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The Corporate affairs minister Nirmala Sitharaman had announced a relief package of 1.70 crores, i.e., Pradhan Mantri Garib Kalyan Package, for the poor to help them fight against the Covid-19 pandemic. In this article, we will know about this package in brief.
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Less than two days after imposing lockdown across the country, the Central Government announced a relief package to be disbursed through registered beneficiaries of the various scheme.
This government stated that this announcement was made, so that poor will have money and food in their hand. The package also includes 50 lakh insurance cover for health providers who are involved in the management of the disease care.
The government chose the name carefully as they wanted to send the right message that this is about benefits for the poor. In the next segment, we will discuss the components of this package.
The components of this package are as mentioned below:
This scheme covers health workers fighting the Covid-19 pandemic in government hospitals and health care centers. Any health worker who meets with some accident while treating Covid-19 patients, then he or she shall be compensated with an amount of 50 lakh rupees.
Safai karamcharis, ward boys, nurses, paramedics, ASHA workers, technicians, doctors and specialists, and other health workers will be covered. All government health centres, wellness centres, and hospital of centre, as well as state, will be covered under this scheme. Close to 22 lakh health workers will be provided insurance cover to fight this pandemic.
The government of India will not allow anyone, especially any poor family, to suffer due to the non-availability of food grains due to the disruption in the next three months. 80 crore individuals that mean two-thirds of India’s population, will be covered under this scheme.
Each one of them will be given double their current entitlement over the next 3 months. This would be free of cost.
People will get 5kg wheat or rice and 1 kg of preferred pulses free for the next three months. The scheme seeks to solve the issue of non-availability of food grains.
The first installment of 2000 rupees due in 2020-21 will be front-loaded and will be paid in the month of April 2020 itself under the PM Kisan Yojana. It will cover 8.7 crore farmers.
1. Help to poor
A total of 20.4 crore PM Jan Dhan Yojana women account holders will be provided an ex-gratia of 500 rupees per month for the next three months.
2. Gas cylinders
Under PM Garib Kalyan Yojana, gas cylinders would be provided free of cost to 8 crore poor families for the next three months.
3. Help to low wage earners in organized sectors
Those wage earners below 15000 rupees per month in businesses having less than 100 workers are at risk of losing their employment. The government proposes to pay 24% of their monthly wages into their PF accounts for the next three months. It will prevent disruption in the government.
4. Support for senior citizens, widows, and Divyang
Around three crore aged widows and people in the Divyang category are vulnerable to economic disruption caused by the Covid-19 pandemic. The government will provide 1000 rupees to them to tide over difficulties in the next three months.
Under PM Garib Kalyan Yojana, MNREGA wages will be increased by 20 rupees with effect from 1st April 2020. The wage increase under MNREGA will give an additional 2000 rupees benefit annually to a worker. This would benefit close to 13.62 crore families.
The limit of collateral-free lending will be increased from 10 to 20 lakh rupees. Women organized through 63 Lakhs Self Help Groups support 6.85 crore households.
1. Organized sector
Employees PF regulations will be amended to include pandemic as the reason to allow the non-refundable advance of 75% of the amount or three months of wages, whichever is lower from their accounts.
The families of four crore workers registered under Employees PF can take benefit of this.
2. Building and other construction workers welfare fund
The welfare fund for building and other construction workers has been created under the Central Government Act. There are close to 3.5 crore registered workers in the fund. The state government would be provided directions to use this fund to provide assistance and support to the workers to protect them against economic disruptions.
3. District mineral fund
The state government will be asked to use the fund available under the District Mineral Fund for supplementing and augmenting facilities of medical testing, screening, and other requirements in connection with preventing the spread of Covid-19 as well as treating the patients affected with it.
It is noteworthy to mention here that more than 42 crore poor people received financial assistance of 65454 crore rupees under this. Over 17000 crore rupees front-loaded towards payment of the first installment of PM-KISAN to 8.94 crore beneficiaries.
Over 10k crore rupees credited to 20.65 crore women JD account holders as first installment. A total of 2814 crore rupees disbursed to close to 2.81 crore old age persons, widows, and disabled persons. So far, 113 lakh MT of food grains have been lifted by 36 states and UTs for April. 37 LMT of food grains has been disbursed, covering 74 crore beneficiaries by 36 states and UTs for April 2020.
36 LMT of food grains has been distributed for May 2020, and 13.59 LMT of food grains have been distributed for June 2020.
Read our article:PM launches Financing Facility under Agriculture Infrastructure Fund.
Ashish M. Shaji has done his graduation in law (BA. LLB) from CCS University. He has keen interests in doing extensive research and writing on legal subjects especially on corporate law. He is a creative thinker and has a great interest in exploring legal subjects.
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