Thank You, Shri Jayant Sinhaji

 Thank You, Shri Jayant Sinhaji

 

 

 

Context :

PM’s economic advisory panel proposes urban job guarantee scheme  /  IE  /  19 May 2022

 

Extract :

 

Ø With income inequality in the country becoming starker, the Economic Advisory Council to the Prime Minister (EAC-PM) on Wednesday proposed implementing an urban employment guarantee scheme on the lines of the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS).

 

Ø The clamour for an urban jobs scheme has been growing louder in recent times with increasing income inequality and job losses. Experts said an urban-focused employment guarantee scheme will go a long way in supporting consumption.

 

 

Ø Talking to this newspaper earlier this year, BJP MP and chairman of the parliamentary committee on finance Jayant Sinha had said that a scheme like MGNREGA for urban informal sector workers could be designed with the help of digital infrastructure that the government has already built.

 

Ø The EAC-PM also recommended that raising minimum income and introducing a universal basic income are some of the measures that can reduce the income gap and facilitate equal distribution of earnings in the labour market.

 

 

 

MY  TAKE  :

 

 

Thank You, Shri Jayant Sinhaji

 

 

Although I have some “ reservations “ re the feasibility of a Universal Basic Income - UBI - Scheme ( for my reasons, read my earlier e-mail listed below ), I am glad that your parliamentary

 

committee has accepted my suggestion for Urban Employment Guarantee Scheme , described at :

 

 

Ø MGNREGA : Can it morph into UBI ? ………………………[ 11 May 2020 ]

 

 

Extract :

 

Solution :

 

           Ø  MGNREGA should be re-named, MGNRUGA ( Mahatma Gandhi National Rural Urban Employment

                Guarantee Act )

 

           Ø  Besides RURAL households, it should cover URBAN households as well

 

           Ø  Besides “ Unskilled Manual Work “, it must also cover “ Semi-skilled / Skilled “ work as well

 

           Ø  The daily wages payable, must be the “ Minimum Wage “ at the start of each Skill level grade and

                periodically revised upward, depending upon CPI

 

           Ø  Number of “ Guaranteed Days of Work Employment / year “ should be :

 

              #  Rural Areas ………………….. 300 days ( up from current 100 days )

 

              #  Urban Areas :

                                      Class II towns ………………… 200 days

                                      Class I Cities……………………  100 days

 

 

          Ø  On MGNRUGA website , there will be provision for,

 

         #  Jobless persons to register ( providing full personal data / job locations preferred / Skill level /

               prior experience etc )

 

         #  Companies / Establishments to register , providing full details of vacancies

 

         #  Match-making / Allocation etc

 

 

     Ø  If an Urban establishment provides work to any of the REGISTERED UNEMPLOYED referred by

          MGNRUGA web site, it will not be required to pay wages ( to those  persons ), for periods

          mentioned above

 

 

              For them, the wages will get paid directly by the Ministry subsidizing , at rates prescribed under

              the Act ( DBT ) . Any wages paid in excess , will have to be borne by the establishment concerned

 

 

              This “ Wage Subsidy “ will be available ONLY to those establishments, who install in their

              premises, Mobile-based Attendance System , as described at :

 

 

          From BAD to MAD                   [ 01 June 2016 ]

 

         MAD goes to Mandi                  [ 02 Jan 2020  ]

 

HOW WILL THIS HELP ?

 

Ø  This modification of Scheme will cover jobless persons, all over India – not only Rural India

 

Ø  The scheme as it stands now, covers “ works “ related only to ,

             #   Soil and Water Conservation

             #   Ground Water Recharge

             #   Irrigation

             #   Drainage

             #   Plantation

             #   Land……. Etc

 

           My suggestion will extend the scheme to cover urban offices / factories / shops etc , where millions

          have been rendered jobless due to lockdown

     

 

Ø    Current rural schemes have to be monitored by govt officers / panchayat office-bearers, who may lack

       supervision skills and / or lack “ motivation “ to ensure that each MGNREGA worker puts in honest /

       hard / productive work, at the end of the day !

 

             As against this, when organized / profit driven establishments ( in Urban setting ) are supervising

             such workers, productivity of “ Asset Generation “, will be very high !

 

            { Read : https://myblogepage.blogspot.com/2017/11/discovering-obvious.html  }

 

 

           Ø  Because of this Wage Subsidy ( better name it CORONA EMPATHY – so as not to run foul of WTO ) ,

 

               MSME will revive faster, with less worry for Cash Flow . Products will become cheaper

 

 

           Ø  By providing jobs and enabling people to earn their own living , there will be no need for Delhi-type “

               doles “ – which are unsustainable in long run

 

 

           Ø  This ( scheme ) overcomes the major objections against UBI ( Universal Basic Income ), viz :

 

            #  How to decide whom ( defining “ poor “ is difficult ), to give UBI

 

            #  People will become too dependent on “ Sarkar Maa-Baap “ and become lazy / stop looking for work

 

 

           Ø  It is better than the Unemployment Allowance of USA ( now for 33 million persons, sitting at home )

 

 

 

Dear Shri Narendrabhai,

 

It is time to think about a PERMANENT SOLUTION to this problem of UN-EMPLOYMENT { even beyond COVID }

 

Please consider my suggestion

 

 

 

With regards,

 

Hemen Parekh  / hcp@RecruitGuru.com / 20 May 2022

 

Related Readings :

 

PM’s Economic Advisory Council bats for universal basic income, urban job guarantee scheme / FE / 19 May

Extract :

 

The report titled “ The State of Inequality in India ”, prepared by the Gurgaon-based Institute for Competitiveness, was released by EAC chairman Bibek Debroy.

The latest report called for raising minimum income and ensuring better distribution of earnings in the labour market.

“Looking at the difference between the labour force participation rate in rural and urban areas, it is our understanding that the urban equivalent of schemes like MGNREGS that are demand-based and offer guaranteed employment should be introduced so that the surplus-labour is rehabilitated,” it said.

 

My earlier E Mails in this matter :

 

Ø Providing Jobs : a Fundamental Right ? ………………………….[ 07 June 2020 ]

Ø Urban Poor : Existence Admitted ! ………………………………….[ 21 June 2020 ]

Ø Conditions ( must ) Apply ! ……………………………………………..[ 14 July 2020 ]

Ø How to Alleviate Urban Poverty………………………………………. [ 10 Sept 2020 ]

Ø Thank You, Shri Mahtabji  ………………………………………………..[ 09 Aug 2021 ]

Ø Thank You , Shri Sanjiv Mehta ………………………………………….[ 24 Jan 2022 ]

Ø Better / Faster than interlinking of Rivers ? ……………………..[ 02 Feb 2022 ]

Ø Thank You, Shri Gehlot : On behalf of URBAN poor …………[ 02 Mar 2022 ]

Ø e-Shram can provide jobs to Unorganized Workers ? ……..[ 26 Aug 2021 ]

Ø World’s Biggest “ Resume Database “ ?......................... [ 25 Apr 2022 ]

Ø  Thank You, Shri Amitbhai Shah ………………………………………..[ 09 May 2022 ]

 -------------------------------------------------------------------------------------------------------------------

Members of PM – EAC :

 

 

 

DR. BIBEK DEBROY

Chairman

bibek.debroy@gov.in

SHRI K. KRISHNA RAO

PPS

kk.rao@gov.in

SHRI ADITYA SINHA

Addl. P.S

aditya.sinha1@gov.in

DR. SANJEEV SANYAL

Member

 

MS. JYOTI MIRANI

PPS

 

MS. VIJAYA MENON

PPS

 

SHRI PAWAN KUMAR SAIN

Joint Secretary

js.eacpm-niti@gov.in

SHRI MANU RAM TUDU

PPS

manu.tudu@nic.in

DR. SADANAND BARNWAL

Joint Director

 

SHRI G. NAGARAJAN

Under Secretary

g.nagarajan@gov.in

SHRI CHIRAG DUDANI

Assistant Consultant

chirag.dudani@nic.in

SHRI JAYASIMHA K.R

Assistant Consultant

jayasimha.kr@gov.in