CMNT_TITLE

Employment Policy Convention, 1964 (No. 122) - Costa Rica (RATIFICATION: 1966)

Other comments on C122

Observation

Direct Request

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The Committee notes the Government’s replies to the observations of the Confederation of Workers Rerum Novarum (CTRN) dated 2017, which were included in its report. The Committee also notes the observations of the CTRN, received on 31 August 2021. The Committee requests the Government to send its comments in this respect.

Article 1 of the Convention. Coordination of education and vocational training policy with employment opportunities. The Committee notes the establishment of the Tripartite Committee on Coordination, Monitoring and Consultation on Dual Technical Vocational Education and Training (TVET) in April 2018, with the aim of conducting tripartite consultations on this technical vocational education and training model, and providing recommendations for its implementation. In this context, the Committee notes the approval of the Dual Technical Training and Education Act, Act No. 9728, of 12 September 2019, and the implementing regulations of 14 April 2020. In accordance with section 1 of Act No. 9728, dual technical vocational education and training is understood as an educational method that allows students to be trained in two learning environments, a TVET institution and a training enterprise, with the use of the enterprise’s material and human resources. The Government reports that the educational centres and the National Training Institute (INA) have been granted a one-year period to implement the measures established in the above-mentioned Act, and therefore there is not yet any information on the impact of the Act. The Committee notes the CTRN’s indication in its observations that the above-mentioned legislation was adopted unilaterally by the Government and the employers’ organizations, and that it affects the rights of the students. The Committee also notes the statistical information, disaggregated by sex and level of qualification, provided by the Government on the impact of the measures by the INA. In particular, the Government reports that, between 2018 and 2020, 55,167 women and 41,295 men registered for INA vocational training programmes. Furthermore, during the same period, 11,686 men and 7,376 women received, after passing the respective exams, certification of their labour skills, irrespective of the manner in which they acquired those skills. The Committee requests the Government to provide detailed and updated information on the impact of the measures adopted to promote dual education, including those adopted under the Act on Dual Technical Vocational Education and Training, Act No. 9728 of 2019, and its implementing regulations. Furthermore, in light of the observations of the CTRN, the Committee requests the Government to provide detailed information on the consultations held with the social partners on Act No. 9728 of 2019 and its regulations, and the outcome of those consultations. The Committee also requests the Government to continue providing statistical information, disaggregated by sex and age, on the impact of the measures adopted or contemplated with a view to coordinating education and vocational training policy with employment opportunities.

Article 2. Labour market trends. The Committee notes that, according to the 2021 Yearbook of Statistics of the Ministry of Labour and Social Security (MTSS), between 2018 and 2021, the net participation rate decreased from 62.9 per cent to 59.9 per cent, and the employment rate decreased from 55.4 per cent to 51.7 per cent. During the same period, the open unemployment rate increased from 12 per cent to 13.7 per cent. The Committee requests the Government to continue to provide updated statistics, disaggregated by age and sex, on trends in employment, unemployment, and underemployment.

Youth employment. The Committee notes that, in accordance with the amendments made to Executive Decree No. 29044-TSS-COMEX of 30 October 2000, which established the National Employment Programme (PRONAE), the coverage of access to the Empléate programme was extended. This programme promotes labour market integration through technical training scholarships for persons aged between 17 and 24 years old, and thanks to the amendments made, it applies not only to young persons living in basic or extreme poverty, but also to unemployed or underemployed persons, particularly those belonging to vulnerable communities. The Government indicates that the programme offers both in-person and online technical training services, primarily in fields with a high demand for labour, such as the medical industry, banking and finance, Information and Communications Technology (ICT), or bilingual call centres. The Committee observes that the number of participants in the programme increased from 7,077 in 2018 to 10,573 in 2019. The Government adds that, in 2019, 21 per cent of participants achieved labour integration through the National Employment System (SNE). The Committee notes that the CTRN reports the detrimental impact on the employability of young people. The Committee requests the Government to continue to send detailed and updated information on the nature and scope of the measures adopted or contemplated with a view to promoting youth employment, including those adopted under the “Empléate” programme, and in particular those aimed at promoting the employment of young persons in situations of vulnerability. The Committee also requests the Government to provide updated statistical information, disaggregated by age and sex, on the impact of such measures on the access of young persons to decent, lasting and quality employment.

Women’s employment. The Committee notes the detailed information provided by the Government regarding the different measures adopted to promote the employment of women, and equality between men and women in the workplace, and the impact of those measures. The Government refers, among other measures, to the implementation of the “Sello de Igualdad de Género” programme in the business sector, and the Programme for the Recognition of Good Labour Practices for Gender Equality. The Government indicates that the labour integration of women is promoted through a “Programme for individual productive venture benefits” in conjunction with training benefits, through which non-reimbursable financial support is granted to facilitate the creation and strengthening of economic activities carried out by families and persons living in poverty, with a view to encouraging self-employment and job creation through skills building (technical micro-entrepreneurial training and participation at job fairs). The Government reports that, between 2018 and 2019, the number of women participants was 182, while the number of men participants was 104. Lastly, the Government refers to the development of different actions in the area of gender-sensitive labour inspection, in conjunction with several national institutions, including the National Institute for Women (INAMU), and the ILO. Such measures include the development of a new gender-sensitive labour inspection guide and measures to disseminate the guide, and the implementation of awareness-raising and training processes aimed at labour inspectors. Nevertheless, the Committee observes that, according to the Continuous Employment Survey, in the first quarter of 2022, both the net participation rate (59.6 per cent) and the employment rate (51.5 per cent) for women were very low compared with those for men (70.8 per cent and 63.1 per cent, respectively). The Committee further notes that, during the same period, the unemployment and underemployment rates were higher for women (17.5 per cent and 15.4 per cent) than for men (10.9 per cent and nine per cent). Lastly, the Committee refers to its 2019comments on the Discrimination (Employment and Occupation) Convention, 1958 (No. 111), in which it noted the overrepresentation of women in low-paid jobs, the persistence of occupational segregation and the significant gender wage gap. The Committee requests the Government to continue to provide detailed and updated information on the measures adopted or contemplated in order to promote women’s employment and their impact. The Committee also refers to its 2019 comments on the application of Convention No. 111, in which it requests the Government to provide information on the specific measures adopted to reduce horizontal and vertical occupational gender segregation, and on the results obtained in that regard.

Persons with disabilities. The Committee notes that, in its observations, the CTRN indicates that, according to the 2018 National Disability Survey, 43.6 per cent of persons with disabilities aged over 18 years of ages were employed or were seeking employment, compared with 68.2 per cent of persons without disabilities. In this context, the Committee refers to its comments on the application of the Vocational Rehabilitation and Employment (Disabled Persons) Convention, 1983 (No. 159), in which it notes the numerous measures implemented to promote the labour integration of persons with disabilities. The Committee requests the Government to provide updated and detailed information, disaggregated by sex and age, on the impact of the employment measures, including reasonable adjustment measures, that it has adopted to help persons with disabilities to find sustainable and decent jobs in the regular employment market, and to remain in or return to employment.

Microenterprises and cooperatives. Informal economy. The Committee notes that, according to data from the Central Bank of Costa Rica (BCCR), in 2017, small and medium-sized enterprises (SMEs) represented 97.5 per cent of the business environment at national level. The Committee also notes the Government’s indication that the implementation of the National Entrepreneurship Policy 2030 (PNE), which aims, inter alia, to improve the competitiveness of entrepreneurial ventures with a view to promoting employment and economic development. In this regard, its main lines of action include building capacity in business management, fostering innovation and reducing technology gaps. The Government also refers to the implementation of the Impulso a Encadenamientos Productivos (Promoting Productive Linkages) programme, which foresees that, by 2022, 138 SMEs will have concluded business linkage deals and 163 will have registered as State suppliers. The Committee observes, based on the SME register, that the number of SMEs increased from 6,300 in 2016 to 20,127 in 2019 (77 per cent of which were microenterprises). The Committee also notes the information provided by the Government regarding the financial and entrepreneurial development services provided for SMEs between 2017 and 2019 through the SME Support Network and the Integrated Entrepreneurial Development Centres (CIDE). Regarding the measures adopted to promote the transition from the informal economy to the formal economy for SMEs, the Government reports that, based on the III national survey of micro, small and medium-sized enterprises in 2018, 60.9 per cent of the enterprises that participated in the survey had completed all the operating procedures since the start of the entrepreneurial activity. The Government also refers to the implementation of an enterprise formalization programme, which provides training and support for enterprises on its register with the Ministry of Economic, Industrial and Commercial Affairs (MEIC), which enables them to receive tax incentives, participate in entrepreneurial meetings and obtain preferential positions in the award of public tenders. Furthermore, measures have been adopted with the aim of simplifying the procedures for the registration of enterprises, such as the creation of municipal one-stop shops to simplify the procedure for opening a business and to promote the formalization of workers in the informal economy. Concerning micro-enterprises, the Committee notes the statistical information included in the Government’s report on the impact of the National Programme to Support Micro-enterprises and Social Mobility (PRONAMYPE), which provides access to financing and support for entrepreneurial activity. The Government indicates that, according to the National Household Microenterprise Survey, in 2019, 54.4 per cent of micro-enterprises were found in the informal economy. Lastly, the Government indicates that, based on statistical information from the National Institute for Cooperative Development (INFOCOOP), the number of entrepreneurial ventures in the field of cooperatives doubled from ten in 2018 to 20 in 2019, and that 387 direct jobs were created in 2019. The Committee requests the Government to continue to provide detailed and updated information, including statistical information, disaggregated by age and sex, on the impact of the policies adopted by the Government for MSMEs and cooperatives regarding the creation of employment. It also requests the Government to continue to provide detailed and updated information on the results of those programmes in relation to the decrease in the rate of informality.

Export processing zones. The Government indicates that, in 2018, direct Jobs in enterprises operating in export processing zones represented 12 per cent of total formal employment in the private sector, and that women represented 42 per cent of that total. According to estimates by the Government, in 2018, 57,441 jobs were indirectly created by enterprises operating in export processing. The Government indicates that the average daily monthly of persons working in export processing zones in 2018 was US$1,554, which is evidence of a wage advantage for those workers. The Committee requests the Government to continue to provide detailed an updated information, disaggregated by age and sex, on the contribution of export processing zones to the creation of lasting and quality employment.