Desk review on the role of employers’ organizations in facilitating the transition to formality

Recognizing the potential and challenges of the informal economy, the Government of Cambodia issued the National Strategy for Informal Economy Development 2023–2028. The Strategy identifies the development of the informal economy as a top priority in contributing to the improvement of people’s livelihoods. In addition, the Strategy seeks to promote Cambodia’s economic growth through the protection of workers and firms in the informal economy and by strengthening their capacity and productivity, while also accelerating efforts for their transition to the formal economy. In support of this effort, this research brief seeks to:

• review the role of employers’ organizations in facilitating the transition to formality; 
• identify strategies, tools and initiatives employed by employers’ organizations in contexts similar to that of Cambodia; and 
• provide recommendations for enhancing the effectiveness of Cambodian employers’ organizations in promoting formalization.