SAFETY, SOCIAL SECURITY AND SKILL DEVELOPMENT

Transcription

1 SAFETY, SOCIAL SECURITY AND SKILL DEVELOPMENT Presented By Sh. B. K. Sahu Former Insurance Commissioner, ESI Corporation, MoL, Govt. of India. Communication Advisor, IRDAI.

2 Background One day, a senior officer dealing with policy formulation expressed anxiety over low wages and low productivity in our country which is really a cause of concern both towards poverty alleviation and economic development of the Nation.

3 Few facts which are existing in our country 90% of the working population is in unorganized sector Maximum contractualization of jobs in factories and establishments Huge migration of labour force from one job to another job in the same city and in the same State 70-80% of the labour force are earning less than or at minimum wages fixed for different sectors of employment.

4 Contd Only 20% are somehow covered in one insurance scheme or other resulting in maximum 70% spent by people as out of pocket expenditure towards health care. Keeping in view the above factual position in view, one essential element in tackling all the above pathetic scenario is provision of social security which perhaps is the key to bring better health care, productivity and economic development of the country as a whole.

5

6 Safety- The Present Scenario in India 403,000 people in India die every year due to work related issues There are 46 deaths every hour 9 out of every 100 employees meet with work related accidents annually Fatal accident frequency rate in the construction sector is 15.8 per 1000 employees against 0.23 in USA Every 2 minutes a person dies in a road accident. 3% of total GDP is lost annually The Scientific World Journal (Studies on labour safety in construction sites) 16% of fatal global occupational accidents involving construction sector

7 Skill Development- The Present Scenario in India It is estimated that only 2.3% of the workforce in India has formal skill training compared to 68% in the UK, 75% in Germany, 52% in US, 80% in Japan and 96% South Korea. 62% of India's population is in the working age group (15-59 years), and more than 54% of the total population is below 25 years of age. To reap this demographic dividend which is expected to last for next 25 years, India needs to equip its workforce with employable skills and knowledge so that they can contribute substantively to the economic growth of the country. Our country presently faces a dual challenge of paucity of highly trained workforce, as well as non-employability of large sections of the conventionally educated youth, who possess little or no job skills.

8 The 5 Common Myths Myth Workers solely are responsible for accidents Reality Employers are primarily responsible for ensuring safety in their organizations. Safety culture is set by them Myth It won t happen to me Reality Accidents can happen to anybody, at any time and for any reasons, particularly due to carelessness, overconfidence and management system failures among others

9 The 5 Common Myths contd.... Myth Zero accidents Its not possible Reality It s a mindset. All accidents can be prevented through proper planning, implementation and training Myth Safety means PPE (Personal Protective Equipment) Reality PPE is important but is at the bottom rung in the risk control hierarchy. Elimination, Engineering, Substitution and Administrative controls are more effective and are preventive in nature

10 The 5 Common Myths contd.... Myth Health & Safety costs negatively impact the profitability and therefore should be avoided Reality Unhealthy & de-motivated employees negatively impact productivity. Accidents and injuries result in loss of profits and adversely impact the brand image. It is also punishable by Law. If you are an influencer in your company, change these misconceptions NOW, lead from the front, lead by example

11 Safety is a Cultural Issue Safety is a mind set. It is reflected in our behaviour

12 Skill Development How this can be achieved is the subject of this presentation by relating to skill development through social security. Most of the contract workers are shifting from one job to another job, lacking required skill in the jobs and resultant low productivity and low wages to the advantage and disadvantage for the industries advantage in the sense of low wages and disadvantage in for form of lack of qualitative productivity to compete in the market.

13 Contd.. It is not far to find out why such workers are shifting jobs by linking with the availability of social security for such workers. With total lack of any health care and minimum compensation in case of sickness, injuries and death including unemployment, the workers tend to switch jobs frequently.

14 Contd. Just think of a situation where a worker is assured of health care and cash benefits in the course of his employment both for himself and family members, it will be seen that such workers hardly change jobs unless there is other personal reasons. This is the key indicator to stress the issue of skill development involving workers who hitherto have been changing jobs at a drop of hat.

15 Social Security By providing minimum social security in the form of health care and cash benefit, the worker continue in the same job and in the process the owner/ the management will be inclined to invest in developing skill of such workers over a period of time e.g. if he is an electrician, by sending him to further training to Industrial Training Institutes (ITI) and likewise many other trades available in the country.

16 Contd. With such skill development, the workers not only feel secured as far as their working conditions are concerned but in the process contribute for higher productivity and profitability of the factory/ establishment.

17 Outcome What a significant result it will be for the economy and to the Nation as a whole if skilled workforce could bring a paradigm shift in quality and quantity of products and in the process the present day flooding of Chinese goods, which are affecting the Indian market, will be a thing of the past.

18 Contd Let me, thus, impress on the representatives of factories and establishments in ensuring coverage under social security laws like ESI, EPF & Jan Suraksha Scheme, besides minimum wages, safety and skill development at work place so that the workers get benefit of secured future, the entrepreneur a better productivity and profitability, less industrial unrest resulting in better working environment and last but not the least a secured society for all.

19 Contd Accordingly, safety, social security and skill development may be looked into by industrial houses, trade unions and planners like DGFASLI (Govt. of India) for achieving the goal of safety, skill development and social security of workers and taking India to a developed economy by 2030.

20 The Factories Act 1948 The principal statute which deals with safety, health and welfare of Workers in factories. Objective - The main objective of the Indian Factories Act, 1948 is to regulate the working conditions in factories. The act has provisions with respect to: a) Employee health and safety, b) Hours of work c) Sanitary conditions and wholesome work environments d) Employee welfare e) Leave with wages, etc. Applicability - It is applicable to all factories using power and employing 10 or more workers and if not using power, employing 20 or more workers on any day of the preceding 12 months. Main provisions of Factory Act 1948 Compulsory approval, licensing and registration of factories Health, Safety & Welfare measures Working hours Employment of women and young persons Annual leave provision Accident and occupational diseases Dangerous operations Penalties Obligations and rights of employees

21 Building & Other Construction Workers(Regulation of Employment & Conditions of Service) Act BOCW Objectives To Regulate the Employment & Conditions of Service To Provide for Safety, Health & Welfare measures To give the building & Construction Workers Social Security Applicability Every establishment which employs 10 or more workers or had employed 10 or more workers on any day of the preceding 12 months directly or through a contractor/sub-contractor in any building/construction work Main provisions under the BOCW (total XI chapters) Chapter IV Safety & Health Measures General Provisions Safety Organization ( Safety Committee, Safety Officers, reporting of accidents etc.) Medical facilities Power of appropriate Govt. to make Rules for safety and health of building workers

22 Reforms in Place From Jan Dhan To Jan Suraksha (Financial Inclusion to Social Security)

23 Jan Suraksha Schemes Features PMSBY: 1. Age group from Premium INR.12 per Annum ( $ 0.18 ) 3. Death Cover, Permanent Disability due to Accident PMJJBY: 1. Age group from Premium INR.330 per Annum ( $ 5.04) 3. Life Cover ( INR 2Lakh $ ),and Death Cover (INR $458.87) APY: 1. Age group from Contribution INR.42 ($0.64) to INR 210 ($3.21) per month 3. Pension INR 1000 ($15.3) to INR 5000 ($76.48) age of 60 years per month 4. The Central Government would also co-contribute 50% of the total contribution or Rs per annum, whichever is lower, to each eligible subscriber account, for a period of 5 years, i.e., from Financial Year to , who join the NPS between the period 1st June, 2015 and 31st December, 2015 and who are not members of any statutory social security scheme and who are not income tax payers.

24 Holistic & Practical Trainings play a vital role in Skill Development Certification Using the right techniques, right equipment & right tools with right behavior Golden Rules 5

25 Attitude Is Everything Change Your Attitude. And You Change Your Life!!!

26 ATTITUDE A+T+T+I+T+U+D+E = 100% It is OUR ATTITUDE towards Life and Work that makes OUR Life 100%!!!

27 For Safe India, Secured India, Skill India In any organization, Safety must start with the Top Management and therefore is a Boardroom Topic. Health & Safety have to be made an integral part of business. Safety is a mindset and therefore, we in India have to change our mindset if we want to come out of our dubious position of having one of the highest number of accidents globally. A holistic safety training program is the need of the hour and must be an integral part of the Skill Development initiative launched by the present Government. For Make in India & Skill Development initiatives to succeed, health & safety will have to be accorded top priority. A huge opportunity for knowledge sharing and professional training between India and Germany

28 Food For Thought LET US DO SOMETHING TO WIPE OUT TEARS FROM THE EYES OF THE POOR M. K. GANDHI, THE FATHER OF NATION

29 Former Insurance commissioner, ESI Corporation, Govt. of India & Communication Advisor, IRDAI VIEWS EXPRESSED ARE PERSONAL