RENGO held the 30th session of its Central Committee on 29 and 30 June, where it confirmed the demand for an urgent employment measure and supplementary budget, having regarded the government's measures for employment creation and industry competition enforcement as being insufficient.

Details of RENGO's demands for urgent employment measures and supplementary budget

1. Implementation of urgent employment measures, including job creation and support for the unemployed (5 trillion yen)

1.1 More than one million job creation (3 trillion yen)
A measure to create more than one million jobs in socially required areas in the future should be included in the supplementary budget and be immediately implemented.

1.1.1 Direct job creation by the central and local government and support to the private sector in creating jobs

a) Care and welfare work (450,000 jobs)
b) Education (300,000)
c) Day care (50,000)
d) Forest, park and river improvement work (200,000)

1.1.2 Job creation by front]load spending on public works projects in the areas of environment protection and house building

a) House improvements, including barrier-free houses and solar cell (200,000)
b) Station and pavement improvements (25,000)
c) Environment protection, such as measures to deal with dioxin and industrial disposals (50,000)

1.1.3 The government should provide financial aids to local governments in implementing above-mentioned projects. The central and local government should indicate the number of jobs to be created in the projects and announce the result of achievement assessment.

1.2 More than one million job creation (2 trillion yen)

1.2.1 Strengthening an employment-supporting policy for the unemployed.

a) Requirements by the nation-wide allowance extension system of the employment insurance (Article 27) should be relaxed and the duration of the system should be extended by 90 days.
b) The duration of the training extension allowance, which is now 6 months, should be extended to 12 months.
c) The employment promotion allowance provided for by the employment measures Act, all of those subject to employment insurance should be entitled to receive additional allowance for 150 days.
d) It should be regulated in the earliest stage that job offers do not specify the age limit.

1.2.2 Drastically strengthening projects for human resource development and vocational training

a) Human resource development projects for white-collar workers should be strengthened.
b) Vocational training projects for the newly graduated unemployed should be initiated.
c) There should be support to vocational training aimed at adapting to new technologies that are implemented by social partners.

1.2.3 Implementation of financial aide for the unemployed in paying back housing loan and for financing education of the their children'

a) A measure should be taken to delay the payment of housing loan for the unemployed.
b) Student grants should be provided to children of the employed.

2. Measures to promote new business and to enhance the competitiveness (1.5 trillion-yen)

2.1 Measure to promote new industries

2.1.1 Assisting small and medium enterprises in the new technology-related industry, such as biotechnology and information
2.1.2 Strengthening environment, recycle and energy saving businesses in terms of finances and taxes
2.1.3 Promoting manufacturing in small and medium enterprises and initiating human resource development for promoting manufacturing
2.1.4 Providing additional credit guarantee to small and medium enterprises
2.1.5 Enhancing promotion projects for venture businesses
2.1.6 Delaying the payment of social security premium for small and medium enterprises

2.2 Employment security and the establishment of right to bargain collectively in strengthening the competitiveness of industries
In formulating measures to strengthening the competitiveness, such as reorganising enterprise structure, division of enterprises and stock holding companies, employment security should be a condition. Rights of collective bargaining and prior consultation should be guaranteed. When public bodies purchase plant site and transform the debts into stocks, the responsibility of an enterprise concerned should be clarified.

3. Implementation of additional economic packages for consumption/economic recovery (7 trillion yen)

3.1 Increase the State's share to a half to ensure reliable pension scheme (2.2 trillion yen)
The State's share in premium for the basic pension should be increased from one third to a half from the FY 1999 on. It should be indicated in the earliest day that the scheme is run by tax.

3.2 Stimulating consumption by expanding the children allowance system and providing extraordinary allowance for the aged (4 trillion yen)

3.2.1 The age limit for the children allowance should be shifted from the age of three to fifteen and the current allowance should be doubled (10,000 yen for the first of second child and 20,000 yen for the third child)
3.2.2 Allowance of 5,000 yen should be monthly provided to the aged subject of the aged pension, that is those with the income of less than 3 million yen, until the economy is fully recovered.

3.3 Enhancing measures for environmental protection

3.3.1 A measure to reduce the emission of dioxin should be strengthened. Furthermore, the subsidy to the construction of garbage works should be increased form a quarter to a half. (550 billion yen)
3.3.2 Patrols regulating illegal disposals should initiated. Projects should be implemented to restore forests and rivers polluted by illegal dumping to the original state. (250 billion yen)