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Labor and Social Protection

Ushering in a new era for jobs and economic transformation through IDA18

Thomas Farole's picture
With IDA18, new approaches to operations, new financial instruments, as well as new analytics and tools will help ensure we deliver on the jobs agenda. Photo: © John Hogg/World Bank

On December 14th and 15th donor and borrower country representatives of the World Bank Group will meet in Yogyakarta, Indonesia to finalize details for the 18th replenishment of IDA. The final agreement on IDA18 is expected to usher in a new era for IDA, the Bank’s fund for the poorest, dramatically increasing the level of financing and the potential for impact on development for the world’s poorest countries.
 
Central to the discussions on IDA over the past year has been the issue of jobs – how to deliver more jobs to meet the demands of a growing youth population; how best to improve job quality, particularly for the vast majority of workers in IDA countries who struggle in subsistence-level self-employment and other forms of informal employment; and how to make jobs more inclusive to women, youth, and populations in remote and lagging regions.

Women’s jobs at risk from tech disruption

Samantha Amerasinghe's picture
Samantha Amerasinghe, a guest blogger, is an economist for the Thematic Research team at Standard Chartered. 
Giving women access to the skills and qualifications in areas where jobs will be created is vital. Photo: Dominic Chavez/ World Bank

Dubbed the ‘fourth industrial revolution’, technology disruption could be a key growth driver for economies over the coming years. But for women, advances in technology also pose a threat, as many of their jobs could be displaced. A perfect storm of technological trends, from mobile internet and cloud technology to ‘big data’ and the ‘internet of things’, means that, as new work trends evolve, existing gender inequalities could worsen further.

For the differently abled by a differently abled – an inspiration from Tamil Nadu, India

Varalakshmi Vemuru's picture
Mr. Kannan, a differently abled social entrepreneur
Mr. Kannan, a differently abled social
entrepreneur. (Photo: Varalakshmi Vemuru)
During my recent mission visit to Sivagangai District in Tamil Nadu, India, I met with Mr. Kannan, a social entrepreneur. I was visiting communities to understand the latest efforts under the Tamil Nadu Empowerment and Poverty Reduction Project (TNEPRP) to support the differently abled with economic activities following their identification and mobilization. For six months now, Mr. Kannan is running a Community Skills School (CSS), an innovative approach to skills enhancement, in the Kalaikulam Village. At the school, which provides self-identified and motivated trainees with skills to repair home appliances, Mr. Kannan has already trained 70 differently abled men and three women. Among the trainees is his wife, who is differently abled herself, but is of huge support to Mr. Kannan in running the CSS and in working with women. He has an agreement with TNEPRP to train a total of 180 differently abled, including a planned group of 30 women.


He has an agreement with TNEPRP to train a total of 180 differently abled, including a planned group of 30 women. Run on a guild program model, the CSS ensures that upon completion of a one-month program on skills enhancement, the trainees can become self-employed or work in small enterprises repairing home appliances in their own and neighboring villages. The rapid urbanization of rural Tamil Nadu offers plenty of such opportunities.

Mr. Kannan designed the key aspect of the curriculum—which goes beyond technical training—based on his own life experiences. During our conversation, I found out that Mr. Kannan is differently abled himself—he was afflicted with polio at the age of three and has lost the use of both his lower limbs. As a result, Mr. Kannan needed a wheelchair to get around. Nevertheless, he was not deterred and continued his education to receive a diploma in mechanical engineering from a local Polytechnic. He ended up at Samsung’s service center in Chennai, the state capital, where he spent four years acquiring skills in home appliance repair. 
 

When good transport alone doesn’t bring jobs closer to women: insights from Mexico City

Karla Dominguez Gonzalez's picture
An affordable, safe, and good-quality transport system brings social and economic value to everyone, and is key to increasing access to services and opportunities. But is it enough to bring women closer to jobs?

A World Bank study in Argentina highlighted that women “have more complex travel patterns, travel more, and have more travel needs at off-peak hours, which are often not related to work and associated with fixed destinations (e.g. child care).” As a result, they are constrained to smaller commutes and, by association, fewer employment opportunities. In addition to using public transport at different times, frequencies, and for alternate purposes, data from other countries also indicates that many women face significant security challenges when using public transport.

To dig deeper on this and identify what kind of complementary interventions could help ensure mass transit investments bring women the best accessibility benefits, we conducted preliminary research in Mexico City with support from the World Bank Youth Innovation Fund.

Our primary objective was to figure out what encourages or inhibits women’s use of mass transit systems, and to understand how these systems influence their decisions to find employment or better employment.

Making the future of work more inclusive and equitable

Siddhartha Raja's picture
Public policies could shape how the costs of digitization can be managed, to counter inequality and mitigate the costs for the poorest. Photo: Dominic Chavez/World Bank

There is much speculation about what share of jobs might be automated by increasingly smart machines. One estimate suggests that countries such as the U.S. would see almost half of today’s jobs disappearing, while another estimate suggests that this might be just about one in ten jobs. But less is known about who will lose their jobs due to these transitions. And more critically, what might happen to the bottom 40 percent of the population of emerging countries that have only recently been exposed to basic digital technologies? Will they gain from technological progress, or will they face the negative effects of both exclusion and of others—countries or the better off—pulling ahead?

Should developing countries increase their minimum wages? Guest post by Andrés Ham

In the closing scene of Christopher Nolan’s The Dark Knight, Police Commissioner Gordon tells his son that Batman is “the hero Gotham deserves but not the one it needs right now” (video). This quote provides an interesting policy analogy with minimum wage increases. The benefits of raising minimum wages are something we believe workers deserve: better pay. Unfortunately, the costs tend to involve higher unemployment, which no country needs right now.
 

Improving fairness, opportunity and empowerment: A view from the South Caucasus

Genevieve Boyreau's picture
I was quite intrigued by the findings of the latest Europe and Central Asia Economic Update, with its special focus on "Polarization and Populism". As Program Leader for the South Caucasus region, covering Azerbaijan, Armenia and Georgia, I was particularly interested in the fact that these three countries report the highest levels of life and job dissatisfaction, despite declining disparities and overall income improvement in the region (in Georgia, for instance). Indeed, using the World Bank’s "twin goal” metrics, the South Caucasus region has been performing reasonably well.

How do we measure jobs?

Sonia Madhvani's picture
Jobs and Development Conference: Interview with Alvaro Gonzalez

Jobs are key to ending poverty and development practitioners, policymakers, academics, and business leaders agree that measuring jobs is important. While data on the number of jobs being created is important, it only tells a small part of the story.

“Your Ex Knows Best” - The Value of Reference Letters: Guest Post by Martin Abel

This is the first in our series of posts by Ph.D. students on the job market this year.
One of the key challenges of markets is to assess the quality of goods. A look at online dating websites – a market where information asymmetries loom particularly large - shows different ways in which people try to communicate that they are of “high quality”. A common strategy is to start your introduction with “My friends describe me as…” (to be followed by some glowing testimony “…smart, athletic, high-achieving – yet humble”). Why may this strategy not be effective? It raises questions about whether these friends are truthful and whether they have all the relevant information about your quality as a partner. The really interesting question you never see answered is: “How would your ex-partner describe you?”

My job market paper “The Value of Reference Letters”, coauthored with Rulof Burger (SU) and Patrizio Piraino (UCT), is about the challenges hiring firms face in identifying high-quality applicants. While the literature has largely focused on the role of friends and family members (Topa 2011, Beaman and Magruder 2012) in job referrals, we investigate whether information from ex-employers can facilitate the matching process. Specifically, we test the effect of a standardized reference letter asking previous employers to rate workers on a range of hard skills (e.g. numeracy, literacy) and soft skills (e.g. reliability, team ability).

People’s living standards – do numbers tell the whole story?

Giorgia DeMarchi's picture
Numbers don’t lie. That’s why, in our day-to-day lives, we rely heavily on numbers from household surveys, from national accounts, and from other traditional sources to describe the world around us: to calculate, to compare, to measure, to understand economic and social trends in the countries where we work.

But do we perhaps rely too much on numbers to gain an understanding of people’s lives and the societies in which they live? Do numbers really tell us the whole story, or give us the full picture?


 

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