Economist welcomes govt’s Covid package

The economists have welcomed the state government’s package of
Rs 1,250 crore with an intention of reducing the social and economic stress of the people during Covid. But, there are certain challenges before the government to ensure that all the real beneficiaries get assistance.

According to R H Pavithra, Associate Professor of Economics, Karnataka State Open University (KSOU), it is a difficult task to identify all the eligible beneficiaries. If these packages are given only to the registered beneficiaries, many of the domestic workers, rag pickers, loaders (hamalis), are not registered. These unregistered workers are in real need of these packages at this crucial situation, she said.

The package of Rs 2,000 each to domestic workers, rag pickers, hamalis and Rs 3,000 each for construction workers is meager amount and insufficient for them to lead lives during the pandemic.

The professor suggested that the foodgrains announced to Below Poverty Line (BPL) families should be extended for a few more days till the situation returns to normalcy in terms of socio-economic and health. Meanwhile, the government should provide N95 masks, sanitisers, in large quantity through PDS for the BPL families, she said.

Another important issue is that a large number of people, particularly labourers, have migrated from urban areas to rural areas during the lockdown. The government has not given any benefits or packages to these labourers or the agricultural labourers of rural areas at the foremost. Therefore, it is recommended to enhance the work under Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA) and also to hike the wages of MNREGA labourers. The number of man days should also be increased, Pavithra suggested.

According to her, the government has announced Rs 494 crore, out of Rs 1,250 crore, (40%), for the construction workers registered with Karnataka building and other constructions workers welfare board. But, the government was supposed to offer basic minimum requirement of the workers during the pandemic, as the construction owners, coming under the board, have taken the welfare measures, Pavithra stated.

She also opined that it is better if the government extended time for repayment of loan borrowed by unorganised labourers from commercial or nationalised banks.