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Social Security Code: Govt notifies draft rules, seeks suggestions in 45 days

Social Security Code: Govt notifies draft rules, seeks suggestions in 45 days

The labour ministry had gathered inputs over the next 45 days from the date of notification, following which the final rules will now be notified

The provisions form part of the draft rules framed by the labour ministry under the Code on Social Security, 2020. The provisions form part of the draft rules framed by the labour ministry under the Code on Social Security, 2020.

The labour ministry has initiated the process of registration for unorganised workers, gig workers and platform workers to avail social security benefits under the Social Security Code on the government portal.

The provisions form part of the draft rules framed by the labour ministry under the Code on Social Security, 2020.

The draft rules enable operationalisation of provisions in the Code on Social Security, 2020, relating to Employees' Provident Fund, Employees' State Insurance Corporation, Gratuity, Maternity Benefit, Social Security and Cess in respect of Building and Other Construction Workers, Social Security for Unorganised Workers, Gig Workers and Platform Workers.

The labour ministry has invited inputs over the next 45 days from the date of notification, following which the final rules will now be notified. The ministry has already unveiled draft rules under the Industrial Relations Code while it expects to put the draft rules under the Code on Occupational Safety, Health and Working Conditions shortly. The plan is to implement the four codes from April 1, 2021.

"The draft rules provide for Aadhaar based registration including self-registration by unorganised workers, gig workers and platform workers on the portal of the central government," the ministry said in a statement.

According to the labour ministry, the rules also disclose payment mode of contribution by the aggregators through self-assessment.

"Provision has also been made in the rules regarding gratuity to an employee who is on fixed term employment," it said, adding there was a provision for single electronic registration of an establishment including cancellation of the registration in case of closure of business activities.

Besides, provision has also been made related to manners and conditions for exiting an establishment from EPFO and ESIC coverage, according to a report in The Economic Times. Self-assessment and payment of cess process in respect of building and other construction workers has been described in the rules, the daily reported.

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"For the purpose of self- assessment, the employer shall calculate the cost of construction as per the rates specified by the state public works department or central public works department or on the basis of return or documents submitted to the Real Estate Regulatory Authority.," the ministry added.

The government has also reduced the rate of interest for delayed payment of such cess from 2% every month or part of a month to 1%. Under the current norms, the assessing officer has the authority to direct that no material or machinery can be removed or disturbed from the construction site.

"Such power for indefinitely stopping construction work has been withdrawn in the draft rules," the ministry said, adding the assessing officer can visit the construction site only with the prior nod of the secretary of the Building and Other Construction Workers Board.