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The Informal Economy Revisited The Informal Economy Revisited This landmark volume brings together leading scholars in the field to investigate recent conceptual shifts, research findings and policy debates on the informal economy as well as future challenges and directions for research and policy. Well over half of the global workforce and the vast majority of the workforce in developing countries work in the informal economy, and in countries around the world new forms of informal employment are emerging. Yet the informal work- force is not well understood, remains undervalued and is widely stigmatised. Contributors to the volume bridge a range of disciplinary perspectives includ- ing anthropology, development economics, law, political science, social policy, sociology, statistics, urban planning and design. The Informal Economy Revis- ited also focuses on specific groups of informal workers, including home-based workers, street vendors and waste pickers, to provide a grounded insight into disciplinary debates. Ultimately, the book calls for a paradigm shift in how the informal economy is perceived to reflect the realities of informal work in the Global South, as well as the informal practices of the state and capital, not just labour. The Informal Economy Revisited is the culmination of 20 years of pioneering work by WIEGO (Women in Informal Employment: Globalizing and Organ- izing), a global network of researchers, development practitioners and organisa- tions of informal workers in 90 countries. Researchers, practitioners, policy- makers and advocates will all find this book an invaluable guide to the significance and complexities of the informal economy, and its role in today’s globalised economy. Martha Chen is a Lecturer in Public Policy, Harvard Kennedy School, USA, and Co- Founder, Emeritus International Coordinator and Senior Advisor of WIEGO. Françoise Carré is Research Director, Center for Social Policy, University of Massachusetts Boston, McCormack Graduate School, Boston, USA, and Dir- ector, WIEGO Statistics Programme. Routledge Explorations in Development Studies This Development Studies series features innovative and original research at the regional and global scale. It promotes interdisciplinary scholarly works drawing on a wide spectrum of subject areas, in particular, politics, health, economics, rural and urban studies, sociology, environment, anthropology, and conflict studies. Topics of particular interest are globalization; emerging powers; children and youth; cities; education; media and communication; technology development; and climate change. In terms of theory and method, rather than basing itself on any orthodoxy, the series draws broadly on the tool kit of the social sciences in general, emphasiz- ing comparison, the analysis of the structure and processes, and the application of qualitative and quantitative methods. Security, Development and Violence in Afghanistan Everyday Stories of Intervention Althea- Maria Rivas Economic Development in Ghana and Malaysia A Comparative Analysis Samuel K. Andoh, Bernice J. deGannes Scott and Grace Ofori-Abebrese Rethinking Multilateralism in Foreign Aid Beyond the Neoliberal Hegemony Edited by Viktor Jakupec, Max Kell and Jonathan Makuwira The Informal Economy Revisited Examining the Past, Envisioning the Future Edited by Martha Chen and Françoise Carré Barriers to Effective Civil Society Organisations Political, Social and Financial Shifts Edited by Ibrahim Natil, Vanessa Malila and Youcef Sai The Informal Economy Revisited Examining the Past, Envisioning the Future Edited by Martha Chen and Françoise Carré First published 2020 by Routledge 2 Park Square, Milton Park, Abingdon, Oxon OX14 4RN and by Routledge 52 Vanderbilt Avenue, New York, NY 10017 Routledge is an imprint of the Taylor & Francis Group, an informa business © 2020 selection and editorial matter, WIEGO, Martha Chen and Françoise Carré; individual chapters, the contributors The right of WIEGO and Martha Chen and Françoise Carré to be identified as the authors of the editorial material, and of the authors for their individual chapters, has been asserted in accordance with sections 77 and 78 of the Copyright, Designs and Patents Act 1988. The Open Access version of this book, available at www.taylorfrancis. com, has been made available under a Creative Commons Attribution-Non Commercial-No Derivatives 4.0 license. Trademark notice: Product or corporate names may be trademarks or registered trademarks, and are used only for identification and explanation without intent to infringe. British Library Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloging- in-Publication Data A catalog record has been requested for this book ISBN: 978-0-367-19151-1 (hbk) ISBN: 978-1-315-70921-5 (ebk) Typeset in Times New Roman by Wearset Ltd, Boldon, Tyne and Wear Contents List of illustrations x Notes on contributors xi Acknowledgements xiv List of abbreviations xvi Introduction 1 MARTHA CHEN AND FRANçOISE CARRé PART I The informal economy revisited 29 1 Informality: the bane of the labouring poor under globalised capitalism 31 JAN BREMAN 2 India’s informal economy: past, present and future 38 BARBARA HARRISS- WHITE PART II Informal employment: advances in statistics and research 45 3 Advances in statistics on informal employment: an overview highlighting WIEGO’s contributions 47 JOANN VANEK 4 Informal employment in developed countries: relevance and statistical measurement 52 FRANçOISE CARRé vi Contents 5 The measurement of informal employment in Mexico 60 RODRIGO NEGRETE 6 WIEGO research on informal employment: key methods, variables and findings 67 MARTHA CHEN PART III Economics and the informal economy 77 7 Assessing taxation and informality: disaggregated frameworks matter 79 RAVI KANBUR 8 Informality and the dynamics of the structure of employment 84 JAMES HEINTz 9 Old and new forms of informal employment 88 UMA RANI 10 Tax and the informal economy: lessons from South Africa 92 IMRAAN VALODIA AND DAVID FRANCIS 11 (Re)conceptualising poverty and informal employment 98 MICHAEL ROGAN AND PAUL CICHELLO PART IV Labour law and the informal economy 103 12 Revising labour law for work 105 JUDY FUDGE 13 Domestic workers and informality: challenging invisibility, regulating inclusion 110 ADELLE BLACKETT 14 Enforcement of labour standards in developing countries: challenges and solutions 116 MICHAEL J. PIORE Contents vii PART V Urban planning and design: including informal livelihoods 121 15 The informal economy in urban Africa: challenging planning theory and praxis 123 CAROLINE SKINNER AND VANESSA WATSON 16 Urban design: imaginations beyond architecture 132 RAHUL MEHROTRA 17 Informality, housing and work: the view from Indian cities 136 GAUTAM BHAN PART VI Homeworkers: extending labour rights in global value chains 141 18 Regulating corporations in global value chains to realise labour rights for homeworkers 143 MARLESE VON BROEMBSEN 19 Extending labour standards to informal workers at the base of global garment value chains: new institutions in the labour market 151 MEENU TEWARI PART VII Street vendors: politics and possibilities for inclusion 159 20 Street vendors and planning paradigms 161 AMIN Y. KAMETE 21 Street vending and the state: challenging theory, changing research 167 VERONICA CROSSA 22 Street vendors and regulations 173 SALLY ROEVER viii Contents PART VIII Waste pickers: integration and rights in public waste management 179 23 Waste pickers and their right to the city: dispossession and displacement in nineteenth- century Paris and contemporary Montevideo 181 LUCíA FERNANDEz 24 Managing urban waste as a common pool resource 189 JéRéMIE CAVé 25 The political work of waste picker integration 195 MELANIE SAMSON PART IX Social policy and informal workers 201 26 The place of informal workers in different approaches to social protection 203 FRANCIE LUND 27 Social protection and informal workers: rethinking the terms of inclusion 210 LAURA ALFERS 28 Social protection for women informal workers: perspectives from Latin America 215 SILKE STAAB 29 Informal workers in a context of urbanisation and migration: reflections from China for social policy in Asia 221 SARAH COOK 30 Realising employer liability for informal workers: lessons from India 226 KAMALA SANKARAN Contents ix PART X Informal workers and the state 231 31 Deciphering African informal economies 233 KATE MEAGHER 32 Informal workers and the state in India 239 RINA AGARWALA 33 Informal domestic workers, informal construction workers and the state: what prospects for improving labour standards? 246 CHRIS TILLY 34 Waste & Citizenship Forum: waste pickers and the state in Brazil 251 SONIA DIAS Conclusion 257 MARTHA CHEN, FRANçOISE CARRé AND SALLY ROEVER Bibliography 269 Index 292 List of illustrations Figures 5.1 The formal/informal labour matrix 64 5.2 Contribution of Informal Economy (Total, Inside and Outside Informal Sector) to GDP 64 6.1 WIEGO model of the informal economy: segmented by status in employment and sex with average earnings and poverty risk 71 11.1 Contributions to poverty reduction by income source (Shapley poverty decompositions) 100 11.2 Poverty reduction ratios by different categories of informal employment (Shapley poverty decompositions) 100 11.3 Relative ‘per job’ impact of earnings from informal employment on poverty reduction (Shapley poverty decompositions) 101 20.1 What is not working with current theories and approaches? 161 23.1 Paris: localisation of chiffonniers’ settlements
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