MEASURING DECENT WORK USING STATISTICAL INDICATORS

Richard Anker

ILO Senior Advisor

Strategy on Labour Statistics

OUTLINE SLIDE

Background on Advisory Group on Statistics (AGS)• Why statistical indicators to measure decent work• What is decent work and possible organising

frameworks for decent work statistical indicators• Specific indicators of decent work: Some possibilities• Some technical issues needing discussion and

thought for identifying decent work indicators• Integrating Office work on measuring decent work:

How to go about it

BACKGROUND ON ADVISORY GROUP ON STATISTICS (AGS)

• AGS report: Office-wide strategy and recommendations on statistics (available for dissemination)

• Publication: ILO multi-country databases (available for dissemination)

• Follow up– Need for integration across Office and Office working together (HQ

& Field; STAT and Sectors)

– Need for further development of statistics in Office (quality, coverage, dissemination, usability etc.)

– Some specific newer needs (e.g. acceptable world estimates; comparable data series; state-of-world reports; improved data collection; measuring decent work)

WHY STATISTICAL INDICATORS TO MEASURE DECENT WORK

• To measure decent work objectively• To monitor and evaluate situation progress on decent work• To communicate with constituents and public• To provide framework for organising and focussing ILO work• To provide framework for technical advice

NEED FOR STATISTICAL INDICATORS OF DECENT WORK

“ One important area in which we clearly need to invest is our information systems. In order to effectively promote the goal of decent work for all, the Office must be able to measure and monitor progress and deficits, and to respond to the demands of constituents and the general public for information about these issues. We have to have up-to-date and readily usable information on all aspects of decent work which can support diagnosis, evaluation and policy design.

 We need to make a major investment in the design and implementation of our data and statistical base. We have defined our four strategic objectives and we now need to measure our progress. “ (Director General, ILC, 2001)

WHAT IS DECENT WORK AND POSSIBLE ORGANISING FRAMEWORKS FOR DECENT WORK

STATISTICAL INDICATORS

• Many possible frameworks and examples• Four ILO pillars are best for ILO• AGS list• Other ILO lists (e.g. AGS; DW/PP; KILM; SES/IFP; LABORSTA;

Multi-country databases)• Other non-ILO lists (e.g. EU)• Considerable further work and thought required to establish

Decent Work indicator lists

NOTE: SERIES OF LISTS ARE INCLUDED AT THE END OF THESE NOTES

“There are four main dimensions [of decent work]: (i) work and employment itself; (ii) rights at work; (iii) security; and (v) representation and dialogue.

There are questions of both quanitity and quality [for employment]. It is not enough to have work; we also have to take into account the content of this work… The employment goal is best expressed as adequate opportunities for productive and meaningful work in decent conditions….

Basic rights at work have been expressed in the ILO’s core labour standards… Security is a powerful need. Work [can be insecure] because it is irregular or temporary, or income varies, or it is physically risky…

Representation and dialogue is the way in which people’s voices can be heard [at work]. It is through social dialogue that widespread support fro the other three dimensions of decent work may be built” (Gerry Rodgers, 2001)

SOME TECHNICAL ISSUES NEEDING DISCUSSION AND THOUGHT FOR IDENTIFYING DECENT WORK

INDICATORS

Discussion less necessary (more like statements)

• Need for international comparable data series (at present, much more data available for Employment issues among four Sectors)

• Need for restricted core list of DW indicators for international comparability

• Need for longer lists of DW indicators for national exercises• Data availability vs. desirability/relevance (different choices for

internationally comparable data series and national excercises)• Need for absolute measures and relative measures (e.g. “low “

pay; “poverty “; working poor)

Discussion important

• Need for qualitative indicators (e.g. rights; perceptions; laws) and quantitative indicators for labour market outcomes (e.g. employment; wages)

• Need to measure at macro (international/national/regional), meso (enterprise), and micro (individual/household) levels– Conceptual relevance differences by level

– Limitations and advantages of data sources from each aggregation level

– Possibility of collecting new data vs. only using available data

Some examples of national level and individual level indicators for similar phenomenon

National Individual

Job stability(% LF< 1 year with present main work/job; average duration of present main work/job)

Number of times changed job in past yearLength of time in current work/jobPerception of ability to keep current job for next 12 months

Statutory minimum wage rate(real level)(level relative to average wage)

_

SECURITY AND SOCIAL PROTECTION

Experiences of violenceExperience of terrorismPerceived fear of terrorism

Crime statisticsTerrorist acts

Ability to get work regularlyRegularity of income from work

Physical security

Job and income stability

Societal minimum wage

Income stability

Union density rate (% LF) Presence of union at work siteWhether union member

Collective bargaining coverage rate (% LF)

Perception of union independence from management/employerWhether grievances and problems heard/considered by management/employerOpportunity to vote regularly in union

Strikes and lockouts Circumstances when willing to strike

REPRESENTATION AND DIALOGUE

Dialogue and being heard

Group representation

Ukraine Indonesia Argentina Brazil Chile

Very confident/confident/think so 44.9 47.9 51.1 55.5 56.8

Not sure/uncertain/don't know/can't say 48.6 41.7 17.4 19.3 27.2

Not confident/probably wil lose/expect ot lose 5.7 10.7 30.7 25.1 14.4

Ukraine Argentina Brazil ChilePromotion opportunities

Very satisfied/satisfied 23.0 31.3 34.2 40.3Neither 42.4 31.5 20.5 29.6Dissatisfied 34.6 37.2 45.4 30.0Net score -11.6 -5.9 -11.2 10.3Wage or income

Very satisfied/satisfied 21.7 31.9 35.1 36.1Neither 13.6 22.2 21.9 24.6Dissatisfied 64.7 45.9 43.0 39.4Net score -43.0 -14.0 -7.9 -3.3

EXPRESSED CONFIDENCE IN KEEPING PRESENT MAIN JOB/WORK FOR NEXT 12 MONTHS IF WANT TO

EXPRESSED SATISFACTION WITH MAIN JOB/WORK

Examples of results from perception questions from People’s Security Surveys of IFP/SES

• Discussion necessary

• Aggregation into one number vs. reporting separate aspects only– National Decent Work Index (DWI) vs. only aspects of decent work

– Type of job/work vs. only elements of job/work

• Universality vs. vary by development level or region (e.g. allowing relative importance/weights to differ by region/development level)

 

Type of job (% employed)Low pay/low

productivityb

Fixed term or short term or

no contractc

Employer training provided

1. Dead end -8% Yesd Yes No

4. Good quality -38% No No YesNotes:

Yes

Yes

JOB TYPE CLASSIFICATION IN EUROPEa

a. 1996b. Pay below 75 percent of country median wage ratec. Jobs must be in non-supervisory functiond. Could also be above low pay into reasonable pay (of 8%, 3% had low pay)

(If yes, in either of these two columns)

(If yes, in either of these two columns)3. Reasonable quality -37% No

2. Low pay/productivity -17% Yes

Example from EU of aggregating aspects of jobs into an aggregate composite job type

INTEGRATING OFFICE WORK ON MEASURING DECENT WORK: HOW TO GO ABOUT IT?

• Need for Office-wide effort and co-operation– Data users and producers working together

– Field and HQ working together for collection

– Sectors and field discussions to identify specific indicators

– DCOMM and improving communications and headline world estimates

• Need for senior management to monitor activities and ensure Office-wide integration

• Need for national DW exercises• Need for international comparable data series

• Philippe Egger and Werner Sengenberger, Decent Work Issues and Policies, January 2001

– Access to employment (voluntarily)– Fair and equal treatment in employment (no discrimination or

harassment)– Decent remuneration of work (and living wage)– Fair conditions of work (intensity and overwork and hours)– Safe work environment (and conditions)– Protection in case of unemployment– Social protection and employment (work-related problems and old

age)– Employment and training opportunities (to develop skills)– Participation (in decisions affecting one directly) and motivation– Voice and collective participation

• Possibility to voice complaints and grievances• Workers groups

AGS LIST OF TOPIC AREAS

– Labour utilisation and employment

– Labour under-utilisation and labour stock

– Social dialogue and worker representation

– Quality and security of work

– Core labour standards and fundamental rights at work

– Worker protection and vulnerability

– Wages and income

– Labour costs and labour productivity

– Poverty and inequality

SPECIFIC INDICATORS OF DECENT WORK:SOME POSSIBILITIES (AGS REPORT)

work sector Could be available soon with sufficient effort (Table 1)

Available after further considerable time

and effort (Table 2)

Fundamental rights at work Child labour* Hazardous (and worst) child labour

Freedom of association and collective bargaining

Discrimination

Employment and labour utilisation LF and employment

Unemployment

Employment structure

Hours of work

Wages

Informal sector

Labour productivity

LF by family responsibility

Part-time employment

Skill of LF

Employment by size of establishment

Annual work hours

Working poor based on LM definition

Social protection Occupational injuries

% GDP on social protection

Statutory minimum wage*

Poverty based on HH income definition

Social protection coverage and benefit levels

Contract type

Job/work stability

Place of work

Socio-economic security

Social protection Occupational injuries

% GDP on social protection

Statutory minimum wage*

Poverty based on HH income definition

Social protection coverage and benefit levels

Contract type

Job/work stability

Place of work

Socio-economic security

Social dialogue Union membership*

Strikes and lockouts

Collective bargaining coverage

QUALITY OF EMPLOYMENT (EUROPEAN COMMISSION)

• Intrinsic job quality• Skills and life-long earning• Gender equality• Health and safety at work• Flexibility and security• Inclusion and access to the labour market• Work organisation and work-life balance• Social dialogue and worker participation• Diversity and non discrimination• Overall work performance

KILM VARIABLES

LABOUR FORCE ACTIVITY AND INACTIVITY• Labour force participation rate• Inactivity rate for persons 25-54

EMPLOYMENT• Employment to population ratio• Employment status• Employment by sector• Part-time employment• Hours of work• Urban information sector employment

UNEMPLOYMENT• Unemployment, total• Youth unemployment rate• Long-term unemployment rate• Unemployment by educational attainment• Underemployment (time-related)

EDUCATIONAL ATTAINMENT AND ILLITERACY

WAGE AND LABOUR COSTS AND PRODUCTIVITY• Real manufacturing wage indices• Hourly compensation costs• Labour productivity• Unit labour costs

POVERTY AND INCOME DISTRIBUTION

MULTI-COUNTRY STATISTICAL DATABASESIN STAT

Employment and unemployment• ILO Umbrella database on labour statistics (LABORSTA)• ILO Comparable employment and unemployment estimates• Informal sector employment• Employment and unemployment

– (monthly, quarterly, half-yearly)• Economically active population• Employment and unemployment• Sex segregation of occupations• Public sector employment• Economically active population 1950-2010

Wages• Wages• Minimum wages• Hours of work and wages

– (monthly, quarterly, half-yearly)• Wages and hours of workPrices• Food prices (October Inquiry)• Consumer prices (annual)• Consumer prices (monthly)Other• Trade union membership• Occupational injuries• Strikes and lockouts• Hours of work• Labour cost in manufacturing• Household income and expenditure statistics