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Fostering Opportunities for an Inclusive, Fair and Sustainable Future of Work

September 7, 2018, Mendoza, Argentina

Annex 1: Policy principles for promoting labour formalization and decent work in the Future of Work and in the platform economy
Annex 2: G20 Strategy to eradicate child labour, forced labour, human trafficking and modern slavery in the world of work
Annex 3: Guidelines and Principles for developing comprehensive social protection strategies
Annex 4: G20 principles for the labour market integration of persons with disabilities
Annex 5: List of Reports prepared by International Organizations

  1. We, the Ministers of Labour and Employment from G20 members and invited countries, met in Mendoza on 6-7 September 2018 to discuss labour market trends and strategies, to enhance our cooperation and to shape an inclusive, fair and sustainable Future of Work.
  2. While global economic growth and employment outlook continue to improve, labour markets still face diverse challenges including persistent unemployment in some countries. At the same time, there are significant changes driven by digitalization and automation, globalization, demographic transitions, migration, and a shift in individual and societal expectations about work and welfare. These changes lead to the requirement of new skills, new forms of work, a need for innovative institutional frameworks and employment and social policies.
  3. We remain committed to building an inclusive Future of Work by addressing the evolving challenges. To maximize opportunities and enable workers and employers to benefit from them, we must enhance our understanding of emerging trends, and as needed improve labour market governance, legal frameworks, institutions, and policy approaches.
  4. In this context, strengthening our efforts to improve the employment situation of young people and continuing to develop policies will be essential to achieving the G20 Youth Goal of reducing by 15 percent by 2025 the share of young people who are most at risk of being permanently left behind in the labour market, as endorsed by our Leaders at the Antalya Summit in 2015.
  5. Addressing income inequalities is central to achieving better jobs, more inclusive societies, and stronger economic growth. We welcome the meeting of the Subgroup of Labour Income Share and Inequalities, which considered inequality as a crosscutting issue. We will continue working at national, multilateral and international levels, including through the G20, towards comprehensive and coherent economic, financial, employment and social policies, with a view to strengthening economic growth, creating more jobs, decreasing inequalities within and between countries and giving due consideration to social issues, recalling the 2030 Agenda for Sustainable Development.
  6. We recognize that creating opportunities and managing risks require coordinated and coherent actions, both at the national and international level. Therefore, at the G20 level we will exchange knowledge, experiences and foster cooperation to promote quality employment for all and to tackle inequalities.
  7. Current challenges require us to develop multidimensional responses and to put people, work and livelihoods at the heart of our strategies. Interagency coordination, better coherence among policies and the effective promotion of social dialogue become even more crucial. We welcome Argentina's initiative to host a G20 Education and Labour and Employment Ministers' Meeting and the fruitful cooperation of the Employment Working Group with the Education Working Group, the Framework Working Group, the Digital Economy Task Force and the Development Working Group, which can be a solid foundation for further collaboration.
  8. Building on the Priorities on the Future of Work that we endorsed in Bad Neuenahr in 2017, we commit to advance the following policy priorities to make the most of emerging opportunities and to help our peoples face arising challenges.

Unleashing people's potential through an innovative and coordinated skills development policy

  1. The Future of Work is likely to see changes to jobs and tasks which will bring about deep and rapid shifts in the skills requirements. It is therefore vital that we work to ensure broad access to quality skills training to address skills mismatches and skills gaps. We will support our people to develop the relevant skills through re-skilling and up-skilling strategies in order to increase their employability. We will encourage the development and implementation of comprehensive skills anticipation mechanisms for better identification of future skills needs. We commit to fostering international cooperation and to improving our labour market information systems to deliver internationally comparable data.
  2. Building sound skills policies also requires a whole-of-government approach and effective social dialogue. Moreover, we will engage in multi-stakeholder dialogue with employers, workers, governments, and education and training institutions in order to promote continuous information exchange and improve policy design and implementation.
  3. Taking into account our previous commitments, particularly the G20 Skills Strategy (Ankara, 2015) and the G20 Initiative to Promote Quality Apprenticeship (Beijing, 2016), we have endorsed together with G20 Education Ministers a set of recommendations for an inclusive lifelong learning approach which aim to support successful transitions between education and training and the world of work. Furthermore, we will advance on the implementation of the G20 Entrepreneurship Action Plan (Beijing, 2016) by fostering cognitive, digital and entrepreneurship skills to help deliver social and productive innovations.

Building a fair Future of Work by promoting formalization and improving labour conditions

  1. The promotion of decent work, inclusiveness, equality and the protection of fundamental principles and rights at work continue to be a priority objective for G20 members. It is essential to address any decent work deficits and, where appropriate, to adapt labour institutions and existing legislation to cover all workers.
  2. Labour relations and institutions continue to evolve. Certain forms of employment, such as part-time work, temporary employment and third-party agency work, among others, present opportunities for job creation, including self-employment, labour mobility, access to the labour market, and the inclusion of vulnerable and underrepresented groups. At the same time some forms of work may pose a number of challenges for job and life quality, skills training, social protection and income distribution, freedom of association and collective bargaining. Governments should take care that they are not misused and abused.
  3. We also recognise the opportunities and challenges arising from work obtained or delivered through digital platforms. Although the share of this type of employment still remains low, it is growing fast. We are committed to promoting high quality jobs and decent work in the digital labour market. In this regard and considering the international nature of this development, we will actively collaborate towards the development of policy responses. We thank International Organizations for their report on work and digital platforms and ask for their continued support in gathering information and developing policy recommendations regarding decent work in digital platforms.
  4. As it was stated in the Moscow Declaration (2013) and reinforced in the Melbourne Declaration (2014), the quantity and quality of jobs are important for inclusive growth and development. We must advance in the transition to formality as a means towards improving living conditions, productivity, growth and strengthen efforts to reduce poverty. We should seek to ensure that new forms of employment are in the formal economy.
  5. In order to promote formalization and decent work in all forms of employment, including digital platforms, we commit to implementing the "Policy principles for promoting labour formalization and decent work in the Future of Work and in the platform economy" (Annex 1).
  6. Following the Melbourne declaration (2014), in the Hamburg declaration (2017) G20 leaders committed "to take immediate and effective measures to eliminate child labour by 2025, forced labour, human trafficking and all forms of modern slavery." Accounting for more than 85 percent of the global economy, G20 members have a responsibility and the unique capacity to lead global efforts to address these issues. Meeting these ambitious goals requires to strengthen our national efforts and to demonstrate our leadership through more effective international cooperation. We welcome the report on Child Labour prepared by ILO with contributions from UNICEF and the World Bank and take note of its conclusions. We will continue to implement our commitments on decent work in global supply chains (Bad Neuenahr, 2017), and we endorse the "G20 Strategy to eradicate child labour, forced labour, human trafficking and modern slavery in the world of work" (Annex 2).

Making social protection more sustainable, adaptable and responsive to the new social and labour market dynamics

  1. Strong, equitable and well-functioning social protection systems play a crucial role in fostering employment, reducing labour market insecurity and promoting social justice and inclusive growth. In the context of the Future of Work, social protection systems may face serious challenges regarding their sustainability, universal coverage as defined in national law and adequate level of protection. In that sense, it is key that we strengthen the policy frameworks that reinforce our social protection policies in a financially sustainable manner and provide scope for innovation. On this issue, we will work closely with the finance track and relevant ministries.
  2. We reaffirm our commitment to actively promote access to adequate social protection for workers in all forms of employment and work arrangements, and to foster nondiscrimination and fair treatment regardless of the individual employment status.
  3. Acknowledging increasing labour mobility within and between countries, we will take action to promote the portability of social security between employment statuses and between countries, subject to national law and circumstances.
  4. Recalling the G20 Policy Recommendations for Promoting More Equitable and Sustainable Social Protection Systems (Beijing, 2016) and the G20 Priorities on the Future of Work (Bad Neuenahr, 2017), we endorse the "Guidelines and Principles for developing comprehensive social protection strategies" (Annex 3).

Leaving no one behind: shaping an equitable and inclusive Future of Work

  1. Shaping more inclusive labour markets will help to strengthen our economies and contribute to the well-being of our societies. We therefore remain committed to improving the labour market integration of vulnerable and underrepresented groups.
  2. We recognise that countries have made valuable progress towards achieving the G20 female participation goal committed to in Brisbane and implementing the G20 policy recommendations on gender endorsed in Bad Neuenahr. We welcome the analysis produced by the ILO and OECD on the policies carried out by G20 countries. The findings show that gender gaps in labour force participation are still substantial, but there are proven and promising initiatives which will accelerate progress towards gender equality. In this regard, we encourage the collection, harmonization and analysis of genderdisaggregated data, including among the business sector.
  3. In order to prevent the widening of existing gender gaps and the creation of new ones in the Future of Work, we should focus on enabling women to participate equally in the digital economy, increasing the participation of women in Science, Technology, Engineering and Mathematic (STEM) related skills training and enter STEM-related occupations. We also commit to promoting lifelong learning policies that are accompanied by a more equal distribution of care responsibilities between men and women. We will continue working towards the eradication of discrimination, occupational segregation and gender-based violence.
  4. We reaffirm our commitment to promoting the participation of persons with disabilities in the labour market, recalling the 2030 Agenda pledge of leaving no-one behind and our previous commitments made in the Moscow Declaration in 2013. We believe that the circumstances shaping the Future of Work create significant opportunities to improve employment outcomes for persons with disabilities, and therefore strongly endorse the "G20 principles for the labour market integration of persons with disabilities" (Annex 4).
  5. We will increase efforts to improve data collection on the situation of persons with disabilities regarding labour and employment and support international comparison of this data. We also encourage the implementation of relevant international agreements, as appropriate, such as the UN Convention on the Rights of Persons with Disabilities. We will further strengthen social partner's engagement and social awareness in order to fight against discrimination and improve labour market inclusion. We call for the joint actions of B20 and L20 aimed at increasing training and employment opportunities for persons with disabilities.

Way Forward

  1. Our policy responses will be informed by the policy principles we have identified for: developing skills for an inclusive Future of Work; promoting labour formalization and decent work; developing comprehensive social protection; increasing labour market integration for people with disabilities; eradicating child labour, forced labour, human trafficking and modern slavery in the world of work.
  2. We will continue to further develop and implement our G20 Employment Plans and include reporting on actions according to national priorities and collective commitments. We will also follow up with the support of the ILO and OECD on the changes the Future of Work may bring about, such as the growth of the digital economy and its impact in the labour market. We recognize the need to improve the power of quality data to achieve a better understanding of the challenges that emerge in the Future of Work and ensure the best possible evidence to inform decision-making.
  3. We appreciate the expertise provided by the ILO, OECD, WBG and IMF, as well as the contributions made by ECLAC and the Development Bank of Latin America (CAF), and take note of their meaningful reports (Annex 5). We also thank the L20 and B20 for their fruitful cooperation and welcome the dialogue held with the engagement groups T20, W20, C20 and Y20 throughout the year. We will continue expanding our discussion taking into account these diverse sources and building broad consensus for fair and sustainable development.
  4. We welcome the coordination achieved during this year among G20 tracks to provide global and coherent approaches to the Future of Work. We will strengthen cooperation in the respect of the field of competence of each track, in order to take advantage of positive synergies and complementarities and avoid redundancies. We recognise the Menu of Policy Options for the Future of Work endorsed by Finance Ministers and Central Bank Governors. We will consider it in order to respond to the challenges and opportunities of the Future of Work, according to individual country´s circumstances.
  5. We will present this declaration, complemented by the G20 Education & Employment Ministers' Joint declaration, to the G20 Buenos Aires Summit for our Leaders' consideration.
  6. We thank the Argentine Presidency for its leadership and look forward to our next meeting in 2019 under the Presidency of Japan.

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Annex 1: Policy principles for promoting labour formalization and decent work in the Future of Work and in the platform economy

The Future of Work presents opportunities for employment growth in G20 countries. Efforts are required to ensure that the newly created and existing jobs are decent jobs.

Not only are we witnessing new forms of work, but we are also experiencing a rise in certain forms of employment such as part-time work, temporary employment and third-party agency work, among others, in some G20 countries. These developments provide opportunities and some forms of work can also pose challenges for decent work. In some G20 countries, this can result in a higher number of workers exposed to the risk of informality.

In addition, the informal economy -which refers to those activities that are not covered or are insufficiently covered by formal arrangements, either in law or in practice- employs a significant number of workers in some G20 countries. Informal employment poses challenges to decent work and inequality, as it has been previously recognized by the G20. (Melbourne, 2014 and Moscow, 2013).

We are also witnessing the emergence of the platform economy, which offers job opportunities that often take place in the form of activities or services performed online and across borders. This will require research and evidence-based study to facilitate formulating effective policy recommendations to promote decent work in the platform economy. We therefore support the ILO and OECD, along with governments, workers' and employers' organizations to continue international cooperation on these matters.

We have identified a range of policy principles to be considered in order to promote labour formalization and decent work in the Future of Work, subject to our national circumstances.

Guiding decent work in all forms of employment in the Future of Work

Taking into account national circumstances, a review of current policies and legal frameworks can be beneficial in ensuring that workers in all forms of employment enjoy adequate levels of protection. We will consider a set of policy measures to improve compliance with existing regulations and, in line with national circumstances, to address the legal coverage and the level of legal protection, where appropriate, by:

Promoting labour formalization

The informal economy is a complex and multidimensional phenomenon that affects a wide range of sectors and occupations. In some countries, workers in some of the new and diverse forms of employment are at risk of being in informal employment.

The challenges of labour formalization are evident in some countries. Where appropriate, these countries are encouraged to implement the set of policy instruments and approaches that have previously been effective in facilitating the transition from the informal to the formal economy, including those set forth in the ILO Transition from the Informal to the Formal Economy Recommendation, 2015 (No. 204), in order to promote labour formalization. Some of these tools include:

Promoting decent work in the platform economy

Considering the particular features of platforms, and taking into account national circumstances, the following actions should be considered, as appropriate, to promote broad sharing of the benefits of the digital economy and decent work. Social partners, platform workers and providers should be involved in this process. Identify and define basic guidelines, drawing on applicable international labour standards that digital platforms should follow in order to close the governance gap in the digital economy.

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Annex 2: G20 Strategy to eradicate child labour, forced labour, human trafficking and modern slavery in the world of work

Building on our Leaders' commitments in the Hamburg Declaration (2017) to eliminate "child labour by 2025, forced labour, human trafficking and all forms of modern slavery", we will strengthen national efforts and promote effective international cooperation to meet this commitment, including the goal of fostering decent work for sustainable global supply chains.

We welcome the principles and pledges emanating from the 4th Global Conference on the Sustained Eradication of Child Labour held in Buenos Aires, as well as the objectives of the ¨Call to Action to End Forced Labour, Modern Slavery and Human Trafficking¨. We recognize and thank the ILO, OECD, UNICEF, Alliance 8.7 and its partners for their leadership and ask for their continued support in identifying high-risk sectors, developing appropriate policy responses, building capacities, learning from international best practices and measuring progress. We look forward to receiving the joint report from international organizations within Alliance 8.7 on these issues. We support the role of Alliance 8.7 in creating synergies between different initiatives and activities.

In support of the G20's broader efforts to promote decent work and sustainable supply chains, in accordance with our national circumstances and legislation, international conventions, protocols and frameworks, we will take the following priority actions to make further progress on eliminating child labour, forced labour, human trafficking and modern slavery in the world of work:

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Annex 3: Guidelines and Principles for developing comprehensive social protection strategies

In the context of the Future of Work, social protection systems may face serious challenges related to their sustainability, universal coverage as defined in national law, adequate level of protection and the portability of social security entitlements. Building on the G20 Policy Recommendations for Promoting More Equitable and Sustainable Social Protection Systems and the G20 Priorities on the Future of Work, we are committed to developing effective and coordinated policy responses that can help shape an inclusive Future of Work. In consultation with social partners and in accordance with national circumstances, we acknowledge the need to build inclusive social protection systems and to develop further targeted actions in the following areas:

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Annex 4: G20 principles for the labour market integration of persons with disabilities

It is estimated that one billion people – or 15% of the world's population - have some form of disability. As a result of encountering limited opportunities, persons with disabilities are more likely to experience less education, poorer health outcomes, lower levels of employment, and higher poverty rates. The constant challenges faced by persons with disabilities, including biases and discrimination as well as inaccessible transportation, buildings and technology, inhibit their full participation in economic, civic, and community life. G20 leadership can work to ensure that persons with disabilities benefit from the implementation of policies designed to improve their lives, particularly those that improve their participation in the labour force. In turn, countries will benefit from the contributions to society that persons with disabilities are able to make.

A comprehensive policy approach is required to effectively improve employment outcomes for persons with disabilities. We recognize that persons with disabilities are a diverse group comprised of individuals who require different approaches. Where applicable, we will continue to strengthen our national implementation of the UN Convention on the Rights of Persons with Disabilities.

We have identified for consideration a set of policy principles aimed at promoting access to the labour market on equal basis with others, as well as the availability of quality jobs for persons with disabilities, according to national circumstances. These policy principles include three main dimensions: the demand side, the supply side and the enabling factors.

Policy options for promoting employment in the public and private sectors according to national circumstances

Policy Options for Ensuring the skills supplied match the needs of the labour market according to national circumstances

Policy principles for developing inclusive legislation and social protection schemes according to national circumstances

Effective implementation of these policy options and principles will be aided by the collection of reliable data by national statistical authorities based on standard international definitions to allow better benchmarking. At the same time, monitoring and evaluation frameworks should be further developed to measure the progress made regarding employment outcomes for persons with disabilities and measures taken for improving those outcomes.

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Annex 5: List of Reports prepared by International Organizations

We welcome the following reports and papers prepared for the G20 Employment Working Group:

Papers prepared by ILO and OECD:

Papers prepared by ILO:

Papers prepared by OECD:

Papers prepared by ECLAC:

Paper prepared by the World Bank:

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Source: Official website of Argentina's 2018 G20 Presidency

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