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Introduction

India is home to one of the largest unorganized workforces in the world, encompassing workers from various sectors like agriculture, construction, domestic work, street vending, and more. For decades, the unorganized sector remained outside the ambit of social security, making workers vulnerable to economic and social insecurities. Recognizing this gap, the Government of India introduced the e-Shram Card, a pivotal initiative aimed at creating a comprehensive database of unorganized workers and providing them access to benefits and welfare schemes.

This article delves into the e-Shram Card’s objectives, registration process, benefits, challenges, and its potential to revolutionize India’s labor ecosystem.

Understanding the e-Shram Card

The e-Shram Card is part of the e-Shram Portal, an initiative launched by the Ministry of Labour and Employment in August 2021. This national database seeks to collect detailed information on unorganized workers across the country to provide them with access to social security schemes and ensure their welfare. The card serves as an identification tool, enabling workers to avail themselves of benefits seamlessly.

Key Features of the e-Shram Card:

  1. Unique Identification Number (UAN): Every registered worker receives a 12-digit UAN, which is unique and valid across the country.
  2. Accessibility: The e-Shram Card can be used to access a range of government schemes and services.
  3. Portability: Workers can avail of benefits even if they migrate to different states for employment.
  4. Free of Cost: Registration and issuance of the e-Shram Card are entirely free.

Objectives of the e-Shram Initiative

The primary aim of the e-Shram Card is to create a comprehensive database of unorganized workers to bridge the gap between them and the welfare schemes available. The major objectives include:

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  • Social Security: Ensuring workers’ access to social security benefits such as health insurance, accident coverage, pensions, and maternity benefits.
  • Data-Driven Policy Making: Using the database for crafting targeted policies for the welfare of unorganized workers.
  • Eliminating Exclusion: Bringing previously excluded segments into the formal economy.
  • Portability of Benefits: Allowing migrant workers to carry their benefits across states.

Who is Eligible for the e-Shram Card?

The e-Shram Card is designed for workers in the unorganized sector. The eligibility criteria include:

  1. Age Limit: Applicants must be between 16 to 59 years of age.
  2. Employment Type: Workers engaged in unorganized activities such as agricultural laborers, construction workers, domestic helpers, small shopkeepers, and street vendors.
  3. Exclusion: Workers who are taxpayers or members of EPFO/ESIC are not eligible.

How to Apply for an e-Shram Card?

The e-Shram Card registration process is straightforward and user-friendly, ensuring inclusivity. Workers can register online, at Common Service Centres (CSCs), or with the help of self-registration facilities.

Step-by-Step Registration Process:

  1. Visit the e-Shram Portal: Go to the official website www.eshram.gov.in.
  2. Aadhaar Linking: Ensure your Aadhaar card is linked to your mobile number for OTP verification.
  3. Personal Details: Fill in details like name, age, gender, occupation, and address.
  4. Bank Account Information: Provide your bank account details for direct benefit transfers.
  5. Declaration: Confirm the accuracy of the information and submit the application.
  6. UAN Generation: Upon successful registration, you will receive a 12-digit UAN along with the e-Shram Card.

Benefits of the e-Shram Card

The e-Shram Card promises numerous benefits, empowering the unorganized workforce to lead a more secure and dignified life.

1. Social Security Coverage

Registered workers are automatically enrolled in Pradhan Mantri Suraksha Bima Yojana (PMSBY), providing accident insurance of up to ₹2 lakhs.

2. Access to Welfare Schemes

Workers can seamlessly avail themselves of government schemes such as pensions, health insurance, and scholarships.

3. Financial Inclusion

Direct Benefit Transfers (DBT) ensure that monetary benefits reach workers’ accounts without intermediaries.

4. Job Security and Skill Development

The e-Shram database can be used to identify skill gaps and organize training programs, increasing employability.

5. Migrant Worker Support

The portability of benefits ensures that migrant workers are not excluded from welfare schemes when they move to different states.

Challenges and Limitations

Despite its transformative potential, the e-Shram initiative faces several challenges:

1. Low Awareness Levels

Many unorganized workers, especially in rural areas, are unaware of the e-Shram Card and its benefits.

2. Digital Divide

Limited internet access and low digital literacy hinder workers from registering online.

3. Data Accuracy and Privacy Concerns

Ensuring the accuracy of collected data and protecting workers’ privacy are significant challenges.

4. Administrative Bottlenecks

Streamlining coordination between states and the central government is crucial for the success of the initiative.

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Government Initiatives to Overcome Challenges

The government has taken steps to address these challenges:

  1. Awareness Campaigns: Grassroots-level campaigns to educate workers about the e-Shram Card.
  2. Decentralized Registration: Involving local authorities, NGOs, and self-help groups to facilitate registration.
  3. Simplified Processes: Making the application process simpler and accessible in multiple languages.
  4. Capacity Building: Enhancing infrastructure and workforce for the smooth implementation of the e-Shram initiative.

The Role of e-Shram in Nation Building

The e-Shram Card is not just a welfare initiative; it represents a step towards formalizing India’s unorganized workforce. By providing social security, promoting financial inclusion, and ensuring equitable development, the initiative contributes to:

  • Economic Growth: A secure and skilled workforce drives productivity and economic growth.
  • Poverty Alleviation: Social security benefits reduce vulnerabilities and lift families out of poverty.
  • Gender Empowerment: Women workers, a significant part of the unorganized sector, benefit immensely from this initiative.

Success Stories

Several workers across India have already reaped the benefits of the e-Shram Card. For instance:

  1. Migrant Workers: A construction worker from Bihar received financial aid for an accident while working in Delhi.
  2. Domestic Helpers: A domestic worker in Kerala availed of health insurance for a major surgery, which would have been unaffordable otherwise.

Conclusion

The e-Shram Card is a transformative initiative that bridges the gap between unorganized workers and the social security net. It is a step toward recognizing the invaluable contribution of this workforce to India’s economy. However, the success of this initiative depends on effective implementation, widespread awareness, and continued government commitment.

As India moves towards becoming a $5 trillion economy, empowering the unorganized sector through initiatives like e-Shram will ensure inclusive and sustainable growth. The e-Shram Card is not just a tool of welfare but a pathway to dignity, security, and better opportunities for millions of workers across the nation.

By MBD

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