Response To Unorganized Sector Workers of India

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Response to Unorganized Sector Workers of India The official data says in India over390 million of the workers are

in the unorganised sector. Due to globalization, workers, especially in the unorganized sector are alienated from the mainstream of the society in terms of welfare schemes, benefits and even just wages, besides subjected to exploitation due to lack of legal and social security. 40-50% of male workers and 81 87% of female workers receive daily wages below the minimum norm recommended by the labour ministry. There by resulting in severe exploitation in unorganized sector, no decent work and dignified worker. Unorganized workers mean not only those workers who do not have an identity as a group or organisations but also those who do not have legal protection especially for social security like medical, pension coverage etc. Even if there are welfare programmes available to poor people of the country, most of them are project based that too for a limited period. It varies according to the mindset of the party in governance. Today even when strong recommendation of National Commission for Enterprise in Unorganized Sector (NCEUS) for Social Security Fund for Unorganized Sector Workers and ILO direction to spend at least 4% of GDP for social security stay alive,the 2010-11 year budget of union government has got provision of Rs.1000 crore only to set up a National Social Security Fund. It reiterated by Prime Minster Dr. Manmohan Singh in recent press conference at the time of first anniversary of UPA -11. But even that it in shows potential level not a policy and program. Now in India only 1% GDP is spending for the welfare of the unorganized workers, while they contribute 62% of GDP. Organized sector labour means workers on regular wages or salaries, in registered firms and with access to the state social security system and its framework of labour law. They are only 7% of working class of India are organized . The rest93% of the labour forceworks in what is known as the unorganized or informal economy. Unorganized firms are supposed to be small. In fact they may have substantial work-forces, occasionally numbering hundreds, but where workers are put deliberately on casual contracts. There is actually no neat boundary between the two categories of labour. Some sectors, notably mining and dock labour, straddle the divide. In practically every organized firm, including state run corporations, unorganized labour is selectively incorporated into the labour process. The divisions between organized and unorganized workers depend on sectors of the work. As per central statistical organization, all those enterprises which are either registered or come under the preview of any of the acts or maintain annual account and balance sheet are included organized sector. All unincorporated enterprises and household industries which do not maintain annual accounts and

balance sheets are termed as enterprises in unorganized sector. That mean they are not coming under preview of income tax authority. The term Informal sector workers had also used for unorganized sector workers, which was popularized in 1970s by ILO. However ILO says in 1990 even after two decades of investigation by scholars and international civil servants, there is still no generally accepted definition of the term Informal sector --- we know for certain that it exists The characteristics of the unorganized workers are lower wage, low employment Security is due to contract and casual, poor working and living Conditions, no collective bargaining power and lack of enforcement of Law. In Indian perceptive the historical background of division between unorganized and organized was generated conventionally due to the Factory Act of 1881 under British rule, The Formation of ILO in 1919 ,At 1948 s factory Act ,State Shop and Establishment Acts and Trade Union Act 1926 . As per the recommendation of the first labour Commission named royal commission - 1966 to 69, there are around 100 central and two hundred state labour laws came into existence in the span of time today. These laws are legal threadbare in the labour scenario. However these laws have being meant for organized workers. The concept recently .The commission of all existing of unorganized sector workers has popularly known in India reason is for this is the recommendation of the second labour 1999 to 2001 .The commission had recommended the amendment labour laws and constitutes a set up for unorganized workers.

As an outcome of the recommendation in 2004 central government constituted a National Commission for Enterprise in the Unorganized Sector (NCEUS) to conduct a cram on unorganized sector, in view of ensuring the welfare and well-being of all workers, particularly those in the unorganized sector. Up to 2009 Commission has brought out five reports such as a. Social Security for unorganized workers, 2006, b. National Policy on Urban Street Vendors, 2006 c. Comprehensive legislation for Minimum Conditions of the Workers and Social Security for the unorganized Workers, d. Condition of Workers and Promotion of the livelihood in the unorganized sector, e. Financing of enterprises in the unorganized Sector and Creation of a national Fund for the Unorganized Sector. According to NCEUS The unorganized workers are those who are not legally protected in terms of work or dont have direct relationship between employer and employee or who are undocumented workers or who have low unionization and in India those who have salary below 6500 per month. E.g. unorganized organized workers are Agriculture workers, Artisans, waged workers both rural and urban, self employed workers, small scale workers, trade and service in urban area etc... Approximately there are 123 sections in unorganized workers.

By the time, from the part of Trade union, labour movements initiated the campaign for social security scheme for unorganized sector workers. More than that labour NGO group has been implementing welfare program for these group members.Some states of Indian with help workers organizations also having some welfare schemes for unorganized workers . These success stories or models become a diverging force for mobilization the concept of social security for unorganized workers by NCEUS. After a long discussion both in parliament and outside parliament , on May 16, 2009 much awaited unorganized Sector Workers Act 2008 came to exist, which is being further improved as a result of workers organisations follow up. This Act gives the provision to have social security schemes for unorganized workers under state and central government. The mechanism for implementation of the act through welfare boards under central and state governments, and set up workers facilitation center with help of labour movements or Trade unions in order to register workers panjchyath and district for the designed welfare schemes. With regards to organizations of workers would be movement, Trade union, Forums, work place organization, sectional organization ,self employed peoples organization, cooperative societies, self help groups and NGOs etc . In India according to conventional understanding when we think of labour policy and workers voice to be heard or to become governments agenda workers organization should be registered as trade unions. As trade union only have provision for tripartite representation in labour conference, board and International Labour Organization. Recently formed central unorganized workers board constitutes only trade unions leaders as representative of workers. Surprisingly in India the 11 national level trade unions targets only 8 % workers of the organized group. Rest 93 % of workers is left uncared. They are unorganized workers. Out of the 11 national trade unions most of them are being controlled by political parties. Very few unions are based on non political support. According to 1999 Labour Year book there are 64817 trade unions in India. It would be central, state, local. The members of trade unions all together are only 6407000. Only 8152 trade union regularly submits their returns. It is clear that in India the voices of unorganized workers are not heard in labour scenario. Large majority of work force are kept out of the process of labour policy making, legislations and welfare programs for labour class. There is a huge disparity between the rich and poor labour class- organized and unorganized working class.

The main issues of the unorganized sector workers are Lack of Labour law enforcement and Lack of Social Security, which lead work in unorganized sector being treated undignified ,wherein lose work culture. Our country need to have a new approach for the formation of National labour policy and program .It should be made by taking into account the interest of whole working class of the nation ,who are the pillars of development ,though they work at grass root level. We should encourage labour unions which hold a balanced view on both protection of rights and welfare measures of all workers including those in unorganized sectors .This attitude will help to create a new work culture and uphold the dignity of all sections of working class. It is high time for the Trade Unions to change their attitude in organizing working class. We should encourage the labour movements which uphold balance view of both protecting rights and welfare workers without excluding unorganized workers. This attitude will help to create a new work culture and uphold the dignity of all sections of working class. Catholic Bishops Conference of India CBCI Commission for Labour encourages initiatives in many ways. The Workers India Federation (WIF) and its affiliated movements make a role model in this regard.This will strengthen the process of organizing the unorganized working class and will be a great example for the inclusive development approach for nation building. We urge the leaders of the country and the privileged sections of the society to stand up for the rightful rights of our brethren in the unorganized sector. Let us all work together to strengthen our nation by ensuring social justice and security for the much exploited unorganized labour class. Fr. Jose Vattakuzhy Secretary CBCI Labour Commission & Director WIF Workers India Federation CBCI Center,I Ashok Place New Delhi,110001,India Phone : 011-23362907 [email protected]

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