BetterWork: 28ème Rapport de Synthèse sur la Conformité - Haïti (Juillet 2024 - Décembre 2024)

HAITI 2 8 th Compliance Synthesis Report July 202 4 - December 2024 2 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Copyright © International Labour Organization (ILO) and International Finance Corporation (IFC) (202 5 ) First published (202 5 ) ILO publications benefit from copyright under Protocol 2 of the Universal Copyright Convention. However, their short excerpts may be reproduced without authorization because the source is indicated. For reproduction or translation rights, the application s hould be made to the ILO, acting on behalf of both organizations: ILO Publications (Rights and Permissions), International Labour Office, CH - 1211 Geneva 22, Switzerland, or email pubdroit@ilo.org . The IFC and ILO welcome such applications. Libraries, institutions, and other users registered with reproduction rights organizations may make copies of the licenses issued to them for this purpose. Visit www.ifrro.org to find the reproduction rights organization in your country. ILO Cataloguing in Publication Data Better Work Haiti: apparel industry 25th biannual synthesis report under the HOPE II legislation / International Labour Office; International Finance Corpo ration. - Geneva: ILO, 2023 1 v. ISSN 2227 - 958X (web pdf) International Labour Office; International Finance Corporation Clothing industry / textile industry / working conditions / workers’ rights / labour legislation / ILO Convention / internationa l labour standards / comment / application / Haiti 08.09.3 The designations employed in this, which are in conformity with United Nations practice, and the presentation of material therein do not imply the expression of any opinion whatsoever on the part of the IFC or ILO concerning the legal status of any country, area or territory or of its authorities, or concerning the delimitation of its frontiers. The responsibility for opinions expressed in signed articles, studies, and other contributions rests solely with their authors, and publication does not constitute an endorsement by the IFC or ILO of the opinions expressed in them. Reference to names of firms and commercial products and processes does not imply their endorsement by the IFC or ILO. Any failure to mention a particular firm, commercial product, or process is not a sign of disapproval. ILO publications can be obtained through major booksellers or ILO local offices in many countries or direct from ILO Publications, International Labour O ffice, CH - 1211 Geneva 22, and Switzerland. Catalogs or lists of new publications are available free of charge from the above address or by email: pubvente@ilo.org Visit our website: www.betterwork.org 3 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Acknowledgments/Disclaimer Better Work Haiti receives financial support from the United States Department of Labor (USDOL). This publication's contents are the sole responsibility of Better Work Haiti and do not necessarily reflect the views or policies of the USDOL. The funding that is provided by the United States Department of Labor falls under cooperative agreement number IL - 21187 - 10 - 75 - K. 89 percent of the program's total costs in 2024 were funded by Federal funds, for a total of USD 17,137,735 during the program’s life cycle. This material does not necessarily reflect the United States Department of Labor's views or policies, nor does mentio n of trade names, commercial products, or organizations imply endorsement by the United States Government. 4 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Table of Contents Acknowledgments/Disclaimer ................................ ................................ ......................... 3 List of Acronyms ................................ ................................ ................................ ................ 5 Section I: I ntroduction and Context ................................ ................................ ................ 8 1.1 Background ................................ ................................ ................................ ....................... 8 Section II: Highlights of the reporting period January ................................ ................ 10 Country Context ................................ ................................ ................................ ...................... 10 Garment Industry Challenges ................................ ................................ ............................... 11 Section III : Milestones and key takeaways ................................ ................................ .. 13 Progress toward achieving results ................................ ................................ ....................... 13 Special stakeholders' gathering highlight serious concerns. .......... 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Section IV: Compliance situation in the Haitian garment industry ............................ 19 Section V: Core labour standards non - compliance findings of the reporting period ................................ ................................ ................................ ................................ 27 Section VI: Better Work key activities toward sustainability ................................ ....... 29 Annex 1: The T AICNAR Project and Reporting Requirements under the HOPE II Legislation ................................ ................................ ................................ ........................ 37 TAICNAR Program Component 1: Compliance Assessments and Remediation Support ................................ ................................ ................................ ............................. 38 TAICNAR Program Component 2: Technical assistance to strengthen the legal and administrative structures for improving compliance in the industry ...................... 38 Annex 2. Better Work’s Service Delivery Model ................................ ........................... 41 Annex 3. The Better Work Compliance Assessment Methodology ............................ 45 Better Work Compliance Assessment Framework ................................ ............................. 45 Annex 4: Factories findings ................................ ................................ ............................ 62 5 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I List of Acronyms ADIH Association des Industries d’Haïti (Haitian Industry Association) BMST Bureau de la Médiatrice Spéciale du Travail (Office of Ombudsperson) CAOSS Conseil d’Administration des Organes de Sécurité Sociale (Board of Social Security Bodies) CP Compliance point CSS Conseil Supérieur des Salaires (Wages High Council) CATH Central Autonome Travailleurs Haïtiens (Autonomous Central of Haitian Workers) CEDATHA Centrale Démocratique Autonome des Travailleurs Haïtiens (Autonomous Democratic Central of Haitian Workers ) CFOH Confédération des Forces Ouvrières Haïtiennes (Confederation of Haitian Workers Forces) CNOHA Centrale Nationale des Ouvriers Haïtiens (National Central of Haitian Workers) CSH Coordination Syndical Haïtienne (Haitian Trade Union Coordination) CTH Confédération des Travailleurs Haïtiens (Confederation of Haitian Workers) CTSP Confédération des Travailleurs des secteurs Publics et Prives (Confederation of Workers from the Public and Private Sectors) CTMO - HOPE Commission Tripartite de Mise en œuvre de la loi HOPE (Tripartite Commission for the Implementation of the HOPE Law) EA Enterprise Advisor 6 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I ESPM - BO Entè Sendikal Premye Me - Batay Ouvriye GOSTTRA Groupement Syndical des Travailleurs - eusses du Textile pour Réexportation d'assemblage (Union Group of Textile Workers for Re - export of the Assembly) SOHSA Syndicat des Ouvriers de HANSAE Haiti S.A (HANSAE Haiti S.A Workers Union) UTL Union des Travailleurs Libres (Union of Free Workers) HELP Haiti Economic Lift Program HOPE Haitian Hemispheric Opportunity through Partnership Encouragement Act IOE International Organization of Employers ITUC International Trade Union Confederation MSDS Material Safety Data Sheet MAST Ministère des Affaires Sociales et du Travail (Ministry of Social Affairs and La bor) OFATMA Office d’Assurance Accidents du Travail, Maladie etMaternité (Office for Work, Health and Maternity Insurance) ONA Office Nationale d’Assurance Vieillesse (National Office for Old - Age Insurance) OSH Occupational Safety and Health PAC Project Advisory Committee PAP Port - au - Prince, Haiti PIC Parc Industriel de Caracol (Industrial Park of Caracol) PICC Performance Improvement Consultative Committee PIM Parc Industriel Métropolitain (also referred to as SONAPI) PPE Personal Protective Equipment 7 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I SC/AFL - CIO Solidarity Center/American Federation of Labor - Congress of Industrial Organizations SDT Table de Dialogue Social (Social Dialogue Table) ) TAICNAR Technical Assistance Improvement and Compliance Needs Assessment and Remediation USDOL United Stat es Department of Labor 8 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Section I: Introduction and Context 1.1 Background Haiti's Apparel Industry in Numbers The Haitian textile sector faces significant challenges due to the global economic climate and socio - political instability. Widespread gang activit ies in the metropolitan area of Port - au - Prince forced factories to halt operations for days or even weeks at a time. The closure of s eaports and the main international airport in April and November 2024 further disrupted the transportation of raw materials and finished goods. Although the reporting period is from July 2024 to December 2024, it is worth nothing that at the start of 2024, Better Work Haiti listed 29 factories in its portfolio. Only 22 factories remained operational by December 2024 , as seven had ceased operations permanently. In July, two factories in Port - au - Prince and three in the Northeast shut down. By November 2024, the estimated number of workers in the sector had fallen to 26,500 — a loss of approximately 7,350 jobs compared to the previous synthesis report. The decline in production is evident in data from OTEXA, the U.S. Department of Commerce's Office of Textiles a nd Apparel. According to trade reports published in November 2024, total annual exports were just under $600 million, a significant drop from approximately $824 million in 2023 — a decline of roughly 28% in export revenues. The textile industry, which accoun ts for approximately 90% of Haiti’s national exports, is at a critical juncture. Revenue losses and job cuts are taking a severe toll on factory - dependent communities. Beyond global economic pressures, deteriorating security conditions in the metropolitan area have prompted an exodus of skilled personnel, particularly at the administrative and management levels, further straining factory operations. Urgent stakeholder engagement and decisive intervention are essential to stabilizing the sector and preventin g further economic decline. 9 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I 22 1 Active factories in the program 26,431 ( X % loss 2 ) Workers employed. (63% women) 6 Active 3 industrial zones hosting 90% of textile ~ $ 587,196 mi  4 Apparel exports in USD million ( Y E current month - 28.76 % ) 29 Brands and Retailers 7 Government Partners 11 Active workers’ organizations 1 Seven factories stopped operations due to challenges related to the country’s recent situation. 2 The closure of some factories and production reduction of other causes some termination and significant loss of employment mostly among production workers. 3 Multiple zones in the west department face difficult challenges due to gangs’ unrests. This situation affected industrial areas to remain fully active for factories to keep operating. 4 The security situation of the country severely affected production, receiving of raw materials and shipment of finished goods. 1 0 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Section II: Highlights of the reporting period Ju l y to December 2024 Country Context The second half of 2024 brought significant political changes, notably the election of a new president, which altered the leadership of the Transitional Presidential Council. However, security challenges remain critical for the government, posing significa nt economic stability and recovery obstacles .  Pre sidential Council : In October 2024, a new president of the Transitional Presidential Council was sworn in, though the council’s composition remains unchanged. It consists of seven voting members and two non - voting members, and its mandate extends until February 2026.  New Prime Minister : In November 2024, the Presidential Council appointed a new Prime Minister, who reshuffled the cabinet. However, key figures such as the Minister of Social Affairs and Lab o u r, the Minister of Commerce, and the directors of ONA and OFATMA retained their positions, ensuring continuity in critical sectors .  Leadership and Challenges: The new Prime Minister, a businessperson and former Haitian Chamber of Commerce and Industry member, inherited an unstable political and security landscape. Gang violence continues to disrupt daily life, particularly in the metropolitan area of Port - au - Pr ince.  Airport Security Incident: In November, a major security incident occurred when heavy gunfire targeted the airport as three major U.S. airliners were landing. This led to the immediate suspension of all domestic and international flights. To date, th e main international airport remains closed.  Security Measures: The new Prime Minister has pledged to address the deteriorating security situation and oversee preparations for new elections, 1 1 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I prioritizing national stabilization and fostering an environment conducive to economic growth.  September 2024, a small contingent of troops arrived from Jamaica and Belize to reinforce the Multinational Security Support mission (MSS) in Haiti. The security situation in Haiti remains precarious. According to a report published by the United Nations Human Rights Office, gang violence claimed more than 5,000 lives in 2024, and the number of internally displaced persons reached several hundred thousand. By October 2024, United Nations experts estimated that over 80% of the capital was under gang control, severely disrupting economic activities, including factory operations in affected areas. The success of the Presidential Council, the leadership of the new Prime Minister, and the impact of international security forces will be key factors in determining Haiti’s path to recovery. A long - term solution requires addressing the root causes of gang violence, fostering economic development, promoting political stability, and strengthening public institutions. Garment Ind ustry Challenges The Haitian garment industry is at a critical juncture, exhibiting fragility and resilience. Its ability to recover from the COVID - 19 pandemic — regaining most lost jobs within a year — demonstrates this resilience. Despite persistent secu rity challenges, factories have continued operations, with workers often risking their safety to report for duty. Even the factories that were temporarily closed in mid - 2024 have managed to reopen, albeit with reduced capacity, staffing, and order volumes. However, localized security concerns have led to frequent closures and scaled - back production in Port - au - Prince throughout the year. The recent incident in November 2024, involving gunfire striking U.S. airliners and the subsequent airport closure, which triggered additional factory shutdowns, underscores the sector’s vulnerability. Improving security, particularly in the metropolitan area, is essential to ensure the smooth movement of goods and materials and guarantee worker safety. 1 2 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Adding to these operational challenges is the uncertainty surrounding the renewal of the HOPE/HELP trade preference program , set to expire in September 2025. This looming deadline has heightened anxiety among industry stakeholders. International buyers require assurance that these trade benefits will continue, as their decisions directly impact Haitian factories. In the opinion of industry representatives and other stakeholders, f ailure to extend the HOPE II program could severely threaten the industry, potentially leading to widespread job losses and further economic distress . 1 3 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Section III: Milestones and key takeaways Progress toward achieving results. FACTORY - LEVEL SOCIAL DIALOGUE MECHANISMS GENERATE ACTIONS TO REDUCE NON - COMPLIANC E WITH HAITIAN LABO U R LAW AND INTERNATIONAL LABO U R STANDARDS, INCLUDING NON - COMPLIANCE ISSUES AFFECTING WOMEN. Better Work Haiti remains committed to its program goals desp ite ongoing national challenges. During this reporting period, the initiative focused on enhancing the capacity of participating factories to foster meaningful social dialogue at both the factory and sectoral levels. Factories received advisory services, a ssessments, and training to address non - compliance with Haitian labour law and international labo u r standards, including issues disproportionately affecting women. To support these efforts, 856 participants — including 263 women — participated in 15 factory - training sessions and 15 industry seminars . Although Better Work Haiti encourages the factories to send more women participants, the final choice remains the prerogative of the facto ries. Better Work Haiti will continue to raise the factories' awar eness about the increase participation of women in the training sessions. These sessions covered key topics such as workers' rights and responsibilities, effective communication, and the prevention of sexual harassment and gender - based violence. Additional ly, Better Work Haiti conducted a specialized workshop on sexual harassment prevention , attended by representatives from three factories and one non - governmental organization . Participants received training materials to help them sustain and strengthen workplace dialogue to resolve labo u r issues. Assessments and Advisory Services Better Work Haiti conducted three hybrid and five virtual assessments from July to December. During hybrid assessments , inspectors from the Ministry of Social Affairs and Labour ( MAST) were on site at the factory, while Better Work assessors participated online . However, security concerns in some parts of the metropolitan 1 4 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I area , made is difficult to access certain factories , preventing MAST inspectors from participating in some assessments. As a result, there was greater reliance on virtual evaluations , conducted via online meeting applications such as Zoom, Google Meet or Teams, as well as regular telephone communication or WhatsApp . . Additionally, technical communication challenges between factory staff and Better Work Haiti teams caused these assessments to take longer than expected. . Identified non - compliance issues were addressed in advisory sessions, where factories developed improvement plans, including training initiatives and corrective actions. In addition, Better Work Haiti conducted 40 advisory service visits to participating factories, focusing on:  Enhancing Occupational Safety and Health (OSH) management systems  Improvi ng human resources (HR) practices  Addressing industrial relations issues , such as employee dismissals Discussions also covered the impact of the country’s security situation on the garment sector. Workers expressed growing concerns about job losses and sou ght strategies to improve stability and security within the industry. TRIPARTITE PARTNERS AT THE SECTORAL LEVE L ENGAGE IN SUSTAINE D DIALOGUE THAT GENERA TES ACTION TO IMPROV E WORKING CONDITIONS AND WORKER WELL - BEIN G, INCLUDING FOR WOM EN WORKERS . At the sectoral level, tripartite partners engage in ongoing dialogue to drive action that enhances working conditions and promotes worker well - being, including for women. A capacity - building workshop was convened to support this effort, bringing togethe r key stakeholders to discuss strategies for fostering a fair working environment . The session, facilitated by industry experts, focused on practical solutions for addressing workplace challenges and promoting a violence and harassment - free workplace . Discussions also highlighted the broader impact of these initiatives, extending beyond the workplace into local communities. The workshop culminated in drafting a 1 5 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I sector - wide action plan, which will be reviewed by the Project Advisory Committee (PAC) befor e being shared with stakeholders for final feedback and approval. 1 6 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Special stakeholders' gathering highlight serious concerns. During this reporting period, the Project Advisory Committee (PAC) held several meetings to discuss key issues, particularly the renewal of the HOPE law. To advance this effort, members formed a subcommittee to develop a tripartite proposal submitted to the U.S. government to support the renewal of the HOPE/HELP trade agreement. The proposal outlined the specific roles of key st akeholders — government, employer representatives, and worker representatives — individually and collectively in addressing ongoing non - compliance issues within factories benefiting from the law. In the document, through the Ministry of Social Affairs and Lab o u r (MAST), the government commits to reforming the Labor Administration Directorate to align with ILO Convention No. 81. Additionally, it pledges to restructure the social security system, including the Office for Old Age Insurance (ONA) and the Office fo r Work - related Accident, Maternity, and Health Insurance (OFATMA). The government also commits to increasing labor inspections conducted by MAST’s inspectorate division and joint inspections in collaboration with ONA and OFATMA representatives. Employer r epresentatives, through the Association of Haitian Industries (ADHI) and worker representatives, commit to working toward a sector - wide collective bargaining agreement. They also pledge to collaborate with relevant state institutions to strengthen social d ialogue and to provide their members with guidance on the requirements of the HOPE/HELP Act and national and international labor standards. 1 7 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I GOVERNMENT INSTITUTI ONS SUCH AS THE MAST LABOR INSPECTORATE, ONA, AND OFATMA HAVE INCREASED ORGANIZAT IONAL CAPACITY TO PROVIDE ELIGIBLE SER VICES TO WORKERS. Better Work Haiti continues to collaborate with the Ministry of Labo u r and the Office of the Ombudsperson for the Textile Sector to strengthen its capacity to serve constituents effectively. Under the auspi ces of the Office of the Ombudsperson and with support from Better Work Haiti, the Ministry of Labo u r’s inspectorate division, along with representatives from ONA and OFATMA, held a series of high - level meetings to address challenges affecting service deli very and improve compliance with social security regulations. The discussions began with a two - day working session , in October 2024, led by the Ministry of Labo u r’s chief legal advisor, focusing on calculating social security contributions. Participants aligned on a standardized method for these deductions, ensuring consistency with the labo u r code and the legal framework governing social security contributions. Additionally, they clarified their roles and resp onsibilities as collecting agents, improving compliance with social security requirements across the sector. A follow - up meeting between the MAST Labo u r Inspectorate, ONA, and OFATMA centered on developing a collaborative framework for joint inspections in the textile sector. As a result, the group drafted a joint inspection plan targeting four factories in Port - au - Prince. While the initial plan included visits to the Northeast region, travel restrictions have temporarily postponed that portion of the initi ative. These efforts have yielded tangible results — more than 3,200 workers have received their health insurance cards from OFATMA, ensuring greater access to essential healthcare services. PROMOTING SOCIAL DIALOGUE IN THE GARMENT SECTO R. On August 26, 2024, a high - level workshop was held in Port - au - Prince under the theme: “Social Dialogue: An Essential Condition for Building Decent Work in the Clothing Industry.” Facilitated by the International Labour Organization (ILO) through the Better Wo rk Haiti program, this event brought together key stakeholders from the garment sector. The Office of the Ombudsperson for the Textile Sector, in 1 8 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I collaboration with national partners — including the Ministry of Commerce and Industry (MCI), the Ministry of So cial Affairs and Labor (MAST), central workers’ unions, and the Association of Industries of Haiti (ADIH) — as well as international partners such as the United States Department of Labor (USDOL) and the ILO, engaged participants in discussions on strengthen ing social dialogue. The workshop provided a platform for stakeholders to examine their role in addressing the current socio - economic challenges and fostering decent work in the sector. Participants identified key strategies to promote open, sincere, and i nclusive social dialogue through these discussions. The event also allowed stakeholders to explore solutions to the industry's pressing challenges. Following the workshop, social partners committed to advancing initiatives that reinforce social dialogue. The agenda include d :  Relaunching the social/regional dialogue table.  Reactivating the workshop to overhaul the Haitian Labour Code, finalizing and submitting it for stakeholder approval.  Seeking technical support from the ILO to encourage trade union participation in the Labour Code revision process.  Enhancing the capacity of social protection organizations such as OFATMA and ONA. 1 9 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Section IV: Compliance overview in the Haitian garment industry The overall trend of non - compliance in the Haitian garment industry This section presents a comprehensive overview of non - compliance findings from 23 factories that participated in assessments at least once between December 2023 and December 2024. The data contained within this repor t reflects the most recent assessment results for these factories. The overall non - compliance rate is calculated based on the total number of factories that exhibit non - compliance in at least one question within at least one compliance category. Between J uly and December 2024, Better Work Haiti conducted eight new assessments — five virtual and three hybrids — with support from Ministry of Social Affairs and Labour inspectors. Some factories were assessed later than originally scheduled due to temporary closur es for security reasons. Nonetheless, their factory tables will reflect any improvements made since previous assessments. Improvement plan verifications were conducted either through on - site visits or virtually via documentation requests during advisory se rvices, which included discussions with the bipartite committee representing both workers and management. Additionally, two factories have permanently closed and are not included in this report. The charts below delineate the non - compliance findings for th e 23 assessed factories, with non - compliance rates expressed as percentages. Acknowledging that these reports are generated biannually, despite annual assessments, results in issues documented across two consecutive synthesis reports. 2 0 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I 0% 0% 0% 39% 4% 0% 0% 0% 0% 52% 91% 13% 87% 48% 9% 0% 78% 74% 87% 96% 100% 83% 74% 4% 91% 65% 30% 74% 70% -5% 10% 25% 40% 55% 70% 85% 100% Child Labourers Documentation and Protection of Young Workers Hazardous Work and other Worst Forms Gender Race and Origin Religion and Political Opinion Bonded Labour Coercion Forced Labour and Overtime Prison Labour Collective Bargaining Freedom to Associate Interference and Discrimination Strikes Union Operations Method of Payment Minimum Wages/Piece Rate Wages Overtime Wages Paid Leave Premium Pay Social Security and Other Benefits Wage Information, Use and Deduction Contracting Procedures Dialogue, Discipline and Disputes Employment Contracts Termination Chemicals and Hazardous Substances Emergency Preparedness Health Services and First Aid OSH Management Systems Welfare Facilities Worker Accommodation Worker Protection Working Environment Leave Overtime Regular Hours Child Labour Discrimin ation Forced Labour Freedom of Association and Collective Bargaining Compensation Contracts and Human Resources Occupational Safety and Health Working Time Chart 1 - Non - compliance Rates by Compliance Point - Jan - Dec 2024 Non-compliance rate (n= 23) 2 1 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I SST findings highlight need for continued intervention The Occupational Safety and Health (OSH) cluster continues to be a priority for Better Work Haiti. Better Work Haiti continues to offer target ed training and industry seminars to factories , focusing its advisory services on the compliance points where the factories seem to struggle the most. Better Work Haiti also engages with the national stakeholders, particularly the social security apparatus, where their participation can positively influence the remediation process.  Health Services and First Aid : One of the compliance points in the OSH cluster that requires support from the government stakeholders , where their intervention c ould have a positive impact.  Onsite medical facilities and staff: The current data revealed that (83%) or 19 out of 23 factories do not have the required medical facility and staff. The non - compliance generally concerns the number of nurses as required by the L abor C ode, even though the clinic may exist within the factory. There is a particular case in the Northeast where the industrial park has a medical facility. However, most of factories do not have a medical facility and staff within their individual build ings. Furthermore, with its current staffing, the park’s facility does not have enough staff according to the labor code.  First aid boxes: While all factories have enough first aid boxes on the floor, the non - compliance stems from the inventory of supplies. The current data show a non - compliance rate of 65% ( 15 factories ) . The main concern is that the first aid boxes do not have all the supplies listed in their inventory sheet. Although the factories generally assign a person who is responsible to monitor the inventory on a weekly basis, there is often a lack of follow up to ensure that all the supplies listed are present in the first aid boxes .  Free Health checks for Workers Exposed to Work - related Hazard: Workers who are conti nuously exposed to chemical and hazardous products are entitled to free medical checks every six months. This health check should be provided by the government when the factory pays for 2 2 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I the health card , or Carte de Sant é in French (CDS). We found that seve ral factories did not pay for the health card and thus do not request OFATMA to perform the medical check. There is also the fact that OFATMA itself often fails to respond to factories’ request for health services to be performed. Currently the data show a 65% non - compliance rate.  Free Medical Checks : Workers are also entitled to receive free medical checks within the first three months of hiring , as well as free annual medical checks. These checks are also supposed to be performed by OFATMA when the factory pays for the health card. However, several factories provide the medical checks to their workers without OFATMA support. The data shows that 3 9% of factories do not provide the health check within the first three months of hiring, while 43% do not provide the free annual check.  First Aid training: Employers are recommended to provide first - aid training to at least 10 percent of the workforce. Th e data shows that 9 out of 23 factories ( 39% ) are non - compliant under this question.  Emergency preparedness is an essential aspect of compliance within the Occupational Safety and Health (OSH) cluster, which includes eleven questions. Given the current rates of non - compliance, addressing this area presents an opportunity for improvement. For instance, the issue of emergency exits and escape routes has the highest non - compliance rate at 78%. This indicates a potential area for focus and enhancement. Similarly, the question related to the availability of adequate firefighting equipment show a non - compliance rate of 57%. Moreover, the accessibility of exit doors during working hours, with a non - compliance rate of 50%, reflects another area where organizations can make meaningful adjustments. On a positive note, the question related to storing flammable materials has achieved a commendable non - compliance rate of 0% in the last reporting period. By addressing the challenges in emergency p reparedness, organizations can create a safer work environment and ensure compliance. 2 3 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I The following chart outlines the questions in the Health Services and First Aid compliance point and the non - compliance rate for each question. 83% 65% 65% 43% 39% 39% 0% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Does the workplace have required onsite medical facilities and staff? Has the employer ensured there are a sufficient number of readily accessible first aid boxes/supplies in the… Do workers who have been exposed to work-related hazards receive free health checks? Do workers have annual medical checks? Has the employer provided first-aid training for workers? Do workers receive the health cards within the first 3 months of hiring ? Does the employer address safety and health risks to pregnant or nursing workers? Non - compliance Rate for Questions in the 'Health Services and First Aid' Compliance Point 2 4 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I OSH as Fundamental Principle and Right at Work (FPRW) The Declaration on Fundamental Principles and Rights at Work (1998) was amended in 2022 to add a safe and healthy working environment as a fundamental principle and right. 5 As a result, the Occupational Safety and Health Convention, 1981 (No. 155) and the Promotional Framework for Occupational Safety and Health Convention, 2006 (No.187) are now considered as fundamental conventions . The obligation to respect, promote and realize the four fundamental principles and rights at work arises from a member state’s membership in the ILO, regardless of whether they have ratified the ILO’s fundamental Conventions . Better Work conducts factory assessments using a Compliance Assessment Tool (CAT) tha t is alig n ed with core labour standards and national law. Where national law either fails to address or lacks clarity around a relevant issue regarding conditions of work, Better Work establishes a benchmark based on international standards and good practices. Better Work assesses the Fundamental Rights at Work in line with the fundamental conventions, even if not ratified by the country in question. National laws remain relevant, but the minimum acceptable standard is aligned to the fundamental conventions if a country’s law has been determined to fall below the principles and rights in a fundamental convention. 6 5 Previously, the fundamental principles and rights at work and their corresponding fundamental, or core, conventions included:  freedom of association and the effective recognition of the right to collective bargaining (Conventions 87 and 98);  the eliminati on of all forms of forced or compulsory labour (Conventions 29 and 105);  the effective abolition of child labour (Conventions 138 and 182);  the elimination of discrimination in respect of employment and occupation (Conventions 100 and 111) 6 These determinations are made based on comments of the ILO supervisory bodies, and in particular the Committee of Experts on the Application of Conventions and Recommendations, and in consultations with the International Labour Standards Department (NORME S). 2 5 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I In consultation with the NORMES department, Better Work has drafted revisions to the OSH cluster of the CAT. The programme has not ye t implemented these revisions to allow time for factories to be informed of the changes. With OSH becoming a fundamental right at work, Better Work plans to work with constituents, brands and donors, and identify more effective strategies to address persistent OSH non - compliance issues. Possible approaches include an incre a sed focus on OSH risks as zero tolerance issue s . In addition, when looking at the root causes of OSH non - compliance issues, Better Work will focus both inside and beyond the factory to ensure that parties outside the factory who contribute to OSH issues are engaged to identify sustainable solutions , i ncluding, for example, the industrial park authorities.  Compensation priorities: The data compiled for the compensation cluster clusters reveals persistent non - compliance in certain areas despite improvements . Recognizing these challenges, Better Work identified a group of factories in the Northeast facing similar issues related to compensation and conducted Training of Trainers (ToT) sessions to equip factory personnel with the necessary knowledge and skills to improve compliance. Below , we will delve deeper into areas of persistent non - compliance, explicitly focusing on overtime wages, paid leave, and social security benefits, to assess factory progress toward full compliance.  Overtime Pay Discrepancies: 43 % of factories were found to be incorrectly compensating workers for overtime work after 6 PM. Workers receive the incorrect overtime pay because the overtime rate is not being applied to their correct base salary. Better Work believes that the ToT training brings cl arity to managers and forecasts a positive impact on this compliance point for the upcoming period. Nevertheless, the programme noticed the need to continue supporting factories to implement sustainable practices, address special situations, and enhance their p ersonnel’s knowledge . 2 6 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I  Paid Leave Shortfalls: The data revealed that the overall non - compliance rate related to paid leave is 91%. However, the non - compliance rate for each question is between 52% and 63%, with the question related to the correct payment o f weekly rest days being the highest. Our data indicate that those 12 factories incorrectly paid for the weekly rest day based on minimum salary , 52% of factories incorrectly paid both sick and maternity leave, and 57% paid for annual leave incorrectly .  During this reporting period, 74 % of the factories did not collect and forward the appropriate contributions to OFATMA for maternity and health insurance . Meanwhile, 70 % were non - compliant regarding contributions to ONA. However , this time , a lower p ercentage of the factories (48%) failed to pay for OFATMA work - related accident insurance properly. Non - compliance related to OFATMA and ONA payments often results from deducting contributions based on the minimum salary instead of the basic salary, which includes all types of earnings, s uch as production quota, except for overtime. There are also cases where factories sent payments to ONA or OFATMA late. Some factories only contribute the employers’ portion to OFATMA for maternity and health insurance and do not deduct and send the worker s’ contribution to OFATMA, hence the non - compliance. T he data also revealed that 30 % of factories did not correctly pay workers the annual salary supplement or bonus because it was not based on their average daily earnings. 2 7 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Section V: Core labour standards non - compliance findings of the reporting period FREEDOM OF ASSOCIATION: VIOLATIONS OF COLLECTIVE BARGAINING AGREEMENT Better Work did not find any evidence of core labour standard violations during the assessments at the factories. However, Better Work advisors received two complaints from dismissed union workers during the period. The complaints were thoroughly investigated, and the findings were shared with the factories. FREEDOM OF ASSOCIATION: FREEDOM TO JOIN A UNION. According to the investigation of Factory 1, one union member was terminated shortly after the union coordinator submitted a list of new member s to the administration of the park. According to the factory, th ey were unaware that the worker was a union member because they had not received the new list from the park’s administration or other forms of communication, such as a WhatsApp group message often used to communicate with factory managers. The factory clai med th ey terminated the worker for leaving work without authorization one day and his past disciplinary record. The worker explained that he left because he had received information from the supervisors that they would work half a day. In fact, according t o time records reviewed by Better Work advisors, 22 workers had left early that day. The union member was the only one dismissed. Better Work Haiti found that the dismissal was not justified . Better Work recommends that the employer reinstates the union member with compensation for lost wages and develops comprehensive disciplinary and termination policies and procedures. At the time of this report , we had no evidence that the factory took appropriate action . Better Work Haiti received a complaint from a n executive member of a union from Factory 2. The union member claims he was dismissed because he 2 8 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I reported to the Office of the Ombudsperson f actory management ’s arrangement s for workers to come to work to complete their quota on a Saturday without compensation for that day’s work. One of t he factory’s representatives said he was terminated because he spread falsehoods about the factory. A nother said that the reasons for the termination of the union executive member are various, such as inappropriate behaviour , verbal threats , arrogance , and unjustified absences Better Work found that the union member’s termination is disproportionate to his behaviour , especially given that it occurred shortly after he contacted the Office of the Ombudsperson , which is legitimate trade union activity. Better Work recommends that the factory reinstate the terminated union member with compensation for back pay and engage in dialogue to find mutually agreeable arrangements for the executive committee member to perform union activities. 2 9 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Section VI: Better Work Key Activities Toward Sustainability This section provide s an update on the key training activities carried out by Better Work Haiti from July to December 2024. Due to the local context, Better Work Haiti delivered these training services mostly virtually per its mandate under the Hope II law. Nevertheless, s ome training sessions were conducted virtually and in person for factories in the northeast. TRAININ G During the reporting period, the programme delivered a comprehensive range of training initiatives, including 15 training sessions , 15 industry seminars , and workshops. A key focus was placed on enhancing occupational safety and health through training modules on emergency preparedness, chemical management, and risk management and control, with the aim of urging factories to address the related non - compliance issues . An industry seminar on emergency management, attended by 12 factories and 90 participants ( including 27 women ) provided a comprehensive overview of emergency preparedness beyond fire evacuation. Participants gained valuable insights into the essential components of effective emergency preparedness procedure and their critical importance within the factory. By the end of the training, the participants were equipped with the knowledge necessary to understand the scope of emergency preparedness, assess the main emergency risks within their respective factories , and recognize the crucial role of proper emergency procedures in preventing human casualties , minimizing property damage which can have significant legal and financial consequences for the factory.  Chemical Management : An industry seminar on chemical management systems was conducted, engaging 75 participants, including 20 women, from seven factories. Notably, representatives from the Office of the Ombudsperson and inspectors from the Ministry of Social Affairs and 3 0 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I Labo ur (MAST) participated. The seminar aimed to equip participants with practical tools and best practices for effectively handling chemicals to be shared with other personnel at their respective workplaces. Participants gained valuable knowledge on proper ch emical storage, labelling procedures, and using Material Safety Data Sheets (MSDS). The seminar also emphasized strategies for preventing chemical exposure.  Risk Management: Better Work Haiti's training team conducted an industry seminar on risk management and control. This training focused on equipping participants with the knowledge and skills to identify and mitigate potential workplace hazards before they occur proactivel y . The training module incorporated practical templates and activities to strengthen participants’ knowledge of core principles of risk management that can be readily implemented in the workplace. 32 workers and managers, including six women, participated in this valuable training session.  Labour Law Training of Trainers (ToT): Better Work Haiti conducted a three - day Training of Trainers (ToT) program on labour law for factories in the Northeast. The training curriculum encompassed key areas such as Human Resources and contract management, compensation and working time, and an introduction to international core labour standards. The target audience for this training comprised HR managers and compliance managers within the factories. Upon completing the trai ning, participants were equipped to replicate the training within their respective factories based on the training plan developed during the sessions. A total of 24 participants, including 12 women, successfully completed the three - day program. COLLABORAT ION WITH THE GOVERNMENT  Taxation Training: In collaboration with the Ministry of Finance, through the General Directorate for Taxes (DGI), Better Work Haiti facilitated two training sessions in the Northeast. These sessions focused on educating participants on various types of taxes levied on both workers and employers, including methods for calculating and withholding these 3 1 2 8 T H C O M P L I A N C E S Y N T H E S I S R E P O R T U N D E R H O P E - H A I T I taxes. The training emphasized the fiscal responsibilities of enterprises as outlined in the fiscal code. The first session, attended by 28 participants (including 11 women) f rom eight factories, the CODEVI industrial park, and representatives from ONA and OFATMA, targeted financial officers and accountants. The second session focused on factory - level union representatives . It had 31 participants (including two women) and repr esentatives from ONA and MAST.