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

Employment Policy Convention, 1964 (No. 122) - Cyprus (Ratification: 1966)

1. The Committee notes the Government's report for the period ending June 1992. The report shows that the growth in economic activity continued during the period and permitted the maintenance of a situation of almost full employment. The fall in activity following the Gulf crisis was limited and, as a result of a growth rate of nearly 8 per cent in 1992, the unemployment rate which had reached nearly 5 per cent over the first months of 1991 was brought down to less than 2 per cent. The tensions on the labour market, which the Committee noted in its previous request, became more marked in 1992. The Government considers that the shortage of labour, in a context of a high participation rate, is one of the principal obstacles to the achievement of economic growth, to which it intends to respond through the measured use of foreign labour, as well as by promoting the employment of women and encouraging the return of emigrant Cypriots. It also states that a study on labour market perspectives for the period 1993-1998 should make it possible to identify imbalances between the supply and demand for labour, particularly as regards skills. The Committee would be grateful if the Government would indicate the main conclusions of the above study in its next report and indicate the measures taken or envisaged as a consequence. Please also supply any relevant extracts of the new 5-year economic development plan.

2. The Government states that measures to combat unemployment among graduates have resulted in a substantial reduction in their unemployment rate. It refers in this respect to the financial support provided for self-employment, retraining for graduates whose qualifications are unsuitable, and the development of regulations to reserve certain jobs for skilled workers. Please continue to supply detailed information on the results obtained by each of these measures.

3. The Committee notes that in the Government's opinion the country is excessively economically dependent on the tourism sector. It notes that the Government has taken measures to gain greater control over the expansion of this sector and to encourage the diversification of activities in the field of services. Please supply information on the results obtained in terms of employment by the implementation of these measures.

4. With reference to its previous requests concerning the effect given to Article 3 of the Convention, the Committee notes the statement that tripartite consultations on economic and social matters are held at all levels, particularly through the Labour Advisory Board and the Economic Advisory Committee. It would be grateful if the Government would specify in its next report the frequency of the meetings of the various bodies through which consultations are held with the representatives of the persons affected concerning employment policies, the items included on their agenda, the opinions which are expressed and the manner in which they are taken into account.