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Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland, 1 Decent Work for All – bridging the Economic and the Social (and.

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Presentation on theme: "Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland, 1 Decent Work for All – bridging the Economic and the Social (and."— Presentation transcript:

1 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland, timo.voipio@formin.fi 1 Decent Work for All – bridging the Economic and the Social (and the Environmental) dimension of Sustainable Development ? International Development Economics Associates Employment Conference in Nairobi 25-27 Jan, 07

2 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 2 Disclaimer: BRAINSTORMING, not (necessarily) official policies of MFA-Finland

3 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 3 Recipes for Sustainable Employment Generation ? - No! – Employment/DW are new topics for donor agencies I came to learn from you - Yet, in UN-meetings governments have to pretend that we have the answers: Please see the EU Main Statement in UN- ECOSOC on Decent Work (drafted by myself) Comments, criticism, advice would be most welcome!

4 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 4 Recipes ? – Perhaps these: 1) Place employment creation at the centre of macro-economic policy 2) Focus on production rather than trade only. and domestic/cross-border mkts vs. exports only 3) Support ministries etc. responsible for employment & social policy (build capacity to articulate EMPL/SOC to Min.of Finance) 4) Priority: Youth Employment Crisis 5) Invest into People: Employability, skills & social protection: Unlock human capital & entrepreneurship through credible risk mngt movement into higher risk/higher return activities.

5 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 5 Now: AFRICA - Whom to trust? Mapping the donors: 1) UN: Summit-05, ECOSOC-06, CSocD-07-08 2) ILO (+ World Commission for SDG + Helsinki-process 3) World Bank 4) OECD/POVNET 5) AU/NEPAD/SADC/EAC/ECOWAS 6) EU/EC

6 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 6 SOCIAL -security & protection -inclusion & dialogue - rights & equality, incl. gender equality Employment,entrepreneur- ship, skills, finance, mkts DECENT WORK FOR ALL - Bridging the ECON / SOC

7 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 7 Decent Work or Any Work - Is Decent Work an appropriate concept for Africa / Global South ? Yes. Defined not only as: - jobs (8-16) - formal sector But: All Work for a Living, and social protection for those too young, old, disabled, etc. to earn their secure livelihoods through work.

8 ILO (+ UN + EU): Decent Work Country Programmes (DWCP) EMPLOY- MENT Enabling environment, Entrepreneurship, Employability, Skills, Productivity, Competivity SOCIAL PRO- TECTION Extending social security and protection to all, incl. those in the informal sector SOCIAL DIALOGUE Building social concensus on major policy lines e.g. through tripartite negotiations. RIGHTS Fundamental Principles and Rights at Work e.g. ILO- Conventions + Gender Equality cross-cutting all… DWCP to be part of national PRSs DWCP to be part of national PRSs

9 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 9 SOCIALECONOMIC UN: Rio-1992 Sustainable development = balanced devt ENVIRONMENT

10 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 10 Copenhagen Social Summit-95: FULLSOCIAL PRO-INTEGRATION / DUCTIVE Equity(= Incl+Prot) EMPLOY- (= Cohes.) MENT POVERTY ERADICATION

11 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 11 Focus of global ODA-efforts since Copenhagen: PovRed FULLSOCIAL PRO-INTEGRATION / DUCTIVE Equity(= Incl+Prot) EMPLOY- (= Cohes.) MENT POVERTY REDUCTION

12 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 12 UN Summit-05 + ECOSOC-06 + CSocD- 07 + OECD-POVNET + WB + EU + AU Decent Work for All (MDG-1c?) EMPLOY-SOCIAL MENTPROTECTION / EquityINCLUSION Pro-Poor… People-centred POVERTY REDUCTION

13 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 13 United Nations/Decent Work-1: 1) ILO-1999 + Mkapa/Halonen WCSDG 2004 + Helsinki Process (TZ+FIN+Friends) 2) World Summit, Sept-2005, Para 47: We resolve to support fair globalization and to make the goals of full and productive employment and decent work for all, including for women and young people, a central objective of all relevant national and international policies", 3) International Labour Conference ILC (ILO) June-06 & ILO Governing Body

14 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 14 United Nations/Decent Work-2: 4) ECOSOC, July-2006, Geneva DW as the main theme (Pls give your comments to the EU position!) DWCPs (Decent Work Country Programmes) 5) CSocD, Feb-07 and Feb-08, New York DW as the main theme (+ Mary Robinson/EGI) 6) Africa? (a) Arusha/World Bank Dec05 Kellokoski/Finland Nov-06 (b) AU Social & Labour Affairs Committee African Soc/Empl Policy Frame Johannesburg/SADC Nov-06 AU Soc/Labour Committee, 4/07

15 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 15 United Nations (DESA/UNDP) Policy Guidance Notes: 1) Macroeconomics and Growth 2) Financial Policies 3) Public Investment Management 4) Technology Policy 5) Social Policy ( including Employment) 6) Trade Policy Constructive alternative to WBs PRS Sourcebook Regional & national tailoring, translation, dissemination, training Multi-donor trust fund? (~ or: Good ideas fly…)

16 UN-ECOSOC: Promote Decent Work Country Programmes (DWCP) EMPLOY- MENT Enabling environment, Entrepreneurship, Employability, Skills, Productivity, Competivity SOCIAL PRO- TECTION Extending social security and protection to all, incl. those in the informal sector SOCIAL DIALOGUE Building social concensus on major policy lines e.g. through tripartite negotiations. RIGHTS Fundamental Principles and Rights at Work e.g. ILO- Conventions + Gender Equality cross-cutting all… DWCP to be part of national PRSs DWCP to be part of national PRSs

17 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 17 ILO Employment Strategy Ministers, Commissioners, etc. Agenda: Based on the headlines of the DW Communication: - General - within EU - Trade - Development Conclusions

18 ILO Global Campaign on Social Protection for All (ILC-2001) Towards progressive universalism: –Building progressively higher levels of protection –Based on a basic Social Floor consisting of: u Basic health care for all within a pluralistic system u Child benefits to foster school attendance u Pro-active (self targeting) social assistance and/or employment guarantee schemes u universal pensions in old age, disabilty and loss of breadwinner

19 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 19 Socio-Economic Floor as national and global responsibility ? Minimum insurance needs Income profile B Income profile A Socio-economic floor – ensured by govt/ODA? Higher levels - privately-provided?

20 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 20 ILO/DW Country Programmes-1: ILO Donors Mtng: ILO is WEAK at country level: - Very little TC-budgets, - 40% to Child Labour other pillars? - 40% from US Dept.Labour others? - UNDAF? Other donors? Ministries? Strategy: (a) Influencing national policies (b) Capacity building & legislation (c) Partnerships with richer partners

21 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 21 ILO/DW Country Programmes-2: AFRICA: 16/53 countries (25 in process) TZ: Part of MKUKUTA + MKUZA + UNDAF ASIA/PACIFIC: 10 ready, rest in process EUR/CENTRAL ASIA: 10 ready LAC: 1 ready, 5 in process ARAB: 1 ready

22 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 22 World Bank / Labour Market & Good Jobs MILES to go: Off-spring of WB-work on SocProtection MILES – a proposed framework. Key areas: u M - as macro-economics u I - as investment climate, institutions and infrastructure u L - as labor market regulations and institutions u E - as education and skills u S - as social protection Research on EMPL & DEVT - with German IZA - purely econometric, non-institutional ?

23 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 23 World Banks Big Problem: SOCIAL PROTECTION DEVELOPMENT & LABOUR & SOCIAL POLICY MARKETS - inclusion - accountability - cohesion POVERTY &GOVERNANCE AS ECON.MNGTPARTICIPATORY DEMOCRACY

24 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 24 Ideologies (L/R) or academic identities rule? SOCIAL PROTECTION DEVELOPMENT & LABOUR & SOCIAL POLICY MARKETS Non-economic Economists WDR-06 social scientists POVERTY &GOVERNANCE AS ECON.MNGTPARTICIPATORY DEMOCRACY Conflicting mental maps & competition for results

25 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 25 WDR-2006 – Stronger language Unequal power leads to the formation of institutions that perpetuate inequalities in power, status and wealth These same institutions are also bad for the investment, innovation and risk-taking that underpin long-term growth. To prosper, a society must create incentives for the vast majority of the population to invest and innovate. But possible only when the distribution of power is not highly unequal, and where there are constraints on the exercise of power by office-holders. Cross-country data and historical narratives (e.g Finland) give evidence of Growth through equity.

26 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 26 www.worldbank.org/wdr2006

27 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 27 WB-SocDev: Arusha Conference Dec-05: New Frontiers of SocPol -1 Transformation of subjects and beneficiaries into citizens universal rights & responsibilities Middle-class by-in: Build alliances between the poor and the not-so-poor Role of State: effective & accountable Recognizing power relations & institutions Capacity of states revenue mobilization

28 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 28 Arusha Conference Dec-05: New Frontiers of SocPol -2 Social dimension/Equity in infra, utilities, social services: educ/health/SP Market access for the poor Fiscal policies Migration (internal/external) Citizens organizations/social partners Understanding history, culture, etc. Social Policy at all levels: local, national, global Multi-disciplinarity Not so bad, but…

29 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 29 Criticism in and after Arusha Conference, Dec-05 Why almost no African Voices ?? Is all wisdom on Social Policy really concentrated in US-Universities? Why no European, Nordic, UN Voices? Critical articles in Global Social Policy Journal Sida/UNRISD/Finland: UNRISD Conference + Kellokoski Experts Meeting 1-2 Nov Constructive contribution to UN Commission for Social Develoment (CSocD) 7-16 Feb, 2007 in NYC

30 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 30 Aid

31 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 31 Aid

32 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 32 Aid + ANNEX: Johannesburg Ministerial Declaration and Draft Strategy: TOWARDS AFRICAN REGIONAL SOCIAL POLICIES

33 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 33 African Empl. & Soc.Policies-1 1) AU-Summit 2004 Ouagadougou / Employment and Poverty Follow-up: Sub-regional consultations on Integrated Employment Policies and Programmes for Africa, by AU- Commission, with Swedish/Norwegian funding To build capacity, to harmonize, to monitor, to disseminate best practice…

34 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 34 African Empl. & Soc.Policies-2 2) AU Social Policy Framework (rejected 3 times – South Africa/Zimbabwe disagreements on migration now put aside) 3) NEPAD/AU/SADC/RSA/UN-DESA: Towards (Sub-) Regional Social/Employment Policies for Africa 21-24 Nov, Johannesburg (13 ministers) Empl/Soc Pol. dimension of economic integration, e.g. SADC, EAC, ECOWAS, etc.

35 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 35 Bilaterals: OECD-POVNET/ PPG + SocProt + Empl: 1) 1999-2001: PovRed Guidelines Multi-dimensional poverty + context 2) 2004-2006: Pro-Poor Growth (PPG) through…agric/infra/PSD/SProt/PIA 3) 2007-2008: PPG + SocProt/SocPol + Empl Consultations with country-level Development Partners Groups (= Governments + donor country offices)

36 DAC-01: POVERTY is multi-dimensional SECURITY risk, vulnerability social protection/ social risk management (SRM) POLITICAL rights freedoms voice & influence SOCIO- CULTURAL status respect, dignity ECONOMIC consumption income assets HUMAN health education hunger, thirst GENDER + ENVIRON- MENT

37 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 37

38 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 38

39 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 39 Growth First Revenge or a genuine rethink & consultation with partners in the Global South on: PSD: MM4P + R&V Markets that matter for the poor + Risk and Vulnerability INFRA: IM4P + R&V Infra that matters for the poor AGRIC: AM4P + R&V Growth potential of SSA-peasants 6 x larger on domestic/cross-border food staple markets than in the saturated export markets (IFPRI)

40 ~ Growth First vs. People First ?? SECURITY risk, vulnerability social protection/ social risk management (SRM) POLITICAL rights freedoms voice & influence SOCIO- CULTURAL status respect, dignity ECONOMIC consumption income assets HUMAN health education hunger, thirst GENDER + ENVIRON- MENT

41 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 41 SOCIALECONOMIC Several members: The ECON & SOC & ENV should be in balance: ENVIRONMENT

42 The dimensions are inter-related S/H SECURITY risk, vulnerability social protection/ social risk management (SRM) POLITICAL rights freedoms voice & influence SOCIO- CULTURAL status respect, dignity ECONOMIC consumption income assets HUMAN health education hunger, thirst GENDER + ENVIRON- MENT

43 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 43

44 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 44 SOC.DEV.OPPOSITIONNEO-LIBERALS Hot debates-1

45 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 45 RELATIVEdefinition of PPG ? ABSOLUTEdefinition Hot debates-2

46 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 46 Rel. PPG = Inequality is reduced ? Abs. PPG = Inequality may grow ? Hot debates-3

47 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 47 PATTERN of Growth? PACE Hot debates-4 Unsettled dispute Compromise…?

48 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 48

49 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 49 EMPOWERMENT/ S.SECURITY/ INCLUSION PROTECTION e.g. WDR-2006 e.g. SRM/SP PRO-POOR GROWTH = EQUITABLE & EFFICIENT GROWTH OPPORTUNITIES e.g. PSD, Infra, Agric. PPG results from a balance between empowerment/security/opportunity

50 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 50 Justifications used by donors for focusing on risk and vulnerability Pro-poor growth helps avoid shocks that can derail growth promotes innovation, risk taking and entrepreneurship broadens participation in economic growth focuses on asset accumulation counteracts irreversible asset depletion Rights-based MDGs, basic needs human development / human security (Sen/JICA) global socio-economic floor (minimum standards) & global compact (MDG8) democratic participation and social dialogue sustainable development, lifecycle and inter- generational thinking

51 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 51 Task Team on Social Protection and Social Policy: Social Protection = 1) Growth: Key factor in Pro-Poor Growth (PPG) 2) Human Rights: Responsibility to Care Important for many OECD-governments!!

52 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 52 POVNET Programme of Work 2007-8 a) Social Protection + Empowerment ~ Comprehensive Social Policy b) Employment and labour markets Decent Work for All + Consultations with partners in the Global South (Paris is no longer the centre of gravity in the world…) governments, donors, CSOs, private sector, research

53 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 53 European Union/Decent Work-1 Social Dimension of Globalization 2004 Partnership EC + ILO 2004 EC Communication on Decent Work, 5/06 DW = 1/9 focus areas of European Aid EU Africa Strategy: DW mentioned Policy Coherence for Devt (PCD) SDG + DW = 1/12 priorities for PCD

54 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 54 European Union/Decent Work-2 UN-ECOSOC, 6/06: DW for All DWCPs Conclusions on DW: Council 1 Dec 2006 DW-Conference 4-5 Dec, 2006 EC/DG-DEV Strategy on Empl & SocProt EuropeAid training EU Delegations (+ partners?)

55 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 55 EU: DW Conclusions - 1 Past commitments on SDG + DW UN-Summit, ECOSOC-Ministerial, Council, Lisbon Strategy, EU Strategy on Sust.Devt, EU SocPol Agenda, EU Consensus on Devt Policy Definition of DW ILO/UN-Definition Min/Max costs/benefits of Globalization Informal into the formal Social partners, business community, CSR UN + ILO + WB + IMF + WTO dialogue

56 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 56 EU: DW Conclusions - 2 Decent Work within EU: Competitiveness in a socially sustainable way Improve productivity by DW Flexibility & security (= Flexicurity) Lifelong learning & work/family balance ILO-Conventions national legislation External relations: ASEM + LAC + AU, etc.

57 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 57 EU: DW Conclusions - 3 DW in EU Development Cooperation (EC+MS) Summit-05 + ECOSOC + ILO-DWCPs Highlights the intention to develop an EC Strategy on Employment and Social Protection in Development European Consensus on Devt/paras 7, 11, 12, 35, 97-99 SDG, DW for All, DW into PRSs & Reg.Plans Finance DW through BS + CapacityBldng Coop: EC+MemberStates+ILO+UN-Agencies+IFIs All components of DWCP into PRSs etc. Tenders for contracts: respect core labour std Training & info for EC + MSs + partner ministries etc.

58 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 58 EU: DW Conclusions – 4 DW and trade related issues: Trade lib has a role in DW (right sequencing?) coherent approach to trade & soc.pol. EC to promote soc.stds and DW in trade negotiations Trade Sustainability Impact Assessments Aid for Trade to promote DW Soc.objectives should not be set for protectionistic reasons. The objective is to achieve social progress, shared fairly for the benefit of all.

59 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 59 EU: DW Conclusions - 5 EU-cooperation with UN and ILO Welcomes…UN, in particular ILO, and others Highlights EUs support for ILOs DWCPs… Ownership & priorities by partner countries… EU support to ratification of ILO-conventions Follow-up: Impl & Follow-up to WSO-05 + ECOSOC-06 + CSocD DW-indicator development with ILO EC follow-up, incl. Report on DW- Communication in 2008

60 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 60 Draft EC Strategy on Empl & Soc.Prot in EU Devt Cooperation 1) Institutional capacity e.g. twinning/Institutional cooperation with ministries of labour, social affairs, community E.g. Finland / Tanzania + with workers, farmers, employers, CSO, entrepreneurs (formal/informal) networks 2)Knowledge? Make it demand-driven! not only global -primarily national research! 2)VET (not only technical, but also business skills, social work for SProt) Also lifelong learning…Employability/Productivity…

61 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 61 Draft EC Strategy on Employment & Soc.Prot in Devt-2 Areas of action: Infra, Agric/Rural, PSD ( c.f. POVNET-results) Finland: For coherence, add also: Health (financing, e.g. social health insurance, etc.) Education (VET, lifelong learning…) Financial sector: micro-credit, micro-insurance, re- insurance, development banking, etc. Governance: good governance of labour mkt and social security institutions

62 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 62 Draft EC Strategy on Employment & Soc.Prot in Devt-3 Add also to Areas of action: Conflict mngt – relations to SocProt & Employment Humanitarian assistance Empl + SocProt (cash?) Legal sector development Gender / Environment Macro-economic policies – impacts on employment, distribution/equity, social protection Disability – opportunity for equal participation, incl. accessibility Youth – special challenges Aging, Children, etc.

63 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 63 Draft EC Strategy on Employment & Soc.Prot in Devt-4 Aid modalities: Budget Support Technical Cooperation with ministries of Labour, Social Affairs, Community Development, Employment Agencies, Social Security Institutions, + Targeted Budget Support to Social Security Funds, Social Health Insurance Funds, etc. Financing: - Thematic programme Investing in People + - EDF Country Focal Areas (1 out of 9 areas) - General Budget Support

64 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 64 SOCIAL ECONOMIC In reality, in country level work, the economic perspective (growth) dominates over the social/employment. Why?

65 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 65 UN WB (& IMF) Part of the reason is the imbalance between the WB(& IMF) vs. UN at country level

66 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 66 UN + WB: SOCIAL WB & UN: ECONOMIC In principle, both WB & UN should promote a balanced sustainable devt agenda on RIGHTS/SOCIAL JUSTICE ENVIRONMENT

67 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 67 Min.of Social Min.of Social & Labour, unions,consumers Min. of Finance, Central Bank, Business & Empl. associations Equally, at the national level there should be a balance between the ECON and SOC/EMPL ministries & civil society representatives Min.of Env / Agric. / Natural resources

68 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 68 Min.of Social & Labour, unions,consumers Min. of Finance, Central Bank, Business & Empl. associations But: Often the ECON perspective gets a priority in national policy making

69 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 69 WBnon-economists WBeconomists Within WB the ECON dominates over the SOC: The WB has 10.000 economists & only few hundred non-economists

70 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 70 Heterodox labour etc. economics, political economy, industrial policy, etc. Orthodoxneo-liberalmacroeconomics And: Among the WB-economists one school of thinking dominates over alternatives

71 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 71 UN: grants outside the BS-frame WB-loans + Bilaterals grants: PRSP + Budget support A key additional factor: Bilaterals strongly aligning to the WB-dominated devt agenda

72 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 72 IMF & World Bank & Bilaterals economic policy economic policy An additional factor: Fragmented UN UNDP WHO UN-Aids ILO Unicef WFP Habitat Unifem UN: Fragmented social policy

73 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 73 WB + Min.of Finance & IMF + Central Bank Fragmented UN leads to fragmented national SOC/EMPL policies UNDP + PMO WHO + Min.ofHealth UN-Aids + National Aids Council ILO + Min.ofLabour Unicef + Min.ofChildren & Women WFP + Min.of Agric. Habitat + Min.ofHousing Unifem + WomensOffice UN: Fragmented SOC/EMPL policies

74 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 74 One UN + WB + bilaterals WB + IMF + bilaterals Efforts to improve the ECON/SOC balance: UN-Reform (at global and national levels)

75 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 75 SOCIAL -security & protection -inclusion & dialogue - rights & equality, incl. gender equality Employment,entre-preneurship & growth DECENT WORK FOR ALL + Rescue Development Economics ! Balanced, comprehensive Socio- Economics of DECENT WORK FOR ALL

76 Network-IDEAs Nairobi 25-27 Jan, 2007 Timo Voipio, MFA-Finland timo.voipio@formin.fi 76 1st action priority: Youth Employment Crisis UN Youth Employment Network UN + ILO + World Bank + EU + bilaterals: 1) employability / vocational training, 2) equal opportunities women / men; 3) entrepreneurship / easy start up and running more and better jobs; 4) placing employment creation at the centre of macro-economic policy.


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