This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS SECTION 01 OF 03 QUITO 002448 
 
SIPDIS 
 
DOL/ILAB FOR TINA FAULKNER, DRL/IL FOR MARINDA HARPOLE 
 
E.O. 12958: N/A 
TAGS: EIND ELAB ETRD PHUM SOCI EC
SUBJECT: ECUADOR CHILD LABOR UPDATE 
 
REF: A. SECSTATE 163453 
 
     ¶B. 03 QUITO 02567 
 
 ¶1.  (U) Summary.  Child labor remains a major problem in 
Ecuador.  However, the GoE, NGOs and other institutions are 
taking steps to combat worst forms of child labor in Ecuador. 
 More clearly needs to be done, particularly in the 
enforcement of child labor laws and the rehabilitation of 
child laborers.  This cable provides an update on child labor 
information in Ecuador, as required for Trade and Development 
Act reporting requirements (Ref A), and updates our previous 
report (Ref B).   End Summary. 
 
The Problem 
---------------- 
¶2.  (U) According to a study released by UNICEF in March 
2004, 755,753 children work full-time in Ecuador. 
Thirty-nine percent of these children do not attend school. 
Of these, UNICEF estimates that 44% of these children began 
working between ages 10 and 14 and 70% do not reach secondary 
school.  At least 71% live in rural areas, and work in 
agriculture.  Sixty-six percent of children in Ecuador live 
in poverty.  Geographically, 65% live in the Sierra, 25% on 
the coast and 10% in the Amazon region.  Minister of Labor 
Izurieta told a visiting US labor delegation on September 1 
that his Ministry's estimate for child labor is much lower, 
around 300,000.  Union representatives, meanwhile, put the 
number at 1.2 million. 
 
New Child Labor Division Created 
-------------------------------- 
¶3.  (U) In July 2004, the Ministry of Labor created a 
Division for Child Labor comprised of three officers, 
augmenting the previous single position for Child Labor, 
which was also responsible for International Affairs.  The 
Division meets at least monthly with the MOL and the 
inter-agency National Committee for the Progressive 
Eradication of Child Labor. 
 
Inspections 
----------- 
¶4.  (U) On May 25, 2004, the MOL hired eighteen new child 
labor inspectors, bringing the total nation-wide to 19.  Each 
inspector is assigned to a different province.  The MOL told 
a visiting U.S. delegation on September 1 that three 
inspectors would soon be hired to meet the GoE's legal 
requirement for at least one child labor inspector in each of 
Ecuador's 22 provinces.  The monthly salary of a child 
inspector is approximately $460. 
 
¶5.  (U) According to ILO/IPEC, the inspectors have found 500 
child laborers in the field.  According to the MOL, a member 
of civil society always accompanies each inspector as a check 
against corruption.  Currently, inspections are directed 
mostly at the larger banana plantations of over 30 hectares. 
Some employers reportedly fire child workers when they hear 
that inspectors are coming. 
 
¶6.  (U) On August 18, 2004, the MOL held a one-day workshop 
for child labor inspectors.  Sixteen inspectors attended; 
some reportedly paid their own transportation expenses to 
attend.  A ninety-page inspection manual developed by UNICEF 
and the government-supported Institute for the Child and 
Family (INNFA) was distributed and reviewed with the 
inspectors.  The manual targets inspections in the banana 
sector, and also has a section on issues specific to the 
growing cut-flower sector. 
 
¶7.  (U) Inspectors lack adequate budgetary support for 
offices, computers and transportation.  Currently, INNFA is 
loaning the MOL some offices and cars for use by the 
inspectors.  Banana plantation owners also occasionally 
provide transportation.  While inspections are not announced, 
employers can suspend the use of their vehicles at will, and 
did so in June.  Therefore, most child labor inspections are 
carried out in urban areas, where public transportation is 
available.  The MOL claims more money will be allocated for 
inspections in the 2005 budget proposal. 
 
¶8.  (U) Nation-wide the budget for child labor is $465,000. 
Of this amount, $300,000 went to the Ministry of Social 
Welfare and still has not been spent, $25,000 to the MOL, and 
$140,000 is for the inspectors' salaries.  According to the 
MOL, it has received only $16,000 of the $25,000 allotment. 
 
¶9.  (U) Meanwhile, INNFA receives $3.5 million to work with 
25,000 children.  Part of INNFA's work has been to address 
the problem of child labor in the flower sector.  In the 
cut-flower sector, there has been an intensification of the 
information and awareness campaigns.  INNFA has provided 
information on child labor to all the major flower producers 
(about 400), and believes the incidence of child labor in 
this sector is decreasing. 
 
New ILO/IPEC Program Launched 
----------------------------- 
¶10.  (U) The ILO/IPEC program began a child labor Time-Bound 
Program (TBP) in October 2003.  They have conducted guideline 
studies of the banana, flower, construction, commercial sex 
exploitation of minors, trash and mining sectors.  The ILO 
provides $2 million dollars in funds for the 3-4 year TBP; 
this amount is matched by the Ecuadorian government.  Action 
plans for each sector aim to get children out of work and 
back in school.  IPEC will work with the MOL, NGOs and the 
inspectors to meet this goal.  The ILO's mining program ended 
in March 2004 so mining will not be included in the TBP. 
 
USDOL Program 
----------------- 
¶11.  (U) USDOL Bureau of International Labor Affairs has 
awarded a $3 million project to Catholic Relief Services to 
improve access to quality education in Ecuador as a means to 
combat child labor.  The program will target children and 
adolescents ages 5-15, giving special attention to at-risk 
groups including girls and indigenous children. 
 
Child Worker Program 
---------------------------- 
¶12.  (U) The Child Worker Program funded by the Central Bank 
of Ecuador, has developed a workshop program called "Panita" 
which meets three times a week to promote civic values and to 
work with families and schools on the issue of child labor. 
There are Panita centers in Quito, Guayaquil, Ambato, Lago 
Agrio and Porto Viejo.  In addition, the Child Worker Program 
is also planning a community ombudsman program to hire a 
community group to receive and act on reports of child labor. 
 A similar program has been successful for domestic child 
abuse in 300 communities.  The Central Bank provides $200,000 
annually for the Child Worker Program in Quito and ten other 
cities. 
 
Rehabilitation 
------------------ 
¶13.  (U) The Ministry of Social Welfare received $300,000 
from the national budget in 2004 for scholarships, 
professional development, and community workshops to combat 
child labor.  However, the Ministry has yet to spend this 
money.  Meanwhile, Bell South provides scholarships to 500 
children a year through its School Insertion Plan, to help 
defray fees that discourage school attendance. 
 
Legal Issues 
------------ 
¶14.  (U) The labor code needs to be harmonized with the Code 
for Children and Adolescents (passed by Congress in December 
2002), which sets higher standards.  The Child and 
Adolescents Code raised the fine for child labor violations 
to $200 to $1000; the Labor Code fine remains 50 sucres.  The 
minimum work age is 12 for work as domestics or artisans, and 
14 for all others, while in the Child Code it is fifteen for 
all.  In September, the National Committee for the 
Progressive Eradication of Child Labor will be making this 
Labor Code reform proposal to Andres Paez, head of the Labor 
Commission in Congress and will follow up with lobbying. 
 
Comment 
----------- 
¶15.  (SBU) While disparities exist on the extent of the child 
labor problem, the GoE took some positive steps to combat 
child labor this year.  Still, more needs to be done.  While 
some laws have been improved, enforcement is still lacking. 
Ministry of Labor inspectors clearly need more resources and 
training to carry out their duties.  Also, more needs to be 
to done to rehabilitate former child workers, particularly by 
the Social Welfare Ministry, which has not spent funds it has 
for this purpose.  Finally, labor code reform is necessary to 
bring the code into agreement with the Code on Children and 
Adolescents.  We will report SepTel on prospects for labor 
code reform and progress in child labor inspections in the 
banana sector, as reported to the recent U.S. FTA labor 
delegation. 
KENNEY