Policies and practises for enterprise formalisation and small enterprise development
- General information
The private sector provides around 90 percent of jobs in developing countries and must be at the core of any response to the double challenge of creating jobs and improving job quality. It is estimated that by 2020, some 600 million jobs need to be created, mainly in Africa and Asia, largely due to demographic trends. In most of the countries in these regions, informality and underemployment, rather than unemployment, are the main decent work challenges. It is crucial to understand the constraints that the private sector - and in particular the informal sector - faces in creating decent employment in order to be able to remove or minimize the obstacles to decent jobs creation and proceed towards the formalisation of employment and entreprises.
The ITCILO together with the ILO Enterprises Department offers this new course on Policies and practices for enterprise formalisation and small enteprise development to enhance understanding of the constraints to the formalisation of the informal sector and to present and analyse strategies to address these challenges through an integrated policy framework. (course flyer)
Click here to read moreThe informal economy refers to all economic activities by workers and economic units that are – in law or in practice – not covered or insufficiently covered by formal arrangements. The informal sector as part of the informal economy refers to economic units not covered or insufficiently covered by formal arrangements. Informality in micro and small enterprises includes entities not registered with the relevant authorities for licenses and permits; entities not registered with tax authorities; economic units characterized by lack of compliance with labour regulation, employing un-declared workers, without labour contracts and social security; entities un(der)declaring sales of products and services. While the informal economy provides alternative economic opportunities and livelihoods, it is also characterised by high levels of decent work deficits arising from the informality of operations and working arrangements. Global evidence shows that in order to change these dire prospects, enterprises and their employees must formalise. Formalisation of the informal sector is an important path to decent jobs creation in the private sector. What promising policies and practices can enable informal enterprises to become formal and thereby contribute to more and better jobs?
The course begins with an analysis of informality and informal enterprises, before presenting and assessing the effectiveness of a range of practical measures to upgrade small enterprises and promote employment and enterprise formalisation. Throughout the course, special emphasis will be given to policy coherence and coordination.
Participants will review practical tools (for training, sensitization, policy review…) and interventions that assist in designing enterprise formalisation strategies.
Upon completion participants will have:
- Acquired a better understanding of the phenomena of informal enterprises, their characteristics and diversity;
- Acquired a better understanding of the barriers to enterprise formalization and SME development in general,
- Explored policies and strategies undertaken successfully in a number of countries to facilitate the formalization of small enterprises and their employees,
- Assessed practical interventions and tools to promote small enterprise development and business formalization.
The content will seek to answer the following questions:
- What could be the incentives and benefits for enterprises in the informal economy to formalize?
- Which areas of the business environment require attention in order to encourage the transition to formality?
- What kinds of business environment reforms have worked best to bring informal firms and transactions into the formal economy, and what has not worked?
The following building blocks of enterprise formalization strategies/ policies will be discussed:
1. Promoting productivity in MSEs
- Small and micro enterprise development policies (access to markets, finance, technology)
- Association building, cluster development, local economic development
2. Revision/adaptation of regulations, procedures and norms
- Simplification of administrative procedures
- Differential regulations
- Differential tax regimes and incentives
3. Incentives to formalization
- Access to social security
- Access to public procurement
- Access to financial and non-financial business development services
4. Enhancing enforcement and compliance
- Awareness raising, information and advice to entrepreneurs
- Inspection with technical assistance
- Unique identification numbers
- Effective sanction systems
- Institutional coordination
The course targets decision takers, policy makers and practitioners who are tasked to design and implement measures and to support initiatives geared toward the formalisation of enterprises and SMEs development in their countries. This extends to representatives from government, organised labour and organised business; as well as business development services providers and financial service providers. Furthermore, the course also targets officials of international organisations, donors and other institutions that design, fund and/or support enterprise formalisation initiatives.
Linda Deleen is the Manager of the Enterprise, Microfinance and Local Development Programme (EMLD) of the ITC-ILO, managing a portfolio of training and capacity building activities in the areas of SME development, financial services, rural and local development, cooperatives and the social and solidarity economy. Before joining the Centre, Linda worked as enterprise specialist for the International Labour Organization, both at ILO headquarters in Geneva and in different field offices in Asia and Latin America. For over 20 years she provided technical support, training and advisory services to public and private institutions on private sector development with a particular focus on small and medium sized enterprises.
Coumba Diop, joined the ITCILO in 2009, and is currently working in the Employment Policy and Analysis Programme-EPAP. She was member of the ILO’s technical committee during the International Labour Conferences of 2014, and 2015 that led to the adoption of Recommendation 204 concerning the transition from informal to formal economy.
Within EPAP, she is in charge of developing and implementing training programmes on the transition to formal economy; designing capacity building products on the subject that includes the Academy on the formalisation of informal economy; the learning series on the transition to formal economy as well as regional and interregional Knowledge Sharing events in Africa, Latin America and Europe.
Coumba worked previously in the ILO since 2004, as microfinance specialist in Geneva, and ILO’s regional office for Africa. She worked on subjects related to microfinance for decent work including access to finance for SMEs development, Programme Cycle management; Social and Solidarity Economy. Coumba graduated in planning economics and has a master degree on management of development.
Judith Van Doorn
Ms. Judith van Doorn (International Labour Office, Switzerland) is an expert on the enabling environment for sustainable enterprises and enterprise formalization. She has worked for more than 15 years in the area of sustainable enterprise development. In 1997 she joined the ILO Caribbean Office, where she was responsible for the development of small enterprises and cooperatives. She also worked as microfinance expert at the ILO Headquarters in Geneva, where she developed and coordinated social finance programmes for migrants and refugees. At the ILO Regional Office for Africa in Addis Ababa, Ms. Van Doorn specialized on financial inclusion for specific target groups, including young people and workers. At the ILO Pretoria Office, she assisted ILO constituents in the development of policies, strategies and programmes to enhance job creation through social finance and enterprise formalization.
Ms. Van Doorn’s past experience includes the Dutch Chamber of Commerce, training institute and development financing organization. She holds a Master’s Degree in Business Economics at Maastricht University in the Netherlands, with specialization in Development Economics at the Wageningen Agricultural University.
Vija Pavlovska, a national of Latvia, holds a degree in Economics from the University of Latvia and the recognition of a degree in Science of Economics from the University of Turin, Italy.
She is currently the course secretary for training activities at the EPAP Programme. Prior to joining the EPAP team in 2015, Vija worked for PRODEV Programme as a project assistant and was in charge for the administrative implementation of the different projects with the EC, the EU and the Italian Government institutions. She has worked as well for several other Programmes of ITC-ILO, including the Enterprise, Microfinance and Local Development Programme (EMLD); the Social Protection, Governance and Tripartism Programme (SPGT); and the International Labour Standards, Rights at Work and Gender Equality (ILS-GEN).
Vija is fluent in Latvian, Russian, English, and Italian. She speaks basic Spanish and French.
Giulia is the executive assistant of the course. She holds a master’s degree in Local and International Cooperation and Development and graduated with a thesis on Sustainable Transport Systems. During her Master’s course, she spent six months in Brussels-Université Libre de Bruxelles. She lived and worked for two years in Barcelona, Spain, and moved to Turin in mid 2013, where she attended the Advanced Master’s Program in Public Policy and Social Change at Collegio Carlo Alberto. She joined ITCILO Employment Policy Analysis Program (EPAP) from 2015 to 2017 as external collaborator, working for the Skills Development and the Informal Economy clusters. She works in English, French and Spanish.
- This topicConceptual framework on job creation capacity of SMEs
- Policies and practices for enterprise formalisation and SMEs development
Click the titles in the timetable below to download the TRAINING MATERIAL used during the sessions and to access the knowledge repository for the specific Modules
All the training material will be uploaded here day by day and available also after the end of the course!
All the sessions will take place at ITCILO Turin Centre, Pavilion Africa, Room 92.
Monday, Nov 13
Tuesday, Nov 14
Wednesday, Nov 15
Thursday, Nov 16
Friday, Nov 17
Reality check: Defining what SMEs are?
Video conference with C. Behrendt
L. Deelen and C. Diop
10:30 - 11:00 Coffee Break
L. Deelen and J. Van Doorn
Evaluation and closing ceremony
12:30 - 14:00 Lunch
J. Van Doorn
15:00 - 15:45 Coffee Break
L. Deelen and J. Van Doorn
L. Deelen and C. Diop
Click here to download the list of participants with contact details
Click here to download the list of resource persons with contact details
Click here to access the photo gallery.
- Venue and logistics
Please click here to download very important information about your arrival in Turin and at ITCILO campus.
ON THE FIRST DAY OF THE FORUM YOU WILL BE PROVIDED WITH AN IPAD TABLET BY OUR TEAM (IN CASE YOU DO NOT HAVE A PERSONAL DEVICE AND NEED IT).
THE IPAD WILL HAVE A DIRECT CONNECTION TO E-CAMPUS AND THE TRAINING MATERIAL USED DURING THE FORUM.
YOU WILL BE RESPONSIBLE FOR THE IPAD DURING THE WHOLE DURATION OF THE TRAINING AND YOU WILL BE REQUIRED TO RETURN IT TO OUR TEAM ON THE LAST DAY (PLEASE NOTE THAT ALL IPADS ARE TRACKED).
In this section, you will find information that will help you make the most of your learning experience at ITCILO campus as well as of your stay in Turin.
Discover the Campus, watch our official video:
The Course will start on Monday 13th November morning at 8:30 at Pavilion Africa - Room 92 , where the registration formalities and the distribution of the documentation will take place.
The first session of the course will start at 9:00!
Kindly note that, upon your arrival at the Training Centre, you will be asked to hand over your passport in order to comply with internal registration procedure. You will receive your document back in due course.
So we can organize your stay at the ITCILO Campus, and your transfer from the airport to the Centre if needed, you are kindly requested to submit your travel details through the link indicated in your confirmation letter. The link is active until the Friday before the course starts.
For information on how to reach the Campus, please click here.
For more information on campus facilities please click here.
For information on the Social Life at the Centre and in Turin please click here.
Turin Downtown Museums:
- Polo Reale di Torino
Tickets: Palazzo Reale, piazzetta Reale 1 - opening times 08.30- 18.00
Tourism in the Region:
Great Synagogue of Turin: click here
Mosque in Turin: click here (page in Italien)
Other lists of prayer places:
Observatory of the Religious Pluralism (page in Italien)
Migranti.Torino (page in Italien)
On these websites, you can find addresses of various places of worship for various religions. These websites are in Italian. You may request assistance to the course secretaries or the information desk at the reception.
- Polo Reale di Torino