(The Gist of PIB) Code on social security 2020


(THE GIST OF PIB) Code on social security 2020

[October-2020]


Code on social security 2020

  • Code on social security (CSS) 2020 was one of the three labour law bills passed by the Parliament recently.

Key features:

  • Consolidates nine different central laws such as Employees Provident Fund and Miscellaneous Provisions Act, 1952, Maternity Benefit Act,1961 etc.
  • Extends the protection of welfare measures to 'gig workers', 'platform workers' and 'unorganized workers.
  • Mandates that Central Government should frame a scheme for the welfare of these classes of employees in relation to life and disability cover; health and maternity benefits; old age protection; education etc.
  • State Governments are mandated to frame scheme for these employees in relation to provident fund; employment injury benefit; housing; educational schemes for children; skill upgradation of workers; funeral assistance; and old age home.
  • Definition of 'inter-state migrant worker' expanded to include self-employed persons.
  • Empowers Central Government to defer the application of the provisions disaster, pandemic or endemic.

Key terminologies:

  • Gig worker as a person who performs work or participates in a work arrangement and earns from such activities outside of traditional employer-employee relationship.
  • Platform worker is a person who has a work arrangement outside of a traditional employer-employee relationship in which organisations or individuals use an online platform to access other organisations or individuals to solve specific problems or to provide specific services or any such other activities which may be notified by the Central Government, in exchange for payment.
  • Unorganised worker means a home-based worker, self-employed worker or a wage worker in the unorganised sector and includes a worker in the organised sector who is not covered by the Industrial Disputes Act, 1947.
  • Inter-state migrant worker includes a person who has come on his own from one State and obtained employment in an establishment of another state.

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Courtesy: PIB