Bolivia - Labor

The total employment was 2.5 million in 2002. In 1996, the labor force consisted of 18% in manufacturing, 2% in agriculture, 20% in commerce, and 10% in construction. Total unemployment was officially estimated at 7.6% in 2000, with a large number of workers underemployed.

Workers may form and join unions, but the labor code undermines the effectiveness of this right. The government must authorize a union, may dissolve a union, and must confirm the legitimacy of elected officers. Workers, however, are generally not penalized for union activity. The Bolivian Labor Federation theoretically represents all workers, but only one half of the employees actually belong. Strikes are prohibited in public services, although some strikes were initiated and workers were not penalized.

The law prohibits child labor under age 14, but this is generally ignored. Approximately one in four children between the ages of seven and 14 were employed in some way as of 2002. The minimum wage is subject to annual negotiation and in 2002 was set at $59 per month. This does not provide a decent standard of living, and most workers earn more than the minimum. However, the minimum wage does not cover the 30% of workers in the informal sector. The workday is set at eight hours a day with a maximum of 48 hours per week, but this is not effectively enforced.