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  International Conference on Organising in the Informal Economy

Accra, Ghana

25 – 29 September 2006

 Theme: “Combining Our Efforts”

 Report  

INTRODUCTION & BACKGROUND     

The second international conference on organising in the informal economy was held in Accra, the capital city of Ghana, from 25th to 29th September 2006 under the theme “Combining our efforts”. This was a follow-up to the first conference which was held in Ahmedabad in India in December 2003. 

The conference was organised by the International Coordinating Committee (ICC) which comprises representatives from Ghana Trades Union Congress, Self-Employed Women’s Association (SEWA) of India, StreetNet International, Nigeria Labour Congress (NLC), HomeNet South East Asia, ORIT-ICFTU of Latin America and Confederacion Revolucionario de Obreros y Campesinos of Mexico (CROC). The conference was hosted by the Ghana Trades Union Congress. 

The objectives of the conference were to:

-         share experiences among informal economy organisations;

-         develop strategies to intensify organisation in the informal economy;

-         build network of informal economy organisations; and

-         identify processes of representation at international level (e.g., International Labour Organsation, World Trade Organisation, etc).

Pre-Conference Activities

In the week that preceded the conference, the ICC representatives comprising Kofi Asamoah of Ghana Trades Unions Congress, Pat Horn of StreetNet and Linus Ukamba of Nigeria Labour Congress undertook a number of activities. In addition to the preparation of the conference programme, the ICC organised three media programmes. The first was a media briefing where the ICC briefed a cross-section of print and electronic media representatives. The second activity was a discussion on a national radio station (Uniiq FM of the Ghana Broadcasting Corporation). The third activity was a national TV programme also at the Ghana Broadcasting Corporation.  

The ICC used these media to explain the purpose and objectives of the conference as outlined above.  

Participation

The conference was attended by 65 delegates from 23 countries and 55 organisations (including global union federations and support organisations) in Africa, Latin America, Asia, UK, and Canada. The list of participants is in the Appendix.

Summary of Conference Activities

The conference activities were undertaken in five days, from 25 to 29 September 2006. On the first day (25th), an excursion was organised for the foreign participants to visit and familiarise themselves with activities in the informal economy in and around Accra.

The conference was officially opened at 10:30am on the second day (26th) at the Miklin Hotel in Accra. The official opening was attended by over 100 people including the international and local conference delegates, representatives from trade unions and government. The conference was addressed by Ghana’s Minister of Manpower, Youth and Employment, Mr. Boniface Abubakar Saddique, the Secretary-General of the Ghana Trades Union Congress, Mr. Kwasi Adu-Amankwah, and an ICC member and International Coordinator of StreetNet, Ms. Pat Horn. A solidarity message from the Organisation of African Trade Union Unity (OATUU) was delivered by Mr. Michael Besha, Assistant General Secretary of OATUU.

In the afternoon of the second day, Dr. Yaw Baah, head of Policy and Research Department of the Ghana Trades Union Congress presented an overview of the Ghanaian society and the informal economy in Ghana. After the presentation, participants mounted their exhibitions about their organisations. The last activity on the second day was a “Cultural Night” which was sponsored by Ghana’s Social Security and National Insurance Trust (SSNIT). Participants were entertained by Ghanaian traditional music and dance troupes. 

On the third day, participants were divided into three groups. Members in each of the groups made presentations on their activities in the informal economy in their respective countries and organisations using their exhibitions (which were mounted the previous day). 

The fourth day started with a plenary session where Pat Horn presented a synopsis of trends gathered from the previous day’s presentations. After the presentation and discussion of the synopsis, participants were divided into five groups to discuss the following themes:

i.                     Collective bargaining and representation

ii.                   Social protection

iii.                  Organising strategies

iv.                 Skills development and employment creation

v.                   Laws and policies

In the afternoon, the reports from the five groups were presented and discussed in a plenary session.

On the fifth day (which was the last of day of the conference), Chris Bonner of WIEGO and Crystal Dicks of IFWEA led a discussion of “Worker Education and Capacity Building for Organising” in a plenary session. This was followed by a group work to discuss the “way forward”. The last session of the conference started with presentation and discussion of group reports on the “way forward”. This was followed by a discussion and adoption of resolutions. The conference closed at 5:00pm on 29th September 2006.

Structure of the Report

The remainder of the report is divided into four sections. Each section reports the main conference activities which were undertaken from the second to the last day.

Facilitation and Reporting

The report was written by Dr. Yaw Baah (Head of Policy & Research Department, Ghana Trades Union Congress), Akua Britwum (Research Fellow, Centre for Development Studies, University of Cape Coast) and Angela Akorsu (Research Fellow, Centre for Development Studies, University of Cape Coast). They also served as facilitators of the conference together with El Hadji Abdoulaye Diallo (ILO consultant formerly with ACTRAV – Workers Bureau of ILO).  

 ACTIVITIES ON DAY 2 [26 September 2006] 

Morning Session (Day 2): Official Opening of the Conference

The conference was officially opened on the second day (25th September 2006) by the guest speaker, Ghana’s Minister of Manpower, Youth and Employment, Boniface Abubakar Saddique. Other main speakers were Kwasi Adu-Amankwah (Secretary-General of Ghana Trades Union Congress) and Pat Horn (International Coordinator of StreetNet and a member of the International Coordinating Committee). The summary of the addresses of the main speakers are presented below.

Summary of the Address by Boniface Abubakar Sadiqque, Ghana’s Minister of Manpower, Youth & Employment

Boniface Abubakar Saddique started his address by expressing thanks to the organisers for inviting him as a guest speaker and for providing the opportunity for him to share Ghana’s experiences with other participants.  He noted the relevance of the conference since the informal economy is the “catalyst for economic development and the engine of growth” in most developing countries and underscored the need for all stakeholders in the economy to focus their attention on the development of the informal economy. He traced the origins of the informal economy in Ghana to the colonial times when a dual economy with two distinct sub-economies emerged. The key features of the colonial economy included the production of primary commodities for export. On the one hand a small formal wage employment covered essentially investment in mining, transportation, infrastructure, commerce, social services and administration. On the other hand, the promotion of the production of primary commodities for export and the import of consumer goods gave rise to “large contingents of the labour force in both agriculture and petty trading”. Those engaged in this sector of the economy were either self-employed or hired under traditional or informal arrangements. Saddique noted the attention the informal economy is receiving from policy makers, trade unions, NGOs, and researchers because of its importance in the economies of developing countries.

He expressed concern about the lack of social protection for informal economy workers, the majority of whom are women. He highlighted the main features of the informal economy namely: oppressive and dangerous working conditions particularly poor occupational health and safety standards, high incidence of child labour, low incomes, the lack of access to social services and training, high incidence of exploitation, infringement on workers’ rights, and the vulnerability of women in the informal economy.

The Minister attributed some of the challenges facing informal economy workers in Ghana to the “lapses in labour inspection” and assured participants that the Government of Ghana is taking steps to ensure that basic standards are observed in the informal economy to protect all those engaged in the sector.

In conclusion, Saddique reminded the participants  that “organising informal sector workers requires nurturing dynamic links with the relevant public authorities and institutions, both national and international that can provide the necessary support” and assured them that the government of Ghana will support the informal economy operators to enable them “overcome the major bottlenecks preventing the growth of the sector”.

Finally, the Minister assured the participants that the Government of Ghana will do what it can to support the implementation of the decisions of the conference both at home and in the international arena.

Summary of Address by Kwasi Adu-Amankwah, Secretary-General of Ghana Trades Union Congress

Adu-Amankwah, the Secretary-General of Ghana Trades Union Congress (the host organisation), welcomed the participants to the conference. He expressed his gratitude to the organisers for choosing Ghana as the host country and the Ghana TUC as host organisation. He also acknowledged the effort the ICC is putting into its work to bring the attention of the world to the plight of informal economy workers.

Adu-Amankwah noted the rapid rate at which the informal economy is growing in both the developing and advanced countries and expressed concern about the “outdated and inaccurate views” and the inappropriate actions on the part of policy-makers towards the informal economy. He challenged governments to develop “context specific policies” to improve the lot of those engaged in the informal economy. Using the Ghana’s experience of the informal economy, he expressed concern about the lack of application of minimum labour standards, inadequate sanitation, overwork, exposure to the sun and rains, the lack of income security, and the lack of credit, marketing and storage facilities in the sector. He singled out street vendors as the ones facing extreme hardships and constant threats of harassment particularly from municipal authorities who do not officially recognise their existence. He urged trade unions and other civil society organisations to continue to strive to promote the rights of informal economy workers and seek to improve their working conditions. He further challenged governments and all stakeholders including government and civil society organisations to ensure the enforcement and respect of core International Labour Organisation conventions in the informal economy. The standards he mentioned included freedom of association, the right to organise and collective bargaining, protection against forced labour, protection against discrimination in employment, right to decent work, right to adequate income and social protection, protection against child labour, and the right of the informal economy workers to consultation and participation in decisions that affect their livelihoods.

On the relationship between trade unions and the informal economy, Adu-Amankwah emphasised the urgent need for unions to organise economy workers into their fold and to offer them the same protection they offer formal economy workers. “For us in the trade unions the growth of the informal economy also raises concern about the decline in our membership and the nature of our representation of working people since fundamental human rights at work are as relevant in the informal as they are in the formal economy. We feel duty bound to organise workers in the informal economy in order to provide them with voice and representation and thereby seek to improve their working conditions. Doing this indeed strengthens trade union intervention in national development”.

In conclusion, Adu-Amankwah identified the organisation and strengthening of the informal economy workers as the biggest challenges that confront the trade union movement today and urged all participants to be passionate, committed, innovative and creative in their effort toward the organisation and mobilisation of workers in the informal economy.

Summary of address by Pat Horn (Coordinator of StreetNet International) on behalf of the International Coordinating Committee (ICC)

Pat Horn briefed participants on the background of the conference. She referred to the ILO Conference which was held in Geneva in June 2002 which adopted Conclusions on Decent Work and the Informal Economy. Clause 4 of the Conclusions states that “Workers in the informal economy include both wage workers and own-account workers. Most own-account workers are as insecure and vulnerable as wage workers and move from one situation to the other. Because they lack protection, rights and representation, these workers often remain trapped in poverty”

She explained that StreetNet and SEWA combined efforts to raise funds for the first international conference and invited Ghana TUC, Nigeria Labour Congress and HomeNet of Thailand to join them in organising an international conference of practitioners organising workers in the informal economy with the objectives of sharing experiences, developing strategies to intensify organisation in the informal economy, building a network of informal economy organisations and unions organising workers in the informal economy, and securing representation of informal economy workers at international forums such as the ILO and WTO.

 The 2003 Conference, held in Ahmedabad, India, agreed on the following:

  •  to send a group to attend the International Labour Conference on the ILO in June 2004 to participate in the Committee on Migrant Labour;

  •  convene a follow-up conference;

  •  convene regional seminars in preparation for the next international conference;

  • and, add representation from Americas to the organising committee which resulted in the addition of ORIT and CROC (Mexico) to the ICC.

Horn outlined the inter-conference activities which included the participation in the International Labour Conference (ILC) in Geneva in 2004, the organisation of African regional workshop which was jointly convened by the ILO and the ICC in Dakar Senegal, participation in the 2006 ILC, and the continuation of meetings with the ILO departments and lobbying and advocacy with trade unions and global union federations.

Horn concluded her address with a summary of the objectives of the present conference which were the same theme as the India Conference. She drew participants’ attention to the successes of the collective efforts toward the improvement of working conditions in the informal economy workers. “By now, our cumulative efforts have made our network of organisations much bigger, including street vendors, home-based workers, domestic workers, waste collectors, informal transport workers, agricultural and fishing workers”.  The network now covers Africa, Asia and Latin America with some contacts in Eastern Europe and support from trade unions in Western Europe, Canada and the United States.

Lastly, Horn informed the participants that the network will be developing a manual on organising. Funds have already been raised for the production of the manual. In the absence of a formal institutional structure for the network, Ms. Horn reminded participants that one of the objectives of the conference was to provide a mandate for the direction of follow-up activities.

Afternoon session (Day 2): A presentation on the overview of the Informal Economy in Ghana

Summary of presentation by Dr. Yaw Baah, Head of Policy & Research Department of Ghana Trades Union Congress

The purpose of the presentation was to provide basic information on the society and economy of Ghana to help foreign participants in particular to familiarise themselves with their new environment and to understand the nature and forms of the informal economy in Ghana, the host country.

Dr. Yaw Baah started the presentation with an overview of the main features of the Ghanaian society to contextualise the second part of his presentation which focused on the informal economy. The main issues covered in the first part of the presentation included the size, the structure, growth rate and sex ratio of the population of Ghana, the average household size, ecology, administration, languages, ethnicity, level of urbanisation, literacy rates, HIV/AIDS prevalence rate, crime rate, and life expectancy in Ghana.

The second part of the presentation focused on the economy. The issues covered included the size of the economy, relative contributions of the major sectors to the Gross Domestic Product (GDP), per capita income, inflation, interest rates, exchange rates, and the medium term policies of the Ghanaian government. Other issues covered included economic activity rates, the size of the formal and informal sectors in total employment, unemployment, under-employment, distribution of the workforce by industry, occupation and by gender.

The last part of the presentation focused on the informal economy in Ghana. He defined informal economy to include all “unregulated” economic activities (including unregulated activities in the agricultural sector). According to Dr. Yaw Baah, over 80% of the Ghanaian workforce is engaged in the informal economy leaving less than 20% of the workforce in the formal segment of the Ghanaian economy. He categorised informal economy operatives into four broad groups – self-employed (without employees, who form the majority of the workforce in the informal economy), self-employed (with employees), employees, and unpaid workers. He identified the employees and the unpaid workers in the informal economy as the most vulnerable among the four categories of those engaged in the informal economy. 

Most informal activities in Ghana take place in agriculture, trade and manufacturing which are also the three most important sectors in the economy. Together the three sectors employ approximately 84% of the total workforce in Ghana. Women form the majority of the informal economy workers. Informal economy workers in Ghana have no access to social protection benefits such as pension, sick leave with pay, holiday with pay, etc. Since the Ghana’s labour laws are not enforced in the informal economy, workers there are made to work long hours without overtime payment, health and safety standards are poor, and the majority of the informal economy workers earn below the national poverty line (which is around US$1 a day).

Dr. Yaw Baah provided figures to explain the main characteristics of the informal economy workers. Using the latest Ghana Living Standard Survey data, he compared informal economy workers with their formal economy counterparts. The indicators he used for the comparison of the two sub-economies included the average size of firms, distribution of workforce by age, gender, industry, locality, and region. Other characteristics he used as basis for comparison included level of education, marital status, nationality, degree of unionisation, mean annual household income and expenditure.

In conclusion, Dr. Yaw Baah highlighted the characteristics of informal economy workers which included unsafe working conditions, lack of legal and social protection, low incomes, harassment by government officials, the lack of representation in national policy-making, the lack of official recognition and support. Finally, he summarised Ghana government policy strategy on the informal economy and noted that the government’s strategy is to support the “economic unit” in the informal economy but not the individuals in the sector. In other words, government policy is to support the small and medium enterprises in the informal economy to have access to official financial support in the form of loans. The implication is that the self-employed (with employees) whose activities are more visible are likely to benefit from the official support at the expense of the self-employed (without employees) and the employees in the informal economy who form the majority of the total workforce in the sub-economy. He reported that, although some local authorities are making efforts to provide basic social services such as toilet facilities for informal economy workers, social protection issues are not clear in government strategies to support the informal economy workers. He also noted that although government has initiated some measures to provide support for the informal economy operatives, such policies and measures are usually “patronising” in the sense that the informal economy operators are not allowed to take part the decisions leading to the formulation of such policies.

Dr. Yaw Baah’s presentation was followed by lively discussions which came to a close at around 4:00pm.

Mounting of Exhibitions

The last activity of the second day was the mounting of exhibitions by participants. These exhibitions were used for presentations on the third day of the conference. The activities of the third day are reported in following section.  

  ACTIVITIES ON DAY 3 [27 SEPTEMBER  2006]  

The third day’s activities commenced with the self-introduction of all participants. Participants took turns to announce their names, their respective organizations as well as their countries of origin. The session was chaired by Kofi Asamoah, Deputy Secretary-General of Ghana Trades Union Congress and a member of the International Coordinating Committee (ICC).

After the self-introduction, participants were grouped into three to present their exhibitions on their organizations and /or countries. In line with the objectives of the conference, the exhibitions and presentations were to:

  • share experiences and strategies for organising in the informal economy;
  • build a databank on networking organizations;
  • establish trends for working towards representation at the international level

 The following questions were used as a guide for the presentations:

  • How do you organize (What initiatives)?
  • What are your peculiar challenges?
  • What are your successes (Best practices)?
  •  What have not worked (Gaps / shortfalls)?
  • What networking or collaboration strategies do you use?

 The summary of the various presentations are reported in the following table.

 Summary of Presentations  

Country / organisation

Organizing strategies

 

Challenges

Best  practices

Shortfalls

Networking/

affiliation

International Support organisations

 

 ICFTU/AFRO

Capacity building through affiliates

Unfriendly labour laws; Complexity of informal sector; Lack of political will to organise in the informal economy

Increased awareness of affiliates for the need to extend coverage to informal sector

Lack of political will on part of governments

Affiliates in 53 centres in 46 countries

 

OATUU

Work through affiliate national centres and community based opinion leaders

National policies on the informal economy Funding

Unable to measure impact

Getting formal union centres to organise informal economy operators

Lack of ICT in some countries

Affiliates in all African countries

WIEGO

Supports the organisations of informal workers

 

Works through national trade union centres or individual organisations

Funding access

Provide support to associations in ff areas:

- Urban policy research

- Social protection

- Statistics

- Organisation and representation

- Global market research

Making research results accessible to members

Members are individuals and organisations spread in several countries

FNV

Support National trade union centre  works through bilateral relations with national trade union centres and national unions

Getting bilateral collaborating national unions to work within specific framework i.e. results based approach

Support to improve trade union rights

HIV/AIDS education

General trade union education

 

Working within requirements of donors and Dutch government

Works through global unions and

 NGOs that provide support to trade unions

IFWEA

Provision of labour education and training

Regional and national meetings and conferences

Funding

Sustainability

100 affiliates

65 countries

5 regions

training manual for trade unions as well as for informal sector

Weak staff strength. Only one permanent staff

FNV

PSI

The Global Unions

StreetNet International

International solidarity,

Capacity-building of national street vendors orgs

 

 

 

25 affiliates in 21 countries:

15 in Africa

6 in Asia

4 in Latin America

DOAWTU

Setting up cooperatives for women in Informal economy e.g. Ghana, Guinea 

Training I.E. workers income generating activities and then organize them into trade unions

Our main challenge is to promote and defend workers’ rights through out the African continent

Informal economy trade unions have been created in some countries. 

Trained I.E. workers in income generating management

A network has been set up

Organizing has not been enough 

Many I.E. workers still lack protection and still have low incomes

 

LO/FTF Council

Do not organize directly but support democratic development of trade unions in Africa, Asia and L. America.

Our main challenge is to contribute to democratic development in the societies in which the unions operate

Provides technical and economic support  to labour movement in developing countries

 

 

Still has work to do in the area of democracy (Social dialogue),workers’ rights, poverty reduction and occupational Health and Safety

Works with Trade unions in Africa, Asia and Latin America

GHANA  Timber and Wood Workers Union (TWU)

 

 Skills training (managerial and bookkeeping skills)

Grievance handling for several Informal sector groups 

 

Funding to cover servicing informal sector operators

 Credit access and welfare schemes that can be extended to social security scheme

 Unable to convince informal sector operators to contribute to support associations

Regularise operations for protection

 BWI

Maritime and Dock Workers Union (MDU)

Union formed company to absorb retrenched members who work as casuals 

Position as union employers create conflict of interest and reduce confidence of workers represented

CBA to cover workers and leadership training for workers representatives

Membership drive to Inland Fishermen of Volta Lake thwarted by suspicious members 

ITF

Transport Federation of GTUC 

Society of  the physically disabled 

Employment creation

Income generation opportunities 

Negative attitude of society to disabled

Employment and credit access

Disability Act finally passed to promote and protect rights of disabled

 Lack access to employment, health education and credit

Affiliated to GTUC  International  Organisation of the Disabled

Madina Shoe Sellers Association of GTUC

 Welfare assistance to members

 Working to provide access to health insurance

 Welfare fund

Credit access

Affiliation to GTUC

 Negative attitude of government

Harassment from local authorities

 GTUC

NGOs—ADRA Ghana

Cassava Farmers Association (President’s Special Initiative)

Association of Farmers supplying Cassava to Factory

Disciplinary and conflict resolution between farmers and factory management 

Farmers suspicion of factory

Fluctuation of international price of cassava

Provide ready market to farmers

Conduit for farmers to access farming inputs and improved farming practices

Unable to promote farmers interest that stands to undermine survival of factory

GAWU of GTUC

Darkuman Containers Traders Association

Interest representation

Welfare association

Location on disputed land

 

Provided access to insurance cover

 

Lukewarm attitude of  Members to activities of association

 

No networking yet

Grass Cutter Keepers Association

Cooperative Service provision: access to breeding stock and easy market

 

Market  access

Quality check for grass cutter raising

Maintaining membership interest beyond service provision

 

GAWU

NGO support: GTZ

Construction and Building Materials Workers Union