Observation (CEACR) - adopted 1994, published 81st ILC session (1994)

Employment Policy Convention, 1964 (No. 122) - Peru (Ratification: 1967)

1. In its 1993 observation, the Committee said that it would postpone examination of the Government's report received in February 1993. The Committee notes the information, which is closely linked to employment policy, contained in the Government's reports on the application of the Unemployment Provision Convention, 1934 (No. 44) and of the Employment Service Convention, 1948 (No. 88) (see the observations of 1993 and 1994, respectively, on these Conventions).

2. In its report on the application of Convention No. 122, the Government refers to the adoption in November 1991 of the Employment Promotion Act to which the Committee had already referred (see point 2 of the 1992 observation) as being the principal aspect of structural reforms. The Government states that it has made employment an explicit objective of economic policy and stresses that it is concerned with the employment of the least-protected categories of the population. The Government recalls the economic circumstances in 1990-91 which led it to adopt a stabilization and structural adjustment programme which includes restrictive budgetary and monetary policy measures, the liberalization of international trade, and making the world of work more flexible. The Government states that the above circumstances affected employment in terms of the level of absorption and utilization of manpower. The Committee notes from the available statistics for Lima that only 15 per cent of the active population have suitable employment, and that 75 per cent are affected by underemployment, the remaining 10 per cent being unemployed. The situation is particularly worrying for women workers, young people in the 14 to 24 age group and older workers of over 45 years. The negative effects of structural adjustment on employment and incomes have already been commented on by the General Confederation of Peruvian Workers (CGTP) in its communication of 1992 referred to in the Committee's previous observation. The Committee refers to part IX of the Employment Policy (Supplementary Provisions) Recommendation, 1984 (No. 169) and reminds the Government of the objective of promoting a fair distribution of the social costs and benefits of structural adjustment, in order to ensure the effectiveness of employment policy. With reference to its previous assessments and comments, the Committee is bound once again to express the hope that the Government will continue to make every effort to declare and pursue, "as an essential objective", an "active" employment policy within the framework of a coordinated economic and social policy (Articles 1 and 2 of the Convention). The Committee notes in this connection that the new political Constitution of Peru, promulgated in December 1993, establishes that "work is a duty and a right", and "the basis of social wellbeing and a means of personal fulfilment" (article 2), and that "the State shall promote conditions for social and economic progress, in particular, by means of policies to promote productive employment and education (article 23(2)). The Committee notes that the Act of November 1991 and its regulations (adopted in April 1993), contain a set of measures to promote employment and vocational training, particularly for young people, and would be grateful if the Government would provide detailed information with its next report on programmes implemented under the new legislation and the results obtained. The Government states that these programmes are limited for the time being because of the economic recession. With regard to the measures to make the labour market more flexible, which constitute a large section of the measures set out in the Employment Promotion Act (and which the CGTP criticizes in the above-mentioned communication), the Committee would like to draw the Government's attention to certain provisions of related international labour instruments that provide for the protection of workers against the use of contracts which aim to avoid the protection prescribed by the legislation (see Article 2, paragraph 3, of Convention No. 158 and Paragraph 3 of Recommendation No. 166, concerning termination of employment, 1982) - both of which are referred to in the 1991 presentation of the objectives of the Employment Promotion Act.

3. With its report, the Government provides data from the household survey conducted in Lima which accounts for 28.7 per cent of the population of the country. The Committee asks the Government to provide information in its next report on the measures taken to collect and analyse information and statistical data on not only the urban but also the rural and national labour markets, which are necessary, as Recommendation No. 122 recalls, as a basis for the general and specific measures to be taken within the framework of the employment policy. It hopes that the Government will be able to provide information in its next report on regional, social and economic plans and programmes to promote employment, and on the situation, level and trends in employment in the other departments of the country.

4. In its 1993 observation, the Committee noted the comments made by workers' organizations, expressing concern at the deterioration in the labour market, employment policies and the difficulties of social dialogue. With reference to the points already raised, the Committee would be grateful if in its next report, the Committee would provide information, in connection with Article 3 of the Convention, on how representatives of the persons affected, particularly representatives of employers and workers, are consulted on employment policy, indicating, in particular, whether such consultations are extended to representatives of other sectors of the active population such as the rural and informal sectors. With regard to the purpose of such consultations, the Committee recalls that the Convention provides that representatives of those affected "shall be consulted ...] with a view to taking fully into account their experience and views and securing their full cooperation in formulating and enlisting support for such employment] policies".