Decent work is a cornerstone of sustainable development, playing a vital role in promoting economic equality, social justice, and environmental protection. It encompasses fair wages, safe working conditions, job security, and equal opportunities for all. Recognised as a fundamental objective of the United Nations Sustainable Development Goals (SDGs), decent work directly contributes to achieving peace and justice, fostering climate action, and bolstering economic growth. Addressing this goal is imperative for building a resilient and equitable global society.
The challenge and the economic opportunity
Global inequalities in employment opportunities persist, with approximately 208 million people worldwide unemployed in 2023, according to the International Labour Organisation (ILO). Modern slavery and child labour affect over 50 million people globally, creating urgent ethical and humanitarian challenges. By focusing on fair wages, safe working conditions, and social protection, governments and organisations can unlock significant economic potential.
Decent work drives economic growth by increasing productivity, strengthening consumer spending, and fostering innovation. The World Bank reports that nations with strong labour protections and inclusive employment policies experience higher GDP growth rates and reduced income inequality.
Facts, figures, and solutions
1. Fair wages: The global gender pay gap remains at approximately 20%, limiting progress toward gender equality. Closing this gap could add $12 trillion to the global economy by 2025, as per McKinsey Global Institute.
2. Safe working conditions: The ILO estimates that workplace accidents and diseases cost the global economy 4% of annual GDP. Enforcing occupational safety standards reduces these losses while improving productivity.
3. Job security: In 2022, over 50% of the global workforce was employed informally, lacking access to benefits and stability. Transitioning informal workers into formal employment systems could create a significant economic boost by broadening tax bases and enhancing social protections.
4. Social dialogue: Countries with active social dialogue frameworks report higher productivity growth and reduced income inequality, demonstrating the economic benefits of fostering collaboration between governments, businesses, and workers.
Real-world initiatives driving economic transformation
Efforts to create decent work and spur economic growth are evident in multiple sectors. The International Trade Union Confederation (ITUC) champions labour rights and justice and strong institutions, enabling workers to contribute effectively to economic development.
In Ethiopia, the Hawassa Industrial Park integrates eco-friendly policies with job creation, employing over 30,000 people while reducing environmental impact. Similarly, Kenya's M-Pesa platform has expanded access to financial services for small businesses, stimulating entrepreneurship and regional economic activity.
The European Green Deal links the transition to a low-carbon economy with decent work creation, aiming to generate 1 million green jobs by 2030. Such initiatives exemplify how sustainable employment practices can fuel both economic expansion and environmental protection.
Global collaboration & economic growth
Achieving decent work globally requires coordinated efforts from the global society, governments, and private sector stakeholders. International cooperation drives innovation and reduces trade barriers, enabling nations to benefit from shared expertise and resources. Science-based policies and investments in education and skill development are essential for fostering a future-ready workforce capable of addressing climate challenges and advancing economic growth.
Creating decent work is more than an economic imperative it is a moral obligation and a catalyst for sustainability and economic growth. By fostering justice and strong institutions, promoting gender equality, and prioritising environmental protection, the global community can achieve long-lasting impacts on prosperity and well-being. Continued commitment to the global goals ensures a resilient and equitable future for all.
Discover related initiatives and ways to get involved in achieving decent work and economic growth through resources like UN SDG 8 and European Green Deal.