Press Release

New ILO initiative to address formality in response to the refugee crisis in Armenia

25 September 2024

Yerevan, 25 September - In response to Armenia’s refugee crisis, the ILO launched a new initiative to prevent in formalization of work and promote transition to formality in Armenia. It allocates USD 600 000 to this initiative, reinforcing international community’s response to the refugee crisis.

Caption: The ILO launched a new initiative to assist refugee’s access to decent work, prevent informalization of jobs, and promote formality with leaders of the government, social partners and the UN.
Photo: © ILO

The United Nations (UN) reported that many of the working-age refugees lacked access to employment opportunities, making their socio-economic integration difficult. According to a survey conducted by the International Organisation for Migration (IOM), 48.6% of refugee workers are jobless. Ms. Francoise Jacob, UN Resident Coordinator in Armenia, stressed that “job is the number one priority for refugee because income allows them to cope with difficulties”. 

Caption: The UN Resident Coordinator in Armenia Francoise Jacob speaking at the launch event of an ILO initiative to promote formality.
Photo: © ILO

The labour market impact of the crisis may be felt by a broader group, according to an ILO analysis. While informal employment was on the decline in Armenia prior to the crisis, the current situation is likely to stall or rewind the progress, affecting working conditions and workers’ rights, unless consorted interventions prevent it.

Against the backdrop, “the ILO mobilizes funding and specialists of various fields such as employment, labour standards, enterprises, and gender equality, to support Armenia’s a sustainable recovery and resilience from the crisis” explains Mr. Mikhail Pouchkin, Director of ILO’s office for Eastern Europe and Central Asia. The ILO partners with the government, workers’ and employers’ organizations, UN agencies in this new initiative.

Regarding the complexity of addressing the informal economy and employment, Mr. Frédéric Lapeyre, Director of the ILO Priority Action Programme on Formalization, emphasizes that “we must work on multiple fronts simultaneously, preventing informalization of the labour market by safeguarding decent working conditions, assisting refugees’ access to jobs, and creating more productive employment opportunities and enabling environment for sustainable enterprises”.

Caption: Frédéric Lapeyre, Director of the ILO Priority Action Programme on Formalization, speaking at the launch event of an ILO initiative to assist refugee’s access to decent work, prevent informalization of jobs, and promote formality.
Photo: © ILO

The Armenian economy recorded a high growth in 2022-2024. “Economic growth is a prerequisite to reduce informality; however, the process is not automatic”, says Mr. Lapeyre, stressing the vitality of well-designed and coordinated policy interventions.

A window of opportunity is open for Armenia to address the chronic challenges of informal employment. The new ILO initiative intends to translate the growth momentum into creation of decent work and formalization of deep-rooted informal employment, focusing on refugees.

Nune Hovhannisyan

Nune Hovhannisyan

ILO
National Coordinator
Ms Hovhannisyan holds a Master’s degree in Biochemistry. She brings 11 years of experience in employment and social protection, skills development and labour rights. Ms Hovhannisyan's main areas of expertise include design and implementation of employment policy and labour rights. She contributed to development of policy papers, legal regulations on labour and employment. Prior joining the ILO, Ms Hovhannisyan was the Deputy Head of the National Employment Service. She started her assignment as the ILO National Coordinator in 2005.

UN entities involved in this initiative

ILO
International Labour Organization

Goals we are supporting through this initiative