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The National Urban Livelihoods Mission (NULM) has been aimed to reduce poverty and vulnerability of the urban poor, but the scheme does not have guaranteed wage employment. Is it time to formulate a guaranteed wage employment-based scheme for Urban areas? Comment Critically.

Topic: Welfare schemes for vulnerable sections of the population by the Centre and States and the performance of these schemes.

3. The National Urban Livelihoods Mission (NULM) has been aimed to reduce poverty and vulnerability of the urban poor, but the scheme does not have guaranteed wage employment. Is it time to formulate a guaranteed wage employment-based scheme for Urban areas? Comment Critically. (250 words)

Reference:  The Hindu

Why the question:

When there is an economic shock, it is essential to provide people with formal access to a livelihood safety net. Such a net, provided by the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), exists only in rural areas. This article argues for safety net in urban areas too.

Key Demand of the question:

To examine the feasibility of wage employment-based scheme for Urban areas.

Directive:

Critically comment – When asked to analyse, you have to examine methodically the structure or nature of the topic by separating it into component parts and present them as a whole in a summary. When ‘comment’ is prefixed, we have to express our knowledge and understanding of the issue and form an overall opinion thereupon.

Structure of the answer:

Introduction:

Start by introducing NULM which is focused on self-employment through skill up-gradation and credit linkages through banks, its aims and objectives.

Body:

In the first part, write about various achievements and shortcomings of NULM especially the way it affected the urban poor and urban employment in the aftermath of the pandemic. Cite relevant statistics from the article to substantiate your points.

Next, argue for the need guaranteed wage employment-based scheme for Urban areas. Write about Himachal Pradesh’s Mukhya Mantri Shahri Ajeevika Guarantee Yojana (MMSAGY) and the insights it provides towards a pan Indian scheme or states themselves considering it.

In the next part, write about impediments to the above.

Conclusion:

Conclude with a way forward and comment on the feasibility of employment-wage guarantee scheme for urban areas.