Why the continued neglect of migrant workers will derail India's growth story

Copyright © HT Digital Streams Limit all rights reserved. R Srinivasan 4 min read May 17, 2025, 10:00 am Ist Migrant workers are back ongoing as conflict forces them to flee. (Image: AFP) Summary every time crisis strikes-whether it is a pandemic, a natural disaster, or, like now, borderline conflict-there is one group that quietly packs and disappears from the headings: India’s migrant workers. When the shooting began over the Line of Control (LOC), official reports focused on civilian casualties – about 20 dead and hundreds displaced. But another quieter exodus has already begun: India’s migrant workers, the invisible workforce tackling factories, fields and construction sites across the country were back on track. In the days after India’s military retaliation for a terrorist attack on tourists in Kashmir, thousands of migrant workers not only started fleeing Jammu and Kashmir, but also parts of Gujarat and Punjab. The violence this time may not be nationwide, but for those who live on the economic benefit of society, the impact was fast and devastating. Also read: The superpower of Odisha’s migrant workers, which, according to the Jammu Chamber of Commerce and Industry, was manufactured over a decade, 30-40% of the estimated 2 Lakh tractors operated in industrial units throughout Jammu. The hospitality and construction sectors – which are very dependent on migrant labor – report similar numbers. Most industrial units in the Kashmir Valley simply closed. In Gujarat, about 75,000 of the estimated 3 lakh tractors, especially in the textile industry, returned to their home states. Punjab’s agricultural and textile units also feel the tension. If that all sounds like déjà vu, that’s it. 2020 Echo’s This is not the first time that India’s migrant workforce had to flee in the face of a crisis. The pandemic-activated closures of 2020 and 2021 have forced more than 11 million workers to leave cities in the largest mass migration since the distribution. Without work, no saving and no support, they walked hundreds – sometimes thousands – from miles to return home. Many people never made it. What is becoming clear now is that even smaller, localized disruptions – such as war, natural disasters or political turmoil – are enough to push migrant workers over the edge. These are the economic shock absorbers of India, but the role has come at a devastating personal cost. There are no accurate estimates of the number of migrant workers in India, but research indicates numbers closer to 100 million. An overwhelming majority of the migrant workers fall into the informal sector, with no written wage contract, no agreed wages, no leave, no health coverage or insurance, no right to association and no job security. This even applies to large, organized sector manufacturers, who tend to use agents and labor supply agents to keep a weapon length of these workers to avoid legal consequences or claims for permanent employees. Also read: Big City Pull: Ability Migration will be difficult, says experts welfare schemes that do not achieve many statutory provisions intended to protect workers – such as minimum wage, pension benefits under EPFO ​​or health insurance by ESIC – often bypass migrant workers. Because they are constantly moving, they regularly slip through the cracks of schemes that were presumably created for their well -being. Take the One Nation One Rations card scheme, which is launched to ensure the transferability of ration benefits by connecting it to Aadhaar. It promised migrant workers the same food rights at their workplace as in their hometown. But an article in April 2024 by IIM-Ahmedabad professors Chinmay Tumbe and Rahul Kumar Jha found that the actual use by migrants, despite the full nationwide implementation by 2022, remained negligible. Of the 16.8 Crore Public Distribution System (PDS) in a sample month, less than 5 lakh was between the state. In fact, 90% of all transactions were regular, and 99% of the rest were within the same condition. Then there is the Construction Workers Welfare Fund, financed by a 1% jaw on each building project. The money is earmarked for health, insurance and housing support for workers- most of whom are migrants. Yet more than half of the funds raised over states remain incompetent. The burden is not alone with governments. The industry, regardless of size, has done little to even offer the basics: housing, food, transport or medical help. With a few exceptions, migrant workers are expected to arrive, work and disappear – until a crisis all reminds how critical they are. Government infrastructure often focuses on attracting investors – industrial parks, roads and subsidies – but rarely includes facilities for the workers who will run those factories. Schemes such as Pradhan Mantri Awas Yojana (Pmay) do not help because migrants do not want to buy homes where they work – they need rental housing, single women’s residences and community kitchens that provide safety and dignity. Governments at state and urban level invest in industrial pods and build supportive infrastructure to attract investors and set up factories. But the workers who use these factories are often left for themselves. Housing schemes like the Pmay don’t solve the problem – migrant workers usually can’t afford homes in their workplace or consider buying, subsidized or not. Also read: Wan adaptation of skills, migration to subways that damage recruitments in small cities, which are needed, are in the state or city-controlled rental house that is adapted to migrants. Affordable dorms, single women’s residences and basic junk facilities can drastically improve their living conditions – and make India’s industrial growth more inclusive. What is clear is this: India needs urgent, coordinated and compassionate action. Governments need to go beyond infrastructure and policy announcements to ensure actual delivery on the ground. Industry should regard migrant workers as essential stakeholders, not disposable labor. And civil society – so fast to take advantage of their work – must act in their times of need. Because when crises hit, it is the migrant worker who walks first, the most suffer and is last remembered. Catch all the business news, market news, news reports and latest news updates on Live Mint. Download the Mint News app to get daily market updates. More Topics #Migrant Workers #Labour Law #mint Snapview Mint Special