World Bank acknowledges 'valuable' role of unions

A new World Bank report published today has acknowledged the valuable role trade unions play in society.

The ICFTU today welcomed the findings of the World Bank's annual World Development Report (WDR), entitled Equity and Development: Equity Enhances the Power of Growth to Reduce Poverty.

The report stresses the importance of respecting core labour standards and presents a generally positive assessment of the role that trade unions play in equitably distributing the benefits of economic growth.

The WDR said that labour regulations and strong protection of workers' rights are key factors in achieving equitable growth and development.

"Like many Bank publications, the 2006 WDR includes some stereotyped and negative references to trade union actions that simply aren't realistic," said ICFTU General Secretary Guy Ryder, "But the fact that the report recognizes the positive social and economic role of trade unions, and advocates defending workers' rights, is an improvement."

The 2006 WDR notes that "Free trade unions are the cornerstone of any effective system of industrial relations," and that unions have been "a force for progressive political and social change in many countries."

Among other conclusions, it recommends that governments focus on efficient legislation and regulation that shift jobs away from underpaid and dangerous employment towards better working conditions and wages, particularly where workers in the informal economy are concerned.