Social Justice & Welfare

Sub-topics in Urban Poverty and Slum Development

Social Justice & Welfare·Revision Notes

Urban Livelihood Programs — Revision Notes

Updated 10 Mar 2026

⚡ 30-Second Revision

  • DAY-NULM: Deendayal Antyodaya Yojana – National Urban Livelihoods Mission.
  • Nodal Ministry: Ministry of Housing and Urban Affairs (MoHUA).
  • Launch: 2013 (as NULM), revamped 2016 (as DAY-NULM).
  • Core Components: SM&ID (SHGs), EST&P (Skills), SEP (Micro-enterprise), SUSV (Street Vendors), SUH (Homeless Shelters).
  • Key Act: Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014.
  • Funding: 75:25 Centre-State (90:10 for NE/Special Category States).
  • Key Initiative: PM-SVANidhi for street vendors (post-COVID-19).

2-Minute Revision

DAY-NULM is India's flagship program for urban poverty alleviation, aiming to empower the urban poor through sustainable livelihood opportunities. It was launched in 2013 as NULM and rebranded in 2016, replacing the earlier SJSRY. The mission is implemented by the Ministry of Housing and Urban Affairs and operates on a community-centric model, emphasizing social mobilization and institution building.

The program's design is multi-pronged, addressing various aspects of urban livelihoods. It focuses on forming and strengthening Self-Help Groups (SHGs) and their federations (ALFs, CLFs) to foster collective action and micro-finance. Skill development and placement (EST&P) are crucial for enhancing employability in urban job markets, while the Self-Employment Programme (SEP) provides financial assistance for micro-enterprises.

DAY-NULM also specifically supports urban street vendors (SUSV) by formalizing their operations, providing identity cards, and facilitating access to credit, often leveraging the Street Vendors Act, 2014. Additionally, it ensures the provision of shelters and basic services for the urban homeless (SUH). City Livelihood Centres (CLCs) act as vital interfaces for information and services.

Implementation is a collaborative effort involving MoHUA, State Urban Livelihoods Missions, and Urban Local Bodies (ULBs). Beneficiary identification uses participatory methods, and transparent delivery is ensured through Aadhaar and DBT. While successful in many areas, challenges include implementation gaps, funding constraints, and effectively integrating the vast informal and gig economy workforce. Recent initiatives like PM-SVANidhi highlight adaptive policy responses to emerging needs.

5-Minute Revision

The Deendayal Antyodaya Yojana – National Urban Livelihoods Mission (DAY-NULM) is a pivotal program for addressing urban poverty in India, evolving from the earlier Swarna Jayanti Shahari Rozgar Yojana (SJSRY).

Its constitutional basis lies in the Directive Principles of State Policy, particularly Articles 39(a), 41, 43, and 47, which mandate the state to secure the right to livelihood, work, and a living wage.

The mission, under the Ministry of Housing and Urban Affairs, shifted from a top-down, fragmented approach to a demand-driven, community-centric model, recognizing the distinct nature of urban poverty.

DAY-NULM's policy evolution saw the strengthening of community institutions like Self-Help Groups (SHGs), Area Level Federations (ALFs), and City Level Federations (CLFs). These bodies are crucial for social mobilization, micro-finance, and ground-level implementation.

The mission's key components include Employment through Skills Training and Placement (EST&P) for vocational training, the Self-Employment Programme (SEP) for micro-enterprise development with financial assistance, and Support to Urban Street Vendors (SUSV), which is legally underpinned by the Street Vendors (Protection of Livelihood and Regulation of Street Vending) Act, 2014.

The Scheme for Homeless (SUH) provides essential shelters, and City Livelihood Centres (CLCs) act as information hubs.

Implementation challenges often revolve around the capacity of Urban Local Bodies (ULBs), ensuring adequate and timely funding, and effectively reaching the most vulnerable segments of the urban poor.

The vast informal sector, including the burgeoning gig economy, presents unique challenges in terms of formalization, social security, and skill-job matching. Inclusion/exclusion errors in beneficiary identification, despite participatory methods, and the digital divide also pose hurdles.

The COVID-19 pandemic highlighted the vulnerability of urban informal workers, prompting rapid policy responses like the PM-SVANidhi scheme for street vendors.

Suggested reforms for DAY-NULM include enhancing ULB capacity through dedicated human resources and training, strengthening market linkages for SHG products and trained individuals, and developing specific modules for gig economy workers.

Leveraging digital governance for transparent delivery, real-time monitoring, and grievance redressal is critical. Furthermore, integrating climate resilience into livelihood strategies (e.g., green jobs, resilient housing) and deepening gender empowerment beyond mere participation to leadership and control over resources are vital for sustainable impact.

The mission's success hinges on continuous adaptation, strong inter-agency coordination, and genuine community participation.

Prelims Revision Notes

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  1. DAY-NULM (Deendayal Antyodaya Yojana – National Urban Livelihoods Mission): — Flagship scheme of MoHUA, launched 2013 (as NULM), revamped 2016. Replaced SJSRY (1997).
    2. 2
  2. Objectives: — Reduce urban poverty, enable self-employment/skilled wage employment, universal access to social security for urban poor.
    3. 3
  3. Nodal Ministry: — Ministry of Housing and Urban Affairs (MoHUA).
    4. 4
  4. Funding Pattern: — 75:25 Centre-State; 90:10 for North-Eastern & Special Category States.
    5. 5
  5. Key Components:

* SM&ID: Social Mobilization & Institution Development (SHGs, ALFs, CLFs, Revolving Fund, Community Investment Fund). * EST&P: Employment through Skills Training & Placement (vocational training, job placement, Skill India integration).

* SEP: Self-Employment Programme (financial assistance for micro-enterprises, interest subvention). * SUSV: Support to Urban Street Vendors (surveys, ID cards, vending certificates, vending zones, credit access, linked to Street Vendors Act, 2014).

* SUH: Scheme for Homeless (permanent shelters, essential services). * CLCs: City Livelihood Centres (information, counseling, job matching).

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  1. Street Vendors Act, 2014: — Statutory backing for SUSV. Recognizes vending as legitimate, mandates Town Vending Committees (TVCs) with vendor representation, provides for survey and regulation.
    2. 2
  2. PM-SVANidhi (PM Street Vendor's AtmaNirbhar Nidhi): — Special micro-credit facility (collateral-free working capital loan up to ₹10,000) for street vendors affected by COVID-19, launched 2020. Promotes digital transactions.
    3. 3
  3. Constitutional Basis: — DPSP Articles 39(a), 41, 43, 47.
    4. 4
  4. Beneficiary Identification: — Participatory Identification of Urban Poor (PIUP), Aadhaar-DBT for transparency.
    5. 5
  5. Key Difference (Rural vs. Urban): — DAY-NULM (urban) focuses on skill development, self-employment, formalization; MGNREGA (rural) focuses on guaranteed unskilled wage employment, asset creation.

Mains Revision Notes

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  1. Context & Evolution: — DAY-NULM as a successor to SJSRY, reflecting a shift to a community-centric, demand-driven approach. Link to DPSP (Art 39, 41, 43) for constitutional backing.
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  2. Multi-pronged Strategy: — Analyze how SM&ID (SHGs, CLFs) forms the backbone for EST&P (skill development), SEP (micro-enterprise), and SUSV (street vendor formalization). Emphasize the role of women SHGs in empowerment.
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  3. Implementation Architecture: — Discuss the roles of MoHUA, SULMs, and ULBs. Highlight the importance of ULB capacity building and effective coordination for ground-level delivery. Mention MIS and DBT for transparency.
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  4. Challenges & Gaps: — Critically examine issues like inadequate funding, skill-job mismatch, limited reach to the 'poorest of the poor', difficulties in integrating the vast informal sector (including gig economy), and the digital divide. Discuss inclusion/exclusion errors in beneficiary targeting.
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  5. Statutory Framework & Impact: — Detail the Street Vendors Act, 2014, its provisions (TVCs, vending zones), and its impact on vendor livelihoods (security, credit access via PM-SVANidhi). Assess its implementation effectiveness.
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  6. Current Relevance: — Integrate recent developments: COVID-19 impact on urban livelihoods, the role of PM-SVANidhi in recovery, and the emerging policy discourse around gig economy workers and digital delivery platforms. Refer to Budget 2024's focus on skill development and digital infrastructure.
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  7. Vyyuha Analysis & Reforms: — Propose solutions focusing on:

* Digital Governance: Leveraging technology for demand-supply mapping, digital marketplaces, and efficient service delivery. * Climate Resilience: Integrating green skills and climate-smart livelihoods. * Gender Empowerment: Moving beyond participation to leadership and control over resources within SHGs/CLFs. * Strengthening market linkages, public-private partnerships, and robust grievance redressal mechanisms.

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  1. Inter-topic Connections: — Link to urban poverty measurement , slum rehabilitation , Smart Cities , and rural-urban migration for holistic answers.

Vyyuha Quick Recall

Table

Key Feature

SHGs, ALFs, CLFs, Community Funds

Component Name

Social Mobilization & Institution Development (SM&ID)

Component Initial

S

Key Feature

Vocational training, job placement

Component Name

Employment through Skills Training & Placement (EST&P)

Component Initial

E

Key Feature

Micro-enterprise loans, interest subvention

Component Name

Self-Employment Programme (SEP)

Component Initial

S

Key Feature

Formalization, vending zones, credit (PM-SVANidhi)

Component Name

Support to Urban Street Vendors (SUSV)

Component Initial

S

Key Feature

Shelters, basic services

Component Name

Scheme for Homeless (SUH)

Component Initial

S

Key Feature

Primary implementing agencies

Component Name

Urban Local Bodies (ULBs)

Component Initial

U

Key Feature

Information, counseling, job matching

Component Name

Livelihood Centres (CLCs)

Component Initial

L

Mnemonic

DAY-NULM's Seven Essential Supports Secure Sustainable Urban Livelihoods

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