Observation (CEACR) - adopted 2008, published 98th ILC session (2009)

Employment Policy Convention, 1964 (No. 122) - Serbia (Ratification: 2000)

The Committee notes the Government’s report received in October 2007 which includes comments by the Union of Employers of Serbia and the Confederation of Autonomous Trade Unions of Serbia, as well as of the trade union federation Nezavisnost. The Committee also benefited from the technical analysis from the ILO Subregional Office in Budapest, which supplemented the information provided by the Government’s report and the comments by the social partners.

1. Articles 1 and 2 of the Convention. Labour market policy measures. In the period under review, despite high rates of economic growth recorded (5.7 and 7.5 per cent in 2006 and 2007, respectively), employment rates declined (from 51 per cent in 2005 to less than 49.9 per cent in 2006) while the unemployment rate remained stable (21.8 per cent in 2005 and 21.6 per cent in 2006). Following the goals of the European Union Lisbon Strategy, a National Employment Action Plan for 2006–08 (NAPE) and a National Sustainable Development Strategy 2008–13 were adopted. The NAPE encompasses five priorities: (i) decreasing unemployment and increasing competitiveness in the labour market; (ii) broadening the scope and types of active employment measures; (iii) developing employment assistance packages for redundant workers; (iv) promoting social dialogue on employment; and (v) the decentralization and modernization of the work of the National Employment Service. The Government indicates in its report that, out of a total of 357,067 unemployed persons covered by active employment measures, there were 184,939 women, 91,553 workers under 25 years of age and 33,333 workers older than 55. Other available data reflect that the targets of the NAPE have been difficult to achieve and accordingly it was decided to review the existing regulations of the labour market with the participation of the social partners and the assistance of the ILO. The Government also indicates in its report that studies have been carried out concerning the position of women and youth in the labour market. In 2007, the Government took a decision on the need for urgent creation of a Youth Strategy, aimed at solving the problem of young unemployment. In this respect, the Committee requests the Government to provide further information in its next report on the results of the initiatives taken under the NAPE and by the National Employment Service, and how they will translate into productive and lasting employment opportunities for the unemployed, the long-term unemployed and other categories of vulnerable workers such as young workers.

2. The Government reports that it is exploring means to reform the fiscal system through the reduction of the overall burden of taxes and contributions through the introduction of new tax reductions and the development of new forms of credit lines and micro loans, especially in less developed regions and areas with a high rate of unemployment. The Government indicates that this will have a direct influence on increasing employment. The Committee invites the Government to provide information on steps that are taken to ensure that employment policy considerations are placed at the heart of macroeconomic and social policies and to provide information on the effect its tax reforms have had in achieving employment promotion.

3. Article 2. In reply to previous comments, the Government indicates that monitoring and evaluation of active measures is being done on a regular basis in accordance with the technical possibilities of the National Employment Service. The Government also recognizes some difficulties in monitoring the effect of the measures implemented due to the lack of a modern information system. It is expected that the modernization of the information system by the end of 2007 will enable efficient follow-up and evaluation of the measures implemented. The Committee stresses the need to evaluate the impact, targeting and cost-effectiveness of active labour market programmes in order to ensure that the measures taken to promote full employment operate “within the framework of a coordinated social policy”. In this regard, the Government is also requested to include information in its next report on the methods of coordination envisaged between the economic and social ministries, for the achievement of the employment policy objectives.

4. Article 1, paragraph 2(c). Employment of the Roma population and other minorities. The Committee notes the reply provided by the Government to its previous request on the results achieved to generate employment amongst the Roma population, in the sense that it intends to promote employment by applying the principle of positive discrimination according to ethnicity. Over 270 individuals participated in contests for self-employment and 250 unemployed Romas were included in the programme of functional education. Meetings were organized with representatives of the Secretariat for Implementation of the National Roma Strategy and representatives of non-governmental organizations active in issues regarding the Roma population. The Committee invites the Government to provide in its next report further information on the measures taken to ensure the participation of the Roma population, as well as of the other minorities in the country, in the labour market.

 

5. Article 3. Participation of the social partners. The Union of Employers of Serbia indicates that, despite many changes in laws and regulations for creating a more favourable climate for flexible employment, there are still certain formal problems which put employers in as unfavourable position during the recruitment of workers through certain employment programmes. The employers’ organization further evokes difficulties linked to tax burdens when hiring workers on a short-term basis. The Confederation of Autonomous Trade Unions of Serbia recognizes that there was a constructive dialogue on issues related to active employment policy and the measures adopted in the framework of the NAPE. Nevertheless, the results have not been visible in practice, especially due to considerable lay-offs following the privatization process. The union requests more social dialogue, in cooperation with the European Union and the ILO, to address this problem in Serbia and in neighbouring countries dealing with the challenges of transition. The trade union federation Nezavisnost stressed that the social partners have given top priority to the issues related to unemployment. Nevertheless, the federation lists several proposals to be discussed in the framework of the National Socio-Economic Council and at local level. The Committee welcomes the contributions of the social partners to the design and implementation of an active employment policy. It reiterates its hope that the next report will include more concrete examples of how the social partners have entered into meaningful constructive dialogue in relation to decision-making on employment policies. It further requests information on the measures adopted to implement an active employment policy, with the participation of the social partners, as a result of the technical assistance provided by the ILO and the European Union.