Kerala 2005 - of Planning Commission

CHAPTER 3
ASSESSING DEVELOPMENT: THE INCOME DIMENSION
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old-aged coir, cashew and handloom workers have been in
existence for the last 15 years or so, there is no evidence to
show that pensions are disbursed on a regular basis.
More than 60 per cent of the aged poor in rural
Kerala are covered by the pensions for destitute and
agricultural labourers. The old-age pension scheme was
introduced in 1960 and the widowed/destitute pension
was added in 1964. The agricultural workers pension
was introduced in 1980. Some other pension/welfare
schemes being implemented are the special pension
scheme to the physically and mentally handicapped,
the tree climbers’ welfare scheme, (which provides
assistance in case of accidents causing death or
permanent disability), pension for sportsmen, World
War II veterans, freedom fighters and journalists.
There are a number of schemes, which give pension below
the critical minimum for subsistence of one consumption
unit (which is around Rs. 400 per month at current prices),
nor are these received by the beneficiaries on the expected
monthly basis, but twice a year. None of these pension
schemes by themselves can be the sole source of survival
for the beneficiaries, and can at best act as supplementary
income. Nevertheless, these schemes (both funded through
the welfare boards and directly from the budget) have a lot
of relevance. The assured assistance in old age and other
contingencies acts as an incentive to spend on children’s
continued education, better health care, etc. It also raises
the beneficiary’s status in the family. There are also schemes
for providing marriage assistance to daughters of widows
and destitute mothers. There is an insurance scheme
‘Mangalya’ under which assistance for marriage of adult
daughters up to Rs.10,000 is paid.
4.5 Housing Security Schemes
Kerala’s initiatives in providing housing security
deserve special mention. The concern for housing
for the poor became a matter of public policy in
1971, when the land reform legislation was finally
passed in Kerala. The original intention to distribute
surplus land to the landless did not materialise in
any significant measure for a number of reasons
(e.g. Raj and Tharakan, 1983). As a second-best
solution, landless agricultural labourers were given
the right to retain and own 10 cents of land belonging
to landed households for whom they worked. Those
who could not get such land and were homeless were
brought under a massive programme called ‘One
Lakh Housing’ through mobilising resources from the
State budget, public institutions and voluntary labour.
Although the target achieved was around 56 per cent,
it was a remarkable achievement in itself in such a
short period of time (see CDS-UN 1975 for details).
Special schemes for providing housing security to
socially and economically deprived communities are
also being implemented. For landless and homeless
Scheduled Caste families, Rs. 50,000 is given as grant to
purchase 2 or 3 cents of land and to put up a home as
designated. A grant of Rs. 35,000 is given to construct
homes to all Scheduled Caste families possessing 3 to
4 cents of land but who are below the poverty line. This
scheme is implemented through local self-Governments
now. There is also provision for interest free loans up to
Rs. 50,000 for persons belonging to Scheduled Castes
with an annual income of Rs. 25,000 and possessing
4 cents of land. The poor belonging to Scheduled Castes
like Nayadi, Vedan, Mavilan, Karimbalan and Vettuvan,
if they are landless and homeless, will get Rs 60,000 for
purchasing 5 cents of land and putting up a house. This
is also implemented through local self-governments. The
Scheduled Tribe Development Department undertakes
the construction of houses with tiled or concrete roofs,
at a cost of Rs. 9,000 and Rs.12,000, respectively. 17
There are provisions for construction of bathroom and
smokeless kitchen and for electrification also for the
houses built. Special efforts are taken to avoid middlemen
and encourage owners to do the construction themselves.
Financial assistance is given to electrify the houses of
persons belonging to Scheduled Tribes (Rs. 400 per
house) as also for maintenance (Rs. 3,000 per house after
seven years). In order to repair wells, an assistance of up
to a maximum of Rs. 500 is also offered.
4.6 Welfare Funds for Unorganised
Sector Workers
A look at the welfare measures in the nature of labour
market interventions in the Indian context reveals that
these were mainly intended to cover those working in
the organised factory sector. To illustrate, examples like
Fatal Accidents Act (1885), Workmen’s Compensation
Act (1923), Maternity Benefit Act (1929) and Employees’
State Insurance Act (1948) can be cited. But there are
also a few welfare funds for those in the unorganised
sector managed by the Central Government, like the
17 These amounts may be enhanced by 20 per cent if the house is constructed in a remote area.