Showing posts with label Features. Show all posts
Showing posts with label Features. Show all posts

Monday, 18 December 2017

World Day Against Child Labor - June 12th 2014 – Social Protection is the key


The next time you sip your tea or glug your fruit juice at the local restaurant or a food joint, keep an eye out for those who clean your table, wash your tea cup, and mop the floor.  The next time you hire a maid, check who accompanies her and helps her wash your clothes and your vessels.  The next time you award a small contract to refurbish your house that requires carpentry, painting or masonry, watch out for those who help  out the artisans, even as your children get ready to go to school.  This is not all. There are other areas of our economy that thrive on children’s physical input – Carpet making, Gem stone industry, Cracker Industry, transportation, Agriculture and the Leisure Industry



The latest International Labor Organization estimates for the world, released in September 2013, indicate that the number of child laborers has declined by one third since 2000, from 246 million to 168 million. The number of children in hazardous work stands at 85 million, down from 171 million in 2000. Most of this advance was achieved between 2008 and 2012, when the global number fell by 47 million, from 215 to 168 million, and the number of children in hazardous work fell by 30 million, from 115 to 85 million.  Despite this progress, the 2016 target set by the international community for the elimination of the worst forms of child labor, as a priority within the global fight for the eradication of all child labor, will not be met.



In India, according to the Census 2001 figures there are 1.26 crore working children in the age group of 5-14 as compared to the total child population of 25.2 crore. There are approximately 12 lakh children working in the hazardous occupations/processes which are covered under the Child Labor (Prohibition & Regulation) Act i.e. 18 occupations and 65 processes. As per a survey conducted by National Sample Survey Organization (NSSO) in 2004-05, the number of working children is estimated at 90.75 lakhs.



The root causes of child labor must be addressed if progress is to be made and social protection is a key part of the alleviation response. Social protection helps to give all children an equal opportunity to fulfill their potential and live healthy, happy and productive lives.



Obviously the primary responsibility for formulating national social protection strategies and expanding the delivery of national social security systems to cover as much of the population as possible rests with government, but workers’ and employers’ organizations and NGO’s also have a key role to play. These social partners can assist the government in integrating child labor concerns into the design, implementation and monitoring of national policies and ensure that they address child labor more effectively.



This year, World Day against Child Labor draws attention to the role of social protection in keeping children out of child labor and removing them from it. Social protection is both a human right and makes sound economic and social sense. Social protection enables access to education, health care and nutrition and plays a critical role in the fight against child labor. In 2013, at the III Global Conference on Child Labor in Brasilia, the international community adopted the Brasilia Declaration, which stresses the need for decent work for adults, free, compulsory and quality education for all children, and social protection for all.



Echoing those priorities, World Day against child labor 2014 calls for action to introduce, improve and extend social protection, in line with the ILO Recommendation No. 202 on social protection floors (basically minimum social gua, National social security systems that are sensitive to children’s needs and help fight child labor and Social protection that reaches out to especially vulnerable groups of children.



Recommendation 202 - Recommendation concerning National Floors of Social Protection

Adoption: Geneva, 101st ILC session (14 Jun 2012)

This Recommendation provides guidance to Members to: (a) establish and maintain, as applicable, social protection floors as a fundamental element of their national social security systems; and  (b) implement social protection floors within strategies for the extension of social security that progressively ensure higher levels of social security to as many people as possible, guided by ILO social security standards. For the purpose of this Recommendation, social protection floors are nationally defined sets of basic social security guarantees which secure protection aimed at preventing or alleviating poverty, vulnerability and social exclusion.



Social protection helps keep children out of work

Poverty and socio economic shocks play a key role in driving children to work.   Poor households are more likely to have to resort to child labor to meet basic needs and deal with uncertainty. Exposure to shocks, resulting in loss of family income, can have a similar effect on household decisions. For example, economic shocks, such an adult member of the family losing his/her job, health-related shocks like a serious illness or an employment injury, and agriculture-related shocks, such as drought, flood and crop failure, can dramatically reduce household incomes and cause children to drop out of school and go to work to contribute to the family income.  Social protection aims at providing support to poor families, and assistance to help them to weather various shocks. Social protection instruments which are most helpful in combating child labor include:

·         Cash and in-kind transfer programmes that enhance income security for families and facilitate access to education and health care, conditional or not, help prevent child labor, and promote enrolling children into schools, taking children for health check-ups.  (India now has several such programmes including  the MNREGA Schemes with the facility of Direct to beneficiary schemes)

·         Public employment programmes, which provide jobs for adults to build and improve roads, schools, health centers and the like, helping to ensure that it is adults who are at work and not children. (India has its MNREGA Schemes)

·         Social health protection, which ensures access to health care and financial protection in case of sickness, and can stop households sending children to work when a member of the household falls ill. ( Several States are grappling with this issue and how to implement it)

·         Maternity benefits, that protect pregnant women and recent mothers and allow caring for new-born children, have a key impact on improving the health of mothers and children and avoid that older children have to work to replace the mothers’ lost income. (this is already in place but inadequate)

·         Social protection for people with disabilities and those who suffer from employment-related injuries or diseases, prevent households from resorting to child labor. (Workmen’s Compensation and Disability Pension are available to such citizens but it’s not enough)

·         Income security in old age, providing pensions to older people helps protect younger generations by contributing to the economic security of the household as a whole. (Old age pensions are available but inadequate)

·         Unemployment protection, which provides adults with at least partial income replacement, reduces the need to rely on the income of working children when facing job loss.  (this is something prevalent in European Countries but not implemented in India due to un-viability)



These instruments complement one another; cash benefits and services need to be well coordinated and corruption free. The Cash to beneficiary system appears to be a useful step in this direction.   There is no single social protection instrument for addressing child labor. A well-designed social security system will include a specific mix of interventions, designed to best fit the national needs.

The Indian Experience:

Child labor in India is an accepted endemic reality.  Officially and legally speaking, anyone employing a child below 14 years of age attracts a maximum jail term of three years of a fine of up to Rs 50,000. But the fact of the matter is, such laws remain only on paper, and are very weakly enforced. In February 2013, the union cabinet had given a nod to amending the existing law against child labor, in which all forms of child labor under the age of 14 years will be banned, any employment of children aged 14-18 years in hazardous work will be illegal, and child labor will become a cognizable offense. As of now, the amendment is back with the labor department owing to the parliamentary standing committee’s request to review and relook the number of provisions in it. But even if the amendment is approved and becomes law, one wonders, will the issue of child labor really end with it? 



So far, government statistics point to around 17 million child laborers in India. Unofficially, the number is believed to be closer to the 100 million mark. 



Way back in 1979, Government formed its first committee, the Gurupadswamy Committee to study the issue of child labor and to suggest measures to tackle it. The Committee examined the problem in detail and made some far-reaching recommendations. It observed that as long as poverty continued, it would be difficult to totally eliminate child labor and hence, any attempt to abolish it through legal recourse would not be a practical proposition. The Committee felt that in the circumstances, the only alternative left was to ban child labor in hazardous areas and to regulate and ameliorate the conditions of work in other areas. It recommended that a multiple policy approach was required in dealing with the problems of working children. 



Based on the recommendations of Gurupadaswamy Committee, the Child Labor (Prohibition & Regulation) Act was enacted in 1986. The Act prohibits employment of children in certain specified hazardous occupations and processes and regulates the working conditions in others.  The list of hazardous occupations and processes is progressively being expanded on the recommendation of Child Labor Technical Advisory Committee constituted under the Act.



In consonance with the above approach, a National Policy on Child Labor was formulated in 1987. The Policy seeks to adopt a gradual & sequential approach with a focus on rehabilitation of children working in hazardous occupations & processes in the first instance. The Action Plan outlined in the Policy for tackling this problem is as follows:

  

  • Legislative Action Plan for strict enforcement of Child Labor Act and other labor laws to ensure that children are not employed in hazardous employments, and that the working conditions of children working in non-hazardous areas are regulated in accordance with the provisions of the Child Labor Act. It also entails further identification of additional occupations and processes, which are detrimental to the health and safety of the children.
  • Focusing of General Developmental Programmes for Benefiting Child Labor - As poverty is the root cause of child labor, the action plan emphasizes the need to cover these children and their families also under various poverty alleviation and employment generation schemes of the Government.
  • Project Based Plan of Action envisages starting of projects in areas of high concentration of child labor. Pursuant to this, in 1988, the National Child Labor Project (NCLP) Scheme was launched in 9 districts of high child labor endemicity in the country. The Scheme envisages running of special schools for child labor withdrawn from work. In the special schools, these children are provided formal/non-formal education along with vocational training, a stipend of Rs.150 per month, supplementary nutrition and regular health checkups so as to prepare them to join regular mainstream schools. Under the Scheme, funds are given to the District Collectors for running special schools for child labor. Most of these schools are run by the NGOs in the district.



ü  This is the major Central Sector Scheme for the rehabilitation of child labor.

ü  The Scheme seeks to adopt a sequential approach with focus on rehabilitation of children working in hazardous occupations & processes in the first instance.

ü  Under the Scheme, survey of child labor engaged in hazardous occupations & processes has been conducted.

ü  The identified children are to be withdrawn from these occupations & processes and then put into special schools in order to enable them to be mainstreamed into formal schooling system.

ü  Project Societies at the district level are fully funded for opening up of special schools/Rehabilitation Centers for the rehabilitation of child labor.

ü  The special schools/Rehabilitation Centers provide:

1.          Non-formal/bridge education

2.          Skilled/vocational training

3.          Mid Day Meal

4.          Stipend @ Rs.150/- per child per month.

5.          Health care facilities through a doctor appointed for a group of 20 schools.



The project societies are required to conduct survey to identify children working in hazardous occupations and processes. These children will then form the target group for the project society. Of the children identified those in the age group 5-8 years will have to be mainstreamed directly to formal educational system through the SSA. Working children in the age group of 9- 14 years will have to be rehabilitated through NCLP schools established by the Project Society.



The Right to Education:

The Right of Children to Free and Compulsory Education Act or Right to Education Act (RTE), is an Act of the Parliament of India enacted on 4 August 2009, which describes the modalities of the importance of free and compulsory education for children between 6 and 14 in India under Article 21a of the Indian Constitution. India became one of 135 countries to make education a fundamental right of every child when the act came into force on 1 April 2010.



The Act makes education a fundamental right of every child between the ages of 6 and 14 and specifies minimum norms in elementary schools. It requires all private schools to reserve 25% of seats to children (to be reimbursed by the state as part of the public-private partnership plan). Kids are admitted in to private schools based on caste based reservations.  It also prohibits all unrecognized schools from practice, and makes provisions for no donation or capitation fees and no interview of the child or parent for admission. The Act also provides that no child shall be held back, expelled, or required to pass a board examination until the completion of elementary education. There is also a provision for special training of school drop-outs to bring them up to par with students of the same age.



The RTE act requires surveys that will monitor all neighborhoods, identify children requiring education, and set up facilities for providing it. The World Bank education specialist for India, Sam Carlson, has observed: “The RTE Act is the first legislation in the world that puts the responsibility of ensuring enrolment, attendance and completion on the Government. It is the parents' responsibility to send the children to schools in the US and other countries.”



The Right to Education of persons with disabilities until 18 years of age is laid down under a separate legislation- the Persons with Disabilities Act. A number of other provisions regarding improvement of school infrastructure, teacher-student ratio and faculty are made in the Act.



Although the objectives are noble and the effect it will have on child labor immense, states are grappling with its implementation. The Act was challenged by minority institutions in the Supreme Court and on May 7th 2014, the Supreme Court in a landmark judgment exempted Minority Institutions form the operation of the act.



Conclusion:

The problem of child labor is essentially born out of a number of fundamental issues related to poverty.  Social Protection floors combined with the right to education will make a difference, but it is a long haul. India’s approach is right, but if effort in all its dimensions - motivation, awareness, enforcement and social protection is not adopted, it will fail. At the top of the value chain is the complete elimination of poverty.

We are moving in the right direction but progress is still too slow. If we are serious about ending the scourge of child labor in the foreseeable future, we need a substantial stepping-up of efforts at all levels. There are 168 million good reasons to do so." Guy Ryder, ILO Director-General





Reference and inputs:

Websites:














A reality check in PM Modi's Cashless Society


  

On Saturday, just as light showers relieved Mangalureans of their sweat, caused by more than just the heat of the sun, I was for the first time a part of a cashless reality show, one I had seen only on television.  I had visited the Big Bazar supermarket – the malls are only place where cards can be used to buy groceries and other small value items - and piled up a bill for necessary and unnecessary things of Rs: 1200 odd.  Like others, I stood in the queue to make my payment. I had Rs: 750 in cash and the balance I hoped to pay by debit card. 

The lady ahead of me in the queue ran up a bill of a similar amount and proudly produced a Rs: 2000 pink bill to pay for her purchases.  The guy at the counter explained that he did not have change.  She was sent around to other counters to collect change – Basically it was her problem, not theirs.  In the meanwhile, the cashier took up my trolley and made out my bill for which I explained I would part pay in cash and part pay via card.  He accepted my proposal and took in hand my cash and input the same into the pos terminal. He then took my card to bill the balance.  But the server was down by that time and his POS was stuck. He could not open it and could not close my bill. At this point I suggested to him to return my card and my cash and I would leave the stuff I proposed to buy at the counter as it was getting late. Already half an hour had gone by. (The Government says we must be patient, so I was, believe me. I am very obedient that way) By this time the lady who had been running around for change came back and demanded her change. Despite my protests, having already taken my cash into account for part payment of my bill, the cashier handed over all I gave him to her. She packed her bags and left thanking her stars for the small mercy. 

But I was stuck.  Several people came and went, trying to solve the problem of the locked POS. Finally after another half an hour went by, they brought a key and opened it and returned my cash to me. Thankfully there was that exact amount in the cash till.  Till today I have not been able for the life of me to figure out why the cashier did not hand over the change in the drawer to the lady who preceded me but made her run around the entire shop looking for change! Or for that matter open the locked pos with a key when all else failed in the first place. 

Sadly we want plastic to replace paper through an electronic device which does not work because the system is so bad and unreliable.  The cart before the horse? Or just part of our Chaltha hai attitude?.

My reality check did not end there. Today I had been to a bank to collect a cheque book.  They asked me to give a written request with all details for the same, this when all details are already available in my account opening form!. While that in itself may not be much of an inconvenience, it is certainly a waste of time, but they had no time to look into it or just wanted to be doubly sure in the current environment of suspicion. Be that as it may, what happened to the person ahead of me, was to the say the least, disturbing.  She submitted a form, I’m not sure for what, after which she was cross questioned about her signature and asked to sign in front of the officer again, before they accepted it was hers! She seemed quite disturbed to be treated like a common criminal.

While I commiserate with the bank staff – they are apprehensive about being asked to answer for anything amiss, they have become so suspicious that they do tend to go overboard. Can we blame them? No. In fact we must commend them for their patience and perseverance in the face of severe stress. But in today’s nasty environment, everyone is a suspect – Whether you are bank staff or a bank consumer, you are first a criminal and must prove yourself honest, that’s the feeling one takes home these days especially when it comes banks, money or for that matter any transaction.  Apparently the only honest guys in this nation are those that knew about the decision to demonetize before it was announced. None else.  Truly a sad commentary on the way the entire exercise – good or bad -  was handled.

A cash rich society to a less cash society - the RBI plans to print only 50% or a little more than that of the demonetised currency - to a cashless society where PayTm, Visa, Master Card and Aadhar cards rule the roost is where we are headed I learn from the newspapers and the Television.  It’s an ideal being touted by the Government of the day to justify its demonetization drive, the others being a digitalized world, where paper – whether it is currency or a government file is present more by its absence, and environment unfriendly plastic and electronic trails of correspondence and expenditure prevail.  

Maybe the move also coincides with the Paris convention on Climate Change which India ratified on Gandhiji’s Birthday this year as the forests will be saved, and the earth exploited to create this world of plastic.  A tough compromise, but then it was a tough decision – so say those in the know! This is not withstanding Wikileaks and the Kremlin’s hacking of the Democratic National Committee’s correspondence relating to the Trump-Clinton presidential race.

A good move or a bad move, is difficult to say at this point, but the manner in which it has been handled in this age of information and technology – without sensitivity or preparation is shocking. A case in point is a What’sApp question I received – It asked if the RBI or the government had made any new announcement post demonetization over the last ten minutes, as for the last ten minutes he had been in the shower and was out of touch with happenings in the country! This question in reference to the frequent announcements about limits and legalities over the past 24 days!  It is also not clear if the demonetization exercise and its objectives have been thought through fully – especially whether India is reasonably well prepared literacy, infrastructure and logistics wise for this transformation.   But I guess like all things – this too shall pass and we will find a new bogey!


Demonetization: Putting the cart before the horse!




The story of the 2016 demonetization scheme in India is similar to cropping paddy. The plants are ripped out when the produce is ripe with no warning and the same rice is resowed only to be ripped out again come harvest season. In between they are at the mercy of natural elements, with no protection or fall back options, unless grown in a rich farmer's field, where pumped water and rich fertilizer abound for nurture. It would appear then, from all accounts of the chaos that ensued after the decision was made, that the Government in taking and executing this momentous and as the social media army call it, historic decision has put the cart before the horse.  Let’s see how.

Black money has two components. One, money derived from criminal acts like smuggling, bribery, sale of drugs etc. and the other from the evasion of taxes. Evasion of taxes is primarily a system problem. Indians are the saving kind and will adopt any means to save money including avoiding paying taxes which again has two reasons. If they pay the full component of tax they literally have nothing left in the kitty to consume or keep up with their neighbours, as what remains after paying income taxes is taxed at an extremely high level indirectly when they purchase goods and services, including strangely, a life insurance policy. The other, unlike in Western countries where too the tax component is high, the return in the form of amenities provided for the tax paid is very little.  This is evidenced by the roads, the health care system, and the education system and many other public amenities which are by and large non-existent or minimally present. All the tax money is wasted on sops for vote banks. So one can't really blame the people of the country or hold them responsible for not wanting to pay taxes and punish them. It’s insensitive of those who wield power over the taxpayers’ money! The system needs a clean-up and tax paid must have a visible return. Then things will change. Because after paying the correct taxes you probably will still have to bribe, perhaps because the system is not yet fixed, which leads us to the second dimension of Black Money - it does not really exist!

Yes it does not! But what goes around comes around….The Colour of the money depends on the hand that holds it. In the RBI's hand, like it is now post demonetization, there is only one colour, irrespective of legality - White! In one person's hand, if undeclared in an IT return or taxes are not paid on it, it turns black. Should the person holding it invest it in gold, land, or even in the purchase of white goods, or even a movie ticket, it turns white as it converts itself into a legitimate asset to have to hold from that day on! It’s not the money per se, but the process and the person that needs to be targeted or you'll be throwing the baby out with the bath water, especially if you empty 86% of the bath tub as this government has done with its rather unprovoked scheme of demonetization that should have and could have come after the many avenues for generation were tightened to a hair’s width.

What needs to be done there is twofold - strike at the root of the problem - areas like political funding, higher education professional fees, the undervaluation of land deals, the professional sector (the accounting, health care and legal sector), the government procurement and licensing sector and purchase of gold.  Each of these sectors should have first been targeted with a series of measures before demonetization. In addition, taxes should have been rationalized, reduced, exemptions eradicated and if possible, income tax eliminated altogether by piggy backing it as an expenditure tax on the GST slabs proposed.  It’s simple and easy to do. It can widen the base, eradicate harassment and lower the effective tax rate all in one go. It will also spare the poor - Please read this article (http://www.newskarnataka.com/opinion/its-time-to-abolish-income-tax-but-how) written as far back as May 2015.

Let’s see what perhaps should have and could have been done in each of these sectors prior to demonetization:

1. Political Funding:

Presently, funding below a cap of Rs: 20000 is non transparent - It is easy to change that especially with the majority that this government enjoys - No political party can argue with it as they are doing now without being labeled a black sheep. Yet not a word spoken on that either before demonetization or after. Getting political parties covered under the RTI would be the next step.

2. Education Capitation fees / Charitable Institutions:

Remove the education sector and charitable institutions from the Indian Trusts Act 1182 and Public Charitable Trust Act 1950 and move them into the Companies Act with a few exemptions. The disclosures and compulsions of the Companies Act will automatically strengthen transparency. Tax exemptions can continue to be provided to subsidize the sector however.

3. Undervaluation of land deals:

The problem with the real estate sector is the valuation, which is determined by demand and supply and fluctuates from location to location, from day to day and from every other angle possible including Vaasthu compliance.  It is not easy to determine or fix to prevent evasion by the buyer who would like to reduce his costs to the maximum, as also his desire to dispose of undeclared income he has earned elsewhere through his services in cash or through any other means including other land deals in cash.

The seller is often left with no choice whatsoever in the matter.  For example a healthcare professional, who generates undeclared wealth through his professional services rendered in cash may invest the same in the real estate sector purchasing a piece of land from a seller. Here he is hoping to convert his black money into white (through a purchase of DD in cash) / dispose it off partially (through the payment of the balance in black) even as he saves money on the stamp value. He is killing a lot of birds with one stone.  Ultimately the money starts circulating without a government record painting it black.  Although a state subject, it can be rather easily addressed if the stamp value is made inversely progressive - pay less stamp duty for higher value purchases with all properties being linked to the Aadhar no.

An additional liability is that of the Real Estate broker. For very little service, he charges a fee of 2% and demands that it be paid in cash. He does not have a professional licence, often does not have a registered office and yet makes a mountain of cash from literally nothing. This then circulates and comes around.  This must be regulated by the Real estate bill - where all such brokers are registered and licenced with an authority and have to submit annual returns to the authority concerned.

4. Professional services for cash:

This is one of the biggest areas of black money generation.  Professional services in the health care sector, legal, accounting and some other informal sectors including as bribes are largely based on cash transactions. Declaration of cash received for services is uneven and the undeclared portion as in the case of bribes in the government sector, goes to finance consumption of luxury goods and in some cases charitable causes. Eradicating these practices will prove more difficult than others, but can be tackled if income tax is abolished in its present form and it is piggy backed on the GST as an additional layered tax - there is no other way.  This will also sort out the unreported income in the rural sector.

5. Government Procurement and Licensing sector

The Times of India has reported that an engineer in Uttar Pradesh Government speaking anonymously said "A bribe is not a taboo in a government job". That perhaps sums it up.  Government has made a beginning with auctions of the resources of the country. Cannot the auction system be applied to the procurement sector too? It can is my guess, through a reverse auction or e-auction process. It is now standard practice worldwide and must be done even at the urban local bodies. Licensing and inspection must be brought down to a minimum through the streamline of various processes and the removal of discretionary powers of the concerned authorities.  Easy enough to do.

The regulatory and prosecutory mechanism too needs to be strengthened. Delays beyond 12 months must be eliminated statutorily for any deterrent to be effective. The investigative mechanism is non-existent presently. The Lok Pal Act is an example of poor execution and in the light of the haste with which demonetization has been introduced, begs the question as to why it is hanging fire. It is also noted that it has been amended recently to give added protection to the wrong doer!  Indeed the Supreme Court on 23.11.2016 castigated the government for the delay in the appointment of the Lok Pal and said it would itself act to appoint one if there was further delay, which might in the end be a good thing!

It’s only in the railways that an engine pushes the train forward from behind, but perhaps the government expected the horse to learn the tricks of the trade quickly? But while the train moves on tracks that are laid out as per a plan, the horse has to push the cart forward uphill on a bumpy and pot holed road that often disappears mid-way!