Mr. Vijay Kalantri, President, All India Association of Industries (AIAI) is of the view that Employees Provident Fund, Employees State Insurance Corporation (ESIC), Gratuity and Labour Statutory Payment should be combined into a Single Social Security Act.
This Act will create a conducive environment for growth of trade and Industry and bring in the much required transparency in social security benefits to help workers.”
However, the percentage of all three benefits may not be combined but moderated as a single social security benefit. This Act will reduce paper work and transactions cost. Specially the small scale sector usually a single entrepreneur and instead of promoting its business is usually involved in the futile exercise of complying with the various benefits that have to be passed on to its employees.
Mr. Kalantri further added that the MSME is a vibrant sector, manufacturing over 8000 products and employs over 60% of the country’s labour force, adding to the country’s export by 40% and 45% to the country’s GDP. AIAI also welcomes the Prime Minister Mr. Narendra Modi’s initiative on doing away with various green clearances which will give impetus to highways, ports and mining sector.
October 17, 2014