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The Labour and Employment Minister, Shri K. Chandrasekhar Rao today announced in Parliament Government’s momentous decision to launch Unemployment Benefit Scheme for workers from April this year. The scheme to be known as Rajiv Gandhi Shramik Kalyan Yojana will be implemented by the Employees State Insurance Corporation (ESIC), a statutory organisation under the Ministry of Labour.
Making a statement in Lok Sabha Shri Rao said that workers losing employment on account of closure, retrenchment or permanent invalidity arising out of non-employment shall be covered under the scheme. They will be provided unemployment allowance in cash equivalent to about 50 per cent of their wage for a maximum period of six months. They along with their families shall also be eligible to receive medical care at ESIC dispensaries and hospitals. The workers, however, shall have to have contributed to ESIC scheme for at least five years to become eligible for the scheme.
Shri Rao said that the Scheme would provide, “much needed social security cover for about 8 million employees who are insured with the Employees State Insurance Corporation. The medical benefit will extend to 30 million family members of the insured worker.” The Minister said that Rs. 300 crore are being provided by the ESIC. The Corporation proposes to meet the expenditure of this Scheme from its existing resources without levying any additional burden either on the employees or the employers.
MLD/LK: L-156 March 17
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