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In a bid to make khadi spinning a remunerative employment, the Khadi and Village Industries Commission (KVIC) on Monday hiked the wages for spinners to ₹7 per hank (coiled form of khadi yarn), about 75 per cent hike from the ₹4 paid before November 2016.
At its 642nd meet, the KVIC management resolved to ensure a minimum of ₹200 daily wage for the khadi spinners. “At our meeting at Sabarmati Ashram, we decided to increase the existing wages for spinners to ₹7 per hank, and our effort is to provide a daily wage of ₹200 to the millions of khadi artisans to make it a remunerative employment alternative.” Vinai Kumar Saxena, Chairman, KVIC told BusinessLine .
He noted that the wages for spinners remained significantly low at ₹4 per hank till November 2016. “First, we revised it to ₹5.50 per hank in November 2016. With the inflation hovering around 5 per cent and the drought conditions persisting in several parts of rural India, the low wages in effect have reduced the opportunities of self reliance for Khadi artisans. So, now we have enhanced it to ₹7 per hank with effect from April 1, 2017,” said Saxena, adding that it will also be enforced and implemented in an effective manner.
Khadi institutions that fail to comply with the revised wage rates will face strict actions, such as withholding of Market Development Assistance. In line with the Centre’s mission to reduce cash transactions, KVIC has started paying the wages to its beneficiaries through direct benefit transfer to their bank accounts.
At its meeting in Ahmedabad, the KVIC also decided to incentivise the revival of closed/dead Khadi institutions, which had resulted in loss of production and loss of employment to rural communities.
The commission looks to increase its annual production turnover from the current ₹1,065 crore to ₹5,000 crore in two years. The KVIC looks to achieve the target partly by reviving the closed khadi institutions.
“To achieve the objective, the KVIC has formulated a programme called Khadi FOCUS, which is now under the consideration of the Ministry. One of the ways of increasing production in the country is by reviving Khadi institutions by inculcating a competitive spirit among the State Directorates of Khadi and incentivising their good efforts,” the Chairman said. Saxena said the KVIC will also provide a selling platform to products made in prisons.
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