welfare of unorganised sector workers

Thursday, December 23, 2004

Rajya Sabha

The Government has initiated several measures for the welfare of the labourers in the unorganised sector. The Government have set up Welfare Funds to provide social security/welfare measures to certain categories of workers i.e. beedi workers, certain non-coal mine workers and cine workers. The welfare measures include health care, housing, educational assistance for children, drinking water supply, etc. The Government launched on pilot basis in 50 districts the Krishi Shramik Samajik Suraksha Yojana-2001 in July 2001 through the Life Insurance Corporation for agricultural workers. The Scheme envisaged the benefit of life-cum-accident insurance, money back, superannuation benefits and pension. The worker was required to pay Rs. 1/- per day and the contribution of the Government was Rs. 2/- per day per worker. As reported by the LIC, 2,53,168 agricultural workers have been registered upto 31/03/2003. However, due to paucity of funds, no new enrollments have been made thereafter. The Government also launched the Unorganised Sector Workers’ Social Security Scheme, 2004, in January 2004, in January 2004 on pilot basis in 50 districts. The benefits included health insurance, personal accident insurance cover and old age pension. About 3500 unorganised workers have been covered under the scheme. However, the scheme was not found viable as it had no statutory backing, it was voluntary in nature and the contribution from the employers was not forthcoming. In view of this, the scheme is being re-worked. In addition to this, the Government is implementing various poverty alleviation/employment generation schemes. Further, Janshree Bima Yojana providing for insurance cover to the people living below or marginally above the poverty line is also available for the workers in the unorganised sector. The Universal Health Insurance Scheme provides for health insurance of Rs. 30,000/- per year as hospitalization costs. The premium for the family of vive is Rs. 548/- p.a. whereas it is subsidized to Rs. 248 in case of those living below poverty line. The Government has also constituted a National Commission for the Enterprises in the Unorganised/Informal Sector to examine the problems facing enterprises in the unorgansied/informal sector. The terms of reference of the Commission, inter-alia, include review of the status of unorganised/informal sector in India including the nature of enterprises, magnitude of employment; identifying constraints faced by small enterprises and review of the social security system available for labour in the informal sector, and make recommendations for expanding their coverage.

This information was given by the Minister of Labour and Employment Shri K. Chandersekhar Rao in a written reply in the Rajya Sabha today.