G20 Foundation Publications Russia 2013 | Page 36

trade & finance 19
Second , it is important to design measures that are responsive to the specific needs of different groups and the obstacles they face in gaining access to rewarding and productive employment . Let me mention some specific examples of tailored policies for different groups :
• Poor households and recipients of welfare benefits require broad and integrated packages of support , services and incentives as well as a delivery model that can successfully bring these services to the families that need them the most . Conditional cash transfers can link benefit receipt to a broad range of integration measures and programmes to address structural and long-term poverty ( Oportunidades in Mexico ; Bolsa Família in Brazil ). Where comprehensive social protection systems remain lacking , public work schemes ( such as the case with the Mahatma Gandhi National Rural Employment Guarantee in India ; the Community Work Programme in South Africa ; and construction of village infrastructure in Indonesia ) have an important role to play as emergency safety nets . China has several public employment projects targeted to particular groups at higher risk of poverty , such as men over 50 years old .
• In the case of measures for the longterm unemployed , the provision of paid work linked to skills acquisition and work experience offer promising outcomes ; the Work Programme in the UK and Work Experience Phase in Australia are two telling examples here . Efforts in this direction need to be combined with intensive and specific case management and interventions , such as the individualised action plans and employment service centres in Japan .
• For youth , different forms of hiring incentives , such as the Youth Contract in the United Kingdom or the Zérocharges Jeunes in France and the tax incentives introduced recently in Italy , could be considered as short-run measures targeted to provide job opportunities , especially for the low‐skilled youth . Other countries have focussed more on the role of infrastructure projects as a vehicle to acquire work experience in the private sector ( Jóvenes Constructores de la Comunidad in Mexico ; or Programa Jóvenes con Futuro in Argentina ; internships in SMEs in the Republic of Korea ).
• In the medium- to longer-run , many countries need to introduce better and more attractive options for allowing youth to combine study and work experience and for encouraging their participation in vocational education and training . Useful examples in this direction are provided by the German and Australian experiences . China has also taken measures in this sense , recently .
• For school drop outs and other disconnected low‐skilled youth , intensive second-chance programmes may be needed , with US Job Corps and Employment Generation and Marketing Mission in India being two telling examples . The promotion of Youth Guarantees is also an important policy option . In the EU , countries are now encouraged to put in place measures to ensure that young people up to the age of 25 receive a good quality offer of employment , continued education , an apprenticeship or a traineeship within four months of leaving school or becoming unemployed .
• For women , opportunities to work , and to return to work after child‐related breaks need to be strengthened . In all G20 economies , a range of measures can be used to address the needs of working women , including adjustments in the tax systems , in out-of-work transfers , in childcare support and in parental-leave provisions .
• In emerging economies , basic social protection measures can assist women in accessing earnings opportunities . This is the case for example with the Child Support Grant in South Africa . The promotion of gender-equal employment opportunities can also be reflected in the regulation as has been the case with the Employment Promotion Law in China . Affordable and high quality childcare - the Rio de Janeiro public day care programme - and parental leave policies - Dad and Partner Day in Australia - also play an important role in supporting female labour force participation in all G20 countries .
• Last but not least , for informal workers stuck in low-productivity , low-pay jobs , further extensions of social safety nets may be required . Action in this direction needs to be combined with financial incentives for employers to fully and transparently disclose their employees and greater efforts are to be undertaken to strengthen tax and labour inspections . In many countries , overly strict employment protection may also contribute to make employers more reluctant to formalise employment relations .
The third area for lessons pertains to evaluation . This is key to both deciding which measures should be expanded , adapted or ended , and which interventions might work best as part of a package in combination with other measures . Our report shows that several knowledge gaps remain outstanding . Most evaluation results are from a relatively small number of economies with a longer activation ‘ tradition ’ and conclusions may not be easily transferable to other country contexts . Evaluations also are usually focused on short‐term outcomes and thus results on the longer‐term impacts of policies are scant .
Ministers , Ladies and Gentlemen ,
The need for activation policies to make labour markets more inclusive has been further reinforced by the global financial crisis . Going forward , the potential for policy dialogue and for sharing experiences are of utmost importance in the field of activation policies .
The G20 process can play a pivotal role in this context , in helping countries identify effective policies . The OECD stands ready to assist the G20 in this process .
Thank you .
Remarks by Angel Gurría , Secretary-General of the OECD , Moscow , 18 July 2013