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    Home»Employee Benefits & Welfare»Karnataka’s compulsory gratuity bill can benefit 80 lakh employees
    Employee Benefits & Welfare

    Karnataka’s compulsory gratuity bill can benefit 80 lakh employees

    HRK News BureauBy HRK News BureauFebruary 5, 20242 Mins Read6726 Views
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    Karnataka is all set to introduce a new compulsory gratuity bill, which will provide security to almost 80 lakh employees across the state. That is not all. The age limit for applying for the eShram scheme has been extended for unorganised workers. A proposal has also been submitted to reserve a small percentage of jobs for the physically challenged.

    The new compulsory gratuity bill will see to it that the employers/ companies invest the gratuity money in insurance companies. As a result, employees are sure to receive the gratuity even in situations where the company is forced to shut down or becomes bankrupt.

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    Efforts are also on to set up a corups fund for the benefit of unorganised-sector workers. This will be done by introducing a cess of one rupee per litre of petrol and diesel. The amount thus generated will be used to provide unorganised workers with enhanced benefits.

    Labour Minister Santosh Lad has also revealed that workers from the unorganised sector can now apply for the eShram scheme till the age of 70. Additionally, it has also been proposed that five per cent of jobs in the private sector be reserved for persons with disabilities (PwD).

    Almost 40 lakh unorganised workers from the transport department, which includes autorickshaw drivers, mechanics and garage owners, will be covered under the eShram scheme. A budget of almost Rs 250 crore may be set aside for the purpose under the 11per cent transport cess being collected.

    While over one crore unorganised workers from 394 sectors in Karnataka can now apply for eShram, unorganised workers in 10 other professions, including street vendors, tailors, newspaper distributors, photographers and those working in the film industry, will now be covered under the scheme.

    bankruptcy compulsory gratuity bill Karnataka unorganised sector Unorganised Workers
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