WUNRN

http://www.wunrn.com

 

Latin America – WCCN – Working Capital for Community Needs – Investing in Social Change - http://wccn.org/Who-We-Are

 

Understanding Poverty in Latin America - Women

 

Direct Link to Full 6-Page 2014-2016 Publication:

http://wccn.org/sites/default/files/imce_uploads/strategic%20planning%20brochure%20in%20single%20pages.pdf

 

All poverty is not alike. Moreover, poverty is not one-dimensional, meaning it is not defined exclusively by lack of financial income. Today, poverty is defined as a combination of adverse effects and multiple deprivations. In

other words, what does a poor household in Latin America lack, and what are the common attributes of a poor household that cause it to remain living in continuous poverty or in a continuous poverty spiral, meaning falling back

in and out of poverty?

 

Research shows a direct correlation between reduced adverse effects of poverty on a family when a woman in the home has a source of income.

 

 

WCCN's Strategic Plan

 

 

 

http://wccn.org/free-trade-zones

 

By Rose-Marie Avin – 2014 - “While the Free Trade Zones (FTZs) have been a major source of employment for women, they have not created jobs that can bring women out of poverty and contribute to their empowerment. On the contrary, management in these factories pays low wages, provides difficult working conditions, and tries to suppress the women’s labor rights. According to Sonia Agurto of FIDEG, a well-known research institute in Nicaragua, the average monthly salary in the FTZs is 850 cordobas (about 62 US dollars) higher than the minimum wage of 400 (29 US dollars) cordobas. However, the basic market basket for a family of five cost 2550 (185 US dollars) cordobas. It takes three persons working in a FTZ to buy the basic market basket. To make ends meet, many women work extremely long hours.

Working conditions are also difficult. There have been reported cases of physical mistreatment, as was illustrated by the revolt at Chentex during the mid-1990s. At Chentex, workers rose up because of poor working conditions and the fact they were not been treated with respect by management. They were treated like "cattle" as one former worker said. According to Gladis Manzanares, former general secretary of one of the labor unions in the FTZs, one of the major problems is the difficulty of forming labor unions. Workers suspected of forming labor unions get fired and that can be a devastating blow for a female head of household. Furthermore, many women do not know the law and their rights.”

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According to the World Bank Group, Latin American poor households have

at least six common attributes and poverty deprivations:

 

1. No access to financial services and limited to no access to other services

and market opportunities

2. Women without income living in the home

3. Children out of school

4. Five years or fewer of formal education

5. No running water, electricity or toilet in the home

6. Homes that are sub-standard and made out of precarious materials

 

For this reason, creating opportunities for empowering working poor women in Latin America will remain a key priority of WCCN. Additionally, research indicates high levels of poverty and household deprivations reported in

rural areas of Latin America. For this reason, rural-based borrowers will also remain a priority target group for WCCN.