Rework social security code for informal workers
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It needs to be simplified, avoiding multiple authorities and allowing for seamless integration of existing State-run schemes
The Code on Social Security 2020 (SS Code) was passed in Parliament in September 2020 and obtained presidential assent. Thankfully, its implementation has been postponed due to States not issuing notifications. Now, due to the Covid crisis, implementation of all the four new Codes on labour is to be postponed to next year. This is good, since there are many problems with the Codes, especially the SS Code.
The SS Code, once in place, will merge eight existing labour laws including Employees’ Compensation Act 1923, Employees’ State Insurance Act 1948, Employees’ Provident Funds and Miscellaneous Provisions Act 1952, Maternity Benefit Act 1961, Payment of Gratuity Act 1972, and Unorganised Workers’ Social Security Act 2008.
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A screenshot of a LinkedIn post by ISB gold medalist Sarthak Ahuja has recently gone viral on WhatsApp and other social media with a claim that if someone with active employment passes away due to COVID-19, his or her legal heirs are eligible to receive money up to Rs7 lakh under the Employee Deposit Linked Insurance (EDLI) scheme.
If you know anyone who has passed away due to COVID-19 and was inactive employment, their family and legal heirs may be eligible to receive a minimum of Rs2.5 lakh and max up to Rs7 lakh (updated Sep 2020) under the Employee Deposit Linked Insurance (EDLI) Scheme. If they were covered under PF with the EPFO, they were by default signed up for this life insurance cover. The legal heirs may have to file a Form 5 IF with the EPF Commissioner, countersigned by the employer, the viral message reads.
NEW DELHI: Workers seeking benefits under the government s new social security code will be mandated to share their Aadhaar details with the labour and employment ministry, according to new rules notified by the labour ministry on Tuesday.
Labour secretary Apurva Chandra clarified on Wednesday that while the new rules has legally empowered the ministry to collect Aadhaar details from all beneficiaries who sign up to receive services or payment through various schemes under the Social Security Code 2020, no benefit will be denied to workers due to the absence of Aadhaar , at least until such time that the rules under the Social Security Code are notified.
Labour Ministry gets mandate to seek Aadhaar from beneficiaries under Social Security Code
The main purpose of the latest mandate given to the ministry is to facilitate database creation, mainly covering people in informal sectors like migrant workers.
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NEW DELHI: The Ministry of Labour & Employment has now been mandated to seek the 12-digit unique identification number Aadhaar from people like employees and unorganised sector workers seeking registration, benefits, availing services or receiving any payment under various schemes under the Social Security Code 2020.
Aadhaar would not be made mandatory for delivery of services under various social security schemes under the purview of the ministry because Social Security Code 2020 has not been fully implemented so far.