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1. Coordination of employment policy with economic and social policy. The Committee notes the detailed information provided by the Government, received in September 2009, in reply to its 2008 observation. The Government indicates that the financial crisis has hindered the country’s economic and social activities. The Committee notes the National Anti-crisis Employment Strategy (ENEC), adopted in April 2009, which includes public policy measures as well as programmes and projects designed to minimize the impact of the economic crisis on the labour market. The measures proposed complement the job-creation policies developed under the National Development Plan 2007–10 and should deliver quick results. The ENEC is based on the following components: (1) economic inclusion of micro and small producers; (2) promotion of a popular economy based on solidarity; (3) promotion of productivity in employment‑intensive sectors; (4) public investment in employment-intensive activities; and (5) protection of family income. The ENEC aims to generate 86,219 new jobs. The Government also mentions programmes to provide a temporary income for the population groups most affected by the crisis in exchange for labour services for emergency projects and productive and social infrastructure projects. Furthermore, the Committee duly notes the Government’s intention to ensure that economic growth strategies are adopted by means of national agreements with the social actors and that the measures adopted generate employment. In this regard, the Committee refers to its General Survey of 2010 on employment instruments, in which it emphasizes that social dialogue is essential in normal times and becomes even more so in times of crisis. The employment instruments require member States to promote and engage in genuine tripartite consultations (see General Survey, op. cit., paragraph 794). The Committee requests the Government to indicate in its next report the manner in which the social partners participated in the development, implementation and evaluation of the employment policies to overcome the negative effects of the crisis. The Committee requests the Government to include information on the impact of the ENEC in generating productive and sustainable employment.

2. Participation of the social partners. The Government confirms in its report that tripartite consultations are held within the National Labour Council before final decisions are taken. With regard to the groups not included in the tripartite body, the Government indicates that citizens participate by means of meetings, events and forums which allow them to express their opinions on various economic and social issues directly to the Government. The Committee reiterates its request for information that will allow it to assess whether the employment policy measures adopted have fully taken into account the experience and views of the representatives of organizations of employers and workers, including the representatives of those working in the rural sector and the informal economy (Article 3 of the Convention).

3. Articles 1 and 2. Labour market analysis. The Government indicates in its report that it intends to carry out an analysis of labour market trends and gather the necessary information concerning employment, unemployment, underemployment, occupations, jobs and other variables with a view to taking the appropriate measures. According to data from the National Institute for Statistics and Censuses (INDEC), in September 2009, urban unemployment stood at 9.1 per cent (1.8 percentage points above the average rate in 2008); urban underemployment stood at 51.7 per cent and the poverty rate was 36.3 per cent. According to data published in the 2009 Labour Overview, more jobs were created by self-employment (4.5 per cent) than wage and salaried employment (0.5 per cent) and construction was the sector that created the most jobs (4.3 per cent), whereas manufacturing remained unchanged and job creation in the trade sector decreased by 1.4 per cent, according to data from the first half of 2009, compared with the same period in 2008. The Committee requests the Government to include up-to-date information in its next report on the employment, unemployment and underemployment situation, levels and trends, including information on the employment situation of the most vulnerable categories of workers, such as women, young persons and rural workers.

4. Youth employment. In its previous comments, the Committee requested information on the measures adopted to implement the National Youth Employment Plan and the results achieved. The Committee notes that youth unemployment has risen more than adult unemployment and that in the urban sector, the unemployment rate among young persons aged between 15 and 24 years rose from 14.4 per cent in 2008 to 17.5 per cent during the first half of 2009. The Committee requests the Government to include information in its next report on the measures adopted to ensure sustainable employment for young persons.

5. Regional integration and rural development. The Government indicates in its report that the challenge of regional development is to achieve balanced and sustainable progress in all regions of the country, in order to improve the living conditions of the entire population, redistribute wealth and encourage the development of citizenship. The Government indicates that it intends to recover local planning processes to reduce regional disparities in the implementation of public policies. The Committee requests the Government to provide information on the regional development policies aimed at ensuring the balanced distribution of the country’s economic activities.

6. Small and medium-sized enterprises. The Government indicates that the Industry and Competitiveness Ministry’s Undersecretariat for Micro-, Small and Medium-sized Enterprises and Handicrafts coordinates support programmes for micro, small and medium-sized enterprises to strengthen their productivity and competitiveness and establish productive networks. Furthermore, business initiatives are strengthened through the provision of training for their staff, technical support and credit assistance. The Committee requests the Government to continue providing information on the manner in which job creation is promoted by means of micro-, small and medium-sized enterprises. The Committee also requests the Government to identify the programmes that have been most effective in helping precarious workers and those in the informal economy to find productive and lasting employment.

7. Vocational training. The Committee notes that a new National Vocational Training System was approved by means of Presidential Decree No. 1509 of 29 December 2008. The Presidential Decree states that vocational training is key to achieving decent work and employment. The National Vocational Training Council has been created as a tripartite regulatory body responsible for defining and approving vocational training policies. Furthermore, the Vocational Training Programme for Social Inclusion should contribute to improving the accessibility of the labour market and creating new employment opportunities for vulnerable social groups affected by unemployment and underemployment in both urban and rural areas. The Committee requests the Government to include information in its next report to allow an assessment of the impact of the creation of the National Vocational Training Council in coordinating vocational training and education policies with employment prospects.

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1. Articles 1 and 2 of the Convention. Coordination of employment policy with economic and social policy. In reply to the 2006 observation, the Government indicates, in its report received in October 2007, that the Ministry for the Coordination of Social Development has been established for the planning of joint action by ministries in the social field. The Government comments that Ecuador is a country in which productive assets, such as land and credit, are badly distributed, and that labour is the only real asset that individuals have for their integration into productive life and as a means of overcoming poverty. The Committee notes that the labour indicators from January to August 2007 in Cuenca, Guayaquil and Quito indicate that the unemployment rate was 9.8 per cent (lower than the 10.3 per cent registered during the same period in 2006), principally attributable to the expansion of employment, but also to a slight fall in the participation rate. According to the data published by the ILO in Labour Overview 2008, the increase in labour demand, especially in commerce, was due to the expansion of internal demand. There was also a significant reduction in the underemployment rate which on average fell from 48.2 per cent in 2006 to 42.6 per cent in 2007. With a view to addressing an employment situation which gave grounds for concern, the Committee had requested the Government to provide information on the manner in which employment policy objectives were related to other social and economic objectives. In this respect, the Committee notes with interest the 11 areas for action by the Ministry of Labour and Employment which are enumerated in the report:

–      re-establishment of social dialogue;

–      elimination of disparities in basic minimum remuneration;

–      implementation of a modern system of labour records and statistics;

–      intensive vocational training;

–      abolition of private recruiters, labour subcontracting and other precarious forms of employment;

–      integration of persons with disabilities and those affected by HIV/AIDS;

–      progressive elimination of child labour;

–      creation of employment programmes for young persons;

–      coordination of the supply of vocational training with the National Plan for Economic Inclusion;

–      implementation of the National Occupational Safety and Health Plan; and

–      strict compliance with the standards and labour rights set out in ratified international labour Conventions.

With regard to the above, the Committee hopes that the Government will be in a position in its next report to provide updated information on the situation, level and trends of employment, unemployment and underemployment in the country and the extent to which specific measures enumerated above have been taken and, if so, whether they have been successful in generating lasting employment for the most vulnerable categories of workers (such as women, young persons and rural workers).

2. Youth unemployment. The Government indicates that up until 2006 there were no employment policies for young persons designed to achieve their integration into the labour market. In its report, the Government refers to a National Youth Employment Plan for the implementation of productive projects by young persons who have entrepreneurial skills and various internship programmes for students in higher education in the public sector (such as the programme Mi Primer Empleo). The Committee requests the Government to provide detailed information in its next report on the measures adopted to implement the National Youth Employment Plan and the results achieved.

3. Unemployment and the informal economy. The Government indicates that in March 2007, the underemployment rate in urban areas was 45.31 per cent of the economically active population, meaning that around 2 million people are engaged in informal or precarious work in activities that do not bring in a steady income, are not covered by the Ecuadorian Social Security Institute and do not benefit from employment stability or social benefits. According to Labour Overview, over 70 per cent of jobs in Ecuador are informal. The Committee requests the Government to indicate in its next report the most effective programmes in terms of the generation of productive employment for precarious workers and those in the informal economy.

4. Article 3. Participation of the social partners in the formulation and implementation of policies. The Government refers once again to the consultations held in the National Labour Council, and to the participation of citizens through peoples’ assemblies, which express views directly to the National Government on various subjects, including economic and social matters. The Committee once again emphasizes the importance of the Government including information in its next report on the manner in which the National Labour Council, and if possible the peoples’ assemblies, have participated in the formulation and implementation of an active employment policy, as required by the Convention. With a view to assessing the manner in which effect is given to this important provision of the Convention, the Committee requests sufficiently full and detailed information to assess whether the measures adopted have fully taken into account the experience and views of the representatives of organizations of employers and workers, including the representatives of those who work in the rural sector and the informal economy.

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1. Coordination of employment policy with economic and social policy. The Committee notes the report received in September 2005, to which was attached a summary of the General State Budget by sector for 2005. The Committee notes the amounts allocated to labour matters and social development. The Government also briefly enumerates the six priority programme objectives which comprise its immediate plan of action for employment for 2005 and 2006. According to information from the Subregional Office, due to the lack of financing, the above plan was not initiated in 2005. The Committee notes that, although there was an increase in GDP and the volume of exports, the rise in the unemployment rate in the first quarter of 2005 in Quito, Guayaquil and Cuenca was followed by a more significant decrease in the second quarter in relation to the same period in 2004, with the result that the average unemployment rate for the first half of 2005 was 11.1 per cent, which was slightly lower than the 11.3 per cent recorded in the same period in 2004. As indicated by the ILO in Panama laboral 2005, the low rate of generation of quality employment is also a cause of concern. During the period under consideration, informality on the labour market continued to rise (and affects around 60 per cent of the population), as did poverty, leading to great pressure on emigration. The Committee refers to its 2004 observation in which it requested the Government to provide detailed information on the manner in which employment policy objectives are related to other social and economic objectives. The Committee once again requests the Government to provide detailed information in its next report on the situation, level and trends of employment, unemployment and underemployment in the country and the extent to which they affect the most vulnerable categories of workers (such as women, young persons and rural workers), who tend to experience most difficulty in finding lasting employment. The Committee requests the Government to indicate the manner in which the statistical data compiled has served as a basis for the establishment of economic and social policies which give priority to the creation of productive employment (Articles 1 and 2 of the Convention).

2. Participation of the social partners in the formulation and implementation of policies. In response to the 2004 observation, the Government indicates that the experience of Peru has been a significant influence on Ecuador agreeing to establish the National Labour Council. Following two tripartite meetings, the National Labour Council was established and has held various consultations. The Government indicates that the participation of citizens through the people’s assemblies also provides opportunities for views to be expressed on the various economic and social issues. The Committee welcomes the examination carried out of good practices that have been established in the subregion and reiterates the importance of the Government providing information in its next report that is sufficiently full and detailed to offer a basis for assessing whether the measures adopted in relation to employment policy have taken fully into account the experience and views of the representatives of organizations of employers and workers, including the representatives of those working in the rural sector and the informal economy. In particular, the Committee would be grateful to be provided with information showing the manner in which the National Labour Council has participated in the formulation and implementation of an active employment policy, as required by the Convention (Article 3).

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1. Coordination of employment policies with economic and social policy. In a short report received in September 2003, the Government indicates that a new State budget is under discussion and that measures will be approved to reactivate the construction sector. The Government recalls that employment surveys are undertaken by INEC. The Committee notes that the unemployment rate in Ecuador (6.7 per cent in 2003 and 6.3 per cent in 2002) has undergone a moderate increase as a result of the contraction of the non-oil export sectors and the deceleration of migration abroad. The annual urban youth unemployment rate was 17.4 per cent and the informal economy accounted for over 55 per cent of the population in 2002 (ILO, Labour Overview 2003). This labour market situation leads the Committee to refer once again to its previous comments in which it pointed out that, to achieve the objectives of full and productive employment set out in the Convention, government policies should give priority to employment promotion and social development to combat poverty. The Committee requests the Government to provide detailed information in its next report on the manner in which employment policy objectives are related to other economic and social objectives (Articles 1 and 2 of the Convention).

2. The Committee once again requests information on the situation, level and trends of employment, underemployment and unemployment throughout the country and the extent to which they affect the most vulnerable categories of workers (such as women, young persons and rural workers), who tend to experience most difficulty in finding lasting employment. The Committee would be grateful if the Government would indicate the manner in which the statistical data compiled served as a basis for the establishment of economic and social policies which give priority to the creation of productive employment.

3. Social partners’ participation. The Committee notes the Government’s statement on the trends with regard to participation in Ecuadorian society. The Committee emphasizes that the consultations required by Article 3 of the Convention have to address the measures to be adopted in relation to employment policy with the objective of taking fully into account the experience and views of the persons consulted and securing their full cooperation in formulating and enlisting support for such policies. Consultations with the representatives of the persons affected should include in particular the representatives of employers and workers, as well as representatives of other sectors of the economically active population, such as those working in the rural sector and the informal economy. The Committee requests the Government to provide information in its next report on the consultations required by this provision of the Convention.

4. ILO technical cooperation. The Government refers in its report to a wide-ranging process of cooperation with the Office. The Committee requests the Government to include information in its next report on the action taken as a result of the ILO’s technical assistance in the field of employment policy (Part V of the report form).

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1. Articles 1 and 2 of the Convention. The Committee notes the Government’s brief report, received in September 2002, in which it refers to a new economic and exchange rate structure based on the dollar, with priority being given to the reduction of public expenditure. In 2001, the Ecuadorian economy experienced a strong recovery with the construction, trade and manufacturing industry sectors showing greatest improvement. The average annual unemployment rate fell from 14.4 per cent to 10.4 per cent in the three most important cities of the country, Guayaquil, Quito and Cuenca. A high emigration rate was also reported (between 1998 and 2000, some 230,000 persons are reported to have left the country). The construction of a new oil pipeline, which is expected to be completed in 2003, could also have an important impact on oil exports. The Committee refers to its previous comments, in which it indicated that in order to achieve the objectives of full and productive employment, as set out in the Convention, government policies should give priority to promoting employment and social development with a view to combating poverty. In this respect, the Committee asks the Government to provide in its next report more detailed information on the manner in which the objectives of the employment policy have been related to other economic and social objectives.

2. The Committee recalls that a compilation and analysis of statistical data must provide the basis for the adoption of employment policy measures. The Committee reiterates its request for information on the situation, level and trends of employment, unemployment and underemployment throughout the country and the extent to which they affect the most vulnerable categories of workers (such as women, young persons and rural workers), who tend to be those who encounter the greatest difficulties in finding lasting employment.

3. Article 3. The Government refers in its report to project ECU-004, of 1997, which appears not to have achieved concrete results in promoting tripartite social dialogue. It also refers to the consultations held with regard to the fixing of minimum wages. The Committee recalls that the consultations required by the Convention must cover the employment policy measures to be adopted with a view to taking fully into account the experience and views of the persons consulted and securing their full cooperation in formulating and enlisting the support that is necessary for their implementation. Consultations with the representatives of the persons affected should include, in particular, representatives of employers and workers, as well as representatives of other sectors of the economically active population, such as those working in the rural sector and the informal sector. The Committee trusts that the Government will include in its next report the information requested in the report form under Article 3 of the Convention on the consultations required for employment policy.

4. Part V of the report form. The Committee requests that the Government provide information in its next report on the action taken as a result of the ILO’s technical assistance in the field of employment policy.

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Articles 1 and 2 of the Convention.  The Committee notes the information contained in the Government’s report, in particular the progress made in controlling inflation and recovering from the recent economic crisis. The Government’s main strategies for promoting employment and tackling poverty are to reduce public spending and to redistribute work by reducing the number of working hours per person. The Government is investing in infrastructure projects and expanding access to primary education to create the conditions for economic expansion. However, the Committee notes with concern that extreme poverty is still widespread and growing, and that unemployment rose from 9.2 per cent in 1997 to 14.4 per cent in 1999. Women and young people have been the worst affected. It is also estimated by the ILO that the increase in poverty has caused an increase in child labour. The Government has taken some measures to combat poverty, in particular by providing solidarity vouchers to poor female-headed households, but it appears that more radical measures may be needed as an interim measure. The Committee would appreciate receiving further information on the measures taken to prioritize employment promotion and social development, such as negotiating a rescheduling of debt repayments on condition that the money will be applied to appropriate social expenditures.

Article 3.  The Committee notes the Government’s statement that it aims to improve relations between workers and employers, and that there is an ILO technical cooperation project on strengthening social dialogue. The Committee requests further information on progress made in strengthening social dialogue in the sphere of employment policy, examples of such consultation, and the outcomes.

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1. The Committee notes the Government's reports received in June and October 1998. The Committee notes that the urban unemployment rate, which had reached 10.4 per cent, fell in 1997 to 9.2 per cent (according to official data), which appears to be high in comparison with the first half of the decade. According to the information transmitted by the ILO's Multidisciplinary Advisory Team for the Andean Countries, it is necessary to create productive employment every year to absorb the very high growth in the economically active urban population, reduce the high level of open unemployment which particularly affects women and young people from poor households and reduce the high level of informalization of the economy. Thirty-two per cent of the economically active urban population is employed in the formal private sector, while 47 per cent is engaged in informal urban activities. The Committee recalls that in its previous comments it expressed interest in the measures envisaged to resolve the problem of unemployment and underemployment, through the declaration and pursuit of an active policy of full productive employment, within the meaning of the Convention. The Committee would be grateful if the Government would provide information in its next report on the manner in which the objective of full employment has been taken into account in the context of the Government's current economic policy (Article 1 of the Convention).

2. The Committee notes that, according to the information published by the Economic Commission for Latin America and the Caribbean (ECLAC), the minimum wage, including supplementary emoluments, suffered an erosion of around 3 per cent, with wage increases failing to compensate for the rise in the level of prices. The Committee once again recalls that employment policy should be an essential element of any policy for promoting the growth and fair sharing of national incomes (see Paragraph 21 of Recommendation No. 122). The Committee requests the Government to provide data in its next report on the incomes policy so that it can assess the manner in which the remuneration of workers contributes to economic development and raising levels of living, which are among the objectives set out in Article 1.

3. The Committee recalls that in February 1990 the National Employment Institute (INEM) established the National Employment System and has been implementing the Emerging Employment and Social Development Programme. Furthermore, with the technical assistance of the ILO, the INEM provides technical support for the process of social dialogue. The Committee would be grateful if the Government would provide statistical data in its next report so that it can examine the results achieved in terms of the creation of productive employment by the programmes implemented by the Government. Please also continue providing information on the action taken as a result of the advice provided by the Office in the field of employment, as requested in Part V of the report form.

4. In its previous comments, the Committee noted a project to promote dialogue on labour issues, which had also received the technical support of the ILO. The Committee notes that the consultations have been suspended for lack of consensus and owing to the political transition. The new Government has declared its intention of reactivating the plan for social dialogue. The Committee trusts that the Government will provide information in its next report on the consultations held with representatives of organizations of employers and workers, through which their cooperation has been secured in formulating and pursuing the employment policy (Article 3). The Committee would be grateful if the Government would indicate, taking into account the importance of the rural sector and the informal sector, whether it has managed to hold consultations concerning employment policy with representatives of those sectors. Please also indicate whether formal consultation procedures have been established.

5. The Committee notes that in the tripartite agreements that have been concluded it is stated that independent employment is a possibility available to all members of society in Ecuador to become employers through the creation and development of single-person enterprises or associative enterprises that are mutually owned, by joining with other persons interested in providing capital, material goods or knowledge to set up and participate in the operation of this type of enterprise. The Committee would be grateful if the Government would state whether special programmes have been implemented to facilitate the creation of sustainable employment through micro-enterprises. In this regard, the Government may find it useful to consult the provisions of the Job Creation in Small and Medium-Sized Enterprises Recommendation, 1998 (No. 189).

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The Committee notes that the Government's report contains no reply to previous comments. It hopes that the next report will include full information on the matters raised in its previous direct request, which read as follows:

The Committee refers to its observation and requests the Government to include in its next report details on the following matters.

1. The Government's report states that the policy of liberalizing trade has had a positive effect in regard to production but that opening up of frontiers, far from being a solution to the expansion of small and medium industries has had the opposite effect as certain industries of this type had to close as they could not meet the competition from similar industries in other countries. The Committee notes the statistical export tables (1985-93) compiled for Colombia, Peru and Venezuela. The Committee requests the Government to continue supplying information to allow it to ascertain how the trade policy affects employment.

2. On wages policy the Government, which supplies detailed information, states that wages which are still inadequate despite the increases made will be increased progressively and regularly. The Committee recalls that the wages policy must be an essential element of any policy designed to promote increased national incomes and their equitable distribution (see paragraph 21 et seq. of Recommendation No. 122 on employment policy, 1964). The Committee requests the Government to include data on the incomes policy allowing it to ascertain how workers' remuneration contributes to economic development and raising levels of living which are among the objectives set out in Article 1 of the Convention.

3. Please provide indications on the work and results of the coordinating committee set up to implement the national training programme for integration in productive activities of public employees, established under Decree No. 2243.

4. Please indicate whether the measures adopted by the Social Front -- restructured under Decree No. 2207 of 21 October 1994 -- have taken into account the provisions of the Convention in formulating employment policy measures.

5. Please continue to supply indication of the activities of the Programme for Urgent Employment and Social Development implemented by the National Employment Institute. The Committee would particularly appreciate indication of specific action undertaken as the result of advisory services from the Office on employment policies (Part V of the report form).

6. In reply to previous comments the Government states that despite the lack of specific studies on the effects on employment of Acts No. 90 of 1990 and No. 1 of 1991, the establishment of free zones has generated jobs, particularly in the areas close to ports. The Committee refers again to its direct request of 1994 and asks the Government to include any indication available on part-time employment contracts and free zones. The Government may consider it useful to consult the instruments adopted by the Conference in 1994 on part-time employment (Convention No. 175 and Recommendation No. 182). Similarly, the Committee requests the Government to refer to its previous commentaries on the application of labour legislation and the ratified Conventions in free exporting zones. It trusts that the Government might call on the experience of the ILO and will indicate the impact on job creation in the free zones.

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The Committee notes that the Government's report contains no reply to previous comments. It must therefore repeat its previous observation which read as follows:

1. The Committee notes the Government's report for the period ending June 1994. With reference to its request made in the observation of 1994 on the procedures which have been adopted to guarantee that the measures which are taken to promote economic development and other economic and social objectives contribute to the attainment of the employment objectives set out in development programmes, the Government states its conviction that the success obtained in reducing inflation (from 60 per cent in 1992 it has dropped to 26 per cent in 1994) is a major achievement to improve the purchasing power of the population. The Government also states that the recovery in monetary reserves, the reduction in the budget deficit (which dropped to 0.4 per cent of the GDP in 1993) and, especially, the agreement with external creditors for renegotiation of the external debt, are contributing to the increase of productive foreign investment, which will reactivate the employment market in the country. The Committee notes the results achieved in re-establishing the growth of the GDP and reducing inflation but notes that unemployment is around 13 per cent while the underemployment level is about 50 per cent. On this matter, the Committee trusts that in its next report the Government will supply information on the results of the measures planned to solve the problem of unemployment and underemployment. In this respect, the Government should supplement its next report with replies to the questions concerning overall and sectoral development policies, labour market, educational and training policies set out in the report form approved by the Governing Body.

2. With reference to the comments it has been making for several years, the Committee again notes that the Government recognizes the crucial importance of the views of the social partners on employment policy. The Government refers to the Action Plan 1993-96 in which it expresses its intention to discuss these matters with the sectors concerned, suggesting the implementation, for example, of activities strengthening wide participation and forming a labour consultation plan. This plan would be based on a tripartite agreement between employers, workers and the public sector, would have the economic support of UNDP and the technical support of the ILO. The Committee notes that this project was to begin in 1995 with the aim of negotiating tripartite agreements on policies for employment, wages and productivity to be carried out in the country. The Government adds that it is seeking to institutionalize machinery for dialogue and participation. The Committee trusts that it will be possible to carry out these initiatives suggested by the Government, which appear to comply with the purpose of the consultations required under Article 3 of the Convention. The Committee trusts that the Government will be able to supply indications on progress in this matter.

3. The Committee notes the observations of October 1994 sent in by the Ecuadorian Central of Class Organizations (CEDOC) regarding application of the Convention. CEDOC considers that the Government's policy of encouraging state workers to resign and abolishing posts within the framework of a state reduction plan is contrary to application of the Convention. Between 1993 and 1994 20,000 state workers were made redundant. Furthermore, CEDOC states that the Government does not consult workers' organizations -- at least CEDOC -- on the measures to be adopted on employment policy. The Government for its part indicates in its report (which states a copy has been sent to CEDOC) that programmes for retraining public employees who have left their jobs are being carried out while strong support is being given to micro-enterprise management as a real employment alternative for this group of workers. The Committee recalls that in its direct request of 1994 it included a question regarding the impact on the social costs of structural adjustment of the compensation plan formulated following the programme to reduce public expenditure and the privatization policy. In this context, the Committee notes Decree No. 2243 of 8 November 1994 which establishes a national training programme for integration into productive activities of public employees who participated in voluntary resignation programmes. It also notes the support provided to micro-enterprises through 225 million dollars received from the World Bank, Inter-American Development Bank and the Andean Development Corporation which allow favourable credits to be granted in the sector. The Committee requests the Government in its next report to specify the results obtained from these measures which seem designed to align labour supply and demand as a result of the structural changes made in particular areas such as the public sector. The Committee trusts that the representatives of the persons affected by the employment reduction measures will be consulted, within the meaning of the Convention, and will be involved in the consultation referred to by the Government in its report.

4. In a direct request, the Committee requests the Government to include in its next report information on some aspects of the application of the Convention such as the effects of liberalization of trade on employment, the incomes policy, the action of the Social Front in formulation of the employment policy, compensatory measures adopted in the framework of employment programmes, technical cooperation received from the Office, job creation through part-time contracts and free zones.

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The Committee notes that the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

The Committee refers to its observation and requests the Government to include in its next report details on the following matters.

1. The Government's report states that the policy of liberalizing trade has had a positive effect in regard to production but that opening up of frontiers, far from being a solution to the expansion of small and medium industries has had the opposite effect as certain industries of this type had to close as they could not meet the competition from similar industries in other countries. The Committee notes the statistical export tables (1985-93) compiled for Colombia, Peru and Venezuela. The Committee requests the Government to continue supplying information to allow it to ascertain how the trade policy affects employment.

2. On wages policy the Government, which supplies detailed information, states that wages which are still inadequate despite the increases made will be increased progressively and regularly. The Committee recalls that the wages policy must be an essential element of any policy designed to promote increased national incomes and their equitable distribution (see paragraph 21 et seq. of Recommendation No. 122 on employment policy, 1964). The Committee requests the Government to include data on the incomes policy allowing it to ascertain how workers' remuneration contributes to economic development and raising levels of living which are among the objectives set out in Article 1 of the Convention.

3. Please provide indications on the work and results of the coordinating committee set up to implement the national training programme for integration in productive activities of public employees, established under Decree No. 2243.

4. Please indicate whether the measures adopted by the Social Front - restructured under Decree No. 2207 of 21 October 1994 - have taken into account the provisions of the Convention in formulating employment policy measures.

5. Please continue to supply indication of the activities of the Programme for Urgent Employment and Social Development implemented by the National Employment Institute. The Committee would particularly appreciate indication of specific action undertaken as the result of advisory services from the Office on employment policies (Part V of the report form).

6. In reply to previous comments the Government states that despite the lack of specific studies on the effects on employment of Acts No. 90 of 1990 and No. 1 of 1991, the establishment of free zones has generated jobs, particularly in the areas close to ports. The Committee refers again to its direct request of 1994 and asks the Government to include any indication available on part-time employment contracts and free zones. The Government may consider it useful to consult the instruments adopted by the Conference in 1994 on part-time employment (Convention No. 175 and Recommendation No. 182). Similarly, the Committee requests the Government to refer to its previous commentaries on the application of labour legislation and the ratified Conventions in free exporting zones. It trusts that the Government might call on the experience of the ILO and will indicate the impact on job creation in the free zones.

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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 1994. With reference to its request made in the observation of 1994 on the procedures which have been adopted to guarantee that the measures which are taken to promote economic development and other economic and social objectives contribute to the attainment of the employment objectives set out in development programmes, the Government states its conviction that the success obtained in reducing inflation (from 60 per cent in 1992 it has dropped to 26 per cent in 1994) is a major achievement to improve the purchasing power of the population. The Government also states that the recovery in monetary reserves, the reduction in the budget deficit (which dropped to 0.4 per cent of the GDP in 1993) and, especially, the agreement with external creditors for renegotiation of the external debt, are contributing to the increase of productive foreign investment, which will reactivate the employment market in the country. The Committee notes the results achieved in re-establishing the growth of the GDP and reducing inflation but notes that unemployment is around 13 per cent while the underemployment level is about 50 per cent. On this matter, the Committee trusts that in its next report the Government will supply information on the results of the measures planned to solve the problem of unemployment and underemployment. In this respect, the Government should supplement its next report with replies to the questions concerning overall and sectoral development policies, labour market, educational and training policies set out in the report form approved by the Governing Body.

2. With reference to the comments it has been making for several years, the Committee again notes that the Government recognizes the crucial importance of the views of the social partners on employment policy. The Government refers to the Action Plan 1993-96 in which it expresses its intention to discuss these matters with the sectors concerned, suggesting the implementation, for example, of activities strengthening wide participation and forming a labour consultation plan. This plan would be based on a tripartite agreement between employers, workers and the public sector, would have the economic support of UNDP and the technical support of the ILO. The Committee notes that this project was to begin in 1995 with the aim of negotiating tripartite agreements on policies for employment, wages and productivity to be carried out in the country. The Government adds that it is seeking to institutionalize machinery for dialogue and participation. The Committee trusts that it will be possible to carry out these initiatives suggested by the Government, which appear to comply with the purpose of the consultations required under Article 3 of the Convention. The Committee trusts that the Government will be able to supply indications on progress in this matter.

3. The Committee notes the observations of October 1994 sent in by the Ecuadorian Central of Class Organizations (CEDOC) regarding application of the Convention. CEDOC considers that the Government's policy of encouraging state workers to resign and abolishing posts within the framework of a state reduction plan is contrary to application of the Convention. Between 1993 and 1994 20,000 state workers were made redundant. Furthermore, CEDOC states that the Government does not consult workers' organizations - at least CEDOC - on the measures to be adopted on employment policy. The Government for its part indicates in its report (which states a copy has been sent to CEDOC) that programmes for retraining public employees who have left their jobs are being carried out while strong support is being given to micro-enterprise management as a real employment alternative for this group of workers. The Committee recalls that in its direct request of 1994 it included a question regarding the impact on the social costs of structural adjustment of the compensation plan formulated following the programme to reduce public expenditure and the privatization policy. In this context, the Committee notes Decree No. 2243 of 8 November 1994 which establishes a national training programme for integration into productive activities of public employees who participated in voluntary resignation programmes. It also notes the support provided to micro-enterprises through 225 million dollars received from the World Bank, Inter-American Development Bank and the Andean Development Corporation which allow favourable credits to be granted in the sector. The Committee requests the Government in its next report to specify the results obtained from these measures which seem designed to align labour supply and demand as a result of the structural changes made in particular areas such as the public sector. The Committee trusts that the representatives of the persons affected by the employment reduction measures will be consulted, within the meaning of the Convention, and will be involved in the consultation referred to by the Government in its report.

4. In a direct request, the Committee requests the Government to include in its next report information on some aspects of the application of the Convention such as the effects of liberalization of trade on employment, the incomes policy, the action of the Social Front in formulation of the employment policy, compensatory measures adopted in the framework of employment programmes, technical cooperation received from the Office, job creation through part-time contracts and free zones.

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The Committee refers to its observation and requests the Government to include in its next report details on the following matters.

1. The Government's report states that the policy of liberalizing trade has had a positive effect in regard to production but that opening up of frontiers, far from being a solution to the expansion of small and medium industries has had the opposite effect as certain industries of this type had to close as they could not meet the competition from similar industries in other countries. The Committee notes the statistical export tables (1985-93) compiled for Colombia, Peru and Venezuela. The Committee requests the Government to continue supplying information to allow it to ascertain how the trade policy affects employment.

2. On wages policy the Government, which supplies detailed information, states that wages which are still inadequate despite the increases made will be increased progressively and regularly. The Committee recalls that the wages policy must be an essential element of any policy designed to promote increased national incomes and their equitable distribution (see paragraph 21 et seq. of Recommendation No. 122 on employment policy, 1964). The Committee requests the Government to include data on the incomes policy allowing it to ascertain how workers' remuneration contributes to economic development and raising levels of living which are among the objectives set out in Article 1 of the Convention.

3. Please provide indications on the work and results of the coordinating committee set up to implement the national training programme for integration in productive activities of public employees, established under Decree No. 2243.

4. Please indicate whether the measures adopted by the Social Front - restructured under Decree No. 2207 of 21 October 1994 - have taken into account the provisions of the Convention in formulating employment policy measures.

5. Please continue to supply indication of the activities of the Programme for Urgent Employment and Social Development implemented by the National Employment Institute. The Committee would particularly appreciate indication of specific action undertaken as the result of advisory services from the Office on employment policies (Part V of the report form).

6. In reply to previous comments the Government states that despite the lack of specific studies on the effects on employment of Acts No. 90 of 1990 and No. 1 of 1991, the establishment of free zones has generated jobs, particularly in the areas close to ports. The Committee refers again to its direct request of 1994 and asks the Government to include any indication available on part-time employment contracts and free zones. The Government may consider it useful to consult the instruments adopted by the Conference in 1994 on part-time employment (Convention No. 175 and Recommendation No. 182). Similarly, the Committee requests the Government to refer to its previous commentaries on the application of labour legislation and the ratified Conventions in free exporting zones. It trusts that the Government might call on the experience of the ILO and will indicate the impact on job creation in the free zones.

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1. The Committee notes the Government's report for the period ending June 1994. With reference to its request made in the observation of 1994 on the procedures which have been adopted to guarantee that the measures which are taken to promote economic development and other economic and social objectives contribute to the attainment of the employment objectives set out in development programmes, the Government states its conviction that the success obtained in reducing inflation (from 60 per cent in 1992 it has dropped to 26 per cent in 1994) is a major achievement to improve the purchasing power of the population. The Government also states that the recovery in monetary reserves, the reduction in the budget deficit (which dropped to 0.4 per cent of the GDP in 1993) and, especially, the agreement with external creditors for renegotiation of the external debt, are contributing to the increase of productive foreign investment, which will reactivate the employment market in the country. The Committee notes the results achieved in re-establishing the growth of the GDP and reducing inflation but notes that unemployment is around 13 per cent while the underemployment level is about 50 per cent. On this matter, the Committee trusts that in its next report the Government will supply information on the results of the measures planned to solve the problem of unemployment and underemployment. In this respect, the Government should supplement its next report with replies to the questions concerning overall and sectoral development policies, labour market, educational and training policies set out in the report form approved by the Governing Body.

2. With reference to the comments it has been making for several years, the Committee again notes that the Government recognizes the crucial importance of the views of the social partners on employment policy. The Government refers to the Action Plan 1993-96 in which it expresses its intention to discuss these matters with the sectors concerned, suggesting the implementation, for example, of activities strengthening wide participation and forming a labour consultation plan. This plan would be based on a tripartite agreement between employers, workers and the public sector, would have the economic support of UNDP and the technical support of the ILO. The Committee notes that this project was to begin in 1995 with the aim of negotiating tripartite agreements on policies for employment, wages and productivity to be carried out in the country. The Government adds that it is seeking to institutionalize machinery for dialogue and participation. The Committee trusts that it will be possible to carry out these initiatives suggested by the Government, which appear to comply with the purpose of the consultations required under Article 3 of the Convention. The Committee trusts that the Government will be able to supply indications on progress in this matter.

3. The Committee notes the observations of October 1994 sent in by the Ecuadorian Central of Class Organizations (CEDOC) regarding application of the Convention. CEDOC considers that the Government's policy of encouraging state workers to resign and abolishing posts within the framework of a state reduction plan is contrary to application of the Convention. Between 1993 and 1994 20,000 state workers were made redundant. Furthermore, CEDOC states that the Government does not consult workers' organizations - at least CEDOC - on the measures to be adopted on employment policy. The Government for its part indicates in its report (which states a copy has been sent to CEDOC) that programmes for retraining public employees who have left their jobs are being carried out while strong support is being given to micro-enterprise management as a real employment alternative for this group of workers. The Committee recalls that in its direct request of 1994 it included a question regarding the impact on the social costs of structural adjustment of the compensation plan formulated following the programme to reduce public expenditure and the privatization policy. In this context, the Committee notes Decree No. 2243 of 8 November 1994 which establishes a national training programme for integration into productive activities of public employees who participated in voluntary resignation programmes. It also notes the support provided to micro-enterprises through 225 million dollars received from the World Bank, Inter-American Development Bank and the Andean Development Corporation which allow favourable credits to be granted in the sector. The Committee requests the Government in its next report to specify the results obtained from these measures which seem designed to align labour supply and demand as a result of the structural changes made in particular areas such as the public sector. The Committee trusts that the representatives of the persons affected by the employment reduction measures will be consulted, within the meaning of the Convention, and will be involved in the consultation referred to by the Government in its report.

4. In a direct request, the Committee requests the Government to include in its next report information on some aspects of the application of the Convention such as the effects of liberalization of trade on employment, the incomes policy, the action of the Social Front in formulation of the employment policy, compensatory measures adopted in the framework of employment programmes, technical cooperation received from the Office, job creation through part-time contracts and free zones.

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With reference to its observation, the Committee requests the Government to supply additional information in its next report on the following points:

- the impact on employment of the policy of liberalizing trade (the coming into force of the free trade zone with Colombia, Venezuela and Bolivia, the bilateral free trade agreement concluded with Colombia and the trade negotiations with Peru) which, according to the Government, should result in an increase in production, trade and, as a consequence, employment in the country;

- the impact on the social costs of structural adjustment of the compensation plan formulated following the programme to reduce public expenditure and the privatization policy;

- the lasting employment created as a result of the various activities undertaken by the INEM, particularly in the rural sector and the urban informal sector;

- the information which is available concerning the application of Act No. 90 of 1990 and Act No. 1 of 1991 and on the impact of free zones and part-time employment contracts on employment in general, and particularly on the employment situation of categories of persons who have particular difficulty in finding work;

- the action taken as a result of the technical cooperation activities of the ILO and PREALC, as well as any factors which may have prevented or delayed the action recommended through the above technical cooperation in respect of employment policy.

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1. The Committee notes the Government's report and the information which it supplied in reply to its previous comments. The Government supplied statistics drawn from household surveys which show the levels and trends of employment, underemployment and unemployment from 1988 to 1991. The Committee notes that, despite the substantial growth in employment, open unemployment rose (the unemployment rate increased from 7 per cent in 1988 to 8.5 per cent of the active population in 1991). Women are the most seriously affected by unemployment, with an unemployment rate which is double that of male workers. Young persons under 25 years of age also have a high unemployment rate. Furthermore, nearly half the active urban population was affected by underemployment in 1991.

2. The Government states in its report that its social and labour policy has had three fundamental objectives since 1992: (a) the creation of more jobs through the implementation of a social policy which results in development and establishes conditions of justice, security and confidence which can attract internal and external investment, with a view to combating unemployment and underemployment; (b) the establishment and protection of a fair wage; and (c) the equitable and harmonious development of relations between workers and employers, through the recognition and encouragement of the rights of workers as set out in national and international legal principles and standards. The Government states that it is concerned by the gravity of the employment and unemployment problem and by the social costs of the structural adjustment measures adopted in September 1992. The Committee notes the formulation of a compensation plan, involving measures to encourage micro-enterprises and various types of assistance to support persons on low incomes. The Government once again emphasizes the efforts which it is making to promote employment in the rural sector, particularly through the programme for urgent employment and social development (PEEDS) which is intended to help the regions and categories which are the most affected by the crisis and which is being implemented by the National Employment Institute. In this context, the Government has supplied data on the measures which have been taken and the jobs which have been created.

3. The Committee hopes that the Government will continue to supply information on the measures which have been taken or are envisaged with a view to the implementation of an active employment policy, the objectives of which are set out in Article 1 of the Convention. To this effect, it requests the Government to refer to the questions contained in the report form approved by the Governing Body. The Committee also points out that Article 2 provides that the measures which are adopted to attain the objectives of full, productive and freely chosen employment should be decided on and kept under review within the framework of a coordinated economic and social policy. It requests the Government to describe in its next report the procedures which have been adopted to guarantee that the measures which are taken to promote economic development and other economic and social objectives contribute to the attainment of the employment objectives set out in development programmes.

4. With regard to the effect given to Article 3, the Committee recalls that it emphasized in its previous observation the importance which it attaches to consultation with the representatives of the persons affected by the measures to be taken in relation to employment policy. The experience and views of these persons should be fully taken into account and their full cooperation secured in formulating and enlisting the support which is necessary to implement the employment policy. The Committee requests the Government to supply information on the manner in which employers' and workers' organizations are consulted, as well as the representatives of the rural sector and the informal sector, in order to enable it to assess the effect which is given to this provision of the Convention.

5. In a direct request, the Committee requests the Government to supply additional information on matters such as trade policy and its effects on employment, the compensation measures adopted for the persons affected by structural adjustment and the technical cooperation received from the ILO.

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The Committee notes that the Government's report has not been received. It hopes that a report will be supplied for examination by the Committee at its next session and that it will contain full information on the matters raised in its previous direct request, which read as follows:

The Committee refers to its previous comments and requests the Government to provide further information in its next report on the following points:

1. Please describe overall and sectoral development policies, and in particular measures that have been taken in such fields as investment policy; fiscal and monetary policies; trade policy; and prices, incomes and wages policies in relation to employment policy (Article 1 of the Convention).

2. Please describe the procedures adopted to ensure that, at both the planning and the implementation stages, the effects on employment of measures taken to promote economic development receive due consideration (Article 2).

3. Please describe the measures that have been adopted to promote employment in the rural sector.

4. Please supply information on the activities undertaken under the support programme for micro-enterprises and the emergency employment programme, including information on the results achieved. The Government may consider it useful to consult Part III of the Employment Policy (Supplementary Provisions) Recommendation, 1984 (No. 169), which is attached to the report form for this Convention.

5. Please specify the results achieved by the new operational structure of the National Employment Institute, set up by Ministerial Agreement No. 208 of 2 April 1990, to coordinate the implementation of employment policy.

6. Please describe the impact of new legislation provisions (such as Act No. 90 of 1990 and Act No. 1 of 1991 respecting free zones), which establish, inter alia, in-bond processing (maquilado) employment contracts and the procedures governing part-time employment contracts, in order to satisfy the needs of categories of persons who often encounter difficulty in finding lasting employment, such as women, young persons, older workers, the long-term unemployed and workers affected by restructuring.

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. As in its previous reports, the Government states that it has undertaken intense activities to promote employment within the framework of a coordinated social policy. The Committee notes that the Government's report does not contain detailed information on employment policy measures as requested in the report form for Articles 1 and 2 of the Convention, nor data on the situation, level and trends of employment, unemployment and underemployment. According to the information supplied by PREALC, economic policy has been mainly directed towards the implementation of an adjustment programme to control the public sector deficit and inflation, and progress has been achieved in both respects (inflation, which was around 100 per cent at the beginning of 1989, fell to around 50 per cent at the end of that year). The urban unemployment rate and the level of underemployment rose. Those most affected by unemployment are young persons, for whom the unemployment rate is nearly 20 per cent. The principle instruments of employment policy have been the emergency employment programme and activities to support micro-enterprises. The Committee refers to the comments that it has been making for a number of years and points out that the preparation of a full report on the application of the Convention may require consultations with the other ministries or government agencies concerned with the implementation of the employment policy. In order to be in a position to be able to examine the manner in which effect is given to the provisions of the Convention, the Committee requests the Government to include in its next report information on the size and distribution of the labour force; the nature, extent and trends of unemployment and underemployment; manpower projections; income and poverty; technological change; and the impact on employment of economic and social policy measures (Part VI of the report form).

2. Article 3 of the Convention. In reply to its previous comments, the Government states that it hoped to obtain the collaboration of trade union organizations and employers' organizations in the quest for successful solutions to the crisis and for improvements in the living standards of the population. The Government deplores the fact that the workers' organizations that were called upon rejected social consultations. Employers' organizations only sought consultation in certain circumstances. The Committee is bound to emphasize the importance of the consultation with the representatives of the persons affected by the measures to be taken. The experience and views of such persons should be taken fully into account, their full cooperation secured in the formulation of the above policy and their support enlisted in its implementation. The Committee hopes that greater efforts will be made in this connection and that in its next report the Government will be in a position to indicate the results achieved in this respect. Please also state whether consultations have been held with representatives of the rural sector and the informal sector.

3. In a direct request, the Committee is raising other issues related to the application of the Convention (activities of the programme to support micro-enterprises and the emergency employment programme; the activities of the National Employment Institute; the impact of the new legislation on the creation of lasting employment).

CMNT_TITLE

The Committee refers to its previous comments and requests the Government to provide further information in its next report on the following points:

1. Please describe overall and sectoral development policies, and in particular measures that have been taken in such fields as investment policy; fiscal and monetary policies; trade policy; and prices, incomes and wages policies in relation to employment policy (Article 1 of the Convention).

2. Please describe the procedures adopted to ensure that, at both the planning and the implementation stages, the effects on employment of measures taken to promote economic development receive due consideration (Article 2).

3. Please describe the measures that have been adopted to promote employment in the rural sector.

4. Please supply information on the activities undertaken under the support programme for micro-enterprises and the emergency employment programme, including information on the results achieved. The Government may consider it useful to consult Part III of the Employment Policy (Supplementary Provisions) Recommendation, 1984 (No. 169), which is attached to the report form for this Convention.

5. Please specify the results achieved by the new operational structure of the National Employment Institute, set up by Ministerial Agreement No. 208 of 2 April 1990, to coordinate the implementation of employment policy.

6. Please describe the impact of new legislation provisions (such as Act No. 90 of 1990 (published in Documentos de Derecho Social 1990/3, 1990-ECU 2) and Act No. 1 of 1991 respecting free zones), which establish, inter alia, in-bond processing (maquilado) employment contracts and the procedures governing part-time employment contracts, in order to satisfy the needs of categories of persons who often encounter difficulty in finding lasting employment, such as women, young persons, older workers, the long-term unemployed and workers affected by restructuring.

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1. The Committee notes the Government's report. As in its previous reports, the Government states that it has undertaken intense activities to promote employment within the framework of a coordinated social policy. The Committee notes that the Government's report does not contain detailed information on employment policy measures as requested in the report form for Articles 1 and 2 of the Convention, nor data on the situation, level and trends of employment, unemployment and underemployment. According to the information supplied by PREALC, economic policy has been mainly directed towards the implementation of an adjustment programme to control the public sector deficit and inflation, and progress has been achieved in both respects (inflation, which was around 100 per cent at the beginning of 1989, fell to around 50 per cent at the end of that year). The urban unemployment rate and the level of underemployment rose. Those most affected by unemployment are young persons, for whom the unemployment rate is nearly 20 per cent. The principle instruments of employment policy have been the emergency employment programme and activities to support micro-enterprises.

The Committee refers to the comments that it has been making for a number of years and points out that the preparation of a full report on the application of the Convention may require consultations with the other ministries or government agencies concerned with the implementation of the employment policy. In order to be in a position to be able to examine the manner in which effect is given to the provisions of the Convention, the Committee requests the Government to include in its next report information on the size and distribution of the labour force; the nature, extent and trends of unemployment and underemployment; manpower projections; income and poverty; technological change; and the impact on employment of economic and social policy measures (Part VI of the report form).

2. Article 3 of the Convention. In reply to its previous comments, the Government states that it hoped to obtain the collaboration of trade union organisations and employers' organisations in the quest for successful solutions to the crisis and for improvements in the living standards of the population. The Government deplores the fact that the workers' organisations that were called upon rejected social consultations. Employers' organisations only sought consultation in certain circumstances. The Committee is bound to emphasise the importance of the consultation with the representatives of the persons affected by the measures to be taken. The experience and views of such persons should be taken fully into account, their full cooperation secured in the formulation of the above policy and their support enlisted in its implementation. The Committee hopes that greater efforts will be made in this connection and that in its next report the Government will be in a position to indicate the results achieved in this respect. Please also state whether consultations have been held with representatives of the rural sector and the informal sector.

3. In a direct request, the Committee is raising other issues related to the application of the Convention (activities of the programme to support micro-enterprises and the emergency employment programme; the activities of the National Employment Institute; the impact of the new legislation on the creation of lasting employment).

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1. The Committee notes the Government's report for the period ending 30 June 1988. The report describes a worrying economic and social situation in 1987 and 1988, reflected in particular in the data on the fall in productive investment and the gross domestic product and the persistence of high rates of inflation and unemployment (13 per cent of the economically active population) and underemployment (half of the economically active population). The Committee notes with interest that in August 1988 the new authorities demonstrated their will to apply intensive employment policies and stated that all economic policies would revolve around the application of intensive employment policies which were considered to have priority.

2. The Committee refers to its previous comments and once again points out that the preparation of a full report on the application of the Convention may require consultation with the other ministries and governmental agencies concerned, such as those that make up the "Social Front" referred to by the Government in its report. In this connection, the Committee hopes that in its next report the Government will be able to indicate the progress achieved in resolving the problems of unemployment and underemployment by means of measures to ensure productive and stable work for all who are available for and seeking work. Please also describe the overall and sectoral development policies, and in particular the measures adopted in such fields as investment policy; fiscal and monetary policies; trade policy; and prices, incomes and wages policies as they relate to employment policy (Article 1 of the Convention).

3. The Committee trusts that the Government will continue to collect and analyse the statistical data that is necessary to decide upon and keep under review the employment policy measures that are adopted as an integral part of a co-ordinated economic and social policy. In this connection, it requests the Government in its next report to describe the procedures adopted to ensure that the effects on employment of measures taken to promote economic development receive due consideration, at both the planning and implementation stages.

4. Article 3. The Committee notes that the Government has called for national consultation and solidarity and hopes to enjoy the enthusiastic collaboration of employers and workers to resolve the economic crisis and improve the living conditions of the population. Please indicate the manner in which representatives of the persons affected are consulted concerning employment policies (organisations of employers and workers, consultations with representatives of the rural and informal sectors). In this connection, the Committee notes the activities of the wage committees (see the Committee's comments under Convention No. 131). As regards employment policy, the Committee requests the Government to state whether formal consultation procedures have been established with the objectives set out in the above provision of Convention No. 122.

5. The Committee notes that the programmes referred to in previous reports ("massive incorporation of workers within the employment market", "identification of employment opportunities" and "employment promotion") have not been carried out adequately for various reasons. In its last report, the Government stated that the major strategy to combat unemployment included two specific programmes: the programme for micro-enterprises and the programme for emerging employment. The Committee hopes that the Government will include details on the results that have or are being attained by the programmes for micro-enterprises and emerging employment. In this connection, the Committee trusts that the Government will supply detailed information on the other measures that have been adopted to respond to the needs of all categories of persons who frequently encounter difficulties in finding lasting employment (the Government may find it useful to consult Part III of the Employment Policy (Supplementary Provisions) Recommendation, 1984 (No. 169) which is annexed to the report form for the Convention.

6. Please describe the measures envisaged by the Social Front to promote and facilitate the adaption of employment and the labour force to structural changes resulting, for example, from changes in international trade and technology.

7. The Committee notes with interest the plans to reorganise the National Employment Council and for its technical secretariat to be provided by the National Employment Institute. Please describe the measures adopted by the Council in its role in co-ordinating the implementation of employment policy.

8. The Committee notes that information has been requested from the National Housing Board concerning the impact of the "Plan Techo" on employment levels and that reports have been requested from the Ecuadorian Institute of Agricultural Reform and the Directorate of Integral Rural Development on the impact of their programmes on employment. The Committee hopes that the Government will be able to supply this information with its next report and to describe the measures that have been adopted to promote employment in the industrial and rural sectors.