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Kazakhstan - Compensation & Benefit Legislation

CAPITAL

Astana

 

CLIMATE

Continental, cold winters and hot summers, arid and semiarid.

 

LANGUAGES

Kazakh (Qazaq, state language) 40% and Russian (official, used in everyday business) 66%.

 

LEGAL SYSTEM

Based on civil law system.

 

CURRENCY

Kazakhstan Tenge (1 USD = 152.150 KZT as of March, 2002)

 

KAZAKHSTAN - COST-OF-LIVING

ERI's Relocation Assessor is a recommended source for cost-of-living data.

 

KAZAKHSTAN - EMBASSY/CONSULATES

U. S. Embassy at Almaty

99/97 Furmanova Street

Almaty, Republic of Kazakstan 480091

Telephone: [7] (3272) 63-39-21

Fax: [7] (3272) 50-62-69

http://www.usembassy-kazakhstan.freenet.kz/

 

Embassy of the Republic of Kazakhstan at Washington D.C.

1401 16th Street, NW

Washington D.C. 20036

Telephone: (202) 232-5488

Fax: (202) 232-5845

E-mail: kazakhembusa@earthlink.net

http://www.kazakhembus.com

 

KAZAKHSTAN - HOLIDAYS

 

KAZAKHSTAN – LEAVE

Annual Leave: Minimum 18 days paid annual leave each year.

 

Maternity Leave: 126 days – flat rate (paid by employer).

 

KAZAKHSTAN - MINIMUM AGE

The minimum age for employment is 14 years, but only for part-time work (5 hours a day) that is not physically onerous. A child between the ages of 14 and 16 may work only with the permission of his or her parents. The law stipulates harsh punishment for employers who exploit children under the age of 16.

 

Children from the ages of 16 to 18 can work full-time provided that they are not required to do any heavy work. The Government has acknowledged that children in this age group work in construction and other heavy industries but report that duties for children are limited to washing windows, general cleaning, laying tile, and similar nonstrenuous activities.

 

(Section 6.d. Acceptable Conditions of Work, Kazakhstan – Report of Human Rights Practices, 2001, U.S. Department of State.)

 

KAZAKHSTAN - MINIMUM REMUNERATION

The Government sets the monthly minimum wage, which is 3,484 tenge (approximately $24). The minimum wage also was below the minimum subsistence amount of 4,007 tenge for one person as calculated in 2000 by the Kazakhstan Institute of Nutrition.

 

(Section 6.e. Acceptable Conditions of Work, Kazakhstan – Report of Human Rights Practices, 2001, U.S. Department of State.)

 

 

KAZAKHSTAN - REMUNERATION

ERI's Geographic and Salary Assessors are recommended sources for international remuneration covering 189 countries.

 

KAZAKHSTAN - REPORT OF HUMAN RIGHTS PRACTICES (2001, U.S. DEPARTMENT OF STATE)

Section 6 Worker Rights

 

a. The Right of Association

 

The Constitution and the Labor Code provide for basic worker rights, including the right to organize; however, the Government at times infringed on these rights. Some workers remained members of state-sponsored trade unions established during the Soviet period, when membership was obligatory. At some enterprises, the state-sponsored unions continued to deduct 1 percent of each worker's wage as dues. The state unions are controlled by the Government and at times have discouraged workers from forming or joining independent unions.

 

A collective bargaining law gives workers the right to join or form unions of their choosing and to stop the automatic dues deductions for the state unions. The Confederation of Free Trade Unions (CFTUK), formerly the Independent Trade Union center of Kazakhstan, claims a membership of approximately 300,000 persons; however, the actual number of independent trade union members is estimated to be much lower. The progovernment Federation of Trade Unions claims 4 million members; however, observers believe that figure is too high.

 

To obtain legal status, an independent union must apply for registration with the local judicial authority at the oblast level and with the Ministry of Justice. Registration is generally lengthy, difficult, and expensive. The process of registering a union appears to be completely subjective, with no published criteria. During the year, 28 new trade unions were registered; no trade unions were denied registration. The two major independent trade union confederations, the Federation of Trade Unions and the Confederation of Trade Unions, are registered. Courts may cancel a union's registration; however, there were no such cases during the year.

 

The Constitution provides for the right to strike, and unions and individual workers exercised their right to strike during the year, primarily to protest the nonpayment of wages and in an attempt to recover back wages owed to workers. According to the law, workers may exercise the right to strike only if a labor dispute has not been resolved by means of existing conciliation procedures. In addition, the law requires that employers be notified that a strike is to occur no less than 15 days before its commencement. The nonpayment of wages continued to be the priority issue for workers, and there were numerous strikes throughout the country to protest the nonpayment of wages and unsafe working conditions. In May a group of 13 workers at the Sokolov-Sarbay factory in Kostanai Oblast participated in hunger strikes to protest the plant's decision to lay off a portion of the facility's workers. During the year, activist unions came under government pressure for holding unsanctioned demonstrations and marches.

 

In 2000 workers of the Uralsk "Mettalist" factory, led by the independent trade union of the factory, conducted mass meetings demanding the full payment of salaries. In August 2000, a second strike at the factory ended when the regional akim promised workers that they would receive the 3 years back pay they demanded. In October a commission to investigate the situation was created; however, the Commission had not made a finding at year's end and no back wages had been paid.

 

The Constitution prohibits the operation in the country of foreign trade unions and prohibits the financing of trade unions by foreign legal entities and citizens, foreign states, and international organizations. Some associations of trade unions were able to receive financing from foreign sources by registering as "public organizations" rather than labor unions. The law does not forbid other nonmonetary types of assistance such as training; participation in training programs appeared to increase during the year.

 

By law unions freely may join federations or confederations and affiliate with international bodies. Most independent trade unions belong to the CFTUK. The Independent Miners Federation of Kazakhstan and the State Miners' Union of Karaganda are members of the Miners' International Federation. Unions belonging to the CFTUK are not members of international federations but are able to maintain contacts with foreign trade union federations.

 

b. The Right to Organize and Bargain Collectively

 

The law permits collective bargaining and collective agreements. If a union's demands are not acceptable to management, it may present those demands to an arbitration commission composed of management, union officials, and independent technical experts. In January 2000, a new Labor Law entered into effect that provides for an individual contract between employee and each employee. Collective bargaining agreements are allowed as long as they do not reduce protections afforded to the workers in their individual contracts or under law; previously the terms of contracts were set only by law and collective bargaining agreements. The law gives employers the right to fire an employee without the consent of the employee's union. An employee still may choose to be represented by a union in a labor dispute; however, the employee has the option of choosing other representation as well.

 

There is no legal protection against antiunion discrimination. The law does not provide mechanisms to protect workers who join independent unions from threats or harassment by enterprise management or state-run unions. Members of independent unions have been dismissed, transferred to lower paying or lower status jobs, threatened, and intimidated. According to independent union leaders, state unions work closely with management to ensure that independent trade union members are the first to be fired in times of economic downturn. In March the Sokolov-Sarbay Ore Mining and Enrichment Plant in Kostanai Oblast fired all members of the independent trade union "Zhelyznodorozhnik" (Railroadman). Fired union members appealed to the courts, where the decision to fire the workers was upheld. In June there were three instances when the Chairman of the Tentenskaya Coal Mine Independent Union was barred from the mine's territory by mine security.

 

There are no export processing zones.

 

c. Prohibition of Forced or Compulsory Labor

 

The Constitution prohibits forced labor except "at the sentence of the court or in the conditions of a state of emergency or martial law;" however, trafficking in women, primarily to other countries was a problem (see Section 6.f.).

 

The National Labor Law prohibits forced and bonded labor by children; however, trafficking in children, primarily teenage girls, to other countries was a problem (see Section 6.f.).

 

d. Status of Child Labor Practices and Minimum Age for Employment

 

The minimum age for employment is 14 years, but only for part-time work (5 hours a day) that is not physically onerous. Children from the ages of 16 to 18 can work full-time provided that they are not required to do any heavy work. The Government has acknowledged that children in this age group work in construction and other heavy industries but report that duties for children are limited to washing windows, general cleaning, laying tile, and similar nonstrenuous activities. A child between the ages of 14 and 16 may work only with the permission of his or her parents. The law stipulates harsh punishment for employers who exploit children under the age of 16. The Ministry of Labor is responsible for enforcement of child labor laws and for administrative offenses punishable by fines; the MVD is responsible for criminal offenses. The Criminal Code allows for fines up to $25,000 (3,675,000 tenge) and 2 years in prison in cases in which a minor is injured or placed in unhealthy conditions. Child labor is used routinely in agricultural areas, especially during harvest season; but abuse of child labor generally is not a problem.

 

In September 2000, the President signed ILO Convention 182 on the Rights of Children on the Sale of Children; however, the Parliament had not ratified it by year's end.

 

The National Labor Law prohibits forced and bonded labor by children; however, trafficking in children, primarily teenage girls, to other countries was a problem (see Section 6.f.).

 

e. Acceptable Conditions of Work

 

The Government sets the monthly minimum wage, which was $24 (3,484 tenge), an increase of approximately $4 from 2000. The minimum monthly pension remained approximately $25 per month (3,500 tenge). The minimum wage does not provide a decent standard of living for a worker and family. The minimum wage also was below the minimum subsistence amount $26 (4,007 tenge) for one person as calculated in 2000 by the Kazakhstan Institute of Nutrition. However, the average monthly wage was $119 (17,892 tenge) compared with an averaged monthly wage in 2000 of $95.12 (13,521 tenge). Monthly average wages during the year grew 19 percent over 2000.

 

The legal maximum workweek is 48 hours, although most enterprises maintained a 40-hour workweek, with at least a 24-hour rest period. The Constitution provides that labor agreements stipulate the length of working time, vacation days, holidays, and paid annual leave for each worker.

 

The Constitution provides for the right to "safe and hygienic working conditions;" however, working and safety conditions in the industrial sector are substandard. Safety consciousness in both employees and employers is low. Workers in factories usually do not wear protective clothing, such as goggles and hard hats, and work in conditions of poor visibility and ventilation. Management largely ignores regulations concerning occupational health and safety, which are not enforced by the Ministry of Labor and the state-sponsored unions. In January budget responsibility for labor inspectors was moved from local budgets to the Ministry of Labor. This resulted in an increase in the number and frequency of labor inspector visits; however, the frequency of inspections remained insufficient to provide for occupational health and safety. Workers, including miners, have no legal right to remove themselves from dangerous work situations without jeopardy to continued employment.

 

Foreign workers, those legally present with labor permits, are provided with the same minimum wages and labor standards as local workers under the law. Legal foreign labor is limited by a quota of 10,500 workers per year, which generally is filled by Turkish, Western European, and American workers in the oil industry. These highly skilled workers earn more on average than local workers and enjoy work and living standards above the local standards. However, illegal workers are not covered under labor laws and do not receive the same legal protections. These illegal workers are generally unskilled migrant laborers from Uzbekistan, Kyrgyz Republic, and Tajikistan, who cross into southern Kazakhstan seeking agricultural jobs. They frequently are paid considerably less than local workers and work in substandard conditions. Law enforcement agencies in Southern Kazakhstan Oblast report that during an investigation the week of April 16-22, more than 586 illegal migrant workers were discovered. The authorities deported 222 persons and another 129 were imprisoned.

 

f. Trafficking in Persons

 

The law does not specifically prohibit trafficking in persons, although government officials generally maintained that prosecutors effectively could charge traffickers under the existing Criminal Code; trafficking in women and girls was a problem. There is no evidence of a pattern of official complicity with trafficking, although corruption of law enforcement officials is widespread.

 

Kazakhstan is a country of origin and transit for trafficking, and there is some anecdotal evidence that the country also may be a destination country in a few cases. Trafficking within the country also may occur. Women and girls from Kazakhstan were trafficked to the United Arab Emirates (UAE), Greece, Turkey, Israel, and South Korea. Reportedly women from the Kyrgyz Republic also were trafficked through the country to the same destinations. There is some evidence of Kyrgyz laborers (men and women) being trafficked to Almaty Oblast (just across the Kyrgyz-Kazakh border) to work as laborers in tobacco fields.

 

There are no official statistics on trafficking, but women's rights groups and the IOM stated that the problem was serious and growing. Experts estimated that approximately 5,000 women have been trafficked in the past 10 years. In 1999 according to the MVD, 25 women were repatriated from Greece, 21 from the UAE, 16 from Turkey and 3 from Israel. Law enforcement agencies registered 300 reported cases of trafficking from January to October. Traffickers target young women in their teens and twenties. According to the Kazakhstan Crisis Center for Women and Children, most women were recruited with promises of good jobs or marriage abroad. Travel, employment, and marriage agencies often recruit victims through advertisements promising lucrative jobs in other countries. Offers to participate in international beauty contests also are used. Formerly trafficked women reportedly have recruited new victims personally. Many trafficking victims appear to be aware or at least to suspect that they are going to work as prostitutes, but not that they will be working under slavery-like conditions. NGO's state that the rising number of women being trafficked from the country is due to the lack of employment opportunities and lack of information about trafficking. Most trafficked persons travel to their destinations on passports obtained abroad, most often from Russia or the Kyrgyz Republic.

 

KAZAKHSTAN - SOCIAL SECURITY

Social Security Office of International Programs:

 

http://www.ssa.gov/SSA_Home.html

 

KAZAKHSTAN - STANDARD WORKWEEK

The legal maximum workweek is 48 hours, although most enterprises maintained a 40-hour workweek, with at least a 24-hour rest period.

 

(Section 6.e. Acceptable Conditions of Work, Kazakhstan – Report of Human Rights Practices, 2001, U.S. Department of State.)