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OPENING ADDRESS
BY
MR. JUAN SOMAVIA
DIRECTOR-GENERAL OF THE ILO
Mr. Chairperson, Your
Excellency Mr. Seyed Alavi Mowlana,
Your Excellency Ms. Ladawan Wongsriwong,
Ministers of Labour and Government Officials,
Worker and Employer Delegates,
Ladies and Gentlemen,
Good morning and welcome.
I am very happy and
honoured to be with you all at this meeting. It is a landmark event for
our Organization in this region. And one of special significance for me
personally - it is the first Asian Regional Meeting of the ILO that I am
privileged to attend. Earlier this year, I was honoured to be able to take
part in the meeting of the Arab Labour Organization in Amman, and I look
forward to participating in the meeting of Gulf Cooperation Council Labour
Ministers in October.
I should like to gratefully
acknowledge the presence of Thailand’s Deputy Minister for Labour and
Social Welfare, H.E. Ms. Ladawan Wongsriwong, representing H.E. Dr.
Thaksin Shinawatra, Prime Minister of the Kingdom of Thailand.
It is my deeply held
conviction that Asia is central to the future direction and sustainability
of the global economy. The ILO Member States in the Asia Pacific region
represent wide-ranging diversity in terms of size, stages of development,
varieties of culture and richness of national traditions.
I can see tremendous
dynamism, energy and resilience – even in the midst of social tensions
and unresolved development problems. Your region has experienced the dark
side of globalization, and yet has demonstrated its capacity to take
advantage of the opportunities it offers.
Asia’s potential ability
to influence the course of globalization is enormous. You represent more
than half the world’s population and are major actors in our globalizing
world. Just imagine, for example, the impact of China, India, Japan and
the region as a whole, all expanding at healthy rates of sustainable
growth and sound social development. I believe the course of social and
economic progress in Asia will profoundly influence world events.
The future we all desire
must be founded on the promotion and realization of shared values within a
community of people and a community of nations; and not in the blunt
assertion of unilateral policies and opinion. I see it in terms of
ensuring human rights through prosperity, freedom and security of
individuals and their families; and in seeking practical solutions to
conflict through dialogue and consensus, even in the most difficult of
circumstances.
This is the challenge of
creating Decent Work in Asia and it goes to the heart of the development
process itself.
Why the Decent Work Agenda?
To begin with, decent work
is a development strategy. It reflects a universal aspiration of women and
men everywhere, and connects with their hopes to obtain productive work in
conditions of freedom, equity, security and human dignity. It is built on
four pillars – standards and fundamental principles and rights at work,
employment, social protection and social dialogue. In all these areas we
know that we have national and global deficits.
Decent work is a goal and
not a standard. It is a personal goal for individuals and families, and a
development goal for countries. The essence of what people want from work
remains constant across cultures and levels of development. All countries,
even the most developed ones, have decent work challenges. All societies
have their own perceptions of what is considered decent and necessary. We
need to build on them to develop common understandings at the global
level.
Decent work is not a
one-size-fits-all solution. It is a tool that can respond to specific
country circumstances, and can be shaped by each country according to
national needs. The priorities and policy imperatives to implement this
Agenda will vary from country to country, depending on levels of
development, historical tradition, institutional structures and regional
contexts.
Decent work is a package
and a common commitment of all ILO constituents. Rights, employment,
social protection and social dialogue are not only inextricably linked in
practice, but represent the common ground among the three constituents of
this House. By endorsing the Decent Work Agenda, all constituents have
made a commitment to the whole, and not just to some part of it. The
strength of this Organization depends on respecting the integrity of that
commitment.
The debate on my Report on
the need to reduce the Decent Work Deficit, at the last International
Labour Conference in June, indicated that the time was now ripe to put
Decent Work into practice. This is, of course, a major challenge. Decent
work can not simply be decreed into existence. There are no quick fix
solutions. The Report "Decent Work in Asia", which is presented
to you at this meeting, is a contribution to this reflection. So how can
we move forward?
First, by identifying
priorities for action to address decent work deficits in our countries.
This meeting is a good opportunity to map them out and give the
International Labour Office guidance to support your priorities.
Second, by developing an
integrated policy framework and practical programmes at the national
level.
The Office will assist
countries to achieve these goals by engaging in a dialogue with
constituents, and providing an international clearing-house for
information on successful practice of integrated policies and programmes.
It will also contribute to the analytical foundations of decent work.
This is, therefore, a joint
venture. A venture in which we need to invest capital, and one in which
both the Office and constituents must learn from each other.
The process of
implementation and cooperation with the ILO is already underway. And in
this connection, I should like to thank our donors, particularly Japan,
who are assisting our efforts to implement our Agenda in the region. Let
me mention some of the Decent Work initiatives that have been taken in
several countries:
- A Decent Work pilot programme has begun
in the Philippines, and another is under discussion in Bangladesh.
- A new Memorandum of Understanding for a
programme of cooperation between the ILO and China has been signed on
the basis of the four strategic objectives of Decent Work.
- In quite a different environment, the
Decent Work Agenda is guiding the ILO’s work in East Timor. We are
helping to establish labour administration mechanisms, strengthen the
capacity of the social partners, draft basic labour legislation,
provide basic vocational training and generate employment through
small business.
- Meanwhile, Nepal has made a commitment
to a time-bound programme to eliminate bonded labour and the worst
forms of child labour.
- Malaysia will presently launch a
national policy on HIV/AIDS in the workplace, based on the ILO code of
practice.
- Countries in the Mekong River Delta are
working with the ILO on the trafficking of women, children and youth.
- Thailand has made significant progress
on coordinated programmes for employment generation, unemployment
insurance and job placement schemes.
- The Gulf Cooperation Council countries
are pursuing a new programme of technical cooperation with the ILO.
- 15 countries in the region are now
engaged in IPEC programmes with activities to the value of 36.5
million US dollars.
- 52 of the ILO’s fundamental rights
conventions have been ratified by countries in this region since 1997.
The list could go on and
on. Throughout the region, countries are putting some aspect of the Decent
Work Agenda into practice. I am proud and happy to see that the Regional
Offices and the Multi-Disciplinary Teams, as well as the Area and Branch
Offices of the ILO, are actively engaged with our constituents to support
their efforts to realize Decent Work goals at the national level.
Decent work gives us a
platform for partnership and a policy identity for engaging other
institutions and the world beyond the ILO, such as our cooperation with
the Asian Development Bank and other multilateral partners in the region.
I believe that this is crucial, as achieving Decent Work can not be
accomplished by the ILO and its constituents alone.
Mr. Chairperson,
We must set these ongoing
efforts within a changing global context.
The last Asian Regional
Meeting took place as the first phase of the 1997 financial crisis
unfolded, which hurt ordinary people hard. It hit women harder than men.
It hurt the poorest and most vulnerable faster and deeper. It intensified
pressures that led to diverse forms of exploitation.
All enterprises were
affected and many had to close. The crisis underlined the fragility of
social protection policies. It exposed the enormous social and economic
risks linked to speculation and financial volatility. It also demonstrated
how delays in internal reform can spark bigger fires.
Our meeting today begins
against a backdrop of the loss of dynamism, or even stagnation, of the
major economies that have traditionally been the engines of economic
growth. We should not be doomsayers but neither should we be naïve.
Clearly serious problems lie ahead in the global economy. Every day we
read in the newspapers about new job cuts, even as some countries struggle
with the unfinished business of the last crisis.
We all share the hope that
policies implemented globally will renew growth and reduce unemployment.
But the painful experience of the past teaches us that preventive measures
are the best antidote to looming uncertainty.
The present insecurities
should spur us into accelerating our efforts to realize Decent Work in
Asia. Various measures could be put in place now:
- An intensification of social dialogue to
reach consensus-based approaches to crisis management - probably the
most urgent;
- A renewed emphasis on public sector
investment to increase employment, incomes and economic demand;
- Investments in education, as well as
skills upgrading, to build adaptable human resource capacity in those
sectors potentially most affected;
- Reinforcement of social protection
systems to guard against a volatile global environment, particularly
in the informal economy; and
- Employment and income generating schemes
targeted at women and the most vulnerable, to protect them and their
children from risky survival strategies that can lead to exploitation
- such as trafficking and the worst forms of child labour.
And coming myself from a
developing country, perhaps the most important reason to act now, is a
common experience we all have. When things are going well in our
countries, there are many friends around wanting to cash-in on the good
times; but when things go bad, a lot want to get out in a hurry and become
very demanding. Preventive self-reliance is a good policy.
And I must once again refer
to the deepening humanitarian crisis in the occupied Arab territories. The
impact of the conflict in the territories and the closure of frontiers to
Palestinian workers, has brought normal economic activity to a virtual
standstill and massively increased poverty and unemployment in its wake.
The ILO is committed - and I am committed - to providing whatever
technical assistance is viable in these dramatic circumstances to
alleviate suffering.
Mr. Chairperson,
The experience of the last
decade has taught us that national efforts – however well designed and
executed – can not be effective without a supportive international
environment. We are still far from having a global policy architecture for
Decent Work.
I think that the real
debate today is not about more or less globalization. It’s about the
right globalization and how to get there.
We need to re-orient the
governance of globalization so that it benefits the poor and excluded, so
that it reduces uncertainty and cushions the impact of external shocks. I
am speaking of a globalization with equity. This is not what the present
model is delivering.
We can establish fair rules
of the game to create a level playing field that permits real equality of
opportunity - whether for people or countries. I believe that fairness, as
perceived by individuals and their families, as well as by developing
countries, is the cornerstone of legitimacy, without which present
policies will be politically fragile. The only sustainable solution is for
economic and social development goals to go hand in hand.
Take the case of employment
policies, which are clearly a priority for all of us in this room.
I believe that
international policy advice today places too much emphasis on protecting
financial capital, and particularly "hot" money with all its
speculative and "contagion" effects. We should reduce volatility
and increase productivity by promoting the expansion of productive capital
that creates enterprises and jobs. And we cannot forget that empowering
people with knowledge and skills is the single most important capital
investment of any society.
Many other things could be
done better to enhance employment. We need to get the balance of policies
right. For example:
- There is too much emphasis on large
enterprises, and too little on facilitating micro, small and medium
enterprises that create the bulk of jobs today. There is too little
emphasis on policies needed to stimulate investment, enterprise
creation and entrepreneurship in all fields of human activity -
whether for profit or not.
- There is too easy recourse to
hire-and-fire policies when practice shows that negotiated
adaptability to changing market circumstances brings better long- term
results and greater stability for both employers and workers.
- Too little is being done to develop
domestic markets for local production and consumption. The strong
emphasis placed on international trade as a vehicle for income
generation and job growth, is unlikely to be sufficient, particularly
for poorer countries. The fact is that today, 80% of manufactured
exports by developing countries are concentrated in only 13 economies
- none of them least developed. What about the rest?
- There is too little emphasis on
improving conditions for self-employment and sustainable livelihoods
in the informal economy and for the rural poor, where the majority of
people in developing countries live.
- And too little emphasis given to using
the economic force of the market for social purposes - what I call
"market activism". For example, there is much scope for
socially responsible investment by mutual funds and better monitoring
by workers of the investment criteria of their pension funds.
Mr. Chairperson,
In the global economy, it
must be a basic principle that every person who works has rights at work.
For the ILO, this is a crucial issue. These rights aren’t fringe
benefits to be gained when the economic conditions are convenient. They
have to be in on the ground floor.
It was the Social Summit in
1995, which first laid out these basic rights clearly, and they are
embodied in the ILO’s Declaration of Fundamental Principles and Rights
at Work in 1998. We are talking about freedom of association and
collective bargaining, the elimination of forced labour, child labour and
discrimination.
These rights are valid in
all countries - at whatever stage of development – whether the
sweatshops and "inner cities" of the North, or the shanty towns
and export processing zones of the South. These are universal enabling
rights.
There are many ways of
realizing these rights. The ILO should be open to all opportunities,
keeping in mind that without work there are no workers’ rights. The
promotion of rights needs to be linked to sustained and sustainable
economic growth and rising productivity, to an enabling environment for
investment and enterprise.
Our experience shows
clearly that the results are best when the ILO is able to work
cooperatively with member states in a joint effort to solve acknowledged
difficulties. The ILO’s supervisory system and the Declaration are
unique resources for identifying problems and setting in motion technical
cooperation work to overcome them.
Dialogue and promotion have
opened the way to important progress where there have been long-standing
difficulties: trade union legislation has been adopted in Bahrain; Workers’
Committees are to be made legal in Saudi Arabia. Trade union rights for
state enterprise employees have been restored in Thailand. I welcome these
developments.
Legislative action,
international agreements, appropriate development policies, organizational
strategies by workers, popular pressure and community activism: all can
make a big difference.
The UN Secretary-General’s
Global Compact has called upon business to implement the Declaration. This
is another good basis for developing accountable voluntary private
initiatives. A good place to start would be export processing zones.
I believe that the policy
proposals and technical cooperation programmes of all international
organizations should equally respect and promote these rights. And to
begin with, nothing should be done by them to undermine their exercise.
The case of forced labour
in Myanmar / Burma has attracted enormous attention. The issues are well
known to all of you. What I want to stress here is that, even in this most
extreme case, the ILO has been able to combine the findings of its
supervisory machinery – hard-hitting in this case – with a sustained
readiness to dialogue with the Government and to work for practical
solutions to the violations that exist. This is why, in agreement with the
authorities, a High-Level Team travels to Myanmar / Burma next month to
make an objective assessment of the practical implementation and actual
impact of various measures announced by the Government in response to
previous ILO action.
Mr. Chairperson,
I have referred to some of
the challenges facing Asia, as well as challenges on the global level. In
order to address them and their interaction, we have a unique and powerful
tool in the ILO. Consider this: we have present here in this room, the
very engine of the economic process. We have the policy-making of
governments, the investment of employers, and the labour force of workers.
No other international
organization can match the ILO membership’s day-to-day experience of the
realities of economic life. We have a unique understanding of the
complexities of the production process. It is the source of our strength
and the legitimacy of our opinion.
In order to tap this
potential, we need to forge a strong and cohesive tripartism. This means
enhancing social dialogue, and finding the will to respect the voice of
"the other" in order to find solutions that represent a genuine
consensus based on shared interests. We all know by experience, that when
dialogue fails, everything becomes more difficult. And if social dialogue
fails within the ILO, or within our countries, then the hopes for Decent
Work will recede. Strong social dialogue requires strong social partners
whose rights to organize and develop must be acknowledged and protected.
And as I have said before, social dialogue between employers and workers
is particularly important in the face of looming uncertainties of the
global economy.
Ladies and Gentlemen,
This is your meeting. It is
for you to set the course. The Office looks forward to hearing your views
and receiving guidance on your priorities. We stand ready to cooperate
with you on the practical actions needed to make Decent Work a growing
reality at the national and global levels.
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