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REPORT: STREETNET INTERNATIONAL MEETING ON COLLECTIVE BARGAINING IN THE INFORMAL ECONOMY AND LAWS AND LITIGATION STRATEGIES IN STREET VENDING SECTOR

Hotel Royal Saly, Senegal, 26 – 30 March 2007

Organised by StreetNet affiliates in Senegal:

• CNTS (Confédération Nationale des Travailleurs du Sénégal)

• SUDEMS (Syndicat Unique et Démocratique des Mareyeurs du Sénégal)  

COLLECTIVE BARGAINING IN THE INFORMAL ECONOMY  

Introductions

See list of participants (Annexure A)

Participants introduced themselves to each other in pairs, and each participant introduced her/his partner to the meeting.  Participants expressed the following expectations of the meeting:

• to gain a wider knowledge of laws in different countries affecting street vendors, and representation strategies of informal economy organizations;

• to learn more about collective bargaining;

•  to exchange experiences with participants from different countries;

•  to make links with traders from other countries;

• to understand the rights and responsibilities of workers in the informal economy;

•  to unlock the potential for decent work in the informal economy;

•  to take resolutions back to home countries.

Challenges arising from the problems of negotiations and representation of workers in the informal economy

Problems facing street vendors and other workers in the informal economy:

• Poverty;

• Crowding of public space;

• Evictions from public space;

• Oppressive bylaws;

• Lack of tolerance and understanding by authorities;

• Political interference;

• Conflicts caused by divide-and-rule tactics;

• Councils’ refusal to register street vendors’ associations;

• Harrassment of leaders of representative organizations;

• Lack of financial stability;

• Lack of social security and social protection;

• Neglect of the needs of women vendors.

Problems encountered in collective representation of members in informal economy:

• No legal framework;

• No institutional forums for negotiations;

• Lack of representation by women;

• Lack of continuity in Council structures (no follow-up after changes)

• Lack of availability of leaders (reluctance to take time off for fear of losing income)

• Difficult to sustain members’ trust.

Internal causes of collective bargaining problems:

• Difficult to sustain representative organizations and paid-up membership;

• Ignorance of rights and responsibilities by informal traders;

• Illiteracy and lack of information;

• Lack of unity among street vendors and informal traders;

• Weak organizational structures;

• Lack of democratic practice in organizations;

• Lack of communication between leaders and members of organizations;

• Lack of transparency and accountability on part of leaders;

• Self-interest and lack of commitment of leaders;

• Short-term strategies in organizations.

External causes of collective bargaining problems:

• No employer-employee relationship;

• Lack of recognition and protection of rights in law;

• Regulations criminalising the occupation of public space;

• Undermining by public authorities;

• Difficult to gain access to authorities;

• Social attitude towards women and towards informal economy;

• Lack of interest by formal sector unions in the informal economy;

• Corruption;

• Political manipulation;

• Lack of capacity by local government to exercise control;

• Lack of continuity in local government after political or structural changes;

• Interference between different levels of government.

Day 2 (Tuesday 27 March)

Presentations on Collective Bargaining in the Informal Economy

1. Lameck Kashiwa

The collective bargaining strategies of AZIEA with the local and national government of Zambia (see Annexure B) 

This presentation showed the importance of street and market vendors being organized and speaking with one voice. It also raised issues around the relationship between street and market vendors, and what rights should come with the payment of market levies. Participants were interested to know more about the fast-track courts in Zambia, and whether these could be used in a positive way by the organisation. The intention of these courts was to speed up the process of “justice” but it has worked against informal traders.  People are tried and sentenced in 30 minutes.  Sentences involve community service for up to 6 months.  As a result, these courts exist only in Lusaka – it has been difficult to establish them on Copper Belt where the organization is stronger. 

AZIEA regards the Bill as a victory, but is fighting for improvement before enactment. The Bill gives too many powers to Minister – but recognizes the rights of organizations to elect their own leaders, gives rights to marketers to establish their own markets and recognises street vendors. Principle is self-government with Management Boards consisting of marketeers with representatives from other stakeholders such as local govt. and consumer councils. Market levies are supposed to be ploughed back into services for marketers. AZIEA is fighting for well-ordered markets (e.g. closing off streets) and have made a new submission to government on the Bill. 

2. Poornima Chikarmane

Tripartite bargaining forums in the informal head-loading sector in India (see Annexure C).

In this marginalized and unrecognised sector, creative thinking is needed.  Rag-pickers organized and did research to show how much they are saving the city on transporting waste, as well as health benefits – then demanded medical insurance which was agreed (even though they were not recognized formally).  They successfully recruited the support of citizens and consumers for their demands. They have a strong commitment to Satyagraha – peaceful methods of struggle.

Tripartite boards cover “head-loaders and other unprotected workers” so street vendors can be covered in practice.  Responsibility for paying levies for own-account workers rests with themselves.  KKPK is pressing for urban planning to look at needs of urban poor – so negotiated for a hawking area – and rented spaces as self-generating project to be able to use income to secure more land for other vendors. 

3. Choi In-Gi

Collective bargaining as a means of consolidating gains made as a result of mass struggles of street vendors (see Annexure D)

KOSC has a strategy of mobilization and solidarity – but there is a problem of no signed agreements.  Participants proposed that they should make their own records and get minutes signed with whatever is agreed, then treat this as a signed agreement.  Another way of securing respect for agreements is to use media to publicise what has been agreed. 

4. Manali Shah

The collective bargaining strategies of SEWA in relation to street vendors (see Annexure E).  

SEWA has decided to change their strategy in response to Ahmedabad’s new “mega-city” approach – no more proactive and less reactive.  They are focusing now on the implementation of National Policy on Street Vending in India – using Market Committees. 

Day 3 (Wednesday 28 March) 

Basic elements of negotiations at different levels and forums 

Log-Frames were developed in groups identifying demands, negotiating partners and an appropriate level of negotiation for the different issues which need to be negotiated by workers in the informal economy (see Annexure F) 

Collective bargaining as a democratic practice 

The following list of “DOs” and “DON’Ts” was developed by participants, based on their previous experiences: 

Strengthening collective bargaining with pressure tactics 

A role-play depicting the occupation of municipal offices by a group of vendors was performed by a group of participants, followed by a lively discussion and critique. 

NEGATIVE CRITIQUE

• Vendors were too aggressive with the Council officials who were being conciliatory.

• Vendors were too impatient, expecting immediate responses.

• Vendors were undisciplined and disrespectful of the Council officials.

• The negotiating team did not motivate their petition well, just presented it.

• Vendors’ demands changed mid-stream (initially demanding trading sites – this changed to demanding a cancellation of the Council’s unilateral levy increase) 

POSITIVE CRITIQUE

• Mayor was very sympathetic to the vendors (on the one hand, this indicated that she remembered that she needed their votes – on the other hand it was unrealistic)

• Vendors were brave in resisting police harassment.

• Good spontaneous action by the vendors in marching to Mayor’s office.

• Members sitting outside the Mayor’s office while their leaders negotiated inside was effective pressure which helped to secure agreement.

• Vendors were careful to ensure that they got a written agreement. 

Ultimately there was consensus that vendors’ organizations should always promote dialogue. This means listening carefully to what government says when they are being conciliatory. But when they refuse to negotiate, then pressure tactics are used, such as:

-         collective withholding of tax or levy payments;

-         occupation of Council offices;

-         media and press publicity;

-         litigation in local courts or High Courts. 

Day 4 (Thursday 29 March) 

Presentation by Arbind Singh on the judicial system in India.

The state level of legislation which exists in India (between national level and municipal level) creates an extra level of confusion compared to African countries. 

How can the use of law help street vendors to further our rights ?

This discussion produced the following responses: 

Senegal:  no law yet which helps vendors, but fishmongers (“mareyeurs”) have presented a draft law to the President which they hope will be passed. 

Uganda:  Approached the Minister to protect their rights. 

Kenya:  Nairobi street vendors applied pressure of not paying levies for two weeks, after which the Council agreed to provide cleaning facilities and water, with the support of the provincial authorities. 

Zimbabwe:  When govt. realised that informal traders were becoming part of the labour movement, they started referring to them as a political group, which caused problems for them.  Then invoked Operation Murambatsvina and allocated their land to ZANU supporters.  Mass action involving civil servants and other stakeholders is planned for legal changes (including reform of country’s Lancaster House constitution). 

Zambia: New Market Bill recognising self-governance of markets by marketeers’ associations. ZANAMA used the courts to cancel levy increase on grounds that Council is not providing services to markets as required by law (60%). President intervened, as a result they attained two victories – respect for decentralized policy, cancellation of levy increase and establishment of Task Force. This has improved the legal situation of Zambian informal traders. 

Zambia: Excessive cross-border traders border tariffs.  Leaders used law to negotiate with Zambia Revenue Authority to reduce tariffs. They used to have long wait at border for goods clearance – but negotiated with border officials to reduce this. 

India: Famous Manek Chowk case involving SEWA member Laxmiben being beaten up by local authorities in 1988. Precipitated taking of legal action after many years of failing to achieve results through negotiations.  Resulted in stamped agreement for 323 vendors to work in Manek Chowk market, as fundamental constitutional right. 

Benin:  Nepotism in space allocation. Solved it by issuing new membership cards. 

Ghana:  No laws for informal traders or transporters. So they use pressure (negotiations, boycotting levies, media pressure) to solve problems.

Guinee:  November 2006 police attacked vendors at their workplaces.  Went to the President of the Republic, who authorized the women to go to the negotiation table, and they got their place restored to them. 

Malawi:  Council bylaws interfere with the work of informal traders, not compatible with Malawian constitutional rights to livelihood. Vendors were evicted in 2006.  No laws specifically for workers in informal economy. But used the law to organize informal economy workers by pointing out their constitutional rights. 

Nepal: Negotiate with police and city government. Agreement on night vending. So far their members have not been arrested for nuisance-related “crimes”. NEST has never had to defend its members in law courts, so they have never tried legal options. 

Mexico: New law for street vendors enacted in 1984 in Nuevo Leon after many years of struggle. Street vending allowed as long as there is no disturbance of public order. 

Group work on different levels of law:

There are different levels of laws in all countries:  bylaws, Acts of Parliament (Central and State level, e.g. Police Act in each State) and the national constitution. 

National laws generally contain constitutional rights for members in the informal economy, such as the socio-economic rights to livelihood and to trade. It was found that Malawi, Kenya, Zambia, India have similar provisions in their constitutions (but different Police Act provisions). Senegal was found to have a different legal set-up (where they have Decrees, but nothing covering street vendors) and Zimbabwe (where they have laws, but not covering street vendors). In Benin there is a State law for the formalization of the informal economy, and State laws about the use of public space as well as local laws. The constitution of Senegal gives the right to work, and regulates trade, but local legislation prohibiting encroachment of streets. Also in Korea the law prohibits street vending or encroachment of streets. 

Vendors are everywhere affected by municipal laws. Participants from all countries have the same problems in this regard. In India, some street vendors use the receipts from fines they have paid over the years as proof of their existence as street vendors over a period of time (in the absence of occupational statistics) – it is the only official evidence of their work. In some countries there are national (ministerial) decrees in terms of which state intervenes, or Decrees of Application of Laws e.g. regulating trade. 

Leaders of street vendors’ organisations must know policies, laws and constitution, and compare with other countries. Effective strategies are to lobby MPs (central and state level) and Councillors. If this fails we take cases in courts of law.

Group work on how to make the law inclusive for organisations’ members:

Organise street vendors and then sensitise them about the laws and their rights as citizens.

Law is not just for jurists, but for all citizens.  Everybody needs to know the law to avoid being a victim of the law. Ignorance of the law is never an excuse. Therefore street vendors (like all citizens) need to as much of the law as possible. 

Organisations should get advice from lawyers and trade unions, and conduct legal awareness training. Pro-poor human rights lawyers can be invited to make presentations to street vendors. Legal education should detail positive and negative aspects of laws. Training should also involve police officers.  Street vendors should also be encouraged to attend sessions of Parliament where legislation is being discussed. 

Public forums, TV and radio forums about the law can be organized for lawyers, street vendors and their organization leaders. Media should also be used to create awareness among street vendors about the laws. Organise members to respect the law, while reinforcing organization on the ground.

Day 5 (Friday 30 March) 

Group work on how to make our litigation strategies inclusive of all our members

Take up cases according to necessity.

Members to decide about instituting litigation.

Documentations to be supplied to members about cases.

Advice must be taken from members on a regular basis.

Try to get injunctions (interim judgements) for interim relief.

Decisions to take up cases to be discussed with members first, including implications.

Defend court actions against us, and get members’ opinions about how to do it.

Failure to consult can cause problems with membership base, particularly when we lose cases – sometimes costs are awarded against us.

Involve members in arguments to use in cases, briefing of lawyers.

Bring members to meetings with lawyers.

Regular general meetings for progress reports.

Get members to attend hearings, to show popular support for cases.

Pack the courts with members.

Get members to give testimony in court.

Publicise judgements.

Try to avoid long dragged-out processes.

Members to attend court hearings in mass – this impacts during judgement, gives impression to judge of the potential effect of a judgement against the members (makes the judge think twice before issuing judgement).

Convene information sessions to inform members about litigation in process.

Consult members about out-of-court settlements, and about terms of such settlements.

Raise funds for these strategies in very transparent manner, i.e.

-   there must be an approved budget;

-   receipts must be issued for any money collected;

-   there must be a designated bookkeeper who issues regular reports;

-   all payments must have supporting documents;

-   regular reports must be made to members about the progress of the case as well as the expenditure and income.

Circulate pamphlets summarizing main points for concise information to members.

Involve members in all stages of making decisions about litigation strategies.

Involve members in case of conflict.

Organise general assemblies, dialogue, press publicity.

Ensure discipline among members – conform to rules and laws.

Leaders should be seen to do positive actions to gain the confidence of the members.

Legal aspect:

While engaging in litigation activism according to these guidelines of inclusivity, organizations should at the same time:

- Fight for amendments of existing laws.

- Fight against bad laws or legal provisions. 

Country comparisons and getting better laws enacted 

Presentations were made about two country case studies where there have been interesting developments regarding street vendors’ laws and/or policy. 

NUEVO LEON, MEXICO

A law has been introduced for the regulation of street vending in the state of Nuevo Leon, Mexico. This law covers fixed as well as mobile vending and informal work, defines their rights and obligations, and recognizes the associations to which they belong. The law has established a negotiating forum consisting of the vendors’ associations as well as other stakeholders – and the Council is obliged to regulate informal trade in consultation with this statutory forum. 

Now that they have this law for the regulation of informal trade, they are organizing for the establishment of social security for street vendors and informal traders – but this has to be done at national level. 

INDIA

In India there is a National Policy on Street Vending, which specifies the rights of street vendors. NASVI (National Alliance of Street Vendors of India) assists street vendors’ organizations in the different States of India to organize for the reform of State laws. They have also focused on promoting the reform the Police Act and Penal Codes which are widely used against street vendors, and getting the fundamental rights contained in the national constitution, which apply to street vendors’ rights, to be specified in the laws. They are lobbying for an over-arching law specifically on street vending, with precedence over other legislation. 

NASVI collects judgements relevant to street vendors, and keeps these in their Documentation Centre so that they can be easily available. They also produce legal documents which are easy to understand, and have translated the National Policy on Street Vending into the indigenous languages of India. They give copies of court records and judgements to members of their affiliate organizations, and publicise results of their litigation in the public media. 

NASVI has engaged with lawyers in different states of India who have become familiar with the way the laws affect street vendors. They usually identify pro-poor and human rights lawyers to work with, and they invite them to workshops and meetings about street vendors’ problems, send them all NASVI materials, and even invite them to join NASVI. 

ELEMENTS REQUIRED IN NEW LAWS:

Participating organizations resolved to fight for the adoption of new laws, or reform of existing laws, containing the following elements:

•         recognition of informal workers (including street vendors|) as workers, and recognizing their workplaces (e.g. the streets) as their places of work;

•        specification of basic constitutional rights of informal economy workers (including street vendors) which are protected in terms of this law;

•        formal recognition of the freely-chosen organizations of workers in the informal economy, and their elected representatives;

•        statutory representation of workers in the informal economy at local Council level and at national/Parliamentary level;

•        formal dispute procedures to be invoked when negotiations in statutory forums reach deadlock;

•         clear definition of the role of different national Ministries in relation to workers in the informal economy;

•        system of social protection for workers in the informal economy (including street vendors) 

Developing simple litigation strategies for each country 

As a final exercise, all participants prepared a litigation strategy to be taken back to their organizations and discussed for implementation. Within three months (i.e. by the end of June 2007) all participants agreed to send progress reports to StreetNet about how far they have succeeded in implementing their strategies. These will be presented to the Second StreetNet International Congress which is scheduled to take place in Brazil in August 2007, as a follow-up report on the international meeting. 

Conclusions  (See Annexure G) 

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