Social impact analysis

The social analysis will seek to respond to the question of how a reduction of tariff and non-tariff barriers in the modernised Agreement, and the resulting changes in trade and investment flows between the EU and Chile may affect the situation on the labour market, job quality, welfare, rights of consumers, and public policies and services, such as social protection, education, and health-care in both Chile and the EU.

In particular, the following types of impact will be addressed:

  • impact on employment levels across sectors of economic activity, gender, and skills groups, i.e. low-skilled and highly skilled workers;
  • impact on women in their diverse roles as employers, workers, traders, and consumers;
  • impact on job quality, including wages, types and duration of contracts (including differences between direct employment and sub-contracting), working hours, health and safety at work (e.g. the number of fatal and non-fatal injuries at work), as well as number of labour inspectors and inspections carried out at work places;
  • impact on levels of inequality and poverty, situation of vulnerable groups, as well as on the social protection system, i.e. the levels of expenditures, types of benefits, and coverage;
  • impact on consumers, including the availability and affordability of goods and services (including through changes in consumer price index), as well as their safety and quality;
  • impact on rights at work as enshrined in the eight ILO fundamental conventions, i.e. non-discrimination at work and the situation of vulnerable workers (e.g. disabled persons and migrant workers), occurrence of child labour, and forced labour, respect for freedom of association, and the right to collective bargaining, and social dialogue, including the presence of the social partners (trade unions and employers’ associations) across sectors and types of enterprises;
  • impact on informal economy and informal employment across the sectors of economic activity, and types of enterprises;
  • impact on public social policies, such as education and health-care, as well as availability, accessibility, and quality of the provided services;
  • impact on uptake of Corporate Social Responsibility practices, including those implementing international instruments in this area, as well as respect for decent work in global supply chains.