Pre-Election Promise? Government Eyes Minimum Wage, Pension for Domestic Workers

For millions of domestic workers in India, toiling silently in homes across the country, the possibility of social security has long remained a distant dream. However, with general elections looming on the horizon, the government appears to be considering a pre-election promise that could change their lives: minimum wage and pension benefits.

The potential move comes as part of efforts to implement the Social Security Code, 2020, which aims to provide comprehensive social security coverage to all Indian citizens. The code specifically mentions domestic workers as a category eligible for coverage, sparking hope for those currently excluded from formal protections.

Not only will it accelerate the formalization of the Indian economy, but it could potentially benefit the Bharatiya Janata Party-led National Democratic Alliance (NDA), especially in urban areas which have large pools of domestic workers.

As per the 2011 census, 31% of Indians were living in urban areas. The exact number of domestic workers is not known as they are largely a floating, informal working population. However, the discussion paper is not clear on details such as what role the employers will have in ensuring social security benefits and by when the ministry wants to formally implement the proposal.