Despite being one of the main cogs in the wheels of the country's economic development, India’s informal sector has never received adequate recognition or attention. This sector accounts for 85 per cent of the nation’s workforce as highlighted in the latest NITI Aayog report. As a direct fall out of the utter neglect shown, the workers in this sector are devoid of all benefits that labourers of the organised sectors receive. In reality, these labourers have been left to fend for themselves despite generously contributing towards the progress of the nation. Many do not have shelters, access to health and education facilities, job security, fixed wages and other necessary support for comfortable living.
The ordeal of India’s unorganised sector is evident in the recent revelation made by the National Crime Records Bureau (NCRB). It its latest report, NCRB has noted that suicide rate among daily wage earners has risen alarmingly in recent times. The number of deaths by suicide among the informal sector labourers was 15,735 in 2014, which has risen to 42,004 in 2021. This shocking data clearly points to our failure in protecting the country’s majority workforce, especially during turbulent times. The pathetic living conditions of labourers were evident during COVID-induced lockdown when thousands were seen walking on the national highways to go back to their native villages after becoming jobless overnight. Sadly, very few stood by their side during those troubled hours.
The rising rate of suicides by informal sector workers necessitates total relook at the labour laws in force in the country. From the shocking data, it is clear that the present laws are inadequate to address the plight of the informal sector labourers. The government should make an all-out effort to help the unorganised sector and can even consider framing new laws especially meant for informal sector workers. This should be done on a mission mode as rise in suicides by daily-wage earners does not bode well for a welfare nation like India. Each and every possible effort should be made to honour the contribution of the thousands of faceless workers toiling to strengthen the economy.
The Economic Advisory Council has prepared a roadmap to make India $20 trillion economy within the next 25 years. The council is of the view that if the nation can maintain a growth rate of 7-7.5 per cent till 2047, the country’s per capita income would jump to 7.9 lakh from the present 1.5 lakh in the centenary year of its Independence. Many economists believe that in-order to achieve such a high growth rate for two and a half decades, India can’t continue to neglect its informal sector. Rather, they have strongly advocated for a social security net which will efficiently protect workforce exploitation, and ensure economic stability for informal sector workers .