Article 22 – Freedom of Association Operation of Associations 155. According to Article 2 of the NGO Act (1/2003) it is mandatory for organizations to be registered in the country. In addition, the Article 37 of this Act states that it is at the discretion of the registrar to impose a penalty of any amount not greater than MRF 500 (US 32.42$) on such organizations that do not comply with the Act. Moreover, those who fail to register organizations would be imposed a penalty of 2 to 5 years imprisonment, banishment or house arrest. 156. In order to facilitate the Freedom of Associations, it is imperative that State remove the requirement for mandatory registration of associations. Establishment of Trade Unions and Challenges in exercising the right to Collective Bargaining 157. The present Constitution includes a chapter of fundamental rights and freedoms, which guarantees freedom of association. On April 15, 2009, the Maldives has reaffirmed its commitment to protect the trade unions and comply with international labor standards, by becoming a member of ILO. However, 3 years after becoming a member, the Maldives is yet to become party to the core ILO conventions. 159. Focus group discussions held with different associations revealed that its members remain intimidated to disclose their membership to employers. One association expressed discontent, claiming that the Ministry of Home Affairs initially rejected its registration at the request of the Ministry of Human Resource Youth and Sports. However, the Ministry of Home Affairs denied rejecting registration of any association in general. Another concern expressed by associations operating as unions include limited opportunity given by government authorities in voicing out the rights of employees even though the government accepts establishment of unions. However, unions lack the opportunity to represent the employee and participate in the mediation process during dispute resolution. Chapter: Article 22 – Freedom of Association 158. While monitoring implementation of the recommendations put forward by HRCM on its Rapid Assessment of the Employment Situation in the Maldives (2009), it was observed that some progress towards drafting a law on Industrial and Labor relations has been made. In the absence of trade unions, at present it is merely workers’ associations that undertake the roles of the trade unions. Since workers’ associations are registered under community organizations, , the legal gap in defining the functions and mandate of associations remain an obstacle, especially when associations play a key role in defending employees’ rights during the times of negotiation with employers.66 61