Ciett mission reveals significant potential for well-functioning labour markets in Brazil

14, March

By Denis Pennel for staffingamericalatina The board of Ciett, representing the global employment and recruitment ...

By Denis Pennel for staffingamericalatina

The board of Ciett, representing the global employment and recruitment industry, visited Brazil at the beginning of March on a fact-finding mission about the current and upcoming trends of the private employment services sector.

The delegation was hosted during the week-long visit by Sindeprestem, the trade organisation of Temporary, Outsourced and Consulting Human Resources Service Provision for the São Paulo State. This services sector trade organisation represents some 5,000 companies and employs 800,000 specialised workers per month on a formal basis and 300,000 temporary workers each day.

A Ciett Board delegation including President Annemarie Muntz, Vice-President Hans Leentjes, and myself held face to face meetings in Brazilia. Among other people we met with the Brazilian secretary of labour and members of the senate and the chamber of deputies, with whom we exchanged views on the trends and challenges facing the industry as well as learning more on the specifics of the Brazilian market.

Key to each of these meetings was driving a better understanding of our industry. Temporary agency work faces very significant restrictions in Brazil. The current law regulating it dates from 1974, and allows only 2 reasons of use, and a maximum length of assignment of 3 months (with a very limited option of renewal). This leads to a situation where employers look for other forms of flexibility that may offer less protection to workers. These alternatives, which include outsourcing and subcontracting, have a very poor image in the country. For this reason, Ciett gave a clear message to policy makers that appropriate legislation on agency work is key to ensure flexibility with security.

ILO Convention No. 181 on private employment agencies provides an excellent basis for appropriate legislation. It was therefore excellent to see that deputy Laércio Oliveira during our visit put in a motion to the chamber of deputies urging the government to promote the ratification of Convention No. 181.

Contributing to better functioning labour markets

A day-long forum entitled “The contribution of private employment services to a better functioning labour market in Brazil” was held on the penultimate day of the visit at the Tivoli-Mofarrej Hotel in São Paulo.

Sindepresetem President, Vander Morales, officially opened the session which, next to the full Ciett board, gathered some 70 people working in the employment field and featured a series of presentations and panel sessions exploring key labour market challenges.

Ciett President Annemarie Muntz spoke about job creation, inclusiveness and adaptation to change and how the private employment sector contributes to all three. To allow the industry to fully play its positive role on the labour market, regulation needs to be adjusted.

In a panel debate on international benchmarks, several Ciett Board members discussed what could be learned from agency work regulation and organisation practices in other parts of the world and sought to identify some best-in-class strategies.

At the end of the day I was asked to bring the forum to a close with a presentation on “Regulation, image and decent work”, the ingredients needed to unleash the positive role played by private employment services in the delivery of growth and jobs. Ciett promotes the contribution of millions of agency workers to the economy and works hand in hand with governments, the ILO, OECD and EU institutions to fight illegal work and social dumping and promote decent jobs and inclusive labour markets. I am convinced that countries like Brazil, as well as many other emerging markets around the world, can benefit from a better regulated employment and recruitment industry.

About Denis Pennel

Managing Director of Ciett and Eurociett, Denis Pennel is a labour market expert with deep knowledge and years of experience relating to employment at global and EU levels. He recently published “Travailler pour soi”, a book about the new realities of work.

Follow Denis on Twitter @PennelDenis

About Ciett,

As the International Confederation of Private Employment Services, Ciett is the authoritative voice representing the interests of agency work businesses. Founded in 1967, Ciett consists of 51 national federations of private employment agencies and eight of the largest staffing companies worldwide. Its main objectives are twofold: to help its members conduct their businesses in a legal and regulatory environment that is positive and supportive; to gain recognition for the positive contribution the industry brings to better functioning labour markets.

Follow Ciett on Twitter @ciett_waytowork