Skills Development and Responsible Business Conduct

Key industry facts

• Relatively small but nationally prioritised industry
• Heavy domestic market focus, but with aspirations for GSC integration
• Key products: Home appliances (local), digital electronics (joint ventures) and computers
• Key foreign investors: Japan, Republic of Korea, Singapore and increasingly China
• 260.000 workers, 64 per cent female in computer, electric and optical products and 40 per cent female in electrical equipment (2019)
• US$7.8 billion total export value
• 13.5 per cent Share of total Foreign Direct Investment (2017)

Project objective

The “Skills Development and Responsible Business Conduct” project aims at supporting a human-centred recovery from recent disruptions in the global supply chains. The project carries three main objectives:

1. to provide skills development to enhance workers’ responsiveness and productivity for structural transformation to a sustainable economy, including respect for human rights, which is consistent with the country’s development;
2. to promote responsible business conduct (RBC), including corporate activities in harmony with the country’s development priorities, and respect for the principles of international labour standards; and
3. to promote an environment to contribute towards a transition to resilient supply chains from the perspectives of trade and investment.

The project will focus on following sectors and countries:

• Automotive industries in Thailand
• Electrical & Electronics in Indonesia

The project will rely on the ILO instruments and relevant approaches from past experience to assist governments, employers and workers in selected supply chains and countries to increase job opportunities in higher value-added industries, as well as to promote responsible business practices in line with international labour standards and in harmony with the country’s development priorities. The project will be conducted with a collaboration among significant stakeholders at the different levels of supply chains. Workers (and their representative organisations) and managers at the enterprise level will be empowered through occupation-based reskilling and upskilling training and will be supported to enhance social dialogue and industrial relations, which in turn will contribute to improved working conditions and overall enterprise performance and productivity following the structural transformation of the economy.

Expected outcomes

Outcome 1: Enhanced capabilities of ILO constituents to increase job opportunities in higher value-added industry by skills development to enhance workers’ responsiveness and productivity for structural transformation to a sustainable economy, including respect for human rights, which is consistent with the country’s development priorities.

Outcome 2: Stronger institution and tripartite collaboration to promote responsible business conduct and respect for the principles of international labour standards, and corporate activities in harmony with the country’s development priorities

Outcome 3: (Japan) Enabling environment in policy and practice towards a transition to resilient value chains from the perspective of sustainable and inclusive trade and investment

Project partners

• Ministry of Manpower & other ministries/agencies
• Industries, Employer & Business Membership Organizations (EBMOs)
• Trade unions
• Japanese constituents and industry stakeholders

Target beneficiaries

• Industries, employers and workers
• Policy makers
• Training Institutions

For further information please contact:

Dede Sudono
National Project Coordinator
Email: sudono@ilo.org