LIVELIHOOD RESTORATION IN URBANISING ENVIRONMENTS ANGELA REEMAN, REEMAN CONSULTING PTY LTD

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IAIA Special Symposium, Resettlement & Livelihoods Manila, Philippines, 20-22 February 2017 LIVELIHOOD RESTORATION IN URBANISING ENVIRONMENTS ANGELA REEMAN, PTY LTD

ASIA AND URBANIZATION Source: Asian Development Bank 3/9/2017 2

OVERVIEW With rapid industrialization in Asia has come rapid transition of societies Increasingly common to see resettlement programs move communities from rural to semi-urban or urban environments Urban environments can present great livelihood improvement opportunities for displaced people But, livelihood models typically assume either a rural or urban context New/improved/diversified models are needed for communities in transition 3/9/2017 3

LIVELIHOODS IN TRANSITION: SOME More abundant employment options (e.g., good for youth) Larger market for small and medium enterprises Greater training and skills development opportunities Better transport links and mobility OPPORTUNITIES Higher wages, sometimes, but not always 3/9/2017 4

.AND SOME RISKS Job markets can be very competitive in urban Asia Communities in urban-rural fringe areas often have lower skills It is difficult to transition from subsistence to other, often more formal, livelihood activities Vulnerable people and other cohorts are most challenging to assist Some national legislation/ practices encourage cashing out of livelihood restoration 3/9/2017 5

EMPLOYMENT AND LIVELIHOODS Urban resettlement commonly relies on jobs to address economic displacement impacts Overstating local content prospects remains common Most developments intend to maximize local jobs But, defining local is often problematic And, giving preference to economically displaced people does not happen on its own Barriers to employment are also commonly underestimated, e.g., skills, job-readiness, etc 3/9/2017 6

EXAMPLE 1 REAL EMPLOYMENT OPPORTUNITIES - MYANMAR Industrial zone on edge of major city Land acquisition and resettlement in stages Several thousand construction workers for stage 1 Preference given to displaced families for training and job-matching But, most are casual labourers or farmers who have found it difficult to transition and require further support 3/9/2017 7

EXAMPLE 1 MYANMAR CONTINUED There are good intentions to maximize local employment, but this is relatively new in Myanmar Intense NGO and external scrutiny has also influenced displaced people s expectations Forecasting jobs has been challenging with many contractors and factories involved Local authorities are engaged in recruitment process, but it is new and they have limited experience and resources Strong monitoring of displaced people has helped to assess if livelihood restoration is being achieved 3/9/2017 8

TRAINING AND JOB-MATCHING Sometimes training and/or job-matching alone will be enough but not often Job-readiness training and mentoring are important but not readily provided Often barriers to training need to be removed, e.g., transport fees, daily allowances, etc How much is enough support for displaced people to obtain and maintain jobs (e.g., subsidies, materials, agreements )? We gave them training and a job offer but they didn t take it or they didn t stay..

EXAMPLE 2 URBAN LIVING VS. SUBSISTENCE LIVELIHOODS - VIETNAM Major industrial facility in rapidly urbanising area Rural to urban resettlement and numerous surrounding resettlements Many resettled families chose not to build replacement house Some are using plots for livelihood activities (e.g., garden cultivation) or are selling them Extended families have reintegrated / cohabited Some cohorts face particular difficulties in gaining employment, e.g., over 40 s 3/9/2017 10

EXAMPLE 2 VIETNAM CONTINUED Maximising Local Content Strong Local Recruitment: Strong local recruitment policies and requirements for sub-contractors Support to sub-contractors Job-seeker registration and support: All interested resettlement-affected job seekers were registered Main recruitment office and branch offices; plus dedicated staff Recruitment Campaigns: Widespread job advertisement campaigns No informal hiring 3/9/2017 11

WHAT ABOUT SMALL TO MEDIUM BUSINESSES? 3/9/2017 12

SMALL SCALE BUSINESSES Important livelihood activity for most families in urbanising areas Some businesses can be readily resettled, but not all What about impacts to informal or non-registered businesses? 3/9/2017 13

SUCCESSFUL SMALL SCALE BUSINESS DEVELOPMENT MARKET DRIVEN - Market assessment - Business plans CAPITAL INVESTMENT - Capital investment - Materials, equipment TRAINING - Technical/vocational - Community-based - Transport & daily allowances ACCESS TO CREDIT - Small-scale loans - Institutional or community microfinance MONITORING & OTHER SUPPORT - Ongoing tech. advice - Refresher training - Regular expert visits 3/9/2017 14

EXAMPLE 3 IMPORTANCE OF LOCAL CONTENT - INDONESIA 80% 70% 60% 50% 40% 30% 20% 10% 0% Local Content - Construction Workforce (%) 15% 53% 68% 2011 2013 2015 Unrest / Demonstrations 2013 2014 2015 1 Public Road Blockage 37 13 0 2 Access to Site (trespass, gate blockage) 4 2 0 Total 41 15 0 Main Issues 2013 2014 2015 1 Local Recruitment 11 3 0 2 Industrial Relations 12 2 0 3 Road Repair / Dust 9 3 0 4 Patrol Road 2 0 0 5 Land Acquisition for Road 5 5 0 6 Local Business 2 2 0 Total 41 15 0 Out of 35 potential demo/road blockages

EXAMPLE 3 INDONESIA CONTINUED Collaborated closely with local Manpower Offices to improve local recruitment Although good outcomes were eventually achieved, construction is temporary Many young people out of work after construction Significant ramp up of small business development programs was only way to avoid re-escalation of social unrest and restore livelihoods

EXAMPLE 3 INDONESIA CONTINUED Welding Vocational Training & Certification Electricity Vocational Training Sewing Vocational Training Furniture Vocational Training

KEY FINDINGS (1) Displaced people in rapidly urbanising areas find it difficult to change livelihoods Jobs for displaced communities do not occur without considerable effort and resources Training alone is usually not enough to achieve livelihood restoration for most people 3/9/2017 18

KEY FINDINGS (2) Adequate food security measures not often in urban livelihood restoration programs Some cohorts are particularly vulnerable; including those not typically vulnerable Cashing out of livelihood restoration is common, but does nothing to restore livelihoods 3/9/2017 19

RECOMMENDATIONS FOR GOOD PRACTICE Strong job-seeker registration, recruitment & support policies and procedures Collaboration with local authorities to ensure preference for locals and streamline recruitment Job-readiness training and mentoring for workers Multi-faceted livelihood restoration programs - jobs, small business, access to credit.. Holistic small business development Avoid cash out of livelihood restoration Adequately funded LRP s. 3/9/2017 20

THANK YOU! 3/9/2017 21