in the labor market, social dialogue and migration.

• She is a member of the Federation of NGOs for Development (FUND Romania), anti-poverty National Network - Social Inclusion (RENASIS / EAPN Romania), Network Landmarks and member affiliated to the European network jointly.

Organization Development Association - SAH ROM

(ADO SAH ROM):

3

Context• In late 2008 there were

56,782 foreigners in Romania.Number of work permits issued to foreigners seeking to be employed or perform work on a decision of posting:2007 to 12,000 workers from 2008 to 15,000 workers from 2009 to 8000 workers.

Permise de muncă

2008 Aug. 2009

Permanent 9876 1661

Detaşat 4531 1101

Alte categorii* 593 545

TOTAL 15.000 3.307

*Această categorie include permanenţi studii, sezonieri, sportivi, stagiari, 1 lucrător transfrontalier pentru 2009.

The main countries of origin: Turkey, China, Moldova, Bangladesh

4

Statistical summary of the work permits

Interval de vârstă

2008 Ian.- Aug. 2009

Masculin Feminin Masculin Feminin

Sub 18 ani 1 8 0 0

18 - 25 ani 467 2635 142 442

26 – 40 ani 607 7672 214 1594

41 – 50 ani 131 2846 44 694

51 – 60 ani 18 563 11 151

Peste 60 ani 0 51 0 15

Total 1224 13.775 411 2896

5

Legal framework• OUG no. 194/2002 regarding foreigns in Romania - regulates the

entry, stay and exit of aliens in Romania or from Romania, rights and obligations and specific measures to control immigration.

• OUG no. 56/2007 on the employment and deployment of foreigners in Romania - and posting governing employment of foreigners in Romania.

• Ordinance no. 44/2004 regarding the social integration of foreigners who have obtained some form of protection or a right to stay in Romania - defines social integration, software integration of foreigners who have acquired a form of protection or a right to stay in Romania, and activities to facilitate their social integration (learning the Romanian language courses and cultural accommodation and counseling sessions).

6

Legal framework (II)• Law no. 344/2006 concerning the posting of workers in the

transnational provision of services - into national law the European Parliament and Council Directive 96/71/EC on posting of workers in the provision of services. - Seconded employees enjoy working conditions established by Romanian law and / or collective labor agreement (national and branch) on some items (minimum wage, rest, etc..) - The law stipulates that its provisions do not limit the application of more favorable working conditions for employees posted in Romania.

•• Government Decision no. 104/2007 - defines the specific procedure

for the posting of workers in the transnational provision of services in Romania.

7

What requires foreign workers (I):

• Abuse of recruiters (Romanian or Chinese, who collected between 6000 and 12,000 euros for a job in Romania).

• Failure of the initial verbal agreement concluded with the recruiter (salary promised not prove gross net negarantarea employment and / or number of working 6 days a week ...)

• Failure / change contractual terms (payment of wages in meal vouchers, partial payment of promised salary in Romania or in the home, reduce wages to cover accommodation and meals ...)

8

• Abusive practices of employers (keeping the original work permits to business -contrary to art. 23 of Ordinance 56/2007, paying the salaries, working to establish arbitrary rules, unfair contract terms, employment contracts unsigned by the employer, failure to pay sick leave, seizure passports ...)

• Difficulty in inserting the new location (dependence on intermediaries who "translate" the reality in Romania, difficulties in labor relations, fear of not obtaining a visa renew, lack of access to information legislation and ...)

• Lack of information (job descriptions, rules of procedure, a minimum of legislation ...)

• Decency of housing conditions, communication difficulties ...

What requires foreign workers(II):

9

Weaknesses in the legal system (I)

• Law no. 344/2006 concerning the posting of workers in the transnational provision of services have established that employees posted working conditions established by Romanian law and / or collective labor agreement (national and branch) of:- maximum working time and minimum rest period regularly;- minimum paid annual holidays;- minimum wage, including overtime compensation or payment;- conditions of availability of workers, temporary employment agencies;- health and safety at work;- protective measures with regard to working conditions for -pregnant women and children and youth;- Equality between men and women and other provisions on non-discrimination.

• GEO no. 56/2007 on the employment and deployment of foreigners in Romania does not offer any guarantee posted workers from third countries regarding working conditions.

10

Weaknesses in the legal system(II)

• The procedure for obtaining work permits for posted workers from third countries is flexible, simple, short-term and more favorable for employers than for permanent workers.

• Work permit is issued at the request of the employer, although the right to work and stay right in Romania are recognized foreign person, which exposes the worker at risk of abuse by employers.

• There is a system for sanctioning abuses of employers and businesses on posted workers from third countries.

11

• Capacitatea instituţiilor publice de a controla şi monitoriza activitatea agenţilor privaţi de ocupare a forţei de muncă este restrânsă:– Legislaţia actuală nu conţine prevederi referitoare la rolul

agenţilor privaţi de ocupare în procesul de selecţie şi recrutare a muncitorilor extracomunitari.

– Nu există un sistem de acreditare al agenţilor de ocupare a forţei de muncă care intermediază contractarea forţei de muncă din străinătate (transparenţa, controlul şi garantarea drepturilor lucrătorilor).

• România nu a ratificat Conventia nr. 181 privind agenţiile private de recrutare pentru angajare şi nici Convenţia nr. 97 cu privire la migraţia în scop de angajare.

Deficienţe ale sistemului legislativ (III)

12

Weaknesses in the system of industrial relations

• Trade unions, employers and NGOs are not involved in policymaking in this area (National Strategy for Immigration) and implementation of annual action plans.

• Employers who employ foreign workers are generally members of employer associations.

• Immigrants are not union members in Romania and, often, either the country of origin.

13

Recommendations (I)• Including the special legislation on employment and the posting of

workers from third countries in Romania applicability of provisions of labor law and collective agreements under the same conditions with workers assigned to the transnational provision of services.

• Regulation of private business employment jobs recruiting extra workers and establish a system of accreditation for them.

• Entering the legal obligation to pay the agent commission employment of private work to be done only by the employer.

• Introducing the legislation of a system for sanctioning employers who violate workers' rights legislation on the stain in Romania.

14

Recommendations(II)

• Formation of an advisory group immigration, that is part of institutions responsible for the mobility of workers, social partners and civil society representatives.

• Strengthening social dialogue and civil dialogue on migration.

• Identification and preparation of opinion leaders from among nationals of third countries in Romania, to become resource persons for the communities of origin.

• Increased access to information to foreign workers on their rights and obligations under the legislation of Romania.

15

Contact:ADO SAH ROM

[email protected]

Thank you.

CONFEDERAŢIA NAŢIONALĂ A PATRONATULUI ROMÂN

B-dul Lascar Catargiu, nr. 24-26, Sector 1, Bucuresti Tel 021. 231. 61.92 Fax: 021. 231.61.93

e-mail: [email protected]

THE RECRUITMENT AND EMPLOYMENT OF CHINESE WORKERS IN ROMANIA A WIN-WIN SOLUTION

I want to start my comments with the end of the material send – how come the resource do not content opinions of the employers and of the recruitment companies !!!!! I consider the resource as the description of a long row of bad practices .I couldn’t find positive aspects as if the employers and recruitment companies are considered to be the one destroying their own business being in the same time the enemies of the workers . The foreign workers do not represent a cheaper human resource for the employer, but a solution to save the companies when the local workers are not available. The migration in Romania from China is strictly connected by the Israeli investment in our country . As in the 90’s when the romanian workers used to leave for Israel in massive number and the romanian recruitment companies start using the Israeli experience of the manpower companies, in 2007 after Romania entries in UE the chinese workers start coming here. Very few romanian companies had chinese connections good enough to establish strong contracts so the first groups came with the collaboration of the Israeli companies with long, traditional good experience with chinese in Israel. It was just a switch: Romanians increase the migration for UE, decrease the one in Arab countries and Israel and they start being replaced by chinese considering Romania an European country not as developed as the other, but as a first step during especially the boom in construction it was acceptable. In 2007 nobody predicted the actual crisis. We have to speak about good and bad practice very openly because this is one of the hot points of the study . The authors of the report mention the fact that employers and labor brokers (????) began pressing the romanian authorities regarding the increasing of the number of work permits- it is a sensible issue. By our professional experience as Romanians we realize that in 2007 there was a bigger demand than 10.000. The number of work permits was consumed in august 2007, the authorities in charge made a promise to analyze the real situation before a crisis of work permits start, but in fact it was a period of more than 2 month without solutions. The employers associations insisted strongly in the social dialog meetings and other forums to convince the authorities to increase the




number of permits, but also the checking from the part of the inspection of Labor and Office of Migration. A number is just a number, and if after verifying the companies needs, the unemployment agency information and the condition of work and accommodation of the workers the result is that in Romania we need only 2 foreign workers or 20.000 this will be the result. The truth is that any authorization artificial restricted by the number of permits and number of documents leads to corruption and it is not a coincidence the large number of scandals in the migration field and the same names connected to that issue from the authorities part from the beginning of the boom of romanian migration till now. Transparency in this area is a must because we are referring to people, not tools. The chinese migrants are, by my opinion, 2 categories: small traders and business people with their families and workers. Even we can speak for the first category about integration here, in fact the chinese live mostly in every strong community and exactly as in all other countries they solve their problems inside. Probably part of this category will decide to stay forever in Romania, even if initially they considered us a transit country. For the second category first we have to consider they are coming from medium level development or developed areas and they are carefully selected to be the best of the best- in the good practice idea. Only for the very good ones the companies offer good salaries. The first groups came with a salary in the equivalent of 635$ plus food tickets plus free accommodation. For Romania that means decent conditions and not cheaper than locals for the employer point of view. This was the offer of the companies with good experience here and abroad knowing exactly the realities connected to the thousand of problems of migrant workers. The recruitment companies with same experience form strong teams together with the workers and employers in order to start in Romania a good business for all. It was easier to apply what you learn more than 15 years. Legislation!!!!!!- we strongly ask the change of legislation in the sense of increasing the responsibility of the employer who pays part of the expenses of the worker, insurance, accommodation, recruitment fees etc and also the recruitment companies responsibilities in order to protect more the workers. In Romania, as the recruitment companies claim for years you need a license for internal recruitment and no license for external services!!!!! The explanation is logic- as long as by the law, offices of the state using public money and also the unemployment system are providing same services as the recruitment companies tax payable, there is no interest to change laws. It is unfair competition, candidates believe in the competence and honorability of the government structures and in the reality everybody looses honorability, stability and money. I strongly confirm that because it is well known the corruption and the activity of the favorites companies involved in strange contracts with the Office of Migration . It is notorious the protocol




signed with part of the Israeli employers who lead to the increase of the cost from approximately 300$ to 1800$ for the workers. To be protected by insurance, for example, the worker paid 540 $/ year in advance to ONLY one insurance company in Romania instead of 100$ in 12 rates from the salary during the contract. Another example is the only protocol signed with a private recruitment agency the one the famous Naty Meir has. We can also mention the monopole of medical checking companies owned by politic favorites and so on. Still today at the leadership of ORI is the late director of the Office of Migration known as the hunger striker husband of the late director, late state secretary for Migration in the Ministry of Labor, late director approving recruitment agencies licenses since 1997!!!- and more. Our association inform ORI about the involvement of the Romanian Consul in Beijing- and payments per person to obtain the visas. We claim to change the procedure of going twice at the Romanian Embassy for documents not necessary from employers point of view, because the practical tests were mandatory and assisted by representative. The normal system for employers to bring migrant workers in Romania is:

- Contact a recruitment company because they don’t know and don’t need to know all the procedures.

- The recruitment company arranges with homologues from China the tests. - A delegation from Romania including the employers’ representative select the workers

and present and sign the contracts in 2 languages row by row . - The chinese company prepare documents for visa and departure. - The romanian recruiting company together with the employer company prepare

documents for authorization of labor, accommodation of workers, insurances, etc. - From the arrival of the workers till the end of the contracts (1 to 5 years, renewable

year by year), the recruitment company provides services for the workers (translators, doctors, mediations of conflicts etc).

The services are paid by the employer!!!!!! - Contract sign and finger print each page. Translation raw by raw in 2 languages and

the same in romanian only for the inspection of labour . The law not always pleases you, but offers protection. Who is not respecting must be

punished, but we have to agree not all the workers are fair or say the truth- it happened to start a strike before starting work in order to obtain 3 Euro in stead of 3 $ as in the contracts !!!!!! as others.

The Recruitment Companies I represent decide from the very beginning to work only contracts of minimum 1 year and never for subcontracting workers knowing exactly the dangers and the loss. The companies intention were to establish a stable and long term system of work




both for workers and companies, so I strongly affirm the problems are created in China and by the contractors working with temporary workers.

The inevitable problems we had, because we don’t live in an ideal world were solvable, but they increase and exceed because of the bad understanding of the solidarity and the non involvement of the chinese authorities I contact personally the representative of the Chinese Embassy together with representatives of the employers with out any results . More than 80 workers stay for 2 months in Colentina Hotels and Chinese Garden- non authorized hotel- waiting for a bigger salary obtained by strike.

CONCLUSIONS - The migration of labor can not be stopped, but it must be monitories . - The legislation in Romania must be changed after normal discussions with the factors

involved. - The checking must be stronger in order to protect the workers. - The responsibility of employers and recruitment companies as externalized personnel

services providers must increase. - Together workers, companies and authorities must collaborate and apply good

practices in order to obtain a win-win system.

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IMPROVING THE MANAGEMENT OF MIGRATION SYSTEMS: CHALLENGES FOR CHINA AND EUROPE Presentation to Workshop on “Addressing the Demand Side of Chinese Migrant Workers in European Countries”, Bucharest, Romania, 11-12 October 2009 Roger Plant Head, Special Action Programme to Combat Forced Labour International Labour Office, Geneva Distinguished representatives of the Government of Romania, of the Chinese and Romanian business community, invited guests, ladies and gentlemen, It is a real honour to be back in Bucharest, for only the second time in my life. It is important for me for several reasons.

First, after almost eight years heading the ILO’s technical cooperation programme against forced labour and trafficking, this will be my last public presentation before leaving the ILO next week. One of my first visits in 2002 was to your magnificent Parliament building, honoured to participate in one of the Ministerial meetings of the OSCE’s Alliance against Trafficking.

Second, because the subject of this week’s workshop is one of considerable

importance for China, as a rapidly growing economy with the world’s largest population, and EU countries including Romania which have to deal with complex labour market challenges. European populations are on the move, and can have a serious demand for temporary overseas workers in some sectors of their economy. And China, despite its rapid growth and steadily improving economic prospects, is constantly seeking opportunities to deploy some of its workers overseas for at least a period of time.

This workshop, and also the study on the recruitment and employment of

Chinese migrants in Romania, have their origin in a long cooperation that our programme has had with the Government of China, and most recently with EU member States, which aim to prevent forced labour, and also to stem irregular Chinese migration and trafficking to Europe, through capacity building for improved migration management including the better operation of recruitment systems and agencies.

We have also been conducting research on forced labour and human trafficking

in countries throughout the world, including the EU countries and Romania itself. Ten years ago in 1998, the ILO adopted its Declaration on Fundamental Principles and Rights at Work which requires its member States to respect and promote core labour standards including the elimination of all forms of forced or compulsory labour. In 2001, the ILO established the Special Action Programme to Combat Forced Labour (SAP-FL), as one of several measures taken to promote the 1998 Declaration. SAP-FL’s mandate is to raise awareness on forced labour and trafficking globally, to press for changes in policy and laws in cooperation with governments and social partners, as well as to increase the knowledge base on the scope and forms of forced labour in the

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world today. Since then, it has given much attention to the forced labour outcomes of human trafficking and, in some circumstances, irregular migration. Research studies have focused on the root causes or trafficking, recruitment mechanisms, demand factors, and forms of exploitation in major economic sectors.

Our earlier Romanian research, led by Dr. Catalin Ghinararu, focused on issues

of labour and sexual exploitation affecting the migrant workers trafficked out of Romania to other European countries. While accepting that more research was needed, it argued that trafficking for labour exploitation is an emerging issue if the Central and Eastern European region, and particularly in Romania. During an earlier workshop held in Bucharest in 2003, it became evident that abusive recruitment mechanisms can play a major role in making persons vulnerable to trafficking at a later stage. Thus a training programme on the monitoring of private recruitment agencies was developed, and tested with a reference group in Romania the following year. Guidance manuals on forced labour and trafficking have since been prepared for a rage of different target groups, including labour inspectors, employers and business actors, judges and prosecutors, and others. Our research on the situation of Chinese migrants in Europe was first undertaken as part of a cooperation programme between the ILO and the Government of China, on “Forced labour and trafficking: the role of labour institutions in law enforcement and international cooperation in China”. The four main objectives of this project were to: strengthen the law and policy framework on forced labour and trafficking for labour exploitation; address emigration source areas through implementation of pilot programmes to prevent forced labour and trafficking; improve transparency of the migration process, and reduce the risk of potential migrants being trapped into forced labour and trafficking; and promote communication between the governments of China and destination countries to combat forced labour and trafficking for labour exploitation. Over a period of several years this project has involved a rich experience in China itself. Activities have included national and provincial seminars on trafficking, with participation by officials from a range of different government agencies; a successful pilot awareness raising programme in the provinces of Fujian, Jilin and Zhejiang; the distribution of training materials for private employment agencies; and extensive research on recruitment mechanisms in source areas for migrants; and inputs to the five –year National Action Plan on Anti-trafficking of Women and Children, 2008-2012. The ILO is shortly to publish the findings of our first set of research studies on Chinese migrants in Europe, covering France, Italy and the United Kingdom. It paints a mixed picture. In recent years, in Europe and the rest of the world, some of the most serious cases of human trafficking and smuggling have involved Chinese criminal networks exploiting their own fellow citizens. In other cases, Chinese workers have been able to leave their country through legal channels, though often paying high charges to different recruiting agents and intermediaries, and also enduring harsh working conditions together with severe indebtedness in the destination country.

The earlier ILO research also pointed to some good business practice, a thing which should be of interest to the participants at this workshop in Romania. For example, as part of the global movement to promote corporate social responsibility, Chinese ethnic businesses have sometimes joined programmes to reinforce the

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capacity of employers to conduct “self-regulation” of their business practices. Some positive practices were detected in Italy, where some Chinese businesses have started to move towards full compliance with local labour regulations. Through a pilot project, some Chinese companies voluntarily accepted inspection by social auditors, and were certified by internationally accredited organizations. Chinese workers have also become more aware of their rights under Italian law.

A few years ago, we designed the follow-up programme, implemented jointly

by the ILO and the International Organization for Migration (IOM) and funded by the EU’s Aeneas Programme, to promote further cooperation between the EU and China. It has been an exciting and creative project, much appreciated by the EU and also the several participating agencies in China itself, as my colleague Lanlan Lu will explain to you later. The project seeks to promote cooperation between China and the EU in the field of migration management, including the prevention of human trafficking. It is jointly implemented by the International Organization for Migration (IOM) and the ILO, in close partnership with the Ministry of Foreign Affairs, Ministry of Human Resources and Social Security, and the Ministry of Public Security of the People’s Republic of China.

The CBMM project has been designed as a comprehensive one, with parallel

activities in China itself and several EU countries. In China, the ILO has assumed responsibility for activities including: awareness and information campaigns in selected regions on risks associated with irregular migration; capacity building for law enforcement agencies in charge of licensing private employment and recruitment agencies; and support for a migration policy review and capacity building for the provinces. In Europe, the emphasis has been on country specific research, examining the recruitment and employment conditions of Chinese workers in different sectors, in part to gather the information needed for the awareness raising activities in China. A further area of activity has been addressing the demand side in Europe of labour migration from China, through discussion fora in select EU countries including government officials, business actors and other concerned stakeholders.

As ILO, we felt that improved practice could be achieved, not only by bringing

the Chinese and European governments together, but also by promoting dialogue between the Chinese and European business community, whether small enterprises or event the larger companies in construction, textiles or other relevant industries. So we envisaged a combined approach of research and social dialogue. Research should identify the sectors most prone to employ Chinese workers, whether in a regular or irregular situation. Lead researchers would also identify the best means to approach employers and business actors. Meetings would then take place in selected countries (of which Romania is one), to promote mutual understanding between the Chinese community and local society, raise awareness of business actors with regard to the risks of engaging irregular migrants and trafficking victims, identify alternatives to abusive forms of recruitment, and seeks a strategic approach to integration of Chinese business in local society, with full respect for local legislation and regulations. The meetings should also review modalities for the engagement of Chinese migrant workers in EU countries, including the use of subcontractors and other labour market intermediaries.

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So this is the backdrop to the Bucharest meeting this week, and its overall objectives. Before turning to the findings of our commissioned study in Romania, I should say a few things about our broader work with Chinese employers, and also share some conclusions of a similar meeting we had last month in the United Kingdom.

In China we have had a series of activities, sometimes with the China

Enterprise Confederation (CEC) as the ILO’s principal employers’ partner, at both central and provincial levels, and sometimes with individual companies and their suppliers. Just a couple of weeks ago I was at a week long event in Shanghai, when one major textile company brought its major suppliers from all over the country for separate training sessions on forced labour, trafficking and discrimination. At the policy and guideline level, the ILO and the CEC have now issued a joint code of practice for preventing forced labour and trafficking. It is divided into guiding principles (covering such concerns as legal compliance, freedom of employment, termination of employment, labour contracts, holding of personal documents, coercion related to wages, working hours and overtime, the operations of recruiters and labour market intermediaries, and prison labour); and principles of implementation (including human resource practices, assessment and corrective action, handling grievances, and application to suppliers and sub-contractors). One important principle – perhaps useful to discuss at the present meeting – is that no fee or cost for recruitment should be charged directly or indirectly, in whole or in part, to the worker, including costs associated with the processing of official documents. The labour market intermediary should not retain any part of a worker’s remuneration. And workers should have the right to terminate their labour contracts with labour market intermediaries at any time without penalty.

The China code of practice should be taken together with our Handbook for

Employers and Business on C ombating Forced Labour, which has been amply distributed in Chinese, and of which English language versions are available to participants today.

The UK workshop provided a perspective rather different from Romania, with a

far larger Chinese population distributed around the country, and a tendency for Chinese workers to be employed by their own nationals in ethnic industries, particularly in restaurants and catering. The Chinese Embassy estimated that the total size of the ethnic Chinese community in the UK had grown to as much as 600,000, including those of Chinese and British nationality and some 100,000 students, but excluding irregular migrants. Recent official statistics are that Chinese nationals are now the fastest growing ethnic group in the UK, growing at almost 10 per cent over the past decade, and reaching some 400,000 by 2007. In recent years there has been a major influx of Chinese from all over China, in particular from Fujian province in the south-east, and from the North-eastern provinces. The background paper prepared by a Chinese researcher observed that the economic recession and strict migration management measures in the UK had reduced the flow of illegal immigration and human trafficking from China on the one hand, while on the other hand they had a severe impact on the working conditions of many Chinese migrants, and especially irregular Chinese migrant workers. Members of the Chinese community made a strong plea to regularise the situation of the irregular migrants who were already in the UK saying that this was the only way to prevent their exploitation, and to address the problem of a severe labour shortage in the Chinese catering industry.

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I can now turn to the situation, recruitment and employment conditions of

Chinese workers in Romania. This is clearly a different scenario from that in the West European countries where we have done previous research. Though there is a mix of regular and irregular Chinese migration, with some evidence of trafficking, two issues stand out. First the numbers are small compared with say France, Italy and the UK, Second, the Chinese workers are brought in through different modalities to carry out temporary work in specific sectors and industries, rather than being restricted to some form of ethnic niche. They are also brought in through different recruitment mechanisms, which are reviewed in some depth in our consultant’s report.

The study first provides background information on longer standing and more

recent patterns of Chinese migration to Romania. Second, it compares different models of recruitment for these Chinese workers, examining both the fees paid and other costs associated with recruitment and job placement. Third, it discusses aspects of their living and working conditions, including healthcare, and refers to some recent labour disputes in particular since early 2009. The findings are based largely on testimonies collected directly and indirectly from approximately 500 Chinese workers in Romania. The study focuses mainly on Chinese workers in the construction industry, but also discusses the situation of other Chinese migrant workers in Romania, particularly in the textile and shipbuilding industries. Finally it identifies issues where improvements can be achieved through better cooperation between the authorities of China and Romania, within the spirit of the EU funded project.

I will omit the background information about the Chinese in Romania, with

which I a sure you are more familiar than myself, and begin with the observations on recruitment channels and mechanisms. The research distinguishes between what is called the “ chain model” involving various recruitment agents, and systems in which the recruitment is subcontracted to Chinese agencies.

The chain model generally operates as follows. Because of the current shortages in the Romanian labour market, a construction company that wins a contract or decides to invest in a project is permitted to apply for permits to bring in international workers. Generally speaking however, the applications of small companies will not be successful. They will then have to pay labour brokers who are well-connected to officialdom and know how to operate the application process. The two parties will enter into a contract or sometimes only an oral agreement, under which the construction company entrusts the broker to find workers and agrees to pay a fee for this service. The contract or agreement will generally only cover the broker’s undertaking to find the workers and the fee to be paid by the employer. It will not include any clauses covering salaries, work skills or work conditions; any agreements of this nature will be oral rather than written.

These broker agencies still tend to be run by Israelis who reportedly register in Romania instead of Israel to avoid Israeli taxes. Their previous experience with Chinese brokers in the Middle East means they are already in position to pass the request for labor on to large Chinese labour brokers, most of them national level human resources companies, who are legally authorized to send workers abroad. The two sets of brokers will enter into a contract, generally specifying matters such as

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the number of workers the Israelis broker is requesting from the Chinese partner each year, without, once again, any coverage of issues like salaries and so on.

Under this model, the large Chinese labour agencies then pass details as to the workers needed to several regional agencies, often operating at provincial or sub-regional level. The transaction is not technically a sub-contract as no paper contract exists. Generally, provincial and even some sub-regional brokers will then “sub-contract” further, to town-level brokers. At the end of this chain, it is the town brokers and a few sub-regional brokers who then attempt to contract individual workers.

The chain then operates in the opposite direction, again normally without any paper contracts. Lower level, often county-level brokers send workers to higher level brokers, who pass them up until they reach the initial contracting broker. If the workers are approved by the end brokers, the town brokers will receive a payment related to how many workers they have provided and the other brokers, at provincial and sub-regional level will also receive their cut.

At this point, under Chinese law, a labour contract clearly specifying such items as salaries, work hours and so on, should be concluded with the workers with the large, “top of the chain” labour agency acting as the other party to the contract. The workers should be clearly informed about the terms of employment before agreeing to depart.

The agencies at the top of the chain are also responsible for obtaining visas and other necessary documentation for the workers and for arranging their travel. Some irregularities in the procurement of work permits and visas which occur at this stage and which impact so strongly on the workers’ experience once in Romania, are discussed in more detail below.

When the workers arrive in Romania, representatives of the large agencies there assume responsibility for them and receive the remainder of their commission. Usually they will hire a travel agency or rent buses to send the newly arrived workers to their employers. A Chinese translator should be on hand to brief the new arrivals on cultural and work matters and verify that the contracts signed with Romanian employers are in accordance with both Romanian law and also the contracts previously agreed between the workers and the labour brokers in China. If these matters are deemed to be in order, and the employers are satisfied that they have received the type of workers and skills requested, the contract is considered successfully concluded.

The agency system can operate in different ways, involving different actors. Overall, the main parties to the employment relationship will be a Romanian construction company and the Chinese workers. Yet between these two, there are customarily at least three to four brokers, one Romanian broker, one large broker in China who is legally qualified to send workers abroad, and smaller brokers who find the workers for the larger firm.

Under another and less complex arrangement, the Romanian construction company may seek not only workers, but also sub-contractors capable of filling the

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required labour quota. The employer would typically divide the particular project it wishes to complete into several components. Parts of the project are then sub-contracted to a Chinese construction company which then puts together a construction team in China to carry out the work in Romania. Thus, the eventual workers will work in Romania but for the Chinese company. The Romanian company signs a contract with its Chinese partner, specifying the project that the Chinese partner is to complete and how much it will be paid. Under this model, the Chinese construction workers will not have to sign contracts with the Romanian company, as they will not deal directly with each other. The Chinese company not only sends workers, but also supplies a management team to run the program, as well as service personnel for the team, such as doctors and cooks. The Romanian company also appoints several managers to monitor the construction project as a whole; Romanian managers will also oversee specific components of project.

There are several advantages to this system. Firstly, without small agency intermediaries, the workers pay smaller commission fees. Secondly, there is no risk of discrepancies between contracts as there will be only one contract. Thirdly, the broker directly supervises the workers’ working and living conditions, so that in theory there can be good communication between the workers and those who are actually managing their work conditions and salaries.

Moreover, some workers may never sign a contract at all: brokers may sign the contract in the worker’s name or “black-market brokers” may simply completely ignore the legal requirement for a contract. In fact, some 15% of the workers interviewed in the course of this study said they had never signed a contract to work in Romania.

The research also provides evidence of fee charging by recruitment agencies,

often at high rates, together with interest payments on the debts accumulated by workers, fee charging for Romanian administrative procedures, as well as certain hidden costs associated with migration while the Chinese workers await the opportunity to migrate for employment. It also cites some deficiencies in labour contracts, as for example when the clauses of certain contracts can change between the place of origin in China and the Romanian place of destination. There can also be unexplained deductions from wages, and problems related to the issuance of visas. Finally the research documents the well known Chinese workers disturbances in early 2009, which led to remedial action by the Romanian Ministry of Labour, Family and Social Protection, acting in close cooperation with the Chinese Embassy in Bucharest and also the Chinese Ministry of Commerce.

In conclusion, the research paper points to a number of areas where

improvements are needed, through both clearer laws and regulations as well as strengthened monitoring and enforcement of the laws, in order to ensure that the treatment of these migrant workers is consistent with both Romanian standards and the international labour standards to which Romania is a party.

The findings suggest that the issues need to be addressed through improved

cooperation between China as a sender country, and Romania as a destination country for migrant workers. Though both demand and supply may have fallen over the past year, first in the context of economic and financial recession, and second in the

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aftermath of the protests by Chinese workers in early 2009, it is nevertheless important to examine the measures that could be taken by the governments of both China and Romania, where possible in close cooperation with the representatives of employers’ and workers’ organizations, in order to increase the scope for legal and well managed migration that responds to both the demand of employers and the need to safeguard the rights of the workers. Issues to be addressed include the following:

Appropriate regulations on recruitment and employment agencies

There is a need for clear regulations concerning the operations of private employment and recruitment agencies. A useful framework is provided by the ILO’s Private Employment Agencies Convention, No. 181 (1997), which the ILO is now encouraging more member States to ratify. It has many provisions which can strengthen Romania’s efforts to curb abusive practices. Article 8 provides for measures (where appropriate, in cooperation with other Members), to provide adequate protection for and prevent abuses of migrant workers recruited or placed in its territory by private employment agencies. These shall include laws or regulations which provide for penalties, including prohibition of those private employment agencies which engage in fraudulent practices and abuses. Moreover, where workers are recruited in one country for work in another, the Members concerned shall consider concluding bilateral agreements to prevent abuses and fraudulent practices in recruitment, placement and employment. Article 7 establishes the general principles that private employment agencies shall not charge directly or indirectly, in whole or in part, any fees or costs to workers. Article 10 provides for the creation of adequate machinery and procedures, involving as appropriate the most representative employers and workers organizations, for the investigation of complaints, alleged abuses and fraudulent practices concerning the activities of private employment agencies.

International cooperation to harmonize recruitment practices

The study has identified different forms and channels of recruitment, through a complex network of different agencies in China, Romania and also third party countries. It is important that migrant workers receive one contract in the place of origin, identical to that in the place of destination, which clearly explains the rights of workers as well as their obligations, covering wages and the payment of wages, hours of work and other issues. Vigilance needs to be taken, to prevent the risk of the “substitution” of the original contract by different contracts n the place of destination. Both Romanian consular officials in China, and Chinese consular officials in Romania, can play an important role in monitoring the enforcement of contracts and bringing any grievances to the attention of relevant authorities.

Enhancing the monitoring capacity of public institutions Many public institutions and agencies have a role to play, in ensuring orderly

migration management, while safeguarding the rights of all workers. An inter-Ministerial coordination mechanism may be useful, to review the work permit and visa application process, and to improve monitoring of recruitment activities. The

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licensing and registration of private employment and recruitment agencies is an effective way of ensuring compliance with existing labour legislation.

Importance of social dialogue

Social dialogue, involving employers and workers organizations as well as

government agencies and NGOs with relevant expertise, is important at different levels. First it is essential that any new regulations, or any new licensing and monitoring mechanisms, should be adopted through consultation with employers’ and workers’ organizations and should reflect their concerns. Second, there is a need for strengthened dialogue between the sender and destination country, bringing both Chinese and Romanian trade unions and employers’ organizations together to discuss common platforms, and preferably agree on concrete measures to assist the migrant workers and redress their grievances. For example the All China Federation of Trade Unions has recently established a new initiative to assist Chinese migrant workers. Officials from all countries, at all levels, also need to assume responsibility for ensuring that workers understand their rights, and that employers and recruiters are fully familiar with legal procedures.

Guidance to prevent forced labour and trafficking

At their worst, abusive practices can constitute not only a breach of labour law but also the criminal offences of forced labour and trafficking. The ILO has now produced a number of guidance manuals on the prevention or prosecution of forced labour and human trafficking, targeted at different audiences including: employers and business, labour inspectors, judges and prosecutors, and legislators and law enforcement. Employers and workers organizations in Romania, as well as government agencies, academic institutions, can play an important role in adapting such materials to the Romanian context, and ensuring their wide dissemination in the country.

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