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Integration of EPFO and e-Shram Databases
Context:
The Union Labour Ministry is set to integrate the e-Shram portal with the Employees Provident Fund Organisation (EPFO) database to track workforce formalisation trends in India.
More on News:
- This initiative aims to create a comprehensive system for monitoring the movement of unorganised sector workers into the formal sector and vice versa, which will help in designing targeted welfare policies.
- The Finance Minister announced in the Union Budget that the government aims to provide a wide range of services related to employment and skills through the comprehensive integration of e-Shram with other relevant portals.
Key Objectives and Developments:
- Integration of Databases: The integration will help observe real-time transitions of workers between the unorganised and formal sectors.
- If an unorganised worker registered on e-Shram generates a Universal Account Number (UAN) under EPFO, it will indicate their formalisation.
- Single Window Access: The labour ministry is working to develop e-Shram as a centralised platform, integrating it with various welfare schemes from both central and state governments, making it easily accessible to millions of workers.
- Current Integration Progress: Ten central welfare schemes have already been integrated with the e-Shram database, including programs like MGNREGA, PMAY, and various pension schemes.
- e-Shram Portal Expansion: The e-Shram portal currently holds data on approximately 300 million unorganised workers.
- The ministry aims to onboard an additional 200 million workers, reaching a saturation point of around 500 million workers in total.
Implications:
- The integration of these databases represents a significant step towards enhancing the government’s ability to support unorganised workers, promoting their transition into formal employment, and ensuring better access to welfare benefits.
- This initiative aligns with broader goals of improving labour conditions and formalising the workforce in India.
Employees’ Provident Fund Organisation (EPFO)
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- Established under the Employees’ Provident Funds and Miscellaneous Provisions Act of 1952, EPFO plays a crucial role in promoting savings for retirement among workers. It is a statutory body that administers the Employees’ Provident Fund (EPF) scheme, which is designed to provide social security and retirement benefits to employees in the organised sector.
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e-Shram
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- The e-Shram card is a social security scheme launched by the Government of India to provide benefits to unorganised sector workers.
- Eligibility: Workers aged 16 to 59 in the unorganised sector are eligible for the e-Shram card, provided they are not members of EPFO, ESIC, or NPS.
- Integration with Other Portals: The platform has been integrated with the National Career Service (NCS) Portal, allowing unorganised workers to register using their Universal Account Number (UAN) and search for job opportunities.
- Additionally, it is integrated with the Pradhan Mantri Shram-yogi Maandhan (PM-SYM) pension scheme, enabling unorganised workers aged 18-40 to register easily on the Maandhan portal using their UAN.
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