G20 Workers Push for New Social Contract Establishment

The Labour 20 (L20), as the engagement group within the G20 Social, fosters dialogue and initiatives to face inequalities, address the ramifications of digital transformation, and respond to worldwide crises affecting the workforce.

The Labour 20 promotes dialogue and initiates action to face inequality, tackle the impacts of digital transformation, and respond to crises affecting workers around the world. Credit: International Labour Organization.
The Labour 20 promotes dialogue and initiates action to face inequality, tackle the impacts of digital transformation, and respond to crises affecting workers around the world. Credit: International Labour Organization.

The transformation of the labor market, propelled by digital platforms and artificial intelligence, has intensified inequalities, especially in poorer countries and the Global South. This scenario is compounded by ongoing wars and regional conflicts, leading to loss of life and livelihoods, which in turn disrupts the supply of food and energy. Consequently, workers experience a notable decrease in purchasing power, while social cohesion faces strains, polarization increases, and the bedrock of democracy comes under threat.

In this context, the Labour 20 Engagement Group (L20) of the G20 Social, consisting of worker organizations and trade unions, convened its inaugural meeting during the Brazilian presidency of the G20. Participants emphasized the imperative for a "New Social Contract" grounded in institutionalized dialogue and revitalized multilateralism. This contract encompasses provisions for decent employment opportunities, acknowledges the imperative of addressing climate change through a fair transition, guarantees dignified minimum wages, universal social protection, and fosters principles of equality and inclusion.

The L20 endorsed the three priorities outlined by the Brazilian presidency: reforming global governance institutions, promoting social inclusion and combating hunger and poverty, and advancing sustainable development and energy transitions. These priorities resonate with the group's advocacy for a "New Social Contract" and are expected to prompt tangible actions from G20 countries.

The L20 underscores the importance for the G20 to honor commitments from past summits, emphasizing the promotion of collective bargaining, minimum wages, aligning wage growth with productivity, fostering social dialogue, implementing universal social protection, creating quality jobs, and formalizing labor practices with a focus on workplace safety. These commitments are pivotal in addressing income inequality and redistributing wealth.

The L20 underscores the importance for the G20 to honor commitments from past summits, emphasizing the promotion of collective bargaining, minimum wages, aligning wage growth with productivity, fostering social dialogue, implementing universal social protection, creating quality jobs, and formalizing labor practices with a focus on workplace safety. These commitments are pivotal in addressing income inequality and redistributing wealth.

On the agenda: gender equality and respect for diversity

Participants underscored the significance of integrating into the labor agenda initiatives such as safeguarding democracy, addressing the surge of the far right-wing, promoting solidarity economy, ensuring wage equality between genders, fostering LGBTQIA+ workplace inclusion, advancing technology, facilitating a just transition, and addressing issues directly affecting the global workforce.

"We stand to benefit significantly when the government and employers collaborate to invest in education and training, bolster the social protection system, and uphold human and labor rights across the production chain. As a government prioritizing the welfare of its citizens, particularly the most vulnerable, we are committed to forging a brighter future for all", remarked Luiz Marinho, Brasil's Minister of Labor and Employment, during his participation in the meeting.

Brasil's G20 sherpa, Ambassador Mauricio Lyrio, highlighted that President Lula's administration has facilitated avenues for labor unions to provide input on proposals for inclusion in the G20's final document. According to the ambassador, "the G20 must be more open to the aspirations of civil society". Lyrio elaborated during the meeting, stating, "With 21 G20 members negotiating the text, each with diverse positions, nothing is predetermined; everything is subject to negotiation. Consequently, the contributions of the L20 are absolutely crucial".

Antonio Lisboa, Secretary of International Relations for the Central Única dos Trabalhadores (CUT Nacional), reiterated the commitment of the Brazilian and international labor movements to advocate for workers' rights within the G20 framework. Lisboa added that "We need to understand how to leverage the alignment between the global labor agenda and the agenda set by the Brazilian presidency for the G20. We must conceive a transition that is genuinely fair to ensure that workers worldwide are shielded from the adverse impacts of an inequitable energy or digital transition system".

The primary priorities of the L20 are promoting equality, inclusion, and social justice. The group urges G20 leaders to foster growth driven by environmentally sustainable and equitable employment opportunities, with the goal of generating 575 million high-quality jobs and formalizing at least one billion informal jobs by 2030. Achieving this objective will require investment in environmentally friendly industries and sectors such as infrastructure development, supervision, and the green economy. Additionally, it must entail initiatives for skills enhancement and workforce retraining programs.

Luc Triangle, the General Secretary of the International Trade Union Confederation (ITUC), voiced support for Brasil's priorities during its G20 presidency. Triangle commended Brasil for assuming a leadership role at a pivotal moment characterized by increasing geopolitical tensions that are significantly affecting the cost of living for billions of people globally, alongside the enduring challenges posed by the climate crisis.

"These priorities are in complete alignment with the ITUC's deliberations on the development of new social contracts. These contracts are essential for ensuring a just transition to address climate concerns, incorporating labor protections such as minimum income, alongside universal social protection, equality, and inclusion", he affirmed.

Enhancing social inclusion and combating hunger and poverty

The primary priorities of the L20 are promoting equality, inclusion, and social justice. The group urges G20 leaders to foster growth driven by environmentally sustainable and equitable employment opportunities, with the goal of generating 575 million high-quality jobs and formalizing at least one billion informal jobs by 2030. Achieving this objective will require investment in environmentally friendly industries and sectors such as infrastructure development, supervision, and the green economy. Additionally, it must entail initiatives for skills enhancement and workforce retraining programs.

The L20 reiterated that G20 countries should ratify and implement all core conventions of the International Labour Organization (ILO), ensuring that rights are respected and protected in all countries, and that global supply chains remain free from exploitation, precariousness, violence, harassment, informality, forced labor, and child labor.

Moreover, it is imperative to guarantee that digital transformations facilitate access to quality employment opportunities and ensure an equitable distribution of benefits stemming from profits and productivity gains. Addressing new challenges arising from the digitization of the economy and the integration of artificial intelligence into workplaces and society is crucial. This endeavor should prioritize safeguarding workers' rights while addressing the evolving challenges associated with digitization, such as digital disparities and the protection of personal data and privacy.

Brazilian trade unions, including the Central Única dos Trabalhadores (CUT), Força Sindical, União Geral dos Trabalhadores (UGT), and the Nova Central Sindical de Trabalhadores (NCST), which together organized the meeting, reiterated the invitation for the L20 Summit. This summit is set to occur in Fortaleza, Ceará, on July 23-24, 2024, immediately preceding the ministerial meeting. Spearheaded by the Ministry of Labor and Employment, the Employment Working Group will convene two in-person gatherings: one at the technical level in Brasília from March 27-29, 2024 and another with G20 Ministers in Fortaleza from July 23-26, 2024.

Watch the full event in English

*Based on information from the communications advisory service of the Central Única dos Trabalhadores.

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