TUAC has set out its priorities for the new OECD Development Strategy, as inequality between countries rises for the first time in a generation. The Strategy comes a decade after its predecessor and amid mounting challenges to development finance. The new OECD Global Outlook on Financing for Sustainable Development underscores the urgency of action – annual financing needs to achieve the SDGs by 2030 have increased by 36% between 2015 and 2022, from USD 6.81 trillion to 9.24 trillion. At the current rate, the SDG financing gap will reach USD 6.4 trillion by 2030.
"The new Strategy must serve as a roadmap for OECD members, identifying key policy priorities and providing concrete recommendations to achieve the SDGs through a rights-based approach. Rising inequality between countries threatens decades of progress. We need decisive action to reverse this trend."
In its input on the Strategy, TUAC outlines a comprehensive framework focused on reducing the SDG financing gap, tackling rising inequality, and enhancing policy coherence, including through a reform of the international financial architecture. TUAC also identifies three priority areas for action:
Decent work: Currently, 60% of workers globally remain in the informal economy. The share of official development assistance for labour rights and social dialogue is just 0.11% and 0.01% of total allocable aid. As evidenced by TUAC in the last OECD Development Cooperation Report in 2024, trade unions are key actors of development cooperation, and collective bargaining is an indispensable lever to tackle in-work poverty and enhance inclusive economic development. TUAC calls for development cooperation actors to prioritise strengthening labour market institutions and collective bargaining to guarantee workers a living wage.
Universal social protection: Nearly half of the world’s population lacks any form of social protection. For low-income countries, according to the latest ILO data, the financing gap to achieve universal coverage represents 52.3% of their GDP annually. TUAC calls for governments to increase ODA allocated to social protection to at least 7% by 2030, and to support long-term strengthening of social protection systems, including through domestic resource mobilization.
Just transition: The poorest countries face particular challenges, being often the most vulnerable to climate change while also having the greatest need to invest in adaptation and mitigation policies. These countries need support through technology transfers, technical assistance and financial support. TUAC calls on the OECD and its members to advance a just transition, in line with the Paris Agreement and the ILO Guidelines of 2015, and to invest in the creation of green and decent jobs.
The Trade Union-DAC Forum, jointly organised by TUAC and the ITUC on 28 February 2025, will bring together trade union representatives, the OECD, and country delegates. Trade unions will pursue these priorities at the Forum, which comes ahead of several key international meetings on development finance and cooperation: the OECD DAC High Level Meeting in March, the Fourth Conference on Financing for Development in June, and the Second UN Social Development Summit in November.
Image credit: ILO
