W’Bank flags digital job risks amid weak regulation
The World Bank warns that digital jobs in developing countries pose risks due to insufficient regulation and labor protections.
The World Bank has raised alarms regarding the rapid growth of digital jobs in developing countries, emphasizing the risks faced by workers in this sector due to inadequate regulation and labor protections. The report highlights that while these digital platforms are creating new opportunities for employment and entrepreneurship, many workers are left vulnerable to exploitation without sufficient legal safeguards. This concern is particularly prevalent in low to middle-income countries, where digital platforms facilitate access to global markets but fail to provide necessary support and protections for workers.
In its findings, the World Bank noted that hundreds of millions of individuals globally are engaging in online platform work, which excludes location-based services such as ride-hailing and food delivery. The rise of this digital labor market is described as a double-edged sword; it opens new avenues for people to connect with potential employers and clients across the globe, but it also raises significant concerns about job security, earnability, and the absence of traditional labor rights protections. The report sheds light on a pressing need for stronger regulatory frameworks that can address these emerging challenges.
To illustrate the impact and importance of platform work, the report includes anecdotes from individuals like a South African woman who, after years of struggling to find traditional employment, turned to online freelance work. By leveraging her writing skills, she was able to connect with clients worldwide, effectively carving out a livelihood despite the lack of protections afforded by conventional employment. Such stories underscore the importance of balancing the benefits of digital work with the critical need for comprehensive regulations to protect these vulnerable workers.