DISPLAYINEnglish - French - Spanish

CMNT_TITLE_CAS

A Government representative gave a presentation on the characteristics of the Italian labour market and examined labour market developments and government policies related to the labour market.

Firstly, a significant increase in the employment rate could be observed, particularly in the northern part of the country, but also to a lesser extent in the south; an increase in the rate of employment of women could also be noted, although it was still insufficient and below that of men. The unemployment rate had fallen to 6.8 per cent, contrary to the trend observed in other European countries. The unemployment rate of women was 8.8 per cent and measures had to be adopted to bring it into line with that of men, which stood at 5.6 per cent. In general, unemployment had been steadily decreasing in the whole of the country, despite the fact that this decrease was sharper in the north than in the south. Long-term unemployment was still unacceptably high, affecting 2.5 and 4.4 per cent of men and women, respectively, particularly in the south of the country. With regard to the employment rate, she considered that it still was not sufficiently high and noted a decrease in the employment rate of women in the south, which might be linked to the phenomenon of undeclared work, which the Government had been striving by all possible means to combat. The level of employment of young people was also insufficient and the Government believed that this problem had to be addressed by means of an active policy to combat precarity and unemployment of young people. She added that Italy had an educational system characterized by a high high-school drop out rate which, however, had been declining since 2000. The number of women and men with degrees was on the rise and two-thirds of adolescents succeeded in making the transition from school to university. The country was also facing a number of new problems related with the liberalization of the labour market, and there were no fewer than 2 million temporary jobs, essentially located in the southern part of the country, which represented 9.2 per cent of all jobs. In this respect, it was important to encourage permanent contracts. Furthermore, part-time work, which had not been highly prevalent in the past, was increasing sharply in the country as a whole, particularly for women. As for precarious or atypical contracts for which there was no guarantee that they would be made permanent, such as "project contracts", of which there were 400,000.

She recalled that the lines of action that had been decided on by the Government to address these problems consisted in combating precarity, adopting measures to encourage permanent employment and encourage undeclared workers to become legal, to improve social protection for precariously employed workers, to support the action of the labour inspectorate against undeclared work while at the same time encouraging the enterprises concerned to legalize their activities and, finally, to formulate a bill on occupational health and safety. In this respect, the Government was, in collaboration with the social partners, organizing a series of round tables to formulate a new social safety net, measures addressing occupational change, measures intended to reduce undeclared work and precarity, as well as to discuss the issue of retirement. In conclusion, she emphasized the importance of social dialogue and consultation between the social partners in the formulation and development of national policies, and stated that the action of the new Government in this area would be directed at improving social cohesion.

The Employer members recalled that this case went back some 20 years and the Government had been asked to appear before the Committee on at least half a dozen occasions. The Committee of Experts acknowledged that the Government had provided a comprehensive report and this level of cooperation should also find satisfaction in the Conference Committee. This case was atypical in that it did not concern an assessment of whether a legislative matter or factual development was compatible with the terms of a ratified Convention, but rather broader and less precise questions. The fundamental issue was whether the employment and labour market policies of the Government of Italy were compatible with the treaty obligation to take active steps to promote employment, reduce social disadvantage through employment and to do so in consultation with the social partners. While imprecise, these issues were no less important than a case involving more typical legal analysis. The Conference Committee had noted this point in previous comments about Italy and in 1998 had borne in mind "the particular difficulty of assessing the application of a Convention which requires the formulation and implementation of policy".

The most recent observations by the Committee of Experts concerned four subject matters, namely: the macroeconomic position as it affected the labour market; the measures to promote labour market flexibility; the measures relating to human resources, education and training; and the participation by the social partners in this work. These observations and requests by the Committee of Experts appeared well founded and there was no reason to demur from them.

On the issue of unemployment, the Committee of Experts drew attention, in line with its previous observations, to the unequal impacts of the scourge of unemployment in the different regions of the country and called for "territorial cohesion in order to fill the gap between the various regions of the country". As a general proposition this request was not unreasonable, but the Committee of Experts had provided little in the way of real guidance. This was not surprising as the solutions to the application of this Convention were policy, rather than legal matters, the latter being the province of the Committee of Experts, but not the former.

Although they considered that the most desirable policy settings for the cure of long-term unemployment depended on national circumstances, and hence international consideration of these issues was by definition limited, the Employer members recalled the views they had expressed on this issue in numerous policy debates occurring on labour market reform in the ILO, both at the current session of the Conference and in the Governing Body or Regional Meetings. These views included the belief that there should be a holistic (rather than piecemeal) approach to address a range of inter-related measures; that there should be structural reform rather than one-off measures; and that long-term problems needed long-term planning and perseverance. As employers, they also believed that the "legislation" of the ILO itself needed to be subject to regular review to ensure that it did not act as a disincentive to meaningful employment. The problems were not unique to Italy and many other countries were grappling with similar issues to a greater or lesser degree. No country could be satisfied that it had done enough in this area, and the reform effort around the world was a continuum. The task in this Committee was to check that the reform continued in the right direction and that there was learning from other countries' experiences. Structural reforms of one type or another were also advocated by the OECD, the World Bank and the IMF. Overall, it was clear that the Government was sensitive to the task. Whether it adopted the right mix of solutions would be seen in the outcomes, and in the further steps it was asked to take by the Committee of Experts.

The Worker members pointed out that Convention No. 122 was considered as a priority instrument as it guided and oriented the work of ILO member States in the area of socio-economic policy. The right to work was recognized in this Convention as an individual right which should be guaranteed though voluntary action on behalf of governments, in cooperation with the social partners, aimed at the promotion of full employment and the fight against unemployment and insecurity.

The proclamation by the Declaration of Philadelphia of the right of every person to work and to the free choice of work in equitable and satisfactory conditions and to protection against unemployment remained fully relevant today through the notion of decent work. In order to achieve this, it was necessary for political leaders and the social partners to recognize the priority of full employment and to refuse a policy consisting of leaving the labour market to be governed solely by free market forces.

The Convention provided to the ILO member States, through the respect of the essential principles it set out, a framework for the development of their employment policies according to their own methods and on the basis of national conditions in order to significantly reduce unemployment. As underlined by the report of the Committee of Experts, the unemployment rate remained high and there was a slowdown of employment growth and a serious deficit in human capital. Regional disparities were important, especially between the North and the South of the country. The difficult integration of certain target groups, especially young persons and the long-term unemployed was also examined. Nevertheless, the main question was which policies were developed by the Italian Government to increase employment and promote an improved distribution of work with fewer disparities and inequalities, as well as the question of the conformity of these policies with the provisions of the Convention. This demonstrated the need to involve the social partners fully in the elaboration and implementation of employment policies.

The Committee of Experts concentrated its observations mainly on the criticism made by the Italian trade unions with regard to the inequitable tax cuts made by the previous Government, the flexibilization of the labour market, the legislative texts of 2003 on labour market reform and the low participation or perfunctory consultation of the social partners in the elaboration and evaluation of policies. Its report was limited to requesting the Italian authorities to provide additional information in the next report. In fact, the previous Government's priority was to render the labour market more flexible and to promote the individualization of labour contracts. The legislation adopted in 2003 had resulted in a serious problem of precarity in the labour market, especially through the introduction of new forms of employment, new types of flexible contracts and the reduction of security of employment and of the protection of workers against abuse. The new spectre of flexicurity haunted Europe and the international institutions. Instead of serving to guarantee more security to workers with precarious contracts, this concept had been emptied of its positive content and served as an argument for destroying protection against dismissal, making regular contracts more flexible and putting an end to the primacy of permanent contracts. Moreover, the European Commission was announcing that a communication would be issued on this subject at the end of June 2007 pursuant to the Green Paper on modernising labour law published at the end of 2006. The Government seemed today to wish to change course and adopt a different employment policy, another approach to the question of flexicurity and different relations with the social partners. The Committee should encourage this new policy direction.

The Worker member of Italy noted the Government representative's statement and recognized that the issues being discussed were to a large extent the legacy of the previous Government. The latter had done all it could to liberalize the labour market, raise the retirement age and undermine the very basis of tripartism and social dialogue.

The attitude of the new Government had therefore to be welcomed, as well as the reactivation of tripartite negotiation, particularly with regard to the new labour legislation. The basis for genuine dialogue, however, consisted in clear positions followed by appropriate action. A clear position by the Government on matters of social and labour legislation was therefore desirable because, despite certain actions carried out in the 2007 Budgetary Act, it still did not have a coherent policy to address the problems in the field as a whole.

Under the pretext of modernizing the labour market, Act No. 30/2003 had caused a serious situation of precarity in employment relations. The Government today wished to eliminate the worst forms of labour contracts established by the above Act; however, the objective should rather be to return to the situation in which permanent contracts were the rule. The statistics indicated a serious deterioration in the employment situation of the country. In 2005, while the working population had shown a slight increase in terms of full-time equivalent jobs, employment had decreased by 0.4 per cent compared to the previous year, for the first time since 1995. Fixed-term contracts were the main means for young people to enter the labour market, but it was increasingly rare for these to turn into permanent contracts; the situation was even worse for young workers. Furthermore, the introduction of "project contracts" in 2003 had only changed the name of an atypical form of work, thereby concealing a real employment relationship. According to official statistics, only one out of 25 employment relationships of this type eventually evolved into a permanent contract, whereas in 30 per cent of cases the workers concerned ended up being unemployed.

Labour market distortions were becoming increasingly pronounced. The south of the country was experiencing an alarming phenomenon of the reduction in the employment rate. This was because an increasingly large number of people were no longer actively seeking regular work and were swelling the ranks of irregular and undeclared workers. Despite a number of government actions, the illegal economy represented at least 18 per cent of the gross domestic product. The problem of long-term unemployment was especially prevalent among young workers, as well as older workers.

The situation in general was a far cry from the Convention's objective of promoting growth and development through a higher standard of living and overcoming unemployment and underemployment, and the objective of an effective policy intended to promote full, productive and freely chosen employment. The liberalization of the labour market had been the only objective of the previous Government to the detriment of and neglecting industrial, research and regional development policies, which were necessary to ensure competitivity in the modern sectors, rather than seeking to compete with emerging economies. In this respect, political measures were required, as well as the allocation of public resources to education and industrial research.

The Italian trade union confederations therefore suggested the following priorities for national tripartite negotiation: measures to fight precarity at work beyond those adopted under the Budgetary Act of 2007; the formulation of an action plan to limit, by legislative means, the use of fixed-term contracts, and to envisage the abolition of the many forms of atypical working relations established by the Act of 2003 so as to return to a situation in which permanent employment prevailed. It would also be advisable to guarantee unemployment benefits for all types of working relationships, regardless of the economic sector or the size of the enterprise, to repeal the extension of the retirement age and to put in place a system to encourage enterprises to hold on to older workers with options of flexibility when approaching retirement. Adequate resource allocation to training and a new education policy were also necessary. The implementation of the policy to combat undeclared work and encourage equality of treatment for migrant workers also constituted an employment policy element that complied fully with the Convention.

In conclusion, he hoped that, taking into account the fact that the Committee could not discuss the case of Colombia, the Italian Government would put pressure on the Government of that country to implement the tripartite agreement signed in 2006. He hoped that the Government would rapidly take steps to reform the legislation in accordance with the recommendations of the Committee of Experts and the Conference Committee.

The Worker member of India recalled that two major Italian trade unions had sent comments to the Committee of Experts on the uneven and decreasing trend in employment and productivity, the persistent high long-term unemployment rate and the unfair and inefficient tax cuts which would indirectly affect the workers. Moreover, territorial balance had to be kept in national growth and labour flexibility had to be an outcome of collective bargaining and not of the arbitrary dictates of the Government and the employers. There should be a tripartite mechanism to see that reforms were not adverse to the interests of the workers. Job security was an important right of workers without which all other forms of security were meaningless. Hence, the Government had to make much more extensive efforts.

He declared his solidarity with the workers of Italy and requested that the Government provide information on the effective implementation of an appropriate employment policy and to ensure the full employment of women, the promotion of employment for older people, measures to educate workers and the genuine participation of trade unions in employment reforms instead of perfunctory consultations, such as those criticized by the Italian trade unions.

The Worker member of France remarked that a break with Act 30/2003 would also be a rupture with the notion that the right to work was an obstacle to competition and growth. The Act had been promulgated by the executive and gave a leading role to the principle of labour market flexibility, while playing down the leading role of legal rules to the benefit of contractual freedom, which in practice was to the employer's advantage. Among the different types of contract instituted, the continuous and coordinated collaboration contract considered an employment relationship as a service. On-call work was another means of underpaying workers who nevertheless had to remain available. As to shared work or project contracts, both constituted forms of precarious work instituted by the system set up in 2003 in the same way as flexible part-time work or the extension of the possibility of using overtime, or even of modifying working hours, which were a key element of the employment contract. This resulted in widespread underemployment, even though its elimination was one of the main aims of the Convention. The weakening of workers' rights in favour of employers' rights and the decline in income caused by the multiplication of precarious employment contracts were also contrary to the objective of improving the standard of living through an active labour market policy. The Convention was absolutely critical in an international framework which promoted flexibility. This instrument made it possible to combat the phenomenon of poor workers currently developing in Europe. Involuntary part-time contracts and low hourly wages were the result of this situation which, moreover, mostly affected women. In addition, it was not only a question of just creating jobs, but of ensuring their type and quality. Finally, she supported the call made by the Worker member of Italy for the implementation of the Convention and for the Government to repeal Act 30/2003.

The Government representative recalled that her Government had only been in power for one year and that several issues and demands presented by the Worker members had already been taken into account. Indeed, flexibility was not a key element of the policy followed by the Government; permanent contracts should be considered as the norm and priority should be given to combating precarious and clandestine work. Another political objective was employment creation for young workers and women, and narrowing the gap between the north and south. The Government had already created four negotiation groups in which the social partners were involved in establishing policies in these areas.

She said that the discussion seemed to belong to the past, to another government. Indeed, the current Government had already introduced changes, and the results were starting to be seen, particularly with respect to the employment of women, the reduction of poverty and the fight against clandestine work.

The Employer members observed that finding consensus on labour market policy questions was not easy. It was not possible to legislate against unemployment and policies could only be adopted to make a difference in this respect. One area where consensus appeared to exist was that meaningful and productive employment was a pathway to human and economic dignity and well-being. It was a way out of poverty and social disadvantage. Another area of consensus could be that measures to reduce unemployment and help vulnerable groups required commitment and support beyond governments, especially if structural changes were required. Reform efforts rarely worked if they were imposed on unwilling communities. Thus, the view of the Committee of Experts that the social partners needed to participate in the development of these measures reflected the right approach.

Since this case involved a change in Government, it involved the opportunity for new methods and fresh thinking, and a new resolve to tackle issues, which seemed to be the approach that was being adopted by the Government. The information sought by the Committee of Experts was therefore particularly timely as it provided the new Government with an opportunity to inform the international community of its intentions, and of the process by which it would seek to achieve the objectives of the Convention.

The Worker members invited the Government to continue to provide all the information requested to ensure that the Committee could examine the issue in greater depth. The Government should do everything to combat the high unemployment rate and the differences and inequalities that existed in the labour market and to combat the rise in precarious work. Another priority would be the revision of Act No. 30/2003. It was satisfying to hear the Government's statement that permanent employment contracts should be considered as the norm and that flexibility was no longer the focal point of the employment policy. Italy should defend this position before the European authorities. Finally, and as indicated by the Committee of Experts, employment policy should be developed together with the social partners to obtain their support for the implementation of the necessary reforms. Indeed, this now seemed to be the case once again in Italy.

The Committee took note of the interactive presentation and the detailed and informative data supplied by the Government representative, as well as the discussion that followed regarding the measures to support the labour market adopted by the Government in applying this priority Convention.

The Committee welcomed the slight increase in the employment rate and the drop in the unemployment rate, in addition to other labour market indicators reported by the Government, which had announced its intention to reduce temporary and part-time employment, to combat clandestine employment and to promote productive employment for the most vulnerable categories, particularly young people seeking their first job, women and workers in less developed regions. The Government also proposed to foster social dialogue in order to forge an active employment policy and to amend the provisions of Act No. 30 of 2003 on labour market regulations.

The Committee further noted that measures to increase labour market flexibility needed to ensure appropriate protection for workers against dismissal and in obtaining a permanent employment contract which was productive and freely chosen. The Committee invited the Government to continue to mainstream its national programmes for full and productive employment, the promotion of decent work and high-quality work for all, as required by the Convention. It requested the Government to include in its next report detailed information on how the experience and views of the social partners had been taken into account when formulating and implementing employment policy measures. The report should also include information on the impact of the measures taken with a view to increasing the participation of women in productive employment, combating youth unemployment and closing the gap between the various regions of the country in terms of employment.

CMNT_TITLE_CAS

The Government communicated the following information:

The Government has sent a late report which contains information concerning its efforts in setting up an active policy for employment development, particularly in the lesser industrialised areas of the country. The Government wishes to present additional information about economic and social policy. This policy was put into place by the competent authorities with the agreement of the social partners and conforms with those adopted by Western industrialised countries, particularly those of the European Community. The Government believe that it has provided in its report a satisfactory response to the observations of the Committee of Experts. The Government is conscious that additional efforts must be undertaken to overcome the historic disequilibrium between the different regions of the country. Convention No. 122 is promotional in its nature and envisages the implementation of articulated, multidimensional policies as well as the verification of the effectiveness of measures adopted. The evaluation of effectiveness would be more useful if it were made in the course of wide and general discussion of the subject and not limited to a single country. This would give substantial homogeneity to the review of existing problems in Western countries and permit a return to important areas of interests in the international socio-economic context. In that situation, the objective of full employment can be attained only by adopting active policies as a measure against the structural causes of unemployment and to control the effects of adjustment.

It would be useful and interesting to dedicate, in the near future, a detailed discussion in the Committee on the Application of Standards to the application of Convention No. 122, in particular for the purpose of exposing problems experienced by homogenous regions.

For its part, the Committee of Experts itself has indicated the need to continue initiatives taken and to complete them. It is a policy moving in this direction which the competent authorities of Italy are undertaking, because the problems of persistent unemployment arise from structural regional disequilibriums. Nevertheless, positive results have been obtained. In reality, the avoidance over the last few years of a worsening of unemployment is due not only to the policies which have been adopted but also to a reversal of a trend which has just begun to become apparent. Since 1988, the date of the last report, the unemployment rate has gone down one point and stabilised below 11 per cent. In general, therefore, during the year 1990 there has been a substantial increase of unemployment. In spite of reassuring overall data, strong concern remains for specific sectors of the labour force and for particular geographic areas. The breakdown of information shows that in southern Italy the level of unemployment has not gone below a certain level, despite measures which were adopted in 1984 to promote employment throughout this part of the country.

Subsequent measures, including those mentioned in the report, were taken recently including measures to promote early retirement, specific measures within the integrated fund for GEPI workers and workers in the south, the refinancing of special funds for the reduction of unemployment with the goal of integrating an employment policy in the south by financing investment projects, the financing of cooperatives in particular areas, and the integration of unemployment benefits.

However, one is more and more convinced of the need to link initiatives aimed at reducing unemployment and improving human resources utilisation with more general measures addressing flexibility of production factors. There is a real risk that ongoing development may take the wrong direction and worsen existing differences; the process of European unification could also increase the gap between the more developed regions and the less advanced. To effectively face a difficult situation in southern Italy, the public authorities considered looking beyond urgent and immediate intervention (which has turned out to be inadequate) in order to adopt an integrated approach to development in accord with an active policy of labour market managment. Particular importance has been placed on public policy supporting small and medium-sized enterprises (currently government policies are oriented toward intervention in development zones more than in individual enterprises) as well as the adoption of projects with high technology content as those have a multiplier effect on growth. The creation of infrastructure and services is a precondition for the above-mentioned development; in-depth studies are in progress in this area. IRI, ENI, and FIAT have implemented wide-ranging projects on the basis of tripartite agreements. FIAT has already decided upon the construction of a large establishment in Basilicata, an underprivileged region in the south. Apart from the above-mentioned agreements, one must emphasise the importance of a very special agreement concluded in March 1991 between the Italian Government and the associations of employers and workers for the overall development of the south. One such agreement was promoted by the National Economic and Labour Committee (a tripartite body with consultative and promotional functions). This agreement aims to sharpen the overall intervention in the south by making more definite the roles of each of the three parties concerned, and by stressing the importance of the occupational aspect, all in encouraging investments for increased employment. For its own part, the CNEL envisaged creating a system of evaluation of the effects of policies adopted following the above-mentioned agreement. The conclusion of tripartite negotiation on labour costs could have important repercussions for development of employment. One of the central points in the renegotiation is the so-called"improper costs" imposed on the enterprise through taxation. The Government has tried this measure (as one may note from the reports on employment policies in 1988-91) in order to guarantee simultaneously the competitiveness of enterprises and higher worker productivity. Furthermore, the instrument of taxation is effective to the extent that it operates selectively by relating to established objectives, in encouraging employment by categories and underprivileged regions (youth, women, the south).

Another way of basic intervention is the support of employment of women. In this area, two basic considerations are necessary. The first is that the opportunity to take specific measures is confirmed by patterns of employment and by unemployment in Italy. Currently, the rate of unemployment is about 17 per cent for women and 7 per cent for men. The consideration tends to recognise the positive aspect of this situation. In effect, the high rate of unemployment for women is due to the increase in numbers of women in the labour market. The second point is the parallel increase in supply and demand confirms this. The data is in itself positive and implies the need for specific interventions to favour employment of women and the promotion of equality of opportunity. A very important law was adopted on 10 April 1991. It provides for affirmative action with a view to attaining equality between men and women in the world of work. Affirmative action has already been established by way of negotiations and concluded; the law has as an objective the general elimination of all obstacles to effective equality in training, access to labour market, and career development, in work and job mobility. This law provides specific financing for the execution of affirmative action such as the institution of a Committee for Equal Opportunity. It provides also for reversal of the burden of proof in legal cases as regards the presumption of discriminatory action or behaviour based on sex.

In regard to the promotion of employment of youth, many legislative interventions (beginning in 1984) were introduced including important rules governing the arrangements of work, such as for example, in job training contracts, part-time employment, and encouragement of the creation of enterprises by youths. In this area, it should be noted that public policies supporting youth employment have always been accompanied by measures for the protection and regulation of labour relations. This has occurred in particular in atypical work which is specially protected in Italy by giving workers increased protection.

The initiative of the competent authorities has been extended with a view towards putting in place public instruments on the job market, such as Law 56/87 which provides for the active management of the labour market.

In conclusion, the Government would reiterate its conviction that economic and social policy engagement is in full agreement with the ILO Convention in question.

In addition, a Government representative referred to the written information submitted by her Government. She indicated that, due to administrative reorganisation, the report of the Convention had been submitted in March 1990, but she assured that in future her Government would respect its obligation to reply within the given time period. As noted by the Committee of Experts, the slow-down in economic growth and the increase in unemployment in industrialised countries affected Italy as a whole, but in particular the Mezzogiorno region which was historically less developed than the rest of the country. Various meausres adopted in Italy had had a positive effect since, compared to 1988, unemployment had fallen by one point. The public authorities, moreover, continued in their efforts to define more clearly the different types of unemployment, particularly where young workers and women were concerned, so as to promote their position in the labour market. Another positive sign was the growing number of female workers with access to an increasingly broad spectrum of employment. The law adopted in April 1991, to promote positive action in the area of equal opportunities and treatment for men and women in employment, should have a significant impact. Although much remained to be done, many steps had already been taken. In co-operation with their social partners, the authorities responsible would continue, through wide-ranging and multi-faceted policies, to encourage positive developments in regions and sectors particularly affected by unemployment. Despite the continuing risk that regional differences might be accentuated, as well as those between certain categories of the workforce, the foundations to cope with this had been aid on the political and legislative level. In conclusion she underlined that the range of employment policies adopted and, in particular, the agreement on global development reached in March 1991 between the Government and the workers' and employers' organisations, testified to her country's determination to give active priority in economic policy to the promotion of full employment.

The Workers' member of Italy declared that the Committee of Experts' report showed clearly that economic progress did not necessarily lead to economic growth. This applied particularly to industrialised countries. The reasons could be sought in the rapid process of modernisation and economic restructuring and in the development of new technologies which required less manpower. The trade unions were preoccupied by the level of unemployment resulting from this process, in Italy as a whole, but especially in the Mezzogiorno, where economic progress had always been slower than in the north and centre of the country, despite efforts by the Government over the last few years to revitalise the labour market and stimulate employment in the region. In this connection he underlined that the implementation of such measures to limit the impact of market economy principles and counteract international competition, the globalisation of the economy and the process of integration with the European Community, for example, could lead to a further marginalisation of the less developed regions. With regard to Article 3 of the Convention the Workers' member stressed that the trade unions in his country were generally satisfied with the consultation process between the Government and the social partners. In this context, he referred to the concerted action leading to the Pact for economic development in Mezzogiorno, signed in March 1991. A tripartite delegation would shortly be undertaking important discussions for the establishment of a common platform for the comprehensive reform of the fiscal system which currently weighed heavily on salaried workers. It was a question of discussing the restructuring of salaries and a new distribution of social costs. With regard to Article 2 of the Convention the ILO should devote greater attention to the social consequence of restructuring projects and those aimed at reorganising the finances of a country, such as are often imposed by international bodies. Such projects frequently bore negative consequences, both for employment and for the standard of living of workers, especially in the developing countries.

The Employers' members expressed their concern that the Italian Government had not submitted its reports within the deadline. This was a frequent and consistent practice of the Government, not only for Convention No. 122, but for most of those for which reports were due. The information subsequently submitted by the Government and by its representative pointed out a certain number of fundamental problems, notably in the Mezzogiorno and amongst certain categories of workers. Several measures had been taken concerning the employment of women and the preoccupying situation of young people. The agreement signed by the Government and the social partners over the development of the South was also positive. Employment policy was dynamic however, and new measures must therefore be undertaken. It was for this reason that the Convention did not prescribe fixed steps, but set down objectives which could be achieved through different means. The Convention aimed to promote full and freely chosen employment. The steps to be taken varied according to the country and circumstances in question. Employment policy could not be considered in isolation and must be closely linked to other aspects of economic and social policy. In this regard, there are no precise rules; the Convention simply indicates that the policy should be formulated taking into account the employment objectives and other economic and social objectives. For this reason, it was extremely difficult to evaluate employment policy within the framework of the Convention and to assess in what measure governments were fulfilling these objectives. Abstract criteria should not exist. Depending on the national context, governments should be asked to emphasise the particular problems of certain regions or certain categories of workers in applying their policies.

The Workers' members fully supported the declaration of the Employers' group concerning the importance of submitting reports within the deadlines, particularly those connected with Convention No. 122. Two fundamental elements were contained in the Convention; firstly, the requirement that an active policy designed to promote full employment be declared and pursued and, secondly, that the persons affected be consulted. This aspect was particularly important, for many of the difficulties encountered stemmed from the lack of adequate discussion with the social partners, where employment policy was concerned. In this regard, they were pleased that the Italian Workers' member had declared the process of consultation to be satisfactory in his country. It was to be hoped that the dialogue would continue in such a manner as to lead to a solution to the employment problems existing in Italy. With regard to the decrease in unemployment mentioned by the Government representative, they underlined that the Committee of Experts had also expressed concern over worldwide unemployment and over the considerable gaps noted in certain regions, where the level of unemployment was much higher than average.

The Government representative declared that her Government had noted with satisfaction the observation made by the supervisory organs and that it shared the concern expressed over the current employment situation. The Government would continue to declare and pursue an active policy for the creation of qualified employment, within the normal framework of tripartite collaboration.

The Committee took note of the detailed oral and written information supplied by the Government. It expressed regret that the Government report had not been sent in time to be examined by the Committee of Experts. The Committee noted with interest the tripartite collaboration established within the framework of the social pact. It also noted, however, that despite the Government's efforts, the implementation of legislation and the measures adopted in the framework of employment policy had not resolved the employment situation, which remained worrying, especially with regard to disparities between regions, age groups, and between the sexes. The Committee hoped that the Government would provide all the necessary information to the Committee of Experts, regarding the effective implementation of the Convention and, notably, on the steps taken to apply Article 1 thereof. It hoped, moreover, that the Government would respond within the given time-scale to the request for information of the Committee of Experts.

CMNT_TITLE

CMNT_TITLE

CMNT_TITLE

CMNT_TITLE

CMNT_TITLE

CMNT_TITLE

The Committee notes the detailed replies provided in the Government’s report received in December 2009 to the matters raised in its 2007 observation.

Articles 1 and 2 of the Convention. Employment policy measures taken in response to the global crisis. The Committee notes that the unemployment rate rose from a low of 6 per cent in 2007 to 8.2 per cent in 2009: more than 2,200,000 persons were seeking employment in the first trimester of 2010, 1 million persons in the South, more than 800,000 persons in the North and some 440,000 persons in the Centre according to the data published by ISTAT. Employment has decreased the most in the manufacturing sector, which accounted for 60.6 per cent of the total net employment losses from
July–September 2008 to the same period of 2009. Other badly affected sectors include wholesale and retail trade, real estate, rental and business services, hotels, restaurants and construction. Three stimulus packages were implemented by the Government since the start of the crisis. The largest component (around 38 per cent) of the 2009 outlay of the combined Italian fiscal stimulus packages was support for business in the form of increased access to credit and subsidies. The next largest item was investment in infrastructure projects (23 per cent). Twenty per cent of the resources were devoted to income support measures, while the remaining 19 per cent was allocated to improve the functioning of the labour market, including training, job search assistance and subsidized reductions in working hours. The Government indicates that, among the measures taken in response to the global crisis contained in Decree-Law No. 185 of 28 November 2008, those regarding employment include: facilitating the employment of individuals benefiting from income support mechanisms; anticipating the re-employment of workers benefiting from the Cassa Integrazione Guadagni (CIG) (Wage Guarantee Fund); strengthening job-security agreements; and stimulating self-employment. Labour market measures focused on the mechanisms which ensure income support in case of risk of unemployment. The Government temporarily broadened the coverage of some of the existing mechanisms, namely the scheme to protect workers’ income in firms threatened with financial difficulties due to the crisis or restructuring, by providing unemployment benefits and mobility allowances. At the end of 2009, more than 36,000 enterprises involving 250,000 workers were expected to use those mechanisms. In January 2009, applications for unemployment benefits and mobility allowances increased by 44.2 per cent compared with 2008, reaching 750,000 persons. The Government also reports that, in the framework of the global crisis, various agreements with the social partners signed at the regional level were aimed at facilitating the access to credit of enterprises, reducing working time and broadening the coverage of income support mechanisms. The Committee invites the Government to provide information in its next report on how the policies designed and the programmes implemented will translate into productive and lasting employment opportunities for the unemployed and other categories of vulnerable workers affected by the global crisis. It requests the Government to provide information on the effects of the measures adopted to close the gap between the various regions of the country as to the levels of employment.

Other labour market measures. In reply to previous comments on limits to temporary and part-time employment contracts, the Government indicates that, according to the legislation applicable since 2001, a temporary employment contract cannot exceed 36 months. Act No. 247 of 24 December 2007 amended the previous legislation to impose a permanent employment contract after 36 successive months of work under contracts for a specified period of time. The only exception provided for in Act No. 247 is the possibility of a single further renewal of up to eight months subject to certain conditions. The Committee invites the Government to provide information in its next report on the impact of new legislation regulating the limitation of temporary employment contracts in satisfying the employment needs of workers whose contracts of employment have ended.

Youth employment. The Government indicated in its report that it launched the plan of action Italia 2020, which is mainly designed to facilitate the entry into the labour market of young persons under 25 years. This plan, among others, aims to: strengthen career service networks in high schools and universities; enhance vocational training, training within the workplace and apprenticeship; promote continuous learning; and stimulate an offer of universities in line with the labour market needs. Following the distribution of the funds from the Youth Policy Fund for the period 2007–08 to regions, provinces and municipalities, framework agreements were signed with all regions in order to stimulate creativity, entrepreneurship and employment of young persons while fostering regional productivity and creating stable and qualitative employment. Various other initiatives were carried out especially to promote entrepreneurship among youth and to foster youth employment. The Committee notes that the youth unemployment rate between 2007 and 2009 rose by almost 6.5 per cent points for a total of 26.3 per cent. In its 2010 General Survey concerning employment instruments, the Committee noted that there was a growing problem of unemployment among educated workers, particularly young university graduates who are unable to find secure employment commensurate with their skill level. This is an issue for advanced market economies as well as developing countries. Not only are their skills underutilized but this pattern of casual jobs can prove detrimental to their lifetime career progression (see paragraph 800 of the 2010 General Survey). The Committee invites the Government to continue to provide detailed information in its next report on the efforts made to improve the employment situation for young persons and the results achieved in terms of job creation and sustainable employment as a result of programmes adopted.

Women and other specific categories of vulnerable workers. The Government indicated in its report that Ministerial Decree of 13 November 2008 identified the regions in which the employment rate for women was less than 20 per cent of mens’ or in which the unemployment rate for women was more than 10 per cent of mens’. The Government also indicated that the Programme of Action for the Re-employment of Vulnerable Workers (PARI), aimed at re‑employing vulnerable workers, was continued and enhanced. The direct beneficiaries of the programme are workers benefiting from income support or other benefits linked to unemployment and particular categories of workers including young persons, women and workers over 50 years old. PARI relied on individual training plans as well as on economic incentives to enterprises willing to re-employ the beneficiaries of the programme and incentives to individuals choosing self-employment. PARI has been carried out in 18 regions. As of 30 June 2009, more than 18,000 workers were employed in the framework of PARI. The Committee invites the Government to provide in its next report information on the impact of PARI and other measures designed to encourage and support the employment of women and other specific vulnerable categories of workers such as older workers.

Educational and training policies. In its 2010 General Survey concerning employment instruments, the Committee noted that the reform of the education system introduced by Act No. 133 of 2008 is aimed at the rational and effective use of funds giving priority to the planning and implementation of a new territorial governance of education and training. It also noted that, in order to align training more closely to the needs expressed in the labour market, the system of higher technical education and training is being reorganized to offer higher technical specialization as an alternative to university studies (see paragraphs 120 and 583 of the 2010 General Survey). The Government in its report provides information on training policies and inter-professional joint funds. The Committee notes the Government’s statement indicating that investing in human capital is likely to increase productivity and reduce the risk of unemployment. The inter‑professional joint funds, which are established by employers’ and workers’ organizations through specific agreements, are mechanisms for financing company, sectoral and regional training plans that enterprises decide to run for their own employees. For the period 2004–08, inter-professional joint funds for continuing training approved more than 6,000 training plans involving 35,000 enterprises and almost 764,000 workers. The Committee would appreciate receiving information on how the educational and training measures are coordinated with employment policies. It would also welcome information on how the regional authorities and the social partners participate in the design and implementation of training policies and programmes.

Cooperatives. The Committee recalls that in its 2010 General Survey concerning employment instruments, it noted that the cooperative legislation in Italy offers a good example in terms of innovation and development (see paragraphs 464, 474 and 478 of the 2010 General Survey). The Committee invites the Government to provide in its next report information on the measures taken to promote productive employment through cooperatives in line with the Promotion of Cooperatives Recommendation, 2002 (No. 193).

CMNT_TITLE

The Committee notes that the Government’s report has not been received. It must therefore repeat its observation which read as follows:

1. Follow-up of the discussion at the 96th Session of the International Labour Conference (June 2007). Subsequent to its 2006 observation, the Committee notes the conclusion of the tripartite discussion that took place at the Conference Committee in June 2007. The Conference Committee invited the Government to pursue its national programmes for full and productive employment, the promotion of decent work and high-quality work for all, as required by the Convention. Replying to requests by the Conference Committee and the 2006 observation, the Government supplied in August and October 2007 comprehensive information in which it confirms its intention to reduce temporary and part-time employment contracts by imposing time limits on such contracts, in order to facilitate workers obtaining permanent employment contracts. The Committee welcomes this approach and encourages the Government to continue providing information in its next report on the manner in which the objective of full and productive employment has been taken into account in the formulation of economic and social policy. It would also appreciate continuing to receive information on the experience of the social partners in regard to the application of the Convention.

2. Articles 1 and 2 of the Convention. Employment trends and active labour market policies. The Government provided data indicating that, although the unemployment rate continued to decline, figures from the first quarter of 2007 show that there was a slowdown in employment growth after a sustained growth in 2006. Also, an increase in employment in the north and centre regions in 2006 was noted while observing a decrease in the south for this same period. Measures were taken to combat clandestine work which resulted in 94,000 workers in the construction industry being added to the legal registers. Also, the status of 22,000 call centre workers changed from self-employed persons to workers with an employment contract. Amendments to Act No. 30 of 2003 were adopted through the Finance Act 2007 and Decree-Law No. 223/2006 including other measures geared at encouraging growth and employment, combating illegal work and promoting safety in the workplace. Provisions included increasing tax deductions for corporations employing workers with an indefinite-term contract of employment and actions to suspend work on construction sites where illegal workers are employed. In this regard, the Committee asks the Government to provide further information on the effects of legislative and other measures adopted to promote employment and, more specifically, on closing the gap between the various regions of the country as to the levels of employment.

3. Means to promote youth employment. The Government raised the minimum age from 15 to 16, and provided additional financing for vocational training and the training of apprentices. It also intends to pass legislation directed at combating youth unemployment. The proposal for future legislation includes measures such as facilitating access to funding for young entrepreneurs as well as easing the transfer of small businesses from one generation to the next. Also, Decree-Law No. 223/2006 established a Youth Policy Fund that aims to promote the right of young people to cultural and vocational training and that creates measures to facilitate access to credit. The Committee notes the 2006 ISTAT labour force survey indicating that 21 per cent of students leave school prematurely. Some 900,000 people left school prematurely with a disproportionate percentage of school leavers in the south compared to the north or centre. Moreover, school leavers in the south typically do not enter the labour force in contrast to those in the north and centre who tend to be early entrants into the labour force. The survey also indicated that males tend to leave school at a higher rate than females. In this regard, the Committee asks the Government to include in its next report information on how recently adopted measures, geared at combating youth unemployment, have translated into lasting employment opportunities for young workers entering the workforce.

4. Women and other specific categories of vulnerable workers. The Committee notes that the Government has indicated its intention to continue with the implementation of measures to promote employment of women under the Finance Act of 2007 which includes tax incentives for the employment of women on indefinite-term contracts in the south of the country. The Government has taken measures to encourage the re-employment of workers over 50. In particular, it has enacted legislation to create the possibility of “solidarity between generations” agreements whereby those over 55 may voluntarily convert from full-time to part‑time status, with unemployed young persons under 25 permitted, under a part-time contract, to work the number of resulting hours. The Committee notes with interest this innovative approach and asks the Government to provide in its next report detailed information on the impact of measures designed to encourage and support employment levels of vulnerable categories of workers such as women and older workers.

5. Article 3. Participation of the social partners in the formulation and application of policies. The Government reports that social dialogue and consultation was reinforced with the social partners, at both the local and national level, by establishing permanent consultative round tables. It indicates that interaction with the social partners in the numerous consultative round tables on welfare, protection of the labour market and growth has been decisive in defining the problems encountered. The Committee trusts that the Government will continue to provide information on the consultations held with the social partners including details of their contribution to the implementation of an active employment policy within the meaning of the Convention.

CMNT_TITLE

1. Follow-up of the discussion at the 96th Session of the International Labour Conference (June 2007). Subsequent to its 2006 observation, the Committee notes the conclusion of the tripartite discussion that took place at the Conference Committee in June 2007. The Conference Committee invited the Government to pursue its national programmes for full and productive employment, the promotion of decent work and high-quality work for all, as required by the Convention. Replying to requests by the Conference Committee and the 2006 observation, the Government supplied in August and October 2007 comprehensive information in which it confirms its intention to reduce temporary and part-time employment contracts by imposing time limits on such contracts, in order to facilitate workers obtaining permanent employment contracts. The Committee welcomes this approach and encourages the Government to continue providing information in its next report on the manner in which the objective of full and productive employment has been taken into account in the formulation of economic and social policy. It would also appreciate continuing to receive information on the experience of the social partners in regard to the application of the Convention.

2.  Articles 1 and 2 of the Convention. Employment trends and active labour market policies. The Government provided data indicating that, although the unemployment rate continued to decline, figures from the first quarter of 2007 show that there was a slowdown in employment growth after a sustained growth in 2006. Also, an increase in employment in the north and centre regions in 2006 was noted while observing a decrease in the south for this same period. Measures were taken to combat clandestine work which resulted in 94,000 workers in the construction industry being added to the legal registers. Also, the status of 22,000 call centre workers changed from self-employed persons to workers with an employment contract. Amendments to Act No. 30 of 2003 were adopted through the Finance Act 2007 and Decree-Law No. 223/2006 including other measures geared at encouraging growth and employment, combating illegal work and promoting safety in the workplace. Provisions included increasing tax deductions for corporations employing workers with an indefinite-term contract of employment and actions to suspend work on construction sites where illegal workers are employed. In this regard, the Committee asks the Government to provide further information on the effects of legislative and other measures adopted to promote employment and, more specifically, on closing the gap between the various regions of the country as to the levels of employment.

3. Means to promote youth employment. The Government raised the minimum age from 15 to 16, and provided additional financing for vocational training and the training of apprentices. It also intends to pass legislation directed at combating youth unemployment. The proposal for future legislation includes measures such as facilitating access to funding for young entrepreneurs as well as easing the transfer of small businesses from one generation to the next. Also, Decree-Law No. 223/2006 established a Youth Policy Fund that aims to promote the right of young people to cultural and vocational training and that creates measures to facilitate access to credit. The Committee notes the 2006 ISTAT labour force survey indicating that 21 per cent of students leave school prematurely. Some 900,000 people left school prematurely with a disproportionate percentage of school leavers in the south compared to the north or centre. Moreover, school leavers in the south typically do not enter the labour force in contrast to those in the north and centre who tend to be early entrants into the labour force. The survey also indicated that males tend to leave school at a higher rate than females. In this regard, the Committee asks the Government to include in its next report information on how recently adopted measures, geared at combating youth unemployment, have translated into lasting employment opportunities  for young workers entering the workforce.

4. Women and other specific categories of vulnerable workers. The Committee notes that the Government has indicated its intention to continue with the implementation of measures to promote employment of women under the Finance Act of 2007 which includes tax incentives for the employment of women on indefinite-term contracts in the south of the country. The Government has taken measures to encourage the re-employment of workers over 50. In particular, it has enacted legislation to create the possibility of “solidarity between generations” agreements whereby those over 55 may voluntarily convert from full-time to part-time status, with unemployed young persons under 25 permitted, under a part-time contract, to work the number of resulting hours. The Committee notes with interest this innovative approach and asks the Government to provide in its next report detailed information on the impact of measures designed to encourage and support employment levels of vulnerable categories of workers such as women and older workers.

5.  Article 3. Participation of the social partners in the formulation and application of policies. The Government reports that social dialogue and consultation was reinforced with the social partners, at both the local and national level, by establishing permanent consultative round tables. It indicates that interaction with the social partners in the numerous consultative round tables on welfare, protection of the labour market and growth has been decisive in defining the problems encountered. The Committee trusts that the Government will continue to provide information on the consultations held with the social partners including details of their contribution to the implementation of an active employment policy within the meaning of the Convention.

CMNT_TITLE

The Committee notes the detailed information contained in the Government’s comprehensive report received in October 2005, as well as the relevant documents attached. It also notes the comments made by the Italian Confederation of Workers’ Unions (CISL) and the General Confederation of Italian Trade Unions (CGIL).

1. Employment trends and active labour market measures. Supplemented by the data published by the OECD, the report demonstrates that, although the unemployment rate continued to decline (from 8.6 per cent in 2003 to 8 per cent in 2004), employment growth showed a marked slowdown and the employment rate (57.6 per cent in 2004) remained below the EU target. The Committee also notes that the labour market is still characterized by regional segmentation, with relatively high levels of employment and productivity in the north and the centre, and the opposite in the south. The report also highlights the labour market integration difficulties experienced by young persons under 25 years of age, whose unemployment rate stood at 26.2 per cent in 2004, as well as a persistently high proportion of long-term unemployment. In its comments, the CGIL points out that the Government has lacked the will to direct public resources to research, training and innovation, in order to assert a competitive strategy for the Italian economy on products and services of high added value, and that it has instead focused on unfair and inefficient tax cuts. In this regard, the Committee asks the Government to provide information in its next report on the effectiveness of the programmes adopted and the measures taken to promote territorial cohesion in order to fill the gap between the various regions of the country as regards the level of employment. It also asks the Government to continue to provide information on the measures taken and the results achieved in reducing the proportion of long-term unemployment.

2. The Committee notes that the Government’s report refers to Act No. 30/2003 and implementing Decree No. 276/2003 concerning the regulation of the labour market. The report also lists a number of measures adopted by the Government mainly to promote labour market flexibility. For instance, labour contracts that include a training component have been rationalized, while more flexible forms of entering the labour market have been facilitated. According to the CGIL, and contrary to what had been previously announced by the Government, the measures implementing Act No. 30/2003 have not been the subject of any evaluation by the social partners and the new types of labour contracts have had little success. For its part, the CISL also calls for flexibility to be subject to the outcome of collective bargaining, in order to ensure that the use of these new labour contracts remains in the framework of the applicable legislation, thereby protecting the workers concerned. In this regard, the Committee asks the Government to report on the measures taken to generate sustainable employment and improve employment security for workers who have benefited from the provisions of Act No. 30 of 2003. The Committee also asks the Government to keep providing information concerning the implementation, monitoring and evaluation of its policies to facilitate the full employment of women, combat youth unemployment and facilitate the continued participation of older persons in the labour force (Articles 1 and 2 of the Convention).

3. While the Committee notes that the Government cites the strengthening of education and training as one of its main employment priorities, data published by the OECD Economic Survey (November 2005) exhibit a significant deficit in terms of human capital vis-à-vis the OECD average. In this regard, the Committee asks the Government to provide further information on its programmes and measures to raise the educational attainment of the workforce, reduce the school drop-out rate and increase the labour market relevance of tertiary education with a view to facilitating the transition from studies to work.

4. Participation of the social partners in the formulation and application of policies. The Government indicates that all the legislation regarding the reform of the labour market was the outcome of a long period of dialogue with employer and trade union organizations. The Government also emphasizes that the National Plan of Action for Employment was the subject of consultations with employer and trade union organizations and that, during the period covered by the current report, continuous and in-depth discussions took place on all issues related to employment policies. On this issue, the CISL indicates that there has been a systematic deterioration in trade union participation in government decisions. The CISL states that the Government has replaced a concerted exchange of views and social dialogue with mere consultation. According to the CISL, the 2005 National Plan of Action for Employment was established without due consultation with the social partners. The Committee recalls that, under the terms of the Convention, the measures to be taken in relation to employment policy should take fully into account the experience and views of the social partners with a view to securing their full cooperation in formulating and implementing employment policies. It requests the Government to provide detailed information in its next report on the consultations held with the representatives of the social partners and the progress achieved regarding the requirement of consultation on the matters covered by the Convention, as established in Article 3.

CMNT_TITLE

The Committee notes the report provided by the Government in September 2003. It is also aware of the National Plan of Action for Employment, 2003. The Committee notes that, according to OECD data, the unemployment rate continued to fall during the period, declining from 9.5 per cent in 2001 to 8.6 per cent in 2003. Although it continues to be one of the lowest in Europe, the participation rate increased slightly to 61.6 per cent in 2003, compared with 60.7 per cent in 2001. Despite this overall favourable trend, the characteristics of unemployment remain a matter of concern, particularly with regard to the persistent gap between the north and the south of the country, the labour market integration difficulties experienced by young persons under 25 years of age, whose unemployment rate is 26.3 per cent, and the proportion of long-term unemployment, with 58.2 per cent of the unemployed being without jobs for over 12 months.

1. Labour market and training policies. The Government describes in its report the principal innovations introduced by Act No. 30 of 14 February 2003 to reform the labour market, which is intended to modernize the operation of the labour market and make it more flexible. The strengthening of the public employment services, for which responsibility is transferred to the regions, is combined with a liberalization of the operating conditions of private employment agencies with a view to achieving greater complementarity between public and private actors on the labour market. Labour contracts which include a training component have been rationalized, while more flexible forms of entering the labour market are facilitated by the reform of the labour regulations respecting part-time and temporary work. Furthermore, Act No. 53 of 28 March 2003 reforming the education and training system is intended to increase the proportion of vocational training in the education system and to promote the combination of initial training and work so as to improve employability through closer links with the labour market. The Committee requests the Government to provide with its next report any available evaluation of the results achieved through these structural reform measures of the labour market and of training. Also noting the information provided at its request on the measures adopted to improve the situation of women in the labour market, including reform of the part-time work regulations, the Committee requests the Government to continuing providing such information, with an indication of the results achieved in terms of the long-term integration of women into productive and freely chosen employment.

2. General economic policies. The Committee would be grateful if the Government would supplement the information provided on labour market policies with a description of the manner in which the main aspects of general economic policy contribute to employment promotion. In particular, it requests the Government to indicate the manner in which employment objectives are taken into account in the adoption of measures in such fields as monetary, budgetary and taxation policies, and prices, incomes and wages policies. Please also describe the measures adopted or envisaged in the field of regional development policy, taking into account the specific employment problems in the south of the country.

3. Participation of the social partners in the formulation and application of policies. The Committee notes that employment policy measures form part of the framework agreed upon with the social partners which endorsed the Pact for Italy of July 2002. It requests the Government to continue providing detailed information on the consultations held with the representatives of the persons affected, both at the stage of formulating employment policies and in relation to the implementation of the measures adopted under such policies.

CMNT_TITLE

The Committee notes the information provided by the Government in July 2001 in reply to its observation of 2000, and the detailed report received in November 2002.

1. Articles 1 and 2 of the Convention. The Government states in its report that between January 2000 and January 2001 there was an increase in GDP of around 3 per cent, resulting in the creation of 656,000 new jobs. The positive results include a reduction in the unemployment rate which, for the first time in the past decade, fell below 10 per cent. The reforms carried out have created a conducive environment for the occupational integration of women, young persons and long-term unemployed. The report also included detailed information on the measures adopted to promote the employment of elderly workers and persons with disabilities. While employment increased in all regions, employment in the Mezzogiorno rose at a slower rate. The measures adopted in practice to combat youth unemployment in the Mezzogiorno include apprenticeship training, contracts combining work and training, as well as vocational guidance and training. These programmes are designed to bring young persons into direct contact with the world of work. Approximately 20,000 apprentices were trained between 1998 and 1999, with the Government’s objective consisting of the training of around 70,000 young persons in 2000. The unemployment rate for young persons fell slightly from 33.8 per cent in 1998 to 31.1 per cent in 2000. The Committee also notes that despite the rise in employment that occurred as a consequence of the labour market reforms introduced since the mid-1990s, employment and participation rates are low, particularly in the South, and among young people, women and people above the age of 55. The Committee would be grateful if the Government would include in its next report information on the measures taken to avoid the risk of developing a dual labour market, particularly in view of the increase in atypical forms of employment, and to implement structural reforms particularly to improve the coordination of education and training policies with prospective employment opportunities.

2. The Government also refers in its report to various legislative initiatives (for the implementation of European Community Directives, provisions respecting illegal work and budgetary laws) relating to labour policy. The Committee would be grateful if the Government would continue providing information in its next report on the manner in which the labour market measures have contributed to the achievement of the objectives of full and productive employment, as set out in the Convention.

3. The Government states that the activity rate of women is the highest achieved up to the present, but that it proposes to promote further the participation of women in the labour market by means of training services and special placement services, as well as through measures to improve the balance between work and life. The percentage of unemployed women fell from 16.1 per cent in 1998 to 14.5 per cent in 2000. Nevertheless, the possibilities for women to obtain stable employment with a permanent contract continued to be lower than those of men. The Committee would be grateful to continue receiving information on the measures adopted to increase the employment of women and the results achieved.

4. The Committee notes that the Government intends to reform the public employment service with European Union funds to facilitate the achievement of its commitments under the European Employment Strategy. The Committee would be grateful if the Government would also include information in its next report on the progress achieved in reforming the public employment service.

5. Article 3. The Committee notes the observations made by the General Confederation of Industry (CONFINDUSTRIA), which were attached to the Government’s report. CONFINDUSTRIA refers to the information available on the national employment plans issued annually by the Governments of Member States of the European Communities. CONFINDUSTRIA emphasizes the systematic and decisive role played by the social partners in determining labour policies and that this role has to be fulfilled in compliance with the rules of social dialogue. In this respect, the Committee trusts that the Government will include updated information in its next report on the consultations that have been held with the representatives of employers’ and workers’ organizations with a view to taking fully into account their experience and views and securing their full cooperation in formulating and enlisting support for the employment policy.

CMNT_TITLE

Articles 1 and 2 of the Convention. The Government states that it has finalized the Employment Action Plan, which is based on the four pillars of the Luxembourg Summit Agreement (employability, entrepreneurship, adaptability, and equal opportunity). The Government states that the Employment Action Plan and general employment strategy were established in collaboration with the social partners, and formally agreed to in two signed documents, in 1996 and 1997. The report provides detailed information on programmes established and measures taken to date to implement the Employment Action Plan. The Committee asks the Government to provide information in future reports on the outcome of the measures taken under the Employment Action Plan, in particular the effect on employment promotion in the Mezzogiorno. In this respect, the Committee notes the detailed employment statistics for managers provided by the Minister of Labour. It would appreciate receiving disaggregated employment data on the other segments of the labour market, in particular concerning youth, women, people with disabilities, and the long-term unemployed, as requested in the report form under Article 1.

The Committee also notes the labour market trends indicated in the Annual Report of the National Statistical Institute (presented May 2000) concerning gender issues in employment. The Report states that there is a high presence of women in tertiary activities, as well as exceptional access for women to generally male-dominated professions. The percentage of men in female-dominated professions has also increased. However, the Government comments that "women usually have educational backgrounds and certificates for which there is less demand", leading to lower pay; and "even when women have the same characteristics as men, women experience more difficulties accessing the job market", leading to lower compensation. Women in the Mezzogiorno have more limited access to training. Lastly, the increase in the number of senior citizens has placed an increased burden on women to remain out of the labour market for longer periods of time or to seek primarily part-time or temporary work in order to care for dependents. The Committee appreciates the complexity of the issues involved, and notes the strategies the Government has already adopted to promote employment for women, in particular increasing female self-employment and entrepreneurship. It would appreciate receiving further information on the efforts to improve women’s access to training and to ensure that the training provided better meets market demands for skills; and on strategies developed to ease the burden of caretaking for women who wish to remain in or re-enter the labour market.

The Annual Report of the National Statistical Institute also indicates that young people have more difficulties accessing training courses because training generally is biased towards university graduates, workers with professional diplomas, and workers with work experience. The Committee notes from the OECD Economic Survey for Italy that the Government has adopted a master plan to improve training which targets the needs of youth. However, the OECD considers that the Government is under-investing in skills development, and that much of unemployment can be accounted for by mismatch of skills to demand in the labour market. Please provide further information on the outcome of the master plan, particularly concerning employment promotion for youth.

CMNT_TITLE

1. The Committee takes note of the Government's report which consists entirely of a set of documents and statistics. Bearing in mind the particular difficulty of assessing the application of a Convention which requires the formulation and implementation of a policy, the Committee would be grateful if the Government would in future follow the report form approved by the Governing Body for the provision of the necessary information.

2. The Committee notes that, in the context of a stagnation in the volume of employment, the unemployment rate has remained above 12 per cent, while the worrying features of the distribution of unemployment have been confirmed or have worsened, particularly in terms of the divide between the north (with an unemployment rate of 6.5 per cent in January 1998) and the south (22.4 per cent) and between men (9.4 per cent) and women (16.8 per cent), the situation of young people under the age of 25 (33.8 per cent) and the incidence of long-term unemployment (67.8 per cent of total unemployment).

3. In order to make up for the absence in the report of a presentation of the Government's employment policy, the Committee has referred to the national Employment Action Plan sent in April 1998 to the Council and the Commission of the European Communities. In the Action Plan, the Government sets out the successes of its economic policy, in terms of a rapid fall in the budget deficit and the containment of inflation, which it attributes to its policy of wage restraint agreed with the social partners in the Employment Pact of September 1996. The Government emphasizes that, with the adoption in April 1998 of a Medium-Term Economic and Financial Policy Programme for 1999-2001, employment measures have, for the first time, been adopted within the overall context of general economic and financial policies aimed at achieving high growth and combating the structural causes of unemployment, especially in the south. The Committee observes that the results obtained in re-establishing macroeconomic balances to meet the requirements of the European Pact for Stability and Growth have not so far led to an improvement in the employment situation. The Committee requests the Government to indicate the extent to which its monetary, budget and fiscal policies and wages and incomes policies, as well as the implementation of infrastructure development policies, have contributed to combating unemployment.

4. The Committee notes the Government's description of different labour market policy programmes, such as socially useful work and employment-training contracts. With reference to its previous requests, the Committee again asks the Government to provide in its next report any available assessment of the results of these programmes in terms of the effective and lasting integration of their beneficiaries in employment.

CMNT_TITLE

1. The Committee notes the Government's report. From the information available to the ILO and contained in OECD reports and studies, the Committee notes that, despite economic recovery, the contraction of total employment continued in 1994 (-1.7 per cent) and 1995 (-0.6 per cent), with the unemployment rate reaching 12 per cent by the end of the period. The characteristics of the distribution of unemployment which the Government considered to be a matter of concern in its previous report have become more accentuated. The gap between the unemployment rate in the north (6.4 per cent in July 1995) and the south (20.7 per cent) has widened, with almost one-third of active persons under 25 years of age being without employment and with long-term unemployment accounting for 63 per cent of the total.

2. The Committee has also noted the comments of the Association of Credit Enterprises (Assicredito), that the unemployment struggle calls for macroeconomic measures in favour of non-inflationary growth, together with structural measures to make the labour market more flexible in particular, as well as raise workers' skill levels.

3. The Government provides information in its report on the measures adopted recently to simplify placement and recruitment procedures, and on the implementation of various incentives for recruitment and the promotion of self-employment. The Committee notes that regional employment offices are requested to supply data on the numbers of persons recruited as a result of the incentives financed by the Employment Fund with a view to making an accurate evaluation of their effectiveness. With reference to the requests for information in the report form, the Committee would be grateful if the Government would indicate in its next report the results of this evaluation and provide information concerning the reform of the employment services envisaged by the Government.

4. The Government also states that the programme of socially useful work intended for the long-term unemployed has been extended in scope. The Committee requests the Government to provide any available information on the contribution of this programme to the reintegration of the persons concerned into employment and to the promotion of full, productive and freely chosen employment. With reference to its previous comments, it also requests the Government to continue supplying information on the use that is made of employment-training contracts. The Committee further requests the Government to transmit the text of any official statement affirming that the promotion of full, productive and freely chosen employment remains an essential objective, in accordance with Article 1 of the Convention. The Government could, as in the past, envisage providing information on the contribution that general economic policies have made or are expected to make to the achievement of employment objectives. The Committee would be grateful to receive information in the Government's next report on developments in the wages and incomes policy since the conclusion of the tripartite agreements in July 1993, as well as information on monetary, fiscal and exchange rate policies, as requested in the report form adopted by the Governing Body. It hopes to be able to note an improvement in the employment situation, which remains a matter of concern.

CMNT_TITLE

The Committee notes that the Government's report has not been received. It must therefore repeat its previous observation which read as follows:

1. The Committee notes the Government's report for the period ending June 1992 containing detailed information albeit mostly for 1991 only on the employment situation and the labour market policies implemented. The Committee refers to OECD data and notes that owing to moderate growth in employment there was a slight drop in the unemployment rate which fell from 11.5 per cent in 1990 to 11 per cent in 1991. Since the end of the reporting period, however, employment has ceased to grow and the unemployment rate reached 11.6 per cent in 1992. Furthermore, the major structural characteristics of unemployment and its distribution have remained, for the most part, unchanged. At best there has been a slight attenuation of the regional distribution of unemployment and a slight narrowing of the gap between male and female unemployment rates. Long-term unemployment which still affects approximately 70 per cent of the unemployed, and unemployment of over 30 per cent among the under-25 age group are still particularly worrying. 2. The Government's report recalls the labour market measures to which the Committee already referred in previous comments. It notes in this connection that there was an appreciable drop in the number of training-work contracts, which fell from 470,000 in 1990 to approximately 200,000 in 1992 although, in 50 per cent of the cases, this type of contract has led to permanent jobs for the young people holding them. It would be grateful if in its next report the Government would give the reasons for this drop and continue to provide detailed information on the scope of the various labour market measures and the results obtained. The Committee also notes that Act No. 223 of 23 July 1991 introduced new accompanying measures for enterprise restructuring and incentives to recruit redundant workers and the long-term unemployed. Promotion of the employment of women was also stepped up during the period by the adoption of Act No. 125 of 10 April 1991 providing for positive action in the area of training and employment, and Act No. 215 of 25 February 1992 introducing incentives for women to establish enterprises. The Committee asks the Government to provide information on the effect that these new measures have had on the employment of the persons concerned. 3. With reference to its previous observation, the Committee notes that, in the Government's view, the implementation of the tripartite agreement of March 1991 for the development of the South demonstrates the interdependence of economic development policies and the essential role of the social partners. It would be grateful if the Government would provide any available assessment of the results obtained. The Committee also notes that following negotiations on wages policy, combating inflation and reducing the budget deficit, a new national collective agreement was concluded in July 1993, part of which deals with employment promotion. The Committee asks the Government to provide particulars of the above agreement indicating, more generally, how employment policy falls within "the framework of a coordinated economic and social policy". It hopes in this connection that the next report will indicate how the economic policy measures taken or envisaged in the areas of monetary, budgetary and fiscal policies, investment policy and regional development policy contribute to the pursuit of the objective of full, productive and freely chosen employment.

CMNT_TITLE

1. The Committee notes the Government's report for the period ending June 1994, which contains useful and detailed information on changes in the active population, employment and unemployment, as well as the employment policies pursued. The Government states that the severe recession experienced by the national economy in 1993 resulted in the loss of some 700,000 jobs and an increase in the unemployment rate, which was above 11 per cent at the end of the period, compared with 9.7 per cent in October 1992. Due largely to terminations of employment for economic reasons, the rise in unemployment was more accentuated in the south of the country, which further aggravated the regional difference in the employment situation: the unemployment rate in the south is now over ten points higher than the rates in the centre and north. Over 30 per cent of young persons under 25 years of age are unemployed, while long-term unemployment accounts for nearly 60 per cent of total unemployment. The Government emphasizes that this high level of unemployment, with distributional characteristics that give grounds for concern, is combined with other structural weaknesses affecting the Italian labour market. These include an activity rate which is too low and declined still further due to the withdrawal of persons who were discouraged from trying to find their first job or another job, an excessive proportion of self-employment, a large measure of moonlighting, an insufficient level of skills in the workforce and the prevalence of skills which are not adapted to current requirements.

2. The Government states that by subscribing to the obligations of the 1992 Treaty of the European Union and undertaking to meet the economic convergence criteria set out in that treaty, it has agreed to deny itself the use of the traditional instruments for re-establishing the macroeconomic situation, such as the exchange rate, inflation and the public debt, with the result that the principal burden of adjustment now rests on the labour market. It recognizes in this respect that taking the national currency out of the European exchange rate mechanism and its depreciation, although they were imposed by the financial markets rather than sought by the Government, contributed to attenuating the scale of the recession. In this context and under these constraints, the Government describes the principal objectives of its employment policy, as set out in 1994 in the White Paper "Employment objectives" issued by the Ministry of Labour, which are to promote growth that creates more jobs, render the labour market more flexible and reinforce training activities. It welcomes the conclusion of the agreements of July 1993 on incomes policy, collective bargaining, employment policies and support for productive activities, in which the social partners agreed on common objectives relating to the reduction of the public deficit, the containment of inflation and the promotion of employment, as well as establishing a dual level wage negotiation system, with a view to moderating wage increases. The Committee requests the Government to continue providing information on the measures which have been taken to promote productive activities and employment, in the framework of a coordinated economic and social policy and in consultation with the representatives of all the persons affected.

3. The Committee notes the new provisions implementing employment measures for the regions affected by the crisis. It notes the establishment in this context of an Employment Fund to finance incentives for the maintenance and creation of jobs. The Committee also notes the indications concerning the new functions of promotion, information, assistance and selection for which local employment offices are now responsible. With reference to its previous observation, it notes that the trend for the conclusion of fewer employment-training contracts has been confirmed, but that access to the training and placement system has been extended to young persons under 32 years of age. The Committee requests the Government to continue providing information on the nature and extent of the various labour market policy measures that have been implemented, and to transmit any available evaluation of their effectiveness in terms of the placement of the persons concerned in employment.

CMNT_TITLE

1. The Committee notes the Government's report for the period ending June 1992 containing detailed information - albeit mostly for 1991 only - on the employment situation and the labour market policies implemented. The Committee refers to OECD data and notes that owing to moderate growth in employment there was a slight drop in the unemployment rate which fell from 11.5 per cent in 1990 to 11 per cent in 1991. Since the end of the reporting period, however, employment has ceased to grow and the unemployment rate reached 11.6 per cent in 1992. Furthermore, the major structural characteristics of unemployment and its distribution have remained, for the most part, unchanged. At best there has been a slight attenuation of the regional distribution of unemployment and a slight narrowing of the gap between male and female unemployment rates. Long-term unemployment which still affects approximately 70 per cent of the unemployed, and unemployment of over 30 per cent among the under-25 age group are still particularly worrying.

2. The Government's report recalls the labour market measures to which the Committee already referred in previous comments. It notes in this connection that there was an appreciable drop in the number of training-work contracts, which fell from 470,000 in 1990 to approximately 200,000 in 1992 although, in 50 per cent of the cases, this type of contract has led to permanent jobs for the young people holding them. It would be grateful if in its next report the Government would give the reasons for this drop and continue to provide detailed information on the scope of the various labour market measures and the results obtained. The Committee also notes that Act No. 223 of 23 July 1991 introduced new accompanying measures for enterprise restructuring and incentives to recruit redundant workers and the long-term unemployed. Promotion of the employment of women was also stepped up during the period by the adoption of Act No. 125 of 10 April 1991 providing for positive action in the area of training and employment, and Act No. 215 of 25 February 1992 introducing incentives for women to establish enterprises. The Committee asks the Government to provide information on the effect that these new measures have had on the employment of the persons concerned.

3. With reference to its previous observation, the Committee notes that, in the Government's view, the implementation of the tripartite agreement of March 1991 for the development of the South demonstrates the interdependence of economic development policies and the essential role of the social partners. It would be grateful if the Government would provide any available assessment of the results obtained. The Committee also notes that following negotiations on wages policy, combating inflation and reducing the budget deficit, a new national collective agreement was concluded in July 1993, part of which deals with employment promotion. The Committee asks the Government to provide particulars of the above agreement indicating, more generally, how employment policy falls within "the framework of a coordinated economic and social policy". It hopes in this connection that the next report will indicate how the economic policy measures taken or envisaged in the areas of monetary, budgetary and fiscal policies, investment policy and regional development policy contribute to the pursuit of the objective of full, productive and freely chosen employment.

CMNT_TITLE

1. The Committee notes the Government's report for the period ending June 1990, the information supplied to the 78th Session of the Conference (June 1991) and the discussion in the Conference Committee. The Committee notes that, according to the information available to the ILO or contained in OECD reports, there was a reduction in the unemployment rate in 1990, which fell from 12 to 11 per cent. Despite this overall decrease, there remain major disparities between the regions, between the sexes and between age groups, which continue to be affected in a very unequal manner by unemployment. The regional differences in unemployment rates remain considerable: although the unemployment rate in the South has decreased substantially from 21.1 per cent to 19.7 per cent, this rate is three times higher than in the North of the country. The unemployment rate for women is 17.1 per cent as against 7.3 per cent for men, despite a participation rate by women which remains relatively low. Unemployment is particularly high among young persons (33.6 per cent of the 14-24 age group in 1989). The extent of long-term unemployment, which accounts for over two-thirds of total unemployment, is all the more worrying since 60 per cent of the long-term unemployed are young persons. All these figures bear witness to the continuing gravity of the problem of structural unemployment. The Committee would be grateful if the Government would include in its next report the available information on the situation, level and trends of employment, unemployment and underemployment, both in the aggregate and as they affect particular categories of workers including, as it requested in a previous observation, migrant workers.

2. The Committee notes that the Government gives full recognition to the need to pursue active policies designed to deal with the structural causes of unemployment. In this connection, it notes with interest the information that the resources allocated to active employment policy programmes have been increased substantially over recent years. The Government's report covers all the measures that have been taken, as the Committee has already noted in previous comments, including financial subsidies for the creation of jobs by enterprises in the South, the part-time employment of young persons in work of community interest, the participation of the Fund to Reduce Unemployment in the financing of investments to create jobs, and the financial and technical assistance supplied for the creation of enterprises by young persons in the South. The Committee notes with interest the increased importance of combined employment and training contracts, which covered more than half a million young persons in 1990, and the Government's plans to increase the number of beneficiaries by raising the age limit, to promote the transformation of these contracts into permanent employment contracts and to supplement them by employment preparation contracts intended in particular for young persons of between 15 and 25 years of age. The Committee would be grateful if the Government would continue to supply information on the various programmes that have been implemented, and on the measures that have been taken to assess their impact on the employment of the groups for whom they are intended and on other categories of the population.

3. The Government states that in order to combat unemployment in the South effectively, it is necessary to look beyond isolated emergency measures, which have been found to be insufficient, in order to adopt an integrated approach to development that is coordinated with an active labour market policy. It states that it is convinced of the need to coordinate initiatives to reduce unemployment and develop human resources with more general measures to promote the dynamism of the productive system. The Committee notes these statements and requests the Government to indicate in its next report the general economic policy measures that have been taken or are envisaged, particularly in the fields of investment policy, fiscal policy and regional development policy as a result of this orientation of its employment policy. Furthermore, the Committee would be grateful if the Government would supply information on the measures that have been taken or are envisaged in order to coordinate education and training policies with prospective employment opportunities, taking into account the relevant provisions of Convention No. 142 and the Committee's comments on the application of this Convention.

4. The Committee notes the conclusion in March 1991 of an agreement between the Government and employers' and workers' organisations for the overall development of the South. More generally, it notes with interest, following the debate in the Conference Committee, that the existing consultation procedures between the Government and the social partners on employment policies appear to be functioning in a satisfactory manner. The Committee does not doubt that the Government will continue to supply information on the manner in which the representatives of the persons affected are consulted concerning employment policies.

5. In conclusion, the Committee notes, in accordance with its previous comments relating to the impact of the measures that have been taken on the employment situation, the conclusion of the Conference Committee in June 1991 that the measures taken within the framework of the employment policy, despite the Government's efforts, have not resolved the employment situation, which remained worrying, especially with regard to disparities between regions, age groups and between the sexes. The Committee trusts that the Government will supply, within the time-limits set forth, as requested by the Conference Committee, the necessary information, particularly on the measures adopted in order to achieve the objectives set out in Article 1 of the Convention.

CMNT_TITLE

The Committee notes that the Government's report has not been received. It must therefore repeat its previous observation which read as follows:

1. The Committee notes the information supplied by the Government in its report for the period ending 30 June 1988. The employment promotion policy follows two main directions: greater flexibility in the operation of the labour market and broader functions and responsibilities for the employment services. The measures taken by the Government are therefore intended to facilitate access to the labour market and to strengthen the structures for the integration of workers, and in particular young persons and women seeking their first job. The Government has supplied information in its report, in reply to the Committee's previous comments, on the impact of the programmes that have been adopted in terms of the persons affected. 2. More precisely, within the context of measures to increase the flexibility of the labour market, various standard-setting measures have been taken. Act No. 863 of 19 December 1984 introduced new formulae, such as "solidarity contracts", which are an outcome of agreements between enterprises and workers' organisations for a stable and programmed reduction in working time and remuneration, with the objective of avoiding the elimination of jobs or of creating new jobs. Act No. 863 also provides for "training and employment" contracts which make it possible to recruit young persons for a maximum period of 24 months, during which the employer undertakes to provide, in addition to the corresponding remuneration, appropriate vocational training. Act No. 863 also had the objective of developing part-time work, although the Government notes high resistance by workers to this type of employment, the relatively low importance of which in total employment is confirmed by statistics. More recently, other measures have been adopted, particularly with the objective of compensating for the accumulated inequalities of age, sex and region. Act No. 44 of 28 February 1986 is intended to promote the creation of enterprises and co-operatives by young persons in the Mezzogiorno. Act No. 113 of 11 April 1986 is intended to promote the integration of young persons, women and the disabled who are the victims of long-term unemployment by encouraging their recruitment through tax relief. Direct subsidies were introduced under the Finance Act No. 67 of 11 March 1988 for manufacturing, handicrafts and co-operative enterprises which, between 1988 and 1992, were to take on workers with contracts for an undetermined period, while the Act also provided for the financing of local initiatives for community work to be undertaken in the Mezzogiorno. 3. Secondly, within the context of measures intended to strengthen the employment services, the Committee notes the creation of a general directorate to evaluate the labour market under Act No. 56 of 28 February 1987 respecting the organisation of the labour market, and to co-ordinate information and statistical data on employment. Regional employment commissions, set up under the regional labour and manpower offices, have been made responsible for managing the labour market, while employment agencies have been set up in areas that are particularly badly affected by unemployment. 4. Furthermore, the Committee notes the comments submitted by the General Confederation of Italian Agriculture (CONFAGRICOLTURA) and the Trade Union Association of Petrochemical Enterprises in the Public Sector (ASAP), transmitted by the Government in its report. The CONFAGRICULTURA, which states that it is aware of the gravity and increasingly acute unemployment problem, refers to the contribution that has been made by the measures taken under the collective labour agreement for the agricultural sector and emphasises the value of Act No. 56, which enables the regional employment commissions to take charge at the regional and local levels of the application of measures for the placement of the unemployed and studies on the labour market. The ASAP notes that difficulties of a bureaucratic nature have impeded the regular and satisfactory application of measures for the creation of enterprises by young persons, particularly in the South of the country (the Mezzogiorno). It also draws attention more particularly, among other matters, to the importance of training and, especially, vocational guidance. 5. The Committee notes the efforts that have been made by the Government, which is devoting an increasingly large proportion of public assistance to activities for the disadvantaged regions and groups of the population (the South - the Mezzogiorno - and young persons, in particular), to promote an active employment policy in consultation with the representatives of the persons affected. It is nevertheless led to make a similar observation to that contained in its 1988 observation, namely that, from all appearances, the measures that have been taken have not up to the present time made it possible to resolve an employment situation that remains worrying. Despite the sustained growth in production, the rate of job creation was not sufficient between 1986 and 1988 to decrease unemployment, the rate of which was 12 and 12.1 per cent in 1987 and 1988, according to OECD data. There continued to be considerable differences between: regions (the South had an unemployment rate of 19.2 per cent in 1987, as compared with 8.4 per cent in the industrialised regions in the North and the centre of the country); age groups (with a national unemployment rate of 35.6 per cent of the 14-25 year-olds and of 53.1 per cent in the South for the same group); and sex (8.1 per cent of the active male population was unemployed in 1987 as compared with 18.7 per cent of women). The Committee hopes that the Government will strengthen the measures to promote the objectives of the Convention as set out in Article 1, and will report the particular difficulties encountered in achieving these objectives and the extent to which they have been overcome. It would be grateful if the Government would continue to supply information on labour market policies, and particularly on measures intended to balance the supply and demand of labour at the occupational and geographical levels, including measures to adjust the workforce to structural changes, and measures intended to meet the needs of particular categories of workers. It also hopes that the next report will be supplemented by information on overall and sectoral development policies, including policies and measures for balanced regional development, and on the procedures adopted to ensure that the effects on employment of measures taken to promote economic development or other economic and social objectives receive due consideration (Article 2). Finally, the Committee would be grateful if the Government would supply full supplementary information providing details on the scope and outcome of consultations concerning employment policies with representatives of the persons affected by the measures that are to be taken (Article 3).

CMNT_TITLE

1. The Committee notes the information supplied by the Government in its report for the period ending 30 June 1988. The employment promotion policy follows two main directions: greater flexibility in the operation of the labour market and broader functions and responsibilities for the employment services. The measures taken by the Government are therefore intended to facilitate access to the labour market and to strengthen the structures for the integration of workers, and in particular young persons and women seeking their first job. The Government has supplied information in its report, in reply to the Committee's previous comments, on the impact of the programmes that have been adopted in terms of the persons affected.

2. More precisely, within the context of measures to increase the flexibility of the labour market, various standard-setting measures have been taken. Act No. 863 of 19 December 1984 introduced new formulae, such as "solidarity contracts", which are an outcome of agreements between enterprises and workers' organisations for a stable and programmed reduction in working time and remuneration, with the objective of avoiding the elimination of jobs or of creating new jobs. Act No. 863 also provides for "training and employment" contracts which make it possible to recruit young persons for a maximum period of 24 months, during which the employer undertakes to provide, in addition to the corresponding remuneration, appropriate vocational training. Between 1985 and 1987, 700,000 persons benefited under this type of contract. Act No. 863 also had the objective of developing part-time work, although the Government notes high resistance by workers to this type of employment, the relatively low importance of which in total employment is confirmed by statistics. More recently, other measures have been adopted, particularly with the objective of compensating for the accumulated inequalities of age, sex and region. Act No. 44 of 28 February 1986 is intended to promote the creation of enterprises and co-operatives by young persons in the Mezzogiorno. In June 1988, 185 projects had been approved, covering 3,281 jobs. Act No. 113 of 11 April 1986 is intended to promote the integration of young persons, women and the disabled who are the victims of long-term unemployment by encouraging their recruitment through tax relief. The report indicates that, through the "training contracts" provided for under this Act, by 31 December 1987 it had been possible to recruit 16,492 young persons. Direct subsidies were introduced under the Finance Act No. 67 of 11 March 1988 for manufacturing, handicrafts and co-operative enterprises which, between 1988 and 1992, were to take on workers with contracts for an undetermined period, while the Act also provided for the financing of local initiatives for community work to be undertaken in the Mezzogiorno.

3. Secondly, within the context of measures intended to strengthen the employment services, the Committee notes the creation of a general directorate to evaluate the labour market under Act No. 56 of 28 February 1987 respecting the organisation of the labour market, and to co-ordinate information and statistical data on employment. Regional employment commissions, set up under the regional labour and manpower offices, have been made responsible for managing the labour market, while employment agencies have been set up in areas that are particularly badly affected by unemployment.

4. Furthermore, the Committee notes the comments submitted by the General Confederation of Italian Agriculture (CONFAGRICOLTURA) and the Trade Union Association of Petrochemical Enterprises in the Public Sector (ASAP), transmitted by the Government in its report. The CONFAGRICULTURA, which states that it is aware of the gravity and increasingly acute unemployment problem, refers to the contribution that has been made by the measures taken under the collective labour agreement for the agricultural sector and emphasises the value of Act No. 56, which enables the regional employment commissions to take charge at the regional and local levels of the application of measures for the placement of the unemployed and studies on the labour market. The ASAP notes that difficulties of a bureaucratic nature have impeded the regular and satisfactory application of measures for the creation of enterprises by young persons, particularly in the South of the country (the Mezzogiorno). It also draws attention more particularly, among other matters, to the importance of training and, especially, vocational guidance.

5. The Committee notes the efforts that have been made by the Government, which is devoting an increasingly large proportion of public assistance to activities for the disadvantaged regions and groups of the population (the South - the Mezzogiorno - and young persons, in particular), to promote an active employment policy in consultation with the representatives of the persons affected. It is nevertheless led to make a similar observation to that contained in its 1988 observation, namely that, from all appearances, the measures that have been taken have not up to the present time made it possible to resolve an employment situation that remains worrying. Despite the sustained growth in production, the rate of job creation was not sufficient between 1986 and 1988 to decrease unemployment, the rate of which was 12 and 12.1 per cent in 1987 and 1988, according to OECD data. There continued to be considerable differences between: regions (the South had an unemployment rate of 19.2 per cent in 1987, as compared with 8.4 per cent in the industrialised regions in the North and the centre of the country); age groups (with a national unemployment rate of 35.6 per cent of the 14-25 year-olds and of 53.1 per cent in the South for the same group); and sex (8.1 per cent of the active male population was unemployed in 1987 as compared with 18.7 per cent of women). The Committee hopes that the Government will strengthen the measures to promote the objectives of the Convention as set out in Article 1, and will report the particular difficulties encountered in achieving these objectives and the extent to which they have been overcome. It would be grateful if the Government would continue to supply information on labour market policies, and particularly on measures intended to balance the supply and demand of labour at the occupational and geographical levels, including measures to adjust the workforce to structural changes, and measures intended to meet the needs of particular categories of workers. It also hopes that the next report will be supplemented by information on overall and sectoral development policies, including policies and measures for balanced regional development, and on the procedures adopted to ensure that the effects on employment of measures taken to promote economic development or other economic and social objectives receive due consideration (Article 2). Finally, the Committee would be grateful if the Government would supply full supplementary information providing details on the scope and outcome of consultations concerning employment policies with representatives of the persons affected by the measures that are to be taken (Article 3).