1. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO1 HIV/AIDS and the informal economy A102570 Trade Union Training on OSHE and HV/AIDS (African and Caribbean), September 27 - October 8, 2010 Ginette Forgues Social Protection Programme

2. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO2 What is the informal economy?

3. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO3 The Informal Economy Concept developed in the 70s to describe the working poor Workers or operations, who in majority of cases, are not recognised, not registered, not regulated and mostly not protected by law Variety of jobs & informal enterprises in urban and rural areas – much self-employment Informal production & informal employment relationships Not criminal or illegal economy – production of legal goods & services

4. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO4 Other terms for informal economy?

5. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO5 Other terms for informal economy Since the ILC 2002, it is referred to as “economy” not “sector” Shadow economy Second economy Underground economy Under-the-table economy Unorganised sector Illegal economy** **Activities may not be conducted in a regulated environment, but they are not criminal activities

6. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO6 Why do we have so much informal economy?

7. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO7 Drivers of the informal economy Working informally out of need, not out of greed Poverty & limited job opportunities Inability of industrial sector to absorb labour force in productive jobs Flexibilisation of work in the formal economy Economic restructuring in some countries Governance issues Demography issues: youth, women, seniors..

8. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO8 What type of work is in the informal economy?

9. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO9 Type of informal work Multiple job holding: combining low-wage employment in the formal economy with other IE activities for a living Small trade: cross border/suitcase trade, street vending (quick return on investment) Migrant labour: seasonal, temporary, casual, sub-standard work Subcontracting: wage assembly production arrangements Informal production & services, home-based, etc

10. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO10 Who is in the informal economy?

11. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO11 Workers & operators in the IE Diverse workers Many are women and youth, also migrants, indigenous people Services, transportation, construction, agriculture workers, domestic & home-based workers People with low skills, with vulnerabilities Others?

12. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO12 SEGMENTATION OF THE INFORMAL ECONOMY: BY SEX, AVERAGE EARNINGS, AND POVERTY RISK

13. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO13 The informal economy: a challenge A growing phenomenon The major economy in many countries The largest economy with decent work deficits International Labour Conference 2002: informal & formal economies are a continuum Overall objective is to formalise the informal economy & progressively increase the decent work elements

14. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO14 Informal Economy & Decent Work Social protection Informal economy Labour legislation not applied No registration Poor working conditions Unobserved economy Difficult access to markets Market access No voice Labour legislation No social protection Registration Stats, OSH, voice Formal economy I

15. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO15 Size of the informal economy in your countries?

16. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO16 Informal economy & HIV/AIDS Vulnerability of IE workers & operators to HIV/AIDS caused by: - poverty, social inequality, unemployment, - occupational risks - Workplace outreach? Lack of access to prevention & treatment services, care & support and resources

17. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO17 How to work with the IE? Fifteen minutes to discuss two questions (point form only): 1) How can we reach the workers & operators in the informal economy? 2) What are their needs and how can we respond to those needs?

18. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO18 Outreach to informal economy Trade associations, women’s groups, informal economy groups Cooperatives Employer associations, Workers’ associations Ministries of Youth, Labour, Women’s Affairs, Agriculture Enterprise programmes for community outreach

19. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO19 Outreach to informal economy Religious leaders Local governments NGOs Scholl children Concerts, drama, etc Radio

20. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO20 Some elements of support Productivity improvement Access to health care Access to financial resources Access to technical resources Awareness & prevention Access to cash transfers

21. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO21 Needs & opportunities: Mozambique example Association of workers & operators in the IE (ASSTSI) – ILO & SIDA project 2 staff trained→30 IE operators as HIV peer educators 27 markets: prevention, strategies vs discrimination, access to services 6,000 people reached, vendors & clients in 2 yrs Helped vendors to increase profit, sessions on small business management, access to micro- credit

22. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO22 Needs & opportunities: Thailand example PDA – Population & Community Development Association: Positive Partnership Programme Micro-credit loans to PLWA Create a partnership between one HIV+ and one without HIV. Loan can be used for joint or separate business After 3 years, 728 pairs Better understanding between HIV+ and non HIV persons, and in the community Raised awareness in hundreds of communities in Thailand

23. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO23 Needs & opportunities: Ghana example Odawna Light Industrial area in Accra (ILO & USDOL project) Large number of apprentices & young people in car repair & maintenance, food vendors & other suppliers Survey confirmed lack of knowledge, misunderstandings & many workers live away from home Ghana National Association of Garages -40,000 members, 4,000 in Odawna Network of focal points & peer educators in 26 garage plots

24. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO24 Results in Ghana Exit survey showed significant change Council for Indigenous Businesses Association developed the Ghana Informal Sector Workplace Policy on HIV/AIDS Committee formed on IE & HIV to increase involvement of member associations in HIV prevention, integration with national response to HIV, mobilisation of resources Workers, employers & districts have mainstreamed HIV policies in operational plans

25. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO25 Needs & opportunities: Nepal example Livelihood support programme for PLWA in two districts in 2009 (UNAIDS & ILO project) Resource Center providing/upgrading skills, helping with partnerships, resources for PLWA to enter workforce or to set up small businesses Partnership with two other ILO projects on local economic development and skills development

26. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO26 Needs & opportunities: Zambia example Study to understand IE needs in 3 large markets, 3,450 operators (ILO and SIDA) Results: Lack of information, stop work to take care of relatives with AIDS, need to look after own health, loss of revenue Little or no working capital, lack of business skills – leads to casual sex in return for cash & favours Lack of HIV services in market place, lack of enforcement of bylaws – use of alcohol, commercial sex in market booths

27. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO27 Needs & opportunities: Sri Lanka example Lanka Plus: advocacy & support for PLWA 26 organisations supported Market research on what type of products customers are prepared to buy from PLWA No food items (stigma), OK for handbags, candles, wall hangings, shoes Label to read “for PLWA funds” instead of “made by PLWA” Revolving loan fund for self-employment opportunities

28. © International Training Centre of the ILO 2007 www.itcilo.orgInternational Training Centre of the ILO28 Some conclusions 1) People working in the informal economy have special workplace conditions Needs 2) Awareness, information on prevention 3) Need to remain active and productive 4) Need to improve skills, to access financial and technical resources 5) Can be reached via their associations, at local level, through networks and they are very receptive