1. Decent Work led Economic Development Process

2. What is Decent Work? Work that is productive, gives fair income,
security in the workplace & social protection for the family,
equal opportunities & treatment,
better prospects for - personal devt & social integration,
freedom to organize & participate in decision making
concept of decent work encompasses both individual and collective dimensions (C87 & 98)

3. Decent Work: nationally defined goal thru tripartite dialogue, based on national context & needs
No Ceiling, Perpetual
progress
Relative & multiple paths
A universal social floor
All who work have basic rights at work: freedom from oppression and discrimination, freedom of association, the right of children to learn and develop rather than work, freedom of choice in work
But it is relative
Everybody, everywhere, has a sense of what decent work means in terms of their own lives, and in relation to their own society.
The full realisation of universally accepted principles requires time and will very much depend upon national conditions and policies.
There is no ceiling
The realisation of decent work is in perpetual movement,. The threshold of what is sees as “decent” advances with economic and social progress, and reflects the priorities which each society sets.
Social Floor
basic rights at work 3

4. Decent Work to be achieved thru actions on 4 pillars
productive employment &
sustainable enterprises
Standards &
basic rights at work
social protection/
social security for all
Promotion of Social dialogue,
Including Collective bargaining

5. What is the current situation in Asian countries?
Employment?
Wages and collective bargaining?
Social Protection?
Labour standards & workers rights?

6. Growth not generating adequate employment [2001-2008]
Source: Report of the DG 15th Asia and the Pacific Regional Meeting, ILO

7. Wages lag behind productivity
Output per worker in Asia grew on average by 4.1% p.a. between 2000 & 2009, much higher than in the rest of the world 0.4%)
East Asia: averaged 8.3% p.a., followed by South Asia at 3.9% & South-East Asia at 3.0%.
BUT average real wages grew by only 1.9% per year
Leading to decline in labour’s share of national income and contributing to rising inequality & restricted domestic markets.

8. & Decent Work?
About 1.1 billion workers, or 60% of the region’s workers, are in vulnerable employment;
{South Asia: 77%, South-East Asia: 62% and East Asia:51%}.
in terms of gender: 63% of women & 58% of men are in vulnerable employment.
While extreme poverty has reduced, still about 73% of the world’s working poor are in Asia –
422 million workers living with their families on less than US$1.25 per day.

9. Percentage of workers living in poverty and extreme poverty, 2000 and 2009

10. What is also needed is policies that promote ‘decent work’.
Economic growth is necessary But not sufficient condition.
What is also needed is policies that promote ‘decent work’.

11. Acceptance of Decent Work as a goal implies changing approach and policies towards labour, employment & economic growth.
In Asian context, what changes are needed in development policies for promoting decent work?

12. Global Economic Crisis: at least one lesson for Asia
Over dependence on exports & western markets
Almost 60% of final demand for Asian goods comes from developed countries. Exports account for about 47% of developing Asia’s output - In Indonesia, Korea, Taiwan and Thailand exports contributed over 60% to growth
(Source: )
For economic & social stability at home - Asian countries also need development & expansion of domestic markets – this implies Decent Work & respect for fundamental labour standards.

13. Why Labour Standards?
Are labour standards only a question of ‘rights’ of workers?
What role do FoA, Collective Bargaining, Social Security & safe & healthy working conditions play in economic development?

14. Limitations of Export led model
Export led model requires becoming internationally competitive by keeping wages low, suppressing domestic consumption and keeping exchange rate of the currency low (weakening of domestic currency) – with this model, employment does not increase much since domestic demand and domestic market remain limited. Gains from growth are invested abroad (often).
Moreover, if all countries are becoming export oriented, competition increases, prices keep falling and gains start declining.

15. Wages & labour standards led model
Requires wages to grow along with labour productivity – increases domestic demand and domestic market
When wage employment increases, the self-employed also enjoy an increase in demand for their products.
Same effect on the economy if labour standards are ensured - since standards enable sharing in gains of growth & spread of purchasing powers.
Requires respect for collective bargaining and effective minimum wage increases

16. Productivity
What is it? Difference between productivity & work intensity
Productivity increases – enabling condition for employment growth – employment growth occurs not in countries/industries/ activities where wages are falling but in those where productivity is rising faster than wages
What is essential is - sharing of gains from productivity – for which FoA & Right to CB and pro-active minimum wage policy essential

17. Negotiating for Change at National level …
Ensure Right to Organize & Right to Collective Bargaining!
Set nationwide floor labour standards –that apply to all workers & employers (de-link labour standards from permanency of employment); Roof to be attained thru Collective Bargaining – the right to which should be ensured.
What should be these minimum standards?

18. Challenges Growth first? And decent work later?
Are workers rights a matter of only ‘human right’ only? Or do these rights have a development role to play? (FoA & CB rights) - What is the place of fundamental rights of workers in growth strategy?
Do unions have the capacity to play a participative role in economic development and promotion of decent work?
Information base & research capacity of the union