65,500 jobs lost between August-October: Oscar

AGENCIES
Posted on 2008-12-16
NEW DELHI- Over 65,500 people lost their jobs between August and October this year due to global economic recession, the Labour Minister, Mr Oscar Fernandes said here on Monday.
A sample study conducted for the period August-October 2008 by Department of Commerce for 121 export-related companies also revealed loss in export orders to the tune of Rs 1,792 crore, he said during the Question Hour in Lok Sabha.
The Department of Commerce study covered primarily employment-oriented sectors like textiles including garments, leather, engineering, gems and jewellery, handicrafts, food and food processing, minerals and marine products, he said.
Mr Fernandes said government has initiated several measures to instill confidence in the economy, spur growth and overcome crisis. Some of the important steps relate to the Reserve Bank of India measures to enhance liquidity in the market and an economic package by the government, mainly comprising additional spending, interest subvention and excise duty cuts, Mr Fernandes said.
Workers who have lost jobs in retrenchment process and are registered with the Employees’ State Insurance Scheme are eligible for an unemployment allowance for six months, the Lok Sabha was told on Monday. Such employees will get an allowance in cash equal to half of their wages computed on the basis of average salary for their entire service, Mr Oscar Fernandes said during the Question Hour.
The allowance will be given under the Rajiv Gandhi Shramik Kalyan Yojana, launched by ESIS in 2005 with an aim to provide a social safety net, he said.
Under the scheme, employees who lose their employment due to retrenchment and are insured for five or more years with the ESIS are entitled to unemployment allowance in cash equal to 50 per cent of their wage upto six months during his entire service, Mr Fernandes said. Workers who have lost jobs due to retrenchment, closure of factories/establishments or permanent invalidity due to non-employment injury are entitled to unemployment allowance, he said. In addition, the employee and his family members are also entitled to medical care, the minister said.
Mr Fernandes said no exhaustive study has been conducted regarding increase of unemployment due to slow industrial development, closure of industrial units and global economic recession.