In India, the Directive Principles of State Policy (DPSP) provide a strong constitutional basis for planning policies concerning the informal sector—including street vendors, construction workers, domestic workers, home-based workers, waste pickers, small traders, and other workers outside formal employment arrangements.
The most relevant constitutional provisions are:
| Article | Directive Principle | Relevance to informal-sector planning |
|---|---|---|
| Article 38 | State to promote welfare and reduce inequalities | Supports inclusive urban and regional planning and reduction of spatial and socio-economic inequality. |
| Article 39(a) | Adequate means of livelihood for all citizens | Supports livelihood-sensitive planning, vending spaces, informal markets and access to employment. |
| Article 39(b) | Distribution of material resources for the common good | Relevant to equitable access to land, public space, infrastructure and urban resources. |
| Article 39(c) | Prevent concentration of wealth and means of production | Provides a broader basis for economically inclusive development. |
| Article 39(d) | Equal pay for equal work | Particularly relevant to informal and casual workers facing wage disparities. |
| Article 39(e) | Protect workers’ health and strength from abuse | Supports safe workplaces and occupational-health considerations for informal workers. |
| Article 41 | Right to work, education and public assistance within State capacity | Important for employment generation, livelihood programmes and social protection. |
| Article 42 | Just and humane conditions of work and maternity relief | Supports worker facilities, safety, sanitation, childcare and welfare provisions. |
| Article 43 | Living wage and decent standard of life for workers | Provides an important foundation for decent-work-oriented informal-sector policies. |
| Article 43A | Participation of workers in management | Relevant to participatory approaches and representation of workers in decisions affecting livelihoods. |
| Article 46 | Promote educational and economic interests of weaker sections | Supports targeted inclusion of socially and economically disadvantaged informal workers. |
| Article 47 | Improvement of nutrition, standard of living and public health | Connects informal-sector planning with housing, sanitation, health and basic services. |
Application to urban and informal-sector planning
For urban planning, DPSP implies that informal activities should not simply be regarded as encroachments or activities to be removed. Planning can recognize the informal economy as part of the city’s livelihood and service system.
For example, Article 39(a), read with Articles 38 and 43, provides a constitutional rationale for incorporating street-vending zones, weekly markets, workspaces for home-based enterprises, affordable commercial spaces, worker housing and accessible public transport into development plans.
Article 42 is especially relevant to the physical planning of informal workplaces. Construction sites, informal markets and labour congregation points can be planned with drinking water, toilets, shade, lighting, childcare, occupational safety and emergency access.
Article 39(b) also has an important spatial-planning dimension. Urban land and public spaces are scarce resources, and planning should balance competing claims rather than allowing access to be determined exclusively by purchasing power. This supports consideration of equitable allocation of public space for livelihood activities.
DPSP → planning framework
A useful conceptual framework for research can be expressed as:
Directive Principles of State Policy
→ Social and Economic Justice
→ Right/Livelihood Opportunities
→ Recognition of Informal Economic Activities
→ Inclusive Land-Use and Spatial Planning
→ Basic Infrastructure + Affordable Workspace + Mobility
→ Social Security and Decent Working Conditions
→ Inclusive and Sustainable Urban Development
It is important academically to distinguish the DPSP from enforceable Fundamental Rights: Article 37 states that DPSPs are not enforceable by courts, but they are fundamental in the governance of the country and it is the State’s duty to apply them in making laws.
For a paper on “Informal Sector Planning in India,” Articles 38, 39(a), 39(b), 41, 42 and 43 would form the strongest core constitutional framework. These can then be connected with the 74th Constitutional Amendment/Article 243W and the Twelfth Schedule, municipal planning, street-vending legislation, social-security legislation and master/development plans.
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