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EmploymEnT, woRk, and hEalTh inEqualiTiEs - a global perspective<br />

Chile - magdalena Echeverría and Víctor maturana Waidele<br />

Chile is also a country in the cluster of semi-periphery and emerging<br />

labour institutions. Chile's population of over 16 million people is<br />

concentrated in three large urban areas, where 85 per cent of the Chilean<br />

population live. The rural population accounts for 13 per cent of the total<br />

population, and the indigenous population is 5 per cent of the total. The<br />

population living be<strong>low</strong> the poverty line is 19 per cent. Chile stands out in<br />

the latin american region as a country that is highly participating in the<br />

global economy, and has experienced rapid economic growth in the last<br />

two decades. according to the typology of countries, Chile is a more<br />

egalitarian society compared with countries such as Turkey or El salvador.<br />

However, since the mid-1980s, Chile has fol<strong>low</strong>ed a free-market economic<br />

model, with scant state regulation and a focus on exploitation of natural<br />

resources: copper mining, fisheries, fruit production, and forestry.<br />

poverty has fallen since 1990 by 20 per cent (ministerio de planificación,<br />

1990; 1993). However, there has been no improvement in the major<br />

inequalities in income distribution. families in the top quintile account for<br />

almost 50 per cent of monthly family income, while those in the bottom<br />

quintile account for 6 per cent. The labour market participation rate has<br />

increased over the past twenty-five years, an increase which is almost<br />

exclusively due to women joining the labour force. In 2006, male participation<br />

attained 71.5 per cent while female participation was only 38 per cent, with no<br />

improvement in the type of work available for women (Instituto nacional de<br />

Estadísticas, 2006). The wage gap with men is 30 per cent. almost three<br />

quarters of employees are salaried workers, while self-employed workers<br />

represent 27 per cent. since 2000, unemployment has been in single digit<br />

figures (6.6% at the end of 2006) with a 1.6% difference between men (6.1%)<br />

and women (7.7%). The level of child labour in Chile is the <strong>low</strong>est in the latin<br />

american region. migrant labour is also <strong>low</strong> (1.2% of employment) although<br />

the proportion of migrant workers from bordering countries has increased.<br />

since the restoration of democracy in Chile, a variety of reforms have<br />

been carried out, such as the major labour reform of the early 1990’s,<br />

which was intended to rectify an unregulated labour market. However,<br />

flexibility is widespread in the Chilean labour market. The two aspects of<br />

flexibility that have been most developed are subcontracting of work<br />

and/or personnel (35% of salaried work) (Echeverría, 2006) and the<br />

lengthening of the working day beyond its customary limits (Echeverría<br />

& Jeria, 2005). In 2003, the number of hours worked in Chile annually<br />

was 25 per cent higher than in European countries, 15 per cent more<br />

than in Japan and 14 per cent higher than in the united states.<br />

Trade union membership has declined (10% of salaried workers) and<br />

the unions are not very powerful, except among copper miners, public-<br />

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