Direct Request (CEACR) - adopted 1995, published 82nd ILC session (1995)

Employment Policy Convention, 1964 (No. 122) - Iceland (Ratification: 1990)

1. The Committee notes with interest the Government's first report on the application of the Convention for the period ending 30 June 1993. It was pleased to receive a clear and helpful exposition of the current economic conditions and of the problems being encountered. It notes the substantial decline in employment since 1992 and the rapid increase in the unemployment rate, which rose from 1.5 per cent in 1991 to 3 per cent in 1992. According to OECD data, this rise in unemployment continued, reaching 4.3 per cent in 1993. The Committee notes the information on the seasonal nature and uneven regional distribution of unemployment and requests the Government to supply detailed statistics in its next report, based on periodical surveys and studies, on the level and trends of employment, underemployment and unemployment, by sector and for the various categories of the active population. Please, in particular, indicate the participation and unemployment rates by sex and age and any significant impact of migratory movements on the size of the active population.

2. The Committee notes that the objective of the Government's general economic policy is to increase national earnings and improve the competitiveness of enterprises with a view to promoting employment. In this respect, the Committee notes the results which have been achieved in combating inflation. With reference to the report form, the Committee requests the Government to describe in its next report the manner in which the measures taken in fields such as budgetary, monetary and exchange rate policies and prices, incomes and wages policies contribute, "within the framework of a coordinated economic and social policy", to the attainment of the objective of full employment. The Committee notes the information concerning the activities of the Institute of Regional Development and requests the Government to supply information on the initiatives adopted to promote balanced regional development and encourage the development of new activities in regions that are currently in decline or undergoing restructuring. In more general terms, the Committee would be grateful if the Government would indicate the measures of structural nature taken in fields that are likely to have an impact on employment such as the management of fishing resources and the diversification of economic activities.

3. The Government states that measures have only recently been taken to intervene directly on the labour market in order to combat the rise in unemployment. Please describe the scope of these measures, with an indication of the number and category of beneficiaries. Please also continue to supply detailed information on vocational training activities and indicate the manner in which education and training policies are coordinated with prospective employment opportunities.

4. The Committee notes that employers' and workers' organizations are represented on the consultant committee to the Employment Office and on the Vocational Training Council. The Committee would be grateful if the Government would provide information on the activities of these advisory bodies, the matters that they consider, the opinions that they issue and the manner in which these opinions are taken into account in the formulation and implementation of employment policy measures.