an Integrated Social Protection and Employment Strategy for

an Integrated Social Protection and Employment Strategy for Cambodia National Tripartite Dialogue, March 2012, Phnom Penh

Overview Outline of this presentation: 1. the need for a NES – what are the core issues to be addressed? 2. the approach towards a NES in an overview 3. identification of priority sectors: the ‘growth diamonds’ 4. identification of the sector needs 5. organizing stakeholder involvement: sector platforms 6. the ingredients for the NES 7. linking the NES with the existing strategies – in particular the NSPS 8. ALMPs one important item in the integrated NE/SPS 9. SP schemes for the working age population, a second important item 10. the governance structure 11. implementation issues – in particular: how to reach out to informal sector 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue workers? 2

(1) the Need for a NES What is the need for an employment stategy? to complement for a missing link in the overall planning framework! because evidence reveals that economic growth alone is just not sufficient… … more than a decade of impressive GDP growth and still: more than 80 percent of Cambodian workers are ill-protected against the risks of life Cambodia is lagging behind within the ASEAN in terms of productivity hence…: what are the core issues? to raise productivity, through building on human capital and meet the needs of the labor market to include the vulnerable and poor into the formal sector and create decent job opportunities 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 3

(2) the approach towards a NES What should be the approach? to identify priority sectors to identify the needs in these sectors to identify the stakeholder actors to formulate the ingredients for a NES – that is the areas the NES should look in to to define the indicators to set targets and measure progress 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 4

(3) identification of the priority sectors point of departure: the NSDP Update it is imperative to connect to the NSDP Update 2009 -2013 the NSDP lists a number of priority areas in these areas a coordinated effort has to be organized these could become Cambodia’s future: ‘Growth Diamonds’ the concept of ‘growth diamonds’ helps to sharpen the focus not just ‘comparative’ advantage but ‘competitive’ advantage is the aim! 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 5

(4) identification of the sector needs What is required to establish these growth diamonds? enabling technical conditions enabling economic conditions legal and institutional constraints ü NECESSARY CONDITIONS social requirements human capital requirements ü SUFFICIENT CONDITIONS 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 6

(5) identification of the stakeholders organizing the social dialogue… establish platforms at the sector level include all stakeholder ministries and agencies in these platforms… … and include the social partners! … at the strategic and operational levels the platforms have a role at the strategic level: propose policies and also at the operational level: tackle implementation issues 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 7

(6) identification of the elements in the NES the ingredients of the NES Labor Law industrial relation regime the link between education and the labor market – this includes vocational training other ALMPs and the NEA the NES is in the lead tax measures infrastructure and technological development the macroeconomic environment and governance regime the NES is NOT in the lead SMART indicators have to be defined this helps to define the objectives and measure progress over time 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 8

(6) elements in the NES (continued) the growth diamond approach the indicators in the NES can be visualized … … and made operational along the five dimensions of the Growth Diamond… … in this manner, when the sector develops its growth potential, over time, the diamond will become larger 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 9

(7) integrating the NES with the NSPS the overlap between the NES/NSPS overlap exists, in particular in the area: ALMPs, … … and in the establishment of work-related social protection schemes hence: the two strategies need to be formulated and implemented in an integrated manner! need for a macro-level national institutional framework (interministerial) that can oversee the development and monitor policies and dialogue 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 10

(8) ALMPs: TVETs and the role of the NEA TVET: what are the challenges? making TVET attractive for students making TVET programs more responsive to labor market needs – present and future! making TVET address SME startup skill requirements establishing accreditation and international recognition of certificates establishing access to TVET facilities nationwide (including through e-learning facilities) provide school dropouts with a LM entry certificate develop lifelong learning programs NEA: what are the challenges? developing its LM matching function establishing a national vacancies database and methods to canvas for vacancies establishing a vocational skills (competencies) database establishing an IT infrastructure for the above tasks organizing training and placement services – either ‘in house’ , or via contracted (private) services (in the latter case) the challenge is to be a good commissioner! 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 11

(9) work related social protection schemes Important to maintain the link with activation introduce conditionalities in the schemes: ‘mutual obligations’ provide financial support when students enroll in technical training (scholarships) link benefit provision with participation in public work programs… … however, avoid ‘lock in effects’! introduce horizontal social protection schemes with a ‘tiered’ structure establish individualized case management for multi-problem families (relates to the Single Windows) 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 12

(10) governance What could the governance structure look like? 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 13

(11) implementation issues Outreaching to informal sector workers and their families the Social Protection Floor initiative: establishing ‘virtuous circles’! the single windows: the PEOPLES Service ‘marketing the services’ – that is: convincing the workers and their employers that it pays to be in formal employment! 16 March 2018 Integrated SP/ES for Cambodia, National Dialogue 14