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International Development Economics Associates’ Employment Conference in Nairobi 25-27 Jan, 07

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. Disclaimer:. ‘BRAINSTORMING’ , not (necessarily)

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International Development Economics Associates’ Employment Conference in Nairobi 25-27 Jan, 07

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  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 Timo Voipio, MFA-Finland, timo.voipio@formin.fi

  2. Disclaimer: ‘BRAINSTORMING’, not (necessarily) official policies of MFA-Finland 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! 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. 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 Timo Voipio, MFA-Finland timo.voipio@formin.fi

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

  8. ILO (+ UN + EU): Decent Work Country Programmes (DWCP) 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 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 + Gender Equality cross-cutting all…  DWCP to be part of national PRSs

  9. UN: Rio-1992 Sustainable development =balanced dev’t ECONOMIC SOCIAL ENVIRONMENT Timo Voipio, MFA-Finland timo.voipio@formin.fi

  10. Copenhagen Social Summit-95: FULL SOCIAL PRO- INTEGRATION / DUCTIVE Equity (= Incl+Prot) EMPLOY- (= Cohes.) MENT POVERTY ERADICATION Timo Voipio, MFA-Finland timo.voipio@formin.fi

  11. Focus of global ODA-efforts since Copenhagen: PovRed FULL SOCIAL PRO- INTEGRATION / DUCTIVE Equity (= Incl+Prot) EMPLOY- (= Cohes.) MENT POVERTY REDUCTION 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 / Equity INCLUSION Pro-Poor… People-centred POVERTY REDUCTION Timo Voipio, MFA-Finland timo.voipio@formin.fi

  13. United Nations/Decent Work-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 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 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 WB’s PRS Sourcebook  Regional & national tailoring, translation, dissemination, training  Multi-donor trust fund? (~ or: Good ideas fly…) Timo Voipio, MFA-Finland timo.voipio@formin.fi

  16. UN-ECOSOC: Promote Decent Work Country Programmes (DWCP) 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 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 + Gender Equality cross-cutting all…  DWCP to be part of national PRSs

  17. ILO Employment Strategy • Ministers, Commissioners, etc. • Agenda: Based on the headlines of the DW Communication: - General - within EU - Trade - Development  Conclusions Timo Voipio, MFA-Finland timo.voipio@formin.fi

  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: • Basic health carefor all within a pluralistic system • Child benefitsto foster school attendance • Pro-active (self targeting)social assistance and/or employment guarantee schemes • universal pensions in old age, disabilty and loss of breadwinner

  19. ‘Socio-Economic Floor’ as national and global responsibility ? Income profile B Higher levels - privately-provided? ’Socio-economic floor’ – ensured by gov’t/ODA? Minimum insurance needs Income profile A 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 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 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: • M - as macro-economics • I - as investment climate, institutions and infrastructure • L - as labor market regulations and institutions • E - as education and skills • S - as social protection • Research on “EMPL & DEV’T” - with German IZA - purely econometric, non-institutional ? Timo Voipio, MFA-Finland timo.voipio@formin.fi

  23. World Bank’s Big Problem: SOCIAL SOCIAL PROTECTION DEVELOPMENT & LABOUR & SOCIAL POLICY MARKETS - inclusion - accountability - cohesion POVERTY & GOVERNANCE AS ECON.MNGT PARTICIPATORY DEMOCRACY Timo Voipio, MFA-Finland timo.voipio@formin.fi

  24. Ideologies (L/R) or academic identities rule? SOCIAL SOCIAL PROTECTION DEVELOPMENT & LABOUR & SOCIAL POLICY MARKETS Non-economic Economists WDR-06 social scientists POVERTY & GOVERNANCE AS ECON.MNGT PARTICIPATORY DEMOCRACY Conflicting mental maps & competition for ’results’ 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 ofGrowth through equity. Timo Voipio, MFA-Finland timo.voipio@formin.fi

  26. www.worldbank.org/wdr2006 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 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… 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 Timo Voipio, MFA-Finland timo.voipio@formin.fi

  30. Aid Timo Voipio, MFA-Finland timo.voipio@formin.fi

  31. Aid Timo Voipio, MFA-Finland timo.voipio@formin.fi

  32. Aid + ANNEX: Johannesburg Ministerial Declaration and Draft Strategy: TOWARDS AFRICAN REGIONAL SOCIAL POLICIES 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…’ 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. 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) Timo Voipio, MFA-Finland timo.voipio@formin.fi

  36. DAC-01: POVERTY is multi-dimensional SECURITYrisk, vulnerability social protection/ social risk management (SRM) ECONOMICconsumptionincome assets POLITICALrights freedoms voice & influence GENDER + ENVIRON-MENT HUMAN healtheducationhunger, thirst SOCIO-CULTURALstatusrespect, dignity

  37. Timo Voipio, MFA-Finland timo.voipio@formin.fi

  38. 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) Timo Voipio, MFA-Finland timo.voipio@formin.fi

  40. ~ ’Growth First’ vs. ’People First’ ?? SECURITYrisk, vulnerability social protection/ social risk management (SRM) ECONOMICconsumptionincome assets POLITICALrights freedoms voice & influence GENDER + ENVIRON-MENT HUMAN healtheducationhunger, thirst SOCIO-CULTURALstatusrespect, dignity

  41. Several members: The ECON & SOC & ENV should be in balance: ECONOMIC SOCIAL ENVIRONMENT Timo Voipio, MFA-Finland timo.voipio@formin.fi

  42. The dimensions are inter-related S/H SECURITYrisk, vulnerability social protection/ social risk management (SRM) ECONOMICconsumptionincome assets POLITICALrights freedoms voice & influence GENDER + ENVIRON-MENT HUMAN healtheducationhunger, thirst SOCIO-CULTURALstatusrespect, dignity

  43. Timo Voipio, MFA-Finland timo.voipio@formin.fi

  44. Hot debates-1 NEO- LIBERALS SOC.DEV. OPPOSITION Timo Voipio, MFA-Finland timo.voipio@formin.fi

  45. Hot debates-2 ABSOLUTE definition of PPG ? RELATIVE definition of PPG ? Timo Voipio, MFA-Finland timo.voipio@formin.fi

  46. Hot debates-3 Abs. PPG = Inequality may grow ? Rel. PPG = Inequality is reduced ? Timo Voipio, MFA-Finland timo.voipio@formin.fi

  47. Hot debates-4 PACE of Growth? PATTERN of Growth? Unsettled dispute  Compromise…? Timo Voipio, MFA-Finland timo.voipio@formin.fi

  48. Timo Voipio, MFA-Finland timo.voipio@formin.fi

  49. PPG results from a balance betweenempowerment/security/opportunity 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. 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 Timo Voipio, MFA-Finland timo.voipio@formin.fi

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