Observation (CEACR) - adopted 2015, published 105th ILC session (2016)

Employment Policy Convention, 1964 (No. 122) - Czechia (Ratification: 1993)

The Committee notes the observations of the Confederation of Industry of the Czech Republic and the Czech-Moravian Confederation of Trade Unions (CM KOS) communicated with the Government’s report.

Articles 1, 2 and 3 of the Convention. Employment policy measures. Consultations with the social partners. In reply to previous comments, the Government indicates in its report that the employment policy objectives were elaborated in the Government Action Plan to Promote Economic Growth and Jobs in the Czech Republic, which was taken note of, after detailed tripartite discussions, at the 113th plenary meeting of the Council of Economic and Social Agreement of the Czech Republic on 20 October 2014 with a view to its submission to the Cabinet once all comments were incorporated. At the same time, an employment policy strategy until 2020 was prepared and approved, following discussions with the social partners. The strategy aims at increasing the total employment rate in the 20–64 age group to the target level of 75 per cent and, at the same time, meeting the national targets (increased employment of women, increased employment of older persons, reduced unemployment among young people and reduced unemployment of low-qualified persons). Moreover, by its Resolution No. 344 of 15 May 2013, the Cabinet approved the 2014–20 Regional Development Strategy as an instrument to coordinate the different public policies, including the employment policy. With regard to active employment policy measures, the Committee notes that a total of 4,285,714 Czech koruna (CZK) was expended on active employment policy (AEP) in 2013 by the Ministry of Labour and Social Affairs and the Labour Office of the Czech Republic. Compared to 2012, AEP expenditure increased by 65.1 per cent. In particular, the level of AEP expenditure financed from the European Social Fund rose to reach more than the double of the 2012 amount. Support was provided to a total of 89,611 persons (jobseekers, employees, self-employed). In its observations, CM KOS indicates that cooperation within the tripartite mechanisms has improved. Nevertheless, CM KOS adds that it cannot be satisfied with the implementation of the Convention in a situation where, for example, there are more than 500,000 registered jobseekers (of which about one third have been registered for more than one year); and active employment policy programmes suffer from permanently insufficient levels of funding. Consequently, CM KOS submits proposals to help deal with the situation, which include developing, as a matter of urgency, a national plan to fight unemployment and poverty and ensure sufficient financial resources for the plan in the public budget system. The Committee requests the Government to provide information on the impact and effectiveness of its employment policy measures in terms of job creation. Please also continue to include information on the involvement of the social partners, in accordance with Article 3 of the Convention, which requires that their views and experiences are fully taken into account when designing and implementing an active employment policy.

Employment trends. The Government indicates that, in the aftermath of the financial and economic crisis, there was a broad decrease in employment, regardless of the age group or educational level (except for university graduates). In spite of a moderate recovery of the economy, a slowdown in the growth of registered unemployment became evident only in the second half of 2013. Its development was largely contributed by the increase in part-time employment among women as well as men. Unemployment was measured at 7.4 per cent in December 2012 and 8.2 per cent at the end of 2013. In the first half of 2014, unemployment was measured at 6.4 per cent. According to EUROSTAT, the unemployment rate continued to decrease to 5.1 per cent in July 2015, which was among the lowest unemployment rates of the EU Member States. The Committee requests the Government to continue to provide data concerning the size and distribution of the labour force, the nature and extent of unemployment and underemployment and trends therein.

The Committee is raising other matters in a request addressed directly to the Government.