An Investigation of Social Welfare Policies and Their Impact on the Informal Sector in Makurdi Local Government, Benue State
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Chapter One: Introduction
1.1 Background of the Study
Social welfare policies are a crucial component of government efforts to reduce poverty, inequality, and improve the standard of living for vulnerable populations. These policies are designed to provide economic support to individuals and groups who face barriers to accessing formal employment or social services. In Nigeria, where a significant portion of the workforce is employed in the informal sector, the role of social welfare policies in supporting this sector has garnered increasing attention (Ojo & Yakubu, 2023). The informal sector, which includes street vendors, small-scale artisans, and unregistered businesses, accounts for a large percentage of employment and economic activity in Nigeria, particularly in areas like Makurdi Local Government in Benue State.
Social welfare policies in Nigeria, including cash transfers, subsidized healthcare, and social security programs, aim to cushion the negative effects of poverty and provide a safety net for those outside the formal labor market (Muhammad et al., 2023). In Makurdi, these policies have been targeted at improving living conditions for people engaged in the informal sector, who often lack access to traditional employment benefits like healthcare, pensions, and job security. However, the effectiveness of these policies in addressing the unique challenges faced by informal workers remains a subject of debate. This study seeks to investigate how social welfare policies in Makurdi have impacted workers in the informal sector, examining both the benefits and limitations of these interventions.
1.2 Statement of the Problem
Despite the growing importance of the informal sector in Makurdi Local Government, social welfare policies have had limited success in addressing the specific needs of informal workers. The policies often fail to reach the target population due to a lack of awareness, insufficient funding, and inadequate infrastructure for implementation. Additionally, informal sector workers face challenges such as inconsistent income, lack of job security, and limited access to social services, which are often not addressed by the existing welfare frameworks (Olanrewaju & Aliyu, 2024). This study will explore the extent to which social welfare policies have been effective in supporting informal sector workers in Makurdi and identify the barriers that limit the impact of these policies.
1.3 Objectives of the Study
1. To evaluate the impact of social welfare policies on informal sector workers in Makurdi Local Government.
2. To identify the challenges faced by informal sector workers in accessing social welfare benefits in Makurdi.
3. To assess the effectiveness of existing social welfare programs in improving the livelihoods of informal workers in Makurdi.
1.4 Research Questions
1. How have social welfare policies affected the livelihoods of informal sector workers in Makurdi Local Government?
2. What challenges do informal sector workers face in accessing social welfare programs in Makurdi?
3. How effective have social welfare policies been in addressing the specific needs of informal workers in Makurdi?
1.5 Research Hypothesis
1. Social welfare policies have had a positive impact on the livelihoods of informal sector workers in Makurdi.
2. Informal sector workers face significant barriers in accessing social welfare benefits due to lack of awareness, inadequate coverage, and poor implementation.
3. Social welfare policies have been ineffective in addressing the unique challenges faced by informal sector workers in Makurdi.
1.6 Significance of the Study
This study is significant because it will provide a comprehensive analysis of the impact of social welfare policies on informal sector workers, who represent a substantial proportion of the population in Makurdi Local Government. The findings will contribute to the discourse on inclusive social policy development, offering recommendations for improving the design and implementation of social welfare programs. It will also be useful for policymakers, social workers, and advocacy groups focused on reducing poverty and improving the living conditions of informal workers in Benue State and Nigeria at large.
1.7 Scope and Limitations of the Study
The study will focus on Makurdi Local Government in Benue State and assess the effectiveness of social welfare policies specifically for informal sector workers. The study will not extend to other local governments or the formal sector. Limitations include challenges in accessing reliable data due to the informal nature of the sector, as well as potential biases in responses from informal workers who may be reluctant to disclose details about their economic activities.
1.8 Operational Definition of Terms
• Social Welfare Policies: Government programs aimed at providing economic assistance, healthcare, and other services to vulnerable populations.
• Informal Sector: A segment of the economy consisting of workers and businesses not formally registered or regulated by the government.
• Livelihood: The means of securing the necessities of life, including employment, income, and access to essential services.
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