“The creation of a National Fund will go a long way in institutionalizing the implementation of the social security schemes. Provision should be made to create such a fund at the earliest,” wrote Suravaram Sudhakar Reddy, the Chairman of the Parliamentary Standing Committee on Labour in a letter to the Minister of State for Labour and Employment Oscar Fernandes.

He said until such a fund can be introduced, the bill should have an explicit provision that the central government would ensure, directly or indirectly, that the schemes are fully funded. The Committee is of the view that all the social security schemes, which are to be introduced following the passage of the bill, should be irrevocable except for rationalization and extension of coverage. New schemes can be introduced without giving up any scheme that has already been introduced.

Reddy said there should be clear, self-sustaining and transparent funding procedures adding it should not be a difficult proposition in the light of the fact that the government propose to introduce the bill will not incur regular recurring expenditure for which fund sourcing may be done separately.

The Standing Committee has cleared the bill, which the government proposes to present in the parliament during next session expected to begin mid September. On the functioning of the national and state boards, Reddy suggested that there should be no overlapping of functions between the national and state boards to be constituted to oversee the functioning of social security schemes.

“All the persons, whether called volunteers or workers, working for the various welfare schemes like anganwadis, health and family welfare etc, should be covered under the proposed bill,” Reddy demanded. (EON)