Informasi Kajian Permasalahan Sosial dan Usaha Kesejahteraan Sosial, Vol. 8 No. 3 September .2003 PEDAGANG KAKI LIMA DI WILAYAH METROPOLITAN BANDUNG, MASUKAN BAGI PEMBUATAN KEBIJAKAN (Street Vendors in Bandung Metropolitan Region, Inputs for Policy Making) Edi SUHARTO Abstract Peranan sektor informal diperkotaan dalam pembanguna menjadi isu penting dalam kebijakan. Di Indonesia evaluasi kebijakan sosial masih memfokuskan perhatian pada pertumbuhan dan dampak sektor informal terhadap lingkungan kota. Pertumbuhan pedagang kakil lima menjadi kontroversial karena terjadi konflik kepentingan antara kesempatan kerja dengan kepentingan publik. Artikel ini menyediakan informasi tentang faktor-faktor yang mempengaruhi pedagang kaki lima yang berguna bagi pembuat kebijakan di kota Bandung. Fokus bahasan terutama pada karakteristik mereka, alasan memilih profesi ini, dan lokasi bisnis yang disukainya. Kata Kunci: Informal Sector, Street Vendor, Policy making 1. INTRODUCTION so-called "urban informal sector" (UIS) is more diverse than the rural one and includes a vast and heterogeneous The informal sector is known by variety of economic activities through many different names according to which most urban families earn their different contexts and points of view. livelihoods. Variously referred to as the informal economy, unregulated economy, Activities of the urban informal unorganised sector, or unobserved sector in the public arena of cities are employment, to cite but a few of its titles, particularly apparent in street-based this sector typically refers to both trading, which is widely known as street economic units and workers involved in vendors or pedagang kakilima in local a variety of commercial activities and language. Although these street occupations that operate beyond the enterprises are mostly hidden from the realm of formal employment (Williams state for tax, they involve very visible and Windebank, 1998; Suharto 2002). In structures, and are often subject to certain the urban context, the informal sector limited administrative processes, such as refers to small enterprise operators simple registrations or daily collection selling food and goods or offering fees. The main forms are retail trade, services and thereby involving the cash small-scale manufacturing, construction, economy and market transactions. This transportation, and service. These 27 Informasi Kajian Permasalahan Sosia/ dan Usaha Kesejahteraan Sosial, Vol. 8 No. 3 September 2003 fees. The main forms are retail trade, also concentrated in other areas, such as small-scale manufacturing, construction, public markets, commercial complexes, transportation, and service. These and bus stations, where crowds economic activities involve simple congregate at the day and night. Above organisational, technological and all, they are found in public spaces and production structures. They also rely low-income residential neighbourhoods, heavily on family labour and a few hired usually through squatting on public or workers who have low levels of economic privately owned land. and human capital and work on the basis of unstandardised employment In Bandung, very little, if any, laws (Suharto, 2000; 2001; 2002). attention has been paid to integrating the urban informal sector in urban With reference to street enterprises, development planning. While the the issue of the informal sector is municipal and district government have particularly related to its business no adequate understanding on the operation. The street traders operate their nature of micro-economic activities, the businesses in the areas that can be local government authority has not classified as public spaces and are seriously considered the aspirations and originally not intended for trading needs of street traders. purposes. As most street trading occupies busy streets, sidewalks, or other This research therefore address public spaces, it is often considered these issues, and integrate them within illegal. This status makes these traders the urban space and economy. The victims of harassment and threats from results is useful for policy makers and police and other government authorities. city administrators to identify a number In Bandung, for example, the of policy options and programmes in municipality government continues to accommodating the operation of small perform clearance operations in the five and micro-enterprises. The provision of busiest areas: the Alun-alun Square and suitable workshop sites and of access to the streets of Asia Africa, Dalem Kaum, appropriate technology and credit at a Kepatihan, and Dewi Sartika. It is relatively lower cost, as well as the believed that these areas should be free provision of adequate and appropriate from the "nuisance" of pedagang kakilima, shelter and infrastructural services, are especially during event days. This some examples of the possible actually often involves a policy of"clear­ interventions. the-streets and arrest-vendors" that removes the street enterprises from the In addition, the results can also be areas in which they have been operating. shared for policy analysis in some advanced countries, especially in the In Bandung, there are areas of European Union nations which are now visible agglomeration of such witnessing the exclusion of an increasing enterprises, particularly along the major production of the citizens from both transport arteries and streets (e.g. the formal employment and welfare streets of Asia Africa, Dalem Kaum, provision and hence experiencing the Kepatihan, and Dewi Sartika) and in growth of the informal economy road reservations in the city. They are (Williams and Windebank, 1998:29). 28 lnformasi Kajian Permasalahan Sosia/ dan Usaha Kesejahteraan Sosial, Vol. 8 No. 3 September_ 2003 2. LITERATURE REVIEW work operating either as home-based or public-based activities. Activities of the 2.1 Defining the Urban Informal Sector urban informal sector in the public arena and Street Traders of cities are particularly apparent in street-based trading. Although these In most countries, both developing street enterprises are mostly hidden from and developed ones, activities in the the state for tax, they involve very visible informal sector were not included in structures, and are often subject to certain national employment statistics (Suharto, limited administrative processes, such as 2002). In an attempt to bring this sector simple registrations or daily collection to national attention as well as to reduce fees. the concern over high unemployment, the inclusion of the sector in national Putting the distinction of street figures has now become a common traders under the umbrella concept of feature in many developing and urban informal sector, Suharto's study in developed nations alike (see Portes, Bandung (2002) generates a typology of Castells and Benton, 1989; Thomas, those categorised as street traders or 1992; Williams and Windebank, 1998). pedagang kakilima compared to other However, their activities, which are urban informal activities as shown in mostly unregistered and unrecorded in Figure 1. On the basis of observations national income accounts, are still the and interviews on their appearance main determinant in referring to the suggest that the pedagang kakilima in sector as informal. The main reason is Bandung meet all or most of the that the activities are almost always following criteria: outside the scope of state regulation and protection. Even if their activities are 1. They operate in public premises, which registered, the informal sector does not are not intended for business follow any labour protection, job security purposes, such as the roadside, and other protective measures of the pavement and other connected-to­ workplace (see ILO, 1993; UNDP, 1997; street premises (e.g. near public market, Williams and Windebank, 1998). the square, green areas). 2. They trade a variety of items In the urban context, the informal categorised as food, goods, or services sector is often referred to as consisting for economic benefits involving market of small enterprise operators selling food transactions. and goods or offering services and thereby involving the cash economy and 3. They form linkages with the rest of market transactions. This urban economy, especially backward informal sector is more diverse than the linkages with the modem-formal sector rural one and includes a vast and (e.g. many commodities sold by heterogeneous variety of economic pedagang kakilima are industrially activities through which most urban manufactured goods). families earn their livelihoods. The main 4. They are unlicensed, but not forms are retail trade, small-scale categorised as criminal by law or the manufacturing, construction, regulations of the Bandung transportation, service, and domestic administrative area. 29 lnformasi Kajian Permasalahan Sosial dan Usaha Kesejahteraan Sosial, Vol. 8 No. 3 September- 2003 5. They do not pay tax, but pay daily fees 8. Their employment is not protected by to the city authorities such as for any sort of employment benefit either sanitary and security purposes. from government (e.g. social services, 6. Their businesses involve family pension) or labour union (e.g. members in both ownership and insurance, fixed and standardised management systems. salaries). 7. Their enterprises are small and are 9. Their establishments are characterised mostly own-account workers or by inadequate infrastructure and employing less than five workers, technology, and limited economic and including unpaid family