Mongolia

State of social dialogue

Mongolia has not ratified two of the eight ILO core Conventions – both of which are on forced labor. The Constitution provides for freedom of association for voluntary organizations on the basis of social and personal interests and opinion. Unionization is generally high, with some 60.25 percent of the workforce belonging to unions (RAMA 1994). The Confederation of Mongolian Trade Unions (CMTU), affiliated to the International Confederation of Free Trade Unions (ICFTU), represents about 450,000 workers. The Association of Free Trades Unions has less following. The Ministry for Social Welfare and Labor enforces labor laws, while the Mongolian Employers’ Federation (MEF) represents employers’ interests.

Trade union participation in the prsp process.

The CMTU has participated in various PRSP consultations at the invitation of the government. Its officials also acknowledge meeting IMF and World Bank officials[1]. In April 2003, in Ulaanbaatar the CMTU in collaboration with the ICFTU Asia and Pacific Regional Organization held a National Workshop on “IFIs, Poverty Reduction and Trade Unions” at which an action plan was adopted.

Labor content of the i-prsp

The I-PSRP, completed in June 2001, recognizes unemployment as one major cause of income poverty. Through the “National Program on Reduction of Unemployment’ approved in 1995 government had hoped to create new jobs, enhance skills for people, promote SME and cooperatives, especially in rural areas, organize public works, and strengthen employment services. The real unemployment rate however remained high. The Technical Assistance for Commonwealth of Independent States (TACIS) program has also made contribution in employment promotion in Mongolia through enhancement of capabilities of Labor Regulation Office through providing equipment, conducting training, creation of labor market information network[2].

According to the I-PRSP, “intensive labor promotion policy” will be pursued to tackle unemployment by implementing the following strategies:- i) improving the legal base for labor market operation; ii) passing the Law on employment, Law on export and import of labor; iii) revise the law on Labor and the law on Unemployment Insurance; iv) undertaking training programs for those not receiving unemployment insurance or are longtime unemployed; v) arranging public works in infrastructure development, environment protection and restoration as well as local needs activities; vi) developing and implementing projects for increased employment of disabled people; and vii) improving job opportunities through expanding micro-finance.

Parliament already passed the “Law on Employment Promotion” effective June 1, 2001, with the view toward providing technical orientation, consultation and information; providing professional training and re-training; supporting private entrepreneur-ship and cooperatives; supporting employers; and carrying out public works. By so doing a conducive legal environment and appropriate conditions for employment is supposed to have been created. Another law - the Law on Exportation and Importation of Labor (effective June 1, 2001) – seeks to improve job security and social security of employees in foreign countries and at the same time on reducing unemployment domestically. An informal sector survey to be done by the NSO, MOFE and the UNDP is also planned.

Developing alternative forms of education for children who dropped out from school is another potential way out of inaccessibility to education. Because vocational and technical schools are not able to meet labor market needs determined by the private sector, the IPRSP seeks to renew their curricula and to train and re-train their teachers as well as ensure that obsolete equipment is replaced.

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[1] E-mail from Z. Sukhbaatar, Assistant President for International Relations of the CMTU, dated May 8, 2003.

[2] See IPRSP, page 24.