Global Labour Reforms in Focus: Key Takeaways from the G20 Labour Ministers’ Meeting

The G20 Labour and Employment Ministers’ Meeting, held in Fortaleza, Brazil, on 25-26 July 2024, brought together key stakeholders from G20 member countries and invited nations to address pressing global labour market issues. The meeting focused on reviewing the progress of commitments, discussing recent labour market trends, and identifying strategies to tackle emerging challenges in the employment sector.

I had the privilege of being present at this special event, seated at the centre table where these critical topics were discussed and the final changes to the declaration were meticulously edited. My invitation came as a representative of the B20, where I serve as an active member of the B20 Taskforce for Employment and Education under Brazil’s G20 Presidency. The B20 taskforce, comprising approximately 100 members from around the world – including representatives from organisations like the World Employment Confederation, the ILO, and the IOE – is dedicated to addressing employment matters globally and preparing recommendations for the G20 World Leaders.

The involvement of the B20 taskforce was instrumental in making the G20’s efforts actionable, as representatives from the OECD, UNESCO, Labour 20, and five members of the B20, including myself, were invited to the table. This inclusive approach ensured that the discussions were enriched by diverse perspectives and that the final outcomes would be practically implementable. I had the distinct honour of moderating a panel discussion on the “Transformative Potential of AI and the Need for a Just Transition”, held during the event. My panel focused on the critical intersections of just transition, skills development, and climate action.

One of the central themes of the G20 Labour Ministers’ Meeting was the commitment to creating formal jobs and promoting decent work as essential tools for achieving equitable income distribution and social inclusion. The ministers emphasised the need for active inclusion policies that support sustainable economic growth, enhance purchasing power, and increase labour income’s share in national wealth. This commitment aligns with the G20 Policy Priorities to Reduce Inequalities in the World of Work, which were reviewed during the meeting.

The meeting highlighted the multidimensional nature of poverty, often linked to informality and lack of decent employment. The ministers underscored the importance of strategies that foster social inclusion, eradicate poverty, and address working poverty through the promotion of quality jobs and decent work. The role of the social and solidarity economy in generating quality employment and promoting environmental sustainability was also recognised.

The G20 ministers expressed strong support for the International Labour Organization’s (ILO) Decent Work Agenda, which encompasses job creation, fair wages, respect for labour rights, safe working conditions, social protection, and social dialogue. Gender equality and non-discrimination were highlighted as cross-cutting issues. The ministers also took note of the Global Coalition for Social Justice and the ILO Report of the Meeting of Experts on wage policies, including living wages.

Reaffirming the Durban Call to Action, the ministers emphasised their commitment to eliminating child labour and forced labour, in line with Target 8.7 of the Sustainable Development Goals (SDGs). The meeting stressed the need for strong labour inspection systems, quality education, and social protection systems to provide adequate support to families. The Alliance 8.7 was acknowledged as a valuable tool in these efforts.

The meeting underscored the importance of social protection systems as the foundation of an inclusive, stable, and fair society. The ministers recognised the need for G20 countries to continue improving social protection systems to ensure they are accessible, effective, and sustainable, particularly in light of ongoing transformations in the world of work.

The ministers acknowledged the dual impact of current energy transitions on labour market participation and climate change mitigation. While these transitions present opportunities for improving living standards and increasing labour market participation, they also pose challenges, such as structural changes in the labour market and potential exacerbation of existing inequalities. The concept of a just transition, which includes environmental sustainability, decent work, and social inclusion, was deemed critical.

Gender equality and the promotion of diversity were central topics at the meeting. The ministers recognised the challenges women and girls face, including structural barriers, discrimination, and gender pay gaps. It was particularly heartening to learn that in Brazil, 40% of the female workforce are the main providers for their families, yet they are often the first to lose their jobs during dismissals. This underscores the urgency of implementing comprehensive policies that dismantle discriminatory norms and legal barriers to ensure women’s equal participation in the economy. The ministers also reaffirmed their commitment to achieving the Brisbane Target of reducing the gender gap in labour market participation rates by 25% by 2025. We all know that the gender pay gap is still a global problem – not just in BRICS countries and the Global South – that has to be solved.

In the digital era, the rapid growth of the digital economy and emerging technologies, such as artificial intelligence (AI), have created new opportunities and challenges in the world of work. The ministers acknowledged the potential of these technologies to empower workers, increase efficiency, and improve working conditions. However, they also expressed concerns about ethical issues, risks to workers’ rights, and the potential for increased inequality. The importance of ensuring that technology-driven innovations are implemented with consideration for workers’ rights and inclusivity was emphasised.

As the G20 ministers concluded their discussions, they reaffirmed their commitment to the goals and commitments made under previous presidencies. This includes promoting well-managed migration pathways to address global skill gaps, improving social protection systems, and enhancing co-operation among G20 tracks to ensure decent and inclusive work. The ministers expressed their appreciation for the expertise provided by international organisations such as the ILO, OECD, ISSA, IDB, the World Bank, and UNESCO. They also recognised the importance of ongoing dialogue with labour and business groups and other stakeholders to develop a shared agenda that benefits all.

The G20 Labour and Employment Ministers’ Meeting in Fortaleza marked a significant step forward in addressing the complex challenges of the global labour market. With a strong commitment to promoting decent work, reducing inequalities, and ensuring a just transition in the face of climate change, the ministers set a clear agenda for the future. The active involvement of the B20, and the collaborative efforts between G20 ministers and other key organisations, exemplify a comprehensive approach to addressing global employment challenges. The contributions of the ILO, OECD, ISSA, IDB, UNESCO and the B20 taskforce, particularly in preparing actionable recommendations for the G20, were crucial in shaping the final outcomes of this significant meeting.

Having had the privilege to sit at the G20 table as a representative of the business community, I also feel a deep responsibility to bring this message back to my peers: Employers, it is crucial that you take the initiative to prioritise these issues within your companies, even in the absence of mandatory government regulations. Only by doing so can we make real progress towards a just transition.