New initiative launched to promote responsible business conduct and decent work in Lao People's Democratic Republic

© Keomani Sipaseuth/ILO

VIENTIANE, Lao People's Democratic Republic (ILO News) – The International Labour Organization (ILO) has launched a new initiative in the Lao People's Democratic Republic aimed at promoting decent work through responsible business conduct and sustainable enterprises. This initiative, which is funded by the Ministry of Economy, Trade and Industry of Japan, underscores the importance of responsible business practices in driving inclusive and sustainable economic growth in the country.

In collaboration with the Ministry of Labour and Social Welfare (MOLSW), the ILO introduced the Lao People's Democratic Republic’s component of the "Building Responsible Value Chains in Asia through the Promotion of Decent Work in Business Operations (Phase II)" project on 20 January 2025 in Vientiane Capital. The launch event saw the participation of senior representatives from the Ministry of Labour and Social Welfare, Lao National Chamber of Industry and Commerce, Lao Federation of Trade Unions, the Embassy of Japan, the ILO, and other key stakeholders.

“Promoting the labour component of responsible business conduct and human rights due diligence to achieve decent work in supply chains is a key aspect of the government’s policies on labour management and business practices. This approach focuses on upholding the principles of responsible business conduct and monitoring labour-related policies to promote decent work in supply chains and foster an enabling environment for workers”, said Phongsaysack Inthalath, Vice Minister of Labour and Social Welfare. 

Funded by the Ministry of Economy, Trade and Industry of Japan, this two-year project aims to enhance compliance with national laws and international labour standards while fostering sustainable enterprises in the country. 

Toshimichi Koga, First Secretary at the Embassy of Japan, said: "Japan is committed to fostering responsible business practices in Asia. In collaboration with the ILO, we are engaged in projects aimed at improving local labour conditions and enhancing skills development, thereby promoting industrial development and responsible business conduct in the region in a mutually reinforcing way.”

"Today marks the official launch of this meaningful initiative, which aims to promote responsible business conduct and contribute to decent work in the Lao People's Democratic Republic. We extend our sincere thanks to the Government and the people of Japan for their invaluable support of the project,” said Viengprasith Thiphasouda, ILO National Coordinator in the Lao People's Democratic Republic. 

Building on the success of Phase I, this new initiative is part of a larger regional programme that includes India, Japan, Lao People’s Democratic Republic and Malaysia and will be guided by the ILO MNE Declaration, which offers practical recommendations for governments, businesses and workers to promote decent work and sustainable enterprises.