On September 23, 2013, the National Urban Livelihoods Mission was introduced by the Ministry of Housing and Urban Poverty Alleviation, replacing the existing SJSRY initiative. The mission aims to uplift the living standards of the urban poor.With this aim the following Components have been conceptualized:
- Management Information System (MIS)
- Social Mobilization and Institution Development (SM & ID)
- Shelter for Urban Homeless (SUH)
- Support to Urban Street Vendor (SUSV)
- Employment thorough Training and Placement (EST&P)
- Self Employment Programme (SEP)
Social Mobilization and Institution Development (SM & ID)
The component SM & ID focuses on strengthening the Social and Economic security of urban poor section by creating and strengthening institutions of their own.
- Self Help Group (SHGs) at the grass root level and their subsequent federations-Area Level Federation (ALFs) at the ward/slum level and City Level Federations (CLFs) at the city level will be created.
- Resource organizations of repute will be engaged for formation of SHGs.
- Community organizers under the mission will also form and handhold the SHGs.
- The Community structure of SJSRY will be transited to three tiers Structure of NULM (SHG-ALF-CLF)
- Complete financial inclusion and affordable insurance (Health, Life and Pension) will be ensured for SHGs.
- Revolving fund Support to SHGs (Rs.10000/-) and their federations ALFs and CLFs. The fund can be primarily used for the micro finance part of SHGs, ALFs and CLFs.
- Training for Community Institutions, SHGs and their federations time to time on various aspects like book keeping, Bank linkages, micro-enterprise planning etc.
- The establishment of City Livelihood Centres (CLCs) is a fantastic initiative aimed at uplifting the urban poor, especially those working in unorganized sectors. These centres will act as service providers for the city, offering a variety of daily services. Skilled and semi-skilled workers, such as electricians, masons, and painters, will be identified and registered by ward, allowing city residents to easily access their services with just a phone call to the CLC. This approach not only secures livelihoods for the urban poor but also guarantees that residents receive quality services at reasonable prices, all through a hassle-free process. Furthermore, each CLC will include a retail outlet to promote and sell products from self-help groups (SHGs). The Urban Local Body (ULB) will provide around 1000 square feet of furnished space for each CLC in ideal locations, catering to populations ranging from 100,000 to 300,000. Each CLC will be granted Rs. 10 Lakhs in non-recurring funds, distributed in three installments. Community Livelihood Facilitators (CLFs) or professional agencies can be engaged to oversee the management of the CLCs.
Criteria for eligibility for formation of SHGs and release of Revolving Fund:
An ideal Self-Help Group (SHG) typically consists of 10 to 20 members. According to the latest government guidelines, at least 70% of the members should come from families living in urban poverty. While SHGs don’t need to register, both the Area Level Federations (ALFs) and Cluster Level Federations (CLFs) do require registration. SHGs that have been active for at least six months and are functioning well can access a revolving fund. A grading process conducted by a resource organization will evaluate SHGs, ensuring that only those scoring 60 or above are eligible for these funds. However, the state authority can review the grading standard of 60. Interestingly, there are no specific educational qualifications needed for members of an SHG.
