Observation (CEACR) - adopted 2014, published 104th ILC session (2015)

Employment Policy Convention, 1964 (No. 122) - Germany (Ratification: 1971)

Other comments on C122

Observation

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Articles 1, 2 and 3 of the Convention. Implementation of an active employment policy. Labour market trends. The Committee notes the report submitted by the Government in July 2013, which includes information in reply to the 2012 observation. It also notes the observations of the German Confederation of Trade Unions (DGB) received in September 2013. The Government reports on amendments to the law for improving labour market integration, in force since 2012, which covers measures for active employment promotion and social benefits for jobseekers. The Government points out that the measures contributed to job placement by decentralizing labour policy instruments, strengthening local decision making, enhancing flexibility and transparency in the design and implementation of labour policy instruments and improving quality control over providers of labour market services. The Government also refers to a set of fiscal measures intended to lower the tax burden of businesses to encourage investment and job creation. The Committee notes that since 2009 the number of unemployed people has fallen by around 500,000 to 2.9 million in 2013, the lowest in the past 20 years. The Government indicates that, by the end of June 2013, the number of employed people in the country was 41.6 million and the number of employees subject to compulsory social insurance reached 28.9 million. In September 2013, the female employment rate was 71.5 per cent and the employment rate for older people was 61.5 per cent. The number of unemployed young people aged 15 to 25 has slightly increased from 279,000 in 2011 to 291,000 in 2013. In the case of people aged 20 to 25 years, the unemployment rate rose by 2.9 per cent to around 246,000, when compared with the previous year. The Committee invites the Government to continue providing information on its active labour market measures, and, in particular, to indicate how such measures are decided on and kept under periodical review within the framework of a coordinated economic and social policy, and in consultation with the social partners.

Young persons. Long-term unemployment. In reply to the previous comments, the Government indicates that in order to combat long-term unemployment it has designed and implemented, in cooperation with other Member States of the European Union, the programme ‘Integration through exchange’ (IdA). The programme was designed to enhance the creation and improvement of employment opportunities for disadvantaged young people and persons with disabilities by supporting the realization of international practical training within the European Union. The Government underscores that, by 2013, 9,000 applicants had been sent on in-house training placements in other Member States of the European Union and two thirds of young unemployed applicants, who had been jobless for an average of 15 months, started an apprenticeship or found employment subject to compulsory social insurance within six months of completing the IdA programme. In addition, the Government indicates that the Federal Ministry of Labour and Social Affairs together with the Länder have developed a strategy consisting of collecting information on success stories to develop guidance and principles to be considered when dealing with the long-term unemployed. The DGB expressed concern on the little improvement in the situation of long-term claimants of benefits. According to the data provided by the DGB, the expenditure on promotion measures under the welfare system has been cut back from €6.6 billion in 2010 to €3.9 billion in 2013. The Committee invites the Government to provide further information on the results of the IdA programme in terms of integrating young unemployed people into the labour market. It also invites the Government to include information on the measures undertaken to help long-term claimants of welfare benefits in obtaining lasting employment.

Supply of skilled labour. The Government reports that the National Pact on Vocational and Educational Training was to end in 2014. The Committee notes that in the 2011–12 period, 517,000 apprenticeship places were reported, almost the same as the previous year. By January 2013, the placement campaign carried out jointly by the different employment agencies and chambers of commerce and industry had been able to reduce the number of unplaced applicants to 7,700 persons. Every candidate who attended these campaign events was offered an average of seven apprenticeship places. The DGB demands more targeted and adequately funded further training directed to help the long-term unemployed in their integration into the labour market. The Committee invites the Government to provide information on the new measures undertaken to provide adequate labour skills for the unemployed.

“Mini-jobs”. Temporary agency workers. The Committee notes the concerns expressed by the DGB concerning the so-called “mini-jobs”. The DGB states that there were almost 4.8 million people working exclusively in “mini jobs”, a form of part-time employment that allows workers to earn up to €450 per month without being subject to the regular system of taxation. It also points out that every third job registered with the employment agencies is for temporary work (Leiharbeit), in which the average length is three months. In these cases, workers seldom manage to move on to permanent employment. The Committee invites the Government to provide information on the measures taken, in consultation with the social partners, to promote lasting employment for workers in “mini-jobs” and non-regular workers.