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SPEAKERS'CORNER: Transitioning from the Informal Economy to the Formal Economy: common goal but impossible challenge?

ILO Recommendation No. 204 sets an integrated framework to help design policies and concrete actions to foster the progressive transition from the informal to the formal economy. This framework consists at macro level of Laws, National Plans and key policy areas and at micro-level of policies, programs and collective agreements as tools to put in action what is designed at macro-level.

The transition of workers and economic units to the formal economy can facilitate access to rights at work and social security while improving working conditions. Yet, a series of challenges such as complex registration procedures, bureaucracy, and tax resistance can hinder this process. 

What is your experience? Do you have any example of successful transition to the formal economy? What are the challenges that you faced?"

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Pierre Berman
26 April 2018

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