The Union Finance & Corporate Affairs Minister Nirmala Sitharaman had announced Rs 1.70 Lakh Crore relief package under Pradhan Mantri Garib Kalyan Yojana for the poor to help them fight the battle against Coronavirus. One of the most important parts of Pradhan Mantri Garib Kalyan Yojana relief package was the help offered by Modi government to low wage earners in organised sectors.

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Keeping in mind that wage-earners below Rs 15,000 per month in businesses having less than 100 workers are at risk of losing their employment, it was announced that under this package, Modi government proposes to pay 24 percent of their monthly wages into their PF accounts for next three months. This would prevent disruption in their employment.

Also, Modi government confirmed that Employees’ Provident Fund Regulations will be amended to include Pandemic as the reason to allow non-refundable advance of 75 percent of the amount or three months of the wages, whichever is lower, from their accounts. Families of four crore workers registered under EPF can take benefit of this window.

While addressing the press conference, Sitharaman said “These measures are intended at reaching out to the poorest of the poor, with food and money in hands, so that they do not face difficulties in buying essential supplies and meeting essential needs.”

The Minister of State for Finance & Corporate Affairs Anurag Singh Thakur was also present besides
Atanu Chakraborty, Secretary, Department of Economic Affairs and Debashish Panda, Secretary, Department of Financial Services.

Key benefits of Pradhan Mantri Garib Kalyan Yojana relief package

-Insurance cover of Rs 50 Lakh per health worker fighting COVID-19 to be provided under Insurance Scheme

-80 crore poor people will to get 5 kg wheat or rice and 1 kg of preferred pulses for free every month for the next three months

-20 crore women Jan Dhan account holders to get Rs 500 per month for next three months

-Increase in MNREGA wage to Rs 202 a day from Rs 182 to benefit 13.62 crore families

-An ex-gratia of Rs 1,000 to 3 crore poor senior citizen, poor widows and poor disabled

-Government to front-load Rs 2,000 paid to farmers in first week of April under existing PM Kisan Yojana to benefit 8.7 crore farmers

-Central Government has given orders to State Governments to use Building and Construction Workers Welfare Fund to provide relief to Construction Workers