The Government would have to seriously square up to equality issues, such as the lack of child-care facilities, which prevents many women from working, under the new EU guidelines on unemployment.

Speaking after the Summit, the Taoiseach said that the Government would be working to address these issues as part of its commitment over the next few years.

However a disappointment for Mr Ahern at the conference was that the Government is unlikely to be successful in its attempts to reverse and EU decision to abolish duty free zones from July, 1999.

The Taoiseach raised the issue yesterday but admitted it received very little support from other member states.

"I do not see a great deal of support for our argument on this issue. While we enjoyed good support in 1992 it does not seem to be there now," Mr Ahern said.

The Irish Government has estimated that the abolition of duty free would result in severe jobs losses in Ireland, with up to 140,000 understood to be based in the sector.

Mr Ahern said he would continue to press the issue.

Meanwhile, there was some good news for Ireland as attempts by France and Belgium to impose tougher corporation tax rules were defeated at the summit, following strong opposition from Britain and Germany.

Mr Ahern said that the comparatively low number of women joining the Irish workforce would also have to be addressed. "The lack of child care facilities is clearly an issue that will have to be addressed. As part of the Government's commitment over the next few years we have to address the tax issues and we are trying to do that. We are also encouraging Government departments and agencies and the private sector to make facilities available," the Taoiseach said.

He added that many of the Government initiatives aimed at reducing Irish unemployment already fall within the new EU guidelines approved at the EU Jobs Summit.

Mr Ahern said that while most of the current Government-backed employment schemes, and Partnership 2000, already meet the new guidelines, these efforts would now have to be intensified. "The Government will have to intensify its efforts, particularly in tackling unemployment among young people and the long-term unemployed."

The new guidelines mean that Ireland's progress in tackling these issues would be closely monitored by fellow member states. The Government would now begin drafting its plan of action for reducing unemployment in Ireland, setting out specific targets to be achieved over a fixed period. The Taoiseach said this action plan would be ready for the EU summit during the British presidency which will be held in Cardiff next June.

"We will be spelling out clear targets for reducing long term unemployment. We have already made good progress with unemployment now likely to fall to just under 10 per cent this year," Mr Ahern said.

Many of the new jobs, he believes, would be created within the small and medium-sized business sector which should benefit from the significant increase in EU funds that are to be channelled into supporting jobs growth in this area.

Mr Ahern said the summit had been "very useful" stressing that it shows that Europe is now united in tackling the problem of unemployment.

At the meeting, he said the EU Council had achieved its objectives, in endorsing the guidelines that would give member states the necessary flexibility to cut unemployment.

The monitoring structure will put considerable pressure on member states to overcome the greatest problem now faced throughout Europe, he said.

This process will be similar to that under which member states will be judged to qualify for European and Monetary Union, and are the first to be specifically applied to unemployment.

"There is a need for greater co-ordination of EU wide employment policies. Employment is still and issue for individual states and there is still very much to be done in Ireland to tackle unemployment."