A meeting of the Cabinet, chaired by Prime Minister Manmohan Singh, decided to extend the insurance cover to the beedi workers spread across the country, with the government spending an estimated Rs 311.25 crore on it.
“It is proposed to cover ten lakh beedi workers in the current financial year and 100 per cent of the total beedi workers by 2013-14”, Labour and Employment Minister Mallikarjun Kharge told media
Information and Broadcasting Minister Ambika Soni described the decision as “a significant and important agenda of the UPA government”.
Under the scheme, the worker and his family of five would benefit with a medical insurance cover of Rs 30,000.
Smart cards would be issued for availing benefits under the scheme, he said, adding that all beedi workers would be brought under the net of the RSBY to get cashless benefits in any of the ESI or empanelled hospital throughout the country.
The beedi worker would have to contribute Rs 30 towards a smart card. The annual premium is estimated to be Rs 750 per annum, of which 75 per cent would be the share of the Centre and the remaining of the states.
An estimated 55 lakh beedi workers are spread across several states, primarily West Bengal, Madhya Pradesh, Tamil Nadu, Maharashtra, Karnataka, Andhra Pradesh, Bihar and Jharkhand.
Observing that state governments would identify the beedi workers, Kharge said the Centre would also write to the Chief Ministers to take steps to identify them so that they can be brought under the scheme.
So far 49.80 lakh beedi workers have been provided with identity cards.
At present, the health needs of these beedi workers are being met through 204 dispensaries and only seven hospitals.
The beedi industry is primarily a home-based labour intensive industry.
The Beedi Workers Welfare Fund Act, 1976 has been enacted to provide for financing of measures to promote the welfare of beedi workers.