The Power of Social Dialogue in Shaping a Just and Sustainable Future
The International Labour Organisation (ILO) champions social dialogue as a pivotal instrument for driving economic growth and social progress. Its 2024 Social Dialogue Report emphasizes the significance of Peak-Level Social Dialogue (PLSD), a mechanism involving governments, employers, and worker organizations, in addressing critical labour, economic, and social challenges. PLSD serves as a platform for negotiation and consultation on key policy issues, contributing significantly to achieving decent work, equitable income distribution, and effective management of digital and green transitions. However, the report cautions that short-term socio-economic policies and the exclusion of marginalized groups can undermine its impact. Strengthening fundamental labour rights, fostering inclusivity, and ensuring adequate resources for social partners are crucial for maximizing the transformative potential of PLSD.
PLSD: A Vital Tool for Navigating Global Transformations
Amidst global instability fueled by technological advancements, environmental concerns, and demographic shifts, PLSD emerges as a "credible governance model," according to Manuela Tomei, ILO’s Assistant Director-General for Governance, Rights and Dialogue. The report reveals a concerning decline in countries’ adherence to fundamental labour rights between 2015 and 2022, primarily due to increasing violations of civil liberties and collective bargaining rights. This underscores the importance of upholding these rights as a prerequisite for effectively leveraging PLSD’s transformative capacity. Nations with robust respect for fundamental labour rights are better positioned to harness the full potential of PLSD in addressing complex socio-economic challenges and fostering inclusive growth.
National Social Dialogue Institutions: A Foundation for Effective Engagement
National Social Dialogue Institutions (NSDIs) exist in a majority of ILO member states, and a significant proportion of workers and employers perceive them as effective mechanisms for engagement. However, concerns persist regarding inadequate follow-up on agreements and the lack of inclusiveness, particularly for marginalized groups such as women, youth, and informal workers. Addressing these concerns is crucial for enhancing the legitimacy and effectiveness of NSDIs. Expanding outreach to under-represented groups, ensuring their meaningful participation, and establishing robust mechanisms for monitoring and evaluating the implementation of agreements are essential steps towards strengthening the impact of social dialogue.
Addressing Wage Inequality and Cost-of-Living Challenges through Social Dialogue
PLSD plays a critical role in addressing wage inequality and cost-of-living challenges, particularly through mechanisms such as minimum wage fixing and sectoral collective bargaining. The report highlights the effectiveness of combining government-set minimum wages with sectoral agreements in achieving greater labour income equality. This approach allows for tailored solutions that consider specific industry dynamics and challenges, ensuring fair wages and contributing to a more equitable distribution of income. Social dialogue provides a platform for negotiating wage adjustments that reflect economic realities and address the rising cost of living, protecting workers’ purchasing power and promoting social stability.
Shaping the Digital and Green Transitions through Inclusive Social Dialogue
PLSD has proven instrumental in building societal consensus on digital and decarbonisation policies, particularly in countries with strong social dialogue institutions. By bringing together government, employer, and worker representatives, PLSD facilitates open dialogue and collaboration on these critical transitions. This inclusive approach ensures that the perspectives and concerns of all stakeholders are considered, fostering buy-in and facilitating the smooth implementation of policies aimed at fostering a sustainable and inclusive future. However, the report also reveals that a relatively small proportion of dialogue processes currently address the twin transitions, highlighting the need for greater focus on these crucial areas.
Strengthening Social Dialogue for a More Just and Sustainable Future
The ILO calls on governments to prioritize inclusive and effective social dialogue by upholding labour rights, enhancing resources for social partners, expanding outreach to marginalized groups, and conducting regular evaluations of PLSD’s effectiveness. By strengthening social dialogue mechanisms and ensuring their inclusivity, nations can unlock their transformative potential. Social dialogue serves as a crucial tool for navigating the profound economic and social changes of the modern era, promoting decent work, fostering equitable income distribution, and shaping a more just and sustainable future for all. It is an essential ingredient for building resilient economies and societies capable of addressing the complex challenges of the 21st century.
