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INCREASE
PRODUCTIVE EMPLOYMENT by Marcos Arruda
Abstracted
from 'Taking Social Development Seriously' presented at
the 'Joint Norwegian NGO Forum working group on the UN
World Summit for Social Development (WSSD)', 1995.
The
wildly competitive atmosphere dominating liberalised
markets in a context of growing deregulation is at the
root of feverish appropriation of the gains of
productivity by corporations both domestically and
globally. This, and not necessarily technological
innovation and the improvements in the organisation in
the production of goods and services, is the determining
factor of the widespread phenomenon of jobless growth.
The
macrosocioeconomic corollary of this process is the
aggravation of a fundamental illness of the global
economy, ie. income and wealth concentration. Such a
contradictory development is afflicting the modern
sectors of the developing economies as well as the highly
industrialised economies and may be the most paradoxical
trait of the contemporary market-centred economy. In the
South, particularly predominantly rural societies,
unemployment is also generally determined by land
concentration, inadequate methods and rhythms of
agricultural modernisation and unplanned, disruptive
displacement of rural labourers. In countries as
culturally and geographically distant as Nepal and
Brazil, a key socioeconomic demand is agrarian reform.
Three
different groups of citizens have become the targets for
an urgent change in policy. First, those who remain
employed; second, the unemployed who find alternative
means of survival in the form of an underground activity
in the so-called informal economy; and third, those who
lose their jobs and become chronically unemployed.
Effective solution to the three categories are needed if
sustainable human development is to be more than an empty
slogan.
The
proposals included in preparations for the WSSD are
important but insufficient. Contemporary proposals to
governments and the International Financial Institutions
(IFIs) include:
- efforts
toward democratising the state, and empowering it
to foster labour-intensive development
strategies, must be given priority;
- promotion
of policies and legal, financial and managerial
mechanisms to democratise the gains of
productivity, including the sharing of ownership
of productive resources among those who directly
create those gains. This will allow enterprises
to adopt schemes of shared labour time, reduced
working weeks and even reduced monetary wages
without necessarily reducing the labour income;
- promotion
and implementation of comprehensive policies of
agrarian reform, including land redistribution,
technical and managerial capacity building,
support to associative forms of agricultural
production and access to credit and appropriate
technology;
- conceptual
and policy changes, pointing toward an organic
understanding of society and its individual
components, so as to integrate all socially
useful activities under the category of human
labour that should be renumerated, including the
work of women who tend their homes and raise
their children, laying the foundations for the
future citizens of the world;
- policies
aimed at multiplying socially useful
opportunities both in the contexts of markets and
of governments. Countless activities which are
apparently or effectively non-marketable, or are
marginal to the country's economy, particularly
in public services, should be promoted by local,
regional and national governments. Financing can
be created through fiscal mechanisms that
guarantee the redistribution of socially created
surpluses throughout society;
- efforts
toward establishing a variety of new forms of
renumeration - monetary and otherwise - beside
fair wages, aimed at ensuring a minimum guarantee
of survival and of sustainable human development
to all citizens and a fair distribution of the
productivity gains on behalf of society as a
whole;
- promotion
of policies to direct investment and credit to
village and community development both also as an
efficient strategy for sustainable human
development;
- efforts
toward enhancing NGO capacity to generate
productive jobs and provide basic services to
people, by themselves or in independent
collaboration with governments and, eventually,
with private enterprises;
- support
to South-South collaboration and complementarity
in trade, services and in building regional human
security;
- promotion
of policies to enhance the capacities of
community-based organisations and NGOs. Human
resource development should strengthen the
community, rather than the individual, and
empower men and women for human development.
Marcos
Arruda is economist and educator, coordinator of the NGO
Working Group on the World Bank (Geneva), member of
PACS-PRIES (Rio de Janeiro) and fellow of the
Transnational Institute (Amsterdam). From DEVELOPMENT
1995:3 Journal of SID.
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