Exploring labour transformations in platform work through the lens of informal work: a new framework of analysis

Informal workers are a priority for health equity. However, Indonesian employment laws provide limited legal social protection to informal workers, which may constrain access to health insurance. From the supply side, underdeveloped districts continue to face a shortage of higher-level health facilities that accept National Health Insurance (Jaminan Kesehatan Nasional, JKN). This study examines disparities in outpatient and inpatient treatment utilization between formal and informal workers in Indonesia, and explores how geographic context and health insurance coverage shape these utilization patterns. Separate analyses were conducted for developed and underdeveloped districts using two-level binary logistic regression models. Individual-level data were drawn from the 2024 National Socioeconomic Survey (SUSENAS) and integrated with district-level data from the 2024 Village Data Census (PODES). The study included 97,042 working-age individuals (aged ≥15 years) with poor self-rated health status residing in 452 developed and 62 underdeveloped districts. Outpatient and inpatient treatment utilizations were specified as the outcome variables. Employment status was treated as the primary exposure, and interaction terms were included to assess the modifying role of health insurance. In underdeveloped districts, formal workers had higher outpatient utilization (adjusted odds ratio (aOR) 1.51, 95% confidence interval (CI) 1.43-1.60) and inpatient (aOR 1.08, 95%CI 0.92-1.28) utilization than informal workers. Between-district heterogeneity is large, with intraclass correlation coefficient values of 25.61% for outpatient utilization and 38.26% for inpatient utilization. For the outpatient model, the interaction between employment status and health insurance shows that the odds for insured formal workers increased by 2.05 times, uninsured formal workers increased by 1.51 times, and insured informal workers increased by 1.49 times more than uninsured informal workers. For the inpatient model, the interaction shows that the odds of insured formal workers increased by 5.81 times, uninsured formal workers increased by 1.08 times, and insured informal workers increased by 4.27 times more than uninsured informal workers. In developed districts, between-district heterogeneity shows intraclass correlation coefficient values of 10.18% for the outpatient model and 15.77% for the inpatient model. There was no statistically significant association between formal workers (aOR 1.00, 95%CI 0.99-1.00) and informal workers to outpatient utilization. For the outpatient model, the interaction shows that the odds for insured formal workers increased by 1.44 times and insured informal workers increased by 1.40 times compared to formal and informal uninsured workers. Formal workers (aOR 0.92, 95%CI 0.91-0.94) have slightly lower inpatient utilization than informal workers. For the inpatient model, the interaction term shows that the odds for insured formal workers increased by 3.04 times, uninsured formal workers decreased by 0.92 times, and insured informal workers increased by 2.92 times more than uninsured informal workers. Disparities in outpatient and inpatient treatment utilization based on employment status were observed only in underdeveloped districts, with formal workers having higher utilization than informal workers. Supply-side factors masking a structural inequality trap unintentionally contribute to healthcare utilization in underdeveloped districts. Furthermore, the interaction between employment status and health insurance shows that the benefit of employment status on healthcare utilization was mediated by health insurance coverage, albeit in distinct ways in developed and underdeveloped districts. Health insurance can provide social protection, particularly to informal workers residing in underdeveloped districts, but its effectiveness is limited due to supply constraints.

The study examines the impact of the COVID-19 pandemic lockdown policy on the welfare of workers in the formal and informal sectors in Gwagwalada Area Council, Abuja, Nigeria, during the COVID-19 period using health and education services as case study. The study was motivated by the fact that the outbreak had a negative influence on both formal and informal workers’ well-being; nonetheless, concluding that the lockdown had an equivalent impact on both formal and informal sector workers in Gwagwalada Area Council without an empirical investigation may not have been reasonable enough. Thus, the need for this study to make a comparative analysis between formal and informal sector workers. For empirical purpose, independent two-sample t-test were used to compare perceptions of the two sectors regarding the effects of daily COVID-19 cases and the attendant lockdown stringency measures on health and education services uptake of workers in the two sectors understudy. A survey of 363 respondents was undertaken between the formal and informal workers in Gwagwalada Area Council of Abuja, Nigeria, to examine the effects of the pandemic lockdown policy measures on the uptake of education and health services. The study found that the informal sector workers were more severely affected than the formal sector during the lockdown. To address these challenges, the study recommends, among others, massive loans and grants for business owners with little or no interest rate to cushion the effects of the COVID-19.

The study examines the impact of the COVID-19 pandemic lockdown policy on the welfare of workers in the formal and informal sectors in Gwagwalada Area Council, Abuja, Nigeria, during the COVID-19 period using health and education services as case study. The study was motivated by the fact that the outbreak had a negative influence on both formal and informal workers’ well-being; nonetheless, concluding that the lockdown had an equivalent impact on both formal and informal sector workers in Gwagwalada Area Council without an empirical investigation may not have been reasonable enough. Thus, the need for this study to make a comparative analysis between formal and informal sector workers. For empirical purpose, independent two-sample t-test were used to compare perceptions of the two sectors regarding the effects of daily COVID-19 cases and the attendant lockdown stringency measures on health and education services uptake of workers in the two sectors understudy. A survey of 363 respondents was undertaken between the formal and informal workers in Gwagwalada Area Council of Abuja, Nigeria, to examine the effects of the pandemic lockdown policy measures on the uptake of education and health services. The study found that the informal sector workers were more severely affected than the formal sector during the lockdown. To address these challenges, the study recommends, among others, massive loans and grants for business owners with little or no interest rate to cushion the effects of the COVID-19.

Analysing the extensive literature on informal work reveals multiple, often contradictory, views regarding its relationship with formal work. The aim of this paper is to evaluate critically these competing claims. Evaluating in turn the predominant views of informal work as a residue, by-product, complement and/or alternative to formal work, reveals that universal generalizations are not possible and that all of these articulations only apply in specific contexts. However, rather than simply conclude that these contrasting readings of the relationship between informal and formal work are therefore context-bound generalizations, two features common to all these perspectives are identified that necessitate a more fundamental rethinking of the relationship between formal and informal work. These relate to the way in which all firstly, simplistically attribute one form of work with positive features (e.g. modernization, virtue and progress) and the other with negative attributes (e.g. tradition, backwardness, exploitation) and, secondly, delineate formal and informal work as discrete and separate entities. The paper concludes by setting out a research agenda to not only highlight the political values underpinning each of these representations but also achieve a fuller and finer-grained understanding of the relations between informal and formal work.

This paper estimates spatial wage curves for formal and informal workers in Turkey using individual level data from the Turkish Household Labor Force Survey provided by TURKSTAT for the period 2008–2014. Unlike previous studies on wage curves for formal and informal workers, we extend the analysis to allow for spatial effects. We also consider household characteristics that would affect the selection into formal employment, informal employment, and non-employment. We find that the spatial wage curve relation holds both for formal and informal workers in Turkey for a variety of specifications. In general, the wages of informal workers are more sensitive to the unemployment rates of the same region and other regions than formal workers. We find that accounting for the selection into formal and informal employment affects the magnitudes but not the significance of the spatial wage curves for the formal and informal workers with the latter always being larger in absolute value than that for formal workers.

With economic globalization and with the precarization and informalization of work, efforts have increased to build global labour alliances among formal workers on the one hand and to organize informal workers on the other. These two endeavours overlap considerably. Global labour organizations have taken on a growing role in organizing and advocating for informal workers. I explore this overlap by comparing two global labour federations: one arising from heterogeneous networks of informal workers—the International Domestic Workers Federation (IDWF)—and a longstanding one of formal employees that has increasingly attempted to include informal workers—the Building and Wood Workers International (BWI). For both cases, I draw on five sources: secondary literature; archival material from the two federations; seven semi-structured interviews with experts on and members of these federations, plus a meeting with a small group of BWI leaders; and observations of several IDWF and BWI events. This comparison yields two striking findings. First, despite contrasting environments and historical legacies, the two federations show much convergence in strategy. Second, they clearly differ in their degree of adherence to the standard trade union model, as a result of differences in assets and challenges. The BWI is strongly wedded to the conventional model and struggles to reach informal workers, while enjoying a robust inflow of membership dues. The IDWF is committed to welcoming a variety of organizations and readily mobilizes informal workers, while suffering from an anemic inflow of membership dues. These challenges must be met not just for the survival of the BWI and the IDWF but also for the prospect of organizing globally to defend informal and precarious workers. Abstract With economic globalization and with the precarization and informalization of work, efforts have increased to build global labour alliances among formal workers on the one hand and to organize informal workers on the other. These two endeavours overlap considerably. Global labor organizations have taken on a growing role in organizing and advocating for informal workers. I explore this overlap by comparing two global labour federations: one arising from heterogeneous networks of informal workers—the International Domestic Workers Federation—and a longstanding one of formal employees that has increasingly attempted to include informal workers—the Building and Wood Workers International. The contrast reveals similarities, divergences and trade-offs, with important implications for the future potential for building global organizations of informal workers.

The paper developed a methodology for classifying workers into formal and informal employment using the 2005 Bangladesh Labor Force Survey (LFS). Although the 2005 LFS was not designed to collect data for this purpose, it included questions that can be used to determine whether workers are engaged in formal or informal employment. However, the process of identifying the combination of questions that could distinguish between formal and informal workers was hampered by data inconsistencies that were probably brought about by limitations in data processing and validation. Because 3 years have already passed since data processing was done, the most workable approach was to determine which workers are under formal employment, and to assume that the remaining workers are engaged informally.Results show that 87.71% of the workers in Bangladesh are under informal employment. The highest concentration of informal workers is found in the rural areas (92%). Workers engaged in informal employment are mostly in agriculture; hunting and forestry; wholesale and retail trade; manufacturing; and transport, storage, and communications sectors. On the other hand, formal workers are primarily employed by the government. Women (91.3%) are most likely to be engaged in informal employment than men (86.6%); and women are generally unpaid family workers and in the private household sector. Workers under formal employment are paid better than those under informal arrangements. For each sector, wage differentials between formal and informal workers are significant. Informal workers are found to have significantly less benefits than those with formal employment, except for free meals and free lodging. In particular, self-employed and unpaid workers comprise a little over 20 million of informal workers, although less than 2 million of them enjoy benefits.

Series disseminates the findings of work in progress to encourage the exchange of ideas about development issues. An objective of the series is to get the findings out quickly, even if

In this exploratory study, we investigate the effects of digital labour platforms (DLPs) on cleaning workers. The prevalence of informality in this sector leads us to suggest analysing workers’ experiences by combining the literature on DLPs with that on the informal economy. Through in-depth interviews with cleaners in Milan and Rome, as well as DLP representatives, the article highlights on one hand, how DLPs affect informal workers and their conditions, and, on the other hand, how workers represent their work and what meanings they associate with the terms formal and informal in the location-based platform economy. The study shows that DLPs seem to play a limited role in the formalisation of work, revealing new forms of hybridisation between formal and informal labour. The use of DLPs also results in increasingly confusing perceptions of what constitutes formal (or regular) and informal work.

Informal workers in Thailand lack employee status as defined under the Labor Protection Act (LPA). Typically, they do not work at an employer's premise; they work at home and may be self-employed or temporary workers. They account for 62.6 percent of the Thai workforce and have a workplace accident rate ten times higher than formal workers. Most Thai Labor laws apply only to formal workers, but some protect informal workers in the domestic, home work, and agricultural sectors. Laws that protect informal workers lack practical enforcement mechanisms and are generally ineffective because informal workers lack employment contracts and awareness of their legal rights. Thai social security laws fail to provide informal workers with treatment of work-related accidents, diseases, and injuries; unemployment and retirement insurance; and workers' compensation. The article summarizes the differences in protections available for formal and informal sector workers and measures needed to decrease these disparities in coverage.

Occupational exposure to potentially toxic elements alters gene expression profiles in formal and informal Brazilian workers

Financial inclusion and women entrepreneurship concern policymakers because of their impact on job creation, economic growth and women empowerment. Women in Mexico do engage in paid work but many of them work in the informal sector because they lack opportunities to work in the formal sector. Moreover, financial exclusion rate in Mexico remains the highest amongst OECD countries, affecting women in particular. This paper uses an individual-based panel dataset over the period 2009-2015 to examine the determinants of women entrepreneurship in Mexico and to determine the relationship between women entrepreneurship and financial inclusion across informal and formal work and across economic sectors. The results suggest that financial inclusion is positively linked with entrepreneurship and it can open up economic opportunities for women entrepreneurs. Various financial access points like banking branches, POS terminals, banking agents, ATMs and microfinance banks can be a gateway to the use of additional financial services which can allow businesses development through access to credit facilities. However, the positive relationship between women entrepreneurship and financial inclusion does not hold for women entrepreneurs working in the informal sector or women working in the commerce sector, highlighting lower entry barriers, including financial, in the informal sector and problems pertaining to financial illiteracy. Results also highlight that the probability of a women being an entrepreneur in the informal sector is higher than in the formal sector. Education, age, income, marital status (married or divorced), and income level at the municipality level are amongst other significant determinants which are positively linked with women entrepreneurship. The results also highlight the existence of gender disparity in the status of entrepreneurship across formal and informal work in Mexico. On average, women are about 56% less likely to be entrepreneurs in the formal sector and 63% more likely to be entrepreneurs in the informal sector, as compared to men, after taking into account other relevant individual and municipality level characteristics that are important in explaining entrepreneurship.

Workplaces are vital for Occupational Safety and Health (OSH) knowledge dissemination. This study examines OSH knowledge, attitudes, and practices among formal and informal sector workers in Freetown, Sierra Leone, and their associations with workplace characteristics. A cross-sectional survey was conducted using a validated, semi-structured questionnaire to collect data on sociodemographic characteristics, workplace safety factors, and occupational safety indicators. The survey assessed 3 primary outcomes variable adequate knowledge, good attitude, and good practice. Multivariable analyses were used at significant level (P < .05) to examined associations between independent and outcomes variables. The study included 516 respondents, predominantly were male (84.3%). Educational attainment varied, with 23.6% having tertiary education and 4.7% non-formal education. Literacy rates showed 76.6% were literate. Significant disparities emerged between sectors: formal sector workers demonstrated higher rates of adequate knowledge (60.7%), good attitudes (54.9%), and good practices (77.3%) compared to informal workers. Formal sector employment was significantly associated with better OSH outcomes, including knowledge (aOR = 2.4, 95%CI: 1.43-4.15, P < .001) and practices (aOR = 16.2, 95%CI: 2.80-95.81, P < .002). These findings highlight substantial sector-based differences in occupational safety and health indicators. This study reveals substantial and significant disparities in occupational safety and health (OSH) between formal and informal sector workers. Formal sectors employment is strongly associated with better OSH outcomes, particularly safer practices, thus, underscoring an urgent need for targeted policy, tailored training programmes, gender-sensitive interventions, and regulatory interventions to protect vulnerable informal workers.

PurposeRecent changes in the UK to the regulation and modes of work in the formal and informal economies are considered. Research in this field has tended to remain in silos (treating formal economy working conditions separately from research on the informal economy). The question is whether the means of work and benefits to the worker for formal and informal work are now as different as the former images of formal and informal economy work imply under a “jobs-for-life” economy. The purpose of this paper is to consider whether the current aim of government regulation of the informal economy – to formalise it – is actually of benefit to workers, as might be supposed.Design/methodology/approachThis paper considers recent research findings on the formal and informal economy, using official government statistics for the UK and more detailed European studies on the informal economy.FindingsThis paper argues that formal employment in the UK is becoming more casualised, with less associated benefits to employees. Though it is still of benefit to the state to formalise informal work (to increase tax take), some of the links between formalisation and a good working environment for workers are being broken, which may lead to the informal economy becoming more popular and requiring different priorities in its regulation.Originality/valueThis paper argues that we need to change our assumptions and image of work in the formal economy, compared to that in the informal economy.

PurposeThis paper tries to identify the wage gap between informal and formal workers and tests for the two-tier structure of the informal labour market in Poland.Design/methodology/approach The author employs the propensity score matching (PSM) technique and use data from the Polish Labour Force Survey (LFS) for the period 2009–2017 to estimate the wage gap between informal and formal workers, both at the means and along the wage distribution. The author uses two definitions of informal employment: (1) employment without a written agreement and (2) employment while officially registered as unemployed at a labour office. In order to reduce the bias resulting from the non-random selection of individuals into informal employment, he uses a rich set of control variables representing several individual characteristics.FindingsAfter controlling for observed heterogeneity, the author finds that on average informal workers earn less than formal workers, both in terms of monthly earnings and hourly wage. This result is not sensitive to the definition of informal employment used and is stable over the analysed time period (2009–2017). However, the wage penalty to informal employment is substantially higher for individuals at the bottom of the wage distribution, which supports the hypothesis of the two-tier structure of the informal labour market in Poland.Originality/valueThe main contribution of this study is that it identifies the two-tier structure of the informal labour market in Poland: informal workers in the first quartile of the wage distribution and those above the first quartile appear to be in two partially different segments of the labour market.