Prospects for Decent Work in Services

Sameer Khatiwada and John Paul Flaminiano
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Sameer Khatiwada: Asian Development Bank Institute
John Paul Flaminiano: Asian Development Bank Institute

No 940, ADBI Working Papers from Asian Development Bank Institute

Abstract: We examine how the services sector could provide decent and gainful employment in developing Asia. Using living wages as a reference point, we report that a significant portion of the workforce in developing Asian economies, the majority of which are employed in the agricultural sector, are not living wage earners. On the other hand, manufacturing, and to a larger extent, services, are able to provide their workforce with good jobs. Economies that are more successful at moving workers from low- to high-productivity sectors have done better on job creation accompanied with improved productivity, higher wages, and large reductions in poverty. Recent developments of information and communication technology industries, as in the case of India and the Philippines, is a striking example of how developing economies can open up business opportunities through global outsourcing of tradable labor. We highlight the importance of improving human capital through education and upskilling, as well as physical and digital infrastructure, to address the large supply of low-productivity and informal sector workers in developing Asia, and to provide new and gainful employment opportunities.

Keywords: decent jobs; modern services; living wages; technology; tradability (search for similar items in EconPapers)
JEL-codes: J30 L80 O14 O40 O47 O53 (search for similar items in EconPapers)
Pages: 30 pages
Date: 2019-04-05
New Economics Papers: this item is included in nep-ict, nep-iue and nep-sea
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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