ECONOMIC SETBACKS WILL INEVITABLY THREATEN SOCIAL DEVELOPMENT, CHINA TELLS COMMISSION FOR SOCIAL DEVELOPMENT

16 February 1999

Press Release
SOC/4491

ECONOMIC SETBACKS WILL INEVITABLY THREATEN SOCIAL DEVELOPMENT, CHINA TELLS COMMISSION FOR SOCIAL DEVELOPMENT

19990216 Says Global Social Development Negatively Affected by Recent Financial Crisis; Commission Continues Consideration of Priority Theme: Review of Social Summit

Setbacks in economic development would inevitably threaten social development, the representative of China told the Commission for Social Development this afternoon, as it continued its consideration of the overall review of the implementation of the outcome of the 1995 World Summit for Social Development.

Since economic and social development were interdependent, global social development had been negatively affected by the recent financial crisis, he noted. It would be beneficial to hold the special session of the General Assembly to analyse the experiences, achievements and problems in the field in the last few years, and then launch further initiatives to realize Summit goals. While the Summit had promoted efforts in the social development field, the overall situation around the world gave little cause for optimism.

The Deputy Director-General of the International Labour Organization (ILO) said the effectiveness of safety nets and income maintenance programmes were dependent on accurate and timely information on where the financial crisis had affected employment and income-producing activity. In addition, the financial crisis illustrated that emergency support initiatives were short-lived and must be connected to longer-term strategies. The crisis also stimulated a growing awareness of the importance of long-term strategies for stable and sustainable employment creation.

Further, she continued, the crisis had contributed to an appreciation for the policy framework that highlighted social development and respect for basic human rights as crucial elements for minimizing the effects of future crises. The ILO's new Declaration of Fundamental Principles and Rights at Work -- which drew on the Summit's ground-breaking work -- recognized that core labour standards were essential for the achievement of full employment and sustainable livelihoods.

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The representative of the Democratic People's Republic of Korea said international cooperation should be undertaken in keeping with the actual country situations and be based on respect for national sovereignty. Any attempt to apply the social development standards of a country or group of countries as a universal model should be rejected. In particular, developed countries should refrain from imposing unjustifiable economic sanctions against, and offering conditional assistance to, specific countries in pursuit of their political and strategic interests.

The Director of the Inter-Parliamentary Union Liaison Office with the United Nations said that the realization of Summit commitments called for the involvement of all branches of the State structure, as well as society as a whole. Parliaments were indispensable in providing the legislative framework for social development and, through a variety of mechanisms, could influence and prompt governmental action to realize the goals set at the Social Summit and monitor their implementation.

As a result of globalization, countries in isolation could make no headway in social development, said the representative of Cuba. Social structural adjustment programmes would not be able to meet the economic and social needs of countries without a democratic restructuring of the international financial institutions. Also, unilateral coercive measures which impeded international trade had to be rejected.

In other matters this afternoon, the Chairman of the Commission, Aurelio Fernandez (Spain) introduced a proposal by the Commission's bureau on the initiation of the overall review of the implementation of the outcome of the Summit.

Statements were also made by the Deputy Minister of Labour and Social Welfare of Croatia and the representatives of Brazil, France, as well as the NGO Committee on the Family and the World Association of Girl Guides and Girl Scouts (who also spoke on behalf of the International Federation of Settlements and Neighborhood Centers).

The Commission will meet again at 10 a.m. Wednesday, 17 February, to continue its consideration of the overall review of the implementation of the outcome of the World Social Summit.

Commission Work Programme

The Commission for Sustainable Development met this afternoon to continue discussions on one of its priority themes: initiation of the overall review of the implementation of the outcome of the World Summit for Social Development, held in Copenhagen, Denmark, in 1995. (For details of the documents before the Commission, see Press Release SOC/4482 of 8 February.)

Statements

KATHERINE HAGEN, Deputy Director-General of the International Labour Organization (ILO), said the ILO had concentrated on a process of country employment reviews. All of those reviews and related consultations noted the importance of Member States designing and formulating policies and programmes leading towards a state of full employment. Each of the regional consultations had produced a set of conclusions reflecting the specific concerns of each region. The ILO had been deeply involved in working with those countries and social partners that had been most directly affected by the recent financial crisis. That crisis had triggered ILO action in four particular areas.

First, she said, it was clear that the effectiveness of safety nets and income maintenance programmes was dependent on accurate and timely information on where the crisis had actually affected employment and income producing activity. Second, the crisis had illustrated the importance of certain approaches to the short-term needs of income generating activities for those whose jobs had disappeared or whose incomes had dramatically declined. Emergency support initiatives had shown that they were inherently short-lived and must be connected to longer-term strategies.

Third, she continued, the crisis had stimulated a growing awareness of the importance of long-term strategies for stable and sustainable employment creation. Active policies to focus on the quality of employment, on workforce preparedness and skill formation, employment security and the elimination of discrimination were very much a part of the way in which a free and globalized market could be harnessed for the benefit of all people. Finally, the crisis had contributed to an appreciation for the institutional and policy framework of social development and respect for basic human rights as crucial elements for avoiding or minimizing the effects of future crises.

She said the ILO's new Declaration of Fundamental Principles and Rights at Work was the most important new initiative that her organization brought to the follow-up to the Social Summit. It drew on the groundbreaking work by the Summit and recognized that core labour standards were essential for the achievement of full employment and sustainable livelihoods.

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YU WENZHE (China) said that even though the Summit promoted efforts in the social development field, the overall situation around the world gave little cause for optimism. Since economic and social development were interdependent and interacted, global social development had been negatively impacted by the recent financial crisis. It would be beneficial to hold the special session to analyse and sum up the experiences, achievements and problems in the field in the last few years, and then launch further initiatives to realize Summit goals.

He said that, with regard to further initiatives, in addition to providing an account of the implementation of the outcome of the Summit, national reports, submitted on a voluntary basis to the Commission, should also contain an account of the implementation of commitments regarding international cooperation, such as debt reduction. That would enable the special session to conduct a comprehensive review and appraisal of the implementation of the Summit's outcome.

Setbacks in economic development would inevitably threaten social development, he continued. He appealed to countries, especially developed ones, to increase cooperation and make concrete efforts to maintain global financial stability and economic growth, thereby providing global social development within an enabling environment. Also, the United Nations and relevant international organizations, in light of such new developments as economic globalization, should study and formulate a more concrete and operational programme of action for social development. In drawing up a work programme for the year 2000 and beyond, the United Nations system should also attach importance to social development and, in particular, give attention to the difficulties of developing countries.

VERA BABIC, Deputy Minister of Labour and Social Welfare of Croatia, said the main prerequisites for social development were the creation of an enabling environment and the eradication of poverty. Croatia's priorities lay in the further strengthening of democracy and implementation of social policy. Social and employment policies provided the main tools for the fight against poverty and the prevention of social exclusion. The priority goals of her Government were reconciliation and social integration in territories destroyed by war. In order to accomplish those goals, it was necessary to re-establish normal life through the development of infrastructure, as well as the promotion of mutual understanding and co-existence.

She said the programme of reconstruction in her country was trying to promote social and economic reintegration of returnees by encouraging economic revitalization and employment. Her Government saw the process of reintegration as the single fundamental route towards sustainable development and the fight against social exclusion. Since 1995, the social component of the Croatian budget had increased. In the course of the last four years, the

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State had set, as a priority, regulation of all its obligations connected with domestic and public debt.

She said the current situation had enabled an increased and comprehensive engagement in what was perceived to be the most significant area of activity -- the issue of employment. In 1998, the Croatian National Parliament adopted a National Employment Policy, with a programme of measures for the reduction of unemployment and the promotion of new job opportunities. In implementing all the measures mentioned, her Government was also giving special attention to the promotion of the role of women and their contribution to overall progress.

MARCELA MARIA NICODEMOS (Brazil) said that it was important to the success of the special session that all countries engage in a serious and open dialogue about such issues as globalization, the volatility of international financial markets and development financing. The issue of poverty eradication was even more pressing now than four years ago. Most policies of poverty eradication were based on: creating productive employment and generating income; improving the access to social services; and promoting universal education. The real challenge was, again, how to finance those policies.

Social development could not be achieved without social participation, she said. Social development required concerted action both by governmental institutions and organizations of civil society. It was inconceivable to think of productive employment without also engaging trade unions and the private sector. Gender equality would not be a reality without the participation of the women's movement. Access to quality education and health services demanded the participation of the beneficiaries and the professionals. The non-governmental organization community needed to be a full participant in the entire process. For that reason, it was vital to engage representatives of civil society in reviewing the implementation of the Summit's outcome.

LI HYONG CHOL (Democratic People's Republic of Korea) said that it was important for countries to set time-bound goals and targets for reducing unemployment in planning their social development policies. Also, social integration should be promoted through the adoption of legislative and administrative measures to encourage equal and free participation of people of all social strata. Further, attention should be directed towards the legal and practical realization of gender equality, through the elimination of gender-related discrimination.

International cooperation in the field of social development was one of the components of the follow-up to the Summit, he said. Due to cultural traditions and differing socio-economic conditions between countries, international cooperation should be undertaken in keeping with the actual

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situations of the countries, based on the principle of respect for national sovereignty. Any attempt to apply the social development standards of a country or a group of countries as a universal model should be thoroughly rejected. In particular, developed countries should refrain from imposing unjustifiable economic sanctions against, and offering conditional assistance to, specific countries in pursuit of their political and strategic interests.

ANNIE DE CALAN (France) said it had been almost a year since her Government had begun a programme of action against marginalization, in an effort to reduce the increasing inequalities that existed in the country over the last 15 years. The Anti-Exclusion Law, adopted last summer, was the first part of that measure, which included four other texts that were now being drafted. As a result of adopting the anti-marginalization law, a number of improvements had occurred. Dialogue had been promoted among stakeholders. Now, everyone had access to fundamental rights. The prevention of marginalization had been implemented in a proactive manner aimed at the most vulnerable people in society. In addition, the quality of services had been addressed positively.

She said the Secretary-General was concerned about the drop in official development assistance (ODA). France's contribution in the area of ODA was $6.35 billion. That made it the second largest donor after Japan. France was also the leading country among the seven most industrialized countries in ODA. Those figures attested to her country's commitment to helping the poorer countries. While aid was necessary, it was not enough to attack the ills that plagued society. She hoped that the year 2000 special session of the General Assembly would result in an agreement on a poverty eradication strategy. The fight against poverty and for common dignity was now the common goal of the international community, she said.

SANTIAGO ROMERO-PEREZ, Director of the Inter-Parliamentary Union Liaison Office with the United Nations, said that the realization of Summit commitments called for the involvement of all branches of the State structure, as well as society as a whole. Parliament played a crucial role in enacting legislation in every field and was, therefore, indispensable as the vehicle which provided the legislative framework for social development. It did so through: the ratification of international conventions and agreements; the adoption of implementing legislation; the enactment of new laws and the harmonization of existing laws; and the adoption of the national budget. Through a variety of mechanisms, parliaments and their members were in a position to influence and prompt governmental action to realize the goals set at the Social Summit and monitor their implementation.

The Union had facilitated a strong parliamentary presence during the Summit and had organized a meeting of members of parliaments on that occasion to discuss last minute developments regarding the preparation of the Summit's

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Plan of Action and to discuss parliamentary strategies for effective follow- up, he said. Since 1996, the Union had been vigorously promoting concrete activities which would contribute to the Summit's implementation. It was keen on continuing its efforts to feed into the evaluation, which the United Nations would undertake as part of the Copenhagen +5 process. To that end, the Union had issued a questionnaire aimed at seeking the views of national parliaments on a number of concrete issues relating to the Summit follow-up at the national and international levels.

RAFAEL DAUSA CÉSPEDES (Cuba) said that the Summit had acknowledged that human beings were the focus of any development policy. However, that was the beginning of a long and hard road. In the 1990s, the gulf between the rich and the poor grew. Countless obstacles still stood in the way of making social development a reality. Many of these were of a structural nature and had to be tackled immediately. Political will was also key, in that regard. While the resources were there, they were wasted in their allocation. It had been impossible for most third world countries to make progress. While the primary responsibility was on governments, as a result of globalization countries could not, in isolation, make headway in social development.

One of the priority areas that had to be addressed was the international mobilization of resources for development, he said. Moving forward with general and complete disarmament would free up the necessary resources for development. External debt continued to impose obligations that compounded the draining of precious resources of developing countries. The Heavily Indebted Poor Countries (HIPC) Debt Initiative had no real effect and had failed to resolve the problem. Social structural adjustment programmes would not be able to meet the economic and social needs of countries, if a democratic restructuring of the international financial institutions did not take place. Also, unilateral coercive measures, which raised measures to impede international trade, had to be rejected.

ROSINA SANTA OLALLA, Deputy Chair of the Vienna NGO Committee on the Family, said her organization was a platform of some 60 international non- governmental organizations concerned with families and promoting the family in the field of social development. The Committee played a key role before and during the International Year of the Family in 1994 and collaborated very closely with the United Nations on that commemoration. Of high priority was the Committee's long-standing contacts with Central and Eastern European countries, where family related organizations felt a strong need to cooperate, exchange views and experiences and to learn about the various ways to approach problems.

She said role of the family was crucial for providing such services as nurturing, health care, clothing, housing and care of the elderly and disabled. The Committee suggested that, in the follow-up to the Copenhagen

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Summit, due consideration should be given to the impact of developmental strategies and policies on the family and vice versa.

LESLIE WRIGHT, a representative the World Association of Girl Guides and Girl Scouts, and on behalf of the International Federation of Settlements and Neighborhood Centers, said that in every country, extreme poverty continued to rob young people of their dreams and aspirations, replacing a future of possibilities with despair, hopelessness and resignation. Extreme poverty rendered countless young men and women silent and invisible, and robbed humanity of their vital contribution towards peace and development. She hoped that the year 2005, the twentieth anniversary of the International Youth Year, could be dedicated to highlighting the indispensable contribution of young people in the fight to end extreme poverty.

She also asked that in the year 2001, the International Year of Volunteers, a working group be established to examine the feasibility of establishing official United Nations recognition of volunteer corps. That would facilitate the procurement of three to four year visas, frequently a deterrent to youth participation in working with the very poor outside of their own countries. International recognition would also represent the international community's appreciation of the long-term commitment by volunteers working to eliminate poverty.

AURELIO FERNANDEZ (Spain), Chairman of the Commission, introduced the proposal of the Commission's bureau on the possible outcome of its work, in particular concerning the question of the initiation of the overall review of the implementation of the outcome of the Summit. It was hoped that the Commission would adopt the draft resolution on Friday. The preamble of the proposal describes the decisions adopted by the General Assembly and the Preparatory Committee in May 1998, as well as the mandate of the Commission.

By the terms of the text, the Commission would welcome the reports of the Secretary-General on the preliminary assessment of, and on further initiatives for, the implementation of the outcome of the World Summit for Social Development. It would request the Secretary-General to update, as appropriate, those reports before its presentation to the first substantive session of the Preparatory Committee in May, taking into account the proposals and suggestions made during the discussions in the Commission, as reflected in the annex to the resolution. Further, it would decide to transmit the annex to the Preparatory Committee at its first substantive session. Annexed to the resolution would be the summary of views and proposals expressed on the initiation of the overall review of the implementation of the outcome of the World Summit for Social Development.

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