Informal labor

Informal labor or informal work encompasses all those occupations and forms of production, which are exercised by people or employees who receive income whose working conditions are not regulated by a legal framework.

A large number of people participate in this sector of the economy . These people receive income outside the legal reins dictated in labor matters. Informal work refers to a large set of economic activities. In this sector of the economy are included the activities carried out by those independent workers, that of domestic services, street vendors, among other activities.

It should be noted that labor informality or informal work is a reality that has many different causes. In the less developed countries of the world, the causes that cause such informal employment find many different reasons that originate and increase it. Although this also happens in developed countries.

It is also known as working in black. Thus referring to black money . On the other hand, it should be said that labor informality is part of what is known as the submerged economy .

Nature of labor informality

The natural thing in informal jobs, which thousands of people carry out, is that generally its formation as a business is of family origin. Thus, they mostly maintain a management or administration not very efficient. Also, they have little or little working capital, intensive labor, little use or virtually no technology, weak legal training, low productivity levels , among others.

In many countries of the world, it is observed that the participants of these economic activities are linked to subhuman conditions. There is talk of poverty, marginality, etc. While it is true, it does not always have to be that way.

Characteristics of labor informality

Given that these activities are not under legal or institutional protection, there are generalized cases of questionable or unfair working relationships. Such situations involve:

  • Layoffs without notice with any compensation.
  • Extraordinary mandatory work time.
  • Payment of wages out of time.
  • Default in payment.
  • Low wages.
  • Unstable employment.

Likewise, these economic activities are characterized by non-compliance with social benefits. Such defaults include pensions , health insurance , due rest due to health reasons.

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