core sector communique

Mallikarjun Kharge Exhorts G 20 Labour Ministers to Pursue A Job Rich Growth Policy 

G 20 Labour Ministers Constitute A High Level Inter- Ministerial Working Group on Youth Employment
Union Minister of Labour & Employment Shri Mallikarjun Kharge has emphasized that employment should be at the heart of all growth strategies for a sustainable recovery from the recession. He was addressing the G 20 Labour Ministers Conference at Paris today. The Conference is being attended by Labour & Employment Ministers from all the G 20 countries who are discussing ways and means of tackling the global unemployment problem continuing since the economic recession.

He mentioned that though world economy has improved from the financial crisis, yet the global job crisis is not over. The crisis could aggravate if adequate steps are not taken. Shri Kharge smentioned that Indian economy has grown at a rate of more than 8 per cent during the last five years. However, it has to overcome significant external and internal challenges for maintaining a projected growth rate of 9 per cent.

Shri Kharge emphasized that despite global slowdown, India has not only maintained its employment standards but also succeeded in reducing unemployment from 8.3% in 2004-05 to 6.6% in 2009-10, which is a major achievement. This is due to the success of public employment policies and various stimulus measures initiated in response to the crisis and the recovery.

He said that quality employment is the foundation of Government of India’s vision for growth. Decent work and employment are not merely outcomes, but drivers of economic growth. Such an approach requires mitigation of barriers to access, based on education, gender and social inequalities in the labour market and increasing employability through skill development.

He informed the G 20 that Government of India has initiated number of innovative active labour market policies based on the rights and entitlements of the workers. Major policy interventions are the Mahatma Gandhi National Rural Employment Guarantee Act 2005 (MGNREGA), for gainful employment of the marginalized in rural areas and the Unorganized Workers’ Social Security Act 2008. He further said that India has benefitted 50 million households by giving them 100 days of guaranteed wage employment per year.

Shri Kharge said that India’s demographic dividend can be best harnessed by significantly enhancing the levels of skills among workers. A target of creating 500 million skilled workers by 2022 has been set by expanding vocational training institutions and their capabilities, addressing the skill needs of the disadvantaged and introduction of short-term modular courses.

He shared India’s concern for social security issues and its commitment to ensuring coverage to all. He informed the G 20 that India is moving from scheme-based approach to rights-based entitlements in the area of social security.

He mentioned that India had enacted the Unorganised Workers Social Security Act 2008 providing benefits in health, maternity, death, disability and old age. A National Social Security Fund has also been set up for this purpose. He further said that the National Health Insurance Scheme (RSBY) has made a tremendous impact by providing Below Poverty Line workers a smart card-based cashless health insurance scheme.

He shared with G 20 Ministers that India is one of the few countries which has launched massive schemes such as MGNREGA, RSBY, Public Distribution System, Mid Day Meal, Right to Education, Right to Information and many others to ensure employment, social security, health insurance and empowerment of the people through information and education.

During the meeting the G 20 Labour Ministers decided to constitute a High Level Inter-Ministerial Working Group with adequate representation from International Financial Organizations to work out global strategies for solving the youth unemployment problem. They also adopted a resolution for encouraging the concept of social protection floor for providing succor to the vulnerable sections of the population. They urged the need for a policy coherence framework for all the multi-lateral organizations for working a growth strategy with full employment.

The Conference was also addressed by Director-General, ILO, Mr. Juan Somavia and Secretary-General, OECD, besides senior officials from IMF and World Bank. A Meeting of International Organizations of Trade Unions and Employers Organizations was also organized along with the Conference.