Cost-Benefit Analysis (CBA) is an economic tool for the comparison of costs and benefits associated with various alternatives. This tool is used to systematically estimate the strengths and weaknesses of different options of investing capital. It is a technique that is used to determine options that provide the best outcomes in terms of benefits in labor, time and cost savings etc.

The ISET Policy Institute (ISET-PI) was commissioned by the World Bank to assist the Social Service Agency (SSA) of Georgia, an agency of the Ministry of Labor, Health, and Social Affairs (MoLHSA), in setting up a system for providing job seekers with vocational and educational training (VET). The project had two specific goals.

The main purpose of the consultancy was to contribute to the elaboration of the Population Situation Analysis (PSA) section on Socio-Economic Context in Georgia. The Government of Georgia (GOG) and the Prime Minister have announced addressing demographic challenges as a top priority of the country. UNFPA was asked to support undertaking the Population Situation Analysis (PSA) in Georgia, in order to generate evidence regarding demographic situation that would be further used for elaboration of the Demographic Strategic Plan for Georgia.

In Georgia, employment is often found not through prevailing in fair, orderly selection processes, but through personal connections. This is a well-known fact almost nobody denies. It is evident in almost every Georgian firm and institution. In a hospital, you encounter a “nurse” not capable of the most basic medical accomplishments, in one of Tbilisi’s universities you meet a “cleaning woman” who is mentally ill, known for scaring everybody through aggressive and inappropriate behavior, and in the railway station, you buy a ticket from a clerk who knows nothing about regulations, timetables, and trains.

Before answering this question, let us define what economists usually mean by” informal employment”. There is some confusion with this term, and sometimes it is improperly used as a synonym for tax evasion or illegality. ILO defines informal employment as: employment “consisting of units engaged in the production of goods or services with the primary objective of generating employment and incomes to the persons concerned.