Observation (CEACR) - adopted 2010, published 100th ILC session (2011)

The Committee notes the detailed replies provided in the Government’s report received in December 2009 to the matters raised in its 2007 observation.

Articles 1 and 2 of the Convention. Employment policy measures taken in response to the global crisis. The Committee notes that the unemployment rate rose from a low of 6 per cent in 2007 to 8.2 per cent in 2009: more than 2,200,000 persons were seeking employment in the first trimester of 2010, 1 million persons in the South, more than 800,000 persons in the North and some 440,000 persons in the Centre according to the data published by ISTAT. Employment has decreased the most in the manufacturing sector, which accounted for 60.6 per cent of the total net employment losses from
July–September 2008 to the same period of 2009. Other badly affected sectors include wholesale and retail trade, real estate, rental and business services, hotels, restaurants and construction. Three stimulus packages were implemented by the Government since the start of the crisis. The largest component (around 38 per cent) of the 2009 outlay of the combined Italian fiscal stimulus packages was support for business in the form of increased access to credit and subsidies. The next largest item was investment in infrastructure projects (23 per cent). Twenty per cent of the resources were devoted to income support measures, while the remaining 19 per cent was allocated to improve the functioning of the labour market, including training, job search assistance and subsidized reductions in working hours. The Government indicates that, among the measures taken in response to the global crisis contained in Decree-Law No. 185 of 28 November 2008, those regarding employment include: facilitating the employment of individuals benefiting from income support mechanisms; anticipating the re-employment of workers benefiting from the Cassa Integrazione Guadagni (CIG) (Wage Guarantee Fund); strengthening job-security agreements; and stimulating self-employment. Labour market measures focused on the mechanisms which ensure income support in case of risk of unemployment. The Government temporarily broadened the coverage of some of the existing mechanisms, namely the scheme to protect workers’ income in firms threatened with financial difficulties due to the crisis or restructuring, by providing unemployment benefits and mobility allowances. At the end of 2009, more than 36,000 enterprises involving 250,000 workers were expected to use those mechanisms. In January 2009, applications for unemployment benefits and mobility allowances increased by 44.2 per cent compared with 2008, reaching 750,000 persons. The Government also reports that, in the framework of the global crisis, various agreements with the social partners signed at the regional level were aimed at facilitating the access to credit of enterprises, reducing working time and broadening the coverage of income support mechanisms. The Committee invites the Government to provide information in its next report on how the policies designed and the programmes implemented will translate into productive and lasting employment opportunities for the unemployed and other categories of vulnerable workers affected by the global crisis. It requests the Government to provide information on the effects of the measures adopted to close the gap between the various regions of the country as to the levels of employment.

Other labour market measures. In reply to previous comments on limits to temporary and part-time employment contracts, the Government indicates that, according to the legislation applicable since 2001, a temporary employment contract cannot exceed 36 months. Act No. 247 of 24 December 2007 amended the previous legislation to impose a permanent employment contract after 36 successive months of work under contracts for a specified period of time. The only exception provided for in Act No. 247 is the possibility of a single further renewal of up to eight months subject to certain conditions. The Committee invites the Government to provide information in its next report on the impact of new legislation regulating the limitation of temporary employment contracts in satisfying the employment needs of workers whose contracts of employment have ended.

Youth employment. The Government indicated in its report that it launched the plan of action Italia 2020, which is mainly designed to facilitate the entry into the labour market of young persons under 25 years. This plan, among others, aims to: strengthen career service networks in high schools and universities; enhance vocational training, training within the workplace and apprenticeship; promote continuous learning; and stimulate an offer of universities in line with the labour market needs. Following the distribution of the funds from the Youth Policy Fund for the period 2007–08 to regions, provinces and municipalities, framework agreements were signed with all regions in order to stimulate creativity, entrepreneurship and employment of young persons while fostering regional productivity and creating stable and qualitative employment. Various other initiatives were carried out especially to promote entrepreneurship among youth and to foster youth employment. The Committee notes that the youth unemployment rate between 2007 and 2009 rose by almost 6.5 per cent points for a total of 26.3 per cent. In its 2010 General Survey concerning employment instruments, the Committee noted that there was a growing problem of unemployment among educated workers, particularly young university graduates who are unable to find secure employment commensurate with their skill level. This is an issue for advanced market economies as well as developing countries. Not only are their skills underutilized but this pattern of casual jobs can prove detrimental to their lifetime career progression (see paragraph 800 of the 2010 General Survey). The Committee invites the Government to continue to provide detailed information in its next report on the efforts made to improve the employment situation for young persons and the results achieved in terms of job creation and sustainable employment as a result of programmes adopted.

Women and other specific categories of vulnerable workers. The Government indicated in its report that Ministerial Decree of 13 November 2008 identified the regions in which the employment rate for women was less than 20 per cent of mens’ or in which the unemployment rate for women was more than 10 per cent of mens’. The Government also indicated that the Programme of Action for the Re-employment of Vulnerable Workers (PARI), aimed at re‑employing vulnerable workers, was continued and enhanced. The direct beneficiaries of the programme are workers benefiting from income support or other benefits linked to unemployment and particular categories of workers including young persons, women and workers over 50 years old. PARI relied on individual training plans as well as on economic incentives to enterprises willing to re-employ the beneficiaries of the programme and incentives to individuals choosing self-employment. PARI has been carried out in 18 regions. As of 30 June 2009, more than 18,000 workers were employed in the framework of PARI. The Committee invites the Government to provide in its next report information on the impact of PARI and other measures designed to encourage and support the employment of women and other specific vulnerable categories of workers such as older workers.

Educational and training policies. In its 2010 General Survey concerning employment instruments, the Committee noted that the reform of the education system introduced by Act No. 133 of 2008 is aimed at the rational and effective use of funds giving priority to the planning and implementation of a new territorial governance of education and training. It also noted that, in order to align training more closely to the needs expressed in the labour market, the system of higher technical education and training is being reorganized to offer higher technical specialization as an alternative to university studies (see paragraphs 120 and 583 of the 2010 General Survey). The Government in its report provides information on training policies and inter-professional joint funds. The Committee notes the Government’s statement indicating that investing in human capital is likely to increase productivity and reduce the risk of unemployment. The inter‑professional joint funds, which are established by employers’ and workers’ organizations through specific agreements, are mechanisms for financing company, sectoral and regional training plans that enterprises decide to run for their own employees. For the period 2004–08, inter-professional joint funds for continuing training approved more than 6,000 training plans involving 35,000 enterprises and almost 764,000 workers. The Committee would appreciate receiving information on how the educational and training measures are coordinated with employment policies. It would also welcome information on how the regional authorities and the social partners participate in the design and implementation of training policies and programmes.

Cooperatives. The Committee recalls that in its 2010 General Survey concerning employment instruments, it noted that the cooperative legislation in Italy offers a good example in terms of innovation and development (see paragraphs 464, 474 and 478 of the 2010 General Survey). The Committee invites the Government to provide in its next report information on the measures taken to promote productive employment through cooperatives in line with the Promotion of Cooperatives Recommendation, 2002 (No. 193).