Lok Sabha Question No. 4572 (UNSTARRED), answered on 2019-07-22
Subject: Unorganised Sector in Tamil Nadu
Ministry: LABOUR AND EMPLOYMENT
Asked by: Ganesan Selvam

## GOVERNMENT OF INDIA MINISTRY OF LABOUR AND EMPLOYMENT LOK  SABHA

## UNSTARRED QUESTION NO. 4572 TO BE ANSWERED ON 22 ND  JULY, 2019

## UNORGANISED SECTOR IN TAMIL NADU

4572. SHRI SELVAM G :

Will the Minister of LABOUR AND EMPLOYMENT be pleased to state:

- (a) the details of number of persons who are employed in the unorganised sector in Tamil Nadu during each of the last three years and the current year;
- (b) the details of  Industry-wise  distribution  of  workers  in  the  organized  and unorganized sectors in the country especially Tamil Nadu;
- (c) whether the  Government has taken steps to move workers from the unorganized sector to the Organized sector; and
- (d) if so, the details thereof and if not the corrective steps taken by the Government in this regard?

## ANSWER

## MINISTER OF STATE (IC) FOR LABOUR AND EMPLOYMENT (SHRI SANTOSH KUMAR GANGWAR)

(a): As per the results of Periodic Labour Force Survey (PLFS) conducted by National Sample Survey Office, Ministry of Statistics and Programme Implementation during 2017-18, the percentage of workers engaged in informal sector (i.e., proprietary and partnership enterprises) in usual status basis (principal status+subsidiary) engaged in non-agriculture and AGEGC sectors(The coverage of AGEGC Sector is [Ag]riculture sector [E]xcluding [G]rowing of [C]rops, market gardening, horticulture and growing of crops combined with farming of animals)was 68.4% in the country  and 60.0% in Tamil Nadu.

Further, as per the results of Periodic Labour Force Survey (PLFS) and annual employment-unemployment surveys conducted by Labour Bureau, Ministry of Labour and  Employment,  the  estimated  Worker  Population  Ratio  (for  both  Organised  and Unorganised Sector) on Usual status (principal status+subsidiary) basis for persons aged 15years and above  to the extent available is  given below:

| State      | PLFS    | Survey by Labour Bureau   | Survey by Labour Bureau   |
|------------|---------|---------------------------|---------------------------|
|            | 2017-18 | 2013-14                   | 2015-16                   |
| Tamil Nadu | 51.0%   | 58.3%                     | 56.3%                     |

(Note:  Survey  methodology  and  sample  selection  are  different  in  PLFS  and  Labour Bureau survey).

- (b):  As  per  PLFS  survey  the  percentage  distribution  of  usually  working  persons (ps+ss) by industry of work (both organised and unorganised sector) in the country and Tamil Nadu is given below:

(in %)

| Sl.No.   | Industry                            | PLFS 2017-18   | PLFS 2017-18   |
|----------|-------------------------------------|----------------|----------------|
|          |                                     | Tamil Nadu     | All India      |
| 1        | Agriculture                         | 27.74          | 44.14          |
| 2        | Mining & quarrying                  | 0.37           | 0.41           |
| 3        | Manufacturing                       | 19.45          | 12.13          |
| 4        | Electricity, water, etc.            | 0.87           | 0.59           |
| 5        | Construction                        | 14.23          | 11.67          |
| 6        | Trade, Hotel & Restaurant           | 13.88          | 11.96          |
| 7        | Transport, Storage & Communications | 8.71           | 5.92           |
| 8        | Other Sevices                       | 14.75          | 13.18          |

Source: Periodic Labour Force Survey (PLFS), 2017-18, M/o Statistics &  Programme Implementation.

- (c) & (d) Employment generation coupled with improving employability is the priority concern  of  the  Government.  Government  has  taken  various  steps  for  generating employment in the country like encouraging private sector of economy, fast tracking various projects involving substantial investment and increasing public expenditure in various schemes.

Pradhan  Mantri  Rojgar  Protsahan  Yojana  (PMRPY)  has  been  launched  by  the Ministry  of  Labour  and  Employment  for  incentivising  employers  for  promoting employment generation. Under this scheme, Government is paying entire employer's contribution  (12%  or  as  admissible)  towards  EPF  and  EPS  for  all  eligible  new employees for all sectors for 3 years.This scheme has a dual benefit, where, on the one  hand,  the  employer  is  incentivised  for  increasing  the  employment  base  of workers  in  the  establishment,  and  on  the  other  hand,    these  workers  will  have access to social security benefits of the organised sector. The scheme aims to cover a  large  number of informal workers to the formal workforce for availing the Social Security Benefit.  In order to provide social security benefits to the workers in the unorganized  sector  including  workers  in  agriculture  sector,  the  Government  has enacted  the  Unorganized  Workers'  Social  Security  Act,  2008.  This  Act  stipulates formulation of suitable welfare schemes for unorganized workers on matters relating to:  (i)  life  and  disability  cover,  (ii)  health  and  maternity  benefits,  (iii)  old  age protection and  (iv) any  other  benefit  as  may  be  determined  by  the  Central Government.  Life  and  disability  cover  is  provided  through  Pradhan  Mantri  Jeevan Jyoti BimaYojana (PMJJBY) and Pradhan Mantri Suraksha Bima Yojana (PMSBY) to the  unorganized  workers  depending  upon  their  eligibility.  Government  of  India  and State Governments pay the annual premium in equal share without any burden on the beneficiary.

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