NEW DELHI: Given the Covid-19 pandemic, the Union Cabinet has decided to continue with its welfare schemes for some more time, including those like the Provident Fund support extended to employees for another three months, free rations for the next five months and free LPG cylinder refills upto September.
“The Cabinet has approved the extension of the scheme where Government pays the contributions of employees and employers till August,” Union Minister Prakash Javadekar told reporters after the Cabinet meeting.
Finance Minister Nirmala Sitharaman had announced in May that the Centre would extend the schemes under the Pradhan Mantri Garib Kalyan Yojana by three months, giving relief to 3.67 lakh employers and 72.22 lakh employees.
The PF contribution comes up to 24 per cent—12 per cent of the employees’ share and 12 per cent share of employers’.
The scheme will cover all the establishments with up to 100 employees, and 90 per cent of such employees earn less than Rs 15,000 monthly wages.
However, it will exclude beneficiaries under Pradhan Mantri Rozgar Protsahan Yojana (PMRPY).
The Cabinet also approved the extension of the distribution of free of cost whole chana for five months from July to November, under the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY).
Under the scheme, it is proposed to distribute 9.7 Lakh MT of cleaned whole chana to States/UTs for distribution to all beneficiary households for the next five months.
This scheme has a total estimated cost of Rs 6,849.24 crore and will cover 19.4 crore households.
The Cabinet also extended the timeline of the Ujwwala scheme, allowing beneficiaries to avail free LPG cylinder refills till September 30.
Meanwhile, it also approved the capital infusion of Rs 12,450 crore in three public sector general insurance companies—Oriental Insurance Company, National Insurance Company and United India Insurance Company.
However it has put the proposed merger of these firms on hold due to corona pandemic.
The total capital support will include Rs 2,500 crore infused in FY2019-20. Another Rs 3,475 crore will be released immediately; while the balance Rs 6,475 crore will be infused later.