International Trade Union Confederation

The trust between working people, government and business is in need of a reboot and only a New Social Contract can guarantee shared prosperity and revitalise communities and economies. Workers want Just Transitions to support them as they reskill for green economies and jobs that counter poverty and exclusion to foster peaceful coexistence. A New Social Contract will be based on respect for workers’ rights, decent jobs that are climate friendly, living wages, universal social protection, equality between social groups and inclusion of working people in decision making.

The global economic model has failed working people. The power and greed of global corporations have captured governments, which now act against the rights and security of their own workers and in favour of multinationals. In global supply chains, 94 per cent of the workforce faces poor working conditions and exploitation due to complex business contracts that make oversight difficult.

The world is richer than ever before, yet 70% of people are denied universal social protection, 84% of people say the minimum wage is not enough to live on and 79% of countries have allowed violations of the right to collectively bargain. This is inequality by design. Corporate greed entrenches inequality, exclusion and despair perpetuating instability for our communities and our planet.

It is time for a New Social Contract.

A New Social Contract would ensure rights were respected, jobs were decent with minimum living wages and collective bargaining, social protection was universal, due diligence and accountability were driving business operations, and that social dialogue ensured Just Transition measures for climate and technology.

We reject the concept of workers as just another productive resource to be exploited. Therefore, the New Social Contract comprises six key elements that define social relations in the world of work and place the human dimension at the centre of socioeconomic development.

Jobs: Governments must work for full employment and decent work, including measures that formalise the informal economy and invest in quality, climate-friendly jobs supported by Just Transitions.

Rights: Governments and employers must ensure business complies with fundamental labour rights as enshrined in ILO (International Labour Organization) conventions and declarations. These include freedom of association, collective bargaining, non-discrimination and equal pay, the abolition of child and forced labour, and occupational health and safety. These rights must apply to all workers, irrespective of their employment arrangements or migration status.

Just wages: Governments must ensure minimum living wages to allow workers a basic level of dignity, as well as strengthened collective bargaining at all levels. They must ensure equal pay for work of equal value between women and men and pay transparency.

Social protection: Governments must ensure universal, well-financed, rights-based and gender-responsive social protection systems, as well as vital public services including health, care, and education. Fair taxation is central for funding these services and for reducing income inequality.

Equality: Governments must address the inequalities that exist between groups in terms of income, gender and race through robust anti-discrimination legislation and enforcement. Gender biases must be tackled in law and policy to ensure a world of work that is free of gender-based violence and harassment in line with ILO C190.

Inclusion: Governments must ensure all processes are democratic and that social dialogue is embedded in all economic policy discussions so that workers have a say in the decisions that impact their everyday lives.