30/09/2015 Session
The PACE – enlarged to include parliamentary delegations from the non-Council of Europe OECD member states – called on the OECD and its member states to halt rising inequality and promote inclusive growth and a more equal distribution of income, wealth and well-being. On the basis of a report by Tuur Elzinga (Netherlands, UEL) on the activities of the OECD in 2014-2015, the Assembly underlined that income inequality was at its highest level in OECD countries in half a century.
The resolution adopted today by the PACE called on OECD member states to take steps to raise middle and lower household incomes “to boost demand and purchasing power”. The parliamentarians also called for the strengthening of collective bargaining and (minimum) wages, keeping pace with increased productivity, and for the increase in precarious or irregular work to be halted.
In addition, the text adopted urges governments to curb unproductive financial activities and reform the financial sector “to serve sustainable growth of the real economy”. They must also tackle tax evasion and tax avoidance.
Parliamentarians noted that states were taking steps towards green growth, but considered that much more determined efforts were needed “to integrate environmental priorities into economic agendas”.
Recognising the potential contribution of migration to growth, the Assembly called on the OECD to provide analysis on migration flows and integration and advise countries in finding a response to the current crisis.
“Immigration is an asset and we can turn the ongoing humanitarian migration crisis into a positive economic, fiscal and social outcome,” said OECD Secretary General Angel Gurría, addressing the Assembly. “Much remains to be done to improve the integration of immigrants so that we can all benefit from their energy and diversity,” he added.
Speaking of the global economic and social situation, he stressed that despite some recent progress, the legacies of the crisis remained well anchored, with 42 million people still out of work across the OECD. Regarding inequality, he stated that the gap continued to widen – the richest 10% of the population in the OECD earning nearly 10 times the income of the poorest 10%. “Our economies, are not working for all; they need to be rethought through better economic models. He also called for “a fairer and more effective international tax system”.