Understanding time-banking and its prospect in Bangladesh.
Swiss citizens can deposit their time in banks to use it later when they are in need of care and assistance. The time-bank system was developed by the Swiss Ministry of Health as a program to help the elderly. Under this system, people can deposit time and use it as currency to purchase services.
Most people have heard the saying “time is money,” but only a few believe it to be a bona fide substitute for cash. But technology has made time-banking a reality. In the past, it was typically given on a voluntary basis or as part of an understanding of mutual support among neighbours or friends. It’s what we more commonly refer to as a ‘favour.’ But we now have the ability to precisely track one’s activities making it possible to analyse the effective time and effort dedicated to a task. Thus comes the scope to convert time into a form of currency that can be saved and used to ‘purchase’ desired services.
The Swiss time-bank system is the practical manifestation of investing time in exchange of services. While theoretically, it is a banking system, there are no legally enforceable obligations. It would be more accurate to say that the time-banking system functions due to moral obligations. The Internal Revenue Service does not recognise moral obligation as taxable and therefore, the banked time has no taxation involved. Time-based transactions turn into relationships and these relationships turn into networks which begin to reweave the community.
The way it works is simple. As part of the time-bank program, volunteers provide care for the elderly, and the volunteered hours are credited to their social security accounts. When volunteers reach an age when they require assistance, they are able to seek services. Certain systems allow for deposited time to be converted into the local currency. This philosophy is based on altruistic ideals that go back to a simpler time, and it is both basic and noble in its vision.
Time-banking has also been explored in the service industry. Anything that can be considered a service can be provided in exchange for bankable time – IT support, consultations, child care, hair styling, gardening, construction projects, and tutoring, to only name a few. Time-banks keep track of the time spent providing the service. Time-based units accrue in the bank which can be used to hire other time-bankers for their services.
There are many time-banking initiatives in Switzerland, a country known for its long history of alternative currencies, banking, and social solidarity. There are about 40 different time exchanges in Switzerland. Banking initiatives
Time-banks keep track of the time spent providing the service. Time-based units accrue in the bank which can be used to hire other time-bankers for their services.
include Zürich Tauscht (Zurich), Zeittauschbörse Basel, Luzerner Tauschnetz (Lucerne), Ziitbörsa Chur und Umgebung (Chur), ZeitTausch Solothurn, Zeitbörse Benevol (St. Gallen), Scambio di Favori (Ticino), Zytbörse Thun, Tauschnetz Länggasse Bern, Tauschnetz Freiburg (Fribourg), Give&Get (Winterthur, Zurich), and TALENT (Basel, Biel, St. Gallen, Zug, Aarau).
Most of the time-banks in Switzerland run like clubs and arrange frequent get-togethers for members. The interaction with other individuals that comes along with trading services makes time-banking an effective strategy for expanding the network of friends and acquaintances. It’s worth pointing out that Swiss time-banking programs could have a subscription cost. In many cases, they can be paid by accrued time credit.
There are however some flaws in the time-banking system. First of all, there are no standardisations in time-banking. The foundation of the system is based on altruism, goodwill, and volunteering. It is difficult to standardise such subjective social concepts. Additionally, while the technology exists to log, process and analyse the data, time-banks still make use of rudimentary methods. Currently, there aren’t any tools like time-banking apps, which would make earning and spending time more effective. The fundamental framework is there, but it is far from optimised. But perhaps the most complex problem is weighing the effort of volunteers in a manner that is ‘fair.’ For instance, the time spent in providing a service is expected to be dependent on the level of expertise of the volunteer. As a result, a novice would end up banking more time than a seasoned expert who is more likely to complete the task more efficiently. Regardless of the flaws, the concept of time-banking, when executed successfully, contributes to the overall well-being of society.
The concept of utilising time-banking as a component of a retirement plan has been explored in recent years by Swiss time-banking efforts. These studies are based on the hypothesis that skilled, young folks who care for the elderly can accrue time credit and later spend it after retirement for care and attendance. Retirement time-banks might be a fascinating choice for individuals who desire to perform a good deed with the chance of receiving compensation in their elderly years.
Interestingly, the time-banking concept is not entirely new, and nor is it exclusive to Switzerland. Some 34 other nations have also stepped forward and started implementing this idea. These nations include the UK, which started implementing
The concept of utilising time-banking as a component of a retirement plan has been explored in recent years by Swiss time-banking efforts.
the time-bank system in 2000, as well as the USA, Japan, New Zealand, Spain, and Greece. Singapore is thinking about following suit, and India has already experimented with time-banking on a small scale. With so many time-banking initiatives sprouting all across the globe, the question now is, can time-banking save you money?
Regardless of the services provided, the majority of time-banks treat time similarly. If you have the option to swap your high-value services for cash rather than time, you will probably make more money. The savings through time-banks come in the form of an exchange. Call it a barter. If you have 30 hours banked, you save 30 hours of labour charge for your gardening requirements. For countries with a high hourly minimum wage, this trade can amount to rather large savings. So, if someone’s current occupation allows them spare time, it’s worthwhile to utilise that and accrue time credits through time-banks for its long-term returns.
Now comes the question of the feasibility of time-banking in Bangladesh. We would undoubtedly benefit from being able to trade time given the cost of professional elderly care in the country. However, for the youth of Bangladesh, the opportunity cost of banking time is significantly high. Entry-level jobs require long hours for low pay. Managerial positions expect dedication beyond the call of duty. Thus, the incentive to bank hours in the present to redeem them in the future is weak.
In order to consider time-banking in a developing country such as Bangladesh, a possible approach would be to integrate creditable hours as a reward for extra time. Bangladesh is undergoing some socioeconomic changes. Some are slowly moving away from the concept of joint families and adopting nuclear family settings. There is a possibility that future generations may shape the societal structure to be more independent. This suggests that elderly care could become similar to practices in developed countries, requiring services from old homes and personal attendants. This has already been acknowledged by our neighbour, India. In 2018, a panel of the National Human Rights Commission even recommended that India adopt the time-bank scheme. Post that, Madhya Pradesh apparently opened the country’s first time-bank in 2019 and recently added 500 new members for 2021.
Certainly, the vision behind the concept of time-banking is both simple and noble and lends a much-needed helping hand to the elderly. But it’s unclear to be seen how far this can go and how much participation it gets from the citizens.
