L20 Summit calls for a New Social Contract to tackle inequality and drive decent work – International Trade Union Confederation

L20 Summit Report: Advancing Global Equity and Sustainable Development Goals
Summit Overview and Core Objectives
Trade union leaders from G20 nations and guest countries convened at the L20 Summit to address critical issues impacting the global workforce. The discussions were framed to advance progress on the United Nations Sustainable Development Goals (SDGs).
- Industrial Policy and a Just Transition: Aligning industrial development with SDG 8 (Decent Work and Economic Growth), SDG 9 (Industry, Innovation and Infrastructure), and SDG 13 (Climate Action).
- Labour Rights, Informality, and Precarious Work: Focusing on SDG 8 by promoting secure employment and protecting workers’ rights.
- Taxation and Debt: Addressing systemic issues that impact national capacities to fund programs for SDG 1 (No Poverty) and SDG 10 (Reduced Inequalities).
- Digitalisation and AI: Examining the impact on the future of work and ensuring technological advancements contribute to SDG 8.
High-Level Dialogue on SDG 8 and SDG 10
A key session involved a dialogue between L20 representatives and G20 Labour and Employment Ministers, moderated by ITUC General Secretary Luc Triangle. The primary focus was on developing joint strategies to combat inequality and promote inclusive economic growth, directly targeting SDG 10 and SDG 8.
- Participants, including ministers from South Africa, the UK, Germany, France, and the ILO Director General, shared initiatives aimed at advancing decent work and strengthening the social contract.
- Emphasis was placed on G20 commitments to advance SDG 5 (Gender Equality) by improving women’s labour force participation.
- The dialogue highlighted the critical role of living wages, decent work, and robust social protection systems in achieving SDG 1 (No Poverty) and ensuring workers receive a fair share of GDP, a core tenet of SDG 10.
G20 Labour and Employment Ministers’ Meeting (LEMM) Outcomes
L20 Delegation Priorities
An L20 delegation presented trade union priorities at the G20 LEMM, advocating for policies that ensure a worker-centred approach to global challenges. The delegation stressed that strong social dialogue and collective bargaining, cornerstones of SDG 16 (Peace, Justice and Strong Institutions), are essential for implementing policies that support SDG 1 and SDG 8.
G20 Ministerial Declaration: Reaffirming Commitments to the SDGs
Trade unions acknowledged the adoption of the G20 Labour and Employment Ministerial Declaration, which reaffirms several SDG-related commitments.
- The declaration reinforces commitments to advancing SDG 8 (Decent Work and Economic Growth) and SDG 10 (Reduced Inequalities) through the creation of quality jobs and policies to reduce disparities in the world of work.
- It recognizes the importance of strengthening social protection systems, a key component of achieving SDG 1 (No Poverty).
- It emphasizes the protection of labour rights, freedom of association, and effective social dialogue, which are fundamental to SDG 16 (Peace, Justice and Strong Institutions) and SDG 8.
- The declaration supports responsible business conduct and due diligence in global supply chains, contributing to SDG 8 and SDG 12 (Responsible Consumption and Production).
Specific Targets and Goals for Sustainable Development
The G20 Ministers adopted several time-bound targets to accelerate progress on key SDGs.
- Youth Employment (SDG 8.6): The Nelson Mandela Bay G20 Youth Target aims to reduce the rate of youth Not in Education, Employment or Training (NEET) by a further 5% by 2030. This includes strengthening transitions from education to work through investment in quality TVET, aligning with SDG 4 (Quality Education).
- Gender Equality in Labour (SDG 5.5 & SDG 8.5): The Brisbane–EThekwini Goal extends the commitment to reduce the gender gap in labour force participation by 25% by 2030.
- Gender Pay Equity (SDG 5.1 & SDG 8.5): A new commitment was made to progressively reduce the gender wage gap by 15% by 2035, with a potential review to increase this ambition to 35%.
Analysis and Concluding Remarks
The trade union response to the declaration was mixed. While positive commitments were noted, certain gaps were identified.
- Positive Developments: The inclusion of commitments to promote wage-setting mechanisms and adequate minimum wages was welcomed as a step toward addressing low pay and supporting SDG 8.
- Identified Shortcomings: A significant regret was the declaration’s failure to include a strong reference to living wages. Trade unions view living wages as a crucial tool for reducing inequality and advancing social justice, making them essential for achieving SDG 1 (No Poverty) and fulfilling the promise of SDG 8.
1. Which SDGs are addressed or connected to the issues highlighted in the article?
Based on the article, the following Sustainable Development Goals (SDGs) are addressed:
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SDG 1: No Poverty
The article connects to this goal through its emphasis on policies aimed at lifting workers out of poverty. The statement by Luc Triangle, “to give them the means to take themselves out of poverty,” directly addresses the core mission of SDG 1. The discussion around “living wages” and “strong social protection” also aligns with creating economic floors to prevent poverty.
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SDG 4: Quality Education
This goal is addressed in the section on the G20 Labour and Employment Ministerial Declaration. The ministers committed to “strengthen education-to-work transitions through investment in quality TVET (Technical, Vocational and Educational Training), apprenticeships, in-work learning and upskilling/reskilling.” This directly relates to providing inclusive and equitable quality education and lifelong learning opportunities.
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SDG 5: Gender Equality
The article highlights several commitments aimed at achieving gender equality. It mentions the “Brisbane–EThekwini Goal, which extends their commitment to reduce the gender gap in labour force participation.” Furthermore, it details commitments to “progressively reduce the gender wage gap and to advance equal pay for work of equal value,” which are central tenets of SDG 5.
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SDG 8: Decent Work and Economic Growth
This is the most prominent SDG in the article. The entire text revolves around promoting “decent work,” “quality jobs,” and protecting “labour rights.” Key themes include fighting “informality and precarious work,” promoting “freedom of association, collective bargaining and tripartite social dialogue,” and ensuring “wage-setting mechanisms and wage protection policies.” The focus on reducing youth unemployment (NEET rates) and achieving “real wage growth” are also core components of SDG 8.
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SDG 10: Reduced Inequalities
The article repeatedly emphasizes the goal of “fighting inequalities” and “reducing inequality.” The L20 and G20 meetings focused on joint approaches to this issue, aiming for “a fair share of income for workers” and “increasing the labour income share of GDP.” The specific goals to reduce gender gaps in participation and pay, and to support youth employment, are presented as direct actions to reduce inequalities within and among countries.
2. What specific targets under those SDGs can be identified based on the article’s content?
The article’s content points to several specific SDG targets:
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Target 1.3: Implement nationally appropriate social protection systems and measures for all, including floors, and by 2030 achieve substantial coverage of the poor and the vulnerable.
This target is identified through the repeated emphasis on the importance of “strong social protection” and its role in the “fight against inequalities.” The declaration’s recognition of strengthening social protection aligns directly with this target.
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Target 4.4: By 2030, substantially increase the number of youth and adults who have relevant skills, including technical and vocational skills, for employment, decent jobs and entrepreneurship.
This is directly referenced by the G20 Ministers’ commitment to “strengthen education-to-work transitions through investment in quality TVET (Technical, Vocational and Educational Training), apprenticeships, in-work learning and upskilling/reskilling.”
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Target 5.5: Ensure women’s full and effective participation and equal opportunities for leadership at all levels of decision-making in political, economic and public life.
The “Brisbane–EThekwini Goal” to “reduce the gender gap in labour force participation by 25% by 2030” is a direct effort towards achieving this target by addressing women’s participation in economic life.
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Target 8.5: By 2030, achieve full and productive employment and decent work for all women and men, including for young people and persons with disabilities, and equal pay for work of equal value.
This target is central to the article. It is supported by the push for “decent work and quality jobs,” the commitment to “advance equal pay for work of equal value,” and the promotion of “living wages” and “statutory or collectively negotiated minimum wages.”
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Target 8.6: By 2020, substantially reduce the proportion of youth not in employment, education or training.
The article explicitly mentions a new, extended version of this target: the “Nelson Mandela Bay G20 Youth Target, to reduce NEET among 15–29 year-olds by a further 5 per cent by 2030.”
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Target 8.8: Protect labour rights and promote safe and secure working environments for all workers, including migrant workers, in particular women migrants, and those in precarious employment.
This is reflected in the declaration’s inclusion of “protecting labour rights,” the recognition of “freedom of association, collective bargaining and tripartite social dialogue,” and the focus on combating “informality and precarious work.”
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Target 10.4: Adopt policies, especially fiscal, wage and social protection policies, and progressively achieve greater equality.
The discussions on “fostering real wage growth,” “increasing the labour income share of GDP,” promoting “wage-setting mechanisms,” and strengthening “social protection” are all policy actions directly aligned with this target to reduce income inequality.
3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?
Yes, the article mentions several specific, quantifiable indicators to measure progress:
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Proportion of youth (aged 15-29) not in education, employment or training (NEET rate)
This is explicitly mentioned with a quantifiable goal: “to reduce NEET among 15–29 year-olds by a further 5 per cent by 2030.” This is the official indicator for SDG target 8.6.
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Gender gap in labour force participation
The article states a clear goal “to reduce the gender gap in labour force participation by 25% by 2030,” making this a key performance indicator for tracking progress on SDG 5.
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Gender wage gap
A specific target is set for this indicator: “to work towards reducing the gender wage gap by 15% by 2035, with a view to reviewing this ambition after five years to increase this commitment to 35% by 2035.”
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Labour income share of GDP
This is mentioned as a key priority in the dialogue session: “increasing the labour income share of GDP.” This is a direct indicator (8.2.2) used to measure whether economic growth translates into fair income for workers.
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Implementation of living wages and minimum wages
While not quantified with a universal number, the promotion of “living wages” and “adequate statutory or collectively negotiated minimum wages” is presented as a key policy tool. Progress can be measured by the number of countries adopting and enforcing such wage policies.
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Coverage of collective bargaining
The article’s strong emphasis on “freedom of association, collective bargaining and tripartite social dialogue” implies that the rate of collective bargaining coverage is a crucial indicator of success in protecting labour rights (SDG 8.8).
4. Table of SDGs, Targets, and Indicators
SDGs | Targets | Indicators Identified in the Article |
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SDG 1: No Poverty | 1.3: Implement nationally appropriate social protection systems. | Implementation of “strong social protection” systems. |
SDG 4: Quality Education | 4.4: Increase the number of youth and adults with relevant skills for employment. | Investment in quality TVET, apprenticeships, and upskilling/reskilling programs. |
SDG 5: Gender Equality | 5.5: Ensure women’s full and effective participation in economic life. | Reduction of the gender gap in labour force participation by 25% by 2030. |
Related to 5.1 (End discrimination) and 8.5 (Equal pay). | Reduction of the gender wage gap by 15% by 2035. | |
SDG 8: Decent Work and Economic Growth | 8.5: Achieve full and productive employment and decent work, and equal pay for work of equal value. | Promotion of “living wages” and “adequate statutory or collectively negotiated minimum wages.” |
8.6: Reduce the proportion of youth not in employment, education or training (NEET). | Reduction of the NEET rate among 15–29 year-olds by 5% by 2030. | |
8.8: Protect labour rights and promote safe and secure working environments. | Promotion of freedom of association and collective bargaining (implies union density/bargaining coverage as an indicator). | |
SDG 10: Reduced Inequalities | 10.4: Adopt policies, especially fiscal, wage and social protection policies, to achieve greater equality. | Increasing the labour income share of GDP. |
Source: ituc-csi.org