Special measures still needed on jobs, say global unions: public sector cuts no answer

G20 Employment Ministers' meeting

TUC letter to Yvette Cooper MP

6 April 2010

TUC General Secretary Brendan Barber has written to the Secretary of State for Work and Pensions, Yvette Cooper MP, ahead of the G20 Employment Ministers' meeting in Washington later this month, calling on her to make more of the support from G20 governments for Britain's interventionist approach to saving and creating jobs to tackle the unemployment caused by the crisis.

A G20 trade union statement, summarised below, sets out for all G20 governments the sort of response to the crisis which the UK Government is promoting - such as the Future Jobs Fund - and the US hosts for the Employment Ministers' meeting have asked the UK to introduce the segment of the summit on youth unemployment, in a clear sign of support for the UK approach.

The TUC and global unions argue that governments should continue their special measures until unemployment levels fall at least to the pre-crisis levels, rather than making deep cuts in public spending as some pundits and parties have argued.

The TUC's letter follows.

Dear Yvette

G20 Labour Ministers' meeting, Washington DC, 20-21 April 2010

Thank you for seeing John Evans and me last week. I enclose the full Global Unions statement which we discussed, and a summary which has been developed subsequently setting out the main things we want to see in the final communiqué. Trade unions have asked that the summary be circulated to all G20 Labour Ministers.

As well as urging you to take up the points made in the trade union submission, I would reiterate that the TUC believes that the British Government should be stressing the need to maintain stimulus measures like the Future Jobs Fund, rather than cutting back. We believe that this is a view shared by governments across the G20, and that the British people should be left in no doubt of that over the coming weeks.

I know that your officials will be meeting again with mine ahead of the meeting in Washington DC and I look forward to seeing Lord McKenzie there.

It would be very welcome if the British Government could press for the process of G20 Labour Ministers meetings involving the ILO to continue, and as you said that this would be a matter for the G20 Leaders, I am copying this to the Prime Minister.

Yours sincerely

Brendan Barber

General Secretary

PRIORITY TRADE UNION RECOMMENDATIONS FOR G20 LABOUR MINISTERIAL DRAFT DECLARATION (WASHINGTON D.C., APRIL 2010)

Ministers must insist that governments reduce stimulus efforts only as a function of the recovery of employment rates to pre-crisis levels on a sustainable basis. The responsibility of Labour Ministers must go beyond trying to mitigate the negative impact of exit strategies on G20 labour markets. The economic recovery is extremely fragile; any premature withdrawal of stimulus measures will exacerbate the weakness in consumption and heighten the risk of a further catastrophic decline in output and employment.

Ministers must tackle inequity and precarity by strengthening freedom of association and collective bargaining rights so as to relink wages and productivity, as part of a paradigm shift to create a solid, sustainable wage-based economy for the 21^st century. Ministers need to take measures to prevent reversion to the status quo ante of the debt-laden model that led to the crisis.

Ministers must insist: that employment receives priority attention in the mutual assessments under the G20 Framework for Strong, Sustainable, and Balanced Growth; that their Ministries prepare analysis and recommendations in these areas; and that at international level the ILO is assigned specific responsibility for employment and social protection issues - not the IMF as at present. It is increasingly apparent that the Framework is being developed with no input from G20 Labour Ministries or the ILO and with minimal attention to employment and social protection.

Ministers must confirm their commitment to implementing the tripartite Global Jobs Pact, and instruct the relevant international institutions to work together so as to implement the G20 Leaders` Pittsburgh decision that they 'should consider ILO standards and the goals of the Jobs Pact in their crisis and post-crisis analysis and policy-making initiatives'.

Ministers must propose more progressive fiscal systems including revenue-raising through a financial transactions tax. Ministers need to make it clear to G20 Leaders that workers will not accept paying the future burden of crisis recovery costs through tax increases and reduced social security.

Ministers must develop a template of decent work-based measures to ensure that vulnerable groups such as young people can improve their situation through active labour market policies such as training strategies; and take forward the ILO's campaign for a universal social protection floor worldwide. .

Ministers must propose a series of measures to invest in the creation of green jobs as well as the transformation of workplaces to achieve a strong low-carbon economy.

Ministers must stress the need for consultation of the social partners including by the G20 Leaders and establish an ongoing G20 decent work task force including social partner participation to prepare for a second G20 Employment Summit before the end of the year.