The ILO and globalization

The following is a selection of recent events and publications that have addressed issues concerning globalization and its social consequences. This selection is not intended to be comprehensive, but only to highlight the more significant developments. The texts reproduced are not complete, but only extracts of parts relevant to the social aspects of globalization.

In view of the wealth of information available on the many different aspects of globalization, the first section of this paper groups together the various reports and studies published. This has the advantage of highlighting the different shades of opinion in the assessment of the effects of globalization. The second section covers various high-level conferences and meetings that have addressed this subject, reflecting the policy positions adopted.

This document is not exhaustive, and has been prepared on the basis of internal information and elements to be found in the public domain, mainly through Internet sites. Wherever possible, full document and Internet references are given for the texts and events included. Links imply neither responsibility for, nor approval of, the information contained in those other Web sites on the part of the ILO.
 

A. Events

1. XII Ibero-American Summit of Heads of State and Government
Bávaro, Dominican Republic, 15-16 November, 2002

Declaration of Bávaro

In the Declaration of Bávaro, Heads of State and Government:

• were committed to the goals of closer links between their peoples, who share similar cultural values and a common aim to strengthen the rule of law and democracy and forge cooperation links with a view to ensuring sustainable development and social equity, as well as better and more effective participation in a globalized world;
• pledged to follow up on the Doha's work programme, in order obtain greater market liberalization, including the application of special and differential treatment, to stimulate developing countries' integration into the world economy.
• within this context, also reaffirmed their will to comply with the commitments entered upon at the "International Conference on Development Financing", held in Monterrey, which acknowledged the importance of improving access to all markets for the products of developing countries, including landlocked countries. Also, in regard to the mobilization of international and internal resources towards programs and projects aimed at reducing poverty and increasing development cooperation, advocated an effective, just and lasting solution to the external debt problem that affects many Iberoamerican economies. In this regard, they reiterated the importance of multilateral negotiations and initiatives aimed at alleviating this problem. At the same time, they believed that the opening up of markets, or better access to them, allows indebted economies to retain their exports as sources of income.
• with a view to increasing people's standard of living and reducing poverty among the most vulnerable sectors, emphasized the need to promote policies aimed at creating productive jobs that may strengthen their people's labour capacities, their economies' competitiveness and open up national and international markets.
• aimed for the better and more effective economic integration of their countries into the globalization process. To this end, undertook as a priority task the reduction of the asymmetries prevailing in the global economic system.

2. Arab Labour Organization
30th Session of the Arab Labour Conference
Tunis, Tunisia, 24 February - 1 March 2003

(a) Resolution regarding the Report of the Director-General of the Arab Labour Organization on Arab Migrant Workers and Globalization: Challenges and Prospects

In its resolution the Arab Labour Conference called on Arab countries to endeavour -

• to consider and follow up on the situation of skilled Arab migrants, to encourage their return to their homelands so as to reduce the brain drain, to attempt to draw them back by providing the conditions as well scientific and cultural environment and privileges that would ensure maximization of the benefits that such skills could provide to the Arab World;
• to promote work opportunities through advancing comprehensive development, including the rational use of available resources, due attention to human development and regulating increasing population growth;
• to establish those plans capable of achieving a balance between education and training outputs and market needs and developing requirements for professions and skills;
• to expand the establishment of training establishments for Arab labour and to equip them to adopt modern technology so as to actively participate in the realizations of the development of Arab society;
• to increase awareness through the various media forms of the importance of vocational training in preparing youth for the world of work, to encourage them to assume the responsibilities of self employment and not to rely on government placement;
• to seek to find appropriate solutions for the problems hampering Arab labour markets with a view to reducing the problem of unemployment in the Arab world on the basis of national perspectives and as part of Arab economic integration;
• to study external labour markets and to raise the standards of Arab labour skills according to requirements of foreign labour markets;
• to reaffirm calls to Arab investors abroad to repatriate their funds for reinvestment in Arab Countries so as to contribute to the improvement of those countries investment environment which would provide productive investment opportunities that could alleviate unemployment rates and reduce domestic and foreign debt burdens.

(b) Resolution on small and medium sized industries and their role in job creation for youth

In its resolution the Arab Labour Conference -

• called on all the parties involved to take part in the creation of the Arab Network of SMEs.
• called on the ALO and the other parties involved to intensify their exchanges of experience in the creation of small production enterprises and to prepare studies and recommendations monitoring different countries' experiences and providing different solutions to the problems in the sector.
• decided to support the planned projects and activities of the ALO in the field of small productive enterprises and the creation of employment generators, to establish associations and groupings for the marketing of their output, and to include small enterprises in the projected guide to employment bureaux and in special activities on feasibility projects for small industries.

3. 12th Japan-EU Summit
Athens, 1- 2 May 2003

Joint Press Statement

In the Joint Press Statement, Heads of State and Government:

• on WTO, concurred on the need for good preparation of the Ministerial Conference in Cancun (Mexico) in September in order to move the Doha Development Agenda negotiations into higher gear and achieve the decisive breakthroughs needed to accomplish a broad-based successful outcome, including the smooth launch of the negotiation of all the Singapore issues;
• on actions to be targeted by the next EU-Japan Summit, indicated that objective 2 was “Strengthening the Economic and Trade Partnership Utilising the Dynamism of globalization for the Benefit of All”;
• indicated that within Objective 3 "Coping with Global and Societal Challenges”, they intended to work together on the World Summit for Sustainable Development (WSSD) Plan of Implementation. Other areas of cooperation could include sustainable consumption and production, environmental technologies and corporate social responsibility.

4. Sixth Meeting of the Council for Foreign and Community Relations
Kingstown, St. Vincent and the Grenadines, 8-9 May 2003

Communiqué

In the Communiqué, Ministers:

• with regard to the ongoing negotiations in the World Trade Organization, regretted that progress remained slow in areas of special interest to developing countries, including, inter alia, those relating to special and differential treatment.
• in discussing other issues on the international agenda of interest to CARICOM and other small states, called for action to be taken to implement the outcomes of Doha, Monterrey and Johannesburg, and the Millennium Development Goals.

5. XVII Summit of the Rio Group
Cusco, Peru, 23-24 May 2003

The Cusco Consensus

The Heads of State and Government:

• adopted the Cusco Consensus, which represents the strategic agenda for the activities of the Rio Group drafted out of reflections on the situation of Latin America and the Caribbean from their own perspective.
• on overcoming poverty and social exclusion, gave high-priority to overcoming poverty, especially extreme poverty, through a series of initiatives that are epitomized in the Millennium Summit Declaration, in Agenda 21 and in the Monterrey and Johannesburg summits, and which will help to improve the lives of the poorest segments of the populations, so that they can be fully integrated into society and given the opportunity to use their full productive potential to support the effort of development.
• believed that these objectives should be achieved through a series of actions that include internally sustainable macro and micro-economic policies and good administration of public resources, and externally a greater opening of international markets so that parallel actions in these two areas generate growth, increase employment, lead to a better distribution of income, reduce external vulnerabilities and generate a permanent stimulus for productive investments. It is equally necessary to ensure the adoption of social policies designed to overcome poverty and social exclusion.
• realized that only democratic governments that have succeeded in achieving a high level of governance can tend to the legitimate social needs of their people.
• On innovating financial mechanisms to strengthen democratic governance, ratified the need to establish innovative financial mechanisms designed to strengthen democratic governance and confront poverty by raising new resources for productive investment and generation of productive employment in order to provide answers to their populations' legitimate social demands.
• reaffirmed their commitment to the integral fulfillment of the Doha Development Agenda, adopted during the 4th Ministerial Conference of the World Trade Organization, and underlined the importance that the results of the round of ongoing trade negotiations include the removal of protectionist practices, which slow down growth and development, by clarifying and improving the rules of the multilateral trade system and the clear and concrete application of special and differentiated treatment accorded to developing countries, particularly to the less developed countries.
• hoped that international cooperation, as a complement to the national efforts destined to achieve sustainable development, would be guided to generate institutional capacities, infrastructure, production chains and the formation of human resources so as to turn economic growth into a social process that promotes the inclusion of the poorest and most vulnerable segments of the population.
• also hoped that international financial mechanisms would continue to explore flexible and agile economic and financial systems that enable to increase and place at disposal, in a timely manner, the necessary resources to boost the economic and social development of their countries, particularly the initiative for the Highly-Indebted Poor Countries (HIPCs).
• indicated that the guidelines included creating a high-level think tank who will be responsible for proposing, after examining the current globalization process, initiatives that bridge the gap between the two different approaches of the Davos and Porto Alegre forums, emphasizing sustainable development, the fight against poverty, overcoming poverty and reducing social exclusion. These proposals will be included in a report to be submitted in ten months for the consideration of the National Coordinators and the Heads of State and Government during the next Rio Group Summit.

6. Mid-Term Euro-Mediterranean Conference
Crete, Greece 26-27 May 2003

Presidency Conclusions

In the Presidency Conclusions, the Ministers for Foreign Affairs:

• on the economic and financial partnership, recognised that while there are a number of positive elements in the overall macro-economic situation of the countries of the region (stabilization of inflation, fiscal deficits, balance of payments), the economic growth performance has proved to be insufficient to accommodate a rapidly expanding labour force and raise living standards. They acknowledged that the establishment of a Free Trade Area through import tariff dismantling generates an impulse to enhance competitiveness in partners’ industries through "mise à niveau" programmes for individual enterprises as well as general reforms at the level of public policies and institutions. Efforts to improve the qualifications of the labour force are necessary to boost productivity.
• on the social, cultural and human partnership and more particularly on the social consequences of economic transition, considered ways of addressing the social consequences of economic transition. The preparation of the regional programme on “education and training for employment” should be completed this year, as well as that for enhancing “the role of women in economic life”. They underlined the importance of the fight against poverty as a means of addressing instability.

7. Meeting of the Trade Ministers from Countries in Eastern and Southern Africa
Nairobi, Kenya, 28 May 2003

Nairobi Declaration on Preparations for Economic Partnership Agreements (EPA) Negotiations
and the 5th WTO Ministerial Conference

In the Nairobi Declaration on Preparations for EPA Negotiations and the 5th WTO Ministerial Conference, the Trade Ministers from countries in Eastern and Southern Africa:

• asserting their individual and collection determination to eradicate poverty and promote sustainable development with a view to raising the standard of living of all their peoples;
• reaffirming the paramountcy and necessity of the rules-based trading system brought about by the World Trade Organization in ensuring an equitable, transparent and just global trading system;
• concerned with imbalances and inequities of the multilateral trading arrangement as currently obtaining which militates against Africa’s beneficial integration into the global trading system;
• reaffirmed their commitment to the multilateral trading system and to participate fully therein and take all necessary actions to ensure their citizens derive benefits from both the multilateral trading system and their relationship with the European Union;
• expressed their disappointment over the lack of commitment, especially by members of the WTO, to complete work on special and differential treatment issues and the slippage of successive deadlines. The benefits of the multilateral trading system have thus continued to elude Africa. They urged that the S&D provisions be urgently reviewed in order to strengthen them and make them more precise, effective and operational.
• called upon the WTO and the multilateral financial institutions to enhance the coherence of their economic and trade policies.

8. EU-Canada Summit
Athens, Greece, 28 May 2003

Joint Communiqué

In the Joint Communiqué, European Union and Canadian leaders stressed that in the present global economic climate, the leaders confirmed their shared belief that further liberalisation of trade and investment is even more important in promoting economic growth and prosperity. In this context, they:

• pledged to give priority to the completion of the Doha Development Agenda negotiations by the end of 2004 with an ambitious and balanced outcome;
• to this end, agreed to work closely together to ensure a successful WTO Cancun Ministerial Conference, and strong forward momentum in all areas of the Doha mandate, including progress on the development aspects of the negotiations.

9. Islamic Conference of Foreign Ministers: Thirtieth Session (Session of Unity and Dignity)
Tehran, Islamic Republic of Iran, 28-30 May 2003

(a) Draft Final Communiqué

In the Draft Final Communiqué, the Conference of Foreign Ministers:

• underlined the urgency of devising ways and means to minimize the adverse effects of globalization on the economy of the OIC countries and called for the taking of appropriate measures to ensure an equitable sharing of the benefits of globalization by all countries;
• declared its rejection of all attempts to include non-trade issues, such as labour and environment standards, into the work programme of the WTO, or to link such issues with trade deals given their detrimental effects on the evolution of a just, free, and fair multilateral trading environment.
• appealed to the WTO to strengthen the development dimension in the various multilateral trade Agreements through a wide range of measures, including the application of the provisions on special and differential treatment for the developing countries.
• expressed concern at the declining trend in the volume of Official Development Assistance to the LDCs and appealed to the developed countries that have not yet reached the agreed target of allocating 0.7% of their GNP to global official development assistance and from 0.15% to 0.20% of their GNP to the LDCs, to work on reaching this target.
• expressed concern over the abject poverty in the LDCs leading to their marginalization in the global economy. It further reaffirmed the common objective of Member States of eradicating poverty before the end of the next decade and agreed that micro credit programmes providing access to small capital for productive self-employment be incorporated in the strategy for poverty eradication.
• renewed its call to the international community to offer substantial reduction of the African debts and lower the burden of the servicing charges along with a flow of fresh and large finances on easy terms to the African countries.
• stressed the role of the private sector in providing impetus to intra-OIC economic relations and called on Member States to support the various activities of the Islamic Chamber of Commerce and Industry. It further stressed the role of small and medium enterprises as a crucial element in the process of industrial development of the Member States.

(b) Teheran Declaration

In the Teheran Declaration, the Foreign Ministers and Heads of Delegation participating in the Thirtieth Islamic Conference of Foreign Ministers -

• noted that globalization and increasing liberalization have made the external environment for development crucial, particularly since OIC Member States have become more vulnerable to the fluctuations in international trade, financial and monetary flows as well as to the changes in technology, and called on developed countries to create a more practical, equitable and transparent environment enabling developing countries to implement their structural adjustment programmes to achieve sustainable development.

10. Second LDC Trade Ministers' Meeting
Dhaka, Bangladesh, 31 May - 2 June 2003

Dhaka Declaration

In the Dhaka Declaration, the Ministers responsible for trade of the Least Developed Countries:

• reiterating commitment to further strengthen the rules-based multilateral trading system to meet the development needs of LDCs;
• concerned that the failure of the membership to meet deadlines on a number of issues, including development issues affecting LDCs mandated by the Doha Ministerial Conference, is a setback to advancing the development dimensions of Doha Declaration;
• worried that the LDCs continue to be marginalized in multilateral trade with their market share in world trade secularly declining, despite there being an increase in the number of LDCs and repeated commitments by Members to address this problem;
• disappointed with the slow progress of implementation of the commitments made by trade ministers at Marrakesh, Singapore, Geneva and high-level meetings on LDCs, and by the international community at the Third UN Conference on Least-Developed Countries in Brussels, to help least-developed countries secure beneficial and meaningful integration into the multilateral trading system and the global economy;
• disappointed with the lack of progress in making existing Special and Differential (S&D) provisions more precise, effective and operational;
• emphasizing the importance of increased coherence of policies pursued by multilateral institutions on matters of trade;
• invited the attention of the Members of the WTO to the particular vulnerability of the least developed countries and the special structural difficulties they face and call upon the WTO bodies and Fifth Ministerial Conference to agree on, among other things:
• resolving, by Cancun, all implementation-related issues and concerns, and all S&D proposals with a view to strengthening them and making them precise, effective and operational as mandated by the Doha Declaration; and substantially expanding and binding special and differential treatment provisions to reverse the continued marginalization of LDCs;

11. Meeting of APEC Ministers Responsible for Trade
Khon Kaen, Thailand, 2-3 June 2003

Statement of the Chair

In the Statement of the Chair, APEC Ministers Responsible for Trade:

• amidst economic uncertainty, committed to promote economic growth, create jobs and raise living standards to deliver APEC's ultimate goal of equitable and shared prosperity. They stressed the importance of the Doha Development Agenda (DDA) and the need for a successful WTO Ministerial Meeting in Cancun.
• recognizing the diversity and different levels of development within the APEC community, they called for greater cooperation and partnership so that all members can benefit from faster growth and development through expanded trade and investment.
• reaffirmed the importance of supporting an open, rules-based, multilateral trading system under the World Trade Organization (WTO) and the urgency of advancing the Doha Development Agenda leading up to the September Cancun ministerial. The ministers noted the need for progress on the core economic agenda. While recognizing their different levels of development and interests, they pledged to work together as a unified entity to ensure the successful conclusion of the Doha Development Agenda (DDA) by 1 January 2005, which is essential for strengthening the world trading system, promoting world economic development and social advancement, and achieving the Bogor Goals.
• reiterated the importance of developing economies' special needs and development concerns which are critical to the success of the DDA.

12. G-8 Summit
Evian, France, 3 June 2003

(a) Chair Summary

In the Chair Summary, G-8 Heads of State and Government:

• met for their annual Summit, confident that, through their joint efforts, they can address the challenges of promoting growth, enhancing sustainable development and improving security.
• on strengthening growth world-wide, were confident in the growth potential of their economies. They reaffirmed their commitment to multilateral cooperation, to achieve the objectives and overall timetable set out in the Doha Development Agenda as reflected in their Action Plan on Trade, and to implement sound macro-economic policies supportive of growth, while ensuring domestic and external sustainability. Their common responsibility is to raise growth in their own economies, and thus contribute to a stronger global economy.
• As this contribution should rely more strongly on structural reforms and flexibility, therefore reaffirmed their commitment to, among other things:
• implement structural reforms of labour, product and capital markets;
• implement pension and health care reforms, as they face a common challenge of ageing populations;
• raise productivity through education and lifelong learning and by creating an environment where entrepreneurship can thrive, fostering competition and promoting public and private investment in knowledge and innovation;
• welcomed the agreement reached by their Finance Ministers on a new tailored Paris Club approach for responding to debt problems of non-HIPC countries. They expected this "Evian approach" to address debt sustainability problems more conclusively, while ensuring that debt restructuring remains the last resort.
• on enhancing sustainable development, focused on the implementation of the internationally agreed Millennium and Johannesburg Development Goals in the following areas, among other things:
• Financing for development. They reaffirmed their commitment to address the challenge of global poverty and their support for the Millennium Development Goals and the Monterrey Consensus. They noted that achieving these ambitious goals would require considerable efforts from both developed and developing countries, including increased resources. They welcomed the report of their Finance Ministers' discussions on their increased resources and on financing instruments. They invited them to report back to them in September on the issues raised by the financing instruments, including the proposal for a new International Finance Facility;
• Debt. They reaffirmed their commitment to the Heavily-Indebted Poor Countries (HIPC) initiative, launched at their Cologne Summit.

(b) G8 Declaration: Fostering Growth and Promoting a Responsible Market Economy

In the Declaration entitled “Fostering Growth and Promoting a Responsible Market Economy”, G-8 Leaders:

• noted that efficient capital markets are critical to achieving and maintaining economic growth. To support growth, economies need sound legal systems, effective regulation and transparent corporate governance practices. These factors underpin effective disclosure that is fundamental to well-functioning markets. Sound social frameworks and attention to the long-term impacts, including on the environment, of investment decisions and business processes are also important for sustainable growth.
• stressed that corporate integrity, strengthened market discipline, increased transparency through improved disclosure, effective regulation and corporate social responsibility are common principles that are the foundations for sound macro-economic growth.
• re-affirmed their support of sound regulatory regimes that encourage and promote market dynamism and foster fair and effective competition among market participants. In order to support the beneficial process of globalization, they aimed in particular to enhance international cooperation and to foster a sound level playing field.
• consistent with the outcomes of the World Summit on Sustainable Development, they supported voluntary efforts to enhance corporate social and environmental responsibility. They will work with all interested countries on initiatives that support sustainable economic growth, including the creation of an environment in which business can act responsibly. They also welcomed voluntary initiatives by companies that promote corporate social and environmental responsibility, such as the OECD Guidelines for Multinational Enterprises and the UN Global Compact principles consistent with their economic interest. They encouraged companies to work with other parties to complement and foster the implementation of existing instruments, such as the OECD Guidelines and the ILO 1998 Declaration on Fundamental Principles and Rights at Work.

(c) Co-operative G8 Action on Trade

In the Co-operative G8 Action on Trade document, G8 leaders:

• stressed their faith in and commitment to the multilateral trading system, which has contributed so much to international growth, stability and sustainable development for over fifty years. They believed that continued trade opening, combined with stronger international trade rules and disciplines, represents the optimum path to global growth, both in the G8 countries and elsewhere, and particularly in developing countries. The multilateral system embodied in the World Trade Organization (WTO), and the current Doha Development Agenda, is thus central to the G8's approach to energizing the global economy, increasing employment, spurring sustainable development, improving international governance, and eradicating poverty.
• will promote the multilateral system by providing leadership in the ongoing negotiations so that improved access to markets for all WTO members is realised, particularly for the poorest, to ensure their integration into the multilateral system, and their development more broadly. They were therefore committed to delivering on schedule, by the end of 2004, the goals set out in the Doha Development Agenda, and to ensuring that the Cancun Ministerial Conference in September takes all decisions necessary to help reach that goal.
• to these ends, directed their ministers and officials to pursue urgently with WTO partners the actions outlined below, among other things:
• work towards an agreed framework for finalizing the negotiations to achieve further substantial opening of trade in all areas, including in agricultural and non-agricultural goods, and in services, in order to benefit economic growth, trade and employment. In so doing, they will pay particular attention to those areas of interest to developing countries;
• work towards strengthening the existing WTO rules and disciplines, as well as developing further multilateral rules, so as to provide fairer, less distorted, more transparent and more predictable conditions for world trade, and as a contribution to improved international governance;
• better integrate trade, finance and development policies, and by using relevant institutions, make trade an engine for economic growth and help developing countries make the transition to full participants in the global economy;

13. SADC preparations for EPA negotiations and the 5th WTO Ministerial Conference
Lusaka, Zambia, 7 June 2003

Press Release

In the Press Release, SADC Ministers of Trade and Industry:

• on the preparations for EPA negotiations, emphasized the need to take into account cross-cutting issues, particularly those relating to the development dimension, which would improve the supply capacity of SADC countries and address poverty eradication.
• with regard to the multilateral trade negotiations, expressed great concern on the limited progress made on the Doha Development Agenda work programme in Geneva. In this respect they called upon all developed members of the WTO to show more commitment to the multilateral trading arrangement by meeting set deadlines particularly on, inter alia, Special and Differential Treatment.
• also expressed disappointment at the lack of commitment, especially by developed members of the WTO, to complete work on Special and Differential Treatment as evidenced by numerous slippages of successive deadlines. They urged that the S&D proposals submitted by developing countries be urgently considered in order to strengthen them and make them more precise, effective, binding and operational.

14. Organization of American States
Thirty-Third Regular Session of the General Assembly
Santiago, Chile, 8-10 June 2003

(a) Declaration of Santiago on Democracy and Public Trust:
A New Commitment to Good Governance for the Americas

In the Declaration the Ministers of Foreign Affairs and Heads of Delegation of member countries declared:

• in the framework of a global economy, democratic governance obliges them to focus on the responsible management of public affairs as an essential factor in the sustainable development of their countries with social, ethnic, and gender equity.
• the economic and social development of the developing countries of the region must be effectively addressed to support their democratic governance.
• strengthening democratic governance calls for the elimination of poverty and social exclusion and the promotion of equitable economic growth, by means of sound public policies and practices that promote equal opportunity, education, health, and full employment.
• States should strengthen their public policies and reinforce measures to address directly the grave problems of poverty, malnutrition, hunger, health care, and illiteracy which hamper the consolidation of democracy. Economic growth with equity is essential to eradicating poverty, enhancing social justice, and creating equal opportunities for each and every citizen in their region.
• this assumes a world economic order that will promote such growth, trade liberalization for the region’s products, and an increasing flow of investments into the region. In that context, support for democratic governments from international financial organizations is essential and also assumes the need to consider innovative financing mechanisms to strengthen democratic governance.

(b) Resolution on the Promotion of Corporate Social Responsibility in the Hemisphere
AG/RES. 1953 (XXXIII-O/03)

In the Resolution on the Promotion of Corporate Social Responsibility in the Hemisphere, the General Assembly:

• recognizing that businesses play a central role in the creation of prosperity and the flow and maintenance of trade and investment in the hemisphere and that they can make important contributions to sustainable development and increase access to opportunities, which can include reducing inequality in the communities in which they operate,
• taking into consideration the increasing expectations on the part of their citizens that business will conduct their operations in a manner consistent with their social responsibilities,
• mindful that attention to corporate social responsibility is increasing worldwide, in particular in the hemisphere, and that the concept is being addressed in various multilateral forums;
• resolves to request the Permanent Council and the Permanent Executive Committee of the Inter-American Council for Integral Development (CEPCIDI), among other things [...] to convene a joint session to discuss the complementarities between corporate social responsibility and economic development to maximize the benefits from corporate social responsibility; and to encourage member States, should they see fit, to report on progress in this area within their countries at this opportunity.
• resolves to encourage OAS member States, insofar as possible, to inform their private sector, business associations, unions, academic institutions, and civil society organizations about the upcoming “Conference on Corporate Social Responsibility in the Americas, as a Tool for Competitiveness,” in Panama, and to promote their participation and that of experts and officials.

15. 36th ASEAN Ministerial Meeting
Phnom Penh, Cambodia, 16-17 June 2003

Joint Communiqué

In the Joint Communiqué, the Ministers of Foreign Affairs:

• committed themselves to further strengthening solidarity and cohesiveness in ASEAN’s traditional spirit. They attached great importance to further promoting ASEAN’s resilience and cooperation in the spirit of "prosper thy neighbor” and self-help. They resolved to redouble their efforts in deepening economic integration and narrowing the development gap.
• acknowledged the contribution of the subregional growth areas in hastening regional integration, generating employment and raising the standard of living of people in these areas. Recognizing the importance of balanced development of various growth areas, they agreed on the need to attract investors and development assistance.
• commended the vital work done in the past year by ASEAN ministers and officials in several areas of ASEAN functional cooperation, including science and technology, health, labour, law, rural development and poverty eradication, and culture and information. They affirmed their support for their work, which has contributed significantly to the betterment of their peoples’ lives.

16. African Union
First Ordinary Session of the Ministerial Sub-Committee on Trade
Specialised Technical Committee on Trade, Customs and Immigration
Grand Baie, Mauritius, 16-20 June 2003

Mauritius Ministerial Declaration on the Fifth Ministerial Conference of the WTO

In the Mauritius Ministerial Declaration, Ministers of Trade:

• recognized that trade can serve as a tool for development and make an important contribution to the realization of the Millennium Development Goals. They recalled the collective commitment they undertook at the Fourth Session of the WTO Ministerial Conference in Doha to place the needs and interests of developing countries at the heart of the WTO work programme.
• expressed serious concerns at the general lack of progress in the current round of multilateral trade negotiations as evidenced by missed deadlines on key issues and negotiations of importance to African countries. They called on WTO Members to inject momentum into these negotiations in order to ensure that the Cancun WTO Ministerial Conference yields positive results for African countries and makes the Doha Work Programme a truly "Development Agenda".
• emphasized the importance of completing the work programme on special and differential treatment (S&D) they had endorsed at Doha. They reiterated that all S&D provisions in the WTO Agreements must be reviewed with a view to strengthening them and making them more precise, effective, binding and operational. They were deeply concerned that the mandate on S&D treatment has not been met. They called upon the WTO to conclude this work, as a matter of priority, before the Cancun Fifth WTO Ministerial Conference.
• reaffirmed the need for a coherent and holistic approach at the multilateral level on issues of trade, debt and finance.
• were convinced that their subregional and regional integration organizations are pillars of the African Economic Community, and are essential for the promotion of Africa’s socio-economic development and serve as the dynamic building blocks for their effective integration into the Multilateral Trading System (MTS).

17. Foreign Ministers of the Russian Federation and the Association of Southeast Asian Nations
Phnom Penh, Cambodia, 19 June 2003

Joint Declaration on Partnership for Peace and Security,
and Prosperity and Development in the Asia-Pacific Region

In the Joint Declaration Foreign Ministers, conscious of the developments in the international environment and the need for an international system that is fair, balanced and just, [...] stated:

• while acknowledging the benefits of globalization, the Parties will intensify cooperation in responding to the multi-faceted challenges posed by globalization.
• the Parties will make joint efforts to enhance peace and security, and prosperity and development in the Asia-Pacific region.
• the Parties will further enhance trade and economic cooperation in the context of strengthening multilateral cooperation and dialogue relations. The Parties also resolve to promote development by enhancing development cooperation through joint cooperation activities in the agreed sectors within the framework of Russia-ASEAN dialogue relations.

18. European Council Meeting
Thessaloniki, Greece, 19-20 June 2003

Presidency Conclusions

In the Presidency Conclusions, the European Council -

• drew particular attention to the key policy priorities underlying the Broad Economic Policy Guidelines and the revised Employment Guidelines:
• creating the best economic conditions to promote growth, firstly by delivering a stability-orientated macroeconomic framework which can provide a platform for increased domestic demand and job creation, and secondly by pursuing greater competitiveness and dynamism through investment in human and physical capital and R&D, through improving the economy-wide application of technology and exploitation of research, through fully integrated EU financial markets and through fostering entrepreneurship and improving the framework conditions for industry;
• reforms to create more and better jobs in order to promote full employment, making labour markets more efficient, inclusive and adaptable, adapting tax and benefit systems to make work pay, increasing labour market participation in line with the Lisbon targets, promoting a new balance between flexibility and security, facilitating labour mobility and improving and updating skills to achieve higher productivity and better quality jobs;
• strengthening the sustainability of public finances in particular by further reducing government debt ratios and by reforming pension and health care systems now while the demographic window of opportunity is still open, thus ensuring that a massive burden is not left for future generations, as well as by increasing employment rates.
• accordingly endorsed the draft Broad Economic Policy Guidelines and the draft Employment Guidelines.

19. Andean Council of Foreign Ministers
Quirama, Colombia, 25 June 2003

Decision 553: Guidelines for formulating the Integrated Social Development Plan

In the decision, the Andean Council of Foreign Ministers stated:

• the poverty, inequality and social exclusion affecting the population of the Andean Community Member Countries at present threatens the future of democratic governance, weakens the Andean integration process and impedes the Andean countries from attaining a competitive position in the world economy and society;
• Andean integration has entered a new stage, with a second generation of policies and a multidimensional agenda that gives priority to a Social Agenda that will facilitate the development of mechanisms for enhancing social cohesion and contribute to the fight against poverty, inequality and social exclusion;
• the Advisory Council of Andean Community labour Ministers has identified as priorities within its area of competence the core issues of employment promotion and labour education and training;
• it is of basic importance to reinforce the positive effect that the growth of productive activities and intra-regional investments can exert on the creation of employment and income;
• decides to approve the following Guidelines for Formulating the Integrated Social Development Plan, whose objectives are, among other things, to complement through Community efforts, the national plans and programmes on food security, the struggle against poverty, inequality and social exclusion, and the improvement of the people’s living conditions; to jointly advance social development objectives and goals through the commitments that each Member Country has assumed at the World Summits on Social Development, Habitat, Population, and Women’s and Children’s Rights, among others; to maximize the positive effects of economic and trade integration on social development, particularly by creating employment; to take joint positions in international forums and negotiations that deal with issues relating to the reduction of poverty, inequality and social exclusion and the application of international financial and technical resources for that purpose.

20. Thirty-Fourth Meeting of Chairmen/Coordinators of the Chapters of the Group of 77
Geneva, Switzerland, 26-27 June 2003

Final Communiqué

In the Final Communiqué, Chairmen/Coordinators of the Chapters of the Group of 77:

• reaffirmed their commitment to the Millennium Declaration and called upon the international community and the United Nations system to fully and speedily implement the provisions set out in that Declaration and at other major United Nations conferences and summits and their respective reviews, in particular those related to development and achieving the goal of poverty eradication;
• called upon the developed countries to fulfil their commitments in respect of the implementation and follow-up of decisions and recommendations set forth in the Programmes of Action adopted at the major United Nations conferences and summits held in this decade. They expressed grave concern at the fact that commitments made by the developed countries at the highest levels are not being fully honoured. They also cautioned against any approach which seeks to implement the outcomes of the summits selectively. The focus cannot only be on governance aspects and social issues, while excluding the international community's obligations in areas such as providing greater market access, easing the debt burden, and promoting financial flows, technology transfer and capacity-building for human resources.
• expressed concern at the erosion of development cooperation and note the need to reinvigorate it. Official concessional development assistance, special and differential treatment for developing countries and transfer of technology on concessional and preferential terms remain crucial if developing countries are to succeed in eradicating poverty and accelerating economic growth in a sustainable manner. In this context, they underlined the vital role of financing for development in fostering the economic development of the developing countries and emphasized that the current lack of adequate financial resources is the most debilitating constraint on development.
• welcomed the expanding role of the Group in the ILO and looked forward to progress in the recent initiatives launched to bring more equitable results to developing countries as a result of globalization.
• reiterated the commitment of their countries to eradicate poverty and raise the standard of living of their people, including through their right to food security. They recognized that poverty is a major cause of food insecurity and instability in developing countries. In this context, they called for decisive and concrete action by the international community to assist developing countries in their efforts to reduce poverty globally during the first United Nations Decade for the Eradication of Poverty.

21. Fourteenth Andean Presidential Council
Quirama Recinto, Colombia, 28 June 2003

Quirama Declaration

In the Quirama Declaration, Presidents -

• reaffirming their conviction that the deepening of the Community integration process requires the adoption of new and efficient strategy lines within the context of a multidimensional agenda that will enable them to achieve their countries’ balanced, harmonious and shared economic development, with a view to strengthening their individual and collective capacity for fighting poverty and social exclusion.
• in accord regarding the need to lay the groundwork for a new stage of the integration process that will enhance the multidimensional nature of the Andean Community and allow them to move ahead with their common undertaking, resting on the political, social and economic dimensions of their integration movement, their Common Foreign Policy, the participation of social actors and organizations, border integration and development, the physical integration of South America, sustainable development and their institutions.
• agreed to advance the lines of strategic action for perfecting the following core themes of the integration system:
• on the political dimension, reinforce cooperation on issues of essential importance, such as, among other things, the struggle against poverty and social exclusion;
• on the social and cultural dimension, give maximum priority to the design, coordination and harmonization of social policies that will lead to the development of specific coordinated strategies for social cohesion and the struggle against poverty and marginality, which will help to consolidate democracy and reinforce governance in the Andean Community, as well as open up broader spaces for the participation of social actors and organizations; make the approval of the Integrated Social Development Plan, as a complement to national development plans, and the creation of innovative financial mechanisms for reinforcing democratic governance and facing up to poverty, among the first issues to be addressed; give preference to actions aimed at deepening the Andean economic space by developing instruments for policy conciliation in areas such as labour migration, social security and safety and health at work, as well as the recognition of professional licenses and degrees.

22. Twenty-Fourth Meeting of the Conference of Heads of Government of the Caribbean Community
Montego Bay, Jamaica, 2-5 July, 2003

Communiqué

In the Communiqué, Heads of Government:

• and the social partners reaffirmed their commitment to work together in pursuit of sustainable development and to ensure the realisation of the objectives of the CARICOM Single Market and Economy and a better quality of life for the peoples of the Caribbean;
• agreed that priorities for immediate attention must be determined on the basis of a dialogue between CARICOM officials, the private sector and other social partners and must focus on the development of modalities for cooperation in general and in particular the new partnerships to carry forward the sectoral development programmes included in the Revised Treaty of Chaguaramus.
• noted that at this time the region is confronting the cross-currents of globalization which pose both challenges and opportunities. The rules of the multilateral trading system are being rewritten and at the centre of this process are the negotiations to create the Free Trade Area of the Americas in the World Trade Organization (WTO), and those between the ACP and European Union for Economic Partnership Agreements; [see 12 above]
• expressed deep concern at the failure of the WTO negotiations so far to effectively address issues of critical importance to the Region and other developing countries. In particular they emphasized the need for WTO members to give practical expression to the commitments undertaken at the Doha Ministerial Conference, particularly with respect to, among other things, Special and Differential Treatment.

23. United Nations Economic and Social Council
Substantive Session 2003, High-level Segment
Geneva, Switzerland, 30 June- 2 July 2003

Draft Ministerial Declaration of the High-Level Segment on
Promoting an Integrated Approach to Rural Development in
Developing Countries for Poverty Eradication and Sustainable Development

In the Declaration, Ministers and Heads of Delegations:

• were convinced that the eradication of rural poverty and hunger is crucial for the achievement of the internationally agreed development goals, including those contained in the Millennium Declaration.
• considered that rural development should be pursued through an integrated approach, encompassing the economic, social and environmental dimensions.
• considered that rural development is the responsibility of each country and is predicated on an enabling national environment. An enabling international economic environment is important to support effective national development efforts, including rural development efforts. An enabling environment combines effective and coherent policies, good governance and accountable institutions at national and international levels as well as the promotion of gender equality and the promotion and protection of human rights and fundamental freedoms, including the right to development. Robust, broad-based and equitable economic growth as well as human resource development are needed to fight rural poverty.
• invited members of the World Trade Organization to implement the commitments regarding trade-related technical assistance and capacity-building for developing countries, in particular the least developed countries, so that they can benefit from liberalized trade opportunities and adopt measures to reduce supply-side constraints, including by improving productivity and product diversification and enhancing competitiveness and community-based entrepreneurial capacity.
• urged developed countries that have not done so to make concrete efforts towards the target of 0.7 per cent of gross national product as official development assistance to developing countries.
• external debt relief can play a key role in liberating resources that can then be directed towards activities consistent with attaining sustainable growth and development, and therefore debt relief measures should, where appropriate, be pursued vigorously and expeditiously.
• called for greater access to financial services and labour markets for the rural poor, in particular women, indigenous people and vulnerable groups, and to this end undertook to simplify existing mechanisms and to facilitate the establishment and strengthening of rural financial institutions, including micro-credit, savings and insurance facilities and cooperative ventures for rural development, as well as the development of professional associations and micro, small and medium-sized enterprises.
• further resolved to enhance the livelihood of the rural poor by aiming to ensure that they have access to adequate quantities of safe and nutritious food and by creating productive and remunerative on- and off-farm employment opportunities, including through the diversification of the rural economy and employment-generating strategies.

24. Council of the European Union
Brussels, Belgium, 21 July 2003

Draft Council Conclusions following the Commission's
communication on promoting core labour standards

In the Draft Council Conclusions following the Commission's Communication on promoting core labour standards, the Council -

• recalled that the promotion of economic growth and employment is a strategic aim of both the internal and external policies of the EU.
• recalled its constant rejection of protectionism and of a sanction-based approach to the promotion of core labour standards as well as its strong support for an incentive based approach to this issue,
• recalled the Commission's communication on the promotion of core labour standards and the improvement of social governance in the context of globalisation.
• underlined the growing public perception that an equitable global economic system should also promote social development and fundamental human rights. This is a reflex of the widespread view, among public opinion, that existing international economic and social rules and structures are unbalanced and, at the global level, market governance has developed more rapidly than social governance. Recognised therefore that more efforts are needed at the international level to promote social development.
• welcomed the establishment by the ILO of the World Commission on the Social Dimension of Globalisation, and noted the need to discuss further the Community's stance on trade and labour issues once the World Commission has finalised its work, in the light of the continuing need, as identified by the Council in October 1999, for a forum for international debate on the relationship between trade and social issues.
• recalled its resolution on Corporate Social Responsibility of 3 December 2002, in which it acknowledged the positive impact of CSR on business and societies in Europe and abroad, in particular in developing countries. The respect and promotion of core labour standards by the private sector is a key element of the European approach to CSR. CSR practices and tools should, inter alia, build on the fundamental ILO Conventions, ILO Tripartite Declarations and on the OECD Guidelines for Multinational Enterprises, as minimum common standards of reference.
• recalled that the current system of generalised preferences (GSP) allows the granting of further tariff preferences to the countries that effectively apply all standards referred to in the ILO Declaration on Fundamental Principles and Rights at Work.
• continued to support the conclusions of the Commission's communication, takes note of the progress made in carrying them through, and suggests focusing the EU strategy on the following points, among others:
  • the EU should aim at ever improving coordination on matters related to social governance in the context of globalisation, and assure coherence on the matter in all relevant international organisations, including in the WTO and in the ILO.
  • To this end, the EU looks forward to concrete suggestions on this matter as a result of the work of the World Commission on the Social Dimension of Globalisation established by the ILO.
  • The EU should promote a more effective dialogue between the WTO and the ILO. This should include in particular the possibility for both organisations to attend the respective relevant sessions on a regular basis and to undertake joint studies and initiatives towards continued and improved understanding of the relation between trade and labour. Ultimately, the aim should be observer status for the ILO in the WTO.
  • The EU should encourage discussions, on an autonomous and voluntary basis, on the respect of core labour standards during the review of a country's trade policy in the WTO, and should autonomously contribute to this, by setting an example in this respect on the occasion of the next examination of the EC policy. In so doing the EU should stress the positive role of CLS for economic growth and development.
  • The EU should seek to maximise the impact of special incentives globally by encouraging other industrialised countries to adopt social incentive schemes, similar to that of the EC, based on ILO standards.
  • The EU should assure the coherence between the GSP scheme and development programmes and technical cooperation to help countries make better use of the incentive schemes for the promotion of core labour standards based on ILO standards and mechanisms.
  • The EU should pursue and develop Sustainability Impact Assessments (SIA), which include findings concerning social issues, as a contribution to policy-making on important trade negotiations.
  • The EU should better integrate core labour standards and social governance in its development policy, in particular in the drafting of the Country Strategy Papers, in line with its overall objective of poverty reduction, including by strengthening capacity in developing countries for the implementation of core labour standards. The EU should promote core labour standards in the discussion with governments on the Poverty Reduction Strategy Papers (PRSPs).
  • The EU should continue to support the work of the ILO and other relevant organisations with regard to private voluntary initiatives, increase public awareness and promote discussion on international instruments or standards for the certification and verification of private and voluntary schemes and achieving effective quality control.
  • The EU should help developing countries benefit from the further export opportunities offered by social labelling schemes, including through capacity building and by supporting efforts to improve the transparency, availability and non-discrimination of schemes.

25. Afro-Asia Summit, 1st Asian-African Sub-Regional Organizations Conference (AASROC)
Bandung, Indonesia, 29 - 30 July 20