Executive Summary
Informal and migrant workers form the backbone of urban and rural economies, contributing significantly to sectors such as construction, manufacturing, domestic work, agriculture, services, and small-scale industries. Despite their economic contribution, these workers face precarious employment, low wages, unsafe working conditions, lack of social protection, and limited access to skills training and formal job opportunities. Migrant workers, in particular, are vulnerable to exploitation, displacement, and economic shocks.
This proposal aims to improve livelihoods and economic security of informal and migrant workers through market-relevant skill development, job placement support, and strengthened linkages with employers and institutions. The project will equip workers with certified skills, facilitate transition into better-paying and safer employment, and promote inclusive labor market systems that recognize and protect informal and migrant workers.
Implemented over three years, the project will combine skills training, certification, career counseling, job placement, and policy engagement to enable decent work and inclusive growth.
Background and Problem Statement
The informal economy employs a large proportion of the workforce in developing countries, often characterized by low productivity, income instability, and absence of labor rights. Migrant workers—both internal and cross-border—frequently occupy informal jobs due to limited education, lack of recognized credentials, language barriers, and discrimination.
Rapid urbanization, economic transitions, climate change, and technological shifts are reshaping labor markets, increasing demand for skilled workers while leaving informal workers behind. Many existing skill development programs do not adequately reach informal and migrant populations or fail to link training with actual employment opportunities.
There is a critical need for inclusive, demand-driven skill development and job placement systems that address the specific barriers faced by informal and migrant workers, while strengthening pathways to decent work, social protection, and economic mobility.
Project Goal and Objectives
Overall Goal
To enhance employability, income security, and decent work opportunities for informal and migrant workers.
Specific Objectives
- To provide market-relevant skills training and certification to informal and migrant workers.
- To facilitate job placement, apprenticeships, and improved working conditions.
- To strengthen workers’ access to labor rights, social protection, and support services.
- To promote inclusive labor market policies and employer engagement.
Target Groups and Beneficiaries
Primary beneficiaries include:
- Informal workers in urban and peri-urban areas
- Internal and cross-border migrant workers
- Youth and women in informal employment
- Workers affected by job loss, displacement, or climate shocks
Secondary beneficiaries include employers, training institutions, labor departments, and local governments.
Project Approach and Methodology
The project adopts a worker-centered and market-driven approach, emphasizing dignity, inclusion, and partnership. It will align skills training with labor market demand and ensure strong linkages between training providers, employers, and support services.
The methodology integrates skills development, job placement, worker protection, and institutional strengthening to achieve sustainable employment outcomes.
Key Components and Activities
- Skills Assessment and Training
- Certification and Recognition of Skills
- Support formal certification and recognition of prior learning (RPL).
- Partner with accredited training institutions and certification bodies.
- Job Placement and Employer Engagement
- Establish job placement cells and career counseling services.
- Facilitate apprenticeships, on-the-job training, and employer linkages.
- Promote fair recruitment practices and safe working conditions.
- Worker Support and Social Protection
- Provide information and assistance on labor rights, contracts, and grievance mechanisms.
- Facilitate access to social protection schemes and services.
- Strengthen worker collectives and peer support networks.
- Policy Dialogue and Institutional Strengthening
- Engage with government agencies, employers, and civil society to promote inclusive labor policies.
- Advocate for recognition and protection of informal and migrant workers.
Cross-Cutting Themes
- Gender Equality and Social Inclusion
- The project will address gender-specific barriers, promote safe training environments, and support women’s participation in non-traditional sectors.
- Youth Employment
- Young workers will be prioritized to reduce unemployment and underemployment.
- Occupational Safety and Well-Being
- Training and placement will emphasize health, safety, and worker well-being.
Expected Results and Outcomes
Outputs
- Informal and migrant workers trained and certified
- Job placement mechanisms established
- Employers engaged in inclusive hiring practices
Outcomes
- Increased employment rates and income stability
- Improved working conditions and job security
- Enhanced access to labor rights and social protection
Impact
- Reduced vulnerability and poverty among informal and migrant workers
- More inclusive and resilient labor markets
Monitoring, Evaluation, and Learning
A results-based monitoring framework will track training completion, job placement rates, income changes, and worker satisfaction. Learning mechanisms will support continuous improvement and scalability.
Risk Analysis and Mitigation
Potential risks include low employer engagement, worker mobility, and economic volatility. These risks will be mitigated through diversified employer partnerships, flexible training models, and continuous labor market analysis.
Sustainability Strategy
Sustainability will be achieved by embedding training and placement services within existing institutions, strengthening employer networks, and building worker capacities for long-term employability.
Indicative Budget Summary
The indicative budget will cover training delivery, certification, placement services, staffing, monitoring and evaluation, and administrative costs. A detailed budget will be developed in accordance with donor requirements.
Conclusion
Investing in skill development and job placement for informal and migrant workers is essential for achieving decent work, social inclusion, and inclusive growth. This project provides a practical and scalable approach to improving livelihoods and strengthening labor market systems.


