NEW DELHI: There is "disappointment" at the National Commission for Enterprises in the Unorganised Sector (NCEUS) as its draft Unorganised Sector Workers Social Security Bill, 2006 was "outright rejected" by the Centre. Instead, it on Thursday approved legislation, which envisages the setting up of a National Advisory Board that would from time to time recommend welfare schemes for unorganised workers.

The proposed law "is just a statement of intent because the board could have been set up even without legislation," according to a commission member. The commission believes that the move is an "ideologically driven position to suit the liberalisation constituency to which the Prime Minister has also agreed."

Chaired by Arjun Sengupta, it was constituted in 2004 to fulfil the United Progressive Alliance Government's commitment under the national common minimum programme (NCMP) for an umbrella legislation to provide social security cover to 93 per cent of workers in the unorganised sector.

The commission's recommendations on social security, including health insurance and other schemes, "focussed on improved welfare of all unorganised workers through the provision of a modest package of protective social security steps," the member said.

But the Bill prepared and cleared by the Cabinet only constitutes an advisory board to design suitable welfare schemes. There is no goal or time frame; the legislation conceptualises different schemes for different segments of workers, which the government may formulate from time to time and there is no obligation on its part to provide any package of measures, says the member.

Importantly, the Bill does not create any legal entitlement for workers (unlike as in the National Rural Employment Guarantee Scheme) or legal liability for any stakeholder, including the government, for ensuring social security. The commission says the NCEUS carefully considered whether it should adopt the occupation-wise approach or a universal approach in its bill. It rejected the former, as a significant percentage of informal workers moves from occupation to occupation and migrates. If the Centre finances different levels of "minimum" social security for various occupations, there will be an endless possibility of leakage; also there will be administrative nightmare, says the member.

While the NCEUS carefully considered the deficiencies of earlier proposals, as well as the goals of the UPA Government, the current proposal seems only to be a response to perceptions of financial exigencies. In this context, the commission already suggested that the Bill be implemented in a phased manner.

Political mileage

Also, it is perceived that the government failed to derive political mileage by not accepting the commission's draft bill prepared for the class of people which actually votes.

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