ABSTRACT

This chapter focuses on social protection strategies for six groups of informal labour, namely, agricultural workers, home-based workers, micro-entrepreneurs, workers in transportation, casual workers, and domestic workers. In Thailand, activities in the informal economy have long been regarded as a 'survival strategy' for the poor as an employment 'safety valve'. The 1997 economic crisis brought about a realization of how important the role of the informal economy, once considered marginal, had become. In 2004, the informal economy accounted for 46 per cent of the gross domestic product (GDP) or 62 per cent of the national income. Globalization affects the production and employment systems in at least two ways. It creates a system of flexible specialization, which is more responsive to high competition. This induces an expansion of informal activities while formal employment decreases, a trend that is evident in the Asian, American and African continents.