Context: Citing the “World Social Protection Report 2024-26”, Director-General of International Labour Organisation applauded India citing the country’s social protection coverage has almost doubled from 24% to 49%, in a very short time.
Relevance of the topic:
Prelims: International Labour Organisation.
Mains: Social Security network in India.
World Social Protection Report 2024-26: India's Achievements
- Increase in Social Protection Coverage:
- The proportion of the population covered under at least one branch of social protection increased from 24.4% in 2018 to 48.8% in 2022.
- Government's welfare schemes, insurance, and pension programs helped to ensure that vulnerable sections of society receive adequate support.
- Leveraging digital platforms:
- Digital platforms like e-Shram have been utilised to register and track informal workers.
- This helps in ensuring that they have access to employment opportunities and social security benefits.
India's Economic Transformation
- Unemployment Rate:
- Substantial decline from 6% in 2017-18 to 3.2% in 2023-24, highlighting the positive impact of various employment-generating initiatives and labour reforms.
- This reduction reflects improved job creation, particularly in sectors like manufacturing, services, and the gig economy.
- Labour Force Participation Rate (LFPR):
- Increased from 49.8% to 60.1%, indicating that more individuals are entering the workforce.
- This rise is attributed to skill development programs, increased formal sector opportunities, and the integration of women and youth into the labour market.
- Consolidation of Labour laws: India has merged 29 existing labour laws into 4 comprehensive labour codes. The four codes are:
- Code on Wages: Establishes minimum wage norms and ensures timely payment to all workers.
- Code on Occupational Safety, Health, and Working Conditions: Aims to provide safe working environments and regulate working hours.
- Code on Industrial Relations: Simplifies dispute resolution processes and promotes harmonious employer-employee relations.
- Code on Social Security: Extends social security benefits like pensions, health insurance, and maternity benefits to a wider workforce.
Major Social Security Initiatives
- Pradhan Mantri Jan Dhan Yojana (PMJDY):
- A financial inclusion program ensuring access to banking facilities, credit, insurance, and pension.
- Over 500 million bank accounts opened, empowering the economically weaker sections.
- Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY):
- Life insurance cover of ₹2 lakh for individuals aged 18-50 at a premium of ₹436 per annum.
- Provides financial security to families after the death of the primary earner.
- Pradhan Mantri Suraksha Bima Yojana (PMSBY):
- Accidental insurance cover of ₹2 lakh for a premium of ₹20 per annum.
- Targets workers in high-risk sectors, offering them protection against accidental disabilities and death.
- Atal Pension Yojana (APY):
- Pension scheme for workers in the unorganised sector, providing a monthly pension of ₹1,000 to ₹5,000 upon retirement.
- Promotes long-term financial planning among low-income groups.
- Employees' State Insurance Scheme (ESIS):
- Offers medical care, sickness benefits, maternity benefits, and employment injury benefits to employees.
- Ensures comprehensive welfare for industrial workers and their dependents.
- National Social Assistance Programme (NSAP):
- Provides pension support to the elderly, widows, and disabled individuals from BPL families.
- Acts as a safety net for the most vulnerable sections.
- e-Shram Portal:
- A database of over 280 million informal workers enabling direct benefit transfers and inclusion in welfare schemes.
- Facilitates portability of benefits for migrant workers.
Impacts of Labour Codes:
- Promoting labour welfare by providing uniform social security to all workers, including gig and platform workers.
- Universalising wages to ensure equitable remuneration.
- Enhancing ease of doing business through simplified registration, licensing, and compliance procedures.
- Improving working conditions by mandating health and safety standards.
About International Labour Organisation (ILO)
- It is a specialised agency of the United Nations (UN) dedicated to improving labour conditions and living standards throughout the world.
- History:
- It was created in 1919, as part of the Treaty of Versailles that ended World War I, to reflect the belief that universal and lasting peace can be accomplished only if it is based on social justice.
- In 1946, the ILO became a specialised agency of the newly formed UN.
- Headquarters: Geneva, Switzerland.
- Members: The ILO has 187 member states: 186 out of 193 UN member states, plus the Cook Islands.
- Structure: It is the only tripartite U.N. agency that brings together governments, employers and workers’ representatives of 187-member States.
- It serves its tripartite constituents, and society as a whole, in a variety of ways, including:
- Formulation of international policies and programmes to promote basic human rights, improve working and living conditions, and enhance employment opportunities.
- Creation of international labour standards backed by a unique system to supervise their application.
- An extensive programme of international technical cooperation formulated and implemented in an active partnership with constituents, to help countries put these policies into practice in an effective manner.
- Training, education, and research activities to help advance all of these efforts.
- In recognition of its activities, the ILO was awarded the Nobel Prize for Peace in 1969.
- Key publications of ILO:
- World Employment and Social Outlook
- Global Wage Report
- Global Estimates on International Migrant Workers
- Unemployment Rate Index
- World Social Protection Report













