Why in News?
- In August, the parliamentary standing committee on labor has released a report on the impact of covid-19 on rising unemployment and Job loss.
- The panel seeks government to improve social security measures and take initiatives like Direct Cash transfer, MNREGS-like Job guarantee scheme for urban poor.
Why Need for Social Security Measures
- Citing the Periodic Labour force survey 2019-20, the report said around 90% of workers were in the informal sector the covid-19 pandemic hit the most informal sector in rural and urban areas.
- Moreover, 9.5% of workers had informal nature of Jobs even though they were employed in the formal sector,
- No survey data available as yet on impact of the second wave which has undisputedly been more sever than first.
- The consequential effects on loss of Jobs during rising unemployment, indebtedness, health and education of unorganized workers.
Highlights of Parliamentary
- The Ministry of Labor delayed responding to the migrant crisis when covid-19 struck
- The pandemic has devastated the labor market, denting the employment scenario and threatening the survival of millions of workers and their families.
Recommendations of Committee in Pandemic Situations
- Urban employment guarantee scheme - There is an imperative need for putting in place an Employment Guarantee programme for the urbon workforce in line with MNREGA.
- PM-SVANidhi scheme - It suggests converting loans granted to street vendors direct to cash grants and keeping detailed records of them for provisions of relief and rehabilitation.
- Universal healthcare - Universal health for informal workers.
- MNREGA Reforms - It suggests increasing maximum days of work guaranteed under MGNREGA from 100 days to 200.
Significance of Social Security
The significance of Social Security is classified as follows-
- The Labour ministry should take up issue of timely completion of PLFS with the statistics and programme implementation ministry.
- A comprehensive and a robust monitoring and enforcement mechanism to ensure compliance to labour legislation.
- Creating a common database of informal workers.
- Streamlining registration process of informal workers.
- Need formalisation of informal sector to increase its productivity and creating awareness about entitlements.