19 June, 2009
The ILO estimates that the present financial crisis is likely to lead to the loss of some 20 million jobs worldwide and conservatively estimates that the number of working poor living on less than a dollar a day could rise by some 40 million, with those at two dollars a day rising by more than 100 million. Even now, before the full effect of this crisis is known, over one-third of the world's workforce is jobless or underemployed.
The so-called modernisation of labour laws that governments and business interests are seeking to introduce is also part and parcel of the neo-liberal agenda and a direct attack on workers. Not only is there a rise in unemployment worldwide, but also employment creation increasingly comes at the expense of quality jobs. More and more workers are finding the search for full-time, permanent employment a fruitless quest. Precarious work is becoming the norm, spreading in all sectors of the economy including in professional groups. Others find their jobs are outsourced, misclassified, and lack protection from existing labour laws.
In many developing countries, workers have been squeezed out of regular employment into the so-called informal economy due to severe economic crises, widespread privatisation programmes, and the job destruction resulting from economic restructuring. The unregulated economy is expanding and a growing number of people struggle to survive on poverty level wages. Unemployment and poor living conditions spur migration within countries and across national boundaries, creating a multitude of tensions in many parts of the world.
Precariously employed workers face job insecurity and an uncertain future, low wages, limited or no access to social benefits, such as health or pension schemes, and increased health and safety risks at work. Precarious workers are also frequently denied rights at work, such as the right to join a union or bargain collectively. The rise of precarious employment is creating a two-tier workforce, which is undermining social cohesion and weakening trade unions. This is part of a larger union-busting strategy used by employers in their well orchestrated anti-union campaigns.