1. International Labour Organization
ORGANIZING THE INFORMAL ECONOMY WORKERS
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2. Why are we interested in the informal economy?
With the effects of Globalization plenty of formal jobs converted to informal jobs;
Rising numbers of unemployment & underemployment / own account work & unpaid family labour;
Labour market becoming more flexible and workers being retrenched as global competition intensifies;
More workers join the informal economy and significant decent work deficits noted;
ILC 2002 articulates importance of increasing decent work in the informal economy.
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3. What is the informal economy? Who are in it?
What comes to your mind when you hear the term “informal economy”?
Fluctuating income
Contractual
No registration
No identity, their contribution is not counted
No social security
No job security
Poor work conditions
Temporary
Part time
No Regulations
Harassment & abuse from authorities
No bargaining power
Women and children / migrant workers / disabled
Bonded labour
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4. Who are Informal Economy Workers?
Own account
small shop & street vendors, transport operators, farmers, fish workers, gem cutters, charcoal makers, weavers, basket makers, potters, potato chips makers, etc.
Contractual labour
home workers
construction workers
farm workers
railway workers
domestic workers
garment workers
textile workers
brass workers
beedi & matches workers
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5. Strategies for Organizing Informal Economy Workers
Macro Level
At Union level
- Policy
- Working Group
- Constitutional Amendment
- Budget Allocation
Micro / Field Level
At Various work places
- Sectors
- Various aspects to be looked into
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6. Union Density Asia / Pacific
Country %
Mongolia
38.9
Taiwan
37.7
Fiji 30
Israel
Singapore 26
Australia 24
Hong Kong 22
New Zealand
21.5
Japan 18
Sri Lanka
Turkey 15
Korea 11
Country %
Malaysia 9
India
Indonesia 8
Nepal 7
Philippines
Pakistan
Papua NG 5
Bangladesh 4
Thailand 1
China ?
Viet Nam
(Source ITUC-AP)
Source: H. Ishibashi, quoting ITUC-AP.

7. How do Trade Unions Organize?
No ready made solutions, no single model;
Strategies will depend on –
Country legal framework (what rights exist?)
Type of industry and state of the industry
Nature of employment, types of workers (self employed/wage employed/home based/ contract/etc
Union Strategy & Structure?
Union resources (financial, material & people)
Image and status of the TUs
What else ?
IF in the IE taking collective bargaining rights at the inception is difficult, initiate with social welfare services first at community level
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8. Checklist of preparations to organize 1
Servicing Comradeship solidarity
Two Angles
Practical Organizing at Union Level
Need to prepare :
Agree on why to organize and identify problems / benefits for our union;
Set policy and commit resources;
Change constitution, structure etc. if required;
Identify target group / area/ industry group.
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9. Checklist of preparations to organize 2
2. Review :
Ability of Informal Economy Workers to join a Union;
Ability to join our Union – Associate Members?
Check workers Capacity / strength in the market
3. Assess needs of IEW through informal contact and own knowledge:
Identify any existing organization and its status;
4. List Needs;
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10. Checklist of preparations to organize 3
5. Seek Advice about how to meet these needs from:
Union members;
Legal Adviser;
Global Unions;
University staff and students / labour friendly organizations;
Government Officers;
ILO and other UN agencies;
Other appropriate Organizations
Develop appropriate responses for identified needs;
Identify what expectation we are raising when we approach informal economy workers
Identify what benefits they will receive
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11. Checklist of preparations to organize 4
8. Determine whether some of the benefits are available to our members
If not, can they be developed for our members first and give informal economy workers access (e.g. Credit Union)?
Implement any necessary changes to union benefits
Train Union Activities
Develop Activists, strong grassroots level working groups / committees / Pressure groups / SHGs well trained;
Develop short Survey / Mapping Exercise
Develop Communication and networking skills
Decide how contact will be made
Interviews
Workers’ Information Booths (WIC)
Additional Surveys
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12. Checklist of preparations to organize 5
11. Start information campaign and review survey results, revise and recontact
12. Outline rights and responsibilities
Membership in general;
Grass root leaders;
Working Groups / committees;
Elected representatives;
Executive committees;
General body;
General Conference.
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13. Checklist of preparations to organize 6
Organize a meeting (draw informal economy workers from several localities if possible)
Present ideas based upon the surveys and the results of our research
Set some objectives
Select interim committee (union and target group members)
Determine fees and costs
Create networks
Set out plan of action
Nominate persons to carry out plan of action
Determine report back meeting times
Implement actual plan of action
Constant review progress and amend strategy and tactics as required
Implement plan of action
Constantly review progress and amend strategy and tactics as required
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14. Serving Members of Union - Collective Issues & Negotiation
Services:
TUs address IEW issues to formalize IE work and provide access to all benefits that are provided in other formal organized work;
Make Informal Economy workers work - Decent Work;
Access to employment - Decent Employment;
Access to social welfare programmes;
Access to credit / savings;
Access to site / area;
Access to hassle free markets / with storage facilities;
Assist in accessing state run welfare schemes / programmes;
Assist in registration process / procedures through Workers Information Centre / WIC which can be a one stop shop;
Access to health and sanitation facility at work place;
Access to special sanitation facility for women.
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15. Collective Issues:
Wage Issue – a) Piece rate, b) Minimum Wage, c) Daily wage / hourly wage;
Working conditions;
Occupation Safety and Health;
Gender Equality / Gender Mainstreaming;
Marketing / Quality standards / vending facilities;
Employment opportunities / availability of jobs;
Contract labour;
Social security / social protection / social welfare;
Sick leave, other leave entitlements;
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16. Collective Issues (Contd.,)
10. Collective action:
Collective discussions to be held, then arrive at a consensus on the demands;
Conduct a survey in the concerned sector / may be door to door or in markets etc.;
Sign a petition;
Arrange meetings / awareness programmes and attend such events in support of negotiations;
Join a Union as a full or associate member;
Forming and registering an organization or association and taking part in elections / meetings etc.
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17. Basic Components Required for Negotiations
Identify issues / demands;
Prioritize your demands, if you think it is difficult achieve all at one go;
Know your counterpart/s;
Prepare positive arguments / justifications including a fall-back;
Prepare what the counterparts reactions would be;
Prepare accordingly your counter arguments;
Plan collective actions;
Take up consistent follow-up;
Enter into formal agreements / MOUs at bipartite & tripartite levels.
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18. THANK YOU