Dawn Business
ISLAMABAD: A new International Labour Organisation (ILO) report calls for a decisive strengthening of social protection systems worldwide, warning that current gaps in coverage, adequacy, and financing are leaving millions of workers unprotected in an increasingly volatile global economy. The report , “Universal social protection in changing labour markets: Protecting workers in all types of employment”, emphasised that reinforcing social protection systems is essential to ensure that all workers, across all types of employment, are protected against social risks and can navigate profound labour market transformations. A central message of the report, released on Friday, is that strengthening social protection requires sustainable and equitable financing mechanisms. It highlights the role of domestic resource mobilisation — including social security contributions and progressive taxation — as core to financing strategies, complemented, where necessary, by public subsidies to include workers with limited contributory capacity. This approach enables risk-sharing, redistribution, and long-term system sustainability. The report also recognises that for countries with insufficient fiscal capacity, international solidarity remains essential to support the development of social protection systems and to prepare for or respond to crises. To address persistent coverage gaps, the report called for a systematic extension of coverage, ensuring that all workers, including temporary, part-time, and self-employed workers, are adequately protected. It highlighted country experiences in extending social insurance coverage to worker categories that often face gaps in protection, such as those in micro- and small enterprises, agriculture, domestic work, complex employment arrangements, and self-employment. Ensuring that workers across all types of employment are adequately covered not only supports social and economic objectives but also facilitates the transition from the informal to the formal economy. Beyond extending coverage, the report stressed the urgent need to improve the adequacy and comprehensiveness of benefits to increase their effectiveness in preventing poverty and reducing vulnerability. Published in Dawn, April 12th, 2026
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