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Global union federations, including Education International, are calling for urgent reforms from the International Monetary Fund (IMF) and the World Bank, urging these Internacional Financial Institutions to prioritise public investments and adopt policies that strengthen public services, labor rights, and social dialogue.

This call for change coincides with the 80th anniversary of the Bretton Woods Conference and the 2024 Annual Meetings of the IMF and the World Bank, which are taking place from 21-26 October in Washington, DC. In a joint statement, global unions are demanding that the International Financial Institutions break away from harmful austerity measures and instead focus on reforms that will promote sustainable development, social equity, and stronger labor protections.

David Edwards, General Secretary of Education International, stressed the central role of public education in fostering sustainable development and social justice: "Public education is key to sustainable development and reducing inequality. International financial policies must shift towards prioritizing investments in public services, rather than cutting them. We are particularly concerned about the continued use of public wage bill constraints, especially in countries facing severe teacher shortages."

Key financial reform demands

The global unions' statement highlights the urgent need for a new social contract that prioritises decent work, labor rights, and social dialogue with trade unions. The statement warns that, without such changes, the IMF and the World Bank risk perpetuating global policies that privilege private profit over public good, leaving millions of workers and communities behind.

The statement highlights several key demands for reform:

Ending public wage constraints: The statement calls on the IMF to stop advising countries to limit public sector wage bills. This echoes the recommendations from the UN High-Level Panel on the Teaching Profession, emphasising the importance of investing in essential public services like education, healthcare, and social protection.

Implementing tax justice and debt relief: Global unions are calling for a fairer global tax system and the cancellation of unsustainable debt that cripples many countries, particularly in the Global South. The statement argues that, without such reforms, countries will continue to have to prioritise debt servicing over critical public investments.

Supporting a just transition: As economies transition towards greener, more sustainable models, global unions emphasise the need for policies that protect decent work and safeguard labor rights. The Internacional Financial Institutions must support the creation of jobs that align with climate action and social justice.

Strengthening social spending floors: Governments must commit to guaranteeing universal access to public services, including education, health, and social protection, to build more equitable societies.

Enhancing gender equality: The World Bank’s gender equality strategy must be bolstered, with a focus on women’s rights and recognition of unpaid care work, which plays a critical role in sustaining economies and communities.

Ensuring that the digital transition protects workers: As the world moves towards digitalisation, global unions demand that international financial institutions ensure this transition promotes equality, safeguards workers’ rights, and does not exacerbate inequalities.

The Global Unions statement can be found here