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Labour productivity levels have increased in South Asia and the share of working poverty has decreased significantly, according to an International Labour Organisation (ILO) report released in New Delhi on September 2, 2007.
The report ‘Key indicators of the labour market' shows an increase in productivity in South Asia measured as output per person employed from $5418 in 1996 to $7998 in 2006.
However, the report points out that 1.5 billion people worldwide, or one-third of the working age population, is “potentially underutilised”. This includes the 195.7 million unemployed people in the world, and the 1.3 billion working poor who live on less than $2 a day. Further, about one-third of the working age population is not participating in labour markets at all.
The report says that while the unemployed want to work but lack the opportunities to do so, the working poor have work but half of them do not earn enough to escape poverty.
A new indicator introduced this year related to vulnerable employment. Vulnerable workers tended to lack “any type of social dialogue”, social protection schemes, social security or retirement benefits.
With some 6 billion people on the planet and 3 billion in the labour force, the number of working poor stood at about 1.3 billion and the vulnerable indicator at 1.5 billion. Half the world's labour force was at risk of being vulnerable. To have an impact on poverty alleviation, it was important to focus on “the world of work”.
The report said that South Asia has an enormous deficit in decent work (defined as labour that is productive, delivers a fair income, security in the workplace, social protection, and allows people to express their concerns, organise and participate in the decisions that affect their lives) but if the region can manage to develop as it has in recent years, it can reach the goal of halving poverty.
The report uses 20 indicators including type, status and levels of employment, remuneration and characteristics of jobseekers.
September 10, 2007
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