CMNT_TITLE

Employment Policy Convention, 1964 (No. 122) - Slovenia (RATIFICATION: 1992)

Other comments on C122

Observation

Direct Request

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Articles 1 and 2 of the Convention. Employment trends and implementation of an active employment policy. The Committee notes with interest the adoption in April 2018 of the National Reform Programme (NRP) of 2018, in the framework of the economic and budgetary policy: the “European Semester”. The Government indicates in the NRP that amendments to the Labour Market Regulation Act were introduced in 2017 with the aim of further improving the functioning of the labour market. In particular, the amendments focus on the effective activation of older persons, the less educated, young persons and long-term unemployed persons. The Committee further notes that the Slovenian Development Strategy 2030 was adopted in December 2017 following consultations with employers’ and workers’ organizations. The Strategy’s objectives include, inter alia, maintaining an inclusive labour market and creating quality jobs. In 2015, the Government launched Guidelines for Active Labour Market Policy Measures (2016–20). The Guidelines identify the key target groups to be reached through active labour market policy measures: the long-term unemployed, older workers, the less educated and young persons. The Committee further notes the detailed information provided by the Government concerning the impact of the Active Labour Market Policy (ALMP) measures implemented between 2015 and 2017. In this regard, the Government reports that, according to the Annual Report on Labour Market Measures of the Public Employment Service (PES), between 2015 and 2017, 68,384 unemployed people participated in ALMP activities, 46,280 of whom (68 per cent) secured employment. With regard to employment trends, the Committee notes that, according to the “2019 European Semester: Country Report on Slovenia” (the 2019 European Semester report), the country’s robust economic growth in recent years has also strengthened the labour market. The employment rate for 20- to 64-year-old workers increased from 70.1 per cent in 2016 to 73.4 per cent in 2017 and the national unemployment rate declined from 8 per cent to 6.6 per cent. During the same period, the economic activity rate increased from 76.2 per cent to 78.6 per cent. The 2019 European Semester report points out, however, that the share of temporary contracts was 14.6 per cent, higher than the European Union (EU) average of 11.3 per cent. In addition, the share of involuntary temporary employees was 9.4 per cent in 2017, above the EU average of 7.8 per cent. Moreover, the share of employees in precarious employment (where the length of the employment contract did not exceed three months) was 5.1 per cent in 2017, more than double the EU average of 2.3 per cent. The Committee requests the Government to continue providing up-to-date, detailed information on the nature and impact of measures taken to achieve the Convention’s objectives, indicating the manner in which the measures taken have assisted the beneficiaries in securing full, productive and sustainable employment. In addition, please provide information on measures taken or envisaged to reduce the share of precarious employment. The Committee also requests the Government to provide updated statistical information, disaggregated by sex and age, on the development of the labour market, particularly on the rates of the economically active population, employment and unemployment, and the size and distribution of the informal economy.

Long-term unemployed persons. In response to the Committee’s previous comments, the Government reports that, according to statistical information provided by the PES, the share of registered long-term unemployed persons remains high (representing 53.4 per cent of total unemployment in 2016 and 53.3 per cent in May 2018). It adds that high rates of persistent long-term unemployment are most often linked to lower education (33.9 per cent of registered unemployed persons as of May 2018) and age (51.1 per cent were older unemployed persons). The Government adds that, in 2017, 56 per cent of the participants in the ALMP programmes were long-term unemployed persons. The Committee notes the range of measures adopted by the PES with the aim of facilitating the reintegration into the labour market of long-term unemployed persons, including provision of individualised career advice, assessment of the situation of the unemployed person after 12 months of continuous unemployment, provision of training to help the long-term unemployed acquire skills needed in the labour market, and subsidies for employers who employ long-term unemployed persons. In addition, following the introduction of amendments to the Labour Market Regulation Act in 2017, it is now mandatory for persons to sign on to the register of jobseekers even during the notice period prior to the end of their employment contract, in order to be eligible to participate in ALMPs. The objective of this requirement is to accelerate the re-entry of such persons in the labour market and, if possible, avoid the risk that they will remain unemployed over the longer term. The Government points out that failure to register as a jobseeker during the requisite period results in a reduction of the unemployment benefit during the first three months of unemployment, from 80 per cent to 60 per cent of the worker’s average salary. The Committee requests the Government to continue to provide updated, detailed information on the nature and impact of measures taken to support and facilitate the reintegration of long-term unemployed persons into the labour market. The Committee also requests the Government, to provide an assessment, in collaboration with the social partners, of the impact of the measures taken to support the return to the labour market of the long-term unemployed.

Older workers. In reply to its previous comments, the Committee notes the Government’s indication that the employment rate of workers between the ages of 55 and 64 rose from 35.4 in 2014 to 38.5 per cent in 2016. Nevertheless, the Government reports that the employment rate of older workers remains one of the lowest among the EU countries. At the end of May 2018, older unemployed persons (those above 50 years of age) represented 41.1 per cent of all registered unemployed persons and the majority of them (66 per cent) were among the long-term unemployed. The Committee observes that, according to the “2019 European Semester: Country Report on Slovenia”, the main reason for the inactivity of older people in 2016 was early retirement. Moreover, according to the report, the risk of poverty and social exclusion remain high among older persons. The Committee thus welcomes the information provided by the Government regarding the various measures taken to promote the reintegration of older persons into the labour market. In January 2016, the Government introduced provisions exempting employers hiring older persons (beyond the age of 55) from the payment of social security contributions for up to 24 months. In September 2016, the “Older on the Labour Market Strategy” was adopted. The Strategy addresses a number of objectives relevant to access to the labour market for older workers, including: pensions; working conditions; and occupational safety and health. In 2017, the Government launched the “Active Aging Programme”, which focuses on, inter alia, labour market access and lifelong learning, as well as the “Active Until Retirement Programme”, which provides subsidies to employers who hire workers older than 55. The Comprehensive Support for Companies for the Active Aging of Employees Programme was also launched in 2017, with the objective of including 12,500 persons over the age of 45 in a range of training and motivational programmes. The programme provides support to employers to assist them in more efficiently managing an ageing workforce, and for improving the motivation and upgrading the skills of older employees. The Committee requests the Government to continue to provide updated information on the nature and impact of the measures taken to facilitate the integration of older workers into the labour market, including information on any adverse impact on older workers themselves from the two-year exemption for employers from the payment of social security contributions, and including vocational education and training to enable them to access, advance and remain in employment.

Young persons. In response to the Committee’s previous comments, the Government reports that the activity rate of young persons between the ages of 20 and 29 rose from 70.8 per cent in 2015 to 75 per cent in 2017. The unemployment rate of young persons between the ages of 15 to 29 fell by 55 per cent, from 17.7 per cent in the last quarter of 2015 to 9.7 per cent in the last quarter of 2017. The Government also reports that the Youth Guarantee Programme (YGP) implementation plan for 2016–20 was adopted in May 2016. Among the services available, the YGP provides vocational and career guidance for young persons. From 2014 to 2016, more than 55,000 young people participated in the YGP, through which 22,261 (40 per cent) obtained employment. The Government indicates that, according to the responses provided by employers to questionnaires addressed to them, young persons lack adequate vocational skills and competencies required to meet employers’ needs. Therefore, the ALPM programmes are primarily oriented to assisting young persons in obtaining practical experience through on-the-job training programmes, through which over 70 per cent of participants are able to secure employment, and the Permanent Employment for Youth Programme (a subsidy-based programme that aims to provide permanent employment to approximately 5,500 young people during the period from 2017 to 2021). The Committee observes that, according to the “Youth Guarantee 2018 Country Report on Slovenia”, the share of temporary employment among young people is still the highest among the EU countries (in 2016, more than seven out of ten young workers in Slovenia were employed on temporary contracts, compared to 13.1 per cent of workers aged 25 to 49). The report highlights that young people are also overrepresented in involuntary part-time work and are concentrated in lower wage jobs. This is largely due to the prevalence of student work contracts The Committee requests the Government to provide updated information, including disaggregated statistical data on the impact of measures taken with a view to assisting young persons in finding, advancing in and retaining lasting employment.

Persons with disabilities. The Government refers to the implementation of the Act on the rehabilitation and employment of persons with disabilities, which establishes a quota system of 2 to 6 per cent for the recruitment of persons with disabilities in companies employing more than 20 employees. Companies may also invest in a fund for the employment of persons with disabilities or in business cooperation arrangements with companies providing sheltered employment. Moreover, companies providing employment to persons with disabilities that exceed the applicable quotas and self-employed persons with disabilities are entitled to social contributions, exemptions and financial incentives. Nevertheless, in its concluding observations of 16 April 2018, the UN Committee on the Rights of Persons with Disabilities (CRPD) expressed concern about the persistence of sheltered workplaces that promote the so-called “charity” approach to the employment of persons with disabilities and perpetuate the segregation of persons with disabilities in the labour market, especially in respect of persons with intellectual disabilities, qualifying them as “unemployable”. The CRPD also expressed concern regarding lack of compliance with the employment quota system, the absence of reasonable accommodation in the workplace and the different requirements for quotas in the public and private work sectors. The CRPD also highlighted the lack of accessibility and reasonable accommodation for persons with disabilities in tertiary education, including in higher education institutions and vocational schools (CRPD/C/SVN/CO/1, paragraphs 39(d) and 45). The Committee requests the Government to provide information on the measures taken or envisaged to promote employment opportunities for persons with disabilities in the open labour market and on their impact. It further requests the Government to provide information regarding the application in practice of the Act on the rehabilitation and employment of persons with disabilities.

Education and training. The Committee notes that, according to the “EU Council Recommendation of 13 July 2018 on the 2018 NRP of Slovenia”, due to the ageing population in the country, the Government should promote participation in adult learning. Participation rates have been falling since 2010 and are especially low among low-skilled and older workers. The EU Council also pointed out that employment rates for low-skilled workers have improved, but remain below pre-crisis levels and below the EU average. In this context, the Government indicates that Slovenia joined the OECD Skills Strategy Programme in 2016. The Committee notes that, according to the “Organisation for Economic Co-operation and Development (OECD) Skills Strategy Implementation Guidance for Slovenia”, the country’s Development Strategy 2030 sets a target of increasing participation in adult learning from 11.6 per cent in 2016 to 19 per cent by 2030. The Development Strategy goals include improving knowledge and skills for quality of life and work, with particular attention paid to groups in vulnerable situations. In 2017, to strengthen participation in adult learning, the Government initiated the Action Phase of its National Skills Strategy (NSS), with the engagement of, among other actors, businesses, education and training providers, as well as employers’ and workers’ organizations. In addition, the Committee notes that, according to the 2019 European Semester Country Report, the Government adopted an Apprenticeship Act in 2017, which links education and practical experience. The Report emphasises that knowledge and skills are not well adapted to the current and future needs of the economy. According to a 2017 business survey, 64 per cent of companies in Slovenia encounter difficulties when searching for adequately skilled personnel. Lastly, the Committee welcomes the detailed information provided by the Government regarding the impact of the various different programmes to support formal education, raise competencies and enhance career development. The Government reports that, in 2017, 13,440 persons participated in these programmes, of whom 8,296 were women, 2,221 were over the age of 50 and 583 were living with a disability. The Committee requests the Government to continue providing information on measures adopted or envisaged, in cooperation with the social partners, to improve the level of qualifications and improve the coordination of vocational education and training policies with prospective employment opportunities.

Article 3. Participation of the social partners. The Committee notes from the NRP 2018 that the programme was adopted based on comments from the social partners and following discussions within the tripartite Economic and Social Council. In addition, the Government refers to the working group for the implementation of the YGP, which includes representatives of workers’ and employers’ organizations. The Government adds that the PES has increased cooperation with employers with a view to providing unemployed persons with the requisite skills and knowledge and to align training options with employers’ needs. The Government also indicates that, in the framework of the OECD Skills Strategy Project, the role of the social partners was discussed in relation to, inter alia, skills-forecasting methods, raising awareness about lifelong learning and skills updating. The Committee requests the Government to continue providing detailed information on the nature and extent of the engagement of the social partners and representatives of groups affected by measures to be taken, with regard to the design, implementation, monitoring and evaluation of the employment policies and programmes relevant to the application of the Convention.