Protection and Training Institutions for Improving Workforce Integration in Latin America and Asia

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The world of work is going through far-reaching transformations. These transformations have a strong impact on labour markets and pose new challenges for their institutions, including unemployment protection and technical and vocational education and training (TVET), which are crucial to the creation of full and productive employment and decent work for all. Constantly changing labour markets and the growing heterogeneity of labour relations present major challenges for the design of unemployment protection instruments. In addition, a highly skilled workforce is a key element for any development strategy that aims to base economic growth on innovation and knowledge. Moreover, national technical and vocational education and training systems must meet increasingly diverse demands from both the production sector and persons seeking decent work. By analyzing recent experiences in Latin America and Asia in relation to unemployment protection and TVET systems, as well as the challenges the countries of the two regions face as they develop these labour market institutions, this volume seeks to contribute to the debate on the formation of labour market institutions that foster sustainable development in a changing world of work.

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Unemployment protection in the Philippines

Unemployment, of the involuntary type, results from changes in labour demand structure or from cyclical fluctuations in the economy. Structural changes often come about as a natural consequence of economic growth where the sources of growth shift from low-productivity to high-productivity sectors. They can also be caused by a sudden shock affecting one or more sectors, for instance, through terms-of-trade changes in relevant inputs and outputs. Cyclical factors can stem from changes in domestic or external aggregate demand. Finally, unemployment can also result from changes at the individual level that affect workers’ ability to work. Regardless of the reason, individuals who become unemployed should still be able to live decent lives.

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