Direct Request (CEACR) - adopted 2007, published 97th ILC session (2008)

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

The Committee notes the Government’s simplified report for the period ending in June 2007, as well as the replies to the matters raised in its previous direct request.

1. Articles 1 and 2 of the Convention. Employment trends and active labour market policies. The Government indicates that employment increased by 4.7 per cent, the equivalent of 464,900 jobs, between June 2005 and May 2007. The labour force participation rate reached a record high of 65 per cent in May 2007 with a participation rate of 57.8 per cent for women, which is also a record high. Unemployment has continued to decrease and was measured at 4.2 per cent in this same period, its lowest level since 1974. Since its last report, the Government has adopted the Workplace Relations Amendment (Work Choices) Act, 2005 which establishes the Australian Fair Pay Commission to determine and adjust minimum wages. The Commission also aims to promote economic prosperity in regard to the capacity for the unemployed and low-paid persons to obtain and remain in employment as well as to promote employment and competitiveness across the country. The Government also introduced a comprehensive reform of the welfare system in July 2006 aiming to increase the workforce participation of individuals who have been traditionally outside the labour market. Early analysis from the “Welfare to work” initiative indicates positive trends for parents and persons with disabilities. Under “Welfare to work” reforms implemented in July 2006, the Government invested 3.6 billion AUD to increase workforce participation for parents, persons with disabilities, older age persons and people that have been unemployed for a longer period of time. The Committee would appreciate receiving in the Government’s next report, the results of any evaluation done by the relevant authorities and the social partners on the impact of the “Welfare to work” reforms in terms of productive employment generation.

2. Means to promote employment of older workers and younger workers. The Government notes that the participation rate for persons aged between 45 and 64 has increased from 70.3 per cent in June 2005 to 72 per cent in May 2007. Although, the unemployment rate for this group of workers was measured at 2.6 per cent in May 2007 and remains below that of persons aged 15 to 44, the Government indicates that the average duration of unemployment for older workers is over 57 weeks compared to 28 weeks for younger workers. The unemployment rate for 15 to 19 year olds fell from 19.5 per cent in June 2005 to 17.6 per cent in May 2007 and the unemployment rate for 20 to 24 year olds has also decreased from 8.1 per cent in June 2005 to 6.3 per cent in May 2007. The Committee asks the Government to include in its next report information on the measures implemented in facilitating the reintegration of older workers in the labour market as well as to reduce the unemployment rate of younger workers.

3. Means to promote employment of indigenous people. The Government indicates that the national unemployment rate for indigenous persons aged 15 years and over has improved from 18.3 per cent in 2002 to 14.3 per cent in 2006. The report also indicates that indigenous jobseekers account for 11 per cent of the total number of jobseekers with a higher percentage measured in regional and remote areas. The Government plans to increase indigenous economic independence by providing a range of employment programmes and assisting members of this group in finding jobs by cooperating with employers. For the period 2006–07, Job Network members and other job placement organizations placed 50,100 indigenous people into work. This figure is twice the amount measured for the period 2003–04. The Committee recalls that Convention No. 122 has a “critical role to play in combating poverty and promoting social cohesion” (paragraph 495 of the 2003 General Survey on employment promotion), and asks once again to be kept informed on the impact of the measures taken to promote productive employment opportunities for indigenous people.

4. Article 3. Participation of the social partners in the formulation and application of policies. The Committee notes the information provided by the Government in its report on the composition of the Welfare to Work Consultative Forum and the Disability Advisory Group which includes representatives from employer and worker organizations. The Committee recalls that the Convention asks Governments to ensure that workers and employers organizations as well as other interested groups are to be consulted “with a view to taking fully into account their experience and views”. It asks the Government to keep providing information on the manner in which the views of employers, workers and other affected groups are taken sufficiently into account in the development, implementation and review of employment policies and programmes.