Kerala reinforces commitment to welfare state

Instead of moving away from the current social security and pension provisions, the state aims to empower the targeted needy by lubricating the sectors that make their lives meaningful.
Image used for representational purposes only.
Image used for representational purposes only.(Express Illustration)
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2 min read

Kerala reinforces its commitment to welfare despite the Central government strangling its fiscal space. With this budget, the government is also maintaining the mandate of propelling the economy primarily through increased capital expenditure and infrastructure development.

Participatory pension schemes are being converted to annuities for the government-employed and there is no reason to believe it would be anti-employee. The social security system will provide pensions to 64 lakh people. Furthermore, an increase in social security pensions from Rs 1,600 cannot be ruled out.

By moving away from the conventional method of increasing organised employee pensions, which of course need not always be a very healthy policy in light of the state’s current fiscal situation, the government proposes an inclusive budget that addresses the concerns of society’s most vulnerable.

Instead of moving away from the current social security and pension provisions, the state aims to empower the targeted needy by lubricating the sectors that make their lives meaningful. Despite ensuring the state does not fall behind in economic growth, the measures are well-constructed to ensure most of the growth is concentrated towards the bottom.

The introduction of a new livelihood programme named K-Lift under the Kudumbashree, the allocation of Rs 1,132 crore for LIFE Mission, the establishment of old age-friendly houses across the state, the allocation of more than Rs 2,052 crore for the health sector, including Ardram and Karunya schemes, the introduction of social security programmes for informal workers, and the renovation of ‘layams’ for plantation workers.

These points are well worth noting. The allocation of around Rs 4,000 crore to scheduled tribes and castes and ensuring an additional 100 work days for the scheduled tribe community under MGNREGS, the Mazhavillu scheme for the welfare of trangender persons, etc. are signs of increased social commitment to the people.

While pensions and other sorts of in-hand cash transfers create an immediate impact on the consumption of the deprived, such programmes that improve their lives in the long term are critical. It is crucial to note that these expenditures not only improve the quality of life for millions but also create a multiplier effect in the economy. The dedication of the state government towards its people while steering the state towards the final stage of what I would call a “second turnaround”, now in infrastructure, is highly praiseworthy, given that the state is on its path towards a mature social democracy.

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