Over half of circular economy workers lack protection, ILO report finds
An ILO report warns that over half of global circular economy workers remain in informal, unprotected jobs and urges governments, including Kenya’s, to link circular policies with stronger labour and social safeguards.
The International Labour Organisation (ILO) is urging governments to adopt stronger social and labour protections as countries transition to circular economic models, which remain largely informal.
In its latest issue titled ‘Employment in the Circular Economy’, the organisation says the shift will only be just and sustainable if it delivers decent work.
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It estimates 121 to 142 million people to be engaged in circular economy activities, representing up to 5.8 per cent of the total global employment, excluding Agriculture.
When combined with renewable energy jobs, global circular and clean-energy employment may reach nearly 158 million positions.
Notably, repair and maintenance account for the largest share of circular jobs, followed by waste management, manufacturing and construction.
However, more than half of these circular economy workers, over 74 million, remain in informal employment, with Africa hosting around 10.3 million of these workers.
The ILO warns that without deliberate intervention, informality will continue to undermine safety, earnings and productivity, making the transition neither just nor inclusive.
To ensure a just transition, the agency urges governments to integrate circularity into public procurement and channel investments toward high-potential sectors such as manufacturing and construction.
It also calls for stronger support to sustainable enterprises by improving access to finance, business development services and capacity-building programmes.
At the same time, education and training systems must become more inclusive, with tailored programmes for youth, women and informal workers who are most likely to be affected by the transition.
The agency further emphasises the need to enforce occupational safety and health standards, extend social protection to informal workers and safeguard fundamental labour rights.
Strengthening data ecosystems at local, national and international levels is also highlighted as essential for tracking circular economy activities and understanding their employment implications.
In Kenya, the urgency of adopting a circular economic model is becoming more pressing as waste volumes, for instance, rise alongside rapid urbanisation.
Last month at the 10th Kenya Private Sector Alliance (KEPSA) Circular Economy Conference in Nairobi, Principal Secretary for Environment and Climate Change Festus Ng’eno painted the picture.
“A staggering 60 per cent of waste is not properly managed, resulting in widespread environmental degradation,” Ng’eno said.
He added that unmanaged waste, plastic pollution and growing e-waste pose significant threats to public health and biodiversity.
The PS thus noted that the government views circularity as fundamental to its development agenda, emphasising the need to minimise waste by design and keep materials in use for as long as possible.
He announced that the Ministry is prioritising the development of a comprehensive national circular economy strategy this financial year.
“This strategy will go far beyond traditional waste management by transforming our entire value chains,” he said.
The planned strategy is expected to boost green job creation by expanding waste prevention, reuse and recycling while improving resource efficiency across industries.
Other officials also noted that the strategy will support Kenya’s broader climate and industrialisation goals and help reduce environmental harm linked to poorly managed waste streams.
Overall, according to ILO, the findings point to clear policy directions. “Circular economy policies must integrate social and labour dimensions, and should be informed by national and local data baselines,” the ILO said.
“Governments should promote circularity in high-potential sectors beyond fully circular industries, leveraging public procurement and investment to create employment-rich opportunities.”
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