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Sunday, February 22, 1998 Published at 16:24 GMT



World

G8 decides jobs objectives

At the end of two days of talks, the Group of Eight countries have agreed a seven-point list of core principles for job creation.

British Chancellor of the Exchequer Gordon Brown looked forward to a "new agenda" of reforms that will bring "both economic efficiency and social progress".

"We must ensure that the important messages of this conference are heard by policy makers around the world and that we continue to share best practice," said Mr Brown, who hosted the London meeting.

Differences in approach

The list of objectives mixes "soft" objectives like improving training and measures for the young unemployed and disabled, with "hard" ones, like "structural reforms" and "promotion of adaptable working time arrangements and work organization".

This reflects continuing differences in emphasis between the US and Britain on the one hand and the rest of Europe on the other.

Europe's benefits are traditionally more generous, but the unemployment rate in many European countries is around double that of the US and UK.

The French insisted they did not wish to create a "society made for winners" but French officials said there had been a "convergence of views" at the summit.

Mr Brown admitted the G8 followed different models but said the fact that all eight had endorsed the same principles showed his "new thinking" was taking hold.

"We are facing in the same direction," he said.

He added that "It is now important that the principles are turned into practise". At the next G8 meeting, in Birmingham in May, the countries' leaders will present job action plans.

The Group of Eight comprises Britain, the US, Canada, France, Germany, Italy and Japan - the G7 - plus Russia, which joined recently.

The seven core objectives:

  • Sound macroeconomic policies conducive to sustained non-inflationary growth and employment.

  • Structural reforms in the labour market where needed to boost job growth, remove tax and regulatory barriers, and promotion of adaptable, efficient and equitable working time arrangements and work organisation.

  • Creating an economic climate favourable to small and medium enterprises, especially new businesses, including through better access to venture capital.

  • Enhancing employment, education or training opportunities for young people and adults to prevent their becoming long-term unemployed, and measures for lone parents and the disabled.

  • Reforming the tax and benefit system to foster growth and encourage the unemployed to seek work, "while protecting vulnerable groups. The successful transition from welfare to work will require a sustained commitment to active labour market policies."

  • Enabling and encouraging people to learn throughout their working lives and improve their employability.

  • Promoting equal opportunities and combatting discrimination for all workers.
     





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