Enhancing Linkages between Universal Social Protection and Employment for Decent Work
A total of 2 billion workers – 61.2 per cent of the world’s employed population – are in informal employment and most of them are among the 4.1 billion people who do not have any access to social protection or are inadequately protected. Extending social protection coverage to workers in the informal economy is essential for enhancing their income security and access to health care, which can contribute to facilitating their transition from the informal to the formal economy.
At the same time, the formalization of enterprises and employment contributes to a broader contribution and tax base, which creates fiscal space for tax-financed social protection programmes for those who do not have sufficient contributory capacity, potentially triggering a virtuous cycle of development of higher productivity, higher tax revenues and better public services.
There are also other linkages between social protection and decent work. For example, social protection programmes can play an important role in supporting workers to access training or employment opportunities. This requires adequate design in terms of referral mechanisms as well as the availability of quality training and employment services.
This side event to the 61st Session of the Commission for Social Development will showcase country experiences and discuss how to generate synergies between social protection and employment policies for decent work.