Independent High-level Evaluation: ILO’s Strategy and Actions towards the Formalization of the Informal Economy, 2014–18Formatting for web version

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  This report presents a summary of the findings of the high-level evaluation of the ILO’s strategy and actions towards the formalization of the informal economy 2014-18, conducted by the ILO’s Evaluation Office (EVAL) in 2019.2 The evaluation was
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  STRATEGY AND POLICYSEPTEMBER 2019 INDEPENDENT EVALUATION ILO’s Strategy and Actions Towards the Formalization of the Informal Economy, 2014-2018 Formatting for web version    1 ILO EVALUATION OFFICE Independent High-level Evaluation: ILO’s  Strategy and Actions towards Formalization of the Informal Economy 2014  – 18 September 2019    2 Contents A BBREVIATIONS  ..................................................................................................................................................... 4 A CKNOWLEDGEMENTS  ............................................................................................................................................ 6 E XECUTIVE SUMMARY  ............................................................................................................................................. 7 1. I NTRODUCTION  ............................................................................................................................................ 17 1.1.   Evaluation purpose and scope  ........................................................................................................ 18   1.2.   Evaluation methodology   ................................................................................................................ 20   1.3.   Details of evaluation methods  ....................................................................................................... 22   1.4.   Triangulation  ................................................................................................................................... 24  2. T HE ILO’ S WORK ON FORMALIZATION OF THE INFORMAL ECONOMY (P OLICY O UTCOME 6)   2014  – 18 ....................... 26 2.1.   Overview of the informal economy   ................................................................................................ 26   2.2.   Understanding changes in the concept of informality   .................................................................. 26   2.3.   The ILO Outcome Strategy Framework 2014 –  18   ........................................................................... 27    2.4.   Narrative framework for the ILO Strategy to formalize the informal economy   ........................... 29   2.5.   ILO actions on formalization of the informal economy (2014 –  18)  ................................................ 30  3. E VALUATION FINDINGS  .................................................................................................................................. 34 3.1.   Relevance  ........................................................................................................................................ 34   3.2.   Coherence  ........................................................................................................................................ 40   3.3.   Effectiveness  .................................................................................................................................... 44   3.4.   Efficiency   ......................................................................................................................................... 63   3.5.   Impact and sustainability   ............................................................................................................... 70  4. C ONCLUSIONS AND RECOMMENDATIONS  ......................................................................................................... 74 4.1. Key lessons learned   .............................................................................................................................. 76   4.2 Recommendations  ................................................................................................................................ 77   Office response ................................................................................................................................................ 82 Appendices ...................................................................................................................................................... 84  Appendix I –   HLE Terms of Reference  ......................................................................................................... 84    Appendix II: Methodology Note: Additional Information  ....................................................................... 103    Appendix III –   List of People Interviewed   ................................................................................................. 107     Appendix IV –   Global Products table  ........................................................................................................ 114    Appendix V –   Documents Reviewed   ......................................................................................................... 117       3 F IGURES   Figure 1. Overall performance by criteria ....................................................................................................... 12 Figure 2. Key elements of the evaluation ........................................................................................................ 18 Figure 3. Policy Outcome 6: Formalization of the informal economy: Linkages with other Policy Outcomes 19 Figure 4. Evaluation approach ......................................................................................................................... 20 Figure 5. Details of evaluation methods .......................................................................................................... 22 Figure 6. Map showing case study countries .................................................................................................. 23 Figure 7. Data triangulation process ............................................................................................................... 25 Figure 8. CPOs’ planned areas of actions 2018– 19 ......................................................................................... 39 Figure 9. Cross-cutting policy driver addressed by CPOs on Outcome 6 ........................................................ 61 Figure 10. ILO departments involved in elaborating tools on the transition to formality .............................. 68 Figure 11. Overall performance by criteria ..................................................................................................... 77 T ABLES   Table 1. Overview of relevant results areas for the period of the evaluation, 2014  – 18 ................................ 28 Table 2. Summary of Outcomes 2016  – 17 and 2018  – 19 ................................................................................. 42 Table 3. Area of critical importance 6 expenditures ....................................................................................... 65 Table 4. Outcome 6 total resources for the biennia 2016  – 17 and 2018  – 19 .................................................. 65 Table 5. Non-regular budget resource expenditure for Outcome 6, 2014  – 18 ............................................... 66 Table 6. Outcome 6 expenditure trend by indicator ....................................................................................... 66 B OXES   Box 1. Examples of areas and measures included as part of integrated national policy and institutional implementation frameworks ........................................................................................................................... 30 Box 2. Good practice: A tripartite agreement for the transition to the formal economy .............................. 48 Box 3. Good practice: Compliance through motivation in El Salvador, the United Republic Tanzania and Zambia ...................................................................................................................................................... 50 Box 4. Case study: Voice of informal economy workers in Zambia................................................................. 52 Box 5. Good practice: Informal women leather tanners in Senegal ............................................................... 59 Box 6. Good practice: Federation of Woman Entrepreneurs Associations of Nepal ...................................... 62 Box 7. Quotes from interviews at ILO headquarters ....................................................................................... 69 Box 8. Tackling informality, undeclared and underdeclared work: Impact examples from Greece and Ukraine ............................................................................................................................................................ 73    4 A BBREVIATIONS   ACI area of critical importance ACT/EMP Bureau for Employers' Activities ACTRAV Bureau for Workers’ Activities ASEAN Association of Southeast Asian Nations AZIEA Alliance for Zambian Informal Economy BDS Business Development Services CPO country programme outcome CCPD cross-cutting policy driver DDG Deputy Director-General DIALOGUE Social Dialogue and Tripartism Unit DWCP Decent Work Country Programme DWT Decent Work Technical Support Team EMPLOYMENT Employment Policy Department ENT/MULTI Multinational Enterprises and Enterprise Engagement Unit ENTERPRISES Enterprises Department EU European Union EVAL Evaluation Office FOP Field Operations and Partnerships FORLAC Formalization in Latin America and the Caribbean FWEAN Federation of Woman Entrepreneurs Associations of Nepal GB Governing Body GED Gender and Equality Department ILC International Labour Conference ILO International Labour Organization ILO/AIDS ILO Programme on HIV/AIDS and the World of Work ITC International Training Centre of ILO LAB/ADMIN Labour Administration and Labour Inspection Programme LGBTQI lesbian, gay, bisexual, transgender, queer and intersex MR Management and Reform NAPSA National Pension Scheme Authority (Zambia) NGO non-governmental organization NORMES International Labour Standards Department OBW outcome-based work planning OCT Outcome Coordination Team OECD Organisation for Economic Co-operation and Development OSH occupational safety and health P&B Programme and Budget PROGRAM Strategic Programming and Management RBSA Regular Budget Supplementary Account RBTC Regular Budget Technical Cooperation SADC Southern African Development Community
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