State Secretary Olav Kjørven

Fair globalization, creating opportunities for all

92nd International Labour Conference, Geneva, 7 June 2004

Fair globalization, creating opportunities for all, is indeed one of the more pressing issues of international affairs at the beginning of this Millennium. Fairness and inclusion are not only ends in themselves, but equally important as a means to achieving social stability and sustainable peace.

On behalf of Norway, I would like to thank presidents Halonen and Mkapa, and all the members of the World Commission, including the Director General Juan Somavia, for making these points abundantly clear to all of us.

Knowing the Director General and what he stands for, I was not at all surprised to receive his impressive report on the role of the ILO in the follow-up of the Commission’s report. Congratulations!

You have given us ample food for thought - on the issue as such, on the role of the ILO, and not least - on our own roles as member states and ultimate owners of this and all other relevant intergovernmental organizations.

Norway fully agrees that time has come to make the social dimension, and particularly Decent Work for All, a global goal. We agree that we must move beyond the current state of affairs, where quality employment is treated as merely an expected outcome of our pursuit of economic targets such as low inflation and increased trade liberalization. Decent Work for All must be made an end in itself, not only in the corridors of the ILO and in labour ministries or trade unions, but throughout economic policies, both at the national and the international levels.

Because, as recent surveys show: If you ask the poor themselves, access to work or starting business on their own are the most important avenues out of poverty!

Director General,

We welcome your call for revitalizing the ILO. To Norway, such revitalizing should have two dimensions, recalling that you have an integrated economic and social mandate and not least, recalling your unique tripartite structure:

Firstly, on the action of the ILO: Recognizing that respect for core labour standards - in each and every country of the globalized economy - is vital to achieve fair and sustainable development; you should strengthen your efforts in promoting decent work and labour standards at the country level, in close cooperation with member states, workers and employers, and within the framework of the overall UN efforts, thereby contributing actively to achieving the Millennium Development Goals.

A more vital and action-oriented ILO, promoting labour standards, not only implies more technical assistance and improvement in supervision, monitoring and promotional work. It also implies, as you rightly point out in your report, a more active use of the full normative mandate, including in reaction to cases of grave and persistent abuse, in accordance with the ILO Constitution’s article 33.

We agree that this also calls for increased efforts on behalf of member states, workers and employers. We agree that decent work, socioeconomic floors and proactive employment policies should be given higher priority - in national poverty reduction strategies and in international development cooperation.

Director General,

Let me now turn to the second dimension of a revitalized labour organization, ILO the advocate: We agree, as you also point out in your report, that ILO in staying true to the mandate, has an obligation to anticipate interaction with other relevant organizations.

We therefore welcome the more proactive role you personally have taken in the follow-up of the Commission’s report, advocating this message both in other relevant organizations such as the United Nations, the World Bank, the IMF and the WTO, as well as in member states. A more integrated approach to social and economic policies through better coherence is crucial.

We find several of the proposals to promote such policy coherence worth considering. In the first instance, we would welcome constructive reflection around the suggested Policy Coherence Initiative on global growth., investment and employment. In addition to general improvement in policies, such an initiative could help us find ways to move forwards on the crucial issue of trade.

And again, Director General, as the globalization agenda goes way beyond the ILO, the fruits of your efforts ultimately depend on us - the member states. Coherence starts at home. Norway will therefore actively bring this agenda forward in all relevant organizations, not least in the United Nations, where the General Assembly should be the ultimate forum to ensure fair and sustainable outcomes, also in economic and social policies.

Finally, I would like to bring special attention to a cross-cutting issue of the utmost importance - an issue which both you and the Commission in your reports have emphasized as fundamental to combating poverty and achieving a fair globalization. The issue is formalization of the vast, and in many developing countries rapidly increasing, informal economy.

As eloquently explained by one of your fellow members of the Commission, Dr. Hernando de Soto, the lack of access to secure property rights deprives hundreds of millions of the world’s poorest people from participation in the formal economy, indeed participation in globalization. The often almost insurmountable obstacles to poor people’s open and fair participation in the economy, through property rights, represents a barrier to employment creation and decent work.

This needs our immediate attention and should be addressed both at the country level and at the international level. The ILO can and should play an important role.

Today people and leaders in developing countries and economies in transition in many parts of the world seem to understand the importance of property rights for economic development far better than most industrialized countries – perhaps because we’re blind to their impact on our own history.

I thank you, Mr. Somavia, for taking on this challenge and inviting everyone present to join in the debate on how best to respond to the call from the poor: “Give us a chance to make a living!” Most poor people are not asking for handouts. They are asking for the opportunity to start a business og find a decent job. Let us pay attention. This is fundamentally a question of governance, and, as the Director-General pointed out, good governance at both national and global levels must go hand in hand. We must all accept and embrace responsibility. This is the road to fairer globalization.

Thank you.