MICRO 2: LABOUR MANAGEMENT PROCEDURE (LMP) Prepared by: MICRO 2 PMU for the Ministry of Public Works, Infrastructure, Environment, Labour, Meteorology and Disaster VERSION 1, DECEMBER 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure Contents 1 Introduction .......................................................................................................................................... 3 2 OVERVIEW OF LABOR USE ON THE PROJECT ........................................................................................ 3 2.1 Types of Workers .......................................................................................................................... 3 2.2 Direct Workers .............................................................................................................................. 4 2.3 Contracted Workers ...................................................................................................................... 4 2.4 Primary Supply Workers ............................................................................................................... 4 2.5 Number of Workers ...................................................................................................................... 5 2.6 Timing of Labour Requirements.................................................................................................... 5 3 ASSESSMENT OF KEY POTENTIAL LABOR RISKS .................................................................................... 5 4 BRIEF OVERVIEW OF LABOR LEGISLATION ........................................................................................... 6 4.1 National Labour Legislation .......................................................................................................... 6 4.1.1 Constitution of Tuvalu........................................................................................................... 6 4.1.2 Employment Act 2008 ........................................................................................................... 7 4.1.3 Labour and Employment Relations Act 2017 ........................................................................ 7 4.1.4 Trade Unions Act 1946 .......................................................................................................... 7 4.2 Tuvalu OHS Requirements ............................................................................................................ 7 4.2.1 Labour and Employment Relations Act 2017 ........................................................................ 7 4.3 Requirements of ESS 2 .................................................................................................................. 8 4.4 Gap Analysis and Measures .......................................................................................................... 9 5 RESPONSIBLE STAFF ............................................................................................................................ 10 6 POLICIES AND PROCEDURES ............................................................................................................... 12 6.1 Occupational Health and Safety ................................................................................................. 13 6.1.1 COVID-19 Considerations .................................................................................................... 14 6.2 Labour Influx ............................................................................................................................... 15 6.3 Prevention of Discrimination ...................................................................................................... 15 6.4 Age of Employment..................................................................................................................... 15 6.5 Fair Wages and Working Conditions ........................................................................................... 16 6.6 Monitoring and Reporting .......................................................................................................... 16 1 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure 6.7 Fatality and Serious Incidents ..................................................................................................... 16 6.8 Prioritising Local Workers ........................................................................................................... 16 7 TERMS AND CONDITIONS ................................................................................................................... 17 7.1 Direct Workers............................................................................................................................ 17 7.2 Contracted Workers .................................................................................................................... 17 7.3 Primary Supply Workers ............................................................................................................. 18 8 WORKER GRIEVANCE MECHANISM .................................................................................................... 18 8.1 WGRM Principles ........................................................................................................................ 19 8.2 WGRM Process............................................................................................................................ 19 9 CONTRACTOR MANAGEMENT ............................................................................................................ 20 Appendix A: Code of Conduct ..................................................................................................................... 22 9.1 Code of Conduct.......................................................................................................................... 22 2 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure 1 Introduction The Tuvalu Maritime Investments in Climate Resilient Operations II (MICRO 2) hereafter referred to as "the Project" has applied for IDA fund. The Ministry of Public Works, Information, Environment, Labour, Meteorology and Disaster (MPWIELMD) has prepared this labour management procedure (LMP) to meet the ESS2 requirements on relates to Labour and Working Conditions. The purpose of the LMP is to identify the main labour requirements and risks associated with the project and help the Borrower to determine the resources necessary to address project labour issues. The LMP will enable different project-related parties, for example, staff of the project management unit (PMU), contractors and subcontractors and project workers, to have a clear understanding of what is required on a specific labour issue. The LMP will comply with relevant national laws, regulations and standards for labour and working conditions and the World Bank's ESS2, and where there are differences the more stringent provisions will be applied. The LMP is a living document initiated early in the project preparation and is reviewed and updated throughout the development and implementation of the project. MPWIELMD PMU is responsible for the day to day management and supervision of LMP and the overall project implementation. The following sections provide a detailed description of the type and number of workers to be engaged throughout the project life. 2 OVERVIEW OF LABOR USE ON THE PROJECT 2.1 Types of Workers ESS2 categorises the workers into direct workers, contracted workers, community workers and primary supply workers. The project's workforce will include direct workers (directly employed by PMU under the guidance of Ministry of Public Works, Information, Environment, Labour, Meteorology and Disaster (MPWIELMD), contracted workers (recruited by third parties such as contractors or as consultants), and primary supply workers. MPWIELMD/PMU will be staffed and equipped to enable it to carry out the project activities effectively. Component 3b of the Project provides project management support includes the provision of technical, advisory and administrative support to the MPWIELMD, other line ministries, and the PMU and includes preparation of safeguards documents as well as the provision of office space. equipment, supplies and financial auditing services. 3 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure 2.2 Direct Workers Direct workers refer to staff assigned by MPWIELMD and Consultant service providers, including the E&S consultants working for the MICRO 2 Project. Some MPWIELMD staff will also be involved in the project activities as required. The direct workers include staff assigned to the MPWIELMD/PMU and workers who are directly employed by the MPWIE/PMU as described below: • a Project Manager • a Financial Officer • a Project Administrator The Consultant service providers who will provide implementation support services to the PMU. Consultant service providers can include: • Environmental and Social Advisors • a Procurement Officer • a Maritime Engineer Advisor The timing of labour requirements is from the project preparation to the completion of the project. 2.3 Contracted Workers The contracted workers on the project are those engaged through key consulting firms or construction contractors. are workers hired by contractors or engineers under the project implementation. The labour requirements for the civil works are not yet known and this LMP will be updated once those requirements are known. The update will be prepared during project implementation but prior to contract bidding document release. 2.4 Primary Supply Workers Primary Suppliers are those suppliers who, on an ongoing basis, provide directly to the project goods or materials essential for the core functions of the project. Core functions of a project constitute those production and/or service processes essential for a specific project activity without which the project cannot continue. They include suppliers of construction materials such as aggregates, material or equipment and also any maritime workers on chartered cargo vessels (should they be used). It is not expected that there will be ongoing sourcing of materials or equipment from the supply chain for this project, therefore there aren’t expected to be any Primary Supply Workers as defined in ESS 2. This will be confirmed following detailed design, and during implementation. 4 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure 2.5 Number of Workers The estimated number of workers for the MICRO 2 works is estimated below in Table 1. In project preparation, these estimates are based on the current known direct workforce on the PMU and on the number of construction workers used on the ABD OIMIP works for Nukulaelae. The LMP will be updated prior to the release of bid documents once more information on labour planning is known. Table 1: Indicative Estimates of Required Workforce Type of project Characteristics of Timing of labour Estimated number of workers project workers requirements workers National maritime workers (1) Full time project From project Direct workers: management unit staff preparation to project 7/9 MPWIELMD/PMU (3/4) completion International technical consultants (3/4) From early stage of Workers of civil project contractor (45) implementation (civil Contracted Workers 55 Workers of engineering contractor) and firms (10) preparation (engineers) to project completion. 2.6 Timing of Labour Requirements The direct workers will be required full time and around the year for the project duration. Consultant services workers will be required full time or on an intermittent basis for the project duration. It will be up to the contractors to mobilise labour force to coincide with the stage and type of works. 3 ASSESSMENT OF KEY POTENTIAL LABOR RISKS This section describes the following, based on available information: 5 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure Key Risks: the following are the key labour risks to project workers that have been identified by the environmental and social assessments. Construction related occupational health and safety (OHS) risks: for MICRO 2 these risks are specifically identified as safety risks from operating heavy machinery, construction in turbulent wave environments, transport to and from project sites, handling hazardous materials and accidents or emergencies in isolated project sites. OHS measures will apply to all project workers. Specific attention will be given to sensitisation and training of unskilled construction workers on OHS risks, and the technical knowledge and behavioural awareness to minimise them. The Contractor will provide all necessary safety equipment, PPE and safe vessels for travel to project site. Lack of awareness on OHS requirements: there is often a lack of use of PPE and safe work practices at worksites in remote island settings. Influx of international workers to small island communities: increased risks of Sexual Exploitation and Abuse (SEA) /Sexual Harassment (SH), changes of power dynamics with increased cash flow, and the rise of communicable diseases. The labour risks are assessed to be low as the project will follow the good international industry practice, as reflected in various internationally recognised sources including the World Bank Group Environmental, Health and Safety Guidelines, the project will address areas that include the (i) identification of potential hazards to workers, particularly those that may be life-threatening; (ii) provision of preventive and protective measures, including modification, substitution, or elimination of hazardous conditions or substances; (iii) workers and contractors will be trained on labour safety, traffic safety, sanitation before starting any civil works; (iv) documentation and reporting of occupational accidents, diseases, and incidents; (v) emergency prevention, preparedness, and response arrangements, and (vi) workers will be required to undergo training in prevention of SAE/SH and to sign an associated code of conduct. 4 BRIEF OVERVIEW OF LABOR LEGISLATION 4.1 National Labour Legislation 4.1.1 Constitution of Tuvalu The Constitution of Tuvalu was adopted in 2008 and contains several relevant articles. It includes a Bill of Rights which, among other things, guarantees protection from slavery and forced labour, protection of freedom of assembly and association, and freedom from discrimination on the grounds of race, place of 6 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure origin, political opinion, colour, religious beliefs or lack of religious beliefs, (without reference to gender, sexual orientation, disability or age). 4.1.2 Employment Act 2008 This Act is Tuvalu’s main piece of labour legislation. Consistent with ESS2, it sets out various minimum terms and conditions of employment under Tuvaluan law, including relating to days and hours of work, rest periods, overtime and termination. The Employment Act also prohibits forced labour and the employment of children under the age of 15 years’ old for light duties or 18 years old for hazardous work. 4.1.3 Labour and Employment Relations Act 2017 This Act is made up 13 Parts and 6 out of these Parts are worth consideration by the MICRO 2 PMU and the CPMO. This is due mainly to its application which is to all employers and employees in all workplaces in Tuvalu Section 4 (1). Relevant to this project are: (i) employment relationship including detailed terms and conditions of employment for the worker (Part 2), (ii) employment of young persons including minimum ages (Part 3), (iii) prohibition of the worst forms of child labour and forced labour (Part 4), (iv) equal employment opportunities and non-discrimination (Part 5), (v) occupational safety and health (Part 6) including employer and employee responsibilities, and (vi) settlement of disputes (Part 9). 4.1.4 Trade Unions Act 1946 This Act allows for the formation of registered Trade Unions with 7 or more members. It also set the financial accounting requirements of Trade Unions so that accounts may be audited. The Act provides for workers being able to unioise without hindrance, subject to the union being registered and compliant with the articles of the act. The act also provides for workers to participate in peaceful pickets. 4.2 Tuvalu OHS Requirements 4.2.1 Labour and Employment Relations Act 2017 This Act is applicable to all employers and employees in any working places in Tuvalu. Therefore, the provisions made under Part 6 of the Act in terms of OHS are meant for all employers and employees in the country. Employers are required under Section 55 (1) of the LERs Act 2017 to provide and maintain working environment that is safe and without risks to health. Therefore, it is the responsibility of the Contractor and MPWIELMD to ensure that the working environment prepared for project workers is safe and risks free at all times. Further required duties of main employers for MICRO 2 workers are clearly laid out under Section 55 of the Act. 7 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure Duties of employees are spelt out clearly under Section 56 of the LERs Act 2017 for her or his own protection and not to affect others in the working environment in terms of OHS. Therefore, MICRO 2 workers are expected to comply with all the provisions meant for them under this particular section of this particular Act. 4.3 Requirements of ESS 2 The requirements of ESS2 cover the following areas: (a) working conditions and management of worker relationships; (b) protecting the workforce; (c) workers' access to a grievance redress mechanism; and (d) Occupational Health and Safety (OHS) measures. Working conditions and management of worker relationships include requirements that: • Project workers are provided with clear terms and conditions of employment, consistent with national legal requirements; • The principles of non-discrimination and equal opportunity are applied to project workers, and vulnerable project workers are protected; • The rights of workers to form workers organisations, consistent with national law, are respected. Protecting the workforce requirements include: • Provisions to prevent the employment of children below the age of 14 or the national legal minimum, whichever is higher, and restrictions on the employment of children under 18; • Prevention of forced labour. • Direct and contracted workers must have access to a grievance mechanism. The grievance mechanism for contracted workers must be provided by the direct employer and is separate from the project grievance mechanism. OHS requirements must address: • Identification of potential hazards to project workers, particularly those that may be life threatening; • Provision of preventative and protective measures, including modification, substitution or elimination of hazardous conditions or substances; • Training of project workers and maintenance of training records; • Documentation and reporting of occupational accidents, diseases and incidents; • Emergency prevention preparedness and response arrangements to emergencies; and • Remedies for adverse impacts, including occupational injuries, deaths, disabilities and disease. 8 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure 4.4 Gap Analysis and Measures It should be noted that, as with many small island developing states, common employment practice in the country frequently varies from the provisions of the legislation, which are not widely known or understood outside certain sectors. For MICRO 2, gaps include: • No substantive provision on equal opportunities for women, with restrictions being put on the types of employment women can do. • No proactive enforcement of safety standards • No provision of process for workplace grievance management Project measures will need to make good the gaps between employment legislation and ESS2, but also include measures to enforce compliance with legal requirements where these are consistent with ESS2. Furthermore, when there are differences between national legislation and ESS2, the more stringent provisions will be applied. Table 1 provides more information about gaps between common practice and ESS2 requirements, including terms and conditions of employment. Table 2: Gap Analysis of Tuvalu labour laws against ESS 2 requirements ESS 2 Requirement National Legislation Comment on Gap Required Measures Required by law and provided for in detail in Terms and Conditions Labour and No notable gap Use Tuvalu legislation of Employment Employment Relations Act 2017 Provided for in detail in Non-Discrimination Labour and No notable gap Use Tuvalu legislation and Equal Opportunity Employment Relations Act 2017 Provided for in detail in Labour and Rights to Organise Employment Relations No notable gap Use Tuvalu legislation Act 2017 and Trade Union Act 1946 Defined in Labour and Employment Relations ESS2 doesn’t provide Only people aged 18 or Prevention/restriction Act 2017 setting for employment of above can be of child labour minimum age at: children younger than employed as workers 15 for light work 18 on the project. (defined in Act) 9 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure 18 for hazardous work (defined in Act) Forced labour has a wide definition and is prohibited under the Prevention of forced Constitution of Tuvalu No notable gap Use Tuvalu legislation labour and the Labour and Employment Relations Act Worker GRM in this Labour and LMP will be uses for Employment Relations No specific mention of workplace grievance Worker grievance Act provides a detailed workplace grievance management, mechanism process for escalated management legislated process will disputes be used for escalation of grievances Provided for in Part 6 Identification of of the Labour and No notable gap Use Tuvalu legislation potential hazards Employment Relations Act Provided for in Part 6 Training of Workers of the Labour and and maintenance of No notable gap Use Tuvalu legislation Employment Relations training records Act All workplace H&S Documentation and incidents to be reporting of Not specifically ESS 2 requires recorded in a register occupational disease provided for reporting procedures and reporting to PMU and incidents in contractor periodical reports ESS 2 requires All worksites to have Emergency Not specifically emergency OHS plan including preparedness mentioned preparedness planning emergency plans No information Remedies for adverse All workers to be Not in legislation available on workers impacts insured for OHS. insurance 5 RESPONSIBLE STAFF Various aspects of the responsibility with respect to worker management are described below: 10 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure The PMU will be responsible for overall project management and coordination, including compliance with labour and working conditions in the LMP. The PMU will be responsible for the following tasks relevant to labour and working conditions: • Undertake the overall implementation of this LMP. • Engage and manage contractors and consultants in accordance with these LMP and the applicable Procurement Documents. • Ensure that contractors prepare their labour management plan (Contractor's LMP) that complies with this LMP for approval before the contractor is allowed to mobilise to the field. • Monitor that the contractor is meeting obligations towards contracted workers as included in the General Conditions of Contract the World Bank Standard Bidding Documents, and align with ESS2 and national labour code • Monitor that contractors are meeting obligations towards contracted workers as included in the Contractor's LMP and the applicable Procurement Documents. • Monitor training of relevant project workers. • Ensure that the grievance mechanism for project workers is established and implemented and that workers are informed of it. • Monitor the implementation of the Worker Code of Conduct and any other measures to address risks of (SEA)/ (SH). • Report to the World Bank on labour and occupational health and safety performance. The PMU will monitor implementation of the LMP and systematically report on activities and outcomes in a dedicated section of the quarterly and annual project reports. Reporting will include: • Awareness-raising materials produced and training undertaken • Outcomes of recruitment of direct project workers by age group, gender and ethnicity • Records of the project direct worker grievance mechanism • Records of occupational health and safety incidents. These are to be systematically recorded in a standard format including (1) type of incident; (2) severity class of incident (major, moderate, minor); incident classification (e.g. fatality, illness, medical treatment, etc.), and notification timeframe (e.g. Immediately, within 24 hours, etc.). The contractor will be responsible for the following: • Employ or appoint qualified environmental, social, occupational health and safety expert(s)to manage OHS issues for each project site. 11 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure • Prepare and implement their labour management plan (Contractor's LMP) This plan will be submitted to the PMU for review and approval before the contractor is allowed to mobilise to the field. • Supervise their workers adherence to the LMP. • Maintain records of recruitment and employment of contracted workers with age verification to avoid child labour. • Provide induction and regular training to contracted workers on environmental, social and occupational health and safety issues. • Require the primary supplier to identify and address risks of child labour, forced labour and severe safety issues, and risks of equity and discrimination for primary supply workers. • Develop and implement the grievance mechanism for contracted workers, including ensuring that grievances received from their contracted workers, resolved promptly, and reporting the status of grievances and resolutions. • Ensure that all contractor and subcontractor workers and community workers understand and sign the Worker Code of Conduct which will provide for prevention of SEA/SH before the commencement of works, take all other measures to address risks of SEA/SH as specified in the preliminary ESIA/ESMP and supervise compliance with such measures. An example of the required content of a Code of Conduct is provided in Appendix A. • Report to MAL/PMU on labour and occupational health and safety performance. 6 POLICIES AND PROCEDURES The Project will ensure that all tender documents for Infrastructure include budget provisions for all OHS provisions as well as other costs associated with labour management (e.g. the operation of a grievance redress mechanism). The project will regularly monitor the contractor's performance in implementing OHS measures. Project's regular reporting system should include the project's performance on the OHS implementation. Following ESS2 and national law, due to the hazardous work situation (working with heavy machinery, working in turbulent wave environments, transport to and from project sites, working with hazardous materials), children under the age of 18 will not be allowed to work on the project. The use of forced labour or conscripted labour on the project is also prohibited. The LMP includes a grievance redress mechanism (GRM) in Section 8 which will be provided to all workers and measures will be in place for all workers (including contractors) to access the GRM to raise any concerns related to the project. The project will apply the following policies and procedures to address the key labour risks identified under Chapter 3. 12 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure 6.1 Occupational Health and Safety The health and safety procedure illustrated in the Labor and Employment Relations Act, WB Environmental and Health Safety Guidelines (EHSG) (General and Infrastructure) and ESS 2 will be referenced all activities under MICRO 2 infrastructure works implementation. PMU will include into the bidding documents specific OHS standard requirements that all contractors will meet under this project. The standards will be consistent with local regulations, ESS2, WBG EHS guidelines and Good International and Industry Practices (GIIP). The Contractors OHS Plan measures will be designed and implemented to address: (a) identification of potential hazards to project workers; (b) provision of preventive and protective measures, including modification, substitution, or elimination of hazardous conditions or substances; (c) training of project workers and maintenance of training records; (d) documentation and reporting of occupational accidents, diseases and incidents; (e) emergency prevention and preparedness and response arrangements In addition the OHS Plan, will also require the Contractor to: • Provide fully stocked first aid stations at each construction site with workers trained in emergency First Aid. • Provide appropriate Personal Protection Equipment (PPE) for all construction workers and ensure they are used and replaced if necessary • Maintain daily contractor’s diary and record any OHS accidents or incidents. • Include any OHS accidents or incidents in monthly report. • Report any serious accident or incident to Supervision Engineer. • Prohibit usage of drugs and alcohol on construction sites and undertake regular alcohol testing. • Install lights and cautionary signs in hazardous areas. Project workers will receive OHS training at the start of their employment, and thereafter on a regular basis and when changes are made in the workplace, with records of the training kept on file. Training will cover the relevant aspects of OHS associated with daily work, including the ability to stop work without retaliation in situations of imminent danger (as set out in paragraph 27 of ESS2) and emergency arrangements. All Project workers will also receive training on COVID-19 prevention, social distancing measures, hand hygiene, cough etiquette and relations with local community. Training programs will focus, as needed, on COVID-19 laboratory biosafety, operation of quarantine and isolation centres and screening posts, communication and public-awareness strategies for health workers and the general public on emergency situations, as well as compliance monitoring and reporting requirements, including on waste management, the Project’s labour-management procedures, stakeholder engagement and grievance mechanism. 13 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure Workplace processes will be put in place for Project workers to report work situations that they believe are not safe or healthy. Project workers can remove themselves from a work situation which they have reasonable justification to believe presents an imminent and serious danger to their life or health. Project workers who remove themselves from such situations will not be required to return to work until an investigation has been conducted and necessary remedial action to correct the situation has been taken. Project workers will not suffer retaliation or otherwise be subject to reprisal or negative action for such reporting or removal. 6.1.1 COVID-19 Considerations The presence of migrant brings regarding potential transmission risks for COVID-19 both within the worksite and for nearby communities. These risks are not only from workers that are mobilized from abroad or returning from abroad, but also workers moving from other regions. In light of the COVID-19 world pandemic, the project will ensure to protect its workers, and to comply with those regulations that of the national government requirements for COVID-19 protection measures and with the WB Interim Note on COVID-19 Considerations in Construction/Civil Works Projects. The Project should prioritize and look after the well-being of the workers and monitor and follow the local and national health authority guidance on Covid-19. All migrant workers will be required to be fully vaccinated with a WHO approved vaccine. All workers are required to undergo the COVID-19 testing, if a worker has been tested positive or in contact with a positive COVID-19 case, the worker will be required to undergo the 14 days quarantine. The contract will assess their workforce and identify appropriate mitigation measures through: - Preparing a detailed profile of the project workforce, key work activities, schedule for carrying out which activities, different durations of contract and rotations. This should include a breakdown of workers who reside at homes, workers who lodge within the community and workers in on-site accommodation. It should also identify the workers vaccination status and, where possible it should also identify workers that may be at more risk from Covid-19, those with underlaying health issues or who may otherwise be at risk. - Consideration should be given to ways in which to minimise movement across the international border. - Consideration should be given to moving workers accommodated within the community into accommodation on site. - Workers from local communities who do not reside on site should be subject to health checks at the site entrances. 14 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure 6.2 Labour Influx To minimise the impact of labour influx, the project will contractually require the contractor to preferentially recruit unskilled labour from the local communities. This will be achieved through developing a local employment and skills development plan which may include: - Preparing a local labour and skills registry for the islands (including their Funafuti based community members) - Perform a work package analysis and breakdown to maximise the use of local labour, - Provide comparison of skills and labour requirements from local and import labour, - Provide upfront OHS training for all eligible community member to ensure all are equally prepared to commence working, - Develop practical implementation measures and undertake monitoring. All contracted workers will be required to sign the code of conduct (to be included in updated LMP prior to release of bid documents) before the commencement of work, which includes a provision to require the worker and contractor to prevent instances of SEA/SH. The code of conduct governs both on-site behaviours (with colleagues) and conduct in the community. Relevant training ill be provided to workers, such as induction and daily toolbox talks outlining expected conduct and local community values. 6.3 Prevention of Discrimination The employment of project workers under the project will be based on the principle of equal opportunity and fair treatment, and there will be no discrimination concerning any aspects of the employment relationship, such as recruitment and hiring, terms of employment (including wages and benefits), termination and access to training. To address the risk of exclusion of vulnerable groups such as women and persons with disabilities from employment opportunities, the project will require the contractor to employ such groups as part of their unskilled workforce. The contractor will also be required to comply with the provision of maternity leave and nursing breaks and sufficient and suitable toilet and washing facilities, separate from men and women workers where and when it is possible. The contractor will also be required to enable safety in the workplace to address potential sexual exploitation or harassment in recruitment or retention of skilled or unskilled female workers. 6.4 Age of Employment The project will only employ those who are age 18 and over. There will be no opportunity to employ any Tuvaluan or someone from outside of Tuvalu who has not reached the age of 18. All workers for the project will be required to provide official documentation, which include a birth certificate, or a passport, or a national identification card, along with their educational and medical records. If a child is discovered to have applied or employed but has not attained the age of 18 will 15 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure automatically disqualified or terminate her or his application or employment in a responsible manner, taking into account the best interest of the child. 6.5 Fair Wages and Working Conditions To avoid labour disputes, fair terms and conditions will be applied for project workers in the project (more details are provided in Section 6). The project will also have grievance mechanisms for project workers (direct workers and contracted workers) in place to promptly address their workplace grievances (more details are provided in Section 7). Further, the project will respect the workers' right of labour unions and freedom of association, as set out in the national Trade Union Act. 6.6 Monitoring and Reporting The contractor shall report to the PMU and the construction and supervision consultants on the status of implementation of the above policies and procedures on a monthly or quarterly basis. The PMU and the construction and supervision consultants will closely monitor the contractor/subcontractor on labour and occupational health and safety performance and report to the World Bank quarterly. 6.7 Fatality and Serious Incidents In the event of an occupational fatality or severe injury, the PMU shall report to the WB as soon as becoming aware of such incidents and inform the relevant government authorities (where available) in accordance with national reporting requirements. Corrective actions shall be implemented in response to project-related incidents or accidents. The PMU or, where relevant the contractor, will be required to conduct a root cause analysis for designing and implementing further corrective actions. 6.8 Prioritising Local Workers The Contractor should attempt to prioritise recruiting workers from the locally available workforce on the project islands. This section of LMP will be updated prior to the release of construction bid documents to expand on the requirements of this approach. The updated section may include: - Labour resourcing forecast - Local labour-force and industry engagement and set up of a labour and supplier registry. - Scoping and comparison of local supply and employment options - Definition of requirements/incentives in bid documents for a) local employment, b) training, c) monitoring and compliance. 16 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure 7 TERMS AND CONDITIONS Applicable terms and conditions as per Tuvalu Employment Act applies, and the relevant stipulations in the ESMPs, including written service contract detailing the worker’s salary, working hours & leave, rights and allowance, Code of Conduct, duration of contract, and terms and conditions for termination of contract by employer and worker alike. The contract should be signed by both parties, who each will keep a copy. 7 .1 Direct Workers Direct workers’ contracts are determined by the Employment Act, as they are directly employed by the relevant government agencies. Consultant service providers or construction and supervision consultants will be governed by the Standard WB Consultancy agreements which set higher standards than the national legislation. 7.2 Contracted Workers The following terms and condition guidance is taken from the national legislation and strengthened by ESS2 requirements where necessary. Minimum Wages: While the mechanism to set the official minimum wage as prescribed by the Employment Act, it is not currently functioning. The fair market rate will be identified and applied for the Project workers. Hours of Work: The regular hour of work of a project worker shall not exceed 8 hours a day or 48 a week (Employment Act). Hours worked more than the regular hours of work shall not exceed 12 hours a week and shall entitle a worker to a proportionate increase in remuneration. Meal and tea breaks: Every worker who works more than 6 consecutive hours in 1 day is entitled to an unpaid break of one hour for a meal and to paid teak breaks during the day totaling 20 minutes (Labour and Employment Relations Act) Rest per week: Every worker shall be entitled to one day's rest each week, which will fall on Sunday (Tuvalu Constitution). It shall consist of at least 24 consecutive hours each week. Workers shall also be entitled to a rest day on public holidays recognised as such by the State. Annual leave: Workers shall be entitled to 12 days leave with pay for every year of continuous service (Art. 111). An entitlement to leave with pay shall usually be acquired after a full year of continuous service. A worker is entitled to take annual leave on a pro rata basis on the completion of 6 months service with an employer. (LERA) 17 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure Maternity leave: A female worker shall be entitled, on presentation of a medical certificate indicating the expected date of her delivery, to 12 weeks of maternity leave (LERA). During maternity leave, the female employee is entitled to 100% of her wages payable by the employer. Paternity Leave: A workers who is the spouse or partner of a woman who gives birth or who adopts a child shall be entitled to 10 days paid paternity leave at 100% of their wage. Paternity leave will be taken within 4 months of the birth or adoption of the child. (LERA) Sick Leave: A worker is entitled to 5 days paid sick leave for each continuous 12 months of service. Deductions from remuneration. No deductions other than those prescribed by the Employment Act or regulations made thereunder, or any other law or collective labour agreement shall be made from a worker's remuneration, except for repayment of advances received from the employer and evidenced in writing. The contractor shall not demand or accept from workers any cash payments or presents of any kind in return for admitting them to employment or for any other reasons connected with the terms and conditions of employment. Medical treatment of injured and sick workers: the cost of maintenance and treatment of a worker and his dependents residing in a place of employment shall be paid for by the employer as long as the worker remains in their employment. It shall be the duty of the employer to arrange at his own expense for the conveyance to the nearest hospital of any injured or sick worker who can be so conveyed and who cannot be treated on the spot with the means available (Employment Act). Collective Bargaining: It is the right of workers to participate in collective bargaining under the provisions of Part 8 in the Labour and Employment Relations Act 7.3 Primary Supply Workers For any primary workers involved in the supply chain, the following requirements will be met as per ESS2. Health and Safety: Where there is significant risk of serious safety issues related to primary supply workers, the supplier will have OHS procedures and mitigation measures in place to address such safety concerns. Child or Forced Labour: No children under the age of 18 will be employed as a primary worker. 8 WORKER GRIEVANCE MECHANISM The PMU will require the Contractor to develop and implement a Workers Grievance Redress Mechanism (WGRM) for their own workforce prior to the start of design stage. The Contractor will prepare their CESMP before the start of civil works, which will also include detailed description of the workers WGRM. 18 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure The WGRM must be well circulated and written in a language understood by all. The WGRM is separate to the Project which manages grievances from communities and individuals or groups affected by the project works. 8.1 WGRM Principles The mechanism will be based on the following principles: • The process will be transparent and allow workers to express their concerns and file grievances. • There will be no discrimination against those who express grievances and any grievances will be treated confidentially. • Anonymous grievances will be treated equally as other grievances, whose origin is known. • Management will treat grievances seriously and take timely and appropriate action in response. Information about the existence of the grievance mechanism will be readily available to all project workers (direct and contracted) through notice boards, the presence of “suggestion/complaint boxes”, and other means as needed. • The Project workers’ grievance mechanism will not prevent workers to use conciliation procedure provided in the Labour and Employment Relations Act 2017. 8.2 WGRM Process The WGRM will be described in workers induction trainings, which will be provided to all project workers. The PMU GRM focal point will monitor the Contractors’ recording and resolution of grievances, and report these to PMU in their monthly progress reports. The WGRM will operate as follows: 1. The complainant may report their grievance in person, by phone, text message, mail or email (including anonymously if required) to the contractor as the initial focal point for information and raising grievances. Complainant will be notified of the outcome of their grievance either directly via their line manager or using the same method they submitted their grievance. For complaints that are satisfactorily resolved at this stage, the incident and resultant resolution will be logged in the Contractors records and reported to the PMU Grievance Focal Point. 2. If the complainant is not satisfied, the contractor will refer the aggrieved party to the GRM focal point in the PMU (preferably the safeguards advisor). The focal point endeavours to address and resolve the complaint and inform the complainant in two weeks or less. For complaints that are satisfactorily resolved by the Focal Point, the incident and resultant resolution will be logged by the focal point. Where the complaint is not resolved, the focal point will refer to the Project Manager for further action or resolution. 19 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure 3. As a third step, if the matter remains unresolved, or the complainant is not satisfied with the outcome, the Project Manager will refer the matter to the MPWIELDM CEO, who will aim to resolve the grievance in three weeks or less. The Grievance focal point will log details of issue and resultant resolution status. 4. Should grievances are not addressed to the satisfaction of the worker within the workplace, the Labour and Employment Relations Act 2017 (Part 9: Settlement of Disputes) provides the process for escalation of grievances (referred to as disputes in the Act). The Act provides the right for the worker to apply to the Secretary of MPWIELMD for dispute resolution services. The application for dispute resolution services will be considered if: (i) the application is made within 3 months of the dispute arising, (ii) if attempts to resolve the dispute in the workplace have been unsuccessful; (iii) the dispute is not frivolous. If the Secretary determines that the application does not meet the criteria for dispute resolution services, they will inform the worker in writing within one month giving reasons for the decision. If the Secretary determines that the application does meet the criteria for dispute resolution services, the Secretary shall, as soon as reasonably practicable, provide one or more of the following services: a. Verbal or written information to the parties to a dispute about the rights and obligations under this Act b. Information to support the parties to fix new terms and conditions of employment c. Conciliation services in accordance with the Act. 5. If an agreed resolution cannot be gained through conciliation the parties can escalate the dispute to the Court under Part 9B of the Act. A party aggrieved by the decision of the court has the right to appeal. 9 CONTRACTOR MANAGEMENT The project’s management of the process of contracting third parties (i.e. the lead construction contractor) who engage contracted workers shall help to ascertain the legitimacy and reliability of the third party prior to contracting. Information required may as a minimum include: • Business licenses • Professional accreditations and registrations • References • Existing standard contractual provisions and non-compliance remedies • Performance monitoring systems 20 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure • Documents relating to a labor management system, including OHS issues, labor management procedures; safety, and health personnel, their qualifications, and certifications; compliance record with regards to environmental, social and OHS issues, monitoring system in place for these. The contracts with selected Contractor will include provisions related to labor and occupational health and safety, as provided in the World Bank Standard Procurement Document (SPD), Tuvalu Employment Act and Labour and Employment Relations Act. The bid document will make it mandatory for CESMP to include work program, Traffic Management Plan, Labor Management Plans, among others. The PMU will manage and monitor the performance of the Contractor in relation to: (i) contracted workers, focusing on compliance by contractors with their contractual agreements (obligations, representations, and warranties). This may include periodic audits, inspections, and/or spot checks of project locations or work sites and/or of labor management records and reports compiled by contractors. Contractors’ labour management records and reports may include: (a) a representative sample of employment contracts or arrangements between third parties and contracted workers; (b) records relating to grievances received and their resolution; (c) reports relating to safety inspections, including fatalities and incidents and implementation of corrective actions; (d) records relating to incidents of non-compliance with national law; and (e) records of training provided for contracted workers to explain labor and working conditions and OHS for the project. (ii) Primary supply workers. This will require the Contractor providing the PMU with documentation to verify that the primary supplier adheres to good OHS practice and does not employ children. 21 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure Appendix A: Code of Conduct 9.1 Code of Conduct All Contracted Workers are required to sign this Code of Conduct as a condition of employment. I, ______________________________, acknowledge that adhering to environmental, social, health and safety (ESHS) standards and the Project’s occupational health and safety (OHS), and sexual exploitation and abuse (SEA) and sexual harassment (SH) requirements are important. I agree that while working on the Project I will: a. Comply with this Code of Conduct and all laws of the COUNTRY, regulations and other requirements, including protecting the health, safety and well-being of other Contractor’s Personnel and any other persons. b. Consent to a background check in any place I have worked for more than six months. c. Attend training courses related to ESHS, OHS, and SEA and SH as requested by my employer. d. Carry out my duties competently and diligently. e. Avoid and declare any conflicts of interest (such as benefits, contracts, or employment, or any preferential treatment or favors are not provided to any person with whom there is a financial, family, or personal connection). f. Ensure the proper use of all worksite property including not engaging in theft, carelessness or waste. g. Use specified sanitary facilities provided by their employer and not open areas. h. Maintain a safe working environment including by: o Ensuring that workplaces, machinery, equipment and processes are safe. o Wearing required personal protective equipment at all times when at the Project Site. o Using appropriate measures relating to chemical, physical and biological substances and agents. o Following applicable emergency operating procedures. o Reporting work situations that are not safe or healthy. o Removing myself from a work situation which is an immediate and serious danger to my life or health. i. Not consume alcohol or use of narcotics, drugs or other substances which can impair faculties during work activities, including attending work under the influence of these substances. j. Not discriminate against any person on the basis of family status, ethnicity, race, gender, sexual orientation age, language, religion, marital status, political or other opinion, disability, health or other status. k. Treat all members of the community(ies) and any affected person(s) with respect, including to respecting their religion, culture and traditions. l. Not use language or behavior toward any person that is inappropriate, harassing, abusive, sexually provocative, demeaning or culturally inappropriate. m. Comply with all laws of the COUNTRY, including but not limited, not perpetrating any form of physical or sexual violence. n. Not exploit or sexually exploit or abuse any person. o. Not engage in sexual harassment toward other Contracted Workers, Port Authority / Transport Department staff, Contractors, visitors to Project Sites or any other persons at or around the Project Sites. 22 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure p. Not engage in sexual favors with any Contracted Worker or members of the community. q. Not use prostitution in any form at any time. r. Not engage in HT of any person or exploit a trafficked person. s. Not participate in sexual contact or activity with children under the age of 18, except in the case of a pre- existing marriage. Mistaken belief regarding the age of a child or “consent” from the child are not a defense or excuse. t. Unless there is the full consent1 by all parties involved, not have sexual interactions with any person. u. Ensure the protection and safety of children under the age of 18 by: o Informing my manager of the presence of any children on the Project Site or who are engaged in hazardous activities as part of the Project. o Wherever possible, ensuring that another adult is present when working close to children. o Not inviting unaccompanied children, who are not my family, into my home. o Not accessing child pornography. o Refraining from physical punishment or discipline of children. o Taking appropriate caution when photographing or filming children for work-related purposes.2 v. Report through the GRM or to my manager any breaches of this Code of Conduct. w. Not retaliate against any person who reports violations of this Code of Conduct. The Contractor considers that failure to comply with this Code of Conduct constitute acts of gross misconduct and are therefore grounds for sanctions, penalties or potential termination of employment. Prosecution by the police of those who break the law of the COUNTRY may be pursued if appropriate. I understand that if I breach this Code of Conduct, my employer will take disciplinary action which could include: a. Informal or formal warning. b. Additional training. c. Loss of up to salary for a period of time. d. Suspension of employment (without payment of salary), for a period of time. e. Termination of employment. f. Report to the police or other relevant authorities. I do hereby acknowledge that I have read this Code of Conduct, agree to comply with the standards contained therein and understand my roles and responsibilities to prevent and respond to ESHS, OHS, and SEA and SH. 1Consent is defined as the informed choice underlying an individual’s free and voluntary intention, acceptance or agreement to do something. No consent can be found when such acceptance or agreement is obtained using threats, force or other forms of coercion, abduction, fraud, deception, or misrepresentation. Consent cannot be given by a child under the age of 18, even where legislation in the [COUNTRY] has a lower age. 2Including: complying with local traditions or restrictions for reproducing personal images, obtaining informed consent from the child and a parent or guardian of the child and presenting children in a dignified and respectful manner. 23 Developed for MPWIELMD December 2021 Tuvalu Maritime Investments in Climate Resilient Operations Labour Management Procedure I understand that any action inconsistent with this Code of Conduct or failure to act mandated by this Code of Conduct may result in disciplinary action and may affect my ongoing employment. Signature: _________________________ Name: _________________________ Position: _________________________ Date: _________________________ 24 Developed for MPWIELMD December 2021