Observation (CEACR) - adopted 2022, published 111st ILC session (2023)

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

Articles 1 and 2 of the Convention. Implementation of an active employment policy. Labour trends. The Committee notes the information on trends in employment and unemployment provided by the Government, derived from the Labour Force Surveys conducted by the Statistical Service of Cyprus in 2018, 2019 and 2020. The Government indicates that the labour market situation has deteriorated further in the period since the outbreak of COVID-19. In this context, the Committee notes that, according to the 2020 Labour Force Survey, the unemployment rate increased from 7.1 per cent in 2019 to 7.6 per cent in 2020. The employment rate (for the 20-64 age group) fell from 75.7 per cent to 74.9 per cent during the same period. The Government refers to the implementation of a number of active employment measures, including the Scheme Providing Incentives for the Employment of Unemployed Persons (2020-2024) and the new Subsidy Scheme Providing Incentives for the Employment of Persons with Chronic Diseases (2019-2024). The Government also refers to other employment promotion measures, such as steps taken to strengthen the public employment services and a programme to place Guaranteed Minimum Income (GMI) beneficiaries in employment for 6 months, to provide them with work experience opportunities in the public sector. In addition, the Committee notes the Government’s indication that, from 2014 to 2019, Subsidy Schemes providing incentives to promote the employment of various categories of jobseekers have continued to implemented by the Department of Labour and that the Government also continues to provide incentives to promote employment in the private sector. The Committee requests the Government to continue to provide detailed updated information,including statistical information, disaggregated by sex and age, on the nature, scope and impact of employment measures implemented, including the various Subsidy Schemes in place, in particular on the number of jobs generated and the number of beneficiaries placed into employment. The Government is further requested to describe how the information compiled from the Labour Force Surveys is utilized in the design, implementation, monitoring and review of employment policies at the national level.

Specific categories of workers. The Committee notes the information provided by the Government concerning the development and implementation of targeted employment measures for specific groups of persons in vulnerable situations. In particular, it notes with interest that the Government continues to provide targeted training and incentives to encourage private sector enterprises to employ workers belonging to the disadvantaged target groups, including the long-term unemployed, young persons, older workers, those with chronic diseases, detainees and persons with disabilities. The Committee requests the Government to continue to provide updated information, including statistical data disaggregated by age and sex, as well as by the target groups referenced above, on the nature, scope and impact of the active labour market measures implemented to increase the employability of persons in vulnerable situations and promote their access to sustainable and lasting employment opportunities.

Women’s employment. The Committee notes that, in 2020, the unemployment rate for men increased from 6.3 per cent to 7.6 per cent, whereas the unemployment rate for women decreased, falling from 8 per cent to 7.6 per cent. The Committee nevertheless notes that the Government does not provide information with regard to the measures taken or envisaged to promote women’s employment, particularly women belonging to disadvantaged groups, who frequently face double discrimination. Noting that the rate of unemployment of women declined in 2020, the Committee requests the Government to provide information indicating the reasons for this decline, particularly given that it occurred during the COVID-19 pandemic. The Committee also requests the Government to intensify strengthen its efforts to promote the active participation of women in the labour market and their access to sustainable employment and decent work, particularly for those facing multiple and intersecting discrimination, such as women with disabilities. It requests the Government to provide information on the nature, scope and impact of measures taken in this respect.

Youth employment. The Government refers to subsidy schemes for youth employment, such as the Scheme Providing Incentives for the Employment of Unemployed Young People up to 25 years old, which operated between 2016 and 2019. It also refers to new schemes being implemented (2020-2024), which continue to provide incentives to encourage private sector enterprises to employ young people between 15-29 years old who are not in Employment or Education or Training (NEETs). The Committee also notes the information provided concerning various schemes for youth employment implemented by the Human Resources Development Authority. In particular, the Committee notes that the youth unemployment rate decreased in 2019, falling from 20.2 per cent in 2018 to 16.6 per cent in 2019 and to 18.2 in 2020. At the same time, youth employment increased from 31.3 per cent in 2018 to 32.4 per cent in 2019; however, the youth employment rate subsequently declined to 31.3 per cent in 2020. The Committee requests the Government to continue providing detailed updated information, disaggregated by sex and age, on the nature, scope and impact of incentives and other measures taken to promote the employment and lasting labour market integration of young people, including measures to support young women and men during school to work transitions.

Education and training policies and programmes. The Committee notes the education and training measures implemented by the Human Resources Development Authority, including on-the-job training programmes with companies in Cyprus or abroad, 6-month job placements accompanied by training allowances, job placements with Guaranteed Minimum Income (GMI) for the acquisition of work experience in the public sector, as well as training schemes for specific categories of workers who face difficulties in accessing the labour market, including young people, the long-term unemployed and persons with disabilities. In particular, the Committee notes the Small Units for Entrepreneurship Scheme, which has enabled 48 persons with disabilities to create their own small enterprises, as well as the Vocational Training Scheme for persons with disabilities, which has provided specific vocational skills to 41 applicants to help them keep their jobs or to enhance their employability with a view to improving their access to new employment opportunities. The Committee requests the Government to continue to provide updated detailed information on the impact of the measures taken to promote education and training and on the relation of these measures to prospective employment opportunities, as well as the number of persons placed in employment as a result of such measures.

Article 3. Participation of the social partners. The Committee notes the information provided by the Government in reply to its previous request concerning the application of Article 3.The Government is requested to continue to provide updated information in this respect.