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Peru Approves 2026–2040 Labor Formalization Strategy After Unanimous Multisectoral Vote

The framework now moves to a sector-built operational plan to reach a 2040 goal of 50% formal employment.

Overview

  • Representatives from 23 public institutions signed the act formalizing the strategy during the commission’s fifth session.
  • The effort is led by the Viceministry of Labor, with backing from ministries spanning Economy, Health, Education, Production, Energy and Mines, Transport, and others.
  • Authorities cite that roughly seven in ten workers are informal without pensions or social protection, underscoring the policy’s urgency.
  • The strategy diagnoses informality as a structural, multicausal public problem that demands systemic change across the labor market.
  • Its three pillars prioritize boosting formal employability, cutting barriers to formalization, and raising enterprise productivity, with operational measures to be detailed in the upcoming Plan Multisectorial.