Jump to main content
IndustriALL logotype
Article placeholder image

Indian Informal Workers Launch Health Scheme

Read this article in:

4 August, 2005ICEM News release No. 31/2000

In a new self-help move by some of the world's poorest workers, the National Union of Working Women (NUWW) last Friday launched a health protection scheme for its more than 300,000 informal sector workers in Chennai, India. The announcement came as the Asia-Pacific Women's Committee of the 20-million-strong International Federation of Chemical, Energy, Mine and General Workers' Unions (ICEM) was meeting there. The NUWW is an ICEM affiliate.

Like most newly industrialising and developing countries, India has many "informal sector" workers who earn a pittance from unrecognised jobs on the fringes of the formal economy. The informal sector does not have access to social security or other public services. Nor is it covered by labour legislation. Overall, less than 10 percent of the Indian population have access to social security.

Among the informal workforce are NUWW members working on the bottom rung of society. They do such jobs as making incense sticks, matchsticks and fireworks. Although they are making a contribution to society, they are still neglected.

NUWW members pay 24 Rupees per year in subscriptions to their union.

In 1981, a life insurance scheme was started. But it was discovered that, in fact, medical expenses are the biggest burden for the worst-off women workers in the informal sector. After childbirth, for example, they are heavily indebted. So the NUWW members decided to launch health programmes. They negotiated with an insurance company an annual premium of 70 Rupees, which provides coverage for up to 15,000 Rupees of medical expenses a year. It also provides them with good-quality health services and hospitalisation. 1,000 NUWW members have already registered for the scheme.