Project background

The project aims to contribute to the reduction of decent work deficits and gender inequalities in the informal economy and promote the transition to the formal economy in Nepal, India, and Pakistan.

Project objectives

The Covid-19 pandemic has had a negative impact on the national economies, employment, and societies across South Asia, exposing weaknesses in the current labor market structure where informal employment is prevalent in all sectors. Despite the gradual improvement, the recovery progress in the economy or labor market is quite uneven, and vulnerability still exists in many parts of the region. Especially the workers and economic units in the informal economy still suffer largely from the lingering impact of the pandemic, with many remaining unemployed or only partially employed, with a drastic fall in income. This vulnerability is further compounded by the lack of access to formal social security systems typical in the informal economy, which deprives workers of an opportunity to move away from precarious conditions. Additionally, the pandemic has deepened gender disparities in income and employment between women and men, especially in the informal economy. Women workers have been disproportionately affected by the pandemic, with several of the hardest-hit occupational groups predominantly occupied by women.

To address these challenges, the International Labour Organization (ILO) launched the “Building Resilience for the Future of Work and the Post COVID-19 (PRS/STRIDE)” Project in 2021 with funding support from the Government of Japan. The project has provided necessary support and protection for informal workers and economic units in vulnerable situations, especially focusing on women, and promoted their formalization by collaborating with social partners across South Asia. While the project has achieved the intended outcomes by providing support to more than 20,000 informal workers and economic units, including domestic workers, cleaning and sanitation workers, and small business owners, realizing policy actions for formalization and gender equality, it has also identified a need for continuous support for informal workers and economic units. In response, the Government of Japan has come forward to continue providing financial support and establish PRS Phase II of the project to sustain ongoing works in India, Nepal, and Pakistan. Succeeding the outcomes of PRS/STRIDE, the project aims to continuously contribute to the reduction of decent work deficits and gender inequalities in the informal economy and promote the transition to the formal economy in Nepal, India, and Pakistan.

Project outcomes:

PRS Phase II works to realize the following project outcomes.
•    Strengthen the capacity of social partners to implement strategies to promote formalization and gender-responsive COVID-19 recovery.
•    Realize the enhanced partnership and coordination among the constituents and other stakeholders for identifying and implementing policy actions to promote formalization and gender-responsive COVID-19 recovery.
•    Gain awareness and support from wider stakeholders, including the general public, for the issues of informality and the vulnerability of workers and economic units in the informal economy.

Implementing partners in Nepal:

•    Ministry of Labour, Employment and Social Security (MoLESS)                           
•    All Nepal Federation of Trade Unions (ANTUF)
•    General Federation of Nepalese Trade Unions (GEFONT)
•    Nepal Trade Union Congress (NTUC)
•    Federation of Nepalese Chambers of Commerce & Industry (FNCCI)

Country/Subregion/region:

Nepal, India, and Pakistan

For further information please contact:

Mr Shusuke Oyobe
Project Technical Officer
ILO Country Office for Nepal
Email: oyobe@ilo.org