Resolution of the Committee of the Regions on the European Employment Pact
Date: 1999-06-02
Institutions: European Committee of the Regions
Subjects: EU employment policy, economic policy, job creation, secondary sector, single market, small and medium-sized enterprises

C 293/70

EN

Official Journal of the European Communities

13.10.1999

Resolution of the Committee of the Regions on the European Employment Pact

(1999/C 293/14)

THE COMMITTEE OF THE REGIONS,

having regard to the Bureau’s decision on 7 May 1999 to draw up a resolution on the subject and to
direct Commission 6 — Employment, Economic Policy, Single Market, Industry and SMEs — to carry out
the preparatory work;

having regard to the forthcoming European Council meeting on 3 and 4 June 1999 in Cologne, at which
the Presidency is to put forward a proposal for a European Employment Pact;

having regard to its earlier opinions on employment, viz.

‘The role of local and regional authorities in linking education and training establishments to
enterprises’ (1); ‘The proposal for a Council Decision on measures of financial assistance for innovative
and job-creating small and medium-sized enterprises (SMEs) — The growth and employment
initiative’ (2); ‘Forthcoming economic policy guidelines’ (3); the Communication from the Commission:
‘From guidelines to action: the National Action Plans for Employment’ and the Communication from
the Commission: ‘Proposal for guidelines for Member States’ employment policies in 1999’ (4); the
Communication from the Commission adapting and promoting the social dialogue at Community
level and the draft Council Decision amending Decision 70/532/EEC setting up the Standing
Committee on Employment in the European Communities (5);

having regard to the draft resolution prepared by Commission 6 on 11 May 1999 (Rapporteur:
Mr Henning Jensen);

whereas local and regional authorities in many Member States play a key role in shaping the environment
and conditions under which enterprises operate. They have an important function in supporting local
economic and industrial development by securing a favourable socio-economic climate which can attract
and promote the establishment and development of businesses;

whereas local and regional authorities are major players in providing education and training since they
can help bridge the gap between education/training establishments and enterprises and, through their
strategically well-placed position, foster greater partnership and dialogue between all relevant protagonists
at local and regional level in these two sectors;

whereas local and regional authorities play a crucial role in generating employment — both directly as
employees, and indirectly, through fostering a favourable business climate. They are major employers by
virtue of their involvement in the development of the local and regional economy and expertise in such
matters, their responsibilities (where appropriate) in the employment sector and their contribution
towards the promotion of social integration, based on their sound knowledge of the local situation;

whereas the Committee of the Regions has proposed an initiative called ‘Local Action for Employment 99’,
which places local and regional authorities in a position to promote the national employment action
plans;

whereas the Committee of the Regions and the local and regional authorities, and/or their organisations,
are involved in the implementation of instruments promoting and developing social dialogue at
Community level,

(1) CdR 346/96 fin — OJ C 116, 14.4.1997, p. 98.
(2) CdR 46/98 fin — OJ C 251, 10.8.1998, p. 41.
(3) CdR 110/98 fin — OJ C 51, 22.2.1999, p. 63.
(4) CdR 279/98 fin — OJ C 51, 22.2.1999, p. 59.
(5) CdR 343/98 fin — OJ C 93, 6.4.1999, p. 54.

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Official Journal of the European Communities

C 293/71

adopted the following resolution at its 29th plenary session on 2/3 June 1999 (the meeting of 2 June).

The Committee of the Regions

1.

supports the Employment Pact’s primary aim, namely to
coordinate the Member States’ macro-economic policies
and ensure friction-free interaction between the twin
aims of general growth and employment growth while
preserving price stability;

2. believes that it is important that national measures to
boost employment be backed up by a European Employ-
ment Pact. Improved coordination of the economic and
fiscal policies of the EU Member States, the harmonisation
of taxes on energy and capital dividends and the implemen-
tation of fair competition in respect of taxes would be
desirable. The requisite measures taken by the Member
States to solve the employment problems must be support-
ed and rounded out by the EU;

3.

4.

supports the inclusion of the social partners in the Pact
but regrets that the role of the local and regional authorities
is not spelled out in contrast to the Commission’s recent
Communication on Community policies in support of
employment;

stresses that the implementation of measures connected
with the European Employment Pact, as indicated therein,
must be compatible with the principle of solidarity and
respect
including
collective bargaining agreements in the individual countries
and differing wage-fixing arrangements;

labour market systems,

for national

5. highlights the key role played by regional bodies as both
players and employers in attaining the major objective of
promoting employment through practical implementation
of a wide range of initiatives seeking to create sustainable
jobs, which must be given top priority. In most cases it is
at regional
level that employment promotion schemes,
especially those focusing on especially vulnerable groups,
are put into practice. This point is moreover borne out in
the previous COR opinions referred to above;

6.

insists that
the municipalities and regions must have
the widest possible scope to plan and carry through
employment measures in the most appropriate manner.
This should be done in conjunction with the social partners
and in keeping with the four pillars of the EU employment
guidelines for 1999:

•

•

•

•

employability

entrepreneurship

businesses’ adaptability

equal opportunities;

7.

stresses that regional/local self-determination in employ-
ment matters is a prerequisite for efforts to tailor workforce
skills to the needs of local enterprises. This key condition
for effective employment action brings home the above-
mentioned need to involve regional and local authorities
more closely in the framing of the national employment
action plans;

8. draws attention to the territorial employment pacts as
an effectively-functioning model of local and regional
partnerships and to the crucial role of local and regional
authorities within these partnerships;

9. considers that the experiences of territorial employment
pacts and the new practices emerging from them should
be genuinely taken into account when national action
plans for employment are drawn up;

10. stresses that territorial employment pacts provide oppor-
tunities for the coordinated use of employment policy
instruments,
including for example measures to create
small business in new business areas where the markets
are uncertain and risks for new enterprises therefore
specially high. These employment pacts also offer wide
scope for further action and for follow-up after the start-up
phase;

11. points to the importance of EU programmes and Funds
which aim to promote employment. Here the Structural
Funds , support for innovatory measures and the dove-
tailing of the various employment policy action areas at
local and regional level are particularly valuable;

12. underlines the importance of a particularly intensive drive

to target the following groups;

1. young people and women,

2. groups at risk of being pushed out of the labour

market,

3. older workers,

4.

low-skilled groups,

5. groups with other problems that aggravate unemploy-

ment,

6.

refugees;

13. points out that speedy action tailored specially to the
young unemployed and women can help significantly,
notably in preventing long-term unemployment and pro-
moting equal opportunities;

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Official Journal of the European Communities

13.10.1999

14. highlights the importance of a special measure focusing
on groups at risk of being pushed out of the labour market,
for instance as a result of poor health or inadequate
education;

sector to another, allowing older people to stay in work
longer, training, flexible working hours etc., should be
carried out
in a dialogue between employers and
employees;

15. stresses that

the higher age group makes a valuable
contribution, in economic terms and in terms of their
experience. Attention must be focused on schemes that
can help keep older workers in touch with working life;

16. advocates the promotion of a flexible labour market, for
instance through facilitating access and a smooth transition
is
from one occupational sector to another. Here it
important to explore the scope for more flexible work
organisation so as to adjust working time to the differing
stages of life;

17. emphasises that any changes to workers’ employment
conditions, such as the transition from one occupational

18. considers that a special vocationally-oriented measure is
needed to assist groups with physical and/or psychological
problems that aggravate unemployment;

19. is convinced that effective integration of refugees received
by the EU must include the labour market. In connection
with the provisional reception of refugees from the former
Yugoslavia, however, the aim of the EU to ensure their
possible return to the home countries is endorsed;

20. emphasises,

lastly, the value of improving comparative
statistics on labour market conditions so as to provide
benchmarking examples of best employment conditions
and practices in the individual Member States to serve as
inspiration and lesson to the others.

Brussels, 2 June 1999.

The President

of the Committee of the Regions

Manfred DAMMEYER