Textile - GS questions based on daily current affairs

1)   Which of the following is/are true of the special package for employment generation and promotion of exports in Textile and Apparel sector?

1) Fixed term employment will be introduced for the garment sector.
2) Overtime hours for workers not to exceed 10 hours per week in line with ILO norms.


a. Only 1
b. Only 2
c. Both 1 and 2
d. Neither 1 nor 2
Answer  Explanation 

ANSWER: Only 1

Explanation:

  • Considering the seasonal nature of the industry, fixed term employment will be introduced for the garment sector.
  • A fixed term workman will be considered at par with permanent workman in terms of working hours, wages, allowanced and other statutory dues.
  • Overtime hours for workers not to exceed 8 hours per week in line with ILO norms.
  • This shall lead to increased earnings for the workers.


2)   Which of the following is/are true of the special package for employment generation and promotion of exports in Textile and Apparel sector?

1) A new scheme will be introduced to refund the state levies which were not refunded so far.
2) EPF shall be made optional for employees earning less than Rs. 15,000 per month.


a. Only 1
b. Only 2
c. Both 1 and 2
d. Neither 1 nor 2
Answer  Explanation 

ANSWER: Both 1 and 2

Explanation:

  • In a first of its kind move, a new scheme will be introduced to refund the state levies which were not refunded so far. This move is expected to cost the exchequer Rs 5500 crores but will greatly boost the competitiveness of Indian exports in foreign markets.
  • Drawback at All Industries Rate to be given for domestic duty paid inputs even when fabrics are imported under Advance Authorization Scheme.
  • Govt. of India shall bear the entire 12% of the employers’ contribution of the Employers Provident Fund Scheme for new employees of garment industry for first 3 years who are earning less than Rs. 15,000 per month.
  • At present, 8.33% of employer’s contribution is already being provided by Government under Pradhan Mantri Rozgar Protsahan Yojana (PMRPY). Ministry of Textiles shall provide additional 3.67% of the employer’s contribution amounting to Rs. 1,170 crores over next 3 years.
  • EPF shall be made optional for employees earning less than Rs. 15,000 per month.
  • This shall leave more money in the hands of the workers and also promote employment in the formal sector.