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Conclusions and recommendations
The objective of the LMA was to “to gain a better understanding of the role host communities play in their (respective) local economies and in Libya as a whole” with a broader objective to “increase the engagement and participation of the Migrant and Domestic workforce in the PS industries/businesses, and therefore enhance the economic activity and social cohesion of the respective regions in Libya.” The following conclusions and recommendations are based on the key findings from the research.
9.1 Growing the Private Sector ■
There needs to be a scale-up in financial, organizational and academic support to the private sector. UNDP can work directly with companies, but also through intermediaries such as business chambers, local municipalities, etc. to set-up appropriate support programs that assist with establishing fair recruitment processes, setting official standards for hiring and firing, and financial support through economic crisis – such as the COVID-19 pandemic.
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The system of formalizing informal businesses needs development. Formal companies tend to have a stronger growth outlook, better access to labor market skills and more business opportunities. There is a need to work both with informal businesses as well as with relevant actors (registration authorities, business chambers, etc.) on making the process of registration and formalization easier. This can include reducing registration costs, simplifying procedures, creating one-stop-shops and incentive schemes. This should also help to ensure that an increasing share of companies provide decent work conditions, including employment contracts, which are in high demand. A private sector that provides more stability for employees is likely to attract and keep a stronger workforce.
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Capacity issues differed by sector; 93% in the construction sector, for example, felt they had poor capacity in terms of human assets (skills/qualifications/experience), and 60% felt they had poor capacity in terms of technological assets. The implications are that certain sectors may
