ILO Warns of Stalled Progress on Global Social Justice

Progress on global social justice is slowing, with entrenched inequalities, declining trust in institutions, and persistent labor challenges threatening economic and social stability, according to a new International Labour Organization (ILO) report.

“The world has made undeniable progress, but we cannot ignore that millions remain excluded from opportunity and dignity at work,” says Gilbert Houngbo, Director General, ILO. “Social justice is not only a moral imperative — it is essential for economic security, social cohesion and peace.” 

The ILO’s The state of social justice: A work in progress report was published ahead of the Second World Summit for Social Development in November, and marks 30 years since the 1995 Copenhagen Summit. The report highlights that while the world is wealthier, healthier, and better educated than in 1995, progress on reducing inequality has largely stalled. Globally, 71% of earnings remain determined by circumstances of birth, informality affects 58% of workers, and the gender pay gap will take a century to close at current rates. Trust in institutions has been declining since 1982, and the ILO warns that failing to strengthen the social contract could undermine democratic systems and global cooperation.

Environmental, digital, and demographic shifts are transforming labor markets worldwide. The ILO emphasizes that without deliberate policy interventions — such as investments in skills, social protection, fair wage systems, and active labor market programs — these transitions could exacerbate inequalities. Conversely, well-targeted measures could make these shifts engines of inclusion and resilience.

Mexico’s INEGI reports that in 2022, over 3.7 million children aged five to 17 were engaged in child labor, with 57% performing hazardous or unauthorized work. Boys were more likely employed in prohibited occupations, while girls were concentrated in unsafe domestic tasks. By sector, 33% of minors in unauthorized labor worked in agriculture, followed by services (23%) and commerce (21.5%).

Meanwhile, formal employment reached record levels in July 2025, driven by a federal pilot program enrolling app-based delivery and ride-hailing workers into the national social security system. IMSS reported the addition of 1.26 million new formal jobs that month, raising registered employment to 23.6 million, with 82.7% permanent positions. However, informal employment also increased, with over 1.13 million individuals joining informal jobs in 1H25, pushing the share of informal workers to 54.8%.

These figures underscore a dual challenge: even as employment opportunities expand, systemic inequalities — both in access to work and in labor conditions — persist. The report calls for placing social justice at the core of policymaking and strengthening cooperation among governments, employers, workers, and international institutions to ensure that global economic growth is inclusive and sustainable.