Possible Solutions For Relieving the Burden on Informal Workers
Some countries in the developing world have taken numerous measures for the relief of workers in trouble. There are good practices implemented in some countries that can be widely promoted. For government actors, the most direct way to help informal workers is cash transfer programs.
- Cash Transfers to Replace Income
Some jobs in the informal economy do not fall into the “essential” category according to the government’s standards, and workers are forced to stop working without paid-leave. A direct way for governments to help is launching Cash Transfer Programs. For instance, in India, the Finance Ministry released a total package of $23 billion to Indian residents, including cash transfers, food, and insurance coverage.
In Peru, where informal workers take a 70% share in the labor market, the government just claimed to make a $100 one-time payment to the poorest.