Literature Review on the Labour Market Impacts of Value Chain Development Interventions
This literature review from the International Labor Organization analyzes the results of 53 value chain interventions on job creation and job quality. The report generated the following recommendations and best practices:
1. A good market and chain analysis of opportunities and risks is valuable. The analysis should take an integrated, sectoral perspective to consider spillover impacts (both positive and negative).
2. Make conscious choices (and recognise trade-offs) about who is included in a programme and who not, and acknowledge the risks of exclusion.
3. Engaging (local) private sector investors in chain interventions appears a key success factor to create permanent jobs.
4. Interventions that improve market infrastructure appear to create and sustain jobs. Particularly when organisations (whether private sector or government or donor) play a facilitating role to create links in and between chains.
5. Interventions that use or create partnerships with government agencies at national and local level and the private sector appear successful at both creating jobs and improving working conditions.
6. The approach used by certification standards, of setting clear, auditable, measurable standards, appears to enhance job quality along a chain.
7. Training interventions should be clearly linked to chain upgrading ambitions and the downstream requirements in a chain.
Verina Ingram, Elseje Oosterkamp