Digitising Dignity: How Lucro Empowers Waste Pickers Through Digital Payments and Vendor Passports

In India’s waste management sector, the informal economy has long played a crucial yet underappreciated role. Every day, thousands of waste pickers—our Safai Saathis—contribute to the circular economy by collecting, sorting, and supplying valuable recyclable materials. Yet despite their essential contributions, they often remain excluded from formal financial systems, relying on cash-based, delayed payments with little to no record of their work or earnings.

At Lucro Plastecycle, we believe dignity, transparency, and sustainability must go hand in hand. As part of our Responsible Sourcing Policy, we are driving a transformation that is digital, traceable, and inclusive.

Cashless, On-the-Spot Payments: Driving Financial Inclusion

Traditionally, the waste trade in India has operated on informal norms—payments made in cash, often delayed, and rarely documented. This model disproportionately affects vulnerable vendors like waste pickers, who rely on daily income to support their families.

Lucro has changed this model by shifting to 100% digital, on-the-spot payments for all waste pickers who bring materials to us. Through digital transactions, Safai Saathis receive immediate, documented compensation—ensuring predictability in their income, while also enhancing safety by eliminating the need to carry or wait for cash.

These payments are linked to each vendor’s profile through Satma CE, a circularity-enabling software.

Vendor Passports: Building a Traceable, Transparent Supply Chain

Every transaction made through Lucro is recorded in a Vendor Passport—a digital identity created for every vendor or supplier we work with. This passport is more than a ledger—it’s a traceable history of sourcing interactions, materials supplied, quantities, payment timelines, and more. Our vendor passports help:

• Track material provenance
• Monitor frequency and volume of transactions
• Flag any gaps in responsible sourcing compliance
• Generate real-time data for audit, certification, and ESG reporting

This system not only ensures full transparency and traceability of waste materials, but also builds trust between Lucro and our supplier network, particularly those who have traditionally worked without any formal record or recognition.

Our digital payment and vendor passport approach directly supports key pillars of our Responsible Sourcing Policy, including:

• Human Rights and Fair Wages: Ensuring that all vendors, especially informal workers, are paid fairly and on time.
• Supply Chain Transparency: Documenting each transaction and supplier relationship for full traceability.
• Digital and Financial Inclusion: Helping vendors transition into the formal economy, opening up access to financial services and protections.
• Sustainability-Driven Procurement: Using data to verify recycled material sources, volumes, and reduce greenwashing.

By formalising the informal, Lucro is building a sourcing ecosystem that values both people and the planet. We are working towards creating a more fairer, transparent, and truly circular future.