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The Government's General Employment Policy
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3.1.The Government's General Employment Policy


The years 1995 and 1996 were characterised by the successive enactment of a number of decree-laws regarding current schemes provided for in Italian legislation, some of which were incorporated in Law 608/96. This law concerns socially useful work, welfare and contribution schemes, a range of specific measures for workers in companies such as GEPI (Gestione e Par-te-cipazioni Industriali - Management and Holdings Group) and INSAR (Iniziative Sardegna s.p.a. - Initiative Sardinia s.p.a.), income-protection measures, regulations on wage alignment and wage supplements, job-security agreements, promotion of part-time contracts, regulations on funding for charities, job placement, agricultural work, special measures to promote self-employment in the Mezzo-giorno, schemes for the vocational integration of young people in areas with a high level of unem-ployment, and regulations for the steel sector. In addition, the Italian parliament is currently (May 1997) investigating a range of measures ("employment promotion measures") within the frame-work of "the Treu package" - named after its initiator, the Minister of Labour - which deal with temporary work, the Wage Compensation Fund, promotion of employment for young people in disadvantaged areas, socially useful work, vocational training, etc.

As a consequence of the Decree-Law of 7.11.1996 and the subsequent Circular 42/97 issued by the Directorate for General Affairs and Personnel, in 1996 a number of operative structural and denominational changes were undertaken in the organisation of employment office services. The cen-tral structure of the Ministry was also affected by these changes by virtue of the imple-men-ta-tion of Law 59 of 15.3.1997: "Empowerment of Government for the Transfer of Functions and Tasks to the Regions and Local Authorities, for the Reform of the Public Administration and its De-bureaucratisation" (GU 56/L), known as Minister Bassanini's law. This law empowers the govern-ment to pass one or more legislative decrees concerning the transfer of functions within nine months of the law's coming into force. In addition to the changes within the framework of decentra-li-sation and from the point of view of organisation and functional responsibility, the experiences gained in some regions with so-called integrated employment services (Servizi integrati per l'impiego) - implemented by virtue of Art. 1, § 13, of Decree-Law 511/96 - deserve mention. This decree was never converted into law and has since been abolished. It stipulated that the regional and provincial employment offices and the regional employment-creation agencies should - in preparation for the reform of employment services -experiment "through agreements with public providers, semi-state bodies, bilateral providers and universities" with new services for labour market monitoring, educational and vocational guidance, pre-selection, matching of labour supply and demand and the organisation of training. The regions involved were, as previously, Italy's northern-central regions (Aosta Valley, Piedmont, Liguria, Veneto, Tuscany, Emilia Romagna, Marches, Umbria and Latium).

Although a final evaluation of the results of these experiments - which are still being carried out - is not yet possible, it already appears that the synergy sought through the coordination of the activities of the various institutions - thanks also to the use of computers - has brought the public services closer to their clients and also enhanced their reputation.

As regards specific aspects of the development of the Italian labour market, the scheme for socially useful work gained enormously in impetus in 1996, in the sense that the logic of purely charitable measures to protect the income of unemployed persons was abandoned. This shift in approach served two aims: to increase intervention in innovative sectors such as cultural heritage, environmental protection, urban renewal, etc., and at the same time to offer the workers employed in these areas training or retraining with a view to improving their access to other employment opportunities. The regions most involved in this scheme through regional and inter-regional projects were (ordered by amount of expenditure): Campania (ITL 352,359,264,000), Apulia (ITL 186,875,865,000), Latium (ITL 89,754,003,000), Calabria (ITL 63,298,531,000), Sicily (ITL 58,052,624,000) and Sardinia (ITL 48,296,378,000); the order by number of workers involved was: Campania (28,616), Latium (12,940) and Apulia (12,523).

As regards employment and training contracts, too, there was growth in 1996 compared to 1995, both with respect to the number of authorised projects (+34,266) and the number of workers involved (+73,452), most of whom were men (171,895 = 63.8%; women: 97,325 = 36.2%). The age cohort with the highest participation was persons aged between 19 and 24 who had com-pleted compulsory schooling. Most of these workers are employed in small companies (between one and 49 employees) and in the services sector. The regions with the highest participation in the schemes were (by number of workers): Lombardy (52,611), Emilia Romagna (38,304), Veneto (28,819) and Piedmont (25,182).

There was also an increase in part-time work. 378,966 workers were employed part time in 1996, an increase of 45,726 on 1995. As is widely known, this is a measure which affects women more than men (262,065 women compared to 116,901 men).

Another development which should be mentioned in connection with the new measures introduced in 1995/96 is the activation of the Development Fund (Fondo per lo sviluppo) (cf. Chapter III, I-iii.5) (Art. 1 ter of Law 236/93). Development schemes for areas in crisis were authorised within the framework of this fund, and the amount of funding for such schemes fixed. Another measure developed in 1996 which has now expired was the reintegration of managers (Reimpiego dei dirigenti) in accordance with Art. 9 of Decree-Law 40/96 and the later re-enacted Decree-Law 511/96. The regulation provided for benefits for companies with less than 100 employees which recruited unemployed managers on fixed-term contracts. The region which participated most in this scheme was Emilia Romagna. There are currently other new measures in force, for example territorial alliances (Patti territoriali) involving the following areas: Enna, Syracusa, Brindisi, Madonia, Vibo Valentia, Nuoro, Lecce, Caserta and Benevento, and regional promotion contracts (Contratti di area).

Practical training (tirocini) (Art. 9, §§ 14-18, of Law 236/93) has also had a positive impact. The Ministry of Labour - Central Office for Vocational Training and Guidance for Workers - has prepared an ad hoc circular (29/97) to this end. This measure gained new impetus especially in 1996, having been provided for in decrees which later expired. Although practical training does not create jobs as such, it does provide young people seeking work with an opportunity to gain direct knowledge of working life, which may be useful for a more conscious approach to their own career choice. In addition, they represent a further criterion for employers who are interested in selecting new employees.

At EU level, the EURES Italia network now in operation should be mentioned, which consists of over 40 trained Euro-consultants and two databases of vacancies and general information on living and working conditions in the Member States.

Finally, it should be noted that the government and the social partners signed the labour-promotion agreement for the area of labour market policy on 24 September 1996 (cf. inforMISEP Policies 56), which regulates some of the most important aspects of the labour market, such as training, apprenticeship, continuing training, practical training, regional promotion contracts, the information society, etc. However, this agreement has not yet been implemented.


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