(PTI) : Majority of India’s informal workers aspire for inclusive, secure lifestyles, revealed a Quess Corp report. Around 80 per cent of informal workers expect their employers to provide them with the security of Employee State Insurance (ESI) and other medical benefits.
This expectation is even higher among younger informal employees. Furthermore, 79 per cent of respondents mentioned that they would compromise on 20 per cent or more of their salary if it meant receiving security and benefits equivalent to their formal counterparts.
Quess Corp, a business service provider, has released the ‘New Collar Generation Report,’ shedding light on the post-pandemic aspirations of workers in India’s informal sector.
The report shows that a significant number of workers lack social security coverage and desire to transition into a more inclusive and secure lifestyle.
The report has also found that technology has played a big role in spreading awareness about the differences between the informal and formal sectors as well as the advantages.
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The report is based on interviews conducted between September 2022 and January 2023, involving 4,179 respondents across seven metros and seven non-metros in India. The findings are supported by comprehensive secondary research conducted throughout the country.
It must be noted that the report uses the term ‘New Collar’ to refer to a generation of workers whose priorities and aspirations align with those of formal employees. They value security and benefits over their daily wages.
Lohit Bhatia, President of Workforce Management at Quess Corp, “The fundings of our study offer a clear direction to policymakers on the desires of the informal workforce.
With high aspirations regarding skilling, social security, and healthcare benefts, India’s informal economy is as aspirational to beneft from EPFO, ESIC, and other social security benefits as their formal counterparts.
Our current laws enable coverage of such social security benefits only for organizations that have above 10 or 20 employees. This leaves behind a huge class of citizens that are not benefitted by these laws.”
The survey also reveals convergence between the expectations of India’s informal and formal workforce. The findings indicate that informal workers now prioritise factors such as prestige and career potential over wages.
Interestingly, 97 per cent of informally employed individuals agree that they have a better chance of improving their lifestyle and that of their families with a formal job that offers job security.
With over 285 million workers registered in the unorganised sector on the E-Shram portal, it appears people are realizing the advantages and benefits associated with a formal contract.
Technology has played a crucial role in educating informal workers about the advantages of formal employment.
Around 84 per cent of the surveyed informal workers agree that technology has raised awareness about the benefits of formal employment.
Digital natives aged 18 to 35 express more confidences in the impact of technology compared to older respondents.
Additionally, 70 per cent of informally employed individuals have utilised technology platforms such as job hunting portals, online news portals, and company websites to seek information about job security and benefits offered by prospective employers.
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