The government is extending the coverage of social security scheme to workers in the informal sector and self-employed persons.

The Social Security Fund is enlisting this section of workers in the scheme through an official event to be organised on August 16.
The Fund's Spokesperson Bibek Panthi shared that workers in informal sector and self-employed persons should contribute at least 20.37 per cent of their basic wage set by the government while the government adds 9.37 per cent. According to him, 11 per cent of the contributed amount will be from the concerned contributor and remaining 9.37 per cent from the government.

The amount to be deposited on behalf of government could be deposited by any of the three-tier government (federal, provincial or local).

The government has fixed Rs 15,000 as minimum wage for workers in the informal sector out of which Rs 9,385 is basic wage while Rs 5,615 is dearness allowance.

According to the provision in the Social Security Scheme Operating Procedure-2022, the workers in informal sector could contribute 20.37 per cent of their basic salary to the scheme. The Fund is planning to introduce a host of programmes such as medical treatment, health and maternity, accident and disability, dependent family security plan and old-age security plan, among others, for informal sector workers and self-employed ones, informed Spokesperson Panthi.

Those enlisted in the scheme from the upcoming programme will receive Rs 100,000 annually for medical treatment in the designated hospital. In case of sickness and pregnancy, 60 per cent of the basic salary will be provided to the contributors, it was shared.

Furthermore, the beneficiary will get Rs 700,000 in case of accident and at least 60 per cent of the basic salary in case of disability.

The contributors, however, should have worked at least nine months to get medical, accident and dependent family facility as well as the work of at least 180 months and be above 60 years to get old-age facility provided by the Fund.

Workers of informal sector and self-employed persons can be enrolled in the social security scheme by filing application in the fund, it is said.Those self-employed persons willing to be enrolled in the scheme have to submit photocopy of their citizenship certificate, certificate of business if registered, recommendation from ward office, amount to be contributed monthly, PAN or tax registration certificate and contact number for the application.

Published on: 14 August 2023 | The Himalayan Times