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

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

Implementation of an active employment policy. The Committee notes the detailed information sent by the Government in a report received in August 2010 in reply to the observation of 2009. The Government indicates that a National Employment Plan is being drawn up in the context of the Inter-American Development Bank project to promote a programme of reinvestment. The objective of the National Employment Plan is to cater for vulnerable groups and give special attention to gender issues. According to the 2009 National Household Survey (EPH), the economically active population numbered 3,163,241 persons. The open unemployment rate stood at 6.4 per cent (202,298 persons), with women worse affected than men (7.8 and 5.5 per cent, respectively). Despite a slight decrease of 1.4 per cent by comparison with 2008, a total of 8.2 per cent (259,602 persons) of the economically active population were in a situation of visible underemployment, while 16.9 per cent (533,717 persons) were affected by invisible underemployment. The Committee notes the content of the Draft Public Social Development Policy 2010–20 (“Paraguay for All”), whose objectives include the design and promotion of mechanisms to create decent work in a sustained manner. Specific proposals include designing and implementing public services and instruments which promote equal opportunities in the context of a national employment policy, promoting public–private coordination in the area of training, developing and implementing suitable measures to promote and reinforce micro-, small and medium-sized enterprises and adapting and implementing the regulatory framework for employment. The Government states that, in the context of the Decent Work Country Programme 2009, the “Campaign for decent work and employment promotion” has been in the process of development in collaboration with workers’ organizations with a view to creating employment. The Committee notes that the social partners form part of discussion forums such as the National Round Table for the Generation of Youth Employment and the Tripartite Committee for Monitoring the Decent Work Agreement. The Government mentions that, further to a technical visit to the Brazilian Ministry of Labour and Employment, it is intended to establish tripartite bodies to provide advice and support and undertake supervision and evaluation. The Committee requests the Government to include information in its next report on the adoption of the National Employment Plan. The Committee would also be interested in information on the impact of the “Campaign for decent work and employment promotion” as regards generating productive, high-quality employment. The Committee requests the Government to include information in its report on the situation, level and trends of employment, unemployment and underemployment in both urban and rural areas of the country.

Coordination of employment policy with economic and social policy. The Committee notes the Economic and Social Strategic Plan (PEES) 2008–13 aimed at establishing a system for coordinating the various public policies and implementing the economic growth strategy in the medium term. The objectives of the PEES include continuing the pursuit of economic growth with more job creation and better income distribution, and promoting the participation of civil society and the private sector in the economy to strengthen small and medium-sized enterprises, especially small agricultural holdings, increasing their competitive capacity. Other goals include boosting infrastructure development, increasing competitiveness and improving the climate for business and investment in order to create employment and reduce poverty. The Committee notes the Government’s intention to promote the participation of the peasant farming sector by strengthening the social and community fabric. The Committee requests the Government to include information in its next report on the manner in which the goal of full employment has been taken into account in the formulation of strategic plans such as the PEES. The Government is also requested to indicate whether difficulties have been encountered in achieving the employment goals established in the context of the PEES.

Strengthening of employment services. The Committee notes the Government’s statement that the National Employment Service (SNE) is being reinforced and consolidated with a view to the ratification of the Employment Service Convention, 1948 (No. 88). Moreover, the Government reports on the implementation phase of the “Project to strengthen public employment policies”, which involves collaboration from the Spanish Agency for International Development Cooperation (AECID). The Government is seeking to implement active public employment policies aimed at improving job placement through vocational guidance, information and training activities. Six new employment offices will be opened in various departments. The Committee recalls that the Conventions relating to employment services (the Employment Service Convention, 1948 (No. 88), and the Private Employment Agencies Convention, 1997 (No. 181), promote the creation of the necessary structures to sustain full employment (see Chapter III of the 2010 General Survey concerning employment instruments). The Committee requests the Government to include information in its next report on progress made in the context of the “Project to strengthen public employment policies” to improve the quality of job placement and guidance services and extend the network of employment offices to cover the whole country.

Youth employment. The Government indicates that almost 60 per cent of the population is under 30 years of age. The open unemployment rate for young persons between 15 and 24 years of age was 13.4 per cent for men and 17.9 per cent for women. The Committee notes the establishment in September 2008, with technical assistance from the ILO, of the National Round Table for the Generation of Youth Employment. In addition, preparatory work for a Youth Employment Bill and a youth employment strategy is in progress. The Committee requests the Government to indicate in its next report the impact of the new legislation relating to youth employment and the measures taken to provide young persons with decent and productive work.

Poverty reduction and vulnerable groups. The Government indicates that the most vulnerable social collectives are concentrated in family-run agricultural undertakings and micro- and small enterprises. According to the statistical information in the report, 66 per cent of the population works in enterprises employing between two and five persons. The development of these productive units and the better incorporation thereof in markets represent key aspects of a growth strategy that seeks to reduce poverty indices and improve the quality of life for all. The Committee also notes the “Namba’apo Paraguay” programme, the objective of which is to support workers in vulnerable situations so that they can refresh their skills and find decent employment. The Committee requests the Government to include information in its next report on the actions aimed at generating high-quality jobs among the sections of the population that face major difficulties in finding and retaining employment.

Coordination of training policy with employment opportunities. The Government indicates that it intends to reform the system of technical and vocational training, gearing its activities to demand for capacity in the private sector. Moreover, it is planned to unify the National Vocational Promotion Service (SNPP) and the National Vocational Training System (SINAFOCAL) to avoid duplication and ensure coordination with the Ministry of Education and Culture. The Committee requests the Government to include information on the coordination of education and training policies with employment policies, especially on how the supply of training is coordinated with the demand for knowledge and skills and the needs of the labour market.