Protecting the Vulnerable:
Providing social welfare to
informal sector workers
-Sir Willium Beveris
"Social security means the attach on five demons- necessity, illness, ignorance,
pollution and unempl...
• Workmen’s Compensation Act (1923),
• The industrial disputes act (1947),
• The employees state insurance act (1948),
• T...
Unorganized sector…
However, only about 8% of workers actually
get the benefits available under these Acts.
The rest 92%--...
• These Acts only apply to those workers who have a clear
employer-employee relationship. 50% of India’s workers
are self ...
The National Commission for Enterprises in the
Unorganized Sector (NCEUS) is a national body
commissioned by the Indian go...
Actions of Government
• Indian Parliament finally passed an ambitious law aimed at
ensuring social security to workers in ...
52
10.992
22.8
2.424
2.592
6.528
2.664
48
Percentage of workers in Unorganised
Sector
Agriculture Manufacturing Constructi...
Actions of Government: Unorganized Sectors’
Social Security Act (2008)
NCEUS presented two Draft Bills on Conditions of Wo...
Actions of Government
Each of those bill was divided into TWO parts:
• Part 1 of each of the Bills contains provisions
rel...
The proposed Bills also mandate that the
government takes the necessary steps to
protect and promote these livelihoods
thr...
Both Central and State Govt. Formulated certain
Schemes:
•Swarnjayanti Gram Swarozgar Yojna (SGSY)
•Sampoorna Gramin Rozga...
• Rashtriya Swasthya Bima Yojana for BPL family(member 5) launched on 1st oct
2007.
• Smart card based cashless health ins...
• Rashtriya Swasthya Bima Yojana for BPL family(member 5) launched on 1st oct 2007.
• Smart card based cashless health ins...
In fact a comprehensive Act, catering to
the security needs of the unorganized
sector such as Food, Nutrition, Health,
Hou...
Flaws of the Act…
• How can it be called an act unless it has the
legal binding and provisions of rights to work
and entit...
Contd…
• What will be the scale of benefits that the
workers and their families are entitled to
receive and under what con...
This law which does not deal with the issue of
unemployment, its regulation, wages, and
conditions of work and so on is no...
How the Acts can be implemented in a fruitful
way???
• Identifying the unorganised workers by conducting surveys.
• Conduc...
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Niyojan

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Niyojan

  1. 1. Protecting the Vulnerable: Providing social welfare to informal sector workers
  2. 2. -Sir Willium Beveris "Social security means the attach on five demons- necessity, illness, ignorance, pollution and unemployment.” "It is the security which society by proper organization provides against certain risks by which their members are victimized." -International Labour Organisation Hence, social security signifies protection of man from possible dangers like illness, pollution, ignorance, which low income persons, cannot compete. This word signifies vast meaning and includes all works of human welfare.
  3. 3. • Workmen’s Compensation Act (1923), • The industrial disputes act (1947), • The employees state insurance act (1948), • The minimum wages act (1948), • The coal mines provident funds and miscellaneous provisions act (1948), • The employees provident fund and miscellaneous provisions act (1952), • The maternity benefit act (1961), • The seamen’s provident fund act (1966), • The contract labour act (1970), • The payment of gratuity act (1972), • The building and construction workers act (1996) etc. Independent India’s constitution : Social Security Acts
  4. 4. Unorganized sector… However, only about 8% of workers actually get the benefits available under these Acts. The rest 92%--over 30 crores??
  5. 5. • These Acts only apply to those workers who have a clear employer-employee relationship. 50% of India’s workers are self employed. • Workers are not organized and hence have no bargaining power, because of this, even when laws exist workers are too weak, too disorganized to demand them. • The laws are supposed to be implemented through the Government bureaucracy which has neither the manpower nor the knowhow to reach the scattered crores of workers. Reasons…
  6. 6. The National Commission for Enterprises in the Unorganized Sector (NCEUS) is a national body commissioned by the Indian government in 2004 to address the issues faced by enterprises in relation to the unorganised sector. The Commission was to make appropriate recommendations to provide technical, marketing and credit support to these enterprises. The term of the Commission which was initially fixed at one year. Actions of Government
  7. 7. Actions of Government • Indian Parliament finally passed an ambitious law aimed at ensuring social security to workers in the unorganised sector, comprising 94% of the country’s labour force. • The ‘Unorganised Sector Workers’ Social Security Bill, 2005 --- Draft Bill • Included a dozen welfare schemes like health insurance, group accident scheme, savings-cum-relief scheme, and family and old- age benefit schemes.
  8. 8. 52 10.992 22.8 2.424 2.592 6.528 2.664 48 Percentage of workers in Unorganised Sector Agriculture Manufacturing Constructions Trade & Repair etc. Transport & storage etc Other Services etc. Other Industrial Groups Non-AgricultureAgriculture 34.9 Million Organised Workers 412.4 Million Unorganised workers Unorganized Organized GDP Share Unorganized Organized Agriculture non-agriculture GDP SHARE IN UNORGANIZED SECTOR
  9. 9. Actions of Government: Unorganized Sectors’ Social Security Act (2008) NCEUS presented two Draft Bills on Conditions of Work and Social Security for Unorganized Workers to the Prime Minister. Based on the comments received from States, Trade Unions and others, the Commission revised the earlier proposal and proposed two Bills: • “Unorganised Non-agricultural Sector Workers (Conditions of Work and Livelihood Promotion) Bill, 2007” • “Unorganised Agricultural Sector Workers (Conditions of Work and Livelihood Promotion) Bill, 2007”
  10. 10. Actions of Government Each of those bill was divided into TWO parts: • Part 1 of each of the Bills contains provisions relating to the regulation of conditions of work of wageworkers. • Part 2 relates to the protection and promotion of livelihoods of the unorganised workers.
  11. 11. The proposed Bills also mandate that the government takes the necessary steps to protect and promote these livelihoods through appropriate policies and programmes. The Bills have also provided for an institutional machinery to take a holistic view of the sector and to mobilise the necessary resources to help the sector overcome constraints and facilitate its growth.
  12. 12. Both Central and State Govt. Formulated certain Schemes: •Swarnjayanti Gram Swarozgar Yojna (SGSY) •Sampoorna Gramin Rozgar Yojana (SGRY), •National Food for Work Programme (NFFWP), •Indra Awass Yojna(IAY), •Integrated Wastelands Development Programme (IWDP) •National Rural Employment Guarantee Act- 2005(NREGA): provides 100 days guaranteed employment to rural household.
  13. 13. • Rashtriya Swasthya Bima Yojana for BPL family(member 5) launched on 1st oct 2007. • Smart card based cashless health insurance cover of Rs. 30,000 to a BPL family of five. • All pre-existing diseases to be covered. • Hospitalisation expenses, taking care of the most of the illnesses. • Transportation cost of Rs. 100 per visit with an overall limit of Rs. 1000/- per annum. Till 15th April, 2009, 22 States/ Union Territories have initiated the process to implement the scheme. Out of these 17 States have started issuing smart cards and more than 39.71 lakh cards have been issued providing the health insurance for more than 1.98 crore persons. Contd…
  14. 14. • Rashtriya Swasthya Bima Yojana for BPL family(member 5) launched on 1st oct 2007. • Smart card based cashless health insurance cover of Rs. 30,000 to a BPL family of five. • All pre-existing diseases to be covered. • Hospitalisation expenses, taking care of the most of the illnesses. • Transportation cost of Rs. 100 per visit with an overall limit of Rs. 1000/- per annum. Till 15th April, 2009, 22 States/ Union Territories have initiated the process to implement the scheme. Out of these 17 States have started issuing smart cards and more than 39.71 lakh cards have been issued providing the health insurance for more than 1.98 crore persons. • In 2010, government launched the Swavalamban Yojana, administered by the Pension Fund Regulatory and Development Authority - a pension scheme for the workers engaged in the unorganized sector. Contd…
  15. 15. In fact a comprehensive Act, catering to the security needs of the unorganized sector such as Food, Nutrition, Health, Housing, Employment, Income, Life and accident, and old age remains a dream in India. Still the cries of the unorganized sector goes unattended with the governments laying red carpets for the corporates and so called investors at the expense and sacrifice of the working class.
  16. 16. Flaws of the Act… • How can it be called an act unless it has the legal binding and provisions of rights to work and entitlements under it? • Here as per the act nothing is mentioned about what constitutes appropriate and adequate social security for the vast mass of unorganized workers and their dependents? • What eligibility criteria, if any, ought to be prescribed?
  17. 17. Contd… • What will be the scale of benefits that the workers and their families are entitled to receive and under what conditions? • What will be the funding arrangements that must be put in positions to meet the cost of social security and so on?
  18. 18. This law which does not deal with the issue of unemployment, its regulation, wages, and conditions of work and so on is not merely incomplete but dysfunctional if it proceeds to deal with social security on a stand alone basis. The Act, actually, suffers from a serious lack of legislative policy and intent. Ultimately this Act is an eye wash which has neither the capacity to address nor the inbuilt provision to provide solutions to the needs of the unorganized sector.
  19. 19. How the Acts can be implemented in a fruitful way??? • Identifying the unorganised workers by conducting surveys. • Conducting legal awareness programmes for the identified groups of unorganised workers about different welfare schemes and social security measures available. • Persuading and assisting the workers in the unorganised sector to avail of the benefits under the different social welfare legislations, administrative programmes and schemes put in place by the Governments. • Reaching out to the unorganised labourers and facilitating their bargaining capacity with the employers and the institutional mechanisms for their welfare. • Providing legal assistance in appropriate cases.
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