Labour Day spotlights imperative need to ensure social protection of India's informal sector and migrant workers

“In the second wave, ensuring access to quality public health is imperative. But in the backdrop of the current crisis, where the livelihood of informal workers has been hit the hardest, it is pertinent, now more than ever, to implement the protective social security measures for the 450 million informal workers,” says Amitabh Behar, CEO Oxfam India.

Across India, May 1st (Labour Day) commemorates the labour movement and the rights of crores of workers in India. However, in the throes of a deadly second wave of the COVID-19 pandemic, their plights demand the most attention, as the country witnesses a complete collapse of the healthcare system. The poor are once again being pushed further into uncertainty and abject poverty. In this wave not only are they bearing the brunt of a failed healthcare system, they are also going to face massive economic strain.

Though Prime Minister Narendra Modi in his address to the nation said that, ‘a nation-wide lockdown will be the last resort’, the sporadic curfews and lockdowns have triggered the exodus of informal sector migrant workers from cities to their villages once again.

According to the Ministry of Labour and Employment, in the first wave after the lockdown was announced on 24 March 2020, 1.23 crore informal sector migrant workers returned to their home states. 

Though the government announced a Rs 20,000 crore Atmanirbhar package in May last year for farmers, cottage industries, MSMEs, labourers, and the middle class but there was very little in it for the migrant and informal sector workers. In the last few months and even in the budget for that matter, have not seen immediate response for the informal sector workers. There are 45 crore informal sector workers in the participating labour force. 

Many migrants did return to the destination states for work during last year and earlier this year. A recent study by ICRIER in collaboration with the Inferential Survey Statistics and Research Foundation (ISSRF) shows that although the migrant’s household income has increased after remigration to their destination places, there is still a contraction of 7.7 per cent in their income relative to the pre-lockdown level. Another lockdown will upset the momentum of recovery. If migrants decide to return to their native place, as many already have, their household income could drop by more than 80 per cent, a repeat of 2020.

It is evident that second COVID-19 wave will leave a huge economic dent on the informal sector migrant workers. While we acknowledge the Atmanirbhar package, Oxfam India strongly believes that there is an urgent need to streamline the ongoing social security schemes to support the informal sector migrant workers.

From immediate cash transfer to free health services, from ensuring uninterrupted Public Distribution to providing MGNREGA work (once the migrants return) are some of the ongoing schemes, which if well implemented can bring relief to informal and migrant workers.

Given the health and humanitarian crisis we are in, these are first few immediate measures that the Central and State governments should take:

Tracking of all returnee migrants in their source states: This requires a coordination between Labour, Health and Social Welfare Departments to function together. With the record available the government can assess their needs and provide them COVID testing free of cost and on priority.

Immediate cash transfer of INR 5,000: This will help returnee migrants and informal workers who have lost their jobs during the second wave. 

Arrange isolation centres: These should be set up for all returnee migrant workers with adequate supplies of food and water, and proper provision of electricity and gender-segregated toilets.

Adequate and safe shelter facility: This will ensure that those workers who have to stay back at their worksites till they get any transport facility to return or adequate budget to afford transport cost, are safe.

Strengthen violence services in the states: Reports from last year showed a spike in domestic violence cases and cases of harassment of women and girls who were in transit or stranded at workplaces. The state should extend services to respond to such violence and widely circulate information related to crisis helpline numbers and strengthen service providers through government-civil society collaboration.

As intermediate and long term measures, the government should:

Provide uninterrupted universal coverage of the Public Distribution Centre: Families will be rendered without jobs and money and this step is key to ensure food  security to the most marginalised and vulnerable. Those without ration cards should be included as well. Food and nutrition supplements should be made available for children and pregnant mothers at Anganwadi centres. Since National Disaster Management Act is in force schools are required to take the migrant children in. In West Bengal, government schools are distributing dry food ration to children of the age group of 6–14 year once in a month. This scheme should be introduced in states where migrants and their families are returning, making their children eligible for the same. 

Uninterrupted continuation of social security pension schemes: Widow pensions and senior citizen schemes should continue unabated and the government should set up a functional helpline number with designated persons/teams at the block, panchayat and municipality levels.

Increase allocation to MGNREGS: Allocation for MGNREGS should be enhanced from Rs 73,000 Cr to Rs 1,50,000 Cr so that the migrant returnees are absorbed in the rural employment. This will save the large number of migrant workers from the poverty trap and food insecurity.

Create a database of migrant and informal sector workers: This should be through a decentralised governance system and should have gender disaggregated data along with caste and age information. We propose Panchayat and Municipality wise data base of migrant and informal workers which will help in assessing their requirements.

“In the last year, we have learnt how ‘powers to panchayats’ practiced by Odisha resulted in excellent management of COVID-19. Jharkhand Government had set up a Migration Collab in collaboration with Civil Society Organizations which tracked and supported migrants from Jharkhand in various other states. A database will help frame actions in favour of informal sector workers and migrants,” says Ranjana Das, Lead, Private Sector Engagement.

“In the second wave, ensuring access to quality public health is imperative. But in the backdrop of the current crisis, where the livelihood of informal workers has been hit the hardest, it is pertinent, now more than ever, to implement the protective social security measures for the 450 million informal workers,” says Amitabh Behar, CEO Oxfam India.

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