Strategical Innovations To Up build
Providing social welfare to the informal sector workers
Keswin, Harikrishna, Kalpajit, Anoop, Sreemol
Vinayaka Missions Kirupananda Variyar Engineering College, Salem
Causes of the
Identification of the informal sector is a
herculean task as they exist outside the
Lack of awareness among the informal
sector workers in rural and urban
Lack of proper social security net and
Lack of well defined classification and
granting's in the category of
unorganized sector workforce.
Indicates the classification of unorganized
sectors by NCE (2009).
As per the Census 2008-2009.
94% of Indians work growth comprises of informal sector
group who helps in boosting the countries economy
Low living standards.
Long working hours.
Hazardous working condition.
Lack of basic amenities.
Shortage of clean drinking water and proper sanitation
Lack of institutional support, benchmarking and
exploitation of workers.
Problems faced by informal sector
Proposed innovative solution concept
Fixed wages decided by the government based
on their working hours, environment ,type of
labour ,age and sex bar.
Providing access of BPL and APL ration cards
to all in fast track method.
Fixing up working hours and shift based duties
along with overtime work adding to extra
Improving the standards of working area by
introducing safety measures and safe
Providing basic first aid services dispensaries,
water and sewage treatment plants.
Sharp monitoring panel to monitor child
Identifying the workforces recognizing of
employers organizing them in various
categories, implementation of a social security
net, inclusion of workers in institutional
Merits of proposed solution
Provides a safe social security net
along with registration of employees
and workers by arranging them in
various categories and centralization,
solves the problem of “ lack of basic
Providing the drinking water facility
and a proper sanitation facilities
solves the problem of “shortage of
drinking water and proper sanitation
Strict and sharp monitoring solves
the problem of “child labour”.
Implementation of solution
Fixed working hours for
the unorganized sectors
Environmental conditions must
be classified as follows, in order
to ensure security of workers in
Classification of employees on the basis of age and sex bar
Overtime with extra wages
but exempted from
hazardous work conditions
Overtime with extra wages
and included in hazardous
Exempted from overtime
duties and hazardous work
Financial supports and providing
Non migrant and migrants to be
provided loan by the cooperative
Banks and macro and micro
entrepreneurs must provided loans
by nationalized banks.
9.25% to migrants.
8.25% to non migrants.
9.5% macro entrepreneurs.
10% micro entrepreneurs.
Stakeholders Involved In Each Step
• Fixing wages: Employees are the
stakeholders executed by the
• Ration cards and ration products:
The government is the
• Providing basic amenities, safety
measure and training to workers:
Employees are the stakeholders
and executed by the government.
• Social security net: Government of
India is the stakeholders.
• Drinking water and sanitation:
PWD and health care departments
are the stakeholders.
• Child Labour : NGO’S ,Government
of India ,Child welfare and Human
Sources Of Income
20% can be
5% can be
10% can be
Appropriate Monitoring Mechanism
Setting up a organized
ministry of informal sector
Union ministry of informal sector
State ministry of
District union of
societies, small scale
Migrant and non-migrant
workers & Micro and Macro
Challenges and mitigation factors
• Clash between informal and
• Economic budget will be
• Muscle and money powers
of political parties leads to
compressing of informal
• Due to illiteracy and
unorganized sector, loses
their opportunity provided
by the government.
• Agricultural production may
decrease due to the extensive
opportunity provided by the
NSS and scouts & guides must spread the
awareness both in urban and rural areas.
Vocational education and skills trainings
must be provided to the informal sector.
Economic investment through high in put
stages by the government in long term
bases can be resulted into higher economy.
Long term investment and framework
on this sector provides security to the
Improves living standards of informal
Large scale employment opportunities.
• Youth Employment
and Unemployment: an
Indian Perspective (ILO)
• State of Urban
Youth, India 2012
• Right to Drinking
Water in India (Centre
for Economic and Social
• Report on
(2009) ministry of