Direct Request (CEACR) - adopted 1996, published 85th ILC session (1997)

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

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:

1. The Committee notes with interest the Government's report for the period ending June 1994 and the useful information that it contains in reply to its previous request. The Government states that a less favourable trading and financial situation, combined with certain structural rigidities in the economy, have led to a decline in the growth rate and a contraction of the labour market during the reporting period. Despite its rising during the period 1992-94, the unemployment rate is still less than 3 per cent of the active population and the Government considers that in general terms the situation is equivalent to full employment conditions. The Committee notes that the situation still compares favourably with that of most of Cyprus's European trading partners.

2. The Government describes in its report the main features of the Strategic Development Plan for 1994-98, which is designed to prepare the country progressively for integration into the European Union and to achieve the economic convergence criteria established by the Union, as well as to enhance the competitiveness of the economy of Cyprus. In this context, the objectives of the employment policy are to maintain full employment while ensuring a balance between demand and supply in the labour market at the sectoral and regional levels and improving labour productivity and the level of training. The Committee notes in this respect that the Government considers that the dependency on the tourism sector, in which around one quarter of the active population is employed, remains excessive despite the implementation of the New Tourism Policy, aimed at containing the expansion of the sector. The Committee requests the Government to provide detailed information on any new measure adopted to promote the diversification of economic activities in the services sector. Furthermore, it requests the Government to indicate how the employment objectives of the 1994-98 Plan are currently being achieved and to provide any detailed statistics that are available in its next report on labour market trends in the various sectors by sex, age, skills level and type of contract (Part VI of the report form).

3. The Committee notes the information concerning the pursuance of the programme to combat unemployment among graduates. It notes that the employment services have promoted the recruitment of graduates by foreign companies although, at the same time, foreign labour is needed to overcome short-term sectoral shortages. The Committee would be grateful if the Government would indicate whether new measures have been taken or are envisaged to improve the coordination of training policies with prospective employment opportunities, taking into account the provisions of Convention No. 142. In this respect, it requests the Government to supply a copy of the study that is to be undertaken by the Industrial Training Authority on labour market prospects for the period 1993-98.

4. The Committee notes with interest the information provided on the consultations held regularly in several tripartite bodies concerning the various aspects of employment policy. It recalls that the consultations required under Article 3 of the Convention should include, in addition to representatives of employers' and workers' organizations, the representatives of other "persons affected", such as persons working in the rural sector. The Committee requests the Government to continue supplying detailed information on consultations covering the preparation and pursuance of the employment policy.