Wednesday, 28 January 2026

CH 13 - UNORGANISED SECTOR AND MIGRANT LABOUR

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CHAPTER 13: UNORGANISED SECTOR AND MIGRANT LABOUR

13.0 INTRODUCTION

Picture a typical day in Punjab. The sun rises, and while government officers head to their offices (Organised Sector), another Punjab wakes up—the vegetable vendor setting up his cart, the tailor in a small shop stitching clothes, the mason heading to a construction site, and the farm labourer in the fields. This is the world of the Unorganised Sector—the vast, often invisible engine of our economy.

A special and vulnerable part of this sector is the Migrant Labourer—the worker who leaves his village in search of work, often facing uncertainty and hardship. As future teachers, you will have children of both organised sector workers (like a bank employee's child) and unorganised/migrant workers (like a construction worker's child) in your classroom. Understanding their parents' world is crucial to understanding the child's reality, challenges, and strengths.


13.1 ORGANISED SECTOR: THE FORMAL WORLD OF WORK

Meaning: The Organised Sector refers to all enterprises and workplaces that are registered with the government (like under the Factories Act, Shops and Establishments Act, etc.) and follow its rules and regulations. These jobs come with clear terms, regular salaries, and legal protections.

Key Characteristics:

  1. Formal Registration: The business/office is officially recognized by the government (e.g., has a GST number, registered company).
  2. Structured Work: Fixed working hours (like 9 AM to 5 PM), a defined workplace, and clear job descriptions.
  3. Job Security & Benefits: Employees get a regular salary, Provident Fund (PF), pension, gratuity, medical benefits, and paid leaves. They cannot be fired without due process.
  4. Government Oversight: The government monitors and regulates these sectors for minimum wages, safety standards, and working conditions.
  5. Taxation: These entities pay direct taxes to the government (like Income Tax, Corporate Tax).

Daily Life Examples from Punjab:

  • A teacher or principal in a government school.
  • A clerk or officer in a Punjab National Bank branch.
  • A nurse or doctor in a government hospital.
  • An engineer working for the Punjab State Electricity Board.
  • A railway station master at Ludhiana Junction.

Why is it Important?
It provides stable livelihoods, contributes significantly to government revenue, and sets standards for secure employment. However, it employs only a small fraction of India's total workforce.


13.2 UNORGANISED SECTOR: THE INFORMAL, YET MIGHTY, MAJORITY

Meaning: The Unorganised Sector includes all small, scattered units and workers not registered with the government. Work here is often irregular, without formal contracts, and lacking social security benefits. This sector is the backbone of the Indian economy, employing over 90% of our workforce.

Key Characteristics:

  1. No Formal Registration: The worker or the small entrepreneur is not on any official government list as an employer/employee.
  2. Irregular & Insecure Work: No fixed timings or job security. Work is often daily-wage or piece-rate (paid per task completed).
  3. Low & Irregular Income: Wages are usually low, paid in cash, and not guaranteed. There is no concept of paid sick leave or annual leave.
  4. Lack of Legal Protection: Labour laws related to minimum wage, safety, and working conditions are rarely enforced here.
  5. Harsh Conditions: Work can be physically demanding, with little to no safety equipment (e.g., construction without helmets, farming without gloves).

Daily Life Examples from Punjab:

  • Agriculture: Small farmers, landless agricultural labourers working in wheat and rice fields.
  • Construction: Masons, carpenters, painters, plumbers, and helpers at building sites.
  • Small Trade & Services: Street vendors (rehriwalas), roadside dhaba owners, domestic workers (maalishwali, cook), rickshaw pullers, and small shopkeepers without a formal license.
  • Home-Based Work: Women doing embroidery (phulkari), assembling toys, or making papads at home for a contractor.
  • Transport: Truck drivers' helpers (khalasis), tempo drivers.

The Teacher’s Lens: A child from this sector might come to school hungry, might be frequently absent during harvest season to help parents, or might lack a quiet space to study at home. Understanding this is not an excuse for low performance, but a context for extra empathy and support.


13.3 SECURITY FOR UNORGANISED SECTOR WORKERS: GOVERNMENT SCHEMES

Recognizing the vulnerability of unorganised workers, the government has launched several Social Security Schemes. These are lifelines, though awareness and access remain challenges.

Major Central Government Schemes:

  1. Pradhan Mantri Shram Yogi Maan-dhan (PMSYM): A pension scheme for unorganised workers. If they contribute a small amount monthly, they get a guaranteed ₹3000/month pension after age 60.
  2. Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY): Life insurance cover of ₹2 lakh for a nominal premium of ₹436 per year.
  3. Pradhan Mantri Suraksha Bima Yojana (PMSBY): Accidental death and disability insurance cover of ₹2 lakh for just ₹20 per year.
  4. Ayushman Bharat Pradhan Mantri Jan Arogya Yojana (PM-JAY): Provides health insurance cover of ₹5 lakh per family per year for secondary and tertiary hospitalisation to crores of vulnerable families.
  5. Rashtriya Swasthya Bima Yojana (RSBY): (Now subsumed under PM-JAY) Provided health insurance to below-poverty-line families.
  6. Atal Pension Yojana (APY): Guarantees a fixed pension after 60, based on contributions made during working years.

The Role of a Teacher: You can be a crucial link! You can help raise awareness among parents in your community about these schemes during Parent-Teacher Meetings (PTMs) or community outreach.


13.4 MIGRANT LABOUR: THE UPROOTED WORKFORCE

Who is a Migrant Labourer? A worker who moves from his/her native place (village or town) to another place, within the state or to another state, in search of work. Their movement is often seasonal or temporary.

Reasons for Migration (Push & Pull Factors):

  • Push from Home: Lack of jobs, low farm incomes, debt, family disputes, natural disasters.
  • Pull to Destination: Promise of work in cities (construction, factories, domestic work), higher wages.

The Harsh Reality & Challenges:

  1. Uncertain Livelihood: No job guarantee. They are often the first to be laid off in a crisis (as seen during COVID-19 lockdowns).
  2. Exploitation: Middlemen (thekedars) take a cut of their wages. They are often paid less than the promised amount.
  3. Housing & Hygiene: Live in makeshift slums (jhuggis) near construction sites, with no proper water, sanitation, or electricity.
  4. Health Hazards: Work in risky conditions without safety gear, with no access to affordable healthcare.
  5. Social Exclusion: Treated as "outsiders," they cannot access the Public Distribution System (ration shop) or vote in the city. Their children often cannot get admission in local schools due to lack of documents.
  6. Emotional Distress: Live away from families, face loneliness, and anxiety about the well-being of those back home.

Punjab’s Context: Punjab sees two kinds of migrants:

  • Incoming Migrants: Labourers from Bihar, Uttar Pradesh, and Odisha who work in Punjab's agriculture (especially during paddy transplantation and harvesting) and construction.
  • Outgoing Migrants: Punjabis who migrate to Canada, Australia, or Europe for work. (This is international migration, a different but related phenomenon).

The Teacher’s Challenge & Responsibility:
A migrant labourer's child faces discontinuity in education, language barriers (if from another state), and social isolation. As a teacher, you must:

  • Ensure the child is welcomed and included.
  • Use bilingual support if needed.
  • Be flexible with attendance during peak migration seasons.
  • Act as a bridge between the child’s transient world and the stable world of the school.

CONCLUSION

India’s economy stands on two pillars: a small, secure Organised Sector and a vast, vulnerable Unorganised Sector, within which Migrant Labour forms a particularly mobile and precarious part. The dignity, security, and welfare of these workers are essential for a just society. Education is a powerful tool for breaking the cycle of informality and vulnerability. By understanding these realities, a teacher can become not just an educator, but a compassionate advocate and a vital link to welfare for the children of India's invisible majority.


EXERCISE

Q1. Differentiate between the organised sector and the unorganised sector.

Introduction:
The Indian workforce is broadly categorized into two distinct sectors based on the nature of employment, regulatory oversight, and job security. Understanding the difference between the Organised and Unorganised Sectors is key to understanding economic inequality and social policy.

Differentiation:

Basis of Difference

Organised Sector

Unorganised Sector

1. Definition & Registration

Enterprises registered with the government (e.g., under Companies Act).

Enterprises not registered with any government authority. Informal and scattered.

2. Terms of Employment

Formal, written contracts. Regular and fixed.

Informal, often verbal agreements. Irregular and uncertain.

3. Job Security

High. Employment is protected by law.

Very low. Can be asked to leave any time without reason.

4. Work Conditions & Hours

Fixed working hours (e.g., 9-5), regulated environment.

Irregular, long hours. Often unsafe and unhygienic conditions.

5. Income

Fixed, regular salary. Paid via bank accounts.

Irregular, daily or piece-rate wages. Mostly cash payments.

6. Social Security Benefits

Mandatory benefits like PF, pension, gratuity, medical leave, paid holidays.

No social security benefits. No paid leave, pension, or health insurance.

7. Government Oversight

Strictly regulated by labour laws (factories act, minimum wage act).

Largely outside the purview of government regulation and protection.

8. Example in Punjab

A teacher in a KV school, a manager in a Punjab Sindh Bank.

A labourer in a brick kiln near Jalandhar, a vegetable vendor in Amritsar.

Conclusion:
The organised sector offers security but employs few. The unorganised sector, while employing the majority, is marked by insecurity and a lack of dignity. Bridging this gap through inclusive policies and social security is one of India's biggest socio-economic challenges.

Q2. Prepare a survey report on the unorganised sector or migrant employees.

(Note: This answer provides a framework and template that a student can adapt based on a hypothetical or actual survey in their local area.)

Title: Survey Report on the Living and Working Conditions of Construction Migrant Labourers in [Name of Your City/Area], Punjab.

1. Introduction & Objectives:

  • Purpose: This survey aimed to understand the socio-economic conditions, challenges, and awareness levels of migrant construction workers in our locality.
  • Rationale: The construction sector is a major employer of migrant labour. Their well-being directly impacts community health and social harmony.
  • Objectives:
    1. To document the demographic profile of migrant construction workers.
    2. To assess their working conditions, wages, and job security.
    3. To evaluate their access to basic amenities and government welfare schemes.
    4. To understand the educational status of their children.

2. Methodology:

  • Area of Survey: Construction sites and labour colonies in [e.g., Southern Bypass area, Ludhiana].
  • Sample Size: 30 migrant workers (from Bihar/Uttar Pradesh).
  • Tool: A structured interview schedule with questions in simple Hindi.
  • Duration: Conducted over two weekends.

3. Key Findings & Analysis:
Demographics: 90% were male, aged 20-45. 70% had left their families in their native village.
Work & Wages: All were hired via a contractor (thekedar). Average daily wage: ₹400-500 for 10-12 hours of work. No work during rain = no pay. No safety equipment like helmets or gloves were provided.
Housing & Amenities: Lived in temporary tin sheds (jhuggis) at the site. 10-15 people shared one room. Common toilet facilities were scarce and unclean. Access to clean drinking water was a major issue.
Health & Education: None had access to any health insurance. Common ailments: back pain, respiratory issues. Only 20% of their school-age children living with them were enrolled in a local school due to documentation hurdles.
Awareness of Schemes: 95% had heard of PM-JAY (Ayushman Bharat) but none knew how to claim benefits. Awareness of pension schemes (PMSYM) was almost zero.

4. Major Challenges Identified:
1. Economic: Irregular work, delayed payments by contractors, no savings mechanism.
2. Social: Isolation, alienation from local community, lack of community support systems.
3. Administrative: Lack of official identity/address proof in the city, barring access to PDS, bank accounts, and school admission.
4. Health & Safety: Hazardous work conditions, no first-aid, malnutrition.

5. Recommendations:
1. For Local Administration: Set up mandatory registration camps at construction sites to issue labour cards and link them to welfare schemes.
2. For Builders/Contractors: Enforce basic safety norms and provide hygienic living quarters as per law.
3. For Schools: Implement flexible admission norms for migrant children, providing temporary admission based on site manager's certification.
4. For NGOs & Community: Run weekly health clinics and adult literacy/awareness camps at sites.
5. As Teachers: We can volunteer to teach their children basic literacy in the evenings and help with school integration.

6. Conclusion:
The survey reveals that migrant construction workers, vital to our city's growth, live on the margins without dignity or security. Their children risk becoming a lost generation. Targeted interventions focusing on registration, awareness, and inclusive services are urgently needed. As responsible citizens and future teachers, we have a role to play in advocating for and enabling these interventions.