About this site

This website focuses on issues regarding social protection in Asia and the activities done by the Network on Social Protection Rights (INSP!R) and its members. It is under the editorial oversight from the Asia Steering Committee, composed out of members from India, Bangladesh, Nepal, Cambodia, Indonesia and Philippines. It is meant to foster dialogue and share experiences.
The articles describe challenges and achievements to improve the right to social protection to workers in the region, with a specific focus to gender, youth and informal workers.
Showing posts with label informal. Show all posts
Showing posts with label informal. Show all posts

31 December 2022

What is cooking with the domestic workers - India, 2022

Last name and first name: Pranali Rane
Age : 45 years old
Nationality: Indian
Location: Mumbai
Profession: domestic worker
Marital status: widow

"I joined NDWM in 2013 when I migrated to Mumbai after my husband’s death. The organisation supported me to get my rented house and enrolled my child in school. They helped me to get new domestic work to sustain my life. 

During the pandemic in 2020, I lost all of my domestic work, and it was very challenging for my survival. The NDWM supported us by providing grains and other necessary materials.  But I wanted to start some alternative income generating activity as they had taught us to become independent and stand on our feet. We got many trainings on accounting, budgeting, marketing, food making,… from the cooperative of the NDWM.  After the trainings, with the support of the NDWM, we initiated Abhiruchi Food and Products, a small-scale shop with other domestic workers, and started our new journey towards economical sustainability. 
Today, I am in charge of the kitchen of Abhiruchi Food and Products. Every morning I open my kitchen at 6 AM and I work with my friends until 10 AM. We equally support each other to complete our daily tasks and duties. Then we continue our daily domestic work as our main source of income. Today we feel more empowered because by this collective initiative. Still today NDWM gives us training on different skills, like personality development, communication, marketing, understanding product manufacturing and sale, food processing. Today I am leader of my community of domestic workers and the children’s group."

Some results by intervention strategy...
Labour rights: 
692.631 people, of which 62% women and 35% younger than 35 years, were reached through actions focussing on ensuring existing labour rights or developing new labour standards: 271.457 workers (59% women and 44% youth) were made more aware of their labour rights through campaigning and outreach. The partner organizations have organized 64.975 workers, of which 97% women and 30% youth. 31.792 people, of which 94% women and 34% youth received basic training, while 3.088 workers and union leaders (90% women and 43% youth) received advanced training. 52.211 workers, of which 95% women and 24% youth, benefitted from some kind of support or advice from the partner organization. More than 266.000 people (46% women and 39% youth) were mobilized at grassroots level (ex. demonstrations, petitions…) for advocacy actions, while the partner organizations reached out to some 2.869 people and policy makers during their actions towards parliament and the government.

Social security: 
146.895 people, of which 74% women and 28% younger than 35 years, were reached through actions focussing on giving access to better social security. 92.228 people were reached through awareness raising activities (60% women and 25% men), while 19.124 received basic training (97% women and 24% youth) and 146 people received advanced training (45% women and 16% youth). The partner organizations gave legal assistance and support to some 35.000 workers (99% women and 36% youth) and reached out to 188 policy makers.

Healthcare:
Overall, almost 9.000 people were reached out to during actions to improve awareness on health practices and how to use native medical practices and medicines.

31 August 2021

India: Model Operating Procedure for registration of Migrant and Unorganized Workers in National Database

The Working People's Charter, which involves some of the WSM partners  in India, has drafted this statement related to the standard operating procedures to register unorganized or migrant workers in a database for the e-shram portal and social protection schemes. 

Context

In the Suo Moto Writ Petition (Civil) No.6 of 2020 with Writ Petition (C) No. 916 of 2020 the Supreme Court gave the following direction on 29th June 2021 with respect to registration of unorganized workers:

Central Government to develop the Portal in consultation with National Informatics Centre (NIC) for registration of the unorganized labourers/migrant workers. We also impress upon and direct that the Central Government as well as the respective States and the Union Territories to complete the process of Portal for registration under National Data Base for Unorganised Workers (NDUW Project) as well as implement the same, which by all means may commence not later than 31.07.2021. We also impress upon and direct that the process of registration of the unorganized labourers/migrant workers is completed at the earliest, but not later than 31.12.2021. All the concerned States/Union Territories and the Licence Holders/Contractors and others to cooperate with the Central Government to complete the process of registration of migrant workers and unorganized labourers so that the benefits of the welfare schemes declared by the Central Government/State Governments/ Union Territories be available to migrant workers and unorganized labourers for whose benefits the welfare schemes are declared

It has been more than two months since this direction was given to the Central and State Government. Information regarding the concerned Government’s action plan to comply with the direction as per the time frame mentioned is not available in the public domain. We are aware of sporadic measures like surveys being conducted for instance by the Government of Delhi, but are not informed of the larger framework of implementation within which State led initiatives are being undertaken.

At present, there is no centralized national database of unorganized workers in India, in spite of enabling legal mandates under the Unorganized Workers Social Security Act 2008. A collective of worker groups, civil society organizations and academics who have worked extensively towards issues of labour rights have taken the initiative to build a “Model SOP” for registration of workers, which if implemented can ensure that the Government complies with the orders of the Supreme Court. The model SOP can be used by civil society groups, in individual and collective advocacy efforts, to push the Government at the Centre and State level to honour the directions of the Supreme Court in letter and spirit. SAFAR and Working Peoples’ Charter intend to prepare such a SOP by consulting and taking inputs from a range of trade unions, worker groups, campaigns, networks, activists, academics and subject matter specialists such that the contents of the SOP reflect collective priorities through a democratic and participatory manner. The basic objectives of this SOP are to empower unorganized workers, the Central Government and the State Government in India through following:

  1. Creation of a portable national database of all unorganized workers in India which will facilitate their unhindered access to multiple social security benefits
  2. Provide a unique registration number for each unorganized worker in India, so that she/he can claim and access entitlements, services and benefits from any place in the country 
  3. Link potential employers with the unorganized workers
Introduction 

The Indian economy is broadly divided into organised and unorganized sectors and with growth of economy, the organized sector is stagnant (in fact formal employment is shrinking) and unorganized sector is expanding or informal employment is increasing. Out of the estimated workforce of 474 millions, 17 percent (about 82 million) is employed in organized sector and 83 percent (about 392 million) is employed in unorganized sector. In general unorganized is informal also but about 55 percent of the workers in organized sector are also employed informally. In total about 92 percent of the total workers are engaged in the informal employment and majority of them have low earning and without any social protection. Out of the total informally employed workforce - 56 percent are self employed, 11 percent are regular salary wage earners and 33 percent are casual workers seeking employment on daily basis. (It is from 68 NSSO round, but have to check recent one)

The unorganized sector makes a significant contribution to the national wealth, yet workers in this sector do not have access to sufficient and reliable social security. These workers adopt informal strategies which are very expensive and their continued dependence on such strategies only rendered them more vulnerable. A vast majority of them do not have a fixed employer. There is a poor employer-employee relationship. With the enactment of the Unorganized Workers Social Security Act 2008, The Government of India has created a right based legal framework for providing social security benefits to the unorganized workers. According to section 10(1) of the Unorganized Workers Social Security Act 2008, it mentions that every unorganized worker shall be eligible for registration subject to the fulfillment of the conditions. 

Definition of Unorganised Workers

As per the Unorganised Worker Social Security Act 2008 a worker should be recognized as an unorganised worker if he/she fulfills any or all of the following definitions:

  • Self-employed worker (full time/part time) 
  • Wage worker- who does not get covered under social security net as per Unorganised worker Social Security Act (full time/part time) 
  • In case a worker is covered either in EPFO, ESIC or any other four acts as mentioned in schedule II of the Act, he/she is not an unorganized worker.
  • 18 years-age till the person receives pension

Minimum principles to govern the process of registration of workers: 

Self-declared information shared by workers has to be treated as true, unless proven wrong. Onus of proving veracity of information is on the State, and not on the individual worker. 

Recognizing that, despite best efforts, the modes of registration can be corrupted or blocked, multiple modes (online and offline) and routes (multiple spatial access points) must be provided by the State in order to make it progressively difficult to inhibit attempts made by workers to register in a free and fair manner. Additionally, the state must make efforts to reach the worker more than expect the worker to come to it through organizing registration camps, door-step registration services etc. 

Workers who have been registered on existing government portals / lists should not be asked to re-register themselves. Their inclusion in the NDUW should be automatic. In such a case of an auto-enrollment, worker’s unique registration number should be communicated to the worker by SMS on the given phone number and the worker’s registration card should be sent by post to the address in the database. However, if a person who is registered on any of the portals or lists appear at the registration desk, s/he should not be denied registration. An acknowledgement receipt with the ID, list from which the name has been pulled, and status (active / inactive / pending for renewal etc.) should be given along with the physical copy of worker’s registration ID card. 

Workers who have any state approved ID/private document proving authenticity of information being states, have the option of submitting the same at the time of registration. However, no document beyond self-declaration will be required from workers in order to register themselves on the NDUW. A worker wishing to register himself/herself shall not be required to give any proof or any other personal details except those that may be necessary for contacting him/her. 

It shall be the responsibility of the State/Central Government to take pro-active steps to reach the worker and facilitate him/her through the process of registration and other incidental activities, instead of relying on the worker to contact the State/Central Government 

Transparency of information to workers – The Government must put in place mechanisms through which the workers are made fully aware about all the information regarding the registration process like know what registering to this database means, what benefits it will give them, and who will have access to the information to name a few. 

Principle of portability - all workers can register anywhere, get info anywhere, access a center anywhere – no “home state” for registration – Benefits and coverage that follow from the ID must be accessible anywhere in India and should be designed that way.

Inclusion of worker organisation including trade union and voluntary organisations engaging with unorganized sector should be rope in for registration and awareness drive.  

Process of registration

As mandated under Section 9 of the Unorganized Workers Social Security Act, 2008 the State Government shall set up ‘Worker Facilitation Centres’ at the Gram Panchayat and Ward level to facilitate the filling, processing and forwarding of application forms for registration of unorganized workers

In addition to the Worker Facilitation Centres at the Gram Panchayat and/or Ward Level, the State Government should ensure access of workers to multiple modes of registration. Workers/Employers/Trade Union or any worker organisations working in the unorganized sector on behalf of workers should also be able to register through the following ways:

  • Labour Offices 
  • Helpline (govt and non govt run both)
  • Web Portal
  • Ration Dealer/ Post Office / Government Schools / Anganwadis / PHCs / Railway Stations / Metro Stations / Bus Stations / Booth Level Workers 
  • CSC network 
  • Gram Panchayat and Municipal Corporation

Govt may charge nominal fee @Rs 20 or less for the process of registration 

The process of registration will be ongoing through the year. There will be no cut-off date beyond which workers cannot register themselves 

Registration of workers will be renewed automatically, unless workers report a change in parameters by themselves

All those who register themselves on the NDUW will be provided with a dated acknowledgement slip at the time of registration which will contain the following details:

  1. Name of applicant for registration 
  2. Date on which application for registration being submitted 
  3. Location where application for registration being submitted 
  4. Unique ID of the Application 
  5. Name, designation and contact details of the functionary who has received the application for registration 
  6. Date by when the worker will receive the ID card 
  7. Details of how the worker can file a grievance as per provisions of Section 7
  8. The dated acknowledgement slip should contain the following information at an appropriate location
  9. No documents will have to be submitted by the worker at the time of registration 
  10. The time period should be prescribed - which should not be more than two weeks. 
  11. The dated acknowledgement slip provided to the worker at the time of registration should be considered as the registration ID until the worker is provided with the latter.

Workers will be provided with an ID Card within 15 days of submitting an application for registration which will include a unique registration number of a worker. Until this is provided, as stated above, the dated acknowledgement slip provided to the worker at the time of registration shall be considered as the unique registration ID of the worker.

The Central and State Government will access the database of workers registered under existing portals, and add the same to the National Database for Unorganized Workers. Workers registered under existing schemes/programmes will not be required to re-register on the National Database once again. If there is additional information that ought to be collected from Workers registered under existing schemes/programmes, it will be the responsibility of the concerned Gram Panchayat / Municipal Corporation to update the same. 

The State Government may consider deploying the Nehru Yuva Kendra Cadre, National Social Service Cadre, National Cadet Corps to assist with registration, given Labour Departments across the country are understaffed. Additionally, the State Governments should actively involve worker organizations, empanel unions, federations, and labour collectives working in the State for the registration process. 

Functions/Fields for registration of unorganized workers

  • Full Name of the worker (Mandatory) 
  • Date of Birth (Mandatory) 
  • Age (Mandatory) 
  • Permanent address (Mandatory) 
  • Current address (Mandatory) 
  • Mobile Number (Mandatory) 
  • Gender (Mandatory. Male/Female/Transgender/Other) 
  • List of main occupations (Mandatory) (Annexure 1) 
  • Marital status (Not Mandatory) 
  • Is HOF(Head of Family)
  • Caste Category( SC/ST/OBC/General) (Non Mandatory) 
  • Aadhaar Number (Non-Mandatory) 
  • Email id (Non- Mandatory)
  • Bank account number (Non-Mandatory) 
  • Bank IFSC Code (Non-Mandatory) 
  • Bank type (Non-Mandatory) 
  • Person with Disability (PwD) (Yes/No) (Non-Mandatory) 
  • Percentage of disability if disabled (Non-Mandatory) 
  • Disability type if disable (Seeing, Hearing, Speech, Movement, Mental Retardation, Mental Illness, Other disability, Multiple disability) (Non-Mandatory) 
  • BPL Category (Yes/No) (Non-Mandatory) 
  • Ration card number (Non-Mandatory)

Workers who have any state approved ID/private document proving authenticity of information being states, have the option of submitting the same at the time of registration. However, no document beyond self-declaration will be mandatorily required from workers in order to register themselves on the NDUW. A worker wishing to register himself/herself shall not be required to give any proof or any other personal details except those that may be necessary for contacting him/her. 

Automatic inclusion list and exclusion list

Workers registered under different schemes and boards will be automatically included in the NDUW with a unique identifier indicating that their details have been ported directly from other databases. At the time of distribution of material benefits to workers registered on the NDUW, the unique identifier will ensure that workers registered under different schemes and boards do not receive double benefits.

  • Time-bound redress of grievances faced by workers in the process of registration and other issues
  • The Booth Level Officer (BLO) will be appointed as the Grievance Redress Officer in their respective jurisdictions.
  • The name and contact details of the concerned BLO will be proactively disclosed at Worker Facilitation Centres and all physical locations at which registration of workers is taking places in a prominent fashion.
  • Workers facing any grievance in the process of registration will be able to file a complaint with the Booth Level Officer in writing, or through calls, SMS and web portals dedicated for the purpose of receiving and directing grievances to the appropriate BLO

All grievances received by the BLO in writing or through calls, SMS and web portals will be acknowledged with a dated acknowledgement slip which will contain the following details:

  • Name of complainant 
  • Date on which complaint filed 
  • Description of complaint 
  • Location of complaint 
  • Time frame within which the complaint should be redressed 
  • Name, designation and contact details of the BLO who has received the complaint

All grievances filed by workers will be responded to and redressed within 15 days of the grievance being filed. 

Transparency

All information collected and generated in the process of registration of workers under the NDUW will be publicly disclosed as per Section 4, RTI Act through a real time, transaction-based Worker Information System (WIS) set up for the purpose.

Applicants will be able to track the status of their application for registration, look up their registration number, download a registration certificate as many times, request an SMS with the registration information etc. through the WIS. In addition to these, wall painting should also be carried out in Panchayats and Ward offices in Municipalities by putting out the name of people who are registered.

All registered workers will be provided with a physical Registration ID Card, that will be provided at their current physical address. Workers should also have an option to download the Registration ID Card from the WIS anytime, anywhere by providing their registered phone number and unique registration number. The Registration ID Card provided to the worker physically, and the Card downloaded through the WIS will be treated equal in terms of sanctity. The Registration ID Card will contain the following details: 

  1. Name of worker 
  2. Unique Registration ID Number 
  3. Date of registration 
  4. Details of benefits provided to the worker 

Employment categories of Unorganized Workers 

1.  Agarbatti making
2.  Agriculture
3.  Agriculture machinery handling
4.  Animal Husbandry
5.  Arrack and liquor production and vending
6.  Automobile work
7.  Bakery work
8.  Band playing
9.  Bangle manufacturing
10.Beads making / piercing
11. Beautician
12. Beedi manufacture
13. Bicycle repair
14. Bindi work
15. Blacksmithy
16. Boat/Ferry occupation
17. Book binding
18. Brick kiln work
19. Brush making
20. Breweries Distilleries
21. Building and road maintenance
22. Bulb Manufacturing
23. Bullock/Camel-cart operation
24. Butchery
25. Cable TV operation
26. Cane/Reed work
27. Carpentry
28. Carpet weaving
29. Cashew processing
30. Catering
31. Chikan work
32. Cine service
33. Cloth printing
34. Clubs and canteen services
35. Coaching services
36. Coir processing/manufacture
37. Confectionery
38. Construction work
39. Construction of tents and pedals supply of utensils and decoration for function
40. Courier service
41. Dairying and allied activities
42. Data entry operations
43. Distribution of petroleum products
44. Domestic work
45. Dyeing
46. Electronic, electrical goods repairs
47. Electroplating
48. Embroidery work
49. Envelope making
50. Firework cracker production
51. Fishery production
52. Fish processing
53. Flora work and garland making
54. Flour mills operations
55. Footwear production
56. Forestry operation
57. Foundry
58. Gardening and parks maintenance
59. Garment manufacture
60. Gems cutting
61. Ginning
62. GIG/Platform Economy 
62. Glassware manufacturing
63. Goldsmithy
64. Hairdressing
65. Handloom weaving
66. Hawking and vending
67. Headload work
68. Health service
69. Honey gathering
70. Horticulture and floriculture
71. Hotel and restaurant service
72. Lock making
73. Manual operation of unspecified jobs
74. Masala making
75. Matches manufacture
76. Minor forest produce gathering
77. Minor mineral and mines work
78. Newspaper vending
79. NGO services
80. Oil extraction 
81. Packing and packaging
82. Panwalla services
83. Pappad making
84. Petrol bunk/pump and allied services
85. Pickle making
86. Plantation
87. Plastic manufacture
88. Pottery
89. Powerloom weaving
90. Printing press work
91. Quary work
92. Rag picking
93. Rice Milling
94. Rickshaw pulling
95. Salt pan work
96. Sand mining
97. Sawmill work
98. Scavenging
99. Security services
100. Sericulture (Silk rearing)
101. Service station work
102. Shepherding
103. Shoe shining work
104. Shop and establishment work
105. Small-scale industries
106. Soap manufacture
107. Sports good manufacturer
108. Steel vessels and utensils manufacture 
109. Stone crushing
110. Tanning(including hides and skin production) leather goods manufacture
111. Telephone booth service
112. Sweeping
113. Temple leaves collection
114. Tendu leaves collection
115. Timber industry(Furniture manufacture)
116. Tobacco processing
117. Toddy tapping
118. Toy making
119. Transport service(driving, conducting, cleaning) etc.
120. Laundry work
121. Wayside mechanics and workshop service
122. Welding
123. Any other occupation that is not listed above, but the worker declares as his/her occupation. This occupation will be periodically added to the above list. 

These employment categories in the unorganized workers are a suggestive list and should not be limited to just these. Additionally, if any new category emerges through workers’ response during the time of registration under 123, it should become a new category on the WIS too. Workers must be allowed to choose any number of categories of works at the time of registration and should not be restricted to choose a fixed number.

26 November 2020

Attending 1st meeting of the OECD Policy Dialogue on Social Protection and Development: Extending Social Protection to Informal Economy Workers

Members from WSM and INSP!R Asia attended the OECD Development centre policy dialogue on Social Protection and Development 1st meeting of the OECD Policy Dialogue on Social Protection and Development which focused on a central theme  we have been focusing on: extending Social Protection to Informal Economy Workers. The following gives an idea of what was discussed:

Recent  years  have  seen  a  heightened  recognition  of  the  potential  role  of  social  protection  in  the development process. Universal social protection now constitutes an essential component of the global agenda for sustainable development and it features amongst key policy priorities in several regional and national commitments. The current COVID-19 crisis, which is disproportionately affecting the most vulnerable, sadly confirms the centrality of social protection to build more resilient societies.

Yet, the road to universal social protection remains difficult in many countries. A common challenge in developing and emerging countries where informal employment  dominates is to find appropriate modalities  to  expand  social  protection  coverage  in  a  way  that  recognises  the  diversity  of  informal economy  workers  and  provides  them  with  mechanisms  that  are  fair,  efficient  and  sustainable.  As governments intend to build informality-robust social protection systems, another challenge is to make social protection instruments gender-sensitive and gender-transformative. In this context, learning from countries about their  experiences in extending social protection to men and women in the informal economy appears critical.

The aim of this first meeting of the policy dialogue on social protection and development is to provide an  interactive  setting  between  member  countries  of  the  OECD  Development  Centre  and  other stakeholders for an issue-based peer dialogue, experience sharing, mutual learning and the collective production  of  new  knowledge  to  support  the  extension  of  social  protection  to  informal  economy workers. As such, it is an important contribution to the Universal Social Protection Agenda 2030. The dialogue was articulated around the following sessions: 

  1. Session 1 looks at the importance of capturing the different social protection needs of informal economy workers; 
  2. Section 2 and Session 3 discuss the role of  social  assistance  and  social  insurance  for  informal  economy  workers  in  times  of  COVID-19, respectively; and 
  3. the last session addresses the role of innovative financing schemes for informal gig-economy workers.

A  new  OECD  database  –  the  OECD  Key  Indicators  of  Informality  based  on  Individuals  and  their Households  (KIIBIH)  –  relies  on  household  surveys  from  41  countries  to  derive  harmonised  and comparable  indicators  across  countries  related  to  informal  employment  measured  at  the  level  of individuals  and  their  households.  By  covering  both  individuals  and  their  households,  the  database allows  for  a  comprehensive  monitoring  of  informality  that  captures  the  heterogeneity  of  informal economy  workers,  taking  into  account  the  broader  context  of  their  households.  The  household dimension allows to monitor how workers’ vulnerability in the informal economy is passed on to other segments of the population and also enriches our understanding of the different channels through which social protection can reach out to informal workers as part of the formalisation agenda.

Such data suggest that a strategy to extend social protection to informal economy workers may well be articulated around the following three pillars: 

  • (i) closing the social protection gap among poor informal economy workers through non-contributory schemes; 
  • (ii) extending contributory schemes to non-poor informal workers that have the capacity to contribute; and 
  • (iii) creating incentives to levy higher social security   contributions   from   employers   of   wage   workers   and   workers   in   hidden   employment relationships.

08 May 2020

Nepal: only 102 positive corona cases, but many challenges lurking - Interview with Ramesh Badal from GEFONT

Ramesh Badal,
Vice-President of GEFONT
  • What is the situation regarding COVID-19 in Nepal, a country between China where the outbreak happened and India where so many problems have been reported? 
Till now (8th of May 2020), Nepal has very few detected cases. The first corona case was detected in Nepal on 30th of January. After an initial slow start, over 70.000 tests have been conducted, which revealed only 102 positive cases. So far, Nepal has:
  • no corona related deaths, 
  • 30 people cured and released 
  • 72 remain hospitalized 
  • 135 are in isolation. 
As preventive measures, over 15.000 people are under government quarantine. All international flights and borders are closed till 31st May and a complete lock-down is imposed till 17th of May. However, in the past days, some 43 industries related to food or other items have been allowed to re-open with strict measures to abide for workers to avoid infections.
In the coming months, cases will most likely increase, as the lock-down will be lifted in phases and many of the Nepali migrant workers want to return from abroad. Nepal would have great difficulties to ensure proper quarantine for an estimated 177.000 returning migrant workers (127.000 from Gulf states & Malaysia and over 50.000 Nepali workers in India).
  • How does GEFONT and the Nepali trade unions deal with this? What struggle are you currently facing?
Despite the few cases, of course, the Nepali economy is heavily impacted by this crisis. The lock-down caused many workers to be out of work, tourism revenue has dropped to zero and remittances from Nepali migrants, an important source for many Nepali households, are decreasing.

05 February 2020

Indonesia: Social Protection for Informal Workers - ILO refers to KSBSI and SBMI for good practice

The ILO published a Condemium of Practice which compiles examples of how trade unions have reached out to workers in the informal economy, improved their working conditions, and supported their transition into the formal economy, as linked to ILO Recommendation 204. In it, they refer for Indonesia to WSM partners KSBSI and SBMI.

The ITUC was involved in helping the ILO identify good examples for inclusion in this publication, and the final result can be a very valuable resource because it provides a large number of concrete examples to contradict claims from some that ‘’trade unions are not representative of informal workers’’. Download the full publication here

BACKGROUND INFORMATION ON THE INFORMAL ECONOMY AND GENDER:
In Indonesia, the proportion of informal employment amounts to 83.5 per cent of total employment (including agriculture).


For 2018, applying this proportion to total employment results in an estimated number of 104 million informal workers in Indonesia. All contributing family workers are in informal employment by definition. Own-account workers have the next highest percentage of informality.

Many people in the informal economy are employees (47,8 per cent of total informal employment). Over 84.8 per cent of Indonesia’s total female workforce is employed in the informal economy, against 82.7 per cent for men. A significant portion of these women are unpaid workers.

MAIN ACHIEVEMENTS IN TERMS OF REPRESENTATION, SERVICES AND INCLUSIVENESS OF SOCIAL DIALOGUE:
• Improved trade union organization, representation and provision of services to informal workers.
• Extended social security for informal workers, including migrant workers.

THE STORY:
The Confederation of Indonesia Prosperity Trade Union (KSBSI) is a national trade union centre in Indonesia. It was founded in 1992 and has 2.1 million members. From 2017 until 2021, KSBSI and the General and Informal Construction Federation (FKUI), (the federation organizing informal economy workers) will be offering a training programme for workers in the informal economy (street vendors, motor taxi drivers working for the Go-Jek online package delivery application, and others). In this training programme, the trade union is raising the awareness of informal economy workers about the Indonesian social security system, which includes universal health insurance for all and different social security schemes covering workers, such as working accident insurance, a pension scheme and an old age and death allowance.

In addition to training, KSBSI also conducts campaigns, workshops and advocacy to improve the concrete implementation of the social security system, to make sure that workers in the informal economy are able to claim their social security rights.

Both the KSBSI and the FKUI have recorded significant progress in organizing informal economy workers in the construction industry, home-based and domestic workers, on-line drivers and street vendors. Bringing them into the trade union fold has contributed to the union’s strength, in particular addressing decent work deficits in the informal economy. One of the greatest achievements of their campaigns is that the central government is committed to attaining universal health coverage by 2019.

Another big achievement for KSBSI, in partnership with the Indonesian Migrant Workers’ Union SBMI, was the adoption by the Indonesian Parliament of the new Migrant Workers’ Act on 25 October 2017, which creates the legal basis for the inclusion of millions of Indonesian migrant workers in the social security system, which should increase their access to social insurance significantly. The new law came after years of campaigning by migrant workers’ rights groups to end exploitation and modern slavery. The new law places the responsibility on regional and local administrations to oversee their residents who want to migrate abroad for work. As a part of this shift towards local governance, regional administrations are now in charge of providing pre-departure vocational training and ensuring that workers receive proper placement, thus taking away much of the unchecked power of private recruitment companies to charge exorbitant fees, often trapping workers in debt bondage.

RESULTS:
Better representation, improved skills and enhanced social protection for informal workers, through their participation in trade union activities, will contribute to formalization and decent work.

ACCESS TO INFORMATION:
• Bureau for Workers’ Activities (ILO-ACTRAV): actrav@ilo.org
• ILO COOP Unit: coop@ilo.org
• ILO Country Office: jakarta@ilo.org
• Konfederasi Serikat Buruh Sejahtera Indonesia KSBSI: denksbsi@gmail.com
• ITUC Asia-Pacific: gs@ituc-ap.org

26 November 2019

25 July 2019

India passes two of the four proposed and controversial labour codes, with dire consequences for workers, especially informal

From the Working Peoples Charter:
On July 4, the Economic Survey argued that a higher national minimum wage is central to addressing inequality and widespread poverty in the country. A couple of weeks later, the government of India trashed its own analysis by proposing a “starvation wage” of Rs. 178 a day. The Central government hit the nadir with a minimum wage hike of Rs. 2! Experts allege that it is a precursor of what is in store for millions of workers as the cabinet passed two of the four proposed labour codes – Code on Wages as well as the Code on Occupational Safety, Health and Working Conditions.

 Working people are a national asset - undermining their well-being is the biggest anti-national act. Need based Minimum Wage should be guided by Supreme Court jurisprudence laid down in Raptacos case, which is based on principles and test laid down by judiciary, and if any committee, any advisory board decided below this, has to give reason and recommendation.

The two codes were tabled for discussion yesterday by Sri. Santosh Gangwar, Minister of Labour and Employment. With this the Parliament has struck the proverbial hammer on the fate of millions of workers, robbing them of the possibility of decent work and wages, omitting the principles of determining minimum wages, an equal workplace and avenues for access to justice. Primarily driven by the interests of the industry, this predatory piece of legislation is all set to alter the labour protection landscape in India beyond repair and reclaim. It clearly shows that there is a clear drive to `informalise the formal` or `levelling down` which has been central to the overall architecture of the emerging labour regime.
This predatory piece of legislation is all set to alter the labour protection landscape in India beyond repair and reclaim.  With this the Parliament strikes the proverbial hammer on the fate of millions of workers, robbing them of the possibility of decent work and wages, an equal workplace and all avenues for access to justice.

20 June 2019

Mumbai construction workers share their challenges

During a meeting with 15 male construction workers in Mumbai, they shared some of their challenges.
With only one of them born in Mumbai, all the others had moved from the country side looking for work and half goes back home for over three months a year. This is very typical for workers in the informal sector, with people working half the year on fields and half in construction, mostly getting paid per day in both sectors. One said: “I started working in 1994 and have never had a longer term contract, so I don’t get any pension now that I am too old. My daughters support me, working as domestic workers, though one of them is handicapped.” Nine of the 15 started working before they were 18 years old, several before they were 14 as helpers and one even started when he was eight years. Though the legal minimum wage for them is fixed at 25.000INR or 320EUR, nine of them make less. Only one is not a day worker: “I used to work in a garment factory, where I made 18.000INR or 230EUR monthly, but after the union demanded an increase of pay, the management closed the factory and relocated it to another state.” Daily wages are low and women make at least 20% less. “In part, it is also because there are still many cases of bonded labour, people who are in debt and so agree to work for less, which drives down the wages.” All of them were in debt, not to banks but to small private moneylenders who often charge exorbitant interest rates. “We have no access to social welfare schemes, because you have to be a registered worker for at least 90 days at the same company, and so day workers like ourselves are effectively excluded.” 
These stories illustrate why the five WSM India partners focus on a decent living income for the informal sector, especially for three sectors: the domestic, agriculture and construction workers.

Organizing Home Based workers in Nepal in 2018

Ms. Gayatri makes and sells plates made from leaves in one of the most iconic places of Kathmandu, Pashupatinath, a temple where deceased are incinerated. “I came to this area about 10 years ago because it became impossible to continue farming where I lived, since agricultural land became scarce in the valley. I don’t know how to read or write, but I am a strong believer, so I wanted to be near to this temple and approached the trust which manages the temple. With my colleagues, we make plates by folding leaves together, small tumbler and bowls. We sell these plates for 10NPR or 10 eurocent. Since a bundle of leaves costs us 30NPR or 30 eurocent, I only make about 110 to 200NPR (1 to 2EUR) per day. My fingers are getting very painful because of the constant folding of leaves, but since we are self-employed, it is very difficult to get medical schemes for treatment. The earthquake damaged the room where we stored the leaves though and still hasn’t been renovated, so we have to keep our leaves outside, where they are exposed to the weather or dirt. As a small trade union affiliated to Home Workers Union of Nepal (NTUC), we have to defend our trade, because the temple is considering to outsource this practice, which would mean we would lose our income.
NTUC, traditionally a more white collar trade union, focuses more and more on the informal sector and home based workers, using vocational skill training to organize especially women.

These stories illustrate the exemplary work done by WSM partners, the trade unions in Nepal. One of the rare countries in South Asia where the trade unions work closely together and through their unity managed to pass lobby government and employers to pass important legislation regarding labour standards and social security, now also integrating the informal sector.

26 September 2018

Asian Networks on social protection meet EU Parliamentarians

Members of the ANRSP, together with the two other Asian networks on social protection, NTSP and AROSP, met with European Parliamentarians on the 26th of October 2018 in Brussels. Taking advantage of their stay in Belgium for the Asia Europe People’s Forum, this exchange on the situation in Asian countries regarding human rights, free trade agreements and social protection was done with the Global Progressive Forum (GPF), which is a common initiative of the Group of the Progressive Alliance of Socialists and Democrats in the European Parliament and the Party of European Socialists. Their network sprang up from the success of the first World Social Forum held in January 2001 in Porto Alegre and aims to bring together a diversity of people from Africa, Europe, Asia, the Middle East, and Latin America to discuss and propose alternatives to the negative aspects of the current Globalization process. The GPF had also invited members of the network of ASEAN Parliamentarians for Human Rights, who contributed as Asian Parliamentarians. Invited by WSM, the Social Protection Expert of the European Commission DG DEVCO and a member from the Regional Affairs and South Asia of the European External Action Service (EEAS), also attended and explained their priorities.

 Our delegation highlighted the current situation in India and the dangers to the labour movement there, with an increasing criminalisation and deterioration of labour rights in the process of codifying the labour laws. NDWM also referred to the situation of domestic workers, with Sister Jeanne Devos explaining the history of their movement and their involvement in the process of the ILC189. Another big topic was the influence the EU can have through trade agreements which conditionalize import tariffs with the respect of human and labour rights, for instance in the Philippines (GSP+) and Bangladesh (Sustainability Compact). Bismo Sanyoto, Thematic and Political Coordinator of the ANRSP talked about the two issues of social protection: how to finance this (most countries still spend less than 2% of the GDP on social protection) and how to extend the coverage, also for informal workers.


Despite all the lofty declarations which put social protection as a priority for the development programmes of the EU, the representative from DEVCO said less than 1% of the overall DEVCO budget is dedicated to SP projects. He said the future global programme will focus on budget support, in 5 to 8 countries over the world, to link public finances and social protection. This would involve civil society organisations, also through the Global Coalition on Social Protection Floors, of which WSM is an active member.

22 August 2018

Tamil Nadu Govt Sets Rs 37/Hr Minimum Wage For Domestic Workers, 7 Yrs Of Jail For Paying Less

The Tamil Nadu government in southern India has fixed minimum monthly wages for domestic workers in a recently released notification. The issued notification recognises skilled, semi-skilled and unskilled domestic workers. It is a big step by the state government as a part of Labour Reforms which aimed at setting guidelines for the unorganised sector. There should not be any distinction between the wages of a male and a female worker.


The notification is based on the recommendations made by an eight-member committee, headed by the Deputy Commissioner of Labour of Coimbatore. The committee had meetings with labour inspectors, domestic workers union and employers to understand their needs.

Any violation of the notification can land into punishment of up to seven years imprisonment with fine.

While this is an important step forward, a national policy is needed for the safety of domestic workers which would ensure their overall well being which includes health, education of their children etc. The Ministry of Labour has been working on a policy for domestic workers since last three years.

13 March 2018

Bangladesh Home Based Workers: OSHE produced documentary

In Bangladesh, Home Based Workers are the most vulnerable among all informal workers. Generally they remain invisible; even their contribution is not recognized in national economy statistics. These workers work at the bottom of the supply chain and are exploited by contractors in various ways. Home-based workers remain excluded of existing labour laws and social protection schemes.
They work out of the public eye with low wages, lack of security, and deprived of social dialogue structures. Despite these problems, they contribute to export various products including ready-made garments, artisan craft, showpieces, sporting goods, pharmaceuticals packaging etc. Bangladesh's current laws do not permit home-based workers to form workers' welfare associations, even though the Bangladeshi government has ratified the ILO convention 87 and 98. Until now no initiative has been taken to form organization for HBWs and there is no effective initiative of national policy to protect HBWS and provide social security.


This is a  documentary from OSHE on Home Based Workers of Bangladesh as developed under the OSHE/FNV project entitled "Decent Work for Home Based Workers at the Textile and Garments
Supply Chain.

20 November 2017

A Trapeze Act: Women Balancing Paid Work and Unpaid Care Work in Nepal

Despite high rates of labour force participation by women in Nepal, there has been very little engagement by communities and the state on the issue of women’s ‘double burden’ of balancing unpaid care work with paid labour activities. The ‘Balancing paid work and unpaid care work – Nepal’ research study aims to create knowledge about how women’s economic empowerment (WEE) policy and programming can generate a ‘double boon’, i.e. paid work that empowers women and provides more support to their unpaid care work responsibilities. Research discussed in this report looks at two WEE programmes in Nepal: (1) a state programme, the Karnali Employment Programme; and (2) a non-state programme, Oxfam Nepal’s Enterprise Development Programme. One of the stark conclusions of the study is that women are currently unable to balance their paid and unpaid care work due to several factors: the lack of availability of decent employment opportunities in rural areas; a lack of quality public resources and services; migration of men; a lack of assets such as land; and prevailing gender norms, especially around women’s participation in unpaid care work and mobility. The report makes recommendations at state, non-state, market, community and family levels. Programmes aimed at women’s empowerment need to have a care perspective in their design and implementation, and grass-roots-level communication and advocacy needs to be encouraged and implemented, in order to reduce women’s ‘double burden’ and move towards a’ double boon’.

Download the study here.

12 October 2017

2014-2016 impact: Looking at the new Indonesian Social Security: interview with Rekson

In the past three years and thanks to continued pressure from the trade unions, Indonesia has set up a historical system of universal social security and health with a tripartite structure. We met with Rekson Silaban, Commissioner BPJS Ketenagakerjaan (Employment), one of the two elected board members on behalf of the trade unions to discuss the achievements and challenges of this system.

History
After independence, Indonesia had only a couple of limited specific schemes, only for formal and public sector. In 2004, Indonesia passed law n°40 for a social security institution, Jamsotek, which was trying to expand social security schemes to the private sector but which faced many challenges in its implementation, with limited payouts and where any profits went to the state. After three annual general strikes demanding social security, legislation n° 24 was passed in 2011, which organized social security related to work, BPJS Ketenagakerjaan.
BPJS Employment was established in January 2014 and is fully operational since July 2015 with 336 offices countrywide. Their philosophy is based on the independency philosophy and pride to settle socio-economic risks. Independency means no dependence on other people in financing healthcare treatment, senior age life, and family following a death. Pride means such security is obtained as a right instead of other people's act of sympathy. To accomplish optimal financing and benefits, the BPJS Ketenagakerjaan programme is conducted collectively, in which the younger generation assists the older generation, healthy people assist ill persons, and higher-income persons assist lower-income people. This system was newly non-for-profit, which for the first time doesn’t return profit to government but is being re-invested in the social security (in 2015, profit of almost 40 million€ or 624 billion IDR). By end 2015, 2.000 companies and 20 million workers were covered, out of Indonesian total workforce of 100 million people. In 2015, they have seen a 15% increase from 16,79 million to 19,27 million workers affiliated, which is still only one out of five workers.

16 December 2016

The effect of India withdrawing currency notes on informal economy

The Prime Minister of India, Narendra Modi's announcement over television on the night of November 8, 2016, withdrawing from circulation currency notes with denominations of Rs. 500 and Rs. 1000, has had a cascading effect on the economy. In this Issue Brief, M. Vijayabaskar, Associate Professor, Madras Institute of Development Studies, Chennai, maps the pathways through which demonetisation impacts the informal economy. A distinction is made between sectors and categories of labour such as the self-employed, the casually employed and the micro and small enterprises operating below the realm of formal regulation. This Issue Brief brings out the paradox of justifying demonetisation in terms of formalising financial markets even it has informalised labour markets. Finally, it also points out that there is little likelihood of the move benefiting the informal economy even in the long run.

People may, therefore, be pushed into the financial system in desperation if the government chooses to not remonetise all that has been demonetised. While this may mean 'inclusion' in a symbolic sense, it will mean little else for the large segments of those who have been excluded from access to formal employment opportunities. Given that it is the same government which has pushed for labour reforms that weaken the protection given to formal workers through 'model' reform laws passed in Rajasthan, it is hard to buy the argument that demonetisation may actually work in favour of even those currently employed in the formal segment leave alone those in the informal economy.

Read the full article here.

10 November 2016

Experience of National Domestic Workers Movement in India promoting Labour Rights and Social Protection for Vulnerable Workers

The National Domestic Workers Movement (NDWM) in India is rights based movement of domestic workers across 17 states in the country. Since 2011, NDWM has been facilitating the establishment of trade unions of domestic workers in several States. Fifteen domestic workers trade unions together form the “National Domestic Workers Federation (NDWF)”.  Each members pays Rs 60 to 120 (1 to 2 US dollar) as membership fees per annum, of which 10 % is shared with the NDWF.

At the moment, The Jharkhand Gharelu Kaamgar Union, the domestic workers union affiliate of NDWF in Jharkhand State is developing a domestic workers cooperative, with the support of ILO (pilot project). The objective of such a the cooperative is 3-fold:

  • Promote decent work for domestic workers through collective bargaining and thus to facilitate the transition of the sector from the informal to the formal economy;
  • Break the unequal employment relationship between domestic workers and employers;
  • Enhance the skills of domestic workers and facilitate quality both for the domestic workers and the employers.
  • Facilitate economic empowerment of domestic workers through savings and credit from Cooperative.

For those domestic workers, who are already members of the union and  wish to become a member of the Cooperative has to pay a onetime membership fee of Rs.50 and buy minimum one share of Rs.100 (1,5 USD). A member can buy maximum of 20 shares. In return, the cooperative provides the following services to its members :

  • Training on the functioning of cooperatives, leadership etc.
  • 60 hours of skills training to each member in collaboration with well-known Hospitality industry.
  • A savings and credit scheme (members can take loans on a minimum  interest  2% per annum)
  • Facilitate employment in Hospitality sector and real estate (Apartments) with a written tripartite contract (Cooperative, Employer and Worker) with a code of conduct and terms and conditions of work.
  • The Cooperative extends a social security cover (health insurance, maternity, unemployment benefit and pension) to its members. The premium is paid from the contribution of worker (5% of total salary per month) and the employer (5% of total salary per month) deducted from the worker. The employer pays the salary to the cooperative and in turn the cooperative pays to its members.

For the time being, one cooperative has been established in Jharkhand State with 102 domestic workers as “member-shareholders”. In comparison, the domestic workers union in Jharkhand State has currently over 3.000 members, so there is more awareness raising to be done to convince more union members to join the cooperative. CBA negotiation has started mainly with corporate houses and real estates (apartment buildings). The advantages for the “employers” are the following:

  • Acquisition of the specific services required by them.
  • Skilled domestic workers.
  • In case of complaints or grievances, they can turn to the cooperative as an intermediary.
  • They don’t have to deal with the wage and social security administration.
  • The union backs the work of the cooperative by providing to the cooperative:
  • Training and capacity building on labor rights,
  • Legal services (legal support),

Uzziel TWAGILIMANA, WSM Africa
Bart VERSTRAETEN, WSM Belgium
Chandran CHETAN, NDWM, India

17 July 2016

Report on Organising for Decent Jobs – Formalising Informal Work

The power of workers’ organising to fight the desperation of the informal sector is revealed in a new report published by Equal Times with case studies from 17 countries documenting union action to formalise informal jobs. The report outlines the success of union organising to transform the lives of waste recycling workers in Brazil, moto-taxi drivers in Rwanda, domestic workers in Belgium and Lebanon, street vendors in Ghana, artists in Uruguay and workers from many other sectors in many other countries.  The work of the Indian Self-Employed Women’s Association SEWA is highlighted in a country where 92 per cent of the economy is informal, while in the USA, worker-focused alternatives to the so-called “gig” economy, where internet platforms are being used by businesses to break down the employment relationship, are examined.
  • Pages 26-33 Asia-Pacific: Tackling the informal economy (India, Philippines)
  • Pages 34-44 Europe: Informal work in a European context (Belgium, UK, Kyrgyzstan and Bulgaria)
  • Page 54 Conclusion: Towards decent work for all
A common strand through the report is the use of an international instrument, ILO Recommendation 204, which sets out how countries should formalise informal economic activity. Link here.

16 March 2016

India partners launch their study on decent living income in the informal economy

Miss Annelies Maricou, First Secretary for the Belgian Embassy in Delhi,
unveils the study and presents it to M Ranjit Prakash from the ILO,
Project Coordinator - Social Protection
During a reception in Delhi tonight, the WSM partners in India presented their study done on the decent living income in the informal economy in India. You can find the study here.

If the world is increasingly becoming a village, one cannot help but notice that many of the houses in this village are shacks. Made out of left-over materials, they lack solid foundations or leak when it rains. If this village would have 100 citizens, 77 people would have a place to shelter them from the wind and the rain, but 23 would not. 60 would be Asian. One person would be dying of starvation, 15 would be undernourished while 21 would be overweight. A mere 5 out of the 100 would control 32% of the entire world's wealth and 48 would live on less than US$ 2 a day, 20 would live on less than US$ 1 a day.

The ever increasing urge to earn and spend more money is consuming both people and resources. World Solidarity (WSM) believes that for this village to continue existing and its citizens to live in dignity, these houses should be built on solidarity. Thus, WSM supports five organisations in India, AREDS, CFTUI, CWM, NDWM and YCW to add foundations and bricks to the India house and its social protection and decent work. After all, the only sustainable solution to poverty is that people have decent work and decent incomes.

This study peeks into the many rooms of the Indian house, where the majority of the people work and live, the informal sector, and focuses in ten States on the agriculture, construction and domestic workers. The study looks through questionnaires and focus group discussions at working conditions, how they live, and sometimes barely survive, how they are employed, how they employ themselves, and how they are often either grossly ignored or massively exploited. Led by an esteemed research team, the study was conducted by and through the partners, who felt they could learn as much from this process of conducting such a field study as from the findings it produced. Any advocacy indeed needs to start with and be built on reality. Studies are one way to compile and present data, findings that can be analyzed and argued.

The concept of decent work actively promoted by the International Labour Organisation (ILO) is based on 4 main principles: freely chosen and productive work (1), with international labour rights (including fundamental labour standards) being observed (2), and a form of work which provides access to social protection (3) and in which workers are listened to through social dialogue (4).

Social protection is thus one of the four main principles of the Decent Work Agenda of the ILO. On the one hand, labour is still the best guarantee against poverty, provided that it is “decent” work obviously. On the other hand, social protection offers the guarantee of a decent standard of living, both in the case of people who have lost all or part of their work income as well as in the case of people who find it difficult or impossible to provide for themselves.

Social protection consists of a whole range of measures of prevention, protection, promotion and transformation or social change, which aim at preventing and reducing social exclusion and inequality as well as poverty and vulnerability.

Globally, especially in developing countries, social protection is reduced to protective and preventive measures. To ensure that a national policy of social protection responds in the most adequate way to the various needs of the different target groups, it is crucial that all relevant stakeholders are involved at all stages, from the early development of the policy to its implementation and monitoring. A structural and dynamic dialogue is a prerequisite to strike the right balance between the different kinds of measures and the most appropriate methods of financing.

We hope this study will provide arguments to lobby in the diversity of India and its national and state level legislation for better minimum wages which allow people to live in dignity, a decent living income.

15 February 2016

Tamil Nadu, India unorganized sector too unaware of social schemes to avail benefits

NDWM from India shared this article from the Times of India today, commenting that, despite several social security schemes by the government in Tamil Nadu, domestic workers fail to benefit from them, due to lack of awareness. Another issue for availing the schemes is the absence or difficulty in providing ID proof among the migrant workers.

The article states that: "As per the state government, migrant workers of unorganised sector such as construction, handicrafts, tailoring, domestic workers and street vendors are eligible for several benefits," said an official from the labour department. A common problem that these workers face is lack of residential proof or any other proof certified by the state government. As per the labour department, migrant workers would be provided with an ID card, given government allowances in addition to other benefits. However, only a few are aware of these schemes. Of the 129.000 migrant workers in Coimbatore, only 2,000 have applied for government benefits.


05 February 2016

First Minimum wages established for domestic workers in Rajasthan, India

Media reported another small victory in the efforts to set minimum wages for domestic workers in India.

In a first such initiative, the government of Rajasthan in India has enforced fixed minimum wages for domestic help and has set limited working hours. The move comes after the state labour department's notification dated December 21, 2015, which had mentioned the implementation of labour reforms in the unorganised sector.

"Domestic workers were included in Scheduled 27 of the Minimum Wages Act eight years ago. But, we have now fixed the number of working hours for them to ensure they are paid well," said  Dhanraj Sharma, Additional Labour Commissioner as per a report by DNA.
The minimum wage has been set at Rs 5,642 per month for an eight-hour which will include cooking, washing, baby sitting and other daily chores. It is exclusive of food, clothing, accommodation or any other benefits.

Here is all you need to know about the new rule:

  • In case of overtime, they will be paid double the minimum fixed per hour for each hour beyond the mandated eight hours.
  • For just washing dishes and laundry, they will have to be paid a minimum Rs 705 per month for a household of four people. If the households consists of more than four people, 10% extra will have to be paid over the minimum.
  • Labour inspectors will  carry out surprise checks in every district and the violators will be penalised. Domestic workers will be eligible for compensation as high as 10 times the difference between the minimum wage and the amount he or she was received.