Unlocking the Social Economy 2025

1.3 Introducing a framework for economic equity There is not yet a unifying definition of “just” or “equitable” transitions or a shared understanding of how to achieve them in practice. This report considers the economic equity framework as presented in the 2024 World Economic Forum report, Accelerating an Equitable Transition: A Framework for Economic Equity. Economic equity considers the fairness in distributing the costs and potential benefits of the green and digital transitions. Economic equity is only one dimension of fairness. It does not include: –Dimensions of procedural equity: the degree of involvement and inclusiveness in rulemaking and decisions. –Dimensions of contextual equity: pre-existing conditions that limit or facilitate people’s access to decision-making procedures, resources and, thereby, benefits.32 Economic equity is broken down into five key areas: employment and job transitions, affordability of products and services, accessibility of products and services, access to financing and investments, and access to capacity (Figure 1). Economic equity framework FIGURE 1 Economic equity dimensions– Transitioning away from fossil fuels – Scaling up low-carbon energy sources – Greening transport and mobility – Greening agriculture and food production – Greening heavy industry – Greening infrastructure and built environment – Moving to a circular economy Ability to navigate the evolving job market in a digital economy through adequate social support, reskilling, and access to new employment opportunities created by greening and digital advancementsAbility to purchase relevant products and services (e.g. impact of short-term price hikes) as well as green and digital alternativesAvailability of and ability to use relevant products and services as well as green and digital alternatives by overcoming geographical, physical, socioeconomic and technological barriersAbility to access finance and investments to transition into and out of industries/sector within the digital and green transitionsAbility to access knowledge, technology and other resources to create and sell relevant products and services as needed for success in a digitally-driven world– Shifting to e-commerce – Scaling up digital banking services – Digitalizing education – Moving to telemedicine – Digitally transforming public services – Rising of the platform economy Green transition dimensions Digital transition dimensions Affordability of goods and services Accessibility of goods and servicesAccess to financing and investmentsAccess to capacityEmployment and job transition Source: Adapted from World Economic Forum. (2024). Accelerating an Equitable Transition: A Framework for Economic Equity. https://www3.weforum.org/docs/WEF_Accelerating_an_Equitable_Transition_A_Framework_for_Economic_Equity_2024.pdf. Unlocking the Social Economy: Towards Equity in the Green and Digital Transitions 10