Question : TEXTILE WORKERS REHABILITATION FUND SCHEME



(a) whether the Government is providing financial assistance to the textile workers of closed textile units under the Textile Workers Rehabilitation Fund scheme;

(b) if so, the details thereof;

(c) the number of workers benefited under this scheme during the last three years;

(d) whether the workers are facing any hardships in getting relief under this scheme; and

(e) if so, the measures taken or proposed to be taken by the Government to mitigate the hardships of these workers?

Answer given by the minister

MINISTER OF TEXTILES ( SHRI SHANKERSINH VAGHELA)

(a) Yes, Sir.

(b) The details of the Scheme is furnished at Annexure-I.

(c) The number of workers benefited under this scheme during the last three years is as follows:-

Year	Number of workers
2002-03 980 2003-04 343 2004-05 3298
Total 4621


(d) No, Sir.

(e) Does not arise.

Annexure-I

Textile Workers’ Rehabilitation Fund Scheme (TWRFS)

1. Introduction

The Textile Workers’ Rehabilitation Fund Scheme came into force with effect from 15th September, 1986 with the objective to provide interim relief to textile workers rendered unemployed as a consequence of permanent closure of any particular portion or entire textile units. Assistance under the Scheme is payable to eligible workers only for the purpose of enabling them to settle in another employment. Such assistance is not heritable, transferable or capable of being attached on account of any other liabilities of the worker. The worker’s eligibility shall cease if he takes up employment in another registered or licensed undertaking. The rehabilitation assistance will not be curtailed if the worker fixes himself in a self-employment venture.

2. Closed Textile Unit

For the purpose of this scheme, closed textile unit means:-

>	a unit licensed or registered under the Industries (Development & Regulation) Act, 1951 or	with the Textile Commissioner as a medium scale unit on the day of its closure;
>	it has obtained the requisite permission for closure from the appropriate State Government	under section 25(O) of the Industrial Disputes Act, 1947 or alternatively an Official	Liquidator was appointed under Companies Act, 1956, for the purpose of winding up of the unit.
>	The unit was closed down on or after 6th June 1985.
>	This also includes partially closed units wherein the State Governments recommend that an	entire uneconomic activity (like weaving or processing) is scrapped as a part of	rehabilitation package for a sick/weak mill (as per the RBI definition) approved by the	Nodal Agency/BIFR provided the scrapped capacity is surrendered for cancellation and	endorsement is made on the License / Registration certificate to this effect.



3. Eligibility

Any workers would be eligible provided he/she has been engaged in a closed textile unit on the date of its closure continuously for five years or more and earning a wage equivalent of Rs. 2500 per month or less for the mills closed between 06.06.1985 to 05.02.2002 and Rs.3500 or less thereafter. They should be contributing to provident fund maintained by the Regional Provident Fund Commissioner of the State concerned.

4. Period And Quantum Of Relief

Relief under the Scheme is available only for three years on a tapering basis but will not extend beyond the date of superannuation of any worker. The worker is entitled to get relief:

-	to the extent of 75% of the wage equivalent in the first year of the closure of the unit;
-	to the extent of 50% of the wage equivalent in the second year; and
-	to the extent of 25% of the wage equivalent in the third year.



5. Operation of the Scheme

The scheme is administered by the office of the Textile Commissioner, Mumbai through its Regional offices and in coordination with State Government, Official Liquidator, Provident Fund Authorities, concerned designated Trade Union and designated Banks. The State Government will collect the details of the workers etc. from the management/official Liquidator/provident fund authority etc. and prepare a list of eligible workers and forward the same to the concerned Regional Office of the Textile Commissioner in the prescribed Proforma. The list will be scrutinized by Regional Office of the Textile Commissioner and the list of eligible workers with eligible relief is sent to State Government and designated trade union, besides keeping on a notice board. The individual eligible workers are required to open a separate Savings Bank Account in the designated nationalized Bank and forward a certificate to the effect along with his relief claiming application to the Regional Office of the Textile Commissioner through the State Government. In the mean time the Regional office of the Textile Commissioner examines the proposals and assesses the fund requirement and reports to the Head quarter Office of the Textile Commissioner for releasing fund. On receipt of fund allocation, necessary fund is allotted to the Regional Office in the form of Letter of Credit opened by the Pay & Accounts Officer (Textiles) Mumbai. On receipt of funds, Regional Office of the Textile Commissioner disburses the relief by sending a consolidated cheque in favour of the designated Bank along with the list of eligible workers and the amount of relief to be paid to each of the eligible workers.