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South Pacific Island Countries |
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The 22 Pacific Island countries are scattered over one third of the globe (thirty million sq. km. mostly ocean.) Four are ILO member states - Fiji, Papua New Guinea, the Solomon Islands and Kiribati (most recently as the first member State of the new Millennium). The total population of the South Pacific excluding Australia and New Zealand is about 8 million; half of which reside in Papua New Guinea. Whilst the greatest challenge faced by the governments of the Pacific Island Countries remains the creation of jobs for a rapidly increasing population, the political crises being faced in three of the four ILO's member States has resulted in further job losses and strained an already difficult situation. Achieving sound tripartism is also another challenge. This is particularly important since the economic action plan of this region is centred on private sector development. Aid remains an essential part of development because of the small size of the islands, and limited production base, resulting in the relative weakness of most economies in the region. Agriculture, fishing and tourism are major industries. The islands have used their Pacific regional forums (the South Pacific Forum Secretariat and the Secretariat for the Pacific Community, formerly known as the South Pacific Commission) to try to make their voice heard on the world stage. Environmental concerns related to the increased exploitation of natural resources are also becoming an issue. The South Pacific and Oceanic Council of Trade Unions (SPOCTU) of ICFTU-APRO, which for nearly a decade provided technical assistance and advisory services to trade union federations in all Pacific island countries, closed its office in Brisbane in 1998. Since then ICFTU-APRO directly assists the individual affiliates in the Pacific countries. The Chair of SPOCTU is Mr. Reg Macallister of Papua New Guinea. An ILO/DANIDA workers' education project in the Pacific continues to be implemented by SPOCTU, with an Education Officer, based in Fiji, providing coordination. The ILO Office for the South Pacific covers the four member States of Fiji, Kiribati, Papua New Guinea and the Solomon Islands. It operates over vast distances. Given the fragile economic and social structure of the other small Pacific Island countries, the ILO has extended its services to them as well. These are mainly Tonga, Western Samoa, the Marshall Islands, Vanuatu, Tuvalu, Tokelau and Niue. Overview The population in Fiji in mid-1998 was estimated at 815,000. The 1996 census recorded the population at 775,077, up from 715,375 a decade earlier, with approximately 50.8% males and 49.2% females. Of the total population, 35.3% is below the age of 15, 56.5% between the ages of 16 and 55 and the remaining above 55 years. Approximately 53.6% live in rural areas and 46.4% being urban dwellers. The workforce totalled 281,000, of whom 110,000 were classed as wage and salary earners. This figure is being challenged every day as more workers are faced with redundancy or reduced working hours as a result of the political crisis of May, 2000. The GDP growth rate in 2000 estimated by the Reserved Bank at around 3%, however, by the end of 2000, had been revised to -8.2 with an expected further downward trend mainly due to lower than expected sugar output. A sugarcane crop of 3.5 million tonnes was harvested, producing 323,769 tonnes of sugar and 145,402 tonnes of molasses. The successful conclusion of a 20-year agreement to succeed the Lome Convention will ensure the future of the sugar export industry and will provide much needed stimulus for restructuring to reduce costs and improve yields. In 1998 sugar accounted for over one quarter of Fiji’s total exports in US dollar terms. The tourism industry and the garment and textile export industry were badly hit by the political crisis of 19 May 2000. Fiji's biggest challenge - like the other islands - remains job creation and the rate of underemployment is particularly high. The impact of the losses in jobs since the political crisis of 2000, and the changing economic situation is being manifested in increased crime, both violent and non-violent, and greater visibility of children and young people in the streets. NGOs assisting with housing and other needs are continuously reporting an increased demand for their services. A reduction in health services provided by the government, due to a shortage of health and medical personnel, is also being reported. Reports of children not being able to attend school are also coming to the fore, as increases in transport costs and reduced income take their toll. The impact of the increases in fuel costs has added to an already difficult situation. ILO Constituents Ratu (title) Tevita Momoedonu who was the Minister for Labour and Industrial Relations prior to the events of 19 May, was re-appointed to the position in the interim and now caretaker administration. The ILO continues to enjoy a harmonious relationship with the Fiji Employers Federation (FEF), the Fiji Trades Union Congress (FTUC) as well as with Government Ministries. Technical Cooperation The major ILO programme in Fiji has been focussed on the Integrated Human Resource Development Programme for Employment Promotion with its objective to assist the constituents in building a social consensus on major economic and social issues. The Government had allocated FJD3.1m (or about US$1.56 m) in the 2000 budget for the implementation of this Programme, however due to the political crisis this was reduced to FJD700,000. UNDP has provided an allocation of USD259,950 for the Policy and Coordination Sub-programme which aims at institutionalising the "integrated" process within the Ministry of National Planning, and coordinating the implementation of the other six sub-programmes. These sub-programmes are aimed at demonstrating that the "integrated" process of development and implementation is the most efficient and effective method of promoting and facilitating employment in Fiji. The Strategic Human Resources Project, which is now focussing on the updating of the National Strategic Human Resources Plan and the implementation of a Computerised Human Resources Information System continues to be implemented, with additional resources provided by UNDP. Programmes with the workers (workers' education, strengthening of the women's committee of the FTUC) and employers (assistance to employers on productivity improvement) organizations continue to be supported. Other initiatives already in place prior to May 2000 such as the formulation of policy frameworks in the areas of labour market information systems and youth employment continue to be pursued but will not be submitted to Cabinet for endorsement until a democratically elected government is in place. International Labour Standards and Tripartism Fiji has ratified 20 Conventions of which two were ratified in 1998 (C.144 and C.169). Of these Conventions, three are fundamental (C. 29, C.105 and C.98). The remaining four fundamental Conventions (C. 87, C.100, C.111 and C.138) have been submitted to the Labour Advisory Board for endorsement but due to the current political environment have not been pursued for ratification. In response to the Government's request for technical assistance, EGALITE and ILO Suva organized a two-day Tripartite Seminar in January 1997 with a follow-up in 1999. A Pacific Multi-Islands Tripartite Seminar on Social Dialogue (with a focus on the Declaration) was held in Auckland in December 2000, to which only workers’ and employers’ representatives from Fiji were invited. The commitment to pursue ratification remains on the part of the workers and employers, with the proviso that they will do so once an elected government is in place. Overview Papua New Guinea (PNG) is a country rich in oil, gold and copper with a large agricultural base in logging, coffee and palm oil. It has joined APEC. It is a country difficult to govern due to its rugged terrain and remote towns and villages. Port Moresby, the capital, does not have a direct road link to the north of the country. Social development has not kept pace with economic growth. The formal economy has generated only about one-sixth of the jobs required by the growing labour force. The country faces numerous challenges for social and economic development given its limited infrastructure, low level of human resources development and difficult topography. PNG suffers from weak development strategy and poor governance. Decentralization of some functions to provincial and local governments (the "Organic Law") has led to delays in financing, confusion about departmental roles at different levels, and human resource and administrative constraints. As part of the PNG's agreement with the World Bank, there has been a dramatic reduction (by 7,000 officials) in public service employment, and a cut in recurrent expenditures. Party allegiances are weak in PNG politics. No Prime Minister of PNG has served a full term of office, and when Parliament was recalled in July 1999, the then Prime Minister, Mr. Bill Skate, was ousted in favour of Sir Mekere Morauta. Sir Mekere has struggled to maintain control over the economy and recent uprisings by the military have exacerbated an already insecure system. ILO Constituents The Ministry remains the Ministry of Labour and Employment, with the Secretariat within the Department of Labour and Employment. Mrs Margaret Elias continues to head the Department in the position of Secretary. Regrettably the Director of International Labour Affairs has resigned from the Department, taking with her several years of experience and institutional memory. Her replacement has had some exposure to the ILO, but will need strengthened capacity in future. Tripartite consultations take place on selected labour and social issues. The PNGTUC continues to need support to strengthen its organizational and institutional capacity so as to participate effectively in social dialogue. Under the reactivated ILO/AusAID national project, the Education Officer continues to try to facilitate workers’ education, awareness and capacity building activities. Technical Cooperation The Country Programme for PNG entitled "Structural Adjustment at Minimum Social Cost - (SAMSC)" was finalized with the social partners, 18 different ministries/departments and six donor organisations on major social and economic issues. It has been endorsed by the National Economic Council (NEC), a Cabinet body, and was made operational in 1998. The Programme consists of human rights and equality, decent employment for women and men, minimizing social cost in the process of structural adjustment and strengthening constituents’ capacity for effective social dialogue. The priorities identified have now been incorporated into the ILO's Strategic Workplan. The Country Programme is designed to cover a five-year period, and is reviewed every year with the constituents, to determine their priorities for the year, or to make amendments according to their needs. While a difficult situation still exists in PNG in relation to government budgets and programmes, ILO-assisted activities are continuing, albeit at a slower pace than earlier envisaged. As mentioned earlier, the PNGTUC is being assisted to strengthen its workers' education programmes through a DANIDA-funded sub-regional project. The employers, through the Employers' Federation of PNG have been encouraged to participate in social dialogue. Follow up activities in this regard were discussed at the Pacific Multi-islands Tripartite Seminar on Social Dialogue (with a focus on the Declaration), which was held in New Zealand in December 2000. Gender issues have been identified as a priority and this is being actively addressed through employment related activities. In 2001, greater emphasis will be placed on: (i) the review of labour legislation in light of the ratified fundamental Conventions, (ii) employment promotion, (iii) improved social protection and (iv) strengthening the capacity of constituents to participate effectively in social dialogue and other priorities as identified in the strategic workplan. The strengthening of the women's wing of the PNG Trades Union Congress remains a priority and it is planned that a more concrete proposal be formulated in 2001. The informal sector in PNG is rapidly becoming the new focus for self-employment and income generation. The lack of a facilitatory policy and regulatory environment has led to clashes between informal sector entrepreneurs and the authorities. In response the Asian Development Bank, in collaboration with UNDP (for the 1st phase) commissioned a "study" in 2000 to examine the existing policy and regulatory environment, with the objective of formulating a plan of action to make it more conducive to the needs of the informal sector, while still maintaining reasonable standards. The ILO was contracted to execute the project and the report is now in its final stages. This work complements the ILO's existing small and micro-enterprise development programmes. International Labour Standards and Tripartism On 1 March 2000, the National Executive Council (Cabinet) approved the ratification of seven ILO Conventions, these being Nos. 87, 100, 103, 111, 138, 158, 182. This is in addition to the 19 Conventions previously ratified by the Australian Colonial Administration. PNG has become one of the few member States to ratify all 8 fundamental Conventions. Plans to assist the constituents in the application of these Conventions will begin with a project to "promote the Declaration in PNG" funded by the Japanese government. Questions likely to be raised
Overview The Solomon Islands is by its land size the second largest Pacific island country, but has the third largest population (about 400,000). Fifty-two per cent of the population have had no education, 40% have received primary education, 7% secondary education and 1 per cent higher education. Over 80% of the population live a subsistence village life. The 1999 Census results showed that approximately 57,472 persons (23% of the population of 14 years of age and over) were involved in paid work. The remaining 45% (111,905) were involved in non-paid work. The government relies heavily on primary industry exports of gold, fish, logs and palm and coconut oils. The country is facing its worst economic crisis yet. A general election in September 1997 put the "Solomon Islands Alliance for Change" (SIAC) coalition Government into power, which quickly embarked on a Policy and Structural Reform Programme (PSRP). In June 2000, the government was overtaken in a coup d'etat, with the then Prime Minister being taken hostage and forced to resign. Instigators of the coup seemed to have little in the way of a long term plan and the action was the vanguard of a descent into lawlessness and confusion. The espoused motivation for the coup was the "ethnic tension" created by inter-tribal conflict, particularly on Guadalcanal where the main palm oil plantations are located. The immediate impact on the palm oil industry was to close down the operations of the Solomon Islands Plantation Ltd (SIPL), the largest single employer in the country and a significant contributor to GDP. This was followed by the Gold Ridge Mine which struggled to maintain exports, but which was eventually forced to close due to pressure from small bands of extortionists and militants. Since then the other two largest exporters, and employers, the Russell Islands Plantation Ltd (RIPL) (coconut oil producers and exporters) and Solomon Taiyo (tuna canneries) have also closed. The Government had been trying to resolve the ethnic violence between Guadalcanal and Malaitan peoples in Guadalcanal province (the main island where most development has taken place and also where the capital Honiara is situated). The tension between these two groups rose exponentially in the 1960s and 1970s when Malaitans flooded into the capital. The current violent phase began in late 1998 and the dispute includes, among other issues, complex land ownership rights, which today still remain unresolved. The Guadalcanal islanders feel that the Malaitans have come and taken over their island. The major problem underlying these incidents of violence is the high rate of unemployment, and particularly high among young people. Census results from November 1999 reveal that 41.5% of the total population of nearly 170,000 is under the age of 15 years. A second noticeable feature is the excess of males over females, which consists of 211,381 males and 197, 661 females. Especially in the higher age ranges men increasingly outnumber women, which is contrary to global trends. Further analysis has to reveal whether this phenomenon should be attributed to age-reporting errors, excess mortality of women or any other cause. Efforts are being made by the current "coalition" government to reactivate the cannery. The "reform programme" initiated by the SIAC government has been abandoned. A meeting of the major donors to the Solomon Islands (IMF, WB, EU, Australia, New Zealand, DFID, Japan, Taiwan) was convened in Honiara on the 3 March 2001 to hold discussions with the current government. This was in response to two agreements signed in Townsville, Australia and Marau, Guadalcanal to bring peace and stability back to the Solomon Islands. The main requirement of the donors to enable them to consider assistance is the preparation of a national budget. To date this has not been forthcoming. 1998 saw a 10% fall in GDP due largely to the collapse of log exports. In 1999 it was anticipated that economic performance would depend on the international environment and on the extent to which the Government could successfully tackle the inherited fiscal crisis and implement reform. Progress was already evident in restoring macro-economic stability and in servicing domestic debt prior to the coup of 2000. Foreign debt had halved in the 18 months up to May 2000 and the Ministry of Finance had begun negotiations for a World Bank loan to settle outstanding debts of US$140 million. The situation has now worsened with approximately two months of foreign reserves available as at March 2001. The Solomon Islands has a record of not attending the ILC, however, in late 1999 it paid its subscriptions to 1997, with a balance due for the three years to 2000. To date no further payments have been received. Technical Cooperation Based on the findings and discussion during the ILO’s programming mission to Honiara in May 1998, a Country Programme was developed for the Solomon Islands and endorsed by the constituents. After the coup of 2000 this Programme was put on hold. In October 2000, in response to a request from the Government of the Solomon Islands, a meeting of experts on the Solomon Islands (knowledgeable in different aspects of the current situation and the country) met in Brisbane. The objective of the meeting was to attempt to formulate some kind of overall picture of the situation and to prepare a "framework of action" for a UN response to the situation. The ILO was requested to coordinate this initiative and to produce a draft "framework of action" for eventual consideration by the Government. In addition the ILO was asked to formulate two project proposals, focussing on employment through vocational training systems and employment intensive public works. Both the "framework of action" and the project proposals have been formulated in preparation for the convening of a meeting between the UN system and the government. Negotiations are underway to try to raise funds for the implementation of these activities. In March 2001 a follow up programming mission was undertaken to determine, what other activities could be initiated by the given the current situation. Consultations with various ministries, the trade union congress and the employers’ organization have revealed a keen need for technical assistance. Areas of focus include the functions of the labour ministry, the review of labour legislation, employment promotion with particular reference to youth employment, promotion of social protection systems, and the facilitation of social dialogue towards the resolution of the current economic and social difficulties. The promotion of policies and strategies to revitalise the investment climate (both nationally and internationally) was also highlighted. ILO Suva is currently awaiting terms of reference and proposals from the constituents. International Labour Standards and Tripartism The Solomon Islands has ratified 14 conventions of which one (C.29) is a core convention. In 1997, ILO Suva received 11 reports on the application of Ratified Conventions, which were subsequently forwarded to NORMES. This was the first time such reports had been received in the last six years. Four core Conventions (C.87, C.98, C.100 and C.101) were being examined with the possibility of ratification of the first two conventions by the end of 1999. All efforts in this area have been suspended due to the current situation. First ILO Member State of the new Millennium Overview Kiribati (formerly the Gilbert Islands) comprises three main island groups, the Gilbert, Phoenix and Line Islands made up of around 33 coral islands, with a total land area of only 720 sq. km. but dispersed over an ocean area of 5 billion sq. km. Individual islands are small and remote. The terrain is low-lying (mostly below 3 metres above sea level), and covered with sand and coral fragments. The 1998 mid-year population estimates stand at 85,100 with a population density of 105 persons per sq. km and an annual estimated growth rate of around 1.4%. Approximately 41% of the population in 1995 fell within the 0-14 years age group with around 54% between the ages of 15-49 years. In 1997 women comprised approximately 50.5% of the population, with 43% of an economically active population of around 12,000 being female. Forty-six per cent of people in paid employment were women, however, they only held around 9% of administrative and managerial positions. Thirty-two per cent of women are in professional and technical jobs. According to the 1999 Human Development Report, Kiribati ranks in the middle of the Human Development Index, with an adult literacy rate of around 92.2% (95% in the 1980s), a life expectancy at birth of 61.6 years (up from 56 years in the 1980s) and a GDP per capita of US$702 (up from US$492 in the 1980s). Kiribati lacks forestry resources, minerals (except residual phosphate deposits on the island of Banaba), arable land, running water, and is exposed to periodical droughts. Distances between the component islands are as great as 4,300 km and create severe transportation and administrative problems. In the longer term, there is the threat of inundation, if worst case predictions about rising sea levels from global warming prove correct. These physical limitations tend to restrict the rate of development possible in Kiribati. Despite these constraints, Kiribati has the potential to achieve higher levels of economic growth. The greatest potential appears to lie in its access to a large body of water and the resources it contains, especially fisheries and possible sea-bed minerals. The possibility of further expansion in overseas employment, especially in the crewing of foreign ships, is also present. A major financial asset is available in the form of a trust account accumulated from past phosphate earnings, and which, through prudent investment overseas, is now substantial. Kiribati' dual development objectives are specified in its National Development Plan: to promote greater national self-reliance, and to improve the quality of life of the Kiribati people. Some of the strategies identified to achieve these objectives are to further exploit the country’s natural resources, particularly fisheries, to develop the outer islands, to strengthen infrastructure, and to encourage the private sector to play a more active role in the development process. A further key strategy is to maintain fiscal discipline as a vital condition for achieving macro-economic stability and, for the sake of longer term growth, to reduce the rate of population increase through appropriate family planning activities. Technical Cooperation Private sector development assistance to strengthen the capacity of i-Kiribati in the "start your business/improve your business", and cooperatives development has recently been completed, and further technical assistance at this point in time is not anticipated. Pipeline activities include the possibility of a "labour market information system" project, inclusion in a "Pacific Multi-islands" study on child labour. This has been included in the "country programme" for Kiribati that was re-vamped during a mission to Kiribati in September 2000. The country programme for Kiribati will concentrate on (i) the translation of fundamental Conventions and the Declaration into the local language, with the objective of promoting ratification, (ii) employment promotion, and (iii) the promotion of institutional capacities for tripartism and social dialogue. International Labour Standards and Tripartism Social dialogue and appropriate tripartite mechanisms were identified as priorities, in parallel with ILS, during the ILO country programming mission to Kiribati in September 2000. The participation of a tripartite delegation in the "Pacific Multi-islands Seminar on Social Dialogue (with a focus on the Declaration)", in New Zealand in December 2000 provided an impetus for the constituents to proactively pursue this objective. The translation of the fundamental Conventions into the Kiribati language is currently underway. This will provide basic materials for a national education and awareness campaign which will also include the wider ILO mandate and objectives. Applications have been received from the constituents for their participation in the ILS Training course in Turin, preparatory to the ILC, to strengthen the capacity of national officials to pursue the twin objectives of education and ratification. A keen knowledge of application and reporting requirements gained through the ILS training course will provide a firm base for Kiribati to fulfill its membership obligations.
Updated by CHW. Approved by RD. Last update: 14 August 2001. |