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1. The Committee notes the Government's report for the period ending June 1998 containing detailed information in response to its direct requests of 1997. The Committee notes that, while the Government's macroeconomic policies are proving to be effective, at the same time a significant proportion of workers (25-30 per cent), are still in precarious employment, i.e. in low productivity jobs, without contracts or with temporary labour contracts, and with little access to social security. The information sent by the Government shows that, although unemployment has remained constant (with higher rates for women and young people), the vulnerability of the Chilean labour market due to the precarious employment conditions of a large proportion of workers is a source of concern. The Committee would therefore be grateful if in its next report the Government would supply the information required by the report form for the Convention on the measures adopted to meet fully the demand for jobs among disadvantaged categories of workers such as women, young people, workers in precarious employment and workers affected by restructuring, who for years have encountered difficulties in finding lasting employment. The Committee would also appreciate information on whether employment objectives have been set in the government plans and programmes currently being implemented and specify the employment policy measures which have been devised and will be implemented in future development plans and programmes (Article 1 of the Convention). How the effects on employment of measures taken to promote economic development or other economic and social objectives are given due consideration should be noted (Article 2).

2. The Committee notes the adoption of Act No. 19518 amending the Training Statute. The Committee notes that the most important innovations of the new statute are aimed at broader coverage and more focused productive training policies, the establishment of the National Training Fund administered by the National Training and Employment Service (SENCE) and the creation of tripartite mechanisms for participation, such as the National Training Council. Please continue to supply information on the results obtained by the programmes implemented by the SENCE with a view to lasting employment for workers during periods of adjustment.

3. The Committee requests the Government to continue to provide information on lasting employment generated under the various plans and programmes mentioned in the report and to promote equal opportunities for women, vocational training for young people and small enterprises. The Government may find it useful to consult the provisions of the Job Creation in Small and Medium-Sized Enterprises Recommendation, 1998 (No. 189).

4. Article 3. The Committee notes the information on the events organized by the regional productive development forums. The Committee again recalls that the consultations required by this provision of the Convention should cover all aspects of economic and social policy which affect employment, and in addition to representatives of employers and workers, should involve representatives of other sectors of the economically active population, such as those working in the rural sector and the informal sector. The Committee asks the Government to provide more detailed information on how their experience and views are taken fully into account, how their full cooperation is secured and how the necessary support of the social partners is enlisted in formulating the employment policy, as required by this important provision of the Convention.