What do we know about rural and informal non-farming labour? Evidence from a mixed methods study of artisanal and small-scale mining in Northwest Tanzania

Abstract

Despite its relevance for millions living in rural areas in the Global South, scholarly knowledge on the dynamics and structure of informal non-farming rural labour and its impact on poverty is limited. However, such knowledge is paramount for programming effective poverty-reduction and formalisation policies. This article investigates such dynamics through the lens of artisanal and small-scale gold mining (ASGM) by analysing two case study sites in Northwest Tanzania. It presents and analyses qualitative and quantitative primary data collected during five months of fieldwork, drawing on political economy analysis. The article empirically challenges both scholarship championing self-employment as the main and only informal labour relation in the Global South as well as literature portraying ASGM as potentially poverty-reducing. Its main argument is that waged labour is common in ASGM and that the type of ASGM job linked to a specific labour relation translates into heterogeneous labour market outcomes. The article shows that a number of ASGM jobs such as waged processing activities feature heterogeneous and much lower incomes than the high average incomes for diggers reported by previous contributions. Moreover, it finds that workers alternate between waged and self-employment. Both dimensions are important, because two-thirds of the sampled ASGM labour force engage in waged labour and one-third in processing tasks. The article empirically grounds the debate on informal non-farming rural labour markets. In so doing, it highlights that understanding internal differentiation and labour market structures is paramount for formalisation processes given the different needs of distinct groups. Lastly, this study emphasises the necessity to combine qualitative and quantitative data for work on the nexus of labour markets and poverty.