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Home Based WorkersRatna M. SudarshanDirector, Institute of Social Studies Trust, New DelhiJuly 29, 20091Defining home based workersDefinition based on place of workCan be self employed independent employers or own account workersOr Dependent sub-contract workers

How significant is home based work in India?Share in total employment1999-2000: NSS Employment and Unemployment Survey 8.2 million of whom 4.8 were women (58%)

Total HBW - 7.4 % of unorganized non-agricultural workersNon agricultural workers in own dwellings

Table 1: Percentage Share of Non Agricultural Workers Working in Own Dwellings[1]

1999-2000 to 2004-05

(Source: Report of the Independent Group on Home-based Worker 2008 - Appendix Table 3, NSS report No 519 Part I, 61st Round, NSS Report 460, Chapter 4, Table 10,55th Round) Industry Rural Urban 1999-2000 2004-05 1999-2000 2004-05Female59 59.3 40 49.8 Male 21.2 17.5 12.4 11.7 HBW in DelhiISST Survey, Delhi -2006Men: 1.6%, women 1.5 %

Locating home based workers in the economy globalisation, informality and home based workGlobalization and informalityInformal employment not a creation of globalization: however there has been increase in last few years Can distinguish between old and new forms:old crafts, home based production of bidi, agarbathi, etc; vending, services like domestic workers; skills acquired within family and entry facilitated by family/ communitysome segments have contracted and others expanded with economic growth

New informal employment Outsourcing, subcontracting, contractual employment linked to formal enterprises Workers either shifted from regular to contract work or have had to accept informal work although the normal expectation would have been regular employmentThis group can include skilled/ well educated workers; reflects a pattern of growth in which decisions to expand output are de-linked from decisions to expand regular employment

Old - a group that has never had benefits; new- a group that has lost actual (or potential) benefits.New informal employment and HBWWhy should new work opportunites take the form of HBW?Social and cultural norms continue to mediate decisions regarding work whether or not to work, which work and whereSocial group, religion and HBWStrong overlap for traditional craft/ trades weavers, zari zardosi: craft learnt in familiesNew groups get drawn in at times of need/ expanding demand especially when skill can be easily learnt agarbathi, beediHBW in newer trades lower income groupsHBW: concentrationsHBW found in wide range of industry; but largely concentrated in some industriesFurther concentrated into clustersExamples of Clusters Weaving (Chanderi), garments (Ahmedabad), agarbathi (Bangalore)

HNSA-ISST study of social protection for HBW

Examples of HBW clustersPatna, Bihar: chappal making; Ravidas community (traditional Hindu) + few MuslimsFlute making MuslimsGaya: agarbathiBeedi: largely drawn from SC/ST/Other backward tribes, most backward castesPunjab: PhulkariBareilly, UP: zari-zardosi; applique work, Rampur; box making, LucknowBottom end of value chain: invisibilityBox making at LucknowMithai ShopMithai ShopMithai ShopContractor + Machineries+Family labourRaw materialsCard boards/paperPrinting Of lindsFactory based Labour (on piece rate basis)Home basedLabour (Piece rate)Home BasedFamilyLabour

Home Based labourBIDI SECTORRaw materials supplyFrom neighbouringstatesBidi Factory OwnerContractorHBW for rollingRolled BidisRoasting in ovenLabelling packingDistributorDomesticExportSub - contractorRolled BidisFactoryHBW: is this full time work? Table 8: Daily Hours of Work (In Hours) Characteristics Phulkari Zardosi Applique Peak Period 795Lean Period 463Source: ISST-HNI 2007 Table 9: Part of the day in which this work is done Zari Zardosi

Part of the day Frequency Percentage Share Morning 1312Noon 1820Afternoon 89Whole day- whenever time is available 5459Total 93100Source: ISST-HNI 2007when do you usually work?Home Based Work and the FamilyAbility to adjust work timings Role as workers overlaps and is difficult to separate from role as carer and in provisioning for familyIn traditional crafts, there has been a historical evolution from home based work for own or family use to production for the market attitude remains ambivalent

Sources of vulnerability and areas for action/ policy supportSources of vulnerability of home based workersNature of Work:Seasonality, low wagesUncertainty of work/ fluctuating annual incomeLack of access to credit, technology, skillDifficulty in anticipating growth trajectoryHealth risks from work high, access to facilities lowLimited access to any social security (health, old age, maternity)Dependence on contractorFactors further enhancing vulnerability: Sources of income

Dependence on one source of income is associated with higher levels of vulnerability

-Home based workers with high input of unpaid family work -Where men and women adult members of a household are engaged in the same home based work, seen to be more vulnerable, as compared to households where adult men and women have different sources of income.

Seen in case of zari workers, beedi workers (NCAER 2001)

Children in home based workEstimate of total time spent by children in home based work as a ratio to total time spent on this by the household (no allowance for differences in productivity, etc)

The average contribution, for three sectors (zardosi, bidi, agarbathi) together stands at over 13 %, ranging from a low of 8% in Bidi to 17% in zardosi work. (NCAER 2001)

NEXT GENERATIONSectorHours worked by children in a day (avg no of hours* avg no of children working per hh)Total no of hours spent in a day in HBW by the householdProportionate contribution of childrenAgarbathi21315.4 %Bidi1.2158 %Zardosi3.520.617 %All2.3017.413.2 %NEXT GENERATIONAverage Contribution of Children (in hours) to HBW Note: these calculations are based on data on the average number of persons in a household working in hbw and the average no. of hours spent by each person. Poverty + transmission of poverty to next generation

Non-enrolment in school/ early drop out illiteracyLack of alternative routes to acquiring skills (only 5% of population has training as per NCEUS)Family can impart known skills/ existing networks Early entry into work combined with limited opportunities for part time further education

Policy support and actionSelf reported Key Needs (ISST-HNSA)Needs:Agarbatti: Loans, Housing, Health InsuranceGarments: More Work, Housing, LoansWeaving: More Work, Loans, HousingHNSA Advocacy, visibility and policy framework for home based workers; sharing best practices (such as SEWA health insurance)

Summing up: HBW and livelihood concernsHH income influenced by availability of work (often seasonal); piece rate payments; timeliness of payment; cost of raw materials purchased by HBW/ thread, transport; storage concernsSignificance in family income can be up to 100%Organising for recognition, registration and access to legal protection as workersAccess to skill upgradation, marketing, mobility along value chainSumming up: HBW and livelihood concernsDevelopment trajectory variesExpanding, constant, decliningNeed to view current situation + expected trajectory while assessing needs and appropriate policy directions

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