Major programme 60. Employment and Training

Summary of 1998-99 proposals and comparison with previous biennium (including funds from other sources)

60.1. While high and persistent joblessness is not the only prevailing employment problem, it is the root cause of many ills in the labour market and in society at large. Widespread unemployment is a waste of human resources, giving rise to feelings of anxiety and insecurity; it is also related to mass poverty, not only in developing countries, but also in industrialized and transition economies. It aggravates the position of vulnerable and disadvantaged groups in the labour market and breeds social exclusion, which in turn fosters crime and threatens social cohesion. It also tends to have a negative effect on the quality of employment, including job security and other aspects of working conditions. Moreover, the persistence of high levels of unemployment damages the social institutions established to cushion the negative impact of the loss of employment and income. Trade unions and employers’ organizations are weakened at a period when sound industrial relations are required for consensus and concerted action to redress pressing employment problems. The urgency of the situation was recognized by the Committee on Employment Policies at the 1996 Conference, which found the currently high levels of unemployment and underemployment in nearly all regions of the world to be unacceptable. It also drew attention to rising long-term unemployment, the increasing number of the “working poor”, whose job fails to pay a living wage, and growing income and wage inequalities, both within and across countries.

60.2. The World Summit for Social Development placed the ILO in the forefront of the fight for more and better employment and greater social justice. The backdrop to the Summit was globalization, or in other terms the growing links between national economies, the resulting intensification of competition and the acceleration of technological change, and the constant need to adjust economies and adapt workers’ skills and employability. Globalization requires an appropriate policy framework, both to limit its potentially negative effects, such as job losses, job relocation, insecurity and heightened economic disparities, and to maximize the potential benefits of economic integration, such as higher output and employment growth and a more equitable distribution of the resulting benefits.

60.3. With a view to ensuring that the economic and social opportunities of globalization are fully realized and its benefits channelled into socially desirable directions, the objectives of the major programme are the design and implementation by member States of policies to: promote full, productive and freely chosen employment; improve the functioning of the labour market, without sacrificing employment security; enhance the employability of workers by adapting their skills and competences through training; and strengthen protection and equality of opportunities in occupation and employment for vulnerable groups, particularly young and old workers, women, migrant workers and workers with disabilities, while improving their employability. In this context, an important aim remains the wider observance of the Employment Policy Convention, 1964 (No.122), and of the international labour standards on human resources development (Convention No. 142), migration for employment (Conventions Nos.97 and 143) and vocational rehabilitation (Convention No.159). The achievement of these objectives will be facilitated by the closer integration of the ILO’s employment and training policies as a result of the merger of the former Employment and Training departments into a single department.

60.4. The major programme is designed to assist constituents in the establishment, through tripartite forms of social dialogue, of a policy framework for employment generation and training. Assistance will be provided through a series of employment policy reviews, launched as a follow-up to the World Summit for Social Development, as well as through the development of an extended range of indicators of labour performance and the comparative analysis of common employment policy issues. This work will be carried out in close cooperation with the field structure, and particularly the multidisciplinary advisory teams, which will play a major role in the employment policy reviews. In all the work of the major programme, importance will be attached to the need for social dialogue and the involvement of the social partners in economic reform policies. In these activities, emphasis will continue to be placed on the importance of the social dimensions of economic globalization, inter alia, through the preparation of a World Employment report. Dialogue and collaboration will be strengthened with the Bretton Woods institutions, the OECD and the World Trade Organization with a view to reaching a better understanding of the interrelationships between economic, social and employment policies. The work of the major programme is designed to take due account of the conclusions and recommendations of the World Summit for Social Development and the Fourth World Conference on Women, and the conclusions adopted by the Committee on Employment Policies of the International Labour Conference in 1996. Taken together, these prescriptions and commitments provide a consistent set of policy objectives in favour of full, productive and freely chosen employment.

60.5. The resources for this major programme are some $762,000 in real terms less than in the previous biennium. There has been a net increase of 4/07 Professional work-years, offset by a decrease of 8/09 General Service work-years and a reduction in non-staff costs, mainly in RBTC and external collaboration.

60.1. Departmental management

60.6. In addition to programme management and secretarial support, provision is made under this programme for the monitoring, evaluation and reporting of the work of the major programme as a whole. Provision is also made for the dissemination of the analyses and policy recommendations resulting from the work of the major programme, the analysis of country reports on the application of the Employment Policy Convention, 1964 (No. 122), and the servicing of the Governing Body’s Committee on Employment and Social Policy. The work of this programme includes responsibility for the production of World Employment. RBTC resources amounting to some $706,000 will be used to provide assistance to ILO constituents in member States.

World Employment

60.7. Taking account of the Conclusions of the Conference in 1996, the World Employment series of reports will continue to focus on the employment and social dimensions of the ongoing process of economic globalization and will contain comparative analyses of employment policy issues relevant to countries at all levels of development. Objective analyses will be undertaken of the widest possible range of empirical material on relevant problem areas. The reports will also present sound and practicable policy options to address these problems. They will continue to serve as the main vehicle for the regular monitoring of the global employment situation, in accordance with the lead role on employment issues assigned to the ILO by the World Summit for Social Development. They will also contribute to the ongoing dialogue and collaboration between the ILO and the Bretton Woods institutions, as well as to the consolidation of the ILO’s position as a centre of excellence on employment issues. Provision is made for the completion of the 1998 report (on which work will have started in 1997), as well as the initiation of work on the fourth report, to be published in 2000. The development of an international database and specialized technical documentation on employment issues will be an ongoing activity throughout the biennium.

60.8. The third issue of World Employment will be published in 1998 and will focus on skills, training and employment in countries at all levels of development. There is growing recognition that rapid changes in technology, the structure of production and the organization of work are having a profound impact on the demand for skills throughout the world. The capacity to adapt successfully to these changes is critical to the success of policies to attain full employment. Training policies have a vital role to play in averting the skill shortages that constrain growth, exploiting new employment opportunities, increasing productivity and international competitiveness, reducing inequalities in earnings and employment opportunities and combating the labour market exclusion of the less skilled. The report will discuss major issues of policy and institutional reform, such as the policy interventions required to correct market failures, the optimal balance between government and private sector provision of training, mechanisms for obtaining a better match between the supply and demand for skills, and measures to improve the effectiveness of training-based active labour market policies in enhancing the employment prospects of disadvantaged groups in the labour market.

Technical cooperation in employment and training

60.9. Technical cooperation is an important aspect of the work of this major programme. Some $27 million in extra-budgetary resources are expected to be made available to finance programmes and projects of assistance to member States and the social partners to support the design, implementation and evaluation of policies and programmes in the fields of employment and training. Technical cooperation activities relating to employment promotion will focus on improving the use of labour market information systems, coordinating job creation and training programmes with social measures and developing comprehensive labour market programmes, including the integration of employment measures in the design of structural adjustment programmes. Technical cooperation activities in the field of vocational training will be designed to assist member States and the social partners improve the organization and management of systems of life-long learning for employable skills. Particular emphasis will be placed in this respect on promoting methodologies that provide skills to enhance occupational mobility in the modern sector and which support self-employment and income-generating activities in the informal sector. Building on the results of the action programmes carried out in this field in the biennium 1996-97, technical assistance will be provided to promote youth employment and to help countries emerging from armed conflict to facilitate the economic and social rehabilitation of ex-combatants, refugees and other population groups through employment creation and skills development.

60.10. This subprogramme will be responsible for coordinating technical cooperation activities in the fields of employment and training. A special effort will be made to raise additional extra-budgetary funds for these activities. In accordance with the Conclusions of the Conference in 1996, good technical cooperation practices in the fields of employment and training will be identified and analysed, and the findings will be made known to member States.

60.2. Employment and labour market policies

60.11. The challenge of achieving full and productive employment is formidable. Despite isolated yet significant progress in Asia, unemployment and poverty are worsening in the developing world. Mass unemployment is widespread in the transition economies and high levels of unemployment continue to predominate in many industrialized countries. Women, older workers and young people are particularly badly affected by these problems, which have occurred against a background of globalized markets that offer the potential for better employment, but are also a source of dislocation and insecurity. More than ever, the implementation of core labour standards needs to be stressed. Increased flows of trade and more open markets have very different implications in the various regions. In the industrialized countries, both intra- and inter-industry trade have increased, bringing an increased demand for more skilled workers and greater pressure on labour markets. Jobs are lost and others are created, often involving atypical forms of employment. Developing countries are in turn faced with both the effects of increased competition and their greater exposure to world scrutiny of workers’ rights and working conditions. There is a role for greater tripartite participation, particularly in the design of programmes for structural adjustment. In all regions, the role of the ILO is to contribute to a better understanding by constituents of the links between globalization and trends in national employment and labour market performance, as well as to recommend alternative courses of action for the more effective implementation of employment and labour market policies and programmes.

60.12. The objective of this programme is the enhanced capacity of member States, with the full participation of the social partners, to analyse and evaluate employment and labour market policies and programmes, taking into account both external factors and their own economic and social situations. In the technical support provided to constituents, particular attention will be paid to measures to improve the employment prospects and social integration of vulnerable groups. The work of this programme will enable the ILO to strengthen its dialogue with the Bretton Woods institutions, the OECD and the World Trade Organization with a view to promoting a better mutual understanding of the interrelationship between economic, employment and labour market policies.

Globalization and employment policy

60.13. The objective of this subprogramme is the design and implementation by constituents of policies and programmes that promote full employment and are adapted to rapidly changing global markets. In the analytical and information activities of the subprogramme, particular attention will be paid to policy options in the context of regional integration, and to the international process of job creation and its regional and subregional implications. Reviews will be undertaken of structural adjustment programmes in order to update the ILO’s knowledge base in this major area and to support the dissemination of information on balanced approaches to the liberalization of markets in a context of social justice. Continued data collection and study in this field is essential to the maintenance of dialogue with the Bretton Woods institutions. The work of this subprogramme will contribute to the follow-up to the World Summit for Social Development and the G7 Employment Conference in Lille, as well as assisting in the implementation of the conclusions adopted by the Conference in 1996. The work of the subprogramme includes servicing the Governing Body Committee on Employment and Social Policy and the Working Party on the Social Dimensions of Trade Liberalization.

The employment and labour market impact of regional blocs

60.14. One aspect of globalization is the growth of regional economic and trading arrangements. The emergence of regional economic blocs can be seen as either a step towards the fuller integration of all countries into a multilateral trade system, or conversely, as an obstacle to that process through the diversion of trade and the distortion of competition elsewhere. However, a group of countries that has accepted a set of mutually applicable rules may be more ready to harmonize other trade-related regulations as well as aspects of law and practice relating to industrial relations and observe core international labour standards. A comparative analysis will be prepared of the effects on employment and labour market policies of establishing regional groupings. This will include a review of the contribution of industrial relations practices to establishing common systems of employment rules and protection. An analysis will also be carried out of the employment and labour market impact of regional integration policies on countries outside the regional bloc. The objective of this work is greater understanding of the employment consequences of policy options on trade linkages. This research will also address the issue of whether a de jure trading arrangement is likely to be more beneficial for employment and the application of labour standards worldwide than de facto trade links based on the rules set by the World Trade Organization. The systems of investment and subcontracting that link a number of Asian and Central and Eastern European countries will be assessed in order to establish whether they promote more and better employment. This work will be used for the preparation of working papers, and the production of a major report and policy briefs synthesizing the findings of the research. The results of the work will be discussed at a regional tripartite meeting.

Job creation and destruction

60.15. There is considerable concern in OECD countries at the disappearance of jobs due to the relocation or suppression of industrial subsectors and technological developments. The recommended policy responses focus on skills upgrading and labour market flexibility. The phenomenon of job disappearance, and more particularly the disappearance of full-time jobs hitherto occupied by low and semi-skilled workers, needs to be seen in the dynamic context of the need for job creation at the national level and the changing content of trade flows and skills requirements. In view of the inherent difficulties involved in identifying some of these features, any empirical results can only be approximate. However, concern over job relocation is so great that it is essential to identify its significance. The major changes that have taken place in the supply patterns of goods and services will be analysed and their implications for employment policy assessed at the national and international levels. This work will be designed to create greater understanding of relevant policy variables, such as exchange rate stability, education and training levels, gender-related wages, skills and labour market regulation. The findings will be set out in publications addressed to the international community and policy-makers.

Action programme

Structural adjustment, employment and the role of the social partners

60.16. Experience has frequently shown that structural adjustment programmes are not successful unless they are based on a social consensus concerning the need for adjustment, the principal instruments to implement adjustment and a realistic timetable. Overly optimistic assessments by Ministries of Finance and international financing agencies of the speed of adjustment may result in insufficient attention to the costs and duration of adjustment. Furthermore, without consensus, the easiest decisions, those with apparently the least social cost, are likely to be taken first, which may make later decisions all the more difficult. There needs to be greater transparency in economic policy-making and well-informed debate, aided by participatory institutions. This in turn requires active participation of the Ministry of Labour and the organizations of workers and employers.

60.17. The objective of this action programme is to demonstrate the contribution which workers’ and employers’ organizations can make to the design of structural adjustment programmes; as well as to the implementation of policy measures to minimize the adverse social effects of structural adjustment. This action programme will take into account recent experience concerning the consequences of achieving, or failing to achieve, social consensus ahead of major economic decisions. In this context it will review the role of institutional features, including the participation of workers’ and employers’ organizations in preliminary discussion, and will initiate activities to widen the scope for contingency planning between Ministries of Finance and Labour, jointly with the social partners, to prepare for possible significant change in policies and assess their social implications. One possibility, where this is acceptable to the social partners, is to promote the preparation of national tripartite pacts in which employment and social goals are specified, trade-offs are identified and all possibilities for domestic resource mobilization considered. These pacts could include commitments by all sides to joint action in the event of severe economic dislocation. For this purpose and in order to gauge the parameters for tripartite action, the action programme will disseminate information, particularly in relation to the successful experience of tripartite participation, and work with potential donors for financing technical assistance projects. The output of this action programme will be a report for dissemination to ILO constituents, a series of national tripartite workshops organized jointly with the multidisciplinary advisory teams, and one orr more technical cooperation project(s) aimed at enhancing the national capacity for social consensus building.

Action programme

Globalization, area-based enterprise development and employment

60.18. The process of globalization, economic liberalization and deregulation has a direct impact on local labour markets. Globalization offers many benefits but also results in increased competition and increased mobility of investment. The immediate consequence for local economies is usually higher unemployment, particularly in the event of the relocation of production plants by multinational enterprises, the restructuring or closure of enterprises in so-called “company towns” and the closure of military bases and arms production facilities. In response to such situations, initiatives are often taken to bring together all the economic actors affected at the local level (including employers’ and workers’ organizations, local government agencies, community organizations and NGOs) to stimulate economic growth and the creation of employment through local economic development initiatives. Experience from a number of countries has shown that this approach, combined with concerted efforts to attract and retain productive enterprise investment from outside the local area, can be very effective in addressing employment and other social concerns.

60.19. The objective of the action programme is greater awareness by local authorities, employers’ and workers’ organizations and NGOs in member countries of the benefits of area-based development programmes in terms of employment generation at the local level, with a view to improving their design and achieving wider implementation. A review will be undertaken of experience of local economic development programmes worldwide to identify best practices for locally driven strategies to attract and retain outside investment, diversify local industry, to enhance enterprise productivity and competitiveness, link local small businesses with global markets, develop public-private partnerships to facilitate retraining and possibly to provide temporary wage subsidies and investment incentives. With regard to strategies for attracting and retaining enterprises, an examination will be undertaken of the characteristics of labour institutions and labour-management cooperation that appear to have influenced the arrival or relocation of enterprises. The relative importance of labour costs, labour quality, training institutions and labour regulations in this respect will be analysed along with other factors such as tax structures, recruitment incentives and the transport infrastructure. Attention will also be paid to the way in which the upgrading of local infrastructure using employment-intensive methods through small subcontractors and micro-enterprises can contribute to employment creation and attracting or retaining investment. In those cases where investment resources are available from development banks and other donors, successful strategies will be identified for the use of such resources by local stakeholders for community development. The results of this research will be published in a manual for use by the multidisciplinary advisory teams in their advisory work, including a selection of “best practice” case studies and the lessons learned (including the roles of the social partners) in a variety of contexts and local circumstances.

Labour market information and policies

60.20. Labour market policies are designed to improve the flexibility and efficiency of labour markets, increase equality of opportunity and raise employment prospects. The formulation and evaluation of labour market policies is facilitated by the existence of sound labour market information systems. Indeed, the greater rapidity with which jobs are now being created and destroyed means that workers, employers and governments need better labour market information and that policy measures have to be adopted to improve the access of workers to employment through assistance in the fields of job search, skills upgrading and updating and, where necessary and possible, income support. Countries in transition in particular are striving to implement cost-effective labour market policies and programmes and can be assisted by evaluations of the effectiveness of such instruments elsewhere. Inevitably some population groups are particularly vulnerable to current developments, such as women, youth, persons with disabilities and older and migrant workers. Indeed, the need to address the employment and labour market difficulties faced by vulnerable groups was emphasized by the World Summit for Social Development and the Fourth World Conference on Women, and reiterated by the Conference Committee on Employment Policies in 1996. The objective of this subprogramme is therefore the strengthened capacity of governments and the social partners to collect, analyse and disseminate information with a view to the design and implementation of policies and programmes that improve labour market efficiency and equity in a context of industrial and enterprise restructuring.

60.21. The assistance provided to constituents for the achievement of this objective will include the delivery of technical advisory services on the collection and analysis of labour market information and the adaptation and development of labour market information systems. The work of the subprogramme will also involve collaboration with the OECD and other agencies on issues related to labour policies and active labour market programmes in industrialized and transition countries. This work will provide a basis for dialogue with the Bretton Woods institutions on issues related to labour market reform, flexibility and deregulation.

60.22. Activities to address the employment and labour market difficulties of vulnerable groups will include comparative policy analysis, information dissemination and training. The work of the subprogramme relating to the employment situation of women will contribute to the International Programme on More and Better Jobs for Women (see major programme 140) as the ILO’s follow-up to the Fourth World Conference on Women. In close collaboration with the International Programme for the Elimination of Child Labour (IPEC), research findings will be disseminated, policy studies extended to additional countries and sectors, and impact assessments made of national projects for the elimination of child labour. Building on the results of the action programme on youth unemployment undertaken in the biennium 1996-97, policy advice will be provided to constituents on the integration of young people into the world of work, policy guidance will be disseminated and a youth module will be developed for labour market information systems. A comparative analysis will be also made of employment and labour market policies for older workers in industrialized countries, in developing countries with rapidly ageing populations and in transition countries.

Improving labour market indicators and information

60.23. The significant changes that have taken place in the structure of production and employment mean that lifetime employment with one employer is becoming unusual and that workers increasingly need to change jobs, occupations and careers. Governments, employers and workers need timely and accurate information on labour market developments. In turn, labour market indicators and information have to reflect new forms of employment, high labour turnover, workers’ training needs and shortages of skilled workers, as recognized by the Committee on Employment Policies when it requested the Office to develop “an expanded range of indicators of labour market performance” and to “assist member States in improving the collection of labour market information and widening the availability of labour market indicators to include new employment trends”. A new set of labour market indicators appropriate to the changing global labour market will therefore be developed. Guidelines and modules for measuring, collecting and analysing the selected labour market indicators will then be prepared and disseminated. This work will be carried out in close collaboration with the field structure in order to achieve consistency, especially in the Asian and Latin American regions. When new indicators are available for a sufficient number of countries, consideration will be given to including them in the statistical publications produced under major programme 120 (Statistics).

Action programme

Labour market information systems for human resource development

60.24. Labour market information, especially on demand for labour, is crucial for the design of training and retraining programmes and for the formulation of policies and programmes to promote employment. Governments and the social partners can only formulate effective training and employment policies if they have a sound understanding of the rapidly and constantly changing nature and location of jobs and skill requirements; the manner in which enterprises are adjusting production, investment and the organization of work; and the way in which they are using internal and external labour markets. But many of the institutions and partners responsible for the formulation of these policies in developing countries lack an adequate understanding of labour market information and its use.

60.25. The objective of this action programme is the development of greater capacity by the relevant policy-makers and the social partners to compile and use labour market information for the formulation of more effective and coordinated training and employment policies and programmes. Building on the ILO’s work on labour market indicators, labour market information systems and enterprise surveys, guidelines will be prepared on the compilation, analysis and dissemination of labour market information, as well as on its use in the design of training and retraining programmes and employment policies. Assistance will also be provided in two or more countries for the establishment of pilot labour market and training observatories, bringing together researchers, administrators, statisticians, employers and others with access to labour market and training information. Emphasis will be placed on alerting policy-makers and planners to labour market developments and changes as a basis for timely and realistic policy responses, as well as on the sharing of information and capacity-building at the local and national levels.

Labour market flexibility and employment security

60.26. Many observers consider that labour market regulations, such as minimum wage fixing machinery and employment security rules, reduce labour market flexibility and slow down labour market adjustment. The World Employment 1995 cited several reasons why such reasoning was flawed and pointed to the lack of empirical evidence. In 1996, the Conference Committee on Employment Policies emphasized that the ILO should undertake a comparative analysis to improve the design of labour market institutions and regulations which best satisfy the twin imperatives of competitiveness and an adequate level of social protection. Research will be carried out to investigate the impact of labour market regulations and “deregulation”. Drawing on earlier work, information on labour market regulation and deregulation, including their effects on the observance of labour standards and the process of tripartite consultation, will be compiled and analysed. National case studies will be carried out in each region to investigate whether deregulation has been substituted by new or strengthened institutions for tripartite consultation or by other measures to protect workers. The case studies will also examine whether the social benefits provided by the enterprise have been replaced by an increase in publicly provided, negotiated, community-based or commercially arranged benefits. The case studies will be published in working papers and their findings used in policy advisory work.

Labour market policies for transition economies

60.27. Although there are encouraging signs of revived economic growth in several European transition economies and continued rapid growth in most Asian transition economies, the countries concerned are likely to continue experiencing serious employment problems, especially in view of previous labour retention practices and the increased pressure on enterprises to raise productivity. The Office has acquired a pool of knowledge on the labour market policies and programmes implemented in various transition economies in Central and Eastern Europe and in Asia. With the objective of improving understanding by constituents and ILO staff of the effectiveness of specific labour market policies and programmes and the contextual factors influencing their success or failure, research will be carried out to identify labour market policies and programmes that have been effective in creating employment in transition countries. The policies and programmes investigated will include assistance to surplus workers in regions of high unemployment, the integration of unemployment benefits with job search incentives, the introduction of job subsidies and approaches to reducing the social burden on state-owned enterprises without adversely affecting worker protection. Taking account of this work, a comparative analysis will be produced of the effectiveness of the various labour market policies and programmes used in transition economies and a set of guidelines on policy issues will be developed for the use of the multidisciplinary advisory teams.

Economic development and core labour standards in developing countries

60.28. The ILO’s core labour standards may be viewed as human rights which need no particular economic rationale. But if it can be demonstrated that respect for core standards has a positive economic effect, then the commitment to their observation would improve and the search for means to implement them would intensify. It is therefore proposed to examine the economic impact of the implementation of core labour standards in developing countries. This review will take into account earlier work by the ILO on this subject, recent work by the OECD on the impact of core labour standards on trade performance and employment, and the discussion in the Working Party of the Governing Body on the Social Dimensions of the Liberalization of International Trade. It will be based on national case studies in selected developing countries and on statistical analysis. It will look beyond the short-term impact of standards on costs and procedures at the long-term benefits of standards for economic and social development. The output will be a research report for dissemination to all constituents and for discussions by the Governing Body.

Follow-up to the World Summit for Social Development

60.29. The employment problems of most countries are closely associated with inadequate rates of growth, which in turn are attributable to national policies and structural constraints. The globalization of trade, production and capital flows is having a significant impact on the policies of member States, and hence on their employment situation. The institutions that support employment policy, such as systems of work organization and industrial relations, are also affected by this process. The objectives of the subprogramme are the establishment by member States, with the fullest participation of the social partners, of an optimal employment policy framework, based on the appropriate institutions, and the development of effective mechanisms to monitor and evaluate national employment performance. The assistance provided to constituents to achieve these objectives will take the form of country employment policy reviews. These consist of a thorough examination of current employment strategies and the formulation of an appropriate choice of economic and social policies with a view, in the context of globalization, to: the promotion of growth, employment generation and social justice; the establishment of efficient institutions and an efficient industrial relations system for employment promotion; the improvement of job quality; the reduction of discrimination and the provision of special support to the most vulnerable groups; and the development of an effective monitoring mechanism to evaluate the country’s employment and labour market performance, and of an analytical capacity to assess the need for policy changes.

60.30. In continuation of the initiatives adopted during the biennium 1996-97 to follow up the World Summit for Social Development, some eight to ten country employment policy reviews will be carried out during the biennium 1998-99 in selected countries that are representative of the problems and challenges encountered at different levels of development. The reviews will be conducted with the agreement and commitment of the countries concerned, and in close consultation and collaboration with the social partners. The review exercise will include consultation and advisory missions and the organization of national tripartite seminars, particularly for the achievement of consensus to support changes in the employment policy framework. The review exercise will provide a basis for the provision of further assistance on employment issues in the country concerned and will strengthen reporting under Convention No.122.

60.31. The country employment policy reviews carried out in the biennia 1996-97 and 1998-99 will provide a basis for the identification and documentation of successful policies and practices in the fields of employment and training. The findings will be disseminated to member States and will enable the Office and other international agencies to undertake a comparative analysis of significant issues, such as the social impact of market liberalization, and to recommend international action in support of full employment. The reviews will provide valuable inputs into systems of regional and global monitoring and evaluation, including the ILO’s World Employment. The synthesis and evaluation of the evidence and lessons of policy reforms at the national level will enable the ILO to participate effectively in policy debates on employment promotion at the national and international levels and will strengthen its dialogue with the Bretton Woods institutions and the United Nations system on issues related to the social impact of globalization and structural adjustment. These national and cross-national reviews will also help to indicate future directions for ILO technical assistance to constituents.

International Consultation on Follow-up on the World Summit for Social Development

60.32. Following the World Summit for Social Development in March 1995, several countries adopted measures to achieve the goal of employment promotion to which the Heads of State and Government committed themselves. Some initial outcomes of these measures are becoming apparent. A high-level tripartite consultation of policy-makers from developing, transition and industrialized countries will be held for three days in Geneva in 1999. Participants will include representatives from 30 governments, 15 employers’ organizations and 15 workers’ organizations ($229,620). The meeting will review the action taken and the results achieved at the national level, examine the reasons for their success or failure and identify the constraints inhibiting the economic growth that leads to employment generation. The meeting, to which other international agencies will be invited, will also seek to identify measures that can be taken to support the policy and institutional reforms that may be necessary to promote the goal of full employment.

60.3. Training policies and systems

60.33. Training and life-long learning are critical elements in achieving the dual aims of economic efficiency and social equity. The increased competitiveness of global markets is forcing countries, enterprises and individuals to rely on knowledge, innovation and technical capacity in order to raise their productivity. Training is also a means of combating unemployment, poverty and social exclusion by enhancing the employability of workers, facilitating their access to the labour market and providing them with the skills to be able to progress through unstable and changing jobs into productive and freely chosen employment.

60.34. In the search for ways of improving the effectiveness of skill development systems, many countries have embarked on the reform of education and training systems. The aims are to: create flexible linkages between education, training and work; coordinate the efforts of the public and private sectors; and provide incentives for the continuous upgrading of the labour force through pre-employment and recurrent training that is closely linked to the world of work. However, governments, enterprises and employers’ and workers’ organizations face considerable difficulties in formulating appropriate policies and programmes, including the lack of information on real skill requirements. In developing countries, structural adjustment programmes have reduced public expenditure on education and vocational training, resulting in a need to identify new sources of financing. Where reforms rely on market forces, there is a greater need for transparency, better coordination between the supply and demand for skills and compensation measures to redress imbalances. Moreover, the changing training environment has led to a decline in dialogue among the social partners, thereby creating the need for innovative and more effective forms of participation and consensus-building among stakeholders.

60.35. The objective of the programme is the design and implementation in member States of viable training policies and programmes which improve the responsiveness of training to changing economic and labour market conditions and promote equitable access to good quality training and life-long learning opportunities for all workers, including those facing adverse economic, social and cultural conditions. The work of the programme will focus on three issues that are of fundamental importance for the success of training reform at three critical decision-making levels, namely training policies, organizational systems and the delivery of services. This work will be supported by research into the changing role of the State and the private sector in the provision of training, including new forms of tripartite participation and social dialogue on training. The results of the 1996-97 action programme on skills and entrepreneurship training for countries emerging from armed conflict will be integrated into policy advisory and technical cooperation activities.

60.36. Policy-makers, training planners and practitioners, including employers’ and workers’ organizations, will be assisted in the achievement of this objective through the provision of technical advisory services and the organization of workshops, training activities and technical meetings. In these activities, emphasis will be placed on promoting the exchange of ideas and experiences with a view to fostering cooperation between countries. These activities will be complemented by the collection, analysis and dissemination of information and the publication of studies and guidance materials, including user-friendly policy briefs, for the use of governments, employers’ and workers’ organizations, enterprises and public, private and community-based training agencies. Throughout the work of the programme, priority will be given to promoting the observance of international labour standards concerning human resources development. Extra-budgetary resources are expected to become available to finance assistance to constituents in the area of training policies, strategies and systems. SPPD activities will also be undertaken in these fields.

Training policy analysis and development

60.37. In order to ensure that economic development is not held back by skills shortages, it is necessary to adopt innovative policies and measures to improve training responses to the changing demand for and to establish a system of incentives and support that encourages employers to offer training and workers to seek it. In this context, bridges have to be built between education, training and employment if equitable opportunities for life-long learning are to be available to all sectors and groups. Education, vocational training and labour market policies have to be coordinated and integrated into broader public policies emphasizing human resources development, employment and productive work in an enabling macroeconomic environment. Policy-makers and planners therefore need to design and implement effective training reform strategies that are in accordance with national objectives and priorities.

60.38. The objective of the subprogramme is the development by constituents of realistic and consistent training policy options that contribute to the establishment of an environment in which the collective efforts of governments, enterprises, individuals and employers’ and workers’ organizations are mobilized so as to ensure that training systems respond to economic and social needs. In ILO activities to assist constituents to achieve this objective, emphasis will be placed on the more widespread observance of the ILO’s values and principles. The technical support provided will include advisory services to assist the design and development of training policies, the organization of workshops, research and the analysis of training policies and issues. This work will be supported by the preparation and dissemination of policy briefs and the production of training modules to guide policy analysis and development.

The changing role of the State and the private sector in training: Building partnerships

60.39. The growing role of the private sector in market-oriented training systems is a reflection of the realization that public resources will never be sufficient to cope with increasingly diverse training needs. In a context in which government training institutions face difficulties in responding to the rapidly changing needs of enterprises and individuals, the private sector offers considerable potential for increasing the volume, relevance and efficiency of training. However, governments in developing and transition economies are encountering particularly serious difficulties in reforming their training systems, modernizing and adapting their structures, developing a favourable environment and encouraging cooperation and partnerships between the private and public sectors. The potential, opportunities and constraints of market-oriented training systems will therefore be analysed in a variety of economic, social and cultural environments. The policies and measures that have been adopted in some six or eight industrialized, transition and developing countries to create a favourable environment for the increased participation of the private sector in training will be examined and their results assessed in terms of the effectiveness, equity and sustainability of national training systems. The findings of this work will be discussed at international fora and in informal expert circles. A publication will be prepared and disseminated to constituents with a view to the adoption of policies and strategies to strengthen and focus the new role of governments in guiding and supporting the overall national training effort. This role includes the establishment of a regulatory framework to counteract and balance distortions inherent in open and decentralized training markets, and the development of mechanisms for the provision of training to socially excluded and vulnerable groups.

Action programme

Tripartite participation and social dialogue on training

60.40. The trend towards privatization, decentralization and enterprise-based training has resulted in a reduction in the influence of traditional tripartite mechanisms in the field of training. Strategic decisions on training are increasingly being taken at the sectoral, regional, local, enterprise and plant levels and in the context of mutual interest groupings. However, the lack of participatory mechanisms and of the technical capacity of workers’ and employers’ organizations and their representatives to negotiate effectively on training policies and operational matters at all these levels means that there is no adequate pressure to counterbalance the tendency of market forces to concentrate training opportunities on the most privileged sectors of society. In order to ensure that training is adapted to national employment and social needs and that social dialogue exists in the new context of privatized, decentralized and enterprise-based training, it is necessary to reinforce the effectiveness of national tripartite mechanisms and to develop an approach to decentralized levels of dialogue and the creation of new and complementary forms of participation on training matters, including bipartite negotiation between workers and employers.

60.41. The objective of the action programme is the adoption by member States of new and more effective forms of participation, particularly at decentralized decision-making levels, as a means of strengthening effective tripartite dialogue on training. Case studies of innovative practices and success stories will be carried out. The results will be used as a basis for assisting three or four countries to establish new forms of dialogue and participation on training issues among the social partners. This assistance will take the form of advocacy, the dissemination of information, the provision of advisory services to employers’ and workers’ organizations and the organization of training activities for government officials and representatives of employers and workers. The experience from this work will be assessed as a basis for its publication, dissemination and adaptation in other countries.

Organization and management of training systems and institutions

60.42. Training systems are becoming increasingly complex. The traditional pattern of one or several publicly funded and administered training institutions providing training for most of the workforce is giving way to the emergence of a decentralized and competitive training market. The multiplicity of training providers has made it increasingly important to establish standards and coordination mechanisms for the many training providers and users. However, traditional institutions are no longer capable of organizing and managing training delivery by both national systems and decentralized training operators. An interesting development in this respect is the emergence of new arrangements in several countries to address the training needs of specific economic sectors, groups of enterprises, regions and local environments. These developments, which are designed to improve the match between the supply and demand for skills and to make the best use of the available training infrastructure, technical capacity and financial and human resources, can serve as a point of reference for policy-makers, managerial staff in training authorities and private training providers who are considering reforms to the training system.

60.43. The objective of the programme is the encouragement of a more demand-driven approach by training institutions through: the adoption of incentives and training needs assessment schemes to match the supply and demand for skills; the development of a statistical research and information base, combined with mechanisms for its utilization in the planning and management of training by public and private providers; and the introduction of training standards and quality control mechanisms. Assistance will be provided to constituents upon request for the design and development of national strategies to improve the organization and management of decentralized training systems. In these activities, emphasis will be placed on establishing and strengthening the incentives and support required to develop and operate flexible and high-performance training institutions at the national, regional, sectoral, industry and local levels. Successful experiences will be analysed, documented and disseminated among ILO constituents. As a basis for this work, planning and managerial tools and techniques that have proved effective under specific circumstances will be made available to member States through advisory services, national workshops and the production of information materials for distribution among training institutions worldwide.

Action programme

Financing of training

60.44. Financing is one of the most controversial and significant policy factors in the functioning of training systems. There is an increasingly widespread trend to encourage the progressive transferral of the financial burden of in-service training to enterprises and, more recently, to individuals. However, although large and multinational enterprises usually have adequate training budgets, most medium and small-scale enterprises, particularly in poor countries, are unable to afford the cost of training their employees. A variety of measures have been adopted in different countries to promote investment in training, including fiscal incentives, the establishment of national training funds and the allocation of resources from unemployment and social funds for training and retraining programmes. These measures need to be assessed and compared in order to guide and enlighten policies in member States.

60.45. The objective of the action programme is greater awareness by policy-makers, training administrators and employers’ and workers’ organizations of the available options for the financing of training, with a view to the establishment of improved financing mechanisms for training, the diversification of sources of funding, the adoption of appropriate policies in the allocation of public funds and, in general terms, an increase in the overall level of investment in the development of human resources. Building on research work conducted in previous biennia, the various financing mechanisms for training will be assessed. The findings will provide the basis for the preparation of guidelines for policy-makers and administrators, the publication of case studies on a selection of good practices and the provision of advisory services to two or three countries that are in the process of reforming their financing arrangements for training. This work will lead up to the provision of policy advice to constituents in a broader range of countries and the formulation of proposals for technical cooperation activities to be funded from extra-budgetary resources.

Innovative approaches and methods for flexible training delivery

60.46. For workers to be able to adapt to the diverse skill needs of rapidly changing labour markets, they will need a greater capacity to learn and develop broader skills as a platform for continuous training, rather than acquiring fixed and narrow technical skills during a single period of training. To match these needs, a diversified supply of good quality training will have to be available, offering combinations of information and guidance services and interconnected paths of initial training. Emphasis needs to be placed on competency-based training and the development of competence standards and certification systems for the recognition of the experience and skills acquired in formal and informal training. In this context, training content and methodologies have to be flexible to increase labour mobility and the employability of new entrants to the labour market and displaced workers. However, to be in a position to respond to these needs, constituents require greater knowledge of the possible options, combined with assistance in analysing and identifying those that are most appropriate to their specific situation.

60.47. The objective of the subprogramme is the adoption by training planners and practitioners in member States of flexible approaches to initial and continuous training as a basis for the establishment of competency-based delivery systems adapted to national requirements. The support provided to constituents to contribute to the achievement of this objective will be based on the expertise developed by the Office over the years on modular training methodologies and participatory approaches to the development of flexible training delivery systems. Practical guidelines and briefing materials on international experience will be produced for the use of planners and practitioners at the national level. Support will also be provided for the development of pilot experiences of flexible competency-based training itineraries. The results of research on new and effective methods of developing skills, knowledge and attitudes, in which emphasis is placed on the identification of core competencies and the acquisition of new skills through recurrent training, will be compiled, analysed and disseminated. An examination will also be made of the recognition of prior learning and the certification of skills that have been acquired both formally and informally on the basis of agreed standards. A study on the most recent approaches to competence standards and certification systems will be published and discussed at national workshops and other regional and international meetings.

60.4. Migration for employment

60.48. The number of international migrants is constantly increasing. Many of them migrate on an irregular basis, which exposes them to acute protection problems and exploitation. Others move to join established migrant populations, many of whom are already among the marginalized and socially excluded. The management of migrant flows at both ends of the migration chain has become more difficult and contentious, not only for countries joining the ranks of senders or receivers of migrants, but also for traditional sending and receiving countries. Data for the assessment of migratory flows and stocks are scarce and methods for the evaluation of different migration policy measures have yet to be developed. An unprecedented number of countries are now involved in the international migration of labour and are confronted by problems of increasing complexity. The concerns of migrant-sending countries revolve around securing the greatest quantity of high quality job opportunities for their citizens, ensuring that private recruitment agents perform non-exploitative matching functions and the successful reintegration of workers. Migrant-receiving countries have to design and implement policies that strike a balance between the economic advantages associated with the intake of migrant labour and the protection that they have to provide to vulnerable foreign workers. They also need to adopt measures and policies to address the issue of the illegal employment of migrants. The objective of the programme, based on the comparative knowledge base developed by the Office, is the design and implementation by constituents of policies and measures that provide effective protection to migrant workers and improve the management of migrant flows, particularly in terms of reducing irregularities and integrating established migrants into their host societies.

60.49. The activities undertaken to assist constituents to achieve this objective will consist principally of policy analysis and technical advisory services, supported by a special effort to deepen and widen the ILO’s information and database on the trends of migrant flows and stocks, their occupational and sectoral characteristics, the conditions under which they work, the protection problems encountered by various categories and discrimination issues. The programme’s policy and technical advisory activities are designed to assist both emigration and immigration countries in the formulation of migration policies and legislation, and in the design, establishment and strengthening of administrative structures and procedures for the achievement of national policy goals in relation to migrant workers. For labour-receiving countries, the issues covered by these activities include the recruitment, employment and return of foreign labour, including the protection and integration of migrant workers and the role of private employment agencies. For labour-sending countries, the main questions include access to employment, controlling private employment agencies, protecting emigrant workers, facilitating remittances and coping with return migration. A new activity is the carrying out of occasional studies on the persistent maltreatment of migrant workers in cases where such situations do not give rise to representations or complaints under articles 24 and 26 of the Constitution, or in countries that have not ratified the relevant ILO standards. This matter will be further considered by the Tripartite Meeting of Experts on Future ILO Activities in the Field of Migration to be held in April 1997.

60.50. Extra-budgetary resources of some $1.7 million are expected to become available during the biennium for work on discrimination, the integration of migrant workers into the labour market and the Informal Network on Foreign Labour in Central and Eastern Europe. RBTC resources will be used for technical advisory work.

Drawing lessons from migration policy analysis

60.51. In support of the technical assistance provided to constituents, research will be carried out successively in three interrelated areas. In the first place, research will focus on why many policies to protect migrant workers and regulate migration do not appear to be achieving the intended results. Methods will be developed for evaluating the effectiveness and efficiency of national policy measures and programmes in this increasingly complex field as a basis for the improvement of the relevant procedures, institutions and training programmes. This work will cover issues such as whether the setting by migrant-sending countries of maximum recruitment fees and minimum wages for certain categories of vulnerable migrants achieve their aims. Another issue that will be examined is whether encouraging workers to seek foreign employment opportunities and send back remittances conflicts with the commitment to protect citizens abroad.

60.52. An examination will be undertaken of the growing difficulties of successfully integrating established migrant populations into the labour market. Despite the adoption of many measures to address this problem, economic marginalization and social exclusion in Western Europe and North America tend to take on an ethnic colouring, with a resulting heightening of social tensions, discrimination and xenophobia. Many hypotheses are advanced for this disturbing development, including the decline in low-skill manufacturing jobs, the cultural traits attributed to first and second-generation migrants, discriminatory hiring by public and private employers and the ineffectiveness of training policies. In view of the uncertainty about how effective integration can be achieved, the research will focus on identifying those aspects of the problem that can be addressed by policy-makers. An analysis will be made of measures that have had a successful and durable impact on the socio-economic status and mobility of migrants. The findings of this work will be set out in a policy report which may if appropriate be submitted to an expert meeting in the following biennium.

60.53. Finally, research will be carried out on irregular migration and employment, the labour aspects of which are covered by the ILO’s mandate. The phenomenon of irregular movements and unauthorized employment is a complex one and more knowledge is needed as a basis for the development of policies and programmes that address the underlying causes and provide better basic protection for migrant workers, without provoking more uncontrolled migration and employment. This research will cover Western Europe, sub-Saharan Africa, the Americas and Asia and will commence in 1999 for completion in the following biennium. In the course of this work, the causes and characteristics of illegal migration and unauthorized employment will be reviewed, including the statistical and other techniques required to estimate its size and development. An examination will be undertaken of the legislative and other measures adopted to address the problem.

Informal Network on Foreign Labour in Central and Eastern Europe

60.54. Since the demise of the socialist regimes of Central and Eastern Europe, the countries in the region have had to confront increased refugee and labour flows, including illegal migration. As an instrument to strengthen national research capacities and promote the design and implementation of policies to deal with the growing flows of labour migrants within the region, the ILO has launched the Informal Network on Foreign Labour in Central and Eastern Europe. The Network will also provide an informal framework for discussion between the countries concerned. Among the many problems faced by Central and Eastern European countries in this respect are shortcomings in their legislation, procedures and data collection systems. The initial activities of the Network will therefore focus on identifying the causes and manifestations of the illegal migration of workers and national or cross-national measures to reduce its scope. The assistance provided by the ILO through the Network will include support in preparing laws, regulations and bilateral agreements and in carrying out labour force or enterprise surveys with a view to reducing the undesirable features of international labour migration and promoting movements that are beneficial to both sending and receiving countries.

60.5. Vocational rehabilitation

60.55. Vulnerable categories of the population continue to experience increasing difficulty in finding and keeping employment. These categories include people with disabilities and individuals with drug and alcohol problems. The risk of social exclusion is heightened under the conditions of structural unemployment, increased competition in globalized markets and greater pressure on the availability of public resources for social support programmes and measures.

60.56. The objective of the programme is the design, implementation and evaluation by constituents of policies and measures that enhance the labour market integration of workers with disabilities, and which reduce drug and alcohol-related risks to workers and enterprises. Special emphasis will be placed on increasing the awareness of enterprises and the social partners of effective support systems with a view to the development and adoption of workplace prevention and rehabilitation measures as standard elements of good human resource management practices. The assistance provided to governments will focus on bringing national law and practice into conformity with the provisions of the Vocational Rehabilitation and Employment (Disabled Persons) Convention, 1983 (No.159), through the design and adoption of appropriate employment policies for persons with disabilities. Constituents will also be offered assistance to give effect to the provisions of the 1995 code of practice on the management of drug and alcohol issues at the workplace. Guidance and support for the further development of the Global Applied Disability Research and Information Network for Employment and Training (GLADNET) will also be given priority. In all these activities, emphasis will be placed on collaboration with other programmes and the multidisciplinary advisory teams, particularly to follow up the relevant conclusions and recommendations of the World Summit for Social Development and the Fourth World Conference on Women.

60.57. Extra-budgetary resources for technical cooperation projects are expected to amount to some $6.7 million during the biennium 1998-99. RBTC resources will be available for project development, technical advisory services and training activities in the regions.

Employment of workers with disabilities

60.58. The observance of the principle of equality of opportunity and treatment in employment for persons with disabilities is increasingly difficult to ensure in an environment of global competition and deregulated labour markets. The major issue is how to maintain the competitiveness of workers with disabilities in a labour market in which there are rapid changes in the organization of work and technology, and constant adjustments to new products, markets and global competition. The narrow concept of vocational rehabilitation as a one-time preparation for labour market entry needs to be redefined and broadened. At the same time, solutions have to be found for those disabled individuals who have little chance of finding jobs in the formal labour market, but who can and want to work and earn a decent income. Government officials and employers often have only a limited awareness of the approaches and measures that can be adopted to make good use of the resources and the resourcefulness of persons with disabilities so that they can secure, retain or advance in employment, in accordance with Convention No. 159. Moreover, the crisis affecting many social security systems is in many cases resulting in the imposition of financial limits on disability benefits and on social protection policies for persons with disabilities. There are therefore real prospects that increasing numbers of disabled individuals will be excluded from both the labour market and the social security system and will as a result face poverty and social marginalization. The objective of this subprogramme is increased awareness by governments, employers’ and workers’ organizations, and organizations of persons with disabilities of how vocational rehabilitation, disability and employment policies and practices can be adjusted to the emerging realities of the labour market, and how enterprises can be involved in this process, with a view to the more widespread adoption of policies and measures to improve the access of persons with disabilities to employment and training.

60.59. This objective will continue to be achieved through the provision of technical guidance and assistance to governments, employers and workers’ organizations, and organizations of persons with disabilities, particularly in transition and developing countries, for the formulation and implementation of disability policies and measures. Another important means of action is support for technical cooperation activities to assist member States in the design and implementation of strategies to provide persons with disabilities with access to training opportunities and to the labour market. In this respect, the development of a global technical cooperation programme is planned during the biennium. Technical support will also continue to be provided to national community-based rehabilitation programmes, principally in Africa. These activities will concentrate on improving the situation and labour market opportunities of women with disabilities. In support of this work, guidelines, manuals and other publications will be developed for constituents. International, regional and national meetings and training activities will be organized, particularly to promote the more widespread application of Convention No. 159. The work of the subprogramme will be supported by the development and maintenance of the GLADNET network, research into job retention and disability management at the workplace. Relations and joint activities with United Nations organizations and international NGOs, as well as participation in international meetings and academic activities, will continue to be major means of enhancing the visibility and impact of the ILO’s work in the field of disability.

GLADNET

60.60. The computer-based collection and dissemination of information on good practices and alternative measures that address the practical concerns and constraints of constituents is an important means of providing assistance to constituents for the development of their disability policies and programmes. Initial steps in this direction were taken during the biennium 1996-97 with the creation of an international network of social policy research institutes and other interested governmental and non-governmental organizations that are active in the field of disability and employment. Entitled the Global Applied Disability Research and Information Network for Employment and Training (GLADNET), the Network and its members make a major contribution to the achievement of the objectives of the programme by providing expertise and helping to identify and analyse information on effective disability policies and practices. In cooperation with GLADNET and its members, a specialized electronic information database will be developed for the provision through the Internet of on-line information services on publications, research, comparative policy analysis and legislation worldwide.

Job retention and disability management at the workplace

60.61. Workers who acquire a disability during their working life frequently leave the labour force, willingly or unwillingly, irrespective of whether their working ability is substantially affected or not. As a result, they often become dependent on social assistance. A number of factors appear to act as disincentives to employment, including insufficient flexibility in the accommodation of workers with disabilities at the workplace, a lack of knowledge about retraining and redeployment options, the unavailability or underutilization of support services and inadequacies in the structure of income replacement and compensation systems. In many industrialized countries, the number of unemployed and/or economically inactive workers with disabilities could be considerably reduced if enterprises, employment support systems and benefits systems provided incentives and support for job retention and advancement, including retraining and upgrading, job and worksite adaptation and redeployment. Research will therefore be undertaken to analyse disincentives to returning to work and assess the effectiveness of employment incentives with a view to the adoption by governments, the social partners and enterprises of policies and practices that favour the retention in employment of workers with disabilities and the maintenance of their competitiveness, rather than passive measures of income support. Practical workplace models will be identified in various industrial and service sectors that are effective in achieving job retention and in the upgrading and career advancement of workers with disabilities. The findings of this research will be included in a background document to be used in the formulation of a draft code of practice for consideration by a tripartite meeting of experts. While the focus of this work will be on industrialized countries, the results will be also relevant and widely disseminated in transition and developing countries.

Drug and alcohol abuse at the workplace

60.62. The growing availability of drugs and the widespread consumption of alcohol give rise to substantial risks and costs to both management and workers in terms of absenteeism, accidents and lost productivity. Existing government programmes and legislative provisions offer little help. The general illegality of drug consumption and, in certain countries, of alcohol consumption, is in sharp contrast to findings that most drug and alcohol abusers hold some form of employment and constitute a significant part of the workforce. Indeed, there is increased awareness that drug and alcohol prevention and rehabilitation are as much a labour as a social or health issue. Although large enterprises are the first to feel the cost of drug and alcohol abuse among employees, awareness is also growing of its impact in small and medium-sized enterprises, which employ an increasingly large proportion of the workforce. Small businesses are particularly vulnerable, since problems among even a small number of workers can adversely affect their performance and may even endanger the survival of the enterprise. The objectives of the subprogramme are: the achievement of greater consensus between management and unions on specific policies and measures to prevent and curb drug and alcohol abuse at the workplace; and the reduction of discrimination in employment against recovering addicts through their enhanced access to rehabilitation services and greater opportunities for social and vocational integration. The focus will be on the sectors that are most vulnerable to drug and alcohol abuse problems, and particularly the maritime, aviation and hotel and tourism industries, as well as on small enterprises.

60.63. The principal activities undertaken to achieve these objectives will continue to consist of support for technical cooperation projects and the provision of assistance to constituents. These activities will concentrate on giving effect to the principles and policies set out in the 1995 code of practice on the management of drug and alcohol issues at the workplace. The current large-scale technical cooperation programme in Africa, Asia, Latin America, the Caribbean and Eastern Europe will be further expanded. The assistance provided to governments will concentrate on the planning and implementation of measures to improve the management of drug and alcohol problems at the workplace and the integration of such measures into ongoing programmes in the workplace and the community. Training will be organized for the staff of government agencies and non-governmental organizations, union officials and personnel managers. In support of these activities, a series of sector-specific policy manuals, training materials and guidelines for employee assistance programmes will be produced.

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