Formal–informal Economy Linkages and Unemployment in South Africa

Davies, Rob; Thurlow, James

doi:10.1111/j.1813-6982.2010.01250.x

Cited by 53 publications

(45 citation statements)

References 19 publications

(17 reference statements)

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“…Street vendors face a number of difficulties outside of their control. This includes conflict with police, customers and fellow traders, poor integration into urban planning, competition for similar goods, negative public attitudes and daily physical obstructions 3,25,29 .…”

Section: The Social Political and Cultural Environment And Its Impacmentioning

confidence: 99%

“…Whilst the regulatory environment has been made more conducive, 3,6 very little infrastructure is available to hawkers. Without infrastructure hawkers have to re-create a place to conduct business daily, a burdensome routine.…”

Section: Introductionmentioning

confidence: 99%

“…The informal sector of Africa's economy, often ignored by government statisticians, is vibrant and busy 11 . Street vending contributes 7% to the national gross domestic product (GDP) in South Africa and generates 22% of the total employment in the country 3 . According to Nevin 1 South African informal traders generate ZAR 32bn annually.…”

Section: Introductionmentioning

confidence: 99%

“…In this paper, research undertaken to explore 'street vending' as a livelihood creation occupation will be presented. South Africa is a low and middle income (LMIC) country with high unemployment rates that results in restricted opportunities for work in the formal sector [2][3][4] . Moreover, a large number of working-age South Africans have a low education level 5 , an enduring feature of the legacy of apartheid.…”

Section: Introductionmentioning

confidence: 99%

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Street vending in South Africa: An entrepreneurial occupation

Gamieldien

Niekerk

2017

S. Afr. j. occup. ther

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BACKGROUND: Not all occupations are undertaken entirely by choice. Numerous personal, cultural, economic and social factors influence participation in occupation. In low and middle-income countries, such as South Africa, disparate socio-economic factors might necessitate participation in occupations considered to be 'less desirable'. In this article the occupation of street vending is explored and discussed, with an emphasis on livelihood creation and the meaning and purpose derived from this occupation. Street vending is considered for its potential as a vocational occupation for people facing disabling conditions. METHODS: A collective case study was done comprising six participants who were selected through maximum variation sampling. Data were collected using semi-structured interviews and participant observation. Data analysis took the form of an inductive content analysis. RESULTS: Occupational therapists need a comprehensive understanding of occupations before making judgements about these, especially when such occupations are not considered mainstream. One such occupation, namely street vending, predominates in the informal economy of South Africa. Findings revealed that, despite hardships associated with this occupation, street vendors adapt to social, political and economic challenges in their context. RECOMMENDATIONS: A comprehensive approach is needed when appraising the suitability of occupations; one that focuses on the transformative value of occupations in livelihood creation, rather than focusing narrowly on their therapeutic use or potential to contribute to personal meaning. Occupational therapists should adopt a multi-dimensional approach by considering vocational occupations within their social, cultural and political context, whilst keeping the functional requirement in mind and matching these dimensions with impairment or disability if prevalent. Key words: Street vending; livelihood creation; informal economy; occupation; occupational justice

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Section: The Social Political and Cultural Environment And Its Impacmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

See 2 more Smart Citations

Street vending in South Africa: An entrepreneurial occupation

Gamieldien

Niekerk

2017

S. Afr. j. occup. ther

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“…Although the informal economy is markedly smaller in South Africa than in the rest of Africa, 17 it is no less valuable to an expanded and contextually relevant green economy policy environment. The need to engage the informal economy is especially pressing given that South Africa has to consider transitioning towards a low carbon path whilst curbing the high levels of inequality and unemployment.…”

Section: Volume 111 | Number 11/12mentioning

confidence: 99%

Exploring the connections between green economy and informal economy in South Africa

Smit

Musango

2015

S. Afr. J. Sci.

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The notion of an inclusive green economy in the context of sustainable development and poverty eradication requires an approach that engages with the informal economy. However, the informal economy is generally ignored or undervalued in discussions on the green economy. This paper set out to bolster this argument by identifying the ways in which the green economy and the informal economy may be connected by establishing the extent to which policies and plans relating to green economy connect with the informal economy, and recognising several informal green activities. The barriers and opportunities for connecting the two spheres were also explored as well as possible ways in which such activities may be supported at different levels of organisation. In the case of South Africa, many informal green activities that contribute to sustainable livelihoods are recognised. However, issues pertaining to procedure, process and participation hinder the transition to a truly inclusive green economy.

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Tax Policies and Informality in South Africa

Badaoui

Magnani

2019

J of Intl Development

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Using a micro–macro simulation approach, we evaluate the effects of different tax policies in South Africa. The country is characterised by a high unemployment rate, while the informal sector remains relatively small. The effects of the simulated tax policies are quantified at the macro level, on the individual's labour supply choices, and on income distribution, inequality and poverty. We find that the equity‐efficiency trade‐off can be improved by introducing a system combining a sufficiently high flat rate and a lump‐sum transfer paid only to formal workers. Interestingly, even though it increases the informal sector, this reform reduces inequality and poverty through a reduction in unemployment. © 2019 John Wiley & Sons, Ltd.

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Formal–informal Economy Linkages and Unemployment in South Africa

Cited by 53 publications

References 19 publications

Street vending in South Africa: An entrepreneurial occupation

Street vending in South Africa: An entrepreneurial occupation

Exploring the connections between green economy and informal economy in South Africa

Tax Policies and Informality in South Africa

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