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Security net for us and them

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  • M.R Madhavan

    The Unorganised Sector Workers’ Social Security Bill was listed for consideration and passing in the Rajya Sabha this week. It has not been taken up so far and now with Parliament adjourned till Monday, it is likely to be discussed next week. What are the main provisions in the bill? What has been its career so far? M.R. Madhavan has the answers

    What is the purpose of the Unorganised Sector Workers’ Social Security Bill?

    This bill enables the central and state governments to formulate welfare schemes for workers in the unorganised sector. These schemes would provide benefits in areas such as life and disability insurance, health and maternity benefits, old age protection, provident fund, employment injury benefits, housing, educational schemes for children, skill upgradation, funeral assistance and old age homes. The schemes may be financed by central and state governments and by employers and employees.

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    Does the government need such legislation to introduce benefit schemes?

    No. Even before this bill, the government has introduced several schemes — including the recently announced Aam Aadmi Bima Yojana, which provides death and disability insurance cover for rural landless households. Indeed, the bill itself lists 11 schemes which are currently operational. For any scheme, the government needs parliamentary approval only for sanctioning the budget. This would be a requirement even if this social security bill is passed. However, the bill enables the government to launch schemes which would be partly funded by employers and employees — this condition requires legislative approval.

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