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Cash Transfers & Child Work in Malawi, Tanzania & Zambia


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The Transfer Project's presentation on 'Cash Transfers and Child Work' at ILAB's Impact to Action Results Event in Washington DC on November 13th 2019.

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Cash Transfers & Child Work in Malawi, Tanzania & Zambia

  1. 1. Cash Transfers and Child Work in Malawi, Tanzania and Zambia Sudhanshu Handa, University of North Carolina Jacobus de Hoop & Valeria Groppo, UNICEF Office of Research – Innocenti
  2. 2. Funding for this work was provided by the United States Department of Labor under cooperative agreement Number IL-26694-14-75-K-36 to UNICEF Office of Research-Innocenti. This material does not necessarily reflect the views or policies of the United States Department of Labor, nor does mention of trade names, commercial products, or organizations imply endorsement by the United States Government. 100 percent of the total costs of this paper is financed with Federal funds, from the total cooperative agreement of 1,384,468 dollars. The findings, interpretations and conclusions expressed in this paper are those of the authors and do not necessarily reflect the policies or views of UNICEF.
  3. 3. UNICEF OFFICE OF RESEARCH - INNOCENTI The UNICEF Office of Research – Innocenti (UNICEF Innocenti, Florence, Italy) is UNICEF’s dedicated research centre Purpose Undertake cutting-edge, policy-relevant research Aim Equip organisation to deliver results for children Through UNICEF’s 150+ country offices, UNICEF Innocenti is able to respond to research questions on the ground, and feed results directly into national policy dialogue and practice
  4. 4. TRANSFER PROJECT Multi-country cash transfer research and learning initiative Partnership UNICEF, FAO, UNC Working in 13 countries in sub-Saharan Africa & Middle East Collaborate with national governments & research institutions to implement Impact Evaluations and engage in policy dialogue
  5. 5. 1. Provide evidence on effectiveness of cash transfers 2. Inform development & design of policy & programmes 3. Promote learning on cash transfer evaluations & research TRANSFER PROJECT OBJECTIVES
  6. 6. UNCONDITIONAL CASH TRANSFERS Giving poor people cash, no strings attached. CONDITIONAL CASH TRANSFERS Cash transfers given on completion of a condition.
  7. 7. OBJECTIVES OF PROGRAMMES Support consumption and food security Enhanced ability to cope with shocks Improve children’s development outcomes
  8. 8. SUMMARY OF EVIDENCE FROM TRANSFER PROJECT Cash transfers improve food security and consumption Strong effects on secondary school enrollment Used to increase productive capacity Transfers create benefits to local economy Results across eight programmes are summarized in: “Myth-Busting? Confronting Six Common Perceptions about Unconditional Cash Transfers as a Poverty Reduction Strategy in Africa”, World Bank Research Observer 2018.
  10. 10. Malawi Social Cash Transfer Programme Unconditional Coverage: 281,000 households (7% of population) Zambia Multiple Category Targeted Programme Unconditional Coverage: 430,000 households (12% of population) Tanzania Productive Social Safety Net Conditional: health checkups, school participation Coverage: 1.1 million households (10% of population) USDOL FUNDED STUDIES
  11. 11. PROGRAMME DETAILS Malawi SCTP Zambia MCP Tanzania PSSN Eligibility Ultra-poverty (PMT) & Labor constraints (dependency ratio 4+) • Female/elderly headed with orphans, or • Including disabled • Critical cases Extreme poverty, based on: (1) Geographical targeting (2) community-based targeting (3) PMT Type UCT UCT UCT, CCT, PWP Amount Varying with household size and # of children Flat Varying with # children • CT, max 38,000 TZS (18 USD) per month • Public Works: 2,300 TZS (1.4 USD) per day, max 60 days in 4 months Average monthly 2,571 MKW (3.7 USD). 55 ZMW (12 USD) 19,000 TZS (8 USD)
  12. 12. Pay day, Salima District, Malawi
  13. 13. EVALUATION DESIGN & TIMELINE Malawi SCTP Zambia MCP Tanzania PSSN Location Two rural districts (Salima, Mangochi) Two rural districts Eight mainland districts, one district in Zanzibar Village selection 29 villages randomly selected 92 villages 102 villages Targeting Nov 2012 - May 2013 Jan - Sept 2011 2014 - 2015 Baseline June - Oct 2013 Salima: all eligible households in each village; Mangochi: random 125 in each village. Nov - Dec 2011 Random 33 households in each village. May - July 2015 Random 15 to 18 households per village. Random assignment of villages November 2013 14 Treatment 15 Control December 2011 46 Treatment 46 Control August 2015 35 Treatment (CT) 26 Treatment (CT & PWP) 41 Control Endline Oct - Nov 2015 N children = 5,806 (age 8-17 years) Nov - Dec 2014 N children = 3,999 (age 8-17 years) Apr - Jun 2017 N children = 3,516 (age 5-17 years)
  15. 15. WHAT DID WE FIND?
  16. 16. PRODUCTIVE INVESTMENT Households invested part of the transfers in their farms This increased farming activities by adults & children
  17. 17. Malawi Zambia Tanzania Owned or cultivated any land ↑ ↑ No change Sold any crop (past season) ↑ ↑ No change Hired anyone (past season) ↑ ↑ N.A. Owns any livestock ↑ ↑ ↑ Sold any livestock (past year) ↑ ↑ N.A. Operated any non farm business ↑ No change No change IMPACTS ON HOUSEHOLD PRODUCTIVE ACTIVITIES
  18. 18. Owned or cultivated any land Sold any crop (past season) Hired anyone (past season) Owns any livestock Sold any livestock (past year) Operated any non-farm business -.1 0 .1 .2 .3 .4 percentage point impacts Malawi Zambia Tanzania Impacts on Household Productive Activities
  19. 19. Malawi Zambia Tanzania ANY ECONOMIC ACTIVITIES No change ↑ No change Household farm (non-livestock) ↑ N.A. No change Household farm (livestock) ↑ ↑ ↑ Household business No change ↑ No change Paid work outside household ↓ No change ↓ IMPACTS ON CHILD WORK (PARTICIPATION) Shift from off- to on-farm work in Malawi, Tanzania
  20. 20. Any economic activities Household farm (non-livestock) Household farm (livestock) Household business Paid work outside household -.1 -.05 0 .05 .1 percentage point impacts Malawi Zambia Tanzania Impacts on Child Work (Participation)
  21. 21. “When I get PSSN money instead of doing wage labor with my children, I work in my own farms. To me this is a good thing because working in other people’s farm is something that we hate, but sometimes we have to do it in order to get food. ” (Female caregiver, Tanzania) Shift from off- to on-farm work is protective for children. Casual labour is work of last resort “I have seen children abused by landlords when engaged in casual works in the farms...the landlord abuses children and sometimes refuses to pay them their money after they have completed the work ” (Youth FGD, Tanzania)
  22. 22. Malawi Zambia Tanzania ANY HOUSEHOLD CHORE ↑ No change No change Collecting water or firewood ↑ ↑ No change Care of children, cooking, cleaning ↑ No change No change Care of elderly or sick members ↑ N.A. No change IMPACTS ON CHILD HOUSEHOLD CHORES (PARTICIPATION)
  23. 23. Malawi Zambia Tanzania ANY ECONOMIC ACTIVITIES - - - Household farm (non-livestock) - N.A. - Household farm (livestock) increases more for boys - - Household business - - - Paid work outside household - - decreases more for boys ANY HOUSEHOLD CHORES increases more for boys - - SCHOOL PARTICIPATION - - - GENDER DIFFERENCES IN IMPACTS
  24. 24. Excessive Working Hours Based on Age No change in Malawi & Tanzania 20% more likely in Zambia IMPACTS ON HARMFUL CHILD LABOUR Exposure to Hazards No change in Tanzania 17% increase in Malawi N.A. in Zambia Heat, dust = working outdoors, brick-making, tobacco drying Carrying heavy loads = carrying bricks, woods
  25. 25. Excessive economic activities Excess econ activities & chores Exposure to hazards Ill or injured (past 2 weeks) Ill or injured (past year) -.1 -.05 0 .05 .1 percentage point impacts Malawi Zambia Tanzania Impacts on Child Labour
  26. 26. “I am scared during harvesting season … because many snakes hide in the leaves of maize ” (Youth, Malawi) Hazards of work for children “Harvesting the sweet potatoes involves the digging of the ridges that to get to the tuber crop. This make the dust and cause him to get sick with a cough” (Caregiver, Tanzania) “Again, during the period of burning bricks, it pains them because they are exposed to high temperature direct to their faces, but they have to do it because there is no way out, they have to tolerate” (Caregiver, Tanzania)
  27. 27. MECHANISMS Labor constraints – Malawi and Zambia, see next slide Labor market imperfections – labor market is thin, cannot hire labor Liquidity constraints – cash is valuable, not used to hire labor On the job learning – “Children earn from the work itself and how to earn income for the household and the future. They learn about being independent and self-reliant. A child can live his/her own life without depending on others for survival.” (Male caregiver, Tanzania)
  28. 28. 12 10 8 6 4 2 0 2 4 6 8 10 12 <5 5-9 10-14 15-19 20-24 25-29 30-34 35-39 40-44 45-49 50-54 55-59 60-64 65-69 70-74 75-79 80+ Percent Malawi SCT Eligible Population by Age and Sex (N = 16,078) Male Female MALAWI, ZAMBIA PROGRAMMES SELECT LABOUR-CONSTRAINED HOUSEHOLDS
  29. 29. OTHER IMPACTS ON CHILD WELLBEING Cash transfers increased school attendance School dropout declined in the three countries Cash transfers helped to pay for schooling costs No evidence that increased farm work had negative impacts on health in the short term
  30. 30. Attends school Any education expenditure Attends regularly -.2 -.15 -.1 -.05 0 .05 .1 .15 .2 percentage point impacts Malawi Zambia Tanzania Impacts on Schooling (Participation)
  31. 31. “I feel guilty that I’m killing the child’s future… in March I got very sick, I am the one they rely on to bring food on the table…so the child was really pressed. Him being the eldest at home, he was supposed to do everything alone and when it’s too much, he could miss classes” (Female caregiver, Malawi) Tension between school and work caused by extreme poverty, home responsibilities “There are some children that might be given clothes for siblings to wash and be told to do dishes, fetch water and cook and one may fail to go to school. ” (Youth FGD, Malawi)
  32. 32. WHAT WE KNOW NOW Household investments increased child work on the household farm May result in increased harmful child labour Work outside the home declined & school participation improved Implications for children are mixed Important to closely monitor impacts on child time use Complementary policies to enhance positive impacts & limit negative effects
  34. 34. This evidence “laid the basis for strong advocacy work, leading to the Government of Malawi increasing its funding to [approx. USD 2 million]… reaching over 270,000 beneficiary households of the poorest segment of the population.” “Simultaneously the evidence informed the country office of certain limitations of the programmes's impact on schooling and uncovered the programme’s potential increase of child work. As a consequence child work is now on the country office’s radar.” - Beatrice Targa, Chief of Social Policy, UNICEF Malawi
  35. 35. The findings have “made a strong contribution to enhance the understanding of government officials on cash transfer impacts, but also their support for this intervention.” “The specific evidence from the youth well-being impact evaluation facilitated a discussion on how productive and economic impacts affect child work and, in turn, how this relates to schooling of children.” - Paul Quarles van Ufford, Chief of Social Policy, UNICEF Tanzania
  36. 36. “Transfer Project impact evaluations have played a key role in cash-based programming in Zambia. The evidence has been used widely in policy decisions, including scale up of the Social Cash Transfer Programme (SCT).” “Results on child work have fed into discussions on the effects of cash transfers on specific individuals within the recipient household, and on complementary services that can support them.” - Daniel Kumitz, Social Policy Specialist, UNICEF Zambia
  37. 37. THANK YOU