Budget 2015: Labour ministry set to bring in social security, on-the job training for unorganized workers

NEW DELHI: The labour ministry is set to flag off a new model for providing social security cover to unorganized sector workers besides a new on-the job training module to upgrade skills. For this, it has sought budgetary assistance of around Rs 400 crore.

Sources said labour minister Bandaru Dattatreya has sought initial funding of Rs 100-200 crore for Recognition of Prior Learning, a scheme that will not only provide on-the-job training for close to 125 trades such as factory workers, carpenters and plumbers but also give them daily wages during the 20-30 day programme.

As part of the proposed social security net for unorganized sector workers, many of whom keep moving from one place to another, the labour ministry has proposed Unique Labour Identification Number (U-LIN), which will enable them to access health facilities across the country. The number will be modeled on the Unique Account Number for the Employees Provident Fund Organization that assures portability of retirement savings even if a worker switches jobs.

Simultaneously, the ministry is "synchronizing" three schemes - Rashtriya Swastha Bima Yojana, Aam Aadmi Bima Yojana and Old Age Pension - to make it more effective. The U-LIN plan is expected to require about Rs 200 crore annually and the plan is to include housing and scholarships for education of unorganized sector workers. When contacted, Dattatreya did not comment on the

proposals, citing Budget-related confidentiality. "Unorganized sector workers make up over 90% of our workforce and two things are very important - social security and health coverage. We are trying to address both the issues."

The minister said initially the focus will be on construction and 'beedi' workers but in a phased manner the ambit of the scheme proposed social security net

will be widened to cover all the 43 crore unorganized sector workers. In the past too the government had launched programmes such as the National Pension Scheme targeted at unorganized sector workers but had ended up focusing on the better-off sections of society.