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Labour ministry to call stakeholder consultation on revised draft of social security code

“The draft of ‘code on social security’ is ready and will be shared with stakeholders for their comments soon,” labour minister Gangwar said.

, ET Bureau|
Last Updated: Sep 17, 2019, 04.32 PM IST
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Labour ministry has proposed a comprehensive social security system to provide retirement, health, old-age, disability, unemployment and maternity benefits to 50 crore workers in the country, in yet another populist measure ahead of the general elections next year.
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Aiming to continue its endeavour to push for labour reforms, Santosh Kumar Gangwar-led labour ministry will soon call stakeholder consultation on the revised draft of social security code. Out of the four labour codes proposed to amalgamate 44 labour laws, the ministry has already got the labour code on wages passed by the Parliament while tabling the labour code on occupational safety in the Lok Sabha. Besides, the ministry will soon open up an office in J&K as well as Leh to facilitate social security coverage to workers in the two UTs.

“The draft of ‘code on social security’ is ready and will be shared with stakeholders for their comments soon,” Gangwar said on Tuesday. Gangwar have away the Vishwakarma Rashtriya Puraskar (VRP) and National Safety Awards (NSA) for 2017.

Labour ministry has proposed a comprehensive social security system to provide retirement, health, old-age, disability, unemployment and maternity benefits to 50 crore workers in the country, in yet another populist measure ahead of the general elections next year.

The 50 crore beneficiaries would be classified into four tiers. The first tier would comprise of destitute and people below poverty line who cannot contribute for their security and hence the cost of which will be entirely borne by the government under the tax based schemes while workers in the unorganised sector who have some contributory power but cannot be self-sufficient may be covered under the subsidised schemes in the second tier.

The third tier of beneficiaries will include those who either by themselves or jointly with their employers can make adequate contribution to the schemes so as to be self-sufficient while the fourth tier will comprise of comparatively affluent people who can make their own provisions for meeting the contingencies or risks as they rise.

The plan is to implement the scheme in three phases over a 10 year period when the government hopes to make it universal. The scheme will be implemented in four tiers with government wholly financing the cost from the taxes collected for people below the poverty line.

The first phase would see all workers getting the bare minimum which includes health security and retirement benefits, the second phase would see unemployment benefits being added to it while in the third phase other welfare measures could be added.

Government had received 197 applications from different industries for 2017 awards, out of which 28 awards were conferred. These 28 awards are being shared by 131 individuals. The total number of NSA award winners and runners-up in all the twelve schemes adds up to 130 out of 288 applications received under various schemes.

Appreciating the role of Directorate General Factory Advice Service & Labour Institute (DG FASLI) in promoting safety for industrial workers, the Minister said that ministry of labour and employment has decided to open the offices of DG FASLI and DG MINES in Jammu & Kashmir post revocation of article 35-A and 370. “Also the office of EPFO will be opened in J&K and Leh to provide social security to the workers of these areas,” Gangwar added.
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