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LABOUR MINISTRY YET TO SPEND RS. 2,053.59 CR. OF 2019-20 BUDGET

Focus: GS-II Governance

Why in news?

  • The Parliamentary Standing Committee on Labour in its March 13 report has flagged the under-utilisation of funds by the Union Labour and Employment Ministry, which was yet to spend almost 20% of its 2019-2020 Budget (revised estimate) as on February 10.
  • The Committee, which is chaired by Biju Janata Dal MP Bhartuhari Mahtab, wrote in its report that was presented in both Houses of Parliament on March 13, that the Ministry had utilised 81.64% of the ₹11,184.09 crore allocated to its in the revised estimate.
  • The report noted that utilisation of funds for the National Career Services (NCS) scheme of the Ministry, which facilitates job-seekers, was the worst compared to other schemes.
  • The committee added that it was satisfied with the fact that physical targets for the NCS and welfare of Scheduled Caste/Scheduled Tribe job-seekers through coaching etc. had been met for the last three years.
Machine generated alternative text:
Remaining in the coffers 
The Parliamentary Standing Committee on Labour has flagged 
the under-utilisation of funds by the Labour and Employment 
Ministry, which is yet to spend 20% of its 2019-2020 Budget 
(revised estimate) as on February 10 
Labour and Employment Ministry's finances (tcrore) 
BE 
RE 
2017-2018 
7,188.38 
6,580.90 
6,515.55 
2018-2019 
7,700 
9,749.58 
9,291.23 
2019-2020 
10,684.09 
11,184.09 
9,130.50* 
on Feb 10, 2020 
BE: Budget estimate; RE: Revised estimate; AE: Actual estimate 
Reasons for jump in BE from 2018-19 to 2019-20 
Increase in allocations for: 
Pradhan Mantri Rozgar 
Protsahan Yojana (tcrore) 
Pradhan Mantri Karam Yogi 
Man Dhan Yojana 
2018-2019 
2019-2020 
1,652.09 
t4,500 
2018-2019 
2019-2020 
Nil 
500 
Source: Report Of Parliamentary Standing Committee on Labour on 
Demand for Grants 2020-21 of Labour and Employment Ministry

Pradhan Mantri Rojgar Protsahan Yojana

  • The PMRPY Scheme aims to incentivise employers for employment generation by the Government paying the full employers’ EPS contribution of 12% , for the new employees, for the first three years of their employment and is proposed to be made applicable for unemployed persons that are semi-skilled and unskilled.
  • The scheme is being implemented by the Ministry of Labour and Employment and is operational since August, 2016.
  • The Pradhan Mantri Rojgar Protsahan Yojana (PMRPY) is a scheme to incentivise employers registered with the Employees’ Provident Fund Organisation (EPFO) for job creation by the Government paying the full contribution of employers to the Employee Pension Scheme (EPS) and Employees’ Provident Fund (EPF) in respect of new employees having a new Universal Account Number (UAN).

Pradhan Mantri Karam Yogi Man Dhan Yojana

  • Pradhan Mantri Shram Yogi Maandhan is a social welfare scheme launched by the Ministry of Labour and Employment (India) of Government of India in February 2019 for poor laborers in the unorganised sector from minimum 18 years of age to maximum 40 years.
  • Pradhan Mantri Shram Yogi Maandhan is available to unorganized workers between 18 to 40 years of age.
  • To avail the scheme, the concerned person has to visit the Community Service Center. Aadhar and Jan Dhan Bank account are necessary.



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