Centre asks states to promote banking

EPFO is the largest social security organisation serving five crore workers in India.

CHENNAI: Following demonetisation, the Centre is promoting opening of bank accounts for workers in organised and unorganised sectors by asking State labour departments to hold special camps.

In a circular to Chief Secretaries of State governments, M Sathiyavathy, secretary, Union Labour and Employment Ministry, called for holding such camps. Location of these camps and other relevant modalities should be decided at the district level by a committee comprising collector and manager of the lead bank and labour officers. The committee has been directed to chalk out a programme on Saturday so that district lead manager could communicate to the banks the location of the camps.

A transaction being carried out using a POS machine at
a fuel outlet, in the city on Saturday | sunish p surendran


Meanwhile, Chief Labour Commissioner A K Nayak also asked deputy chief labour commissioners to take up the issue with employers to get bank accounts opened in respect of each contract or casual worker or employee. He has also sought a report on this before December 2.

“This has to be accorded top priority as payment has to be made by end of this month or by first week of following month,” the circular which issued on Friday said.

Similarly, Employee’s Provident Fund Organisation has asked its officials to contact all establishments to ascertain how many workers receive salary in cash and facilitate opening of bank accounts. EPFO is the largest social security organisation serving five crore workers in India.


However, labour activists are guarded in their reaction to this move. Welcoming, additional secretary of All India Nirman Mazdoor Panchayat Sangh, Geetha Ramakrishnan, said this would make visible the invisible workforce of India.

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