The spring meetings of the International Monetary Fund (IMF) and World Bank have taken place under the dark clouds of war and the pandemic. With the world of work and multilateral cooperation in a deeply damaged state, trade unions call for a comprehensive approach to reconstruction by the international financial institutions (IFIs), with policies that promote collective bargaining, strong unions and quality jobs that contribute to a healthy, caring and sustainable global economy.
The IMF downgraded its forecast for global economic growth and predicted that global employment will remain below pre-pandemic levels until 2024. The pandemic pushed millions into poverty and led to widespread job losses and hunger, with more to come as the Russian invasion of Ukraine reverberates through world food and energy markets.
Undermined by years of failed policies, multilateralism proved weak in the face of COVID-19 and allowed the deepening of inequality between and within countries, leaving millions of working people behind. Now, Russian aggression has further damaged the weak, multilateral economic order that is incapable of solidarity and coordination on the scale needed, with consensus being blocked at key meetings this week.
“There have been bright spots at the IFIs, including support for Ukraine and its neighbours, the fight against hunger and COVID-19, and the landmark allocation of IMF Special Drawing Rights.
“The new IMF Resilience and Sustainability Trust will re-channel these Special Drawing Rights to emerging and developing countries, helping them prevent future crises linked to climate and health. To succeed, all operations of the IFIs should fully take on board Sustainable Development Goal 8, including full employment, social dialogue and labour rights, all of which promote peace and prosperity from the ground up,” said the International Trade Union Confederation (ITUC) General Secretary Sharan Burrow.
