Individual Case (CAS) - Discussion: 1992, Publication: 79th ILC session (1992)

A Government representative referred to the detailed report supplied by her Government to the Committee of Experts on the implementation of various programmes, measures and policies enacted by the Government of Canada to achieve the objective of reducing the deficit, controlling inflation and promoting economic growth and job creation. She reaffirmed the belief of her Government that the creation of an economic climate conducive to real and sustained growth was a precondition to the achievement of increased employment opportunities in the medium and long term. The objectives of the Canadian Jobs Strategy, enacted in 1985, were to improve the functioning of the labour market, to provide income protection for unemployed workers, to increase the occupational skills of Canada's human resources and to promote equality of access to employment.

The Canadian Jobs Strategy programme was divided into five major programmes:

(1) the Skill Investment Programme, designed to help workers adjust to changing technology and markets;

(2) the Job Entry Programme, assisting specific groups, such as youth, who were having difficulty in entering or re-entering the labour market;

(3) the Job Development Programme, designed to help the long-term unemployed to participate in the labour market and to enhance their employability through skills training and work experience by means, among other measures, of individually subsidised jobs;

(4) the Skill Strategies Programme, providing support to employers for training individuals in designated cases of current or potential occupational skills shortages;

(5) the Community Future Programme, assisting selected communities to assess their economic problems and develop employment opportunities through small business development, entrepreneurial support, training and relocation assistance.

The funds allocated to these programmes were in access of 1 billion dollars. In addition, her Government had established a Programme for Older Worker Adjustment, jointly funded and administered by the federal Government and the provinces, which provided income assistance to long-service older workers who were victims of major permanent lay-offs and who had no prospects for re-employment. She noted that the problem of regional disparities mentioned by the Committee of Experts was likely to affect all ILO member States. The Canadian Jobs Strategy programme involved extensive consultations at the local level through the establishment of Local Advisory Councils. These Councils were composed of members from local businesses, trade unions and community groups which, together with government representatives, reviewed and assessed local employment issues. Furthermore, funding under this programme was allocated on a regional rather than on a by-programme basis so that different parts of the country were able to determine the best mix of training and employment promotion appropriate for their particular circumstances. The Atlantic Canada Opportunities Agency was established to foster the creation of a more favourable environment for sustained regional economic growth so as to reduce the disparity between the four provinces in that part of the country and the rest of Canada. Similarly, the Western Economic Diversification Department was established in 1987 to expand the economic potential of the four Canadian western provinces. With respect to labour market and economic developments occurring since the Government's last report on this Convention, she reported that the prime lending interest rate had fallen to its lowest level in 19 years; the gross domestic product had increased 0.3 per cent in March, 0.2 per cent in January and 0.2 per cent in February; between April 1992 and May 1992, on a seasonally adjusted basis, employment increased by 31,000 overall; employment increased in manufacturing by 7,000; and the number of unemployed declined by 6,000 in the Province of Quebec and by 1,000 in the Province of Saskatchewan.

The Unemployment Insurance Act had been amended so that the Government could move ahead with a comprehensive strategy designed to mobilise the efforts of all labour market partners in upgrading the skills of the workforce. Eight hundred million dollars were allocated to training and employment assistance measures representing a 50 per cent increase in federal expenditures for labour force upgrading. The Canadian Labour Force Department Board, created in January 1991, comprised of representatives from organised labour, the business community, social action groups and training institutions. Its mandate was to determine overall training priorities and address questions of standards for skill acquisition and upgrading. It would play a major role in preparing an annual expenditure plan for the extended developmental use of unemployment insurance funds. Under this new agency, up to 75 subregional labour market boards might be established. In addition, federal provincial negotiations had been under way to enhance the employability of social assistance recipients. The new and expanded agreements included improved programmes, better linkages between Canada Employment Centres and welfare offices, long-term interventions to help clients and the removal of disincentives for training. In conclusion, a concerted effort had been and continued to be made to foster a strong training culture with the joint cooperation and participation of both organised labour and business with the objective of setting national standards and improving the avilability and accessibility of training programmes for those in need, with a special effort made to help social assistance recipients and disadvantaged groups improve their employment opportunities.

The Employers' members noted the information provided by the Government and stated that, while this subject area was a very complicated one, it seemed that the Government was moving in the right direction. They noted that according to the report of the Committee of Experts unemployment appeared to be at least 2 per cent lower than it was when this case was discussed in the Conference Committee in 1985. As concerns regional disparities in unemployment, they noted that this was not surprising in such a large country and felt that the Government's decision to allocate resources on a regional basis was a wise one. They agreed with the Government's approach not to permit unfocused spending to address unemployment but rather to invest in people. Spending must take into account the market - the market in this case being the skills necessary to meet the job requirements of employers. They noted in particular the efforts made to help those who were having difficulty getting into the job market. While it was clear that the Government had not yet found all the answers to its problems, they reaffirmed their belief that the Government was moving in the right direction and urged it to take all appropriate actions to lower the level of unemployment.

The Workers' members thanked the Government for the detailed information provided. They recalled their previous interventions with respect to the section in the general part of the Committee of Experts' report dealing with this Convention. This Convention was very important regardless of the level of industrialisation of the country. They felt that all government policy should be elaborated with a view towards promoting freely chosen and productive employment. Employment policy should not be limited to the ministries of labour, employment and vocational training, but should be a concern of all ministries. They were dismayed that the Government had reaffirmed that its priority objectives were the reduction of the budget deficit and inflation control so as to promote economic growth and job creation. They noted that the Government was still pursuing its 1985 policy which they did not feel sufficiently addressed the relationship between employment policy objectives and other social and economic objectives. They recalled that, all too often, the objectives of other ministries were in opposition with the objective of the Convention. The increase of the abuse of flexible employment time, such as part-time, flexi-time, limited-term contracts, etc., endangered the right of the weakest workers in the labour market to freely chosen employment. They were therefore not fully convinced that the Government was pursuing the essential objectives of the Convention. This was made particularly evident by the increase in unemployment and the Government's priority objective of inflation control.

The Workers' member of Canada referred to the section of the general part of the Committee of Experts' report on the application of this Convention and stated that Canada was one of the OECD industrialised market economy countries surpassed those of 1988. Furthermore, there was great regional disparity in unemployment and a large group of long-term unemployed. In spite of these realities, the Government of Canada continued to pursue as its immediate aims, the reduction of inflation and the control of public spending, at the cost of the aim of full employment set out in the Convention. He noted that the Canadian unemployment figures set forth in the Committee of Experts' comments were out of date. More recent figures from January 1992 revealed a national unemployment rate of 10.4 per cent and provincial rates ranging from 7.1 per cent to 17.9 per cent. His country had been in a recession for over two years now. The forecast in the recent federal budget indicated that the national unemployment rate would remain at or near its present level through 1992 and well into 1993. Recent estimates from Statistics Canada's Labour Force Survey for May 1992 showed an increase in the national unemployment rate to 11.2 per cent or 1,536,000 persons. This represented the highest level of unemployment in Canada since 1984, and included provincial rates ranging from 7.7 to 20.1 per cent. All statistics quoted thus far were official government of Canada figures.

When the Canadian Labour Congress calculated the "real unemployment rate" (including the underemployed, the "hidden unemployed" (persons who are not normally counted because they have given up the active search for a job), involuntary part-time workers and workers working short time or laid off part of the week), they stated that the number of persons unemployed or underemployed rose from 2,119,000 in October 1991 (15.2 per cent of the labour force) to 2,538,000 in January 1992 (17.0 per cent of the labour force). The recently tabled 1992 federal budget forecasts a national unemployment rate in excess of 10 per cent to the end of this year. This is nothing less than an admission of failure on the part of the Canadian Government - proof that current economic policies are not working. The real failure of the budget is that it does nothing to directly create jobs and increase confidence. The Government's basic thrust is to continue existing spending restraints such as cuts in transfer payments to the provinces and strict limits in the growth of virtually all areas of federal programme spending. In addition, the budget imposes new cuts of CDN$1 billion. Amongst these are a cut in federal training expenditures through the Canadian Jobs Strategy - which is mentioned in the Committee's Report - in the order of $100 million (rather than an increase to assist unemployed workers) and a continuing steady reduction of federal transfers to the provinces to fund post-secondary education and medicare. The central objective of the Canadian Labour Congress economic policy was to build a full employment economy - an economy capable of providing decent, well-paid, rewarding jobs for all who wanted and were able to work. Full employment was the indispensable basis of a strong income security system for working people and their families, the essential foundation stone of a fair society. A full employment economy would promote both equality of condition - decent living standards for all - and equality of opportunity, particularly for women, minorities, the disabled, indigenous people and others who face discrimination in the labour market. Full employment was the basis of a highly productive economy. Mass unemployment was nothing less than a waste of productive potential. Economic policies such as those currently implemented in his country, which created unemployment rather than actively promoting full, productive and freely chosen employment, were most certainly not in keeping with either the letter or the spirit of the Convention.

A Government member of Germany indicated his surprise to see the case of Canada on the list to speak before this Committee on this Convention. Referring to the questions raised in the Committee of Experts' comments for further information from the Government concerning the specific difficulties encountered in attaining the Convention's objectives and the possibility to evaluate the effect of its employment programmes, he wondered what criteria were used to call governments before this Committee on this Convention. He noted the Government's priority objective of reducing the budget deficit and combating inflation in order to promote economic growth and the creation of jobs and recalled that Article 1 of the Convention provided that: "With a view to stimulating economic growth and development, raising levels of living, meeting manpower requirements and overcoming unemployment and underemployment, each Member shall declare and pursue, as a major goal, an active policy designed to promote full, productive and freely chosen employment." In his opinion, the Government's policy was not terribly far away from the Convention's objective.

The Employers' member of Canada indicated his surprise and disappointment that this case was brought to the attention of this Committee. He supported the new initiatives undertaken by his Government. The Government had allocated 1 billion dollars for job creation for new training programmes, retraining, upgrading, etc. The employment programmes in his country ranked among the best of all the industrialised countries of the world. Under the job strategy programme no one who was qualified would be denied unemployment insurance. The object of the programme was simply to replace unemployment with jobs. He believed that labour basically agreed with the programme but simply wanted government to pay for it rather than to use the resources of the unemployment insurance fund. Government, however, did not pay for anything; it was the taxpayers who paid. Certainly, labour would not want higher taxes for the already overtaxed Canadian citizens.

He hoped that the new initiatives concerning job creation, training and upgrading would be given an opportunity to prove their effectiveness as a better alternative to throwing money at the problem and placing the burden on the taxpayers.

A Workers' member of Greece noted the importance of this Convention and recalled the serious consequences which could result from a government ignoring the need for an employment policy. He noted that there was a problem with the application of this Convention in Canada.

A Workers' member of Pakistan supported the concerns of Canadian workers, particularly concerning rising unemployment, regional disparity and equality. He hoped that the Government would take the necessary measures to reduce unemployment and to locate more resources to the provinces in order to obtain the objectives of the Convention.

The Government representative recalled that the Canadian Job Strategy Programme put an emphasis on assistance to the most disadvantaged members of the labour force, such as youth, women and other disadvantaged groups. As concerns her Government's priority objectives, she pointed out that the Convention provided that Government should pursue a policy to promote full and freely chosen employment but that it was up to the Government to design the policy which it felt would be most conducive to attaining that objective. She stressed that unemployment figures did not necessarily signify a violation of the Convention. No country operated in a vacuum and there were many factors which affected the unemployment rates of countries, independent of the government policy. Job creation implied the fostering of an economic climate which would be conducive to create jobs and could not occur without deficit reduction and inflation control.

A Workers' member of Italy insisted upon the importance of this Convention and suggested that a labour market policy was sufficient to resolve the relevant problem. It was not sufficient to simply transfer resources or make investments. The question was a very complicated one and it was necessary to undertake vocational training policies and to encourage the spirit of enterprise. Serious attention must be given to this problem in all countries both developed and developing.

The Committee welcomed the information given and the initiative taken by the Government. In view of the importance of the measures taken or envisaged, on the one hand, and the economic difficulties, including a high percentage of unemployment existing in the country, on the other hand, it expressed the hope that the Government would succeed in its endeavours to promote economic growth and job creation and that it would keep the ILO informed of all progress made in this regard.

Direct Request (CEACR) - adopted 2022, published 111st ILC session (2023)

Observation (CEACR) - adopted 2022, published 111st ILC session (2023)

Direct Request (CEACR) - adopted 2018, published 108th ILC session (2019)

Observation (CEACR) - adopted 2018, published 108th ILC session (2019)

Observation (CEACR) - adopted 2014, published 104th ILC session (2015)

Observation (CEACR) - adopted 2011, published 101st ILC session (2012)

Observation (CEACR) - adopted 2009, published 99th ILC session (2010)

1. Employment trends, active labour market policies and involvement of the social partners. The Committee notes the Government’s report received in September 2009 including detailed information provided by the provincial governments and comments received from the Canadian Labour Congress (CLC). The Government indicates that between October 2008 and May 2009, 362,500 jobs were shed from the Canadian economy (on a seasonally adjusted basis) and unemployment rose to an 11-year high of 8.4 per cent in May 2009 from 6.3 per cent in October 2008. On 27 January 2009, the Government introduced Canada’s Economic Action Plan (Budget 2009) in response to the economic crisis. Budget 2009 provides over 46 billion Canadian dollars (CAD) over the next two years, almost CAD62 billion when combined with the support provided by other levels of government, to support the Canadian economy and help to create jobs. Together with the tax reductions announced in the 2007 economic statement, Budget 2009 is estimated to create or maintain over 265,000 jobs by the end of 2010. The initiatives of Budget 2009 aim to reduce taxes permanently, help the unemployed, create jobs through significant infrastructure spending, support industries and communities most affected by the global downturn, and improve the access to and affordability of financing for Canadian households and businesses. Furthermore, the Committee notes the various labour market measures taken at the federal and provincial levels aimed at creating employment opportunities and recovering from the crisis. The Committee recalls that Article 1 of the Convention provides that Members shall declare and pursue, as a major goal, an active policy designed to promote full, productive and freely chosen employment. In this regard, the Committee notes the comments of the CLC indicating that it finds little recent evidence for such a declaration to have been enunciated “as a major goal” (Article 1(1)) by Canada or by most provinces, at least with enough clarity and conviction for the public to be meaningfully aware of it. Moreover, the CLC indicates that it is not aware that such a policy, in practice, is fully integrated in socio-economic decision-making of the country, and it seems notably absent with respect to macroeconomic policy making, including financial, trade and development policies. In its comments, the CLC also refers to the 2004 General Survey on promoting employment and strongly recommends that the Government and social partners review this document for the purpose of identifying how to improve inter-ministerial coordination, monitoring and reporting mechanisms, employment assessment processes and for programmes to prevent discrimination in employment or for re-employment of workers who lose their jobs for economic reasons. The Committee invites the Government to provide information in its next report on the impact on the labour market of the measures taken in Budget 2009 and to indicate how such measures are kept under periodical review within the framework of a coordinated economic and social policy (Article 2(a)). The Committee also invites the Government to keep in mind the concerns raised by the CLC and to provide further information on the effective consultations held with the social partners on the matters covered by the Convention (Article 3).

2. Education and training policies. The Government reports that, in 2008–09, Human Resources and Skills Development Canada allocated CAD12.9 million annually to support the Pan Canadian Innovations Initiative (PCII). PCII projects must partner with provinces or territories and focus on one or more of the following priorities: literacy and essential skills, immigrants, Aboriginal peoples, under-represented groups, workplace training, and apprenticeship. The Committee notes that project examples include the partners building futures in New Brunswick and the British Columbia reclamation and prospecting teams. The Government indicates that, while interim results are positive, evaluation data is not yet available. The Committee further notes that the Government is providing CAD8.3 billion to the Canadian skills and transition strategy which includes extra support for people who have lost their jobs, enhancements to employment insurance and more funding for skills and training development to help Canadians to obtain better jobs. The Committee asks the Government to continue to provide information on the measures taken in the area of education and training policies and on their relation to prospective employment opportunities. The Committee also asks the Government to provide evaluation data on the PCII when it becomes available.

3. Special measures in respect of vulnerable categories of workers. The Government indicates that since October 2008 the number of job losses has fallen more heavily for certain groups of workers, and workers from specific provinces and industries, resulting in their over‑representation when counting net job losses. For example, recent immigrants account for 3 per cent of employed persons in Canada but resulted in 12 per cent of net job losses. The impact was even more pronounced in the cities of Montreal, Toronto and Vancouver (53 per cent of net job losses). Concerning workers with disabilities, the Committee notes the measures adopted at the federal and provincial levels such as the “10 by 10 challenge” in British Columbia and the Ontario disability support program. With regard to older workers, the Committee notes that the Government will contribute additional funding to extend the Targeted Initiative for Older Workers (TIOW) until March 2012 to help more older workers remain active and productive participants in the labour force. TIOW provides support to unemployed older workers in communities affected by significant downsizing or closures, or a general high unemployment rate, through programming aimed at reintegrating these workers into the workforce. A summarizing evaluation is scheduled to begin in the autumn of 2009 and is expected to address programme relevance, success and cost-effectiveness. The Committee invites the Government to continue to provide information and evaluation data on labour market measures regarding workers with disabilities, older workers, immigrants, and other vulnerable categories of workers.

Direct Request (CEACR) - adopted 2007, published 97th ILC session (2008)

The Committee notes the comprehensive information provided in the Government’s report for the period ending in May 2007, as well as the information provided by the provincial governments and detailed replies to the matters raised in its previous direct request.

1. Employment trends and active labour market policies. The Government indicates that its economy grew at a solid pace throughout 2005 and early 2006 while experiencing slower growth the rest of the year due to the appreciation of the Canadian dollar, a weaker US demand and a cooling of the housing market. The Canadian economy has created over 540,000 new jobs since the beginning of 2006 and the unemployment rate was measured at 6.1 per cent, a 32-year low, the same period at which the labour force participation rate set a record high. The Government indicates that the expected growth is measured at 2.5 per cent for 2007 and 2.7 per cent for 2008 due, in part, to strong job growth and low interest rates. The 2006 and 2007 budgets focused on creating competitive advantages for the country. Measures taken in these budgets aimed specifically at sustaining economic growth and creating jobs including additional funding to post-secondary education, to science and research institutions, as well as new funding to provide labour market training. Other notable measures include tax deductions to recognize employment-related expenses, tax benefits such as the Working Income Tax Benefit (WITB) to help people over the welfare wall and measures to encourage apprenticeships in the skilled trades. The Committee welcomes the creation of the Pan Canadian Innovations Initiative (PCII) which has a purpose to test and inform the development of policies, programmes and practices designed to help Canadians prepare for, obtain or maintain employment and be productive participants in the labour force. The Committee notes with interest the performance of the Canadian economy and sustained job growth. It asks the Government to provide evaluation data on the PCII when it becomes available. The Committee asks the Government to continue to report on the manner in which measures adopted under the general economic policy contribute “within the framework of a coordinated economic and social policy” (Article 2(a) of the Convention) to pursuing “as a major goal” (Article 1, paragraph 1) the objective of full, productive and freely chosen employment. It would also appreciate continuing to receive information and data on successes, problems encountered and lessons learned, both at the federal and provincial levels, from the experience of the relevant authorities and social partners in Canada with regard to the application of the provisions of the Convention.

2. Means to promote employment of workers with disabilities and other vulnerable categories of workers. The Government notes that the Working Income Tax Benefit provides for an additional supplement to low-income workers with disabilities. The report also indicates a wide array of labour market initiatives benefiting persons with disabilities at the federal and provincial levels. As for older workers, the Government indicates that it has implemented a Targeted Initiative for Older Workers that will allocate 66 million CAD over the next three years in order to respond to the immediate needs of this group by reintegrating them into employment. The Committee notes these initiatives with interest and requests the Government to provide further information on their impact, especially in regard to provincial strategies such as the “10 by 10 Challenge” launched in British Columbia for workers with disabilities. The Committee also asks the Government to provide information on the measures taken or envisaged to increase the employment levels of other vulnerable categories of workers such as newly arrived immigrants in Quebec and in other provinces.

Direct Request (CEACR) - adopted 2005, published 95th ILC session (2006)

The Committee notes the detailed information contained in the Government’s report for the period ending in May 2005. It also notes the information provided by the provincial governments and contained in the various comprehensive annexes attached to the report.

1. Active labour market measures. The Government indicates that the Canadian economy recovered strongly in 2004 and maintained solid growth in the beginning of 2005, following weak growth in 2003. But despite the slowdown in 2003, the Canadian economy created more than 500,000 new jobs, nearly all of which were full-time positions. Furthermore, the unemployment rate fell from nearly 8 per cent in August 2003 to a 30-year low of 6.7 per cent in June 2005, despite very high rates of labour force participation. The Government further indicates that the budgets from 2003 to 2005 continued on a strategy of renewed economic growth and job creation by providing the underlying conditions necessary for private sector growth. Measures taken in these budgets aimed specifically at sustaining economic growth and creating jobs include:

-  enhanced access to post-secondary education, through extensive increases in financial assistance for post-secondary students;

-  enhanced access to knowledge and skills, through increased funding to Canada’s granting councils;

-  funding to support innovation and high-technology development;

-  tax relief to individuals and corporations.

2. The Government also provides information on new measures and developments related to labour market policies. The Government indicates in this regard that it will work with its partners - provinces and territories, their colleges and training institutions, business and labour, and individuals - to ensure that workers acquire the skills they need to succeed. Current initiatives include the following: Training Centre Infrastructure Fund, a three-year pilot programme that should improve workplace skilled training and worker productivity; training and apprenticeship strategy that will allocate funding to strengthening apprenticeship systems; workplace skills initiative that will provide funding to industry and other workplace stakeholders to undertake innovative, partnered pilot projects to promote and test new approaches to skills development. The Committee takes note with interest of these measures and asks the Government to keep providing information on the outcomes and assessment of these programmes, both at the federal and provincial levels. Further to its previous comments, the Committee also takes due note of the information provided by the Government concerning progress made in its policies and programmes aimed at tackling youth unemployment, as well as the detailed information regarding the impact of the North American Free Trade Agreement on employment (Articles 1 and 2 of the Convention).

3. Labour market initiatives for persons with disabilities. The Government indicates that it funds a range of labour market initiatives to assist persons with disabilities in their efforts to integrate into the labour market. In this regard, the Government provides detailed information on its key labour market initiatives that benefit persons with disabilities and lists the initiatives that, in terms of the number of clients served, have had the greatest impact on persons with disabilities. The Committee takes note with interest of this information and would appreciate continuing to receive details on the achievements concerning the employment measures designed for persons with disabilities.

4. Participation of the social partners. The Committee asks the Government to keep providing information on the consultations held with representatives of the persons affected, both at the stage of formulating employment policies and in relation to the implementation of the measures adopted under such policies, and in particular on the roles of provincial partners and governments, and whether other groups, such as rural and informal workers, are consulted (Article3).

Direct Request (CEACR) - adopted 2003, published 92nd ILC session (2004)

The Committee notes the detailed information contained in the Government’s report for the period ending May 2002, as well as the supplementary information submitted by the Province of Quebec in May 2003. It also notes the useful information provided by other provincial governments and contained in the various comprehensive annexes.

1. Articles 1 and 2 of the Convention. The Government states that unemployment has grown, going from 6.6 per cent in June 2000 to 7.8 per cent in June 2003, according to data from the OECD. Although real GDP growth has decelerated, dropping to 1.5 per cent in 2001, total employment grew by 1.1 per cent for the same period. In the Government’s opinion, the increase in unemployment is a consequence of the global economic downturn and a higher labour force participation rate. It considers that the restoration of fiscal health, through continued fiscal and monetary policy targets and structural and macroeconomic policies is a prerequisite to achieving its economic and social objectives including, inter alia, guaranteeing equality of opportunities, building a secure society, investing in key priorities for the future and redefining the role of the federal government in the modern economy and federation.

2. The Government describes, in a document entitled "Knowledge Matters: Skills and Learning for Canadians", its plan for improving the Youth Employment Strategy with the following objectives:

-  increase responsiveness to changing labour market conditions;

-  better assist youth facing particular labour market barriers;

-  help youth develop their skills to make successful school-to-work transitions; and

-  ensure that all qualified youths have access to high-quality post-secondary education.

The Committee would appreciate it if the Government would include in its next report information on the progress of the ensemble of policies and programmes aimed at tackling youth unemployment in Canada and further indications on the outcomes of these programmes both at the federal and provincial jurisdictional levels.

3. The Commission notes the detailed information on labour market measures including the conclusion of an agreement on internal trade aimed at removing barriers to labour mobility and the reassessment of reforms on employment insurance with the aim of pursuing only those which are most effective. The Committee invites the Government to provide information on issues concerning the labour market, such as the impact of the application of the North American Free Trade Agreement (NAFTA) on employment. Please also provide details as to how these measures take into account other economic and social objectives, and the conditions under which they are decided and kept under review within the framework of a coordinated economic and social policy.

4. Article 3. The Committee notes the information provided in regard to consultation with the social partners concerning employment policies. It also notes the Government’s intention to engage social partners more in employment promotion. The Committee asks the Government to continue to provide information on the progress made in this respect, in particular on the roles of provincial partners and governments, and whether other groups (such as rural and informal sector workers) are consulted.

5. The Committee notes with interest the information contained in the report on measures taken or envisaged in relation to people with disabilities (including the reference to the unique needs of aboriginal persons with disabilities). It would appreciate continuing to receive details on the achievements concerning the employment policies designed for persons with disabilities. In this respect, the Government may find it useful to refer to the instruments adopted by the Conference in 1983 (Convention No. 159 and Recommendation No. 168).

Direct Request (CEACR) - adopted 2001, published 90th ILC session (2002)

The Committee notes the information contained in the Government’s report for the period 1 July 1998 to 30 June 2000, as well as the information provided by the provincial governments and the various annexes.

1. Article 1 of the Convention. The Government states in its report that unemployment dropped from 11.5 per cent in September 1993 to 6.6 per cent in June 2000. Private sector full-time employment grew by 3.1 per cent and part-time employment grew by 1.9 per cent between April 1999 and July 2000. General unemployment decreased from 8.3 per cent in 1998 to 6.6 per cent in June 2000. Youth unemployment dropped from 15.7 per cent in 1998 to 12.9 per cent in April 2000. The Government’s strategies for promoting employment include: enhancing access to knowledge and skills; supporting innovation and high-tech development; reducing taxes for individuals and corporations; reforming employment insurance incentives; increasing youth employment; and facilitating the financing for small and medium enterprises and exports.

2. The Committee notes the detailed information provided on programmes to tackle youth unemployment. The Government provides assistance to approximately 430,000 students per year, has established a youth information phone line and web site, and sponsors many youth information fairs. Youth employment rose by 4 per cent in 1999 and 3.8 per cent to mid-2000. However, black and young indigenous people still have very high unemployment rates of over 20 per cent. The Committee would appreciate continuing to receive information on progress made in promoting employment among youth, particularly youth at greatest risk of unemployment.

3. Article 2. The Committee notes that, according to the OECD, the Government conducts pilot tests of new programmes before implementing them on a large scale. Unlike most countries, it carries out impact evaluations of all major programmes. The Committee would appreciate continuing to receive impact evaluations of programmes, including information about the impact on employment of the reform of the employment insurance scheme.

4. Article 3. The Committee notes that, with two exceptions from provincial governments, neither the Government’s report nor the reports from the provinces contain any new information on consultations with the social partners. Please continue to provide information on the manner in which representatives of the persons affected are consulted concerning employment policies.

Observation (CEACR) - adopted 1999, published 88th ILC session (2000)

1. The Committee notes the information contained in the Government's report for the period ending June 1998. The Government states that private sector employment has increased during this period by 4.9 per cent, 90 per cent of which has been full-time work, while public sector employment decreased by 1.3 per cent. Overall, employment has grown by 1.9 per cent in 1997 and 2.8 per cent in 1998. In 1998, unemployment was at 8.4 per cent, down from 9.7 per cent in 1996. According to the OECD, GDP grew at the rate of 3.8 per cent increase in GDP in 1997 and 3 per cent in 1998, and it is projected to keep growing at above the OECD average in 1999-2000. Long-term unemployment (exceeding 12 months) was around 12.5 per cent of total unemployment in 1997 and 10.1 per cent in 1998. The Committee also notes the information contained in the collection of papers, for a seminar held in 1997, entitled "Incomes and productivity in North America", forwarded by the Government in response to previous comments. It trusts that the Government will continue to monitor the impact of the North American Free Trade Agreement (NAFTA) on the implementation of the Convention, in consultation with representatives of employers' and workers' organizations, and with representatives of other sectors of the economically active population in accordance with Article 3.

2. The Committee notes that youth unemployment decreased from 16.6 per cent to 15.7 per cent during the two-year reporting period, and that numerous programmes have been implemented or strengthened to increase youth employment further. The Committee would appreciate being kept informed of progress made in application of the Convention in this respect.

3. The Committee notes that the Government has set up an employment insurance (EI) reform programme. Under this programme, the federal Government must give provinces the option of participating more directly in all aspects of planning, designing and delivering active labour market policies. The provincial governments can elect to take over all responsibility or none, or to agree to co-management between the provincial and federal levels. According to the Government, most provinces have elected to assume either all responsibility or co-management. The Committee asks to be kept informed of the impact this transfer of responsibility has on the fulfilment of the objectives of the Convention, and to include information on how the consultations required under Article 3 are ensured in this context.

Observation (CEACR) - adopted 1997, published 86th ILC session (1998)

1. With reference to its previous observation, the Committee took note of the Government's report for the period ending June 1996, which contains a set of useful information on the employment policies implemented, both at the federal and provincial levels. The Committee notes that the overall employment growth rate, which stood at 2.1 per cent in 1994, was only 1.6 per cent in 1995 and, according to the most recent data published by the OECD, was 1.3 per cent in 1996. The Government indicates that employment growth in the private sector, mainly in the form of full-time jobs, coincided with a significant reduction in employment in the public sector as a result of the programme designed to restructure and to reduce public expenditure. The reduction in the unemployment rate, from 10.4 per cent in 1994 to 9.5 per cent in 1995, was initially enhanced by a significant reduction in the activity participation rate, in particular among young people under the age of 25. However, the latter group continues to be subject to a significantly higher rate of unemployment than the average, and since that time the downward trend in unemployment seems to have been stemmed, with a rate of 9.7 per cent in 1996.

2. The Committee notes that the main orientations in the Government's economic policy, which it noted in its previous observation, and which aims in particular to re-establish balanced public finances, have been confirmed in the 1996 budget. In this regard, it observes that the progress made in reducing public deficits and controlling inflation has not for the time being been matched by equally significant progress in the fight against unemployment. In this context, the Committee recalls that under Article 2 of the Convention the measures to be adopted for attaining the objectives of full, productive and freely chosen employment must be determined and kept under review "within the framework of a coordinated economic and social policy". The Committee would be grateful if the Government would specify whether the effects on employment of the efforts made to stabilize the budget have been assessed. It would also like information on the perceived or anticipated effects on employment of the application of the North American Free Trade Agreement (NAFTA) and of the Internal Trade Agreement. Furthermore, the Committee notes that the main structural reform occurring during the period is designed, with the entry into force in July 1996 of the Employment Insurance Act, to achieve better coordination between the system of unemployment benefits and the active employment policy, by strengthening labour incentives and allocating increased resources to the measures designed to help people get back to work. The Committee invites the Government to provide details of any assessment available of the implementation of this reform.

3. The Committee notes with interest the substantial information provided on the implementation of the different active labour market policy measures. It notes that in its report the Government emphasizes the priority attached to the integration programmes for young people, and that an employment strategy for young people was to be announced in the autumn of 1996. In addition, the Committee notes the information to the effect that the responsibilities of the provincial governments should be increased within this strategy and, in more general terms, in respect of employment policy. The Committee would be grateful if the Government would specify the manner in which the new methods of cooperation between the federal Government and the provinces help to achieve a more effective employment policy, in particular in support of the regions with the highest unemployment rates.

Observation (CEACR) - adopted 1995, published 83rd ILC session (1996)

1. The Committee notes the Government's report for the period ending June 1994 and its annexes. From the data published by the OECD, it notes that there has been a slight recovery in employment figures (the OECD refers to a "recovery without employment") and a drop in the unemployment rate at the end of the period when it amounted to 10.4 per cent, having reached 11.3 per cent in 1992. The Government stresses that the unemployment rate is still higher than before the recession and remains among the highest in the seven major industrialized countries. In addition, it notes that there is a rapid and continuing increase in part-time employment (involuntary for 40 per cent of women workers) as compared with full-time employment and an unprecedented drop in the rate of activity since the beginning of the decade.

2. The Government confirms that employment is its highest priority, as outlined in the February 1994 budget. Creation of employment is sought through policies which foster economic growth and provide opportunities to acquire the skills needed to meet the challenges of the rapidly changing labour market. According to the Government, a policy of steady reduction in the fiscal deficit, primarily focused on controlling expenditures, would set the climate within which private sector-based economic growth and job creation can take place. The Committee, which notes that the other major objective of controlling inflation seems largely achieved, hopes that this priority in the immediate term to rebalancing public finances will have the expected effects on employment. It also notes that the federal Government and the provinces are engaged in a vast reform of the income security and unemployment insurance system to ensure that it contributes more effectively to the return to employment of its beneficiaries. The Committee requests the Government, in this respect, to supply detailed information on the measures taken or envisaged in order to better coordinate the unemployment protection system with the active employment policy.

3. Furthermore, the Committee notes the indications regarding the labour market policy programmes which are being implemented specifically with a view to promoting the adaptation of the skills of workers in employment and of the unemployed as well as the integration of young people into the labour market. It has noted with interest the evaluation reports for various programmes which the Government indicates should be profoundly modified in the framework of the current reform of the social security system. The Committee would be grateful if the Government would continue to supply any available assessments on the effectiveness of training and integration measures.

4. With reference to its previous comments and the discussion at the Conference Committee in 1992, the Committee hopes to be able to note when it examines the next report further progress in achieving the objectives set out in Article 1 of the Convention at both federal and provincial level.

Observation (CEACR) - adopted 1993, published 80th ILC session (1993)

1. With reference to its previous observation, the Committee took note of the Government's report and the explanations provided by the Government to the 79th Session of the Conference (June 1992), as well as the discussion in the Conference Committee.

2. The Committee notes the statement to the Conference Committee by the Government representative, which is reproduced and presented in the report as a reply to its previous observation. She reaffirmed the belief of her Government that the creation of an economic climate conducive to growth was a precondition to the achievement of increased employment opportunities in the long term. Recalling the labour market policy programmes implemented within the context of the Canadian Jobs Strategy, she emphasized that the amendment of the Unemployment Insurance Act had made it possible to free new resources for active vocational training measures. She informed the Conference Committee of the establishment in January 1991 of the Canadian Labour Force Development Board, which is of tripartite structure and works through the subregional labour market boards. The Government representative also stated that the Federal Government was negotiating with the provinces improvements in the various programmes and a concerted effort continued to be made to promote the employment of disadvantaged groups of the population. The Employers' members noted the positive aspects of government policy to invest in human resources, the efforts made to help those who were having difficulty getting into the labour market, and the implementation of employment programmes on a regional basis, while recommending that the Government take measures without delay to lower the level of unemployment. The Employers' member of Canada supported the new initiatives taken by his Government and considered that the employment programmes in Canada, by their scope and quality, ranked among the most developed of all the industrialized countries. For their part, the Workers' members regretted to note that the Government continued to give priority in its economic policy to reducing the budget deficit and controlling inflation, to the detriment of employment policy objectives. The Workers' member of Canada emphasized the aggravation of the tendency towards more precarious jobs and estimated that a precise evaluation of underemployment and unemployment should take into account unemployed persons who had been discouraged from seeking a job, workers employed involuntarily in part-time work or under short-term contracts. He concluded by stating that the Government's policy was not in accordance with the spirit and letter of the Convention, and affirmed that an economy with full employment was the basic requirement for ensuring income security and was a determining factor in promoting equality of opportunity and conditions.

3. The Committee notes, according to the new information supplied by the Government in its report and the data contained in OECD studies (to which the Government refers), that the recession experienced by the country in 1991 resulted in a new increase in unemployment, which a trend of low growth since then has not made it possible to remedy. The unemployment rate was over 11 per cent of the active population at the end of the period covered by the report and, according to the OECD, it only stabilized at this level due to a decrease in the activity rate of more than three points in comparison with 1990. Furthermore, data for 1991 show differing trends for full-time employment (which decreased by 3 per cent in relation to 1990) and part-time work (which increased by nearly 5 per cent). The incidence of part-time work has increased proportionally among women, who accounted for 70 per cent of all part-time workers in 1991.

4. The Government supplies in its report new information on the implementation of structural reforms, particularly in the fields of taxation, trade policy, deregulation, privatization and the reform of unemployment insurance. This latter lies in the context of a labour market policy which is intended to reduce the dissuasive nature of a system of protection which is considered to be too generous, in order to place emphasis on active measures. The Committee notes the results achieved in terms of combating inflation, lowering interest rates and decreasing the budget deficit. It notes that, according to the criteria cited by the Government, the requirements for a growth in employment therefore appear to have been achieved, although the OECD does not believe that there will be any particular decrease in unemployment in 1992-93 despite the forecast recovery of activity. With regard to labour market policy measures in the context of the Canadian Jobs Strategy, the Committee once again requests the Government to supply any available evaluation of the impact of the various programmes on the employment of the categories of persons concerned. It would also be grateful if the Government would supply any relevant documents concerning the activities of the new Canadian Labour Force Development Board and, more generally, to supply, as in the past, information on consultations held with the representatives of the persons affected, in accordance with Article 3 of the Convention. It hopes, in the same way as the Conference Committee, that future reports will supply information on the progress achieved in attaining the employment objectives set out in the Convention.

Observation (CEACR) - adopted 1992, published 79th ILC session (1992)

1. The Committee takes note of the Government's report for the period ending June 1990 and of the information concerning the provinces contained in its general report for 1990-91. According to the report on the application of the Convention, the employment growth rate has dropped steadily in relation to the previous period and the unemployment rate, after reaching in 1988-89 its lowest level since 1981 (7.5 per cent), is expected to cease dropping in 1990 and reach 7.7 per cent. The OECD has confirmed this negative trend in employment which has reportedly deteriorated further, and there has been a sharp increase in unemployment which apparently exceeded the rate of 10 per cent in 1991. Furthermore, the Committee notes from the statistics supplied by the Government that in June 1990 (before the situation deteriorated), there were marked regional disparities, particularly in five provinces whose unemployment rate was well above the national average (between 9.1 per cent in Quebec and 18.6 per cent in Newfoundland). The data for the same period also show that involuntary part-time unemployment accounted for almost 25 per cent of total part-time unemployment in 1989-90 (recording a substantial drop in the case of women only). The recent trend in the employment and unemployment situation contrasts, by and large, with the situation commented on by the Committee in its previous observation.

2. When the 1989 and 1990 budgets were adopted, the Government reaffirmed that its priority objectives were the reduction of the budget deficit and inflation control so as to promote economic growth and job creation. In its report it indicates that the Canadian Jobs Strategy drawn up in 1985 is still the cornerstone of its employment policy. It refers to the launching, in 1989, of the Labour Force Development Strategy which aims to restructure employment policy expenditures as part of the policy to reduce the budget deficit. In conjunction with the reform of the unemployment insurance system and the regional development policy, this strategy aims to reinforce active measures for training for employment rather than passive income support measures for the unemployed. One of its objectives is to step up the role of the private sector in the training of workers so that training is better adapted to current labour market needs. The Committee would be grateful if the Government would report on specific difficulties encountered in attaining the Convention's objectives of full employment and in reconciling them with other economic and social objectives.

3. The Committee notes the training and employment development programmes which, as part of the Canadian Job Strategy, continue to provide assistance to persons with specific difficulties in finding and keeping lasting employment, such as young people, women entering or re-entering the labour market, the long-term unemployed and workers in danger of losing their jobs. According to the Government, although no estimates are available on the impact of these programes on employment, specific evaluation studies reveal that they have improved the position of the participants in the labour market and that they could be further developed, particularly for older workers, the less educated and unemployment insurance beneficiaries who have recently lost their jobs. The Committee hopes that the Government will shortly be able to conduct an evaluation of the effect of these programmes on the employment of the categories of persons concerned. It notes that in 1989, the Federal Government and the provinces jointly undertook a survey of the Canadian human resources development strategy. The Committee would be grateful if the Government would provide information on the results and conclusions of this survey.

Observation (CEACR) - adopted 1989, published 76th ILC session (1989)

The Committee notes the full information provided in reply to the report form and to its previous observation. The Government has described in detail the employment situation in the provinces and among various categories of the population, as well as the measures taken under the Canadian Jobs Strategy (CJS), a new approach to job creation, training and upgrading introduced in 1985. The Government has, in particular, taken steps in the field of social security to facilitate worker mobility and mitigate disadvantages workers might otherwise suffer in transferring from one job to another. It indicates that employment grew at a relatively high rate (2.8 per cent in 1987), whereas part-time employees (72 per cent of whom are women) have become a permanent and significantly large section of the workforce (15.2 per cent in 1987), which may be treated unfairly. Unemployment overall has dropped through 8.9 per cent in 1987 to 7.5 per cent in 1988, according to the Government (the OECD standardised rate for Canada in 1987 being 8.8 per cent); levels of unemployment continued to decline for all ages and across all provinces (e.g. from 12.6 per cent in 1986 to 10.8 per cent in the first half of 1988 for British Columbia).

The Committee trusts the Government will continue supplying information on the measures taken under the CJS. In particular, it hopes the Government will endeavour to show the results of its measures in terms of employment, indicating the extent to which the regions worst affected by unemployment benefit, as well as how far full-time and how far part-time seasonal or casual employment are created. The Committee would be glad if the Government would so far as possible describe the employment consequences of overall economic policies referred to in the report, especially in the fields of trade (considering that the Free Trade Agreement with the United States which is to be phased in over a ten-year period will require adjustment of the labour force, as already suggested by the measures envisaged by the Alberta authorities), and fiscal and monetary policies. This information will enable the Committee to have a better appreciation of the manner in which effect is given to the aims of the Convention.

Finally, as regards application of Article 3 of the Convention, the Committee notes with interest that many elements of the Government's labour market policies and services include tripartite consultation and that in the Province of Alberta, in particular, consideration is being given to augmenting existing formal consultative procedures through the establishment of regional training councils. It would be grateful if the Government would continue to supply information on any further developments in this field, at the federal and provincial levels.