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Forum for the Future of Aid

Southern Voices for Change in the International Aid System Project

The Forum on the Future of Aid is an online community dedicated to research and opinions about how the international aid system currently works and where it should go next

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‘World Bank takes major step on labour standards’

Author: International Trade Union Confederation

In December, the World Bank announced that it would require all project lending (e.g. for large scale infrastructure) through the International Bank for Reconstruction and Development and the International Development Association to meet International Labour Organization’s core labour standards. The private sector lending arm, the International Financial Corporation (IFC), already has such a requirement. While welcome, the move sits in stark contrast to the Bank’s September Doing Business prognosis that calls on government’s to improve their investment climate by promoting greater labour market flexibility. This refers to reforms that make it easier to hire and fire workers, and that set limits on collective bargaining and the rights to unionize.

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