In India, there are about 400 million informal sector service providers; they are hard to find, of unreliable quality, untrained and uncertified. LabourNet, set up in 2005, is an innovative social enterprise that is enhancing the capacity of informal sector micro-enterpreneurs (e.g. construction workers, domestic workers, drivers, gardeners, etc.).

The aim of LabourNet is to provide a technology-enabled exchange for matching demand and supply. This entire system of searching for a particular service by the client is made possible by a web-enabled application supported by a call centre that matches the customers’ service needs with the labour skill set that is available in a particular location. LabourNet will provide mechanisms for up-grading, ratings and certifications while increasing access to employment and benefits such as social protection measures. Gains made by the network are being used for medical coverage and training purposes, safety and health at work being an important component.

LabourNet has already registered over 5300 small enterprise profiles and has a reach of close to 20,000 service providers (together referred to as MSEs) in Bangalore. Over the next five years, the network will expand to India’s seven most populous cities, linking over one million informal service providers to approximately two million paying clients.

LabourNet is a livelihood initiative of MAYA (Movement for Alternatives and Youth Awareness), a non-governmental organization that has been active in Bangalore for the last 19 years and working to create an empowered and equitable society. This bold initiative offers a promising market-oriented approach to providing decent working conditions for informal sector workers. Its IT platform-based approach makes such effort repeatable elsewhere!

For additional information, please see:

Informal economy, undeclared work and labour administration, by José Luis Daza, ILO Social Dialogue, Labour Law and Labour Administration Department.

Beyond survival – Organizing the informal economy, ILO Bureau for Workers' Activities.