Observación (CEACR) - Adopción: 1994, Publicación: 81ª reunión CIT (1994)

Convenio sobre la política del empleo, 1964 (núm. 122) - Suecia (Ratificación : 1965)

1. The Committee notes the Government's report for the period ending June 1992 and the enclosed observations of the Swedish Confederation of Professional Employees (TCO) and the Swedish Trade Union Confederation (LO). According to the information provided by the Government, there was a serious and rapid deterioration in the employment situation during the period covered by the report. The economic recession which began in 1991 resulted in a drop in employment of 1.7 per cent in 1991 and 4.1 per cent in 1992. Despite lower activity rates, the OECD standardized unemployment rate, which stood at 1.5 per cent in 1990, reached 2.7 per cent in 1991 and 4.8 per cent in 1992. Since then, there has been a further accelerated growth in unemployment. According to OECD estimates, the deepening of the recession in 1993 is likely to bring about a 6.7 per cent reduction in employment and a sharp increase in the unemployment rate to a level unprecedented in Sweden, of approximately 8 per cent. The description of the Swedish economy published in January 1993 forecasts unemployment rates of 6 to 7 per cent for 1993 and 1994. In less than three years, the number of unemployed has increased five-fold and the unemployment rate, which had been low for many years, is now reaching the average rate of those European countries which have ratified the Convention.

2. The documents provided by the Government (particularly the 1992-93 budget bill and the economic policy statement for 1993) show a change of direction in macroeconomic policy, which now gives priority to overcoming inflation and redressing the balance of public finances. According to the Government, the necessary adjustments have been too long in coming and it is now urgent to implement a stabilization policy to rebuild confidence and reduce interest rates, an essential factor of economic expansion and, therefore, of reduced unemployment. In the view of the Swedish Trade Union Confederation, the direct effects of the present economic policy will be to reduce employment and increase unemployment.

3. With regard to employment, the Government indicates that it plans to deregulate the labour market by abolishing the monopoly of the public employment service and simplifying existing labour legislation, in particular to stimulate small and medium-sized enterprises. The Committee notes that the Act of 1974 respecting employment protection is one of the laws being amended. The Government will doubtless take into account the provisions of the Termination of Employment Convention, 1982 (No. 158), and the Committee's comments on the application of that Convention, when the amendments are made.

4. The Government indicates in its report that the various labour market policy programmes are still being expanded to combat growing unemployment. Priority is given to measures for training for employment and adapting qualifications with a view, in particular, to containing long-term unemployment and the unemployment of young first-time jobseekers. However, the annual follow-up studies indicate that the integration rate of the beneficiaries of training for employment, which for years stood at 70 per cent, attained only 51 per cent in 1991-92 because of unfavourable conditions on the labour market. The Committee also notes that measures to guarantee employment and temporary employment for young people have been replaced by an experimental programme of practical training in an enterprise for the unemployed who are under 25 years of age. It notes that the Swedish Trade Union Confederation considers that the design and implementation of this programme has been very unfortunate. According to the LO, its effect has been to provide free labour for enterprises which, therefore, have not needed to announce any regular vacancies suitable for young people. The Committee recalls in this connection that the Government is responsible for ensuring that measures to promote the employment of young people should not be diverted from their objective which is to contribute effectively to the lasting integration into employment of the persons concerned. It asks the Government to indicate in its next report the measures taken or envisaged to prevent any abuse. As is suggested in the Employment Policy (Supplementary Provisions) Recommendation, 1984 (No. 169), such measures should fulfil certain conditions and in-depth consultations should be organized at an early date on their formulation, application and supervision between the competent authorities and the employers' and workers' organizations concerned (see in particular paragraphs 17 to 19 of the Recommendation).

5. The Committee notes that following the withdrawal of the Swedish Employers' Confederation (SAF) the Governing Body of the National Labour Market Board has not been a tripartite body since 1 July 1992. The Swedish Trade Union Confederation points out that the trade union representatives were removed from the Board of the Labour Market Administration against the will of the trade unions and that the same occurred with the trade union representatives in the County Labour Boards. The Government points out, however, that discussions with the social partners now take place in a tripartite advisory council under the Governing Body and specialized committees of a "more or less permanent" nature. The Committee would be grateful if the Government would provide complete information in its next report on procedures for consulting employers' and workers' representatives on employment policy measures established in this new institutional framework, specifying the opinions gathered and the manner in which account was taken of them, in accordance with Article 3 of the Convention.

6. Lastly, the Committee notes in summary and conclusion that while still declaring its attachment to full employment as a priority objective of labour market policy, the Government now considers that controlling inflation and public expenditure are prerequisites for renewed growth and employment. The Committee is bound to note that with the change of direction in macroeconomic policy, a rapid drop in inflation and reduced production have been accompanied by a worrying increase in unemployment, particularly long-term unemployment, which labour market policy measures, despite their scope, have been unable to contain. Furthermore, there appear to be signs of a lessening of tripartite dialogue at a time when serious difficulties in the area of employment and the measures to overcome them call for intensification of consultations between the social partners. In this context, the Committee must draw the Government's attention to Article 2 of the Convention, which lays down the obligation to decide on and keep under review, within the framework of a coordinated economic and social policy, the measures to be adopted in order to promote, as an essential objective, full, productive and freely chosen employment. It hopes that in its next report, the Government will be able to state that there have been positive developments in this respect.