Sustainable Livelihood Framework Sr

The Sustainable Livelihoods Framework •

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It’s ONE WAY of “organising” the complex issues surrounding POVERTY It’s NOT the ONLY WAY It needs to be: o o o o

Modified Adapted Made appropriate to local circumstances Made appropriate to local priorities Compiled by S.Rengasamy Madurai Institute of Social Sciences

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Livelihood - Definitions The definition used by Department of Foreign and International Development (DFID) incorporates these sentiments 

'A livelihood comprises the capabilities, assets (including both material and social resources) and activities required for a means of living. A livelihood is sustainable when it can cope with and recover from stresses and shocks and maintain or enhance its capabilities and assets both now and in the future, while not undermining the natural resource base' (Chambers, R. and G. Conway, 1992).

The United Nations Development Program (UNDP) differentiates between a job and a livelihood, which are often used interchangeably. 

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Jobs "A job connotes one particular activity or trade that is performed in exchange for payment. It is also a formal agreement, as manifested by a contract, between an employer and employee...... . A job can, however, comprise part of an overall livelihood, but does so only to complement other aspects of a livelihood portfolio. Livelihoods "A livelihood, on the other hand, is engagement in a number of activities which, at times, neither require a formal agreement nor are limited to a particular trade. Livelihoods may or may not involve money. Jobs invariably do. Livelihoods are self-directing. .... Livelihoods are based on income derived from "jobs", but also on incomes derived from assets and entitlements. " Compiled by S.Rengasamy Madurai Institute of Social Sciences "a means of living or of supporting life and meeting individual and 2

Livelihood

&

Job

Livelihood

Job

"A livelihood, on the other hand, is engagement in a number of activities which, at times, neither require a formal agreement nor are limited to a particular trade. Livelihoods may or may not involve money. Jobs invariably do. Livelihoods are selfdirecting. .... . Livelihoods are based on income derived from "jobs", but also on incomes derived from assets and entitlements. "

"A job connotes one particular activity or trade that is performed in exchange for payment. It is also a formal agreement, as manifested by a contract, between an employer and employee...... . A job can, however, comprise part of an overall livelihood, but does so only to complement other aspects of a livelihood portfolio.

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Principles 

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People-centred: beginning by understanding peoples’ priorities and livelihood strategies. Responsive and participatory: responding to the expressed priorities of poor people. Multi-level: ensuring micro-level realities inform macro-level institutions and processes. Conducted in partnership: working with public, private and civil society actors. Sustainable: environmentally, economically, institutionally, and socially. Dynamic: ensuring support is flexible and process-oriented, responding to changing livelihoods. Holistic: reflecting the integrated nature ofpeople’s lives and diverse strategies. Building on strengths: while addressing vulnerabilities. Compiled by S.Rengasamy Madurai Institute of Social Sciences

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Livelihoods Assets Human Capital

Health, Nutrition, Education, Knowledge and skills Capacity to work & Capacity to adapt

Social Capital

Networks and connections Patronage Neighbourhoods kinship Relations of trust and mutual support Formal and informal roups Common rules and sanctions Collective representation Mechanisms for participation in decisionmaking Leadership

Natural Capital

The Poor

Land and produce Water & aquatic resources Trees and forest products Wildlife Wild foods & fibres Biodiversity Environmental services

Physical Capital

Financial Capital Infrastructure - transport - roads, vehicles, etc. secure shelter & buildings water supply & sanitation Savings Credit/debt Energy communications formal, informal, NGOs Tools and techology - tools and equipment for production Remittances -Pensions -Wages seed, fertiliser, pesticides traditional technology Compiled by S.Rengasamy Madurai Institute of Social Sciences

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Livelihood Assets

Ex

nd a p

Physical Capital

k

rin

Sh

Social Capital

Natural Capital Human Capital

Financial Capital Compiled by S.Rengasamy Madurai Institute of Social Sciences

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Asset composition of groups in non-irrigated and irrigated areas Small &Marginal Farmers Non Irrigated Area Irrigated Area

Petty Traders Non Irrigated Area Irrigated Area

Rural Wage Laborers Non Irrigated Area Irrigated Area

Large Businessmen Non Irrigated Area Irrigated Area

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The Asset Mix

Different households with different access to livelihood “assets/capital” • Livelihoods affected by: o o o

diversity of assets amount of assets balance between assets

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Human capital • labour capacity

The asset mix of a

• no education • limited skills

Natural capital • landless

Landless female agricultural labourer

• access to common property resources

Financial capital • low wages

Human Capital Social Capital Physical Capital

• no access to credit

Physical capital Natural • poor water supply Capital • poor housing

• poor communications

Financial Capital

Social capital • low social status

• descrimination against women • strong links with family & friends • traditions of reciprocal exchange

= an extremely reduced “livelihood pentagon” Compiled by S.Rengasamy Madurai Institute of Social Sciences

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“Vulnerability” Context H

Vulnerabilit y Context Shocks Seasonality Trends Changes

N

S The Poor

P

F

SHOCKS - Illness, disaster, economic, conflict, crop / livestock pests &diseases,Floods,droughts,cyclones,Deaths in the Family,Violence or civil unrest SEASONALITY- Rainfall,climate, prices, production, health, employment TRENDS AND CHANGES- Long term trends that undermine livelihood potential: population, declining natural resource base, climate change, inflation, currency devaluation, structural Compiled by S.Rengasamy Madurai Institute of Social Sciences 10 unemployment, poor governance, Environmental change,Technology, Markets and

“Vulnerability” Context H

Vulnerability Context

N

S The Poor

Shocks Seasonality Trends Changes

P

F

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Understanding vulnerability 

Moser characterizes vulnerability as insecurity in the well being of individuals, households or communities in the face of a changing environment 

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Because people move in and out of poverty the concept of vulnerability better captures processes of change that poverty line measures

Understanding vulnerability Chambers observes that vulnerability has two sides  

An external side of risks, shocks and stress An internal side of defenselessness due to lack of means to copeCompiled withbydamaging loss S.Rengasamy Madurai Institute of Social Sciences 12

Policies, Institutions & Processes • Policies

• • • •

of of of of

government different LEVELS of government NGOs interational bodies

• Institutions

• • • • • • • •

political, legislative & representative bodies executive agencies judicial bodies civil society & membership organisations NGOs law, money political parties commercial enterprises & corporations

• Processes

• • • • •

the “rules of the game” decision-making processes social norms & customs gender, caste, class language

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Policies, Institutions & Processes Policies of government of different levels of government of NGOs of interational bodies

H Vulnerability Context Shocks Seasonality Trends Changes

S

N

The Poor P

influence

F

Institutions political, legislative & epresentative bodies -executive agencies -judicial bodies -civil society & membership organisations -NGOs -law, moneypolitical parties – commercial enterprises & corporations

Processes the “rules of the game” decision-making processes social norms & customs 14 Compiled by S.Rengasamy Madurai Institute of Social Sciences gender, caste, class,language

Livelihood Strategies What do people do?  Combining: • the assets they can access Taking account of: • the vulnerability context Supported or obstructed by: • policies, institutions and processes. • ………..………..leading to Natural-resource based. Non-NR / off-farm activities. Migration / remittances. Pensions and grants. Intensification vs. diversification. Shortterm vs. long-term. Compiled by S.Rengasamy Madurai Institute of Social Sciences

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Livelihood Outcomes What are people seeking to achieve? Poverty - a “poor” livelihood outcome:  based on a fragile or unbalanced set of livelihood assets  unable to sustain to shocks, changes or trends  not supported, or actively obstructed by policies, institutions and processes that do not allow assets to be used as they might  livehood options combined in a “bad” or unsustainable strategy Livelihood Outcomes.What are people seeking to achieve?       

More sustainable use of the NR base More income Increased well-being Protect rights Recover dignity Reduced vulnerability Improved food security Compiled by S.Rengasamy Madurai Institute of Social Sciences

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The Sustainable Livelihoods Framework Policies

H Vulnerability Context Shocks Seasonality Trends Changes

S

N

influence

The Poor

P

F

of government of different levels of government of NGOs of interational bodies

Institutions political, legislative & representative bodies -executive agencies -judicial bodies -civil society & membership organisations – NGOs -law, money political parties – commercial enterprises & corporations

Processes the “rules of the game”decisionmaking processes social norms & customs gender, caste, class,language

LIVELIHOO D STRATEGIE S Combining: the assets they can access Taking account of:the vulnerability context Supported or obstructed by: policies, institutions and processes. leading to.....

LIVELIHOOD OUTCOMES Poverty - a poor” livelihood outcome: based on a fragile or unbalanced set of livelihood assets unable to sustain to shocks, changes or trends not supported, or actively obstructed by policies, nstitutions and processes that do not allow assets to be used as they might livehood options combined in a “bad” or unsustainable strategy

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Livelihood Framework

VULNERABILITY CONTEXT

ritical Trends xternal Shocks easonality

Influence Natural Social

and ownership age labor dependency rought / water scarcity and degradation ff-farm jobs ow technology ndebtedness ocial insecurity roduct prices fluctuation

Physical

Processe s

Institutions Human - GO / NGOs bodies - Private Sector

Financial Influence

-Policies -Planning approach

LIVELIHOOD STRATEGIES - On-farm work - Off-farm work - Wage labour - Migration

LIVELIHOOD OUTCOMES -More income -Increased well being -Reduced vulnerability -Improved food security -Use of NR base -Skill development

facilitating entitlement changers

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Expanding the asset base Human Capital

Social Capital

Physical Capital

Natural Capital

Financial Capital Compiled by S.Rengasamy Madurai Institute of Social Sciences

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Scoones Compiled by S.Rengasamy Madurai Institute of Social Sciences

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Implications of Livelihoods approach 

Livelihoods approach encourages thinking out of the ‘box’ imposed by conventional development frameworks – which often identify a problem and attempt to find a solution

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Forced to look at context & relationships 

Vulnerability (inc. environment)

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Policies & Institutions

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Development initiatives become more complex as a result and more process focused

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Mosse notes that this identifies an important shift away from the focus on project inputs and outputs and the assumed mechanical link between them Compiled by S.Rengasamy Madurai Institute of Social Sciences

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Implications for policy and practice 

Scoones, Mearns and Bebbington identify 

The need for multiple entry points – to move beyond a homogenous ‘community’ view and a narrow sectoral perspective

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The importance of understanding institutions mapping the institutional matrix, linking the micro to the macro, the formal to informal

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The requirement for a new style of policy appraisal – moving beyond universalizing prescriptions to a more context-specific approach that allows alternative, local perspectives to be included in the policy process. Compiled by S.Rengasamy Madurai Institute of Social Sciences 22

Murray’s assessment of livelihoods approach Strengths

Weaknesses

It seeks to understand changing combinations of modes of livelihood in a dynamic and historical context

Elements of the vulnerability context such as macro economic trends, inflation, civil conflict and mass redundancy are underplayed There is an implicit assumption that people’s assets can be expanded in a generalised and incremental fashion

It explicitly advocates a creative tension between different levels of analysis and emphasises the importance of micro macro linkages It acknowledges the need to move beyond discrete and narrow sectoral perspectives – urban and rural, industrial and agricultural, formal and informal and rather emphasises seeing the linkages between different sectors It requires investigation of the relationships between different activities that constitute household livelihoods and in the process focuses attention on social relations within and between households

Inequalities of power and conflicts of interest are not sufficiently acknowledged

The notion of participation may disguise the fact that the enhancement of the livelihoods of one group may undermine those of another The continuing vagueness of the concept of livelihood sustainability and the criteria and means to measure this over time

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Social capital - issues Much debate centers on the concept of social capital – one of the key terms in the development lexicon and the missing link in development ‘the glue that holds society together’  Concept attributed to Putnam who identified three elements of social relations  Interpersonal trust, networks and shared norms  Where these elements function well they enable people to act together more effectively, make decisions, formulate policy and gain access to power and resources  Proposed that the major obstacle of economic and social development in the ‘third world’ is ineffective institutions  For a discussion of social capital and associational life in S.Africa (See Tapscott: 2001)  Key critiques of Putnam’s approach are that it  Devalues political civil society – concentrates on ‘apolitical’ institutions  Romanticizes associational life  Deterministic – “path dependent development” – you either have social capital or you don’t.  A repackaging of what social scientists have studied for years with new terms  For Harriss and Fine, social capital equals “Bankspeak”, a term designed to neutralize and obscure problems and relations of power Counterpoints Compiled by S.Rengasamy Madurai Institute of Social Sciences 24 

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Applying an Assets / Vulnerability Framework in urban setting

Natural

Governance Actions Which May Enhance Assets of the Poor Ensuring access to land which is affordable by the poor and with sufficiently secure tenure, both for residential use and for economic activities. Effective environmental controls on water and air pollution and waste disposal.

Governance Actions Which May Increase Vulnerability of the Poor Zoning regulations and development standards which prevent access by the poor. Minimum plot size regulations and construction standards which are unattainable by the poor. Forced relocation and clearance of informal housing areas. Upgrading projects which raise service levels and security to the point where it becomes attractive to higher income groups. Failing to control pollution and waste disposal “upstream” of where the poor live. “Rent-seeking” by enforcement agencies Compiled by Institute of Social Sciences 27 onS.Rengasamy activitiesMadurai in poor areas such as waste

Applying an Assets / Vulnerability Framework in urban setting

Human

Universal, quality (primary) education. Ensuring equal provision for girls. Involving parents in the management of schools. Skills training related to real skills needs of the poor. Accessible health care Food/nutrition support programmes. Public works programmes that absorb surplus labour (& increase skills)

Imposing fees (official and unofficial) for primary education. Imposing fees (official and unofficial) for primary health care.

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Applying an Assets / Vulnerability Framework in urban setting

Financial

Providing access to suitable housing finance (e.g. community mortgage) Providing access to micro credit for informal businesses. Provision of market facilities in suitable locations, with provision for small, informal sector businesses.

Refusing to recognise informal housing areas or resolving tenure insecurities. Regulatory controls on informal sector trading. Costly and cumbersome licensing requirements for traders. Harassment of informal sector traders. Local taxes which impinge onMadurai the Institute of Social Sciences Compiled by S.Rengasamy 29

Applying an Assets / Vulnerability Framework in urban setting

Physical

Providing access to safe, Unsafe water which requires boiling, and reliable unreliable water supplies, including supplies which require storage, queuing, community collection at provision (e.g. communal taps). night. Enforcement action against illegal connections. Providing access to safe sanitation Inadequate sanitation which creates environmental (including community provision). hazards and increases vulnerability of women. Providing proper systems of Inadequate waste disposal which creates waste environmental hazards. Privatisation which disposal (including community results provision). in poor areas being excluded. Providing all-weather Regulation of waste collection/sorting/recycling pedestrian which reduces income earning opportunities for access. the poor and results in “rent-seeking” by Providing vehicle access to enforcers. within Provision of too high levels of vehicle access reach of area where the poor which make areas attract to higher income live. groups. Displacement of poor households as a Providing drainage systems to result of upgrading. prevent flooding. by traffic police which increase 30 Compiled by“Rent-seeking” S.Rengasamy Madurai Institute of Social Sciences Provision of public space for

Applying an Assets / Vulnerability Framework in urban setting Social

Helping to build community organisations among the poor. Ensuring safety / security / freedom from fear of crime in poor areas.

Creating dependence on external agents. Forced relocation (or relocation caused by pressure from higher income groups) which destroys informal networks.

Political

Accessible, ward-based councillors Dependant relations with local politicians. who have influence. Service / resource providers not Mechanisms to make decisionmaking and resource allocation subject to democratic accountability. more accountable and Exclusion of certain groups. transparent. Co-option of leadership of Mechanisms for participation. community Responsive systems. organizations Supporting collectiveCompiled actionbyby S.Rengasamy Madurai Institute of Social Sciences 31

How the SL framework can support project/program planning Livelihood strategies Livelihood assets

Vulnerability context Policies, institutions and processes Livelihood outcomes

Helps to identify groups of poor people according to their main livelihood sources. Recognizes that households may pursue a range of different livelihood strategies.

Helps identify the principal assets needed to support different livelihoods. Looks beyond the normally considered assets such as land, water and forest, and includes economic assets such as employment opportunities, and social assets such as Helps identify informal safetythe main sources of vulnerability associated with certain livelihood strategies, which are not normally considered systematically in planning processes nets. Helps to identify institutional and policy influences on poor people’s livelihoods. Draws attention to the issue of poor people’s access to the structures and processes that can help to transform Helps to ensure that linkages are made between the above their livelihoods. elements and the achievement of positive livelihood outcomes.

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