Observation (CEACR) - adopted 1996, published 85th ILC session (1997)

Employment Policy Convention, 1964 (No. 122) - Germany (Ratification: 1971)

1. The Committee notes the Government's report for the period ending June 1996 which, in reply to its previous observation, contains a detailed description of developments in the employment situation and the policies implemented. It notes that the period was characterized by a slow-down in the rate of economic growth, a levelling-off of job creation in the Eastern part of the country and a rise in the unemployment rate, which was 10.4 per cent in April 1996 for the country as a whole and 16 per cent in East Germany. The Government describes in its report the action programme for investment and employment that it adopted in January 1996, which provides in particular for: measures to encourage the creation of small and medium-sized enterprises, a reduction in the costs associated with labour and the lifting of obstacles to competition; measures, particularly of a fiscal nature, to support the economic restructuring in East Germany, which remains the priority objective of its economic policy. The appreciation of the currency is also said to have contributed to the deterioration in the employment situation. In view of the developments in the situation referred to above, the Committee requests the Government to describe as much as possible the impact of all the relevant overall policies on the promotion of the objectives of the Convention.

2. The Committee notes that the Government has continued to make use on a broad scale of active labour market policy measures, particularly in the East of the country where, according to the Government, retraining and employment promotion measures have contributed to a reduction in the proportion of long-term unemployment and the maintenance of a low level of unemployment among young persons. The Committee requests the Government to continue supplying evaluations of the results obtained by the various measures taken under the Employment Promotion Act.

3. The Committee notes the information that the possibility of transforming fixed-term contracts into contracts without limit of time has resulted in stable employment in half of the cases arising. The Government refers to a Bill on the promotion of industrial employment to amend the provisions applicable to the conclusion and renewal of fixed-term contracts. Given the objectives of the Convention, the Committee requests the Government to indicate the effect that the implementation of these new measures has had or is expected to have on the level of employment and the lasting integration of the persons concerned into employment.

4. Article 3. The Committee notes the general information concerning consultation of the social partners. With reference to its previous comments, it would be grateful if the Government would provide more detailed information on the consultations that have been held concerning employment policies, the subjects covered, the opinions expressed and the manner in which they have been taken into account.