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

Employment Policy Convention, 1964 (No. 122) - Brazil (Ratification: 1969)

1. The Committee notes the information contained in the Government’s detailed report. The informal economy continues to expand, and now accounts for approximately 50 per cent of employment, compared with 44.5 per cent for employment in the formal economy. The Government’s main measures addressing the needs of the informal sector include incentives to bring businesses into the formal economy, improving basic and secondary education and vocational training, and reforming labour market institutions.  Please continue to supply information on measures taken to consult the representatives of the informal sector on means to improve their prospects for obtaining decent work.

2. The Committee notes that the Job and Income Generation Programme (PROGER) provides credit to SMEs, cooperatives, micro-enterprises and informal economy workers. It operates in both urban and rural areas, but the bulk of lending is in rural communities. The Committee also notes that the ILO and Ministry of Labour published jointly an analysis of PROGER and an evaluation of PROGER was carried out in the State of Ceará. These studies revealed several problems, including a high rate of default on lending, which suggests a need for counselling and outreach to complement lending services. Please provide further information on measures taken in light of the findings of these studies.

3. The Committee notes programmes established in the Multiannual Investment Plan (PPA) 2000-2003. The Vocational Training Plan for Workers aims to train 20 million people over the four-year period. The National Worker Qualification Plan aims to strengthen training capacity and mitigate lay-offs due to changes in technology by emphasizing a broader training and grounding in technology. Preferential treatment is given to the poor, illiterate, women, youth, Afro-Brazilians, people with disabilities, indigenous people, and people residing in areas with high unemployment. It is monitored by PLANFOR which is a tripartite body. Please continue to supply information on the impact of the PPA on employment promotion.

4. The Government states that the Worker Protection Fund (FAT) is the backbone for consolidating government employment policies. It is administered by the Deliberative Council of FAT (CODEFAT), which is tripartite, and includes representatives of civil society. The state and municipal Employment Commissions, which distribute the funds, are also tripartite. Please continue to supply information on the impact on employment promotion of the decentralized approach of FAT and on measures taken to ensure a minimum level of effectiveness of the various Employment Commissions.