Financial Crime World

Garment Sector in Haiti: Compliance Trends and Challenges

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Despite the challenging environment in Haiti, the garment sector has continued to operate, albeit with difficulties. Better Work Haiti has been working with participating factories to ensure compliance with social insurance contributions and other labor laws.

Social Insurance Contributions

It is crucial for all workers to pay their social insurance contributions to ONA (National Office of Social Affairs) and OFATMA (Office des Assurances Sociales pour les Travailleurs et les Indépendants). Employers are also required to contribute 3% of the worker’s basic salary. Better Work staff have noted a growing awareness among factories about the need to comply with social security regulations.

A recent analysis of compliance trends in Haiti’s garment sector from 2009-2022 has revealed areas where improvement is needed. These include:

  • Occupational health and safety
  • Emergency preparedness
  • Working environment

The study found that non-compliance rates have increased in these areas.

Challenges Faced by the Garment Sector

The garment sector in Haiti faces significant challenges due to the deteriorating security situation. Gangs control large parts of the country, disrupting economic activity and creating an unstable environment for businesses to operate. This has led to difficulties in:

  • Collecting social insurance contributions
  • Ensuring compliance with labor laws

Lessons Learned

Despite these challenges, factories that have consistently engaged with Better Work Haiti have shown progress in improving working conditions and upholding national law and international standards. The lessons learned from this analysis highlight the importance of continued engagement and redoubled efforts to improve working conditions and achieve a sustainable garment sector.

Support for Better Work Haiti

Better Work Haiti is supported by:

  • United States Department of Labor
  • Australia
  • Denmark
  • European Commission
  • Germany
  • Netherlands
  • Switzerland
  • United States

These organizations provide funding and technical support to help improve working conditions in the garment sector.