Learning and Working in the Informal Economy – What do we Know and What Should we Do? A German perspective

In order to systematise existing theoretical and practical knowledge on learning and working in the informal economy, the BMZ recently commissioned the GIZ to develop an online platform bringing together the results of academic research and experiences from practitioners. This toolkit is now available in English at http://www.giz.de/toolkit-informal-economy.

NORRAG NEWSBite

By Léna Krichewsky, The Otto-von-Guericke University Magdeburg.

toolkitThe share of self-employed workers and employees without regular work contracts is rising globally, reaching over 70% of the workforce in African countries like the Ivory Coast, Mali or Zambia, and over 60% in Bolivia, Honduras, Nicaragua or Paraguay. The problems associated with informality – poverty, precarious work conditions, gender inequalities and social as well as economic marginalization, among others – are not new and have been described and analysed for over 40 years by numerous economists and social scientists. By asking “Is informal normal?”, the OECD has, however, been challenging our perspective on the phenomenon, prompting us to reconsider what we already know about the causes and consequences of informal employment and how we deal with it.

Taking the example of German development cooperation policy in Vocational Education and Training (VET), changing perspectives on the informal economy can be observed to…

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