ABSTRACT

The concept of the informal sector is often used interchangeably with the concept informal economy or informal employment. This chapter discusses the research objectives and research methodology and defines the informal sector as a working concept. Data were gathered from a cross-sectional field survey involving 150 households who were active in the informal sector in the Sedibeng District Municipality (SDM) in Gauteng Province, South Africa. Reduction of urban poverty is central to a sustainable urban development strategy. The paradigms for poverty alleviation are also discussed at some length, namely, the provider model, the support model, and the informal sector. The provider model is a modernist model, whereby the government of a country is required to provide the basic needs for the poor sector of its population. The chapter concludes with a series of recommendations for making the informal sector more sustainable so that people who are active in this sector are able to support their families.