First of all, I would like to thank you for your invitation to greet today's Pancyprian Conference of the Democratic Labour Federation of Cyprus (DEOC), expressing my sincere appreciation to its leadership and members for 60 years of substantial contribution to the labour movement.
The role of the social partners in shaping social and employment policy, through the development of social dialogue, is undoubtedly important and fundamental. The rapid changes in the economy and the labour market caused by both economic crises and digital, ecological and demographic changes are causing profound changes for workers, employers and the relations between them, dictating the need to further strengthen the role of social dialogue and collective bargaining.
The ICFTU's offer to achieve better and more decent working conditions, to improve wages, social security and various benefits At the same time, they contributed to the better management of the pandemic and the use of new, more flexible forms of employment, as well as to the defence of labour legislation, which provides social and labour justice while supporting people who lose their jobs and face the risk of long-term unemployment and social exclusion.
The economic recovery continues, with the pace of the economy improving significantly and the unemployment rate on a downward trend. Therefore, it aims to develop a well-trained human resource capable of responding effectively to the ever-changing conditions and the increasing challenges and demands of the economy.
The human factor, especially in recent years, has been of particular interest due to the changes in the business environment, the tension in the international arena and the integration of markets, the development of technology and information systems. These changes make strategic planning necessary in order to make the right decisions that will lead to the growth and survival of enterprises and the appropriate planning, training and management of their human resources.
Respect for social dialogue is the cornerstone for finding effective solutions to the labour issues of our country. An example is the introduction, from 1 January 2023, of the National Minimum Wage, the institutionalisation of which would never have been possible without the decisive contribution of all parties involved. Our commitment to dialogue and social consensus is aimed at promoting the public interest, the healthy development of the Cypriot economy and increasing the standard of living of workers.
The protection of workers has always been a priority of the Ministry of Labour and Social Insurance. Therefore, in addition to the implementation, for more than 40 years, of the Code of Industrial Relations, controls and inspections continue at an intensive pace to ensure the implementation of labour legislation. As an indication, in the first half of 2022, more than 4,000 inspections were carried out by the Industrial Relations Department to check compliance with the terms of employment and labour legislation in general.
As I have mentioned above, the protection of workers, especially those who are not organised in trade unions, has always been one of the key priorities of the Ministry of Labour. In this context, the fight against illegal and undeclared work is a top priority, which we are working methodically to achieve through targeted inspections and tighter control of the labour market, with deterrent penalties and administrative fines where and when non-compliance with labour laws is found.
The Inspectorate has carried out, in the first nine months of 2022, more than 5000 targeted inspections on undeclared work and to safeguard workers' rights. Moreover, the reduction in the rate of undeclared work is noteworthy, which according to inspection data, in 2009 was estimated at 27%, while by September 2022 we have achieved a reduction of this rate to around 5%. An important tool in the effort to combat undeclared work is from 13 September 2021, following a decision of the Council of Ministers, the information system ERGANI, through which all recruitment of new employers is declared electronically, while, as is known, we are in the process of implementing ERGANI 2.
I would be remiss if I did not stress the fact that the Ministry of Labour and Social Insurance continues to place high on its priorities the objective of combating unemployment. According to data from the Cyprus Statistical Service, the unemployment rate on the island in the second quarter of 2022 has decreased by 1.6% compared to the corresponding quarter of 2021 and stands at 6.8%.
One of the main pillars of the Ministry's policy is the promotion of equality between men and women, an integral part of our mission. The actions taken in this direction are not only limited to combating gender discrimination but also to addressing the root causes of this inequality. Since its establishment in 2014, the National Business Certification Body (of which IOC is an active member) has been conducting annual assessments of companies wishing to be certified as equality employers or employers implementing policies that ensure conditions of equality between men and women in the working environment and reconciliation of work and family life.
To verify our commitment to modernise and complement the legislation and the institutional framework, a Of the bills that have been drafted, are the Bill for the transposition of Directive (EU) 2019/1152 (Transparent and predictable working conditions in the EU) which has been submitted before the House of Representatives for enactment and the Bill for the regulation of teleworking which, with an obligation under the RRF, will be passed by July 2023, after we receive the relevant EU directive.
In addition, the bill currently before the BoA entitled "The Leave (Paternity, Parental, Care, Force Majeure) and Flexible Working Arrangements for Work-Life Balance Act 2022" is introduced into national legislation, among others, the right to paid parental leave, the right to take parental leave in a flexible manner, the right to care leave, as well as the right for working parents and caregivers to request flexible working arrangements.
As is well known, a consultation between the Social Partners on ATA is currently underway. Unfortunately, as was evident from my discussions with trade unions and employers' organisations, I cannot be optimistic, at least at this stage, about reaching a consensual agreement. I would like to appeal once again to the seriousness and responsibility of the social partners and invite them to enter into a dialogue where, with consensual approaches, we can reach a mutually acceptable solution in the interests of society as a whole, of vulnerable groups, of protecting the low-paid, of protecting healthy competition, of industrial peace and of the prospects of our country's economy. I will focus in particular on industrial peace. The conditions require its preservation. We have successfully passed through two successive crises, I would like to stress, that of 2013 and the coronavirus pandemic, and now, unfortunately, we are experiencing the consequences of Russia's invasion of Ukraine. The economy of the country is under multiple pressures. If we want to face and manage this crisis, this challenge, we must respectfully maintain industrial peace.
It is therefore my strong request and urge to the social partners with a positive approach to face and resolve any differences within the framework of the law, regulations, collective agreements and the Code of Industrial Relations.
Ladies and Gentlemen,
The Government, sensitive to the challenges of the times, declares itself present and ready to face them, always with the best interests of citizens in mind, safeguarding the principles of social justice, equality and cohesion. Our struggle and our efforts do not stop, but are instead strengthened with a view to continuous development and improvement. In this struggle we are confident that we will have you as our companions.
In conclusion, I want you to know that I stand before you with a sense of responsibility and reaffirm the Government's commitment to continue to work tirelessly to create such conditions for a prosperous society, always recognizing the decisive presence of the trade union movement, in a spirit of cooperation, mutual respect and common objectives for a better tomorrow. With these thoughts, I wish you every success in the work of your Conference.
(NΓ/ΣΧ)
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