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Why these startups focus on informal plastic waste workers in the fight against climate crisis

An informal worker is sorting “high-value” recyclable plastic waste in a facility

When we are talking about the plastic waste pollution problem, the narrative often centres around technology and the end product as a solution.

But there is an aspect of this problem that is not often discussed: The human resource aspect of it.

In many parts of Asia, plastic waste is commonly processed by informal workers who are part of the marginalised society. According to data, these workers contribute to over 95 per cent of the plastic materials that are being used to recycle, with many of these workers being women. There are many challenges that these workers face, from worker safety issues to disproportionate earnings.

How can startups help in tackling this problem?

Laura Benns, Director of Programs, at SecondMuse explains to e27 in an email interview the value that startups can provide to informal waste workers–that may not be provided by other institutions.

She highlights that waste management ecosystems are complex, including in Asia where it is mostly run by marginalised members of society. But she stresses that innovative design thinking behind new business models around waste management ecosystems has huge potential to break the mould on who stands to benefit from these innovations.

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“Startups with business models that involve the informal sector are well placed to strengthen social and economic protections for informal waste communities. Beyond support like training on health and safety, financial literacy, waste management practices and more, informal waste workers can also benefit from increased legitimisation through branded PPE (personal protective equipment). Introducing a uniform-like of sorts creates a social signal that reduces public discrimination and harassment, creating better access to public and private spaces with higher value plastic waste,” Benns explains.

For startups working on digital marketplaces, access to data through tech-based solutions creates knowledge and power for the informal sector to elevate their working conditions, she adds.

“Informal waste workers are given agency to optimise their collection routines and receive better pricing transparency and market information. This leads to higher and more stable incomes,” Benns says.

Benns explains that through the projects supported by The Incubation Network–an initiative by SecondMuse and The Circulate Initiative to tackle the plastic pollution problem–she sees how digital solutions provide platforms for the informal sector to organise themselves and convene to discuss opportunities. This indirectly creates opportunities to enhance their digital skills.

For examples of how these startups help create opportunities for the workers, she gives an example of AMBILIN, a recyclable materials marketplace app developed and released by the Bina Katara Lestari (BINTARI) Foundation. The app convened 49 informal waste pickers in Semarang, Indonesia, to increase their service coverage and competitiveness and to foster a community to sort and collect more recyclable materials.

“The platform allowed the informal waste sector to establish a motorised waste picker association. This brought legitimacy to the role of informal waste workers with recognition from other waste management actors and city development stakeholders including the city government, police, and banks,” she says.

Benns says that in order to support these startups, mentorship, technical assistance, and market linkages are keys to their success.

“Our program, The Incubation Network, has connected startups with industry experts and mentors across the plastic waste supply chain and provided them with technical assistance and specific connections to corporates who can take their solution further. We’ve also facilitated connections between startups and other key organisations, who are working on similar problems in other parts of the world.

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The startups who are working on it

In Southeast Asia, there are several startups that are working with informal plastic waste workers to help tackle the plastic pollution problem–and improve the workers’ livelihood.

One of them is Indonesia-based Plustik, a startup that uses plastic waste from landfills to create construction materials.

The company took a closer look at the plastic waste problem and target its roots. According to Reza Hasfinanda, Founder and CEO of the company, “visible” plastic waste such as plastic bottles may get a lot of attention from the public. But the more dangerous one is the low-value and hard-to-recycle plastic waste.

This is where Plustik focuses its research and development. “By focusing on these difficult-to-use materials, we have developed a process that can turn all types of plastic into new reusable products, such as pavement blocks, without needing to segregate plastic waste by type. By ensuring all plastics can be used, Plustik avoids redirecting significant plastic waste to landfill,” Hasfinanda says.

Another startup is Thailand-based Trash Lucky, a company that has designed a smart-bin infrastructure that connects post-consumer recyclables with independent waste collectors.

In solving the plastic waste problem, Trash Lucky highlights the fact that on the consumers’ end, there is no strong incentive to recycle. CEO & Co-Founder Nattapak (Nat) Atichartakarn says that the recycling supply chain in Southeast Asia is heavily reliant on the manual process of informal waste collectors, who roam around the city looking to buy and sell post-consumer recyclables into the recycling supply chain.

“Given this inefficiency, we saw an opportunity to use technology to build a smart recycling bin infrastructure that connects post-consumer recyclables with informal waste collectors. By recycling waste into the smart bin, consumers earn raffles for winning gold and other exciting prizes. When the bin is full it will alert our partnered waste collector to collect and buy the deposited recyclables,” the CEO explains.

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“We also aim to set up our smart bin at hypermarkets and retail spaces across the country to provide convenience for consumer to drop off their recyclables. Since the smart bin knows the type and amount of material deposited, informal waste collectors would know exactly when, where, and what to collect from our full smart bin. Thus, they save time and gas money, resulting in an increase in profit,” he continues.

This helps to solve a significant problem faced by the workers.

“Typically, informal waste workers would need to cover great distances to source specific high-value plastics and face unstable incomes. By working with us in our sorting facility, we can offer workers training and a steady income with less of the risks associated with collecting plastics. We also provide fixed hours of work helping them to retain a better work-life balance so they can spend time with those who matter most,” Atichartakarn stresses.

From the bottom up

The question that one might have for startups who are working with informal plastic waste workers is that: How do you reach out to them? How do you convince a marginalised member of society that your organisation can provide the right solution for them?

Hasfinanda and Atichartakarn reveal how they did it.

“While high-value plastic waste (such as plastic bottles) is collected prior to the landfill, our sorting facility is based at a landfill site, where informal waste workers help us sort low-value plastic waste,” Hasfinanda explains.

“We speak with these workers directly, which enables us to build a stronger and more collaborative relationship so we can educate them on the types of plastic waste we can work with, ensure women in this line are given equal opportunity to work.”

According to Atichartakarn, Trash Lucky works by recruiting independent waste collectors by staking out at local recycling shops in the area they aim to expand into.

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“The goal is to shorten the distance the recyclables have to travel from consumers to our recycling bin to waste collectors to recycling shops and the rest of the supply chain. We have a referral programme for collectors to refer their peers to our platform too. Once we have reached the informal waste collectors, we would train them on the best practice around the waste collection and how to operate on our digital platform,” he elaborates.

The startup also helps the workers by providing them with a series of training.

“We also focus on improving social recognition and removing common stigmas around informal waste workers by equipping them with communication skills to engage with our communities that recycle with Trash Lucky such as gated residential communities, condominiums, schools, and offices. We are also training our partnered waste collectors on professional conduct and starting to equip them with PPEs (personal protective equipment),” Atichartakarn says.

So what advice can these startup founders give to fellow startups who would like to work with the grassroots community, including informal workers, in their fight against climate change?

According to Atichartakarn, the key is to have an in-field strategy.

“You need to be on the ground and reach people or community leaders directly. The rapport and personal connection you build will break barriers and garner the trust needed to benefit both sides,” he says.

“Doing so will help you recruit your targeted demographic within each grassroot society. Later, once you’ve gained their buy-in and commitment, community leaders and onboarded individuals can become your ambassadors who help refer more people to you,” the CEO continues.

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Echoing Atichartakarn, Hasfinanda stresses the importance of co-creation and collaboration in reaching out to grassroots communities. He dubs it as the “most effective way” to work with them.

“Encourage the community to be involved in the development process and to have a say in what they would like to see. Doing so ensures that the outcome is something that is beneficial for both the community and your startup,” he points out.

“It’s also important to be respectful of differences in working culture and to avoid making assumptions about the communities you are working with. Be open-minded and flexible, and be willing to adapt your approach to meet the unique needs of each community,” he closes.

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Image Credit: The Incubation Network

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