Direct Request (CEACR) - adopted 2003, published 92nd ILC session (2004)

Employment Policy Convention, 1964 (No. 122) - Australia (Ratification: 1969)

The Committee notes the comprehensive information contained in the Government’s reports for the period ending in June 2003 as well as the detailed replies in response to 2001 comments. It also notes the informative contribution made by the State of New South Wales in 2002.

1. Articles 1 and 2 of the Convention. The Government states that, notwithstanding weak global economic conditions, labour market conditions have not deteriorated significantly. The data contained in the Government’s report for the three years to June 2003 show that during this period:

-  the level of unemployment increased by 2 per cent to 618,700. The unemployment rate peaked during this period at 6.9 per cent from July to October 2001, before declining to 6.1 per cent;

-  the female labour force participation rate has risen from 55 to 56.1 per cent while the male labour force participation rate has fallen by 0.9 percentage points to 71.8 per cent;

-  the number of people who were long-term unemployed declined by 19,700, falling by 15,300 for males and by 4,400 for females;

-  despite varying patterns of labour market activity, employment has increased by 429,600 or 4.7 per cent, at an annual rate of 1.6 per cent;

-  the unemployment rate for older jobseekers fell by 0.2 percentage points, compared with an increase of 0.1 percentage points for those aged under 45;

-  the unemployment rate for teenage workers (aged 15-19 years old) rose by 1.6 per cent reaching 21.8 per cent;

-  the unemployment rate for non-English speakers decreased slightly from 8.1 per cent in February 2000 to 7.9 per cent in June 2003.

2. In reference to the Committee’s previous comments the Government states that the job network is now in its third employment services contract which commenced on 1 July 2003. The third stage differs from the previous two in that approximately 60 per cent of nationally available job network services and the New Enterprise Incentive Scheme (NEIS) business was allocated to the highest performing intensive-assistance, job-search training and NEIS providers under the second contract period. The remaining 40 per cent of business was selected through a competitive tender process. Through this process the Government seeks to deliver a better quality of assistance to unemployed people, leading to stronger and more sustainable employment outcomes while achieving a better value for money in the expenditure of public funds. Please continue to provide information on the outcome of these programmes, and on progress made in improving equity of access and balancing quality and flexibility.

3. The Committee notes that in the document entitled "Participation support for a more equitable society" the Government sets out strategic directions for fundamental reforms to the welfare system over the short, medium and long term. The recommendations are underpinned by five key reform principles: individualized service delivery; a simpler income support system; incentives and financial assistance; mutual obligation; and social partnerships. It also explains that the reform package focused on better welfare services, improved incentives to work and fair requirements for those receiving a welfare benefit. The Committee asks the Government to supply in its next report any available assessment of the effect which the reforms in the welfare system have had on employment.

4. Further to previous comments, the Government states that it has implemented a programme of further assistance for indigenous Australians: Australians Working Together. The programme seeks the establishment of indigenous employment centres (IEC) to offer mentoring, work experience, job-search support and access to training. The IECs will assist up to 10,000 community development employment project participants to find work. The programme also includes community participation agreements to identify practical ways that remote indigenous Australians can contribute in return for the income support payment, 12 remote area servicing centres and increased education and training assistance for 1,600 indigenous secondary-school students and 2,300 indigenous students in vocational education and training. In 2000-01 a total of 6,610 jobs were created through the Indigenous Employment Programme. The Committee would appreciate continuing to receive statistical information on the impact of these programmes on promotion of employment for indigenous people.

5. Article 3. In reference to the Committee’s previous comments the Government explains that social partners are widely consulted on reforms and programmes with an impact on employment. It refers to the consultations that took place in connection with the job network, the Australians Working Together programme and the reforms in the welfare system. The Committee has taken note of this information and trusts that the Government will provide, in its next report, updated information on how representatives of workers’ and employers’ organizations are regularly consulted on employment promotion issues.