Labor Toolkit

Strategies and Options

This module considers the following strategic issues and analyzes available restructuring options. Among the key strategic questions are these:


CONTENTS

MODULE 4
STRATEGIES AND OPTIONS

The new investor will have the best knowledge of which skills, people, and capabilities will be needed in the future.

RESTRUCTURING - WHO SHOULD DO IT?

Labor Restructuring by the Private Sector

Labor Restructuring by Government

A Mixed Approach

MENU OF OPTIONS

SEQUENCING OF OPTIONS

SOFT OPTIONS

Payroll Management

Enforcement of Retirement Age

Enforcement of Disciplinary Proceedings

Staff Transfers to Other Public Organizations

Recruitment and Promotion Freezes

Advantages of Soft Options

WORKPLACE RESTRUCTURING

Reducing Working Hours

Placing Workers on Administrative Leave

Reorganizing the Work Force

Restructuring the Enterprise

RETIREMENT AND REDUNDANCY

KEY CONSIDERATIONS IN DEVELOPING STRATEGIES AND OPTIONS

Labor-Related Legislation

Employee Status Prior to PPI

Employment Protection in the Bidding Process

STRATEGIES-A DECISION TREE

MATERIAL AND SOURCES

Tools

Additional Material

Web Sites

Other Material and Sources

FIGURES

Figure 4.1: Restructuring Options-A Typology

Figure 4.2: An Illustration of Sequencing

Figure 4.3: Strategic Choices in Labor Adjustment-A Decision Tree

BOXES

Box 4.1: Restructuring by PPI Investors-Argentina and Guyana

Box 4.2: Tanzania-Telecommunications Work Force Restructuring

Box 4.3: Zambia-Redundancy for All Rail Workers

Box 4.4: Philippines-Use of a Mixed Approach through Probationary Employment

Box 4.5: South Africa-Phased Reform in Electricity

Box 4.6: Jordan-Tactical Staff Transfers at Aqaba Rail

Box 4.7: China-Administrative Leave for Workers in State-Owned Enterprises

Box 4.8: Argentina-The Success of a Voluntary Approach

Box 4.9: Aeromexico-Liquidation and Labor Adjustment

Box 4.10: Mexico Rail-How the Legal Framework Changed

Box 4.11: Argentina-International Standards, National Laws, and Labor Contracts

Box 4.12: Turkmenistan-Privatization and Employment Rights

Box 4.13: New Zealand Rail-Changes in Worker Status

Box 4.14: Telecommunications-Institutional Structures and Labor Adjustment

Box 4.15: Experiences of Using Labor Factors in PPI Bidding

TABLES

Table 4.1: Labor Restructuring-By Whom and When?

Table 4.2: Administrative Leave and Reduced Work Schedules in Countries of the Former Soviet Union

Table 4.3: Advantages and Disadvantages of Early Retirement, Voluntary Departure, and Compulsory Redundancy

Table 4.4: Labor Issues Legal Framework

Table 4.5: Institutional Reorganization and Changes in Employee Status

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Home

How to Use the Toolkit

Labor Toolkit:
Framework and Overview

Labor Impacts of PPI

Assessing the Scope of Restructuring

Strategies and Options

Restructuring - Who Should do it?

Menu of Options

Sequencing of Options

Soft Options

Workplace Restructuring

Retirement and Redundancy

Key Considerations in Developing Strategies and Options

Strategies-a Decision Tree

Material and Sources

Key Elements of a Labor Program

Engaging with Stakeholders

Monitoring and Evaluation

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References

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Case Studies

Tools

Additional Materials

Web Sites

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