Sadc discusses formalisation of informal economy

Online Reporter

The meeting of Sadc Ministers of Employment and Labour and Social Partners has started in Victoria Falls amid calls for the region to come up with policies that can formalise the informal sector to achieve sustainable development.

The week-long meeting opened this morning with the Senior Officials meeting, which was officiated by Permanent Secretary for Public Service, Labour and Social Welfare, Mr Simon Masanga.

Mr Masanga is the chairperson of the Sadc Employment and Labour Sector Senior Officials.

Officiating at the meeting, Mr Masanga said the region faces numerous challenges, including high levels of informal employment, limited access to decent work and a skills gap that hinders productivity.

He said employment remains at the core of sustainable development and industrialisation.

“As we meet under the theme of the 44th Sadc Summit “Promoting Innovation to unlock opportunities for sustained economic growth and development towards an industrialised Sadc,” it is important that we reflect on how employment and labour can contribute to this vision.

“Informal employment which accounts for a significant share of economic activity in many Sadc Member States, presents opportunities and challenges.

“On the one hand, it provides livelihoods for millions while on the other, informal employment often lacks social protection, fair wages and adequate working conditions. We must work towards formalisation of the informal economy, which according to the International Labour Organisation, is around 58.8 percent in Africa.

“Addressing informality through appropriate policies and strategies is important for promoting decent work, reducing poverty and achieving sustainable development.

“In addition, the integration of small to medium enterprises into the formal economy is important given their role as engines of job creation and innovation in our region,” said Mr Masanga.

He said there is need to create an environment that fosters innovation, entrepreneurship and sustainable job creation.

The meeting continues with closed-door meetings that will culminate in the ministerial session on Thursday.

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