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

Direct Request (CEACR) - adopted 2020, published 109th ILC session (2021)

The Committee takes note of the supplementary information provided by the Government in light of the decision adopted by the Governing Body at its 338th session (June 2020). The Committee proceeded with the examination of the application of the Convention on the basis of the supplementary information received from the Government this year, as well as on the basis of the information at its disposal in 2019. The Committee notes the observations from the Norwegian Confederation of Trade Unions (LO) sent with the Government’s report.

Articles 1 and 2 of the Convention. Employment trends and measures to address the COVID-19 pandemic. The Committee notes that in reply to its previous request, the Government provides labour market data on the level and trends of employment, unemployment and underemployment from 2008 to 2019. The Government indicates that before the COVID-19 outbreak, the employment situation in Norway was characterized by a relatively high employment rate, in particular among women, low unemployment rate and low underemployment. The Committee notes that according to the statistics the total employment rate for workers aged 15–74, for 2019 was 67.8 per cent, compared to 67 per cent in 2018. While there was still a significant gender employment gap (70.5 per cent of men and 65.1 per cent of women are employed), this was smaller than that of other European countries. The employment rate of young workers (aged 15-24) was 50.4 per cent for men and 50.9 per cent for women in 2019. The Committee notes that the Government indicates that the COVID-19 crisis has had a major impact on the Norwegian economy and the labour market. The registered unemployment rate reached a historically high level in 2020 and the drop in employment has been considerable. The latest figures from the Labour Force Survey (LFS) show that employment has fallen by 1.5 percentage point from February to June 2020. The Committee requests the Government to continue to provide detailed statistics concerning the employment trends and their evolution, particularly taking into account the effects of the COVID-19 pandemic.

Labour market measures and COVID-19. The Committee notes the Government’s indication that in 2019 nearly 69,900 persons participated in active labour market measures on average per month. About 14,200 of them were unemployed and 52,700 were persons with disabilities. Youth, immigrants from non-EEA countries and long-term unemployed were given special priority for participation. The Government further indicates that a literature review on the impact of labour market measures in Norway carried out in 2019 concluded that labour market measures have a positive impact on employment. However, participation in the programmes reduce the participants time for job-search, causing longer unemployment spells. The impact of the measures differs both within measures and within groups of participants. National and international research shows that in general, labour market measures carried out in a regular work place yield better results than training measures in a sheltered environment. The figures for 2019 show that among those unemployed, 67 per cent found a job six months after the services ceased. For people with disabilities, 43 per cent were employed six months after the services ceased. The Government indicates that while these figures have been relatively stable for many years, they cannot be interpreted as the result of the assistance given by the Labour and Welfare Administration. The Government further adds that to compensate income losses due to the COVID-19 pandemic, a number of measures have been temporarily introduced in 2020. These measures include: (i) extensive changes to the unemployment benefits scheme, including lowering the eligibility criteria; (ii) increasing the level of compensation, and increasing the opportunities to take part in formal education whilst receiving unemployment benefits; (iii) additional amendments to the unemployment benefits scheme specific for temporarily laid-off workers (resulting in the state taking a larger part of the pay obligations and securing a higher level of compensation for the temporarily laid-off worker); (iv) new schemes to secure income to groups that normally are not covered by the existing unemployment benefit scheme (apprentices, self-employed and freelancers). Furthermore, the employers’ period for paying compensation for sick-leave as a result of the corona virus outbreak has been reduced. Self-employed and freelancers will get sick-leave compensation earlier. The quota for care allowance is increased and the employers’ compensation period for care allowances has been reduced. Furthermore, the maximum periods to access some allowances have been prolonged (for example, the temporary benefits work assessment allowance (AAP) and the Qualification Programme). The Government has introduced a temporary salary compensation scheme for employers that bring back to work those employees who had been laid off as a result of the situation. The Committee requests the Government to continue to provide information on the labour market measures taken to address and mitigate the negative impact of the COVID-19 pandemic. The Government is also requested to provide statistics on the impact of those measures on job retention and employment creation including for persons with disabilities.

Reform of the Labour and Welfare Administration (NAV). Concerning the merging of the Public Employment Services (PES), the National Social Insurance Administration (NSIA) and the municipal social cash benefit offices, the Government reports that there is a continuous ambition to improve the efficiency of the Labour and Welfare Administration, particularly to reallocate resources to benefit those most in need. Measures are currently being taken to improve the use of information and communication technology (ICT) with the digitalization and automation in the applications for and management of benefits. Furthermore, measures are taken to improve skills and competencies of staff. The Government adds that in the framework of a local government reform, the number of regional offices was reduced from 19 to 12 offices in 2019, and there are now 326 Nav-offices. The Government further reports that the rise in unemployment and the number of temporarily laid-off workers due to the COVID-19 outbreak has put the Labour and Welfare Administration under substantial pressure. From 1 January to 1 September 2020 the agency received 561 000 applications for unemployment benefits, which is five times as many as those received in the same period in 2019. The Committee requests the Government to continue to provide information on the activities carried out by the Labour and Welfare Administration (NAV) and their impact on the promotion of full, productive and freely chosen employment. The Government is requested to indicate the specific measures adopted by the NAV to address the challenges posed by the COVID-19 pandemic.

Particular categories of workers vulnerable to decent work deficits. The Committee requested the Government to provide detailed information, including statistical data, on the impact of the employment measures implemented under the Inclusive Work Life Agreement (IW agreement) and other measures targeting specific categories of workers vulnerable to decent work deficits, including women, young persons, older workers, persons with disabilities and migrant workers, as well as rural workers and those in the informal economy. It also requested the Government to provide information on measures taken or envisaged to foster gender parity in employment in all age groups and across all populations, particularly among members of disadvantaged groups. The Government indicates that the IW agreement, which exists since 2001, was re-negotiated in 2018. A revised 4-year agreement has been in force as of January 2019. The agreement aims for a 10 per cent reduction in sick leave and for a reduction in withdrawal from work life. The Committee notes in this regard that LO emphasizes that in the period from 2001 to 2018 there has been a reduction of 13 per cent in sick leaves, although the original target was 20 per cent, a target reached only by six industries. The Committee further notes the disaggregated statistical data provided by the Government on the employment situation of young persons, older workers, persons with disabilities and immigrants for the period 2008-2019. The Government further indicates that the labour market measures are universal and that access to the different programmes is based on an individual work ability assessment. In general, the measures are not targeted to specific disadvantaged groups, although youth, immigrants from non-EEA countries and long-term unemployed are given special priority for participation. The Government adds that according to the Labour force survey, the employment rate of persons with disabilities was of 40.6 per cent in the second quarter of 2020, which shows a significant drop for 2020. Besides, the reduction is more pronounced than that of the total population which shows that the gap in employment between the total population and persons with disabilities has increased. The Committee notes that in the report “Beijing+25, the situation of women and girls in Norway: development, progress and measures 2014-2019”, the Government provides information concerning the measures taken to promote women full-time employment and greater participation in the labour market which include, for example: the mapping by employers of the use of involuntary part-time employment; improving the organization of future working hours; and ensuring the preferential right of part-time employees (mainly women) to an extended position. The report also enumerates the measures adopted to address traditional gender segregation in the labour market and in education as well as measures taken to foster migrant women job opportunities. The Committee requests the Government to continue to provide detailed information, including statistical data, on the impact of the employment measures on specific categories of workers vulnerable to decent work deficits, including women, young persons, older workers, persons with disabilities and migrant workers as well as any measure aimed at fostering gender parity. The Government is requested to provide specific information on the particular situation and challenges faced by workers belonging to these groups in accessing and remaining in the labour market due to the COVID-19 pandemic and the measures adopted to address them.

Direct Request (CEACR) - adopted 2017, published 107th ILC session (2018)

Articles 1 and 2 of the Convention. Employment trends. The Committee welcomes the Government’s comprehensive report, including the statistical data provided. The Government indicates that, from 2013 to 2015, the overall employment rate for the active population aged 15–74 fell from 68.7 to 68 per cent, representing a decrease in the employment rate of four percentage points since 2008. In this regard, the Committee notes that the overall employment rate for this age group from 2008 to 2015 remained consistently higher for men than for women, reaching 70.5 per cent for men and 65.5 per cent for women in 2015. The Committee notes the Government’s indication that, as a result of the downturn in the Norwegian oil industry, unemployment has increased in parts of the country. It also notes that the overall unemployment rate among the active population (15–74 years) – as indicated in the Labour Force Survey data compiled by Statistics Norway – has steadily increased from 2.5 per cent in 2008 to 4.9 per cent in the first quarter of 2016, with unemployment rates among men consistently higher than those for women. The Government adds that unemployment among persons aged 15–74 years registered with the Labour and Welfare Administration (NAV) increased correspondingly, from 1.7 per cent in the first quarter of 2008 to 3.3 per cent in the first quarter of 2016. The Committee requests the Government to continue to provide information on the employment situation in the country, including updated labour market data on the level and trends of employment, unemployment, and underemployment.

Active labour market measures. The Government highlights that a central challenge for the national labour and welfare policy is to reduce the number of unemployed persons of working age that are receiving sickness benefits. To address this challenge, active labour market measures introduced by the Government in 2016 envisage the creation of approximately 75,000 jobs: 16,500 positions for unemployed persons and 58,000 positions for jobseekers with disabilities. The Government refers to research showing that, in general, labour market measures carried out in regular workplaces yield better results than training measures in sheltered working environments. As a result, the Government has focused on programmes where the jobseeker is placed directly in a regular workplace through a wage subsidies arrangement. In 2016, the Government increased its budget for labour market measures to facilitate use of wage subsidies. In addition, a new two-year training measure is being implemented to assist persons with low qualifications who require assistance to enable them to secure lasting employment. The Government also reports that it plans to establish a new measure, Preparatory Work Training (AFT), for persons in need of labour market assistance who are not able to undertake training measures in a regular workplace at the start of the rehabilitation and re-integration process. The Committee requests the Government to continue to provide updated information on the impact of active labour market measures in job creation, including for persons with disabilities.

Reform of the Labour and Welfare Administration (NAV). The Committee notes the Government’s replies to its request for information with regard to the impact of the NAV reform, which consisted primarily of merging the Public Employment Services (PES), the National Social Insurance Administration (NSIA) and the municipal social cash benefit offices, and merging and modernizing NAV offices across the country to improve labour market inclusion, particularly for disadvantaged groups. The Government reports that the evaluation of the reform, completed in 2014, concluded that users of merged NAV offices had a lower probability of obtaining employment or entering into education as compared to users of NAV offices that had not yet been merged. These findings were attributed to inadequate implementation rather than to the design of the reform itself; therefore, the White Paper presented by the Government to the Parliament in May 2016 sets out a new overall strategic direction for the reform, focusing on local empowerment, by strengthening the local NAV offices and giving local NAV staff greater latitude. The Government indicates that the overall aim of this strategy is to get more people into employment, provide better services to employers, the unemployed and persons outside the labour market. The Committee requests the Government to continue to provide information on the impact of the NAV reform, as well as on measures taken to improve and support its functioning.

Particular categories of workers vulnerable to decent work deficits. The Committee notes the disaggregated statistical data provided by the Government on the employment situation of young persons, older workers, persons with disabilities and immigrants. The Committee notes that, while the employment rate of young persons aged 15–25 years decreased from 58 to 51.1 per cent between 2008 and 2015, the employment rate of older persons aged 60-64 increased by 4 percentage points for men and 7.6 percentage points for women, reaching 69 per cent for men and 61 per cent for women in this age group. The Government explains that the main reason for this increase is the introduction of a new retirement pension scheme in 2011 which makes it more beneficial to work for a longer period of time before retiring. With respect to migrant workers, the Government reports that, the employment rate has decreased for both national and migrant workers (aged 15–74) from 2014 to 2015, reaching 60.3 per cent for national workers and 67.2 per cent for migrant workers in this age group, respectively. The Government points out, however, that employment and unemployment rates for migrants vary according to group. For example, as of 2015, migrants from the European Union (EU)/European Free Trade Area (EFTA), North America, Australia and New Zealand (aged 15–74) had a higher employment rate (69.2 per cent) than the national population (67.2 per cent), while migrants from Europe (except EU/EFTA), Asia, Turkey, Africa, South and Central America and Oceania, had a significantly lower overall employment rate (52 per cent). The Government indicates that this difference is due to the fact that migrants from the latter group are generally younger than the national population. With regard to persons with disabilities, the Committee notes the statistical data provided by the Government, showing that in 2015, the overall employment rate of persons with disabilities aged 15–64 years was 43.4 per cent, compared to 74.3 per cent for the entire population. In this context, the Committee notes the Government’s continued cooperation with the social partners – including through local NAV offices – at the central and local levels, through the tripartite Inclusive Working Life Agreement 2014–18 (the IW Agreement), which focuses on three main objectives: reducing absences due to sickness; increasing the labour market participation of persons with health impairments and disabilities; and prolonging the working life of older workers. The Committee requests the Government to provide detailed information, including statistical data, on the impact of the employment measures implemented under the IW Agreement and other measures targeting specific categories of workers vulnerable to decent work deficits, including women, young persons, older workers, persons with disabilities and migrant workers, as well as rural workers and those in the informal economy. It further requests the Government to provide information on measures taken or envisaged to foster gender parity in employment in all age groups and across all populations, particularly among members of disadvantaged groups.

Direct Request (CEACR) - adopted 2013, published 103rd ILC session (2014)

Active labour market measures. Labour market data and review mechanisms. The Committee notes the Government’s report received in September 2013 which includes observations made by the Norwegian Confederation of Trade Unions (LO). It notes that employment and unemployment rates have been quite stable in Norway during the last few years. The unemployment rate was measured at 3.6 per cent in 2010 and 3.2 per cent in 2012, while the employment rate reached 79.6 per cent in 2010 and 79.9 per cent in 2012. The Government indicates that the active labour market policy (ALMP) aims at shortening periods of unemployment, encouraging labour force participation and combating labour market exclusions. The Committee notes the wide range of measures used to achieve the ALMP, which include information and guidance, follow-up and job-finding measures, work experience schemes and training programmes. The Government indicates that it has reviewed the labour market measures and the suppliers of these measures through the work of an expert committee which recommended extended use of training in an ordinary workplace environment, improving the systems for controlling the quality of training and work practice schemes, increased focus on competence building in work-oriented assistance and to reduce waiting time between and before active measures. The Committee welcomes the information provided and invites the Government to continue to provide information in its next report on employment measures adopted and their outcomes with the objectives of the Convention.

Norwegian Labour and Welfare Administration. In reply to the Committee’s previous comments, the Government indicates that the implementation process evaluation reports of the Labour and Welfare Administration (NAV) reforms have pointed to some challenges, which include a heavy workload on the employees at the NAV offices, thus affecting the quality of the follow-up services to the users, and ensuring a coherent provision of services in a partnership model where both municipality and State have a management role. The Government indicates that the evaluation reports have been used as an important source of knowledge for the NAV in their work on developing services and for the Ministry of Labour. The Committee welcomes the ongoing evaluation of the impact of the NAV reform and invites the Government to continue providing information on this matter. It also refers the Government to its comments formulated on the application of the Human Resources Development Convention, 1975 (No. 142).

Vulnerable categories of workers. The Committee notes the information provided by the Government on the labour market measures directed at young persons, older workers, persons with disabilities and immigrants. It notes that a tripartite contract for more apprenticeship places for young persons is being implemented with the aim of increasing the number of apprenticeship places by 20 per cent from 2011 to 2015. A jobs strategy for young persons with disabilities is also being implemented for the period 2012–15. In 2013, 900 places in labour market programmes were allocated to the jobs strategy, 400 places more than in 2012. The Government indicates that cooperation with different stakeholders, such as the social partners, is a key element in the jobs strategy. The Committee notes that the social partners and the Government share responsibility for its implementation. In its observations the LO indicates that due to the lack of adequate indicators, it is complicated to analyse the development of the employment rate for people with reduced work capacity. It adds that an important goal is to increase the employment rates for such groups. The Committee invites the Government to continue to provide information and data on labour market measures regarding young persons, older workers, persons with disabilities, immigrants, and other vulnerable categories of workers.

Direct Request (CEACR) - adopted 2011, published 101st ILC session (2012)

Articles 1 and 2 of the Convention. Active labour market measures. The Committee notes the information contained in the Government’s report received in October 2010, which includes replies to its 2009 direct request. The Government reports that the main target for its economic policy is full employment and there has been broad political consensus on such a target for many years. In the current recession, the aim of the fiscal policy has been to keep the employment level high and to counteract the increasing unemployment. The Government further reports that it has conducted an expansionary fiscal policy in 2009 and 2010. Projects in the building and construction sector have been given priority to alleviate the strong fall in demand in this sector. In reply to the Committee’s previous comments, the Government indicates that it has a long history of coordinated economic policy and has taken benefit of this tradition to tackle the economic downturn following the global economic and financial crisis. The Government indicates that it has conducted an active economic policy and strengthened the labour market policy by: increasing the aggregated demand through an expansionary fiscal policy; easing the supply of liquidity in the financial markets; increasing administrative resources to the public employment service; increasing resources allocated to labour market measures; and temporarily easing the rules for eligibility of unemployment benefits for temporary lay-offs. Furthermore, the Government reports that employers’ and workers’ organizations have negotiated lower wage growth from 6.3 per cent in 2008, to 4.5 per cent in 2009, and an increase of 3.25 per cent (expected) in 2010. The Committee notes that, despite lower activity, many companies have used temporary lay-offs or shorter work weeks instead of downscaling their workforce, which has reduced the increase in unemployment. The Committee invites the Government to continue to provide information in its next report on employment measures adopted and their outcomes with the objective of maintaining full employment.

Labour market data and review mechanisms. The Committee notes the increase in the unemployment rate from 2.5 per cent in 2007, to 3.5 per cent in the first quarter of 2010. The unemployment rate for men increased from 2.6 per cent in 2007, to 3.6 per cent in 2009, and for women it increased from 2.5 per cent to 2.6 per cent in the same period. As for the employment rate, it fell from 72 per cent in 2008 to 69 per cent in the first quarter of 2010. The Committee further notes that the Ministry of Labour and the Labour and Welfare Administration are initiating periodical evaluations and reviews to learn about the effect of participation in a labour market programme on the transition to employment. The normal proceeding is to have an evaluation of an experimental programme, and eventually change the framework, before making it part of the general menu of labour market programmes. The Committee invites the Government to provide information in its next report on the involvement of the social partners in the review and evaluation process of labour market measures.

Norwegian Labour and Welfare Service (NAV) reform. With regard to the merger of the employment and national insurance services creating a new entity called the NAV, the Government reports that the NAV reform will be extensively examined throughout its implementation. Several researchers are working on this subject with government funding and funding from the Research Council of Norway. The Committee notes the research referred to by the Government in its report indicating that the multi-level partnership model behind the NAV one-stop shops is an organizational innovation in the Norwegian political-administrative system. It purports to combine ministerial responsibility and sector specialization on the one hand and local self-government and territorial specialization on the other. Since the beginning of its implementation at the end of 2006, the NAV reform has increasingly met criticism for its difficulties in dealing with the increasing number of applications for unemployment benefits due to the global economic crisis. The Government indicates that evaluations are still some years ahead due to the magnitude of the NAV reform and the fact that the reform is not yet fully implemented. The Committee welcomes the ongoing evaluation of the impact of the NAV reform and invites the Government to continue providing information on this matter.

Vulnerable categories of workers. The Government reports that young persons experienced the strongest decline in the employment rate during the 2008–10 period. Older workers also saw a decline in the employment rate. The Committee notes that the unemployment rate for immigrants is approximately three times higher than for the native population. The Government indicates that it conducts an active policy for integrating vulnerable categories of workers into the labour market. Resources in this area have increased in 2009 and 2010. Youths and immigrants are given priority in the form of participation in labour market programmes. The Government also indicates that budget financing measures for unemployed persons and persons with disabilities were merged in order to reduce the barriers of services between different target groups with the aim to give services better suited to individual needs. The total number of active labour market places for all target groups has increased from about 66,000 in 2008 to 71,000 in 2009, and close to 75 per cent of measures are used by persons with disabilities or with reduced work capacity. The Committee invites the Government to continue to provide information and data on labour market measures regarding young persons, persons with disabilities, immigrants, and other vulnerable categories of workers.

Direct Request (CEACR) - adopted 2009, published 99th ILC session (2010)

The Committee notes the information contained in the Government’s report received in October 2008, incorporating the observations made by the Norwegian Confederation of Trade Unions, as well as the replies to its 2007 direct request.

Articles 1 and 2 of the Convention. Active labour market measures. The Government recalls that after a recession in 2002 and 2003, the strong economic upturn continued until the first half of 2008, when the unemployment rate reached an all time low of 2.5 per cent, the lowest among all members of the Organisation for Economic Co-operation and Development (OECD). The number of registered full-time unemployed fell to 46,000 persons in 2007, of which 25 per cent were out of work for over six months, and less than 10 per cent were long-term unemployed, which was well below the OECD average. Among the registered unemployed, less than half received unemployment benefits, and a small additional proportion of recipients benefited from other benefits such as rehabilitation benefits. The Committee notes the Government’s explanations that the rapid employment growth after 2005 resulted in a higher labour force participation rate in the Norwegian population, lower unemployment rates and an increase of labour immigrants. However, the Committee remains concerned about the low unemployment rate and the high share of welfare benefit recipients, amounting to 18 per cent of the population as indicated in the 2009 OECD Social, Employment and Migration Working Papers No. 78. In this regard, the impact of the merger of the Public Employment Service (NAV) and the National Insurance Service, which will be completed by 2010 and result in the establishment of the Labour and Welfare Organization, is a focus of the Committee’s interest. The Committee asks the Government to provide an evaluation in its next report of the impact the merger of the NAV and the National Insurance Service is having on increasing participation in the labour force. The Committee also invites the Government to provide information in its next report on how the measures adopted to support employment lie within the framework of a coordinated economic and social policy (Article 2(a)).

Vulnerable categories of workers. Considering work and participation in the labour market as an important strategy to counteract poverty and social exclusion, the Government continued to use measures to promote employment for vulnerable categories of workers. As compared to 2006, the OECD data for 2007 show increases in the participation rates of women by 1.2 percentage points to 73.1 per cent (men: 79.5 per cent), while this group’s unemployment rate fell by one percentage point to 3.4 per cent, which is even lower than that of men with 3.6 per cent. The participation rate of young persons aged between 15 and 24 years increased by 2.9 percentage points to 55.8 per cent. The Government reported that, from the first quarter of 2007 to the first quarter of 2008, the participation rates increased by 1.4 percentage points for workers between 55 and 66 years and 0.7 percentage points for workers between 67 and 74 years. The Government’s measures to increase the participation rate included policies such as the “day-by-day labour market policy”. The Government introduced a new pension system, aimed at providing incentives for older persons to extend their working career; programmes to help long-term unemployed persons into work, for example, through a wage subsidy. It also adjusted procedures for immigration from outside the EEA, especially for persons from the new EU Member States. The Committee would welcome receiving information in the Government’s next report on the impact of the abovementioned measures on promoting employment and achieving lasting integration of vulnerable categories of workers into the labour market.

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

1. The Committee takes note of the detailed information contained in the Government’s report, received in October 2006 which included informative documents such as the Government Paper “Increasing female employment rates through flexible working arrangements: Norwegian Policy”, and the booklet A new employment and welfare administration.

2. Articles 1 and 2 of the Convention. Labour market policies. The Government indicates that, following a recession in 2002 and 2003, there was strong economic growth over the following three years. This flowed on into the labour market with the highest number of persons in employment being reached at the beginning of 2006. According to the Organisation for Economic Co-operation and Development (OECD) statistics, 78.9 per cent of the population (15–64 years) participated in the labour force in 2005. Correspondingly, the unemployment rate has declined for all occupational groups and with the decline most pronounced in the manufacturing and construction industry as well as in engineering and information and communications technology occupations. At the end of May 2006, the unemployment rate stood at 2.5 per cent of the labour force. The main reason for economic inactivity among the working age population continued to be due to health related reasons. In 2005, the number of persons on disability benefits accounted for 11 per cent of the working population. The aim of Norwegian labour market policy is to have an inclusive policy and ensure a satisfactory income level for everybody. The challenge is to keep unemployment, in particular long-term unemployment, at a low level by curbing exits from the labour force due to health-related problems and redirecting these persons into alternative employment. As of 1 July 2006, the Public Employment Service (PES), which implements the labour market policy, was merged with the National Insurance Service establishing the new Employment and Welfare Agency. The Committee takes due note of this information including the extension of the Tripartite Agreement for the period 2006–09, the objectives of which are to reduce sickness-related absence by 20 per cent, to increase the number of persons with reduced function capacity in employment and to raise the average pension age. The Committee asks the Government to provide information in its next report on the impact the merger of the PES and the National Insurance Service have had on increasing participation in the labour force and reducing the number of beneficiaries of disability benefits. Please also include information on the manner in which the measures adopted for the promotion of employment lie within the framework of a “coordinated economic and social policy” (Article 2(a)).

3. As regards labour force participation, the Government indicates that persons with an immigrant background still face greater problems in the labour market. To counter this, the Government places a greater emphasis on user-orientation and to tailoring efforts to the individual jobseeker. The special unit Aetat intro provides extended assistance to jobseekers with an immigrant background in some larger towns. Measures in which job practice and language tuition go hand-in-hand and are often seen as useful tools for immigrants. The Government implemented several new tools to combat racism and discrimination in the labour market. A new Equality and Anti-Discrimination Ombudsperson and Equality and Anti-Discrimination Tribunal were also established as was a separate Directorate of Integration and Diversity (IMDi), to ensure equality in living conditions and diversity through employment, integration and participation. The Committee would welcome to receiving in the Government’s next report information on the measures adopted to promote the employment of vulnerable categories of workers, such as women, young persons, older workers, ethnic minorities and workers with disabilities, and on the results achieved in terms of lasting integration into the labour market.

Direct Request (CEACR) - adopted 2005, published 95th ILC session (2006)

The Committee takes note of the detailed information contained in the Government’s report, received in October 2004, which describes the main trends in employment and provides data on specific groups in the labour market.

1. Labour market policies. The Government indicates that, while Norway has one of the highest labour market participation rates and one of the lowest unemployment rates in the Organisation for Economic Co-operation and Development (OECD), four years of slow economic growth have brought a levelling off and some decline of labour market participation and rising unemployment. However, in the second half of 2003, there were clear signs of economic recovery and this trend was expected to continue, bringing higher employment and falling joblessness. As of May 2004, the unemployment rate had fallen to 4.3 per cent. The Government points out that both the OECD and the International Monetary Fund (IMF) consider that the Norwegian labour market functions generally well, while expressing concern over the growth in the number of social security recipients. The Government indeed indicates that 12.3 per cent of the labour force receives disability pension, 3.5 per cent of the labour force is registered as vocationally handicapped and sickness absence represents 8.5 per cent of all days worked. In this regard, the Government insists that the vocationally handicapped are a priority group and a proactive rehabilitation process, in most cases using labour market measures, has been designed to get as many as possible back to work. In fact, a condition for receiving disability benefits is that vocational rehabilitation has been considered and tried out. The Committee takes due note of this information. With reference to its 2003 direct request, in which the Government had mentioned objectives of reducing absence due to sickness by at least 20 per cent over the period 2001-05 as well as ensuring that a significantly higher percentage of employees with impaired functional capacities are in employment, the Committee asks the Government to continue to provide information on the achievement of these objectives and how the key objectives of welfare policy and labour market policy are fulfilled.

2. As regards labour force participation amongst men and women, the Government indicates that, although women’s labour force participation rate is high (47.2 per cent of the work force), 42.6 per cent of employed women work part time compared with 12 per cent for men. However, in recent years, unemployment has shown wider fluctuation among men than women, mainly due to the fact that men are to a greater degree employed in manufacturing and competitively exposed sectors. The Government also indicates that low participation rate and high unemployment (9.6 per cent) weaken immigrants’ opportunity to become integrated in society. Therefore, the Government states that greater emphasis has been given to user orientation and to tailoring efforts and measures to the individual jobseekers, which is significant in terms of meeting immigrants’ particular needs. The Committee looks forward to receive, from the Government in its next report, an assessment of the impact of its active labour market measures, including information on the extent to which these measures have been successful in achieving its objectives of increasing the labour force and reducing unemployment.  Please also continue to include detailed disaggregated information on labour market trends (Articles 1 and 2 of the Convention).

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

1. The Committee notes the information contained in the Government’s report for the period ending May 2002, which describes the main trends in employment and provides detailed information on specific groups in the labour market. The Government recalls that, due to several years of rapid growth and rising employment rates, Norway has one of the highest employment rates and lowest jobless rates in the OECD area. It also indicates that the rise in the number of disabled persons has led to a decrease in the size of the labour force. During the reporting period, about 10 per cent of the working-age population claimed disability benefits and 2.7 per cent of the labour force was occupationally disabled and undergoing rehabilitation. Furthermore, data provided by the Government also indicates an increasing trend in the number of people leaving the labour force to receive disability pensions or make use of early retirement schemes. The Committee also notes that in October 2001 the Government and the social partners concluded an agreement with a view to achieving a more inclusive workplace. The agreement provides for cooperation with responsibilities shared between the Government and individual companies. The objectives of the agreement are: to reduce absence due to sickness by at least 20 per cent over the period 2001-05; to ensure that a significantly higher percentage of employees with impaired functional capacity are in employment; and to raise the average effective retirement age. The Committee notes that the objectives of this agreement, within the context of the Norwegian labour market situation, are of particular importance towards achieving the objectives of the Convention. Please continue to provide information on the implementation of this agreement and on its impact on the labour market. Please also include the information about the results of the survey that, as mentioned by the Government’s report, is being conducted to ascertain how key objectives of welfare policy and labour market policy are fulfilled.

2. The Committee notes that, while Norway has one of the highest female labour force participation rates internationally (69 per cent), it also has a relatively high proportion of women being employed in part-time work. Recent data from the Central Bureau of Statistics indicates that, in the second quarter of 2002, 44 per cent of employed females had a part-time job compared with 11 per cent among males. The data also indicates that, while the labour force participation rate increased slightly among women in 2002, the growth largely reflects an increase in part-time work. A large proportion of female employment is in the service sector and in particular in the health and education sectors. The Committee wishes to remain informed on developments in this respect, including any information on the Government’s design to ensure a supply of labour that matches the needs of the labour market.

3. The Committee would also appreciate receiving further details on the Government’s active labour market policy orientations with regard to the shortage of labour in several sectors of the economy (such as the health sector, construction and certain industrial branches) mentioned in the Government’s report. Please also continue to provide detailed disaggregated information on labour market trends and the impact of the rules introduced for calculating rehabilitation benefits and the insertion in the labour market of the working-age population (that is, 10 per cent of the population in 2001) that were claiming disability benefits.

Direct Request (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee notes the information contained in the Government’s report for the period ending 31 May 2000.

1. The Government states that the economy had slowed down in 1999, after a prolonged boom, but has started to pick up again. The labour force growth rate has slowed down, from an average of 2 per cent for 1995-1997 to about 0.6 per cent from 1998 to 1999, and was negative for men. Growth in jobs occurred mainly in the health and social services sectors. Growth in unemployment was 6.9 per cent from 1999 to 2000, and mainly affected men and older workers due to a slump in manufacturing. Unemployment decreased for workers over 60, due to increased use of early retirement and disability pensions. There was a slight increase in the number of partially employed.

2. The Government indicates in its report that unemployment increased 12.4 per cent for non-native speakers, due to an increase in the number of refugees admitted. The Government provides "individual action plans" for immigrants, which include language and vocational training and it works closely with the Federation of Norwegian Business and Industry, the Norwegian Federation of Trade Unions, the Federation of Norwegian Commercial and Services Enterprises. The Committee would appreciate continuing to receive indications on how far the employment difficulties of non-native speakers have been overcome.

3. Labour market programmes include wage subsidies, employment in public enterprises, job qualification programs, and temporary placement as a substitute for someone on leave. Special programs for people with disabilities include schooling, in-company rehabilitation, wage subsidies, and employment subsidies for public enterprises. Recruitment services are Internet-based. Please continue to provide information on the outcome of these measures, particularly regarding displaced workers.

4. The Committee also notes the comments of the Norwegian Oil Workers’ Federation, which expressed doubts about the accuracy of Aetat’s labour statistics. The Committee recalls the importance of accurate labour statistics for the development of appropriate employment policies and programs in applying Article 2 of the Convention. It asks the Government to continue to supply information on any action taken or envisaged to verify the accuracy of the statistics used.

Observation (CEACR) - adopted 1999, published 88th ILC session (2000)

The Committee notes the information contained in the Government's report for the period ending June 1998. The Government states that unemployment has decreased by around 17,000 between 1996 and 1997, and was continuing to decline into 1998. The greatest decline in unemployment was among youth (20-25 years of age). At the same time, the labour force expanded by 53,000 in 1996 and 46,000 in 1997. The OECD statistics indicate that the standardized unemployment rate dropped to 3.3 per cent in 1998, and was less than 3 per cent by the end of 1998.

The Government states in its report that the sharp increase in the number of vacancies and some labour shortages has challenged the Labour Market Service to mobilize sufficient labour. It is doing this through information, guidance, follow-up, recruitment assistance, placement and upgrading of skills. However, the Government identifies a continuing problem of discrimination against foreign-born workers, even those with good qualifications. The Committee notes the Government's intention to reduce the number of foreign-born unemployed through placements, upgrading of skills, training and wage subsidies, and would appreciate receiving further information on the Government's progress in this respect, including details on the levels and trends of employment of this particular category of workers, as requested in the report form under Article 1 of the Convention. It also draws the Government's attention to the prohibition against discrimination based on national extraction contained in the Discrimination (Employment and Occupation) Convention, 1958 (No. 111), which Norway has ratified.

The Confederation of Trade Unions in Norway (LO) considers the Government's report to be thorough but would add that the labour market outlook is now poor. The LO believes that unemployment will grow in 1999. The Committee notes these comments, and asks the Government to keep it informed of changes in the labour market, and of the Government's response, as requested in the report form under Article 1.

Observation (CEACR) - adopted 1997, published 86th ILC session (1998)

1. The Committee took note of the Government's report for the period ending June 1996, which describes the main trends in employment and provides some more detailed information on the number of beneficiaries of active labour market policy measures. Supplemented by the data published by the OECD, the report demonstrates an acceleration during the period in employment growth. The accompanying upturn in activity rates has, however, lessened the reduction in unemployment rates, from 5.4 per cent in 1994 and 1995 to 4.9 per cent in 1996.

2. With reference to its previous observation, in which it noted with interest the information provided by the Government in its report on its economic strategy for the promotion of growth, competitiveness and employment, the Committee hopes that the Government will provide, in its future reports, the information necessary to assess the manner in which the measures taken with a view to promoting full employment are decided and kept under review "within the framework of a coordinated economic and social policy" and in consultation with the representatives of the persons affected, in accordance with Articles 2 and 3 of the Convention. In particular, it requests the Government to provide the information required in the report form on the manner in which the measures taken, in areas such as budgetary and monetary policy, investment policy and incomes policy, help to further employment aims. Noting that the scope of the active labour market policy measures has been reduced during the period in line with the decrease in unemployment, the Committee invites the Government to provide any assessment available of the effectiveness of the measures implemented towards the effective and lasting integration of their beneficiaries into employment. It also reiterates its interest in obtaining any information on the manner in which the unemployment benefit scheme is coordinated with employment policy.

Observation (CEACR) - adopted 1995, published 83rd ILC session (1996)

1. The Committee notes the Government's report for the period ending June 1994, which was characterized by an improvement in the employment situation as of the second half of 1993. The more sustained level of economic growth made it possible to end the continued tendency reported over previous years for employment to contract. Total employment increased by 1.5 per cent in 1994 and, despite the simultaneous rise in the growth of the active population, the OECD standardized unemployment rate, which had reached 6 per cent in 1993, was reduced to 5.5 per cent. According to the OECD, the growth of employment should continue and should allow the country to return to an unemployment rate of below 5 per cent in 1995.

2. In reply to the request addressed to it by the Committee in its previous observation, the Government provides information on the long-term economic policy programme (1994-97), which was submitted to Parliament under the title the "Solidarity Alternative". The Committee notes with interest in this respect that the strategies decided upon are based in part on the recommendations of the Employment Commission, which includes the social partners. The strategy for increased growth, competitiveness and employment includes the improvement of the system of wage formation through a two-tier negotiation system aimed at taking into account more effectively the impact of wages on competitiveness, inflation and employment. The creation of employment is also the principal objective of the investment policy and the policy to promote small and medium-sized enterprises, as well as the budget policy, which aims to reduce the medium-term budget deficit in order to give economic policy the necessary margin of manoeuvre to promote employment. The Committee appreciates the careful and helpful replies to its previous comments and welcomes the constructive dialogue. It requests the Government to continue supplying information on the measures that are taken to promote full employment "in the framework of a coordinated economic and social policy" and in consultation with the representatives of the persons affected, in accordance with Articles 2 and 3 of the Convention.

3. The Committee notes that the strengthening of active labour market policies and education and training systems are also among the priorities of the Government's employment policy. The Government provides interesting information in its report on the evaluation of the programmes which have been implemented, illustrating that they have had a positive but limited effect on the employment prospects of beneficiaries. The Committee would be grateful if the Government would indicate the manner in which the various measures to intervene on the labour market are decided upon and kept under review dependent upon the results achieved. The Committee also notes the statement that the qualifying conditions for unemployment benefit have been made more restrictive in the case of partial unemployment. In this respect, it requests the Government to continue supplying information on any new measure that is taken to improve the coordination of the unemployment benefit scheme with the employment policy, taking into account the relevant provisions of the Employment Promotion and Protection against Unemployment Convention, 1988 (No. 168), and the Committee's comments on the application of that instrument.

Observation (CEACR) - adopted 1994, published 81st ILC session (1994)

1. The Committee notes the Government's report for the period ending June 1992. According to the information in the report, employment continued to decline and unemployment to increase. The OECD data which bear out the detailed information supplied by the Government, show a drop in total employment of 0.9 per cent in 1990, 1 per cent in 1991 and 0.3 per cent in 1992. The unemployment rate rose from 5.2 per cent in 1990 to 5.5 per cent in 1991 and 5.9 per cent in 1992. The unemployment rate of the under 25 age group reached 13.9 per cent in 1992 and almost 25 per cent of the unemployed that year had been without work for more than one year. The Government also indicates an increase in underemployment, which particularly affects women and young people, in the form either of partial unemployment or involuntary temporary work. The continuation of relatively sustained growth in economic activity seems, at the moment, insufficient to reverse the downward trend in the labour market, which is appreciably less marked, however, than in most other OECD countries.

2. The Government indicates that the main objectives of its labour market policy are, in this context, to ensure speedy placement of jobseekers, prevent exclusion from working life, provide jobseekers with the right skills and curb the harmful effects of an imbalanced labour market. To this end, priority is given to promoting employment, as reflected in the importance attached to training measures and specially devised programmes for the most vulnerable categories of the population. The number of participants in employment programmes continued to increase in the reporting period, and the Committee notes with interest that follow-up surveys were carried out to assess the effect of these programmes on the employment of those concerned.It would be grateful if the Government would continue to provide the results of such surveys. The Committee notes the importance that the Government attaches to "active" labour market policy measures, as opposed to "passive" measures (to guarantee resources); it asks the Government to provide information in its next report on developments in the disbursement of public funds on this type of measure, since the data in the 1993 OECD economic survey do not appear to bear out the Government's assertion in this respect.

3. The Committee notes the indication that labour market policy objectives are integrated into the general economic policy, one of whose main priorities is to ensure conditions in which the economy can create stable employment. With reference to its previous comments, the Committee hopes that the next report will state, in answer to the questions in the report form, the manner in which the measures taken particularly in the areas of monetary and budgetary policies, prices, incomes and wages policies, investment policies or policies on balanced regional development contribute "within the framework of a coordinated economic and social policy" to pursuing the objective of full, productive and freely chosen employment. It would be grateful if the Government would state the role played in this area by the Employment Commission mentioned in the report. The Committee regrets to note that the report does not contain the information requested on how representatives of persons affected, particularly representatives of employers and workers, are consulted on employment policy, in accordance with Article 3 of the Convention. It trusts that the next report will also contain detailed information on the effect given to this important provision of the Convention.

Observation (CEACR) - adopted 1992, published 79th ILC session (1992)

1. The Committee notes the Government's report for the period ending June 1990, in which it describes worrying developments in the employment situation. According to the Government, the 3.5 per cent drop in employment recorded in 1989 is the sharpest experienced by the country since 1945. The contraction of the labour market continued in 1990 at a slower rate of 0.9 per cent. The unemployment rate, which was 3.2 per cent in 1988, reached 4.9 per cent in 1989 and 5.2 per cent in 1990. According to OECD data, in the absence of a recovery in employment growth, the unemployment rate stabilised in 1991 at this unusually high level in Norwegian terms.

2. The Government states that, in order to deal with this high and growing rate of unemployment, the scope of various labour market policy measures has been considerably extended. The total number of those benefiting from these measures, which has increased very markedly, represented 2.2 per cent of the active population in the first half of 1990, compared with 0.4 per cent in 1988. Emphasis has been placed on training measures, particularly for young persons and workers threatened by long-term unemployment. In this connection, the Committee notes the information supplied by the Government in its report on Convention No. 142 Human Resources Development, 1975 for the period ending 30 June 1991. The existing programmes have been supplemented since 1989 by a special public employment scheme.

3. The Committee notes this information with interest. It hopes that the Government will continue to supply detailed information on the various labour market policy programmes and measures and that it will indicate the results achieved. Further to its previous comments, and in relation to the worrying employment situation, the Committee trusts that the Government's next report will also contain the information required by the report form on the measures taken, within the framework of a coordinated economic and social policy, to promote full, productive and freely chosen employment, as a major goal. It would be grateful if the Government would indicate in particular the manner in which the measures taken in fields such as monetary and budgetary policies, prices, incomes and wages policies and investment policy contribute to promoting employment objectives. The Committee also requests the Government to indicate the manner in which representatives of the persons affected, and in particular representatives of employers and workers, are consulted concerning employment policies in accordance with Article 3 of the Convention.

Observation (CEACR) - adopted 1990, published 77th ILC session (1990)

1. Further to its previous comments, the Committee notes the information on the employment and unemployment situation and trends supplied in the Government's clear and helpful report. It also takes into consideration information contained in the Government's report to the Fourth Conference of European Ministers of Labour (Copenhagen, October 1989), and in the annual OECD reports. The Government points out that the very marked increase in employment during 1986 and 1987 was due to both high output growth and the cut in normal working hours. The contractual weekly working hours were reduced from 40 to 37.5 with effect from January 1987. The weakening of economic activity during 1988 and the tighter economic policy led to a sharp slow-down in employment growth in 1988. Unemployment climbed to an unusually high level in Norwegian terms, with 108,000 unemployed or 5 per cent of the labour force in the first quarter of 1989, compared with a rate of 2.2 per cent noted by the Committee in its 1987 observation. Unemployment rose in the case of both women and men, and most markedly among young workers. The increase in unemployment has been strongest in the larger conurbations, especially in western Norway.

2. With a view to curbing the increase in unemployment, the Government has called for intensive use of labour market programmes. As indicated in the 1989 Government's report on Convention (No. 88) concerning the Employment Service, 1948, the Labour Market Administration's overall priority is "to get people back to work". The deterioration of labour market conditions has led the Government to introduce or to propose in 1989 various measures ranging from a reinforcement of already existing labour market programmes - with emphasis on skills training - to measures like speeding up public investments in roads, public buildings, etc., or concerning incomes policy legislation.

3. The Committee trusts that in its next report the Government will make reference to the results, in terms of job creation, of the programmes mentioned above and will also describe the overall and sectoral development policies, with particular reference to prices, incomes and wages and other measures taken with a view to ensuring that there is work for all who are available and seeking work (see report form under Article 1 of the Convention). It hopes that the Government will pursue and intensify its efforts to obtain again the positive results achieved in the recent past in promoting full employment, in consultation and co-operation with representatives of the persons affected by the measures to be taken, as required by the Convention.