Low skilled worst hit by employment slowdown

The predicted slowdown in employment growth will have more serious implications for the low skilled, a report revealed today.

The predicted slowdown in employment growth will have more serious implications for the low skilled, a report revealed today.

An advisory body to the Government on major economic and social policy issues said while labour market vulnerability remains, it was gratifying to note lifelong learning for the low skilled will at last be prioritised under the pay talks.

The National Economic Social Forum (NESF) - which is the largest and most representative of the social partnership institutions - said the move was essential to enable them to compete and find better jobs in the increasingly knowledge-based society of the future.

In its fifth periodic report, the forum evaluated and monitored on the implementation of equality and social inclusion policies by departments between 2003 to 2006.

Labour market issues for older workers, equality policies for lesbian, gay and bisexual people, policy implications of social capital, early childhood care and education, care for older people and creating a more inclusive labour market were the key areas studied.

The NESF said progress had been made in each of these areas, but highlighted a number of additional areas where further action is required.

The forum found while steady progress was being made by Government departments regarding older workers, active follow-up action was needed as the dependency ratio more than doubles over the next 20 years.

It supported an initiative to review current rules on retirement and avail more of the potential of older people in the workforce.

"The benefits of this would include reducing upward pressure on pensions and health expenditure in the future," it stated.

The forum said it would also welcome reforms of the pension system to give people more choice to retire more gradually through, for example, building up additional pension years beyond 65, easing the work restrictions for people to draw a State pension and a review of the tax treatment of pension income and of earned income.

Last week it emerged significant numbers of older people who do not want to be forced to retire have contacted the Equality Authority. Its annual report revealed that, for the first time, age was the most common ground for cases it took under the Employment Equality Acts.

PA