World
'New start' for EU
unemployed
The 15 EU leaders offering the unemployed a "new start"
Leaders of the 15 European Union states have formally
adopted an ambitious plan to cut unemployment by
offering a "new start" to jobless young people and the
long-term unemployed.
Young people would be out of work for no longer than six
months before being offered either a job,
work-experience or training, and older people would be
offered re-training within the first year of unemployment.
Agreeing that economic growth alone would not create
work for the EU's 18 million jobless, leaders meeting in
Luxembourg set in motion a process of convergence
towards common employment goals, promising to review
progress each year.
Around 10% of Europe's
population of working age is
out of a job, a level
unchanged since 1993.
Among under-25s, the
unemployment rate is nearer
20%.
Half of all unemployed have
been out of a job for more
than 12 months.
EU economic growth is set
to accelerate from 2.6% in 1997 to 3% in both 1998 and
1999, leading to the net creation of 3.8 million jobs,
according to a report to the summit.
EU member states also agreed to raise the proportion of
the unemployed receiving training to 20% or more, twice
the current EU average.
In a concession to Spain,
which has the highest
unemployment rate in the
Union and had been the
most reticent about being
tied to binding targets,
countries with the highest
jobless rates will be given
more time to meet them.
Each government will have
to present national action
plans outlining how they
intend to meet the targets at
a summit in Cardiff, Wales
next June.
Behind the new strategy lies a belief that a significant
proportion of European unemployment is due to an
inefficient labour market, highlighted by the fact that,
despite the high level of unemployment, some 40% of
small and medium sized enterprises report difficulties
finding staff.
Speaking in Luxembourg, the British Prime Minister,
Tony Blair, said the outcome of the meeting was a "very
substantial success" and that Europe was "responding
to issues which matter to real people."
Patrick O'Connell reports on what Europe can learn
from the US where unemployment is at its lowest level
for a generation
