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I N D E X
SL.NO. TITLE PAGE
NO.
GST OF EPW – NOVEMBER- 2017
1 MINIMUM WAGES FOR MGNREGA 3
2 CONSEQUENCES OF DMIC 4
3 EASE OF DOING BUSINESS & WORKERS’ SAFETY 6
4 SIGNIFICANCE OF TRADE UNIONS 7
5 BHOPAL PUBLIC BIKE-SHARING SCHEME 8
6 EXPERIENCE OF WOMEN WITH PWDVA 9
7 RTE & MINORITY INSTITUTIONS 10
8 PRIVATE CORPORATIONS IN DEFENCE PRODUCTION 11
9 DEPENDENCE ON OIL 13
10 ETHNIC ENVIRONMENTALISM 14
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GST OF EPW – NOVEMBER 2017
1. MINIMUM WAGES FOR MGNREGA
What is the issue?
Since 2009, wages under the MGNREGA
have been delinked from the Minimum
Wages Act.
The wages have not changed from their
real value in that 2009.
As a result, MGNREGA workers have been
victims of stagnating real wages.
How are wages paid under MNREGA?
MNREGA was launched in 2006.
MGNREGA act states that the central
government may specify the area-specific
wage rate for MNREGA workers and it
shall not be less than Rs.60/day. [Section
6(1)]
Until such a wage rate is fixed, the
minimum wage fixed by the State
Government under the Minimum Wages
Act (MWA), 1948 for agricultural
labourers, shall be considered applicable
to that area. [Section 6(2)]
In the initial years MGNREGA workers
were paid as per MWA.
On January 2009, the central government
delinked MGNREGA wages from the
MWA.
The justification given to the move was
that since MGNREGA wages are paid
entirely by central government, state
governments may want to increase
minimum wages to unreasonable extents.
What is the legality of Delinking?
In Sanjit Roy v State of Rajasthan , the
Supreme Court has recognised payment of
minimum wages as a fundamental right,
otherwise it is considered as “forced
labour”.
The matter of delinking of MGNREGA
wages from the Minimum Wages Act was
taken to the Andhra Pradesh and
Karnataka high courts.
Both the courts held that the Centre
should pay.
Yet, the central government maintained
that the difference between the state
minimum wage and the MGNREGA wage
should be paid by the state governments.
States have refused to contribute towards
the payment of wages as the MGNREGA
clearly puts the entire financial burden of
wages on the central government.
A “Working Group on Wages” deliberated
in 2010 to look into MGNREGA wage
policy and the steady decline in the value
of its wages.
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The group recommended of indexing
MGNREGA wages to the price level by
using the Consumer Price Index for
Agricultural Labourers (CPIAL)
It also proposed the following three
options –
reverting to payment of minimum wages
as set by state governments
central government to continue fixing
MGNREGA wages in consultation with
state governments and representatives of
workers’ organisations
Central government will pay up to a
national norm based on above two and the
state governments would pay the
difference.
Is delinking fair?
The central government has only indexed
the MGNREGA wage to the price level by
using CPIAL with 1 April 2009 as the base.
It has made no attempts to reconcile
MGNREGA with the Minimum Wages Act.
Hence MGNREGA workers of several
states have been working at less than their
state’s minimum wage at various points in
time.
The mere indexing of MGNREGA wages to
the price level has led to the stagnation of
MGNREGA wages in real terms.
What are the other issues?
In states where MGNREGA workers are
actually paid on the basis of work
measurement (e.g, Gujarat, Himachal
Pradesh, Maharashtra, Rajasthan, Tamil
Nadu and West Bengal), the MGNREGA
wage functions as a maximum wage i.e
paid to the worker only if she completes
the task.
At times, workers are paid for less than the
work done by them due to entry of fake
names and/or errors in measurement of
work.
Long and unpredictable delays in
payments and even non-payment of wages
have further eroded the real value of
MGNREGA wages.
The compensation for delays in wage
payments is seldom paid to them.
2. CONSEQUENCES OF DMIC
What is the issue?
The idea of Delhi–Mumbai Industrial
Corridor (DMIC) is conceived to foster
export-oriented growth.
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But the future social and ecological impact
seems to outweigh the benefits of
economic growth.
What is DMIC?
DMIC is India's most ambitious
infrastructure programme.
The objective is to expand India's
Manufacturing & Services base and
develop DMIC as a "Global Manufacturing
and Trading Hub".
The programme will provide a major
impetus to planned urbanization.
The programme also envisages
development of infrastructure linkages
like power plants, assured water supply,
high capacity transportation and logistics
facilities as well as softer interventions like
skill development programme for
employment of the local populace.
The programme has been conceptualized
in partnership with Government of Japan.
In the first phase eight new industrial
cities are being developed.
What are the concerns?
An explicit objective of the DMIC is to
boost formal sector employment in
manufacturing
But DMIC arcs through some of India’s
most industrialised and urbanised states.
Meanwhile, “backward” states figure as
suppliers of natural resources, agricultural
products and labour power.
As a result, the DMIC exacerbates regional
inequality within India.
Also the sectors that are likely to flourish
within DMIC are capital intensive and
unlikely to substantially expand
employment opportunities.
There will be significantly less growth in
informal service sectors within the DMIC.
The projects that constitute the DMIC
require a dramatic increase of material
inputs and resources, whose exploitation
will generate a tremendous amount of
waste.
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Furthermore, there seems to be an
absence of planning across political
jurisdictions to integrate infrastructure
systems.
This will foster conflicts surrounding
access to resources and exposure to waste.
The DMIC is best described as a regime
that encourages investment in a series of
small-scale infrastructure projects, and
there is a notable absence of regional
planning.
The integral role played by the public
sector at every stage of the DMIC, from the
conceptualisation of projects to their
implementation, calls into question the
narrative that India’s economy has been
liberalised.
3. EASE OF DOING BUSINESS &
WORKERS’ SAFETY
Why in news?
Recently 32 workers died and another 100
had grievous injuries in a major public
sector thermal power plant.
What caused the deaths?
The high pressure steam boiler was
supposed to have been shut down to
rectify technical problems.
Yet, it was still running even as workers
were asked to manually remove the ash
that had collected in the boiler as a result
of the malfunction.
The pressure built up in the boiler and
lead to the blast.
There were around 300 workers in the
vicinity.
Surely, this could have been avoided had
the safety of workers been a priority.
Who were affected?
Majority of the workers affected were
migrant contract workers.
This is a ploy used by many large
industrial units.
They maintain smaller number of
permanent workers who are covered
under labour laws.
Much of the works, often the more
hazardous tasks, are farmed out to
contractors who employ casual workers.
These workers have no health insurance in
the event of accidents or exposure to
hazards.
What does the event signify?
It has exposed the callous disregard for
worker safety and the violation of labour
laws in India.
Today, under the excuse of enhancing the
“ease of doing business,” workers’ safety
laws are being deliberately diluted in
many states.
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Since 2014, there have been proposed
amendments to the Contract Labour
(Regulation and Abolition) Act, 1970, the
Factories Act, 1948, and the Industrial
Disputes Act, 1947.
Even the Indian Boiler Regulations, 1950
that required inspection and certification
by the Central Boilers Board, have been
changed to permit self-certification.
This had led to a very little oversight to
ensure the safety regulations.
Furthermore, there are proposals to dilute
laws governing contract labour.
Under the existing law, the NTPC can be
held liable for all workers, permanent and
contract.
The amendments could change to the
detriment of the rights of contract
workers.
The government has introduced the
Shram Suvidha Portal that permits
employers to “self-certify” compliance to
16 central labour laws.
Such “self-certification” has been proved
to be a fraud in compliance with
environmental laws.
What should be done?
Even in the best-maintained industries,
there can be accidents.
These can be prevented, and their effects
minimised if there is no compromise on
routine maintenance and the workers’
safety laws are water tight.
4. SIGNIFICANCE OF TRADE UNIONS
Why in news?
There was a three-day protest by 10
central trade unions in Delhi.
Why did they protest?
The centre has recently proposed four
labour codes to subsume all labour laws.
There were also attempts to dilute labor
protection laws under the objective of
“easing” business.
What are the challenges before trade
unions?
There is a wide belief that the
manufacturing industry is unable to grow
because of the ironclad labour laws.
Trade unions will also have to face up to
this dominant public discourse.
But it is to be understood that these labour
laws are poorly implemented, violated in
spirit and letter and ineffective.
They do not cover the larger section of
workers in the face of increasing
contractualisation.
Another challenge in organising working
class movement is to pressure the
government to take the joint trade union
platform seriously and hold meaningful
dialogues.
The trade unions also need to deal with
poor implementation of minimum wages
and increasing contractualisation in every
industry.
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This has eroded the power of the trade
unions to bargain.
They should reach out to progressive
political and social movements to meet
these challenges.
It is high time come for trade unions to
rethink their strategy.
5. BHOPAL PUBLIC BIKE-SHARING
SCHEME
Why in news?
Bhopal Municipal Corporation (BMC)
recently decided to acquire 500 state-of-
the-art bicycles.
What are the problems in the project?
The project was intended to make the city
commute environment-friendly and
healthy.
Any public initiative needs sufficient
demand, optimal infrastructure, and the
right intent for implementation to
succeed.
Demand - Commuters in the 20–40 age
groups would be most likely to drive the
demand for bicycles.
But they presently use motorbikes, low-
floor buses, minibuses, or seven-seater
passenger vehicles to travel to their
workplace or college.
The cities of western countries, from
which these ideas have been borrowed,
have concrete roads running to the
doorstep, less fumes and dust, and orderly
traffic.
On the other hand, even if commuters
opted for the bike-sharing, they would
need to cycle on crowded roads enveloped
in carcinogenic emissions and allergy-
inducing dust.
In addition, the scorching heat in Bhopal
for several months in a year is a major
deterrent for cyclists.
e.g In a recent survey in Bengaluru, the
majority rejected cycling and preferred
motorised vehicles.
Factors that made motorised vehicles
preferable to cycles included age-related
disabilities, concerns about safety, and
absence of infrastructure such as parking
space and cycling lanes.
Infrastructure - Delhi’s bicycle rental
scheme was launched in 2008.
According to a 2010 study, the demand for
the scheme was mostly driven by low-wage
earners who could not afford motorised
modes of transport.
Only 120 shared bikes were available in
Delhi until 2014.
Belgium, a country with a population 100
times smaller than India’s, had 5,690
shared bikes, and China had 8,58,000.
Thus, even though there is huge potential
for shared bikes, there are few takers for
the scheme in India.
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Just 500 cycles in a city with population of
around 18 lakh cannot be sufficient to
bring the impact on health and
environment.
Safety - In a report on cyclists’ safety,
Delhi ranked poorly and it was noted that
cycling is not a lifestyle choice for the
middle class.
Other than safety and infrastructure, air
quality is a big concern.
There is an enormous risk of cardio-
respiratory diseases.
e.g New York, where cycling is popular,
has dedicated lanes for cyclists, and long-
distance commuters are even permitted to
carry bicycles on buses or trains.
Besides, it would be difficult to monitor
pilferage and tampering of these smart
bicycles costing Rs. 2,500 each.
It is likely that within a few months these
smart bicycles would be broken and
poorly-maintained.
To use it, a person has to pay security
deposit of Rs. 500 and will have to
maintain minimum balance of Rs. 500
from which rentals will get deducted.
Thus minimum initial expense of more
than Rs. 1,000 may prevent its usage
among weaker section, while some might
find purchasing more profitable.
Intention - Bike-sharing would scarcely
result in a substantial reduction in the
number of carbon-emitting vehicles.
The decision to procure bicycles from
Germany, especially at a time of
widespread “Make in India” campaign
raises doubt about the intention of the
scheme.
6. EXPERIENCE OF WOMEN WITH
PWDVA
Why in news?
A study was conducted recently by the
Tata Institute of Social Sciences (TISS) to
describe the experiences of women
seeking justice under the Protection of
Women from Domestic Violence Act, 2006
(PWDVA).
What are the findings of the study?
Who uses the act and when - 71% of
women who filed cases under the PWDVA
were between the ages of 18 and 35 years.
Although the PWDVA has broadened the
definition of domestic relationship, 93%
cases were filed by married women.
Most were filed against husbands and/or
in-laws.
Only around 7% of the women were not
married at the time of filing.
The majority of women identified as
homemakers.
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After married women, widowed women
are the most prominent users of the act.
Most women do not approach the court
initially, but they attempt family or
community-based interventions.
Stakeholder responses - The
Government of Haryana has
institutionalised a network of protection-
cum-prohibition officers in each of its
districts.
Most women said they were aware of the
presence of the protection officer (PO),
and 59% of them reported that the PO had
helped them file the domestic incident
report (DIR).
The availability of full-time dedicated POs
in police stations could be an important
factor for the unusually large number of
cases filed in Haryana.
Only 29% women who had filed cases
under the PWDVA were aware of their
right to legal aid.
Court response - Interim relief was
hailed as one of the most important
provisions of the act, as it recognises that
women need immediate legal relief from
the violence.
But this provision has been underutilised.
It was granted in only 28% of the cases in
which it was sought.
The monetary relief sought was also
disproportionate to the monetary relief
granted.
Like interim relief, ex parte orders are also
an important feature of the act. However,
ex parte relief was granted in only few
cases.
Delayed proceedings and women’s
experiences - The PWDVA stipulates a
60-day deadline for the disposal of cases.
However, from the available court records,
it appears that in only 1% cases, the final
orders were passed within 60 days.
Only 4% of women were satisfied with the
orders they received.
Around 49% of women stated that they
faced financial difficulties due to the court
cases, which is also linked to the large
number of withdrawn and dismissed
cases.
Overwhelmingly, stakeholders and women
reported that the severe judicial delays
were the most challenging part of the
quest for justice.
7. RTE & MINORITY INSTITUTIONS
Why in news?
Supreme Court issued notice to the centre
in Independent School Federation of India
v State of Uttar Pradesh, to file its
response on the application of the
reservation clause under the RTE Act on
minority aided and unaided schools.
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What was the earlier judgment?
The Supreme Court in Pramati
Educational and Cultural Trust v Union
of India (2014), exempted minority
schools from the application of the Right
of Children to Free and Compulsory
Education Act, 2009 (RTE Act).
It has led to the sabotaging of claims of
social justice amongst children belonging
to economically weaker sections (EWS)
and disadvantaged group (DG) categories.
In 2016 Mumbai, witnessed the misuse of
minority status to hoodwink the obligation
of providing 25% reservation for children
belonging to EWS and DG categories.
Similar instances were noticed in
Karnataka, Goa, Pune, Uttar Pradesh and
other parts.
Why should minority institutions be
brought under the act?
It must be borne in mind that primary
education is the biggest equaliser.
It provides formative grounding in
educative values necessary to exercise
choices consistent with the ideas of
equality of opportunity and social justice.
So it must be treated differently from
secondary or tertiary education.
Minority institutions, aided or unaided,
must partake in ensuring these educative
values.
This constitutional obligation could be
located in the Fundamental Duties, which
provide for promoting “brotherhood
amongst all the people of India
transcending religious, linguistic and
regional or sectional diversities” and to
“strive towards excellence in all spheres of
individual and collective activity.”
How should the reservation be carried
out?
While laying down law for providing
reservations in minority schools, aided or
unaided, it must be ensured that the
identity of minority rights under Article
30(1) is not mutilated.
The percentage of reservation, minority
character of school, level of education, and
obligation of minority schools to partake
in promoting social justice must be
considered.
It is the interplay of the preceding factors
that must determine the degree of
regulation in any school, private or
minority.
It is the right time for the Supreme Court
to revisit its view on the application of the
reservation clause on minority aided and
unaided schools.
8. PRIVATE CORPORATIONS IN
DEFENCE PRODUCTION
Why in news?
The union cabinet also approved a new
mechanism to speed up “strategic
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disinvestment” in public assets, including
Bharat Earth Movers Ltd (BEML).
Why privatisation is bad?
US–India Business Council (USIBC)
represents 400 firms in the U.S.
It wrote to the Ministry of Defence seeking
guarantees that US firms would be allowed
to retain control over sensitive technology
while providing advanced technologies to
an India-owned “strategic partner”
company.
They also opposed a clause in new rules
that held foreign firms jointly responsible
for the quality of platforms provided to the
Indian military.
They also expressed concerns over
partnering with an Indian private
enterprise as they had limited experience.
The lessons of successful public ventures
were studiously ignored by successive
governments.
Instead they dogmatically kept promoting
the entry of private corporations into the
military sector.
The Committee of Experts for
Amendments to Defence Procurement
Procedure (DPP) 2013 held that the
Indian private entities, because they are
new in this sector, need “handholding” by
the collaborator as well as the Ministry of
Defence.
So the scenario is that the government is
pushing ahead with a policy which
requires the public sector to “hand-hold”
the private entities entering the military
sector while foreign OEMs exhibit a
reluctance to let go of their control over
proprietary technology.
Hence there are doubts about whether
such policies enhance the country’s
strategic autonomy.
What should be done?
Publicly held military sector should be
brought in line with successful public
ventures such as the Space Commission.
The government should enable the type of
indigenisation the Indian Navy was able to
effect when it successfully designed and
built Godavari Class guided missile
frigates.
The fact that successful ventures like
BEML is on the chopping block only
highlights the fact that the process of
diminution of the public defence sector
has picked up further steam.
It is in the very nature of the military that
marks it out from other economic activity.
This is one sector where the private sector
should play second fiddle to the public
sector.
If this sector is privatised, the government,
as monopoly purchaser, will have to assure
continued orders for the private sector so
that it can profit from its investment and
ensure a “reasonable” rate of return for its
investors.
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9. DEPENDENCE ON OIL
What is the issue?
India is the third largest consumer of
crude oil in the world.
This makes economic as well
environmental sense.
What is the present scenario?
India already imports over 80% of its
crude oil requirement and its demand is
growing fast.
With domestic production declining, it
could become even more vulnerable to the
vagaries of international crude oil markets
in the future.
The last three years since mid-2014 have
been favourable for India by way of lower
import prices.
High oil prices between 2011 and 2014 led
to increased investment and output of
United States (US) shale oil.
This resulted in falling prices.
Eventually, the lower prices took a toll on
OPEC members themselves, some of
whose budgets depended heavily on oil
revenues.
The resultant OPEC agreement of late-
2016 imposed production limits on its
members to address global excess supply
and to shore up prices.
Since then, prices have steadily risen.
What has India been doing to deal with
this?
India has been trying to diversify its
source countries.
e.g India recently started to import oil
from the US.
A greater diversity of sources for crude oil
will put India in a better position to
negotiate with large OPEC member
suppliers.
These developments are significant
because global oil markets have been
concerned about whether better efficiency
and alternative sources of energy would
permanently depress global oil
requirements.
The shift away from oil is slower than
expected in developing countries,
especially in sectors like road transport.
The move to alternative, less oil-
dependent, transport systems is an
important aim that India has adopted
partially.
A co-benefit of increased investment in
non-polluting public transport or limits on
personal transportation, for instance,
would be a reduction in the pollution load
in our cities, already some of the most
polluted in the world.
Given India’s growing demand for oil, and
its dependence on imports, there is a need
for a more immediate strategy to
drastically reduce fossil fuel dependence.
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10. ETHNIC ENVIRONMENTALISM
What is the issue?
The Sikkim–Darjeeling Himalaya is
undergoing serious environmental
changes as a result of the rampant
construction of hydroelectric projects and
climate-induced changes.
But there is very little in the way of large-
scale movements around the environment.
Instead there is a predominance of
ethnicity as the key variable in
negotiations with the state over
environmental issues.
What is ethnic environmentalism?
In 2004, the Affected Citizens of Teesta
(ACT) led a very powerful and successful
movement against the construction of
hydropower dams in North Sikkim.
The success of this movement can be
attributed to the largely “ethnic approach”
used by the activists to secure concessions
from the government.
According to them, hydropower
development was projected as a threat to
the culture, history and sacred landscape
of the indigenous Lepcha community of
Sikkim.
Prior to this, the Rathong Chu project had
been cancelled after large-scale protests by
Buddhist religious leaders and monks in
Sikkim.
This kind of reliance on ethnic identity for
the articulation of environmental justice is
called Ethnic Environmentalism.
Why is it detrimental?
Environmental concerns, whether related
to HEPs or climate change, are reduced to
“non-issues” unless presented within an
ethnic framework.
It narrows the channels of collective
mobilisation and contestation with the
state and other non-state actors, thereby
inhibiting popular movements around the
environment.
It also raises problematic questions over
the value of the environment to a
community, society and culture.
It sidelines the concerns of communities
who cannot demonstrate the deterioration
of sacred landscapes or cultural risks
associated with large-scale environmental
degradation.
It also limits the scopes of problems that
can be brought to centre stage.
e.g Despite the different forms of
environmental degradation like
deforestation, increased landslides, glacial
retreat, pollution, habitat loss, etc, HEPs
are the only environmental issue that has
been successful in rallying support.
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It limits the grievance-sharing
mechanisms that are available to the
people and this lack of agency leads to an
inequitable distribution of environmental
injustice
What should be done?
Environmental activism is also affected by
the complex relationship between the
people and the environment.
Despite strong religious, cultural and
historical connections with the
environment, it is the everyday needs of
subsistence and livelihood that take
precedence over environmental activism.
The importance of this relationship has to
be reinforced.
There is very little engagement with
environmental issues on a serious and a
regular basis in the public sphere.
This is exacerbated by the ethnic and
political overtones that have come to be
associated with the environment.
This is accentuated further by the weak
governmental responses to these severe
environmental concerns.
Such voids have to be filled to prevent the
declining importance to collective
environmentalism.
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