In Gujarat's ceramics hub, thousands denied PF, other legal benefits

Time of India

a day ago

Vadodara: Six decades after The Employees' State Insurance (ESI) Act was notified, thousands of workers in Morbi, the world's largest ceramics manufacturing hub, are still not given its mandatory benefits.
A study by the Vadodara-based People's Training and Research Centre (PTRC) found that 92% of the workers studied were not given provident fund (PF) benefits, 93% do not get ESIC benefits at all and 90% are not even given payslips.
The study, titled "Laws in Captivity", covered 2,000 workers — 1,776 men and 224 women. Of these, 879 (44%) were local workers and 1,121 (56%) were migrants.
These 2,000 workers represented 290 industrial units, including 1,729 employed by 246 ceramic units, 156 working at 38 non-ceramic manufacturing units and 115 engaged by six service sector units.
"This is perhaps the first systematic study on the implementation of labour laws for social security in Morbi. The ESI Act was notified in Morbi in 1967, bringing most areas under ESI coverage. Yet, 58 years later, industrial units are not implementing the ESI Act, and the govt is not enforcing it. With no strong workers' organizations, enforcement remains weak," said Jagdish Patel, director of PTRC, a voluntary organization working on occupational health and safety.
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"All these units are in areas notified under the ESI Act, employ more than 10 workers and have monthly wages of Rs 21,000 or lower — fulfilling the three key conditions for ESI coverage," he said.
The study revealed that workers are not even awareness of payslips. "Without proper payslips and ID cards, workers cannot claim compensation if they suffer accidents or occupational diseases," he said.
The study also found discrimination between men and women, and local and migrant workers.
"Of 1,121 migrant workers, only 40 (3.5%) were covered under the ESI Act," the study states, adding these workers make an average monthly wage of Rs 15,943, but the women earn even less.
"Even where deductions are made under ESI, workers are not issued identity cards, which means they cannot access the benefits. Without proof of employment, they cannot claim compensation under the Workers Compensation Act," said Patel.
Develop silicosis, forced to retire early
Vadodara: The study notes that there are more than 1,500 ceramics units in Morbi, which alone produces 90% of the country's ceramics output, employing more than four lakh workers.
Workers who come into contact with fine particles of silica in the ceramics industry are at greater risk of developing silicosis, a fatal disease. Additionally, the risk of such workers getting TB is four times higher than the general population.
While working with these workers, PTRC learned that although the area is covered under the ESI Act, many workers are not covered under the Act as ESI contributions are not deducted from their wages.
"They are unable to work due to breathing problems and other health complaints and were forced to take early retirement. In such a situation, there is no mechanism available to meet medical expenses or to compensate them for the damage to their lungs. These workers are deprived of their right to social security," Patel said.
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