In August 2021, the Ministry of Labour and Employment launched the e-SHRAM portal. It was created for the welfare of workers in the unorganised sector, including construction workers, migrant workers, gig and platform workers.
What exactly is the e-SHRAM portal?
The e-SHRAM portal was created to develop a National Database of Unorganised Workers (NDUW). This database contains details of workers that have an Aadhaar number in a bid to track their progress in this sector. It further aims to improve the execution of various social security schemes for unorganised workers.
Benefits of registering on the e-SHRAM portal
Registered workers will get accidental insurance coverage of Rs 2 lakh under Pradhan Mantri Suraksha Bima Yojana.
In the future, social security benefits for the workers will be delivered through the portal.
Eligibility criteria for registering on the e-SHRAM portal
Workers should not be members of the Employees Provident Fund Organisation (EPFO) or the Employees' State Insurance Corporation (ESIC), or the National Pension System (NPS).
They should not pay income tax.
They must be working in the unorganised sector.
The worker's age should be between 16 and 59 years.
How to register on the e-SHRAM portal?
To register on the portal, the worker should have an Aadhaar number, an Aadhaar-linked and active mobile number, and a bank account. Upon registering with the portal, the worker will receive a 12-digit Universal Account Number (UAN), which remains fixed during the worker's lifetime. They will also receive an e-SHRAM card that will have the UAN.
To register online, follow these simple steps:
Visit the official website here.
Click on the ‘Register on e-SHRAM’ link.
Enter your Aadhaar-linked mobile number and captcha on the self-registration page.
Click on the option for ‘Send OTP’.
Once you enter the OTP, a page will open containing the registration form for e-SHRAM.
Enter these details—personal, address, education, and bank account.
Upload the required documents.
Click on the 'Submit' button and print a copy of the application form.
Download the UAN card.
Register offline by visiting the Common Service Centres or State Seva Kendra.
The role of MSMEs and how they benefit
Micro, small, and medium enterprises (MSMEs) in India employ approximately 111 million workers, most of whom are migrant workers and in the unorganised sector. The 2020 lockdown forced an exodus of migrant workers, thus cutting off labour supply and impacting the productivity of MSMEs.
In the 2022 Union Budget, Finance Minister Nirmala Sitharaman stated that e-SHRAM would be interlinked with other portals such as the Aatmanirbhar Skilled Employee-Employer Mapping (ASEEM), Udyam, and National Career Service (NCS). These portals serve as organic databases offering services that will aid in recruitment, among other things, and will support the formalisation of the economy.
MSMEs are expected to encourage and help unorganised workers register on the portal. Through the interlinking of these portals, MSMEs will have an easier time accessing valuable data for workers. The database of unorganised workers on the e-SHRAM portal will also help MSMEs hire employees easily.
The takeaway
MSMEs also benefit from the government schemes such as the CLSS and the CGTMSE schemes, which aim to support smaller and medium-scale businesses. To financially aid MSMEs looking to expand their operations or upgrade their machinery and equipment, HDFC Bank has come out with Business Loan facilities. MSMEs can get quick, collateral-free loans up to Rs 40 to 50 lakh. With myriad benefits such as flexible repayment options and overdraft facilities, an HDFC Bank Business Loan can be the solution you need when funding your business.
If you are a micro or small business owner seeking additional financing, HDFC Bank has numerous customised solutions to help you. You can also apply for a Working Capital Loan to get started. For further details, reach out to your Relationship Manager or visit the closest branch to know more.
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*Terms and conditions apply. The information provided in this article is generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. All loans for MSMEs, at the sole discretion of HDFC Bank limited. Loan disbursal is subject to documentation and verification as per Banks requirement.