Creating prosperity with social security for street vendors

Street vending provides employment to millions of migrants and locals in cities and towns. Generally, these are people who could not get jobs in formal economic activities for whatever reasons hence lack social and health security for themselves and their families. The government is trying to build an eco-system where they cannot just become a formal part of the urban economy but also access social security schemes of the governments

Street vending is increasingly accepted as an essential aspect of urban economy and city life, yet most city planning does not have adequate space for their inclusion. Street vendors work in an unfavourable and uncertain environment despite playing a significant role in the urban economy and providing services and products to common people at affordable rates. A significant issue for street vendors is to get legal status to sell their products and services without fear of eviction or confiscating of their assets. While the problem is closely related to their legal status, it should be approached from an urban planning perspective. How spaces are defined and planned is critical for street vendors, who are seen to occupy ‘public’ land and disturb order in ‘public spaces’. The challenge for policymakers now is to translate the newfound recognition of street vendors.

Street vendors, their rights and limitations
Almost three decades ago, the New Delhi Municipal Committee evicted Sodhan Singh, a street vendor who used to sell garments at Janpath in New Delhi. Singh filed a PIL (Public Interest Litigation) in the Supreme Court, saying that the action of the NDMC violated his fundamental right under Article 19(1)(g) of the Constitution
of India. In its judgment in the Sodhan Singh versus NDMC, 1989, the Apex Court ruled that “If properly regulated according to the exigency of the circumstances, the small traders on the sidewalks can considerably add to the comfort and convenience of the general public, by making available ordinary articles of everyday use for a comparatively lesser price. An ordinary person, not very affluent, while hurrying towards his home after a day’s work, can pick up these articles without going out of his way to find a regular market. The right to carry on trade or business mentioned in Article 19(1)(g) of the Constitution, on street pavements, if properly regulated, cannot be denied on the ground that the streets are meant exclusively for passing or re-passing and no other use.” This judgment proved to be a relief for street vendors as it not only spotlighted the significant role of street vendors for urban communities but also provided an insight to local bodies to regulate the use of public spaces so that those are used optimally without affecting the livelihoods of the poor street vendors.
The debate on the right of pedestrians to use sidewalks freely and the right of street vendors to do their business is quite old and conflicting. There could be many judgments, observations from courts, Acts and Regulations, but still, street vendors operate under inhospitable conditions, with no guaranteed access to basic facilities, and under constant fear of harassment and damage to their goods by authorities.
However, the Street Vending Act 2014 has given some hope to them, but its effective implementation remains a challenge. Some states have fared well, while many have not been able to conduct street vendors’ survey or form Town Vending Committees (TVC) as mandated in the Act.
A progress report released in January 2019 by the Centre for Civil Society said that the state-level progress remained sluggish, and implementation disregarded several provisions of the Act. The Act states that each urban local body (ULB) should have at least one TVC. Currently, there are only 2,382 TVCs for 7,263 ULBs in India. Moreover,
42 per cent of these TVCs do not have vendor representatives, defeating the purpose of a ‘participatory committee’. Only 4 out of 28 states and 2 union territories (UT) who responded to data requests have a grievance redressal committee.

Svanidhi se Samridhi

The government is making efforts to provide social security net to street vendors by enabling their access to several existing social security schemes. Under this initiative, the government is trying to assess the socioeconomic profile of the beneficiaries of the PM SVanidhi scheme and facilitate the linkage to existing welfare schemes of the central government. The profiling includes collecting data relating to housing, health insurance coverage, education, skills, migration status, and occupation category, among others. In the first phase, it aimed to cover as many as 125 Urban Local Bodies in India. 

A total of eight schemes being implemented by the five ministries have been earmarked to benefit street vendors. These are Pradhan Mantri Jeevan Jyoti Bima Yojana, PM Suraksha Bima Yojana, Pradhan Mantri Jan Dhan Yojana and Issuance of RuPay Card, Registration under BoCW, Pradhan Mantri Shram Yogi Maandhan Yojana, Food and Public Distribution NFSA portability benefits – One Nation One Ration Card (ONORC), Janani Suraksha Yojana, and Pradhan Mantri Matru Vandana Yojana (PMMVY). Three steering committees at the central, state and district level have been constituted to monitor the implementation of the schemes. 

As per the guidelines of the schemes, ULBs are entrusted with the responsibility to collect data of the PM SVANidhi beneficiaries and their families on a web or mobile-based platform. ULBs would also spread awareness about the program. After data collection, they would share with the District level committee for further processing the scheme benefits to the eligible beneficiaries.

In the time of the health crisis, millions of poor street vendors suffered not just because of losing their livelihoods but also because they did not have any access to health and social security schemes of the government. Urban Local Bodies can enable their access to these schemes and bring relief to reviving their businesses. Street vendors could also get access to schemes announced by the state and national governments during the crisis. For this, they will have to have accurate data of the street vendors operating in their jurisdiction, empowering TVCs and having an effective operational communication mechanism. ULBs can also engage with local Civil Society and street vendors’ unions for building an orderly system that does not affect the local citizens and their access to public spaces. And also provide a hospitable environment to street vendors to do their business.