Financial support to Unorganised Sector

The Government had announced Rs 1.70 Lakh Crore ‘Pradhan Mantri Garib Kalyan Yojana’ relief package on 26.03.2020 to help the poor in the fight against Corona Virus. Government has also taken various measures under Pradhan Mantri Garib Kalyan Yojana (PMGKY). Some of these are as follows:


  • Under Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY), 5 kg wheat or rice and 1kg of preferred pulses for free every month for three months; the PMGKAY scheme was extended till the end of November 2020.
  • An ex-gratia of Rs. 500 per month for three months for women Jan Dhan account holders.
  • 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.


The Government is providing fiscal stimulus of more than rupees twenty seven lakh crore as part of the Aatmanirbhar financial Package. Aatmanirbhar Bharat package comprises of various long term schemes/ programmes/ policies for making the country self-reliant and to create employment opportunities for all the sectors and regions including Tamil Nadu.

Aatmanirbhar Bharat Rozgar Yojana (ABRY) Scheme has been launched to incentivize creation of new employment alongwith social security benefits and restoration of loss of employment during COVID-19 pandemic. This scheme being implemented through the Employees Provident Fund Organisation (EPFO) reduces the financial burden of the employers of various sectors/industries including MSMEs and encourages them to hire more workers. Under ABRY, the Government of India is crediting for a period of two years, both the employees’ share (12% of wages) and employers share’ (12% of wages) of contribution payable or only the employees’ share, depending on employment strength of the EPFO registered establishments.

PM-SVANidhi Scheme has facilitated collateral free working capital loan upto Rs.10,000/- for one-year tenure to street vendors, to resume their businesses.

Central Government has given directions to State Governments to use the Building and Construction Workers Welfare Fund to provide relief to Construction Workers.

Government has earmarked an additional Rs. 40,000 crore under MGNREGS to generate nearly 300 crore person days in total addressing need for more work including returning migrant workers

In addition, RBI and Government of India have introduced measures to infuse liquidity in the economy to sustain the market economy and raise the level of employment.

This information was given by Minister of State (I/C) for Labour & Employment Shri Santosh Kumar Gangwar in a written reply in Rajya Sabha today.





    Source PIB