A/HRC/10/65 page 11 46. It was further emphasized that economic growth and the creation of employment are important to the reduction of poverty, but certainly not sufficient. People living in poverty do not often benefit from national growth, and they subsist with work that is ill-paid. The fight against poverty needs a multifaceted approach, not solely from the side of the companies. 47. It was also noted that an existing United Nations initiative, the Global Compact, aims at reinforcing the link between human rights, combating poverty and corporate social responsibility. Nevertheless, there is a need for the Global Compact to act with more tangible and realistic initiatives to move it out from the realm of theoretical discourse. B. Social dimension of the globalization process Decent and favourable work conditions 48. Focusing on the social impact of globalization, Raymond Torres, Director of the International Institute for Labour Studies, ILO, explained that globalization in the form of free trade and foreign direct investment had brought about new growth and job creation; yet, the benefits have been unequally shared both across countries and within them. Real wages have grown moderately and the labour market is more unstable. Financial globalization has further exacerbated labour market instability, as will be shown in the forthcoming ILO World of Work Report. In this context, attention was drawn to a comprehensive policy package developed by ILO, the Decent Work Agenda, and its four components: promotion of employment; social protection; fundamental principles and rights at work; and social dialogue. The Decent Work Agenda is complemented by two recent ILO initiatives: the 1998 Declaration on Fundamental Principles and Rights at Work and its follow-up, and the 2008 Declaration on Social Justice for a Fair Globalization and its follow-up. 49. According to Brent Wilton, Deputy Secretary-General of the International Organization of Employers, business and employers welcome globalization. While globalization is evidently concerned with multinationals, it predominantly affects small- and medium-sized enterprises. The vast majority of enterprises remain nationally based, and tend to be small and medium-sized. They are fragile in terms of access to financing, management skills, employee skills and access to markets. Mr. Wilton emphasized that Governments should assist small- and medium-sized enterprises to benefit from globalization. Most importantly, Governments should engage the private sector and encourage the creation of businesses and entrepreneurship. In conclusion, he urged States to support and implement the 1998 ILO Declaration of Fundamental Principles and Rights at Work and the 2008 Declaration on Social Justice for a Fair Globalization, which was unanimously adopted by all States members of ILO and has the potential to make ILO more responsive to the needs of Member States. 50. In her presentation, Anna Biondi, Director of the International Trade Union Confederation, Geneva Office, also made reference to the 2008 ILO Declaration on Social Justice for a Fair Globalization and commented that, with regard to labour issues, the Declaration would help shape the globalization process. She welcomed economic and employment growth, but cautioned that it could come at the expense of neglecting workers’ rights, particularly those of women workers, hence the need for instituting reality checks. She further called for the real application of labour legislation, particularly in terms of freedom of association and collective bargaining, and recalled that this had been previously recognized by the employers’ organization.