Social dialogue crucial for economic development – ILO

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The International Labour Organisation (ILO) has emphasized the critical role of social dialogue in addressing global labor, economic, and social challenges, as highlighted in its Social Dialogue Report 2024. The report underscores “Peak-Level Social Dialogue” (PLSD) as a transformative governance model that unites governments, employers, and workers to negotiate key policies. It credits PLSD with driving equitable labor income distribution, advancing decent work, and facilitating fair transitions to low-carbon and digital economies while warning that the exclusion of marginalized groups and short-term policies dilute its impact.

The report reveals troubling trends, including a 7% decline in adherence to fundamental labor rights from 2015 to 2022, attributed to violations of civil liberties and collective bargaining rights. Countries that uphold these rights are better positioned to utilize PLSD’s potential. Additionally, while most ILO member states have national dialogue institutions, concerns persist about inclusiveness and inadequate follow-up for under-represented groups such as women, youth, and informal workers. Effective measures like sectoral bargaining and minimum wage setting have successfully addressed wage inequality and cost-of-living challenges.

The ILO calls for governments to enhance resources for social partners, include marginalised groups in dialogues, and conduct regular evaluations of PLSD. The report highlights PLSD’s capacity to build consensus on complex issues, especially in managing digital and green transitions, with Europe leading recent efforts. Ultimately, it advocates prioritising inclusive social dialogue to navigate modern economic shifts while promoting decent work and social stability.

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