The Political economy of Sex workers Cooperative

1. The Political economy of Sex workers Cooperative Presented at University of Pennsylvania 14th April, 2011 Dr. Smarajit Jana Principal, Sonagachi Research Training Institute Email: smarajitjana@gmail.com URL: www.durbar.org

2. Scope of this presentation 1) What is USHA? 2) Historical background. 3) The Genesis of USHA 4) Establishing the political identity of USHA 5) Goal & Objective of USHA 6) Achievements

3. What is USHA? • A cooperative society for and by the sex workers. • Is the largest sex workers run financial institution in Asia [owned and managed by the sex workers collective] • Is the financial institution with one of the best recovery rate in the state of West Bengal, India (>90%) • Has the largest condom social marketing reach for any community-managed organization in the country. (Sells 3.5 million pieces of condom/annum. • Currently has a membership of 16228 sex workers. • Has an annual turnover of 2.7 million USD. • USHA’s capital asset is more than one million USD. • Around four to five thousands member receive loan/annum.

4. The journey begins in the era of HIV epidemic • A Peer Based HIV prevention program was initiated in a red light district called Sonagachi in Kolkata, India, during 1992 following standard components of interventions (eg. BCC, STI & Condom promotion) • - However within a short span of time based on the identified challenges Sonagachi developed a new programming approaches and carve out a unique community led intervention.

5. DMSC came into existence in 1995 As a fallout effect of this intervention program, sex workers got inspired and felt the necessity to collectivize themselves to build their solidarity and to raise issues which are pertinent to their life and occupation.

6. Challenges as identified • Attitude and practices of the service provider: • Society at large and policy makers in particular are reluctant to respect her entitlement • Violation of basic rights of sex worker is a ‘nonissue’ • Inability to access social/judicial redressal systems and mechanism (even when her basic rights are violated) due to very social and legal status of sex worker

7. Identified structural barriers in HIV intervention Program • Women in sex trade has very little power to negotiate • Financial insecurity further compromises her ability to enforce safer sex. • Stigma and discriminatory practices from service providers.

8. The history behind the development of the cooperative What was the Financial state of affairs in red light districts? How sex workers were treated even by the financial institutions?

9. Why sex workers were denied access to financial Institution • Couldn’t open bank accounts as they were unable to produce any documents in support of their identity. (e.g. Rent receipt, Electricity Bill or Telephone Bill) • Law of the land (ITPA act) prohibited women to hire rooms to run their occupation as a result of which they couldn’t possess any valid document. • At points they were asked to bring their husband to open bank account. • They were often ridiculed by the bank employees the moment they could spot them as sex workers.

10. Story of financial mismanagement • Majority of them use to put their money in unauthorized financial institutions (e.g. chit funds) or keep their money with their Madam. • On enquiry we found that 99% of them have been cheated by those agencies at least once. • Whatever money they could keep with them was usually taken away by their Babus (lover). • Snatching of money by the rowdies, police was a common phenomena. • Some of them stopped saving anything even for the next day. They spent everything they earned on the very day.

11. Money lending mechanism in Red Light Districts In case of any exigencies they had to depend on a category of money lenders who used to visit red light districts regularly. These money lenders are individuals who are not linked with any financial institution. They developed various kinds of “lending deals”. However the minimum rate of interest on any such deal when calculated comes nearer to 300% per annum.

12. The financial insecurity leading to Plight of aged sex workers Gradual reduction in income from the sex trade with growing age Usually no sustainable savings and debts to be paid No marketable skills to generate income from other sources Increase of health-related expenses with increasing age Side by side they had to support their growing children.

13. Linkages between economic instability & HIV infection Lack of control over money & lack of economic stability compromises her ability to negotiate with the clients for safer sex. Less condom use leading to repeated STI’s & possibilities of getting HIV increased. Once infected sex workers had to spend huge sum of money to buy health care services to treat infection primarily from the private health care sector and taking loan from the moneylenders.

14. The vicious cycle Less negotiating power Unprotected sex No savings Susceptibilities to STI/HIV Further reduces Economic stability Took loan from money lenders Increase burden to pay interest Buying health care services from private sector

15. Genesis of USHA • After series of debate & discussion held among the sex workers, following guiding principle was articulated by themselves to built a financial institution to ensure economic security. • It should be exclusively of and for the sex workers community. • The underlying factors what prevent them in accessing financial support has to be addressed. • Community members should be in the policy making bodies of the finance management mechanism. • Communities’ needs and priorities would be respected while creating and managing a financial institution.

16. Choosing the right option • Out of few options (opening bank account, engaging with life insurance company, initiating microcredit or cooperative venture etc.) • They decided to start their own cooperative society. • However Govt. Policy and legislative practices prevented them to open their cooperative as they are considered as immoral human being. • However this does not deter them rather they accept this challenge and mobilize large number of sex workers to break the barrier.

17. Sex workers engaged into a unique discourse ….. Of morality and immorality At last Minister in charge gave in. He accepted their demand and took initiative to change the specific clause of the act giving birth to USHA

18. The Management Structure of USHA • Usha is run by a Board of nine directors (all are sex workers). • They are elected through a process of two tier electoral system. • In the first phase all members elect their 45 representatives through casting their secret ballots • The elected representatives then elect the Board members who would run the office for a period of 3 years. • No Board member can hold office more than two terms.

19. Staff recruitment Policy:Priority is given to the sex workers and the girl child of the sex workers for all vacant positions. Loan disbursement policy:Priority is given to the need of the poorest section of the community. The Board of directors often try to develop appropriate mechanism for loan repayment not withholding disbursement of loan. Flexible working Hours: Looking from the perspective of sex trade, USHA has developed office & field based working schedule and different scheme suited to the interest of the community. COMMUNITY LED OPERATION GUIDELINES OF USHAThey are 47 employees of USHA and the male female ratio (M:F= 1:2)

20. The Goal of USHA • To enable sex workers to become financially secure. • To establish workers rights & social recognition of sex worker. • To ensure education and career building opportunities for their children.

21. Services provided through USHA • Usha function as a credit cooperative and give loans to members • Social marketing of condoms to various organizations who run STD/HIV intervention programs or other reproductive health programs. • To develop self-employment schemes for sex workers. (Provide vocational training and establish market linkages for community members)

22. USHA makes profit primarily from business venture (but with a social cause) • Agriculture : Organic farming • Pisciculture : To protect bio diversity • Provide eco-friendly event management services.

23. Stationery Supply 2001 Investment in Co op. Bank - 1995 Organic farming 2003 Soc. Mkt of Condoms - 1997 Usha Multi Purpose Cooperative Ltd. Income Generation Income Generation through Marketing Section Kantha Embroidery Work - 2005 Building Rentals - 2000 Train and Air ticket booking - 2001 Cosmetics Selling - 2005 Marketing of Sanitary Napkins - 2004 Car on Rent - 2001

24. Provide financial support for various activities to enable and empower sex workers and their family members. (Capacity building and social activism) • Create educational opportunities for the children of sex workers. • Support HIV positive women. • Provide ART treatment and food supplement. USHA’s Commitment to Community

25. The Collective decision making process USHA being a part of the political struggle of the sex workers community is a member of the joint policy making forum of the sex workers. The steering committee of Durbar includes other wings of sex workers collective namely DMSC, Amra Padatik, Komal Gandhar & Sathi Sangathan in addition to USHA. This forum address any sort of conflict of interest or stress between the financial management system & the political interest of the community. This inclusive decision making system so far has succeeded in coordinating and spearheading the sex workers movement through building complimentarity between different wings of sex workers collective.

28. Political Success of USHA • Now more than a dozon of major financial institutions which includes Banks, Insurance company etc. are approaching tosexworkers and offering their support. • Sex workers collective has put a term that they have to registered their occupation as sex workers before they would open their account. • Other marginalized communities including sex workers collectives in the country has emulated the same practice through hiring the expertise of USHA. • USHA has become the member of Federation of National Cooperative Union (The policy making body of the cooperative societies in the country)

29. Development of the sports complex Old age home for the sex workers Future Plans for USHA Training Institute & Guest House Beauty Parlor Low cost Housing Manufacturing of Sanitary Napkins Medicine Shop

30. THANK YOU