Report V(1)

Transitioning from the informal to the formal economy

Provides an overview of the informal economy, its impact on the attainment of decent work for all workers and employers and the ILO’s approach to the transition to formality, as set out in the 2002 conclusions.

Conference paper | 23 July 2013
The report provides an overview of the informal economy, its impact on the attainment of decent work for all workers and employers and the ILO’s approach to the transition to formality, as set out in the 2002 conclusions. It covers the regulatory environment relating to the informal economy at national and international levels, with examples of existing laws and practice from different regions, legal systems, traditions and circumstances adopted by ILO constituents to move progressively to the formal economy. Finally, it examines the need for an integrated policy framework, encompassing the ILO’s four strategic objectives (fundamental principles and rights at work, employment, social protection and social dialogue) adapted to the national context of each member State for a progressive transition to the formal economy and decent work. The report is accompanied by a questionnaire, as provided for in article 39 of the Standing Orders of the Conference, which has been drawn up with a view to preparing a Recommendation on facilitating transitions from the informal to the formal economy.