Investing in transitions for decent jobs

The world of work has been undergoing profound changes – increased automation, new technology and demographic change, among other factors.

Against this backdrop, it is very important for policymakers to think about how to build resilience into the world of work against future shocks and, equally important, how we can improve the foundation of our economy and our labour market to create decent jobs in sustained and sustainable ways. 

This question is all about structural transformation. It is about how we can move workers and businesses to where there are better opportunities with higher productivity, for instance, to advanced manufacturing, or digital sectors. By providing targeted support and incentives to specific sectors, governments can, inter alia, stimulate inclusive employment growth, increase the labour force participation rate of targeted groups, such as the vulnerable, including women, youth, and people with disabilities, or encourage the transition to formality of informal workers. 

Structural transformation is also about how to improve productivity and job quality within the sector, for example, through better investment in  productive development, skills and training and enterprise development as well as diversifying production and helping to promote jobs in new industries. 

To get there, we need to support a continuous process of transition for workers and businesses toward new opportunities. Social dialogue plays a critical role in supporting these transitions.