Policy Update
Tuba Athar
Background:
According to the ILO (2020), around 90 percent of India’s workforce is engaged in the unorganized sector, which absorbs most of the internal migrants.
The 2011 Census enumerated 450 million internal migrants, and this is estimated to increase to 600 million by 2021. Therefore, creating a comprehensive, accurate, and accessible database was the need of the hour. In May 2021, the Supreme Court directed the Union government to build a national database of unorganized workers.
Subsequently, the “e-Shram Portal”, an essential and fundamental step towards organizing the unorganized workers, was taken up by the Union Ministry of Labour and Employment. It attempts to bring unorganized workers under one umbrella and claims to be the first-ever national, unified database of such workers.
Objectives:
- Establish a centralized database of unorganized workers for effective policy implementation.
- Enhance access to social security schemes and benefits for workers in sectors such as agriculture, construction, domestic work, and street vending.
- Facilitate job matching and skill development opportunities.
- Strengthen labor market resilience by integrating unorganized workers into the formal economy.
- Promote financial inclusion through direct benefit transfers and digital payments
Key features of the E-Shram portal:
- Universal Account Number (UAN)
- Single Registration Process
- Multilingual Support
- Grievance Redressal Mechanism
- Integration with Employment and Skill Opportunities
- Family Details for Migrant Workers
- Data Sharing with Building and Other Construction Workers’ (BOCW) Welfare Boards
- Data Sharing Portal (DSP)
Benefits of the e-Shram portal:
- Access to social security: Insurance cover of 2 lakh rupees under Pradhan Mantri Suraksha Bima Yojana
- Financial inclusion: Timely and transparent delivery of monetary assistance
- Job opportunities: The portal connects workers with employers, facilitating job matching based on skills and location
- Skill development: Workers can access training programs to enhance their employability and earning potential
- Crisis support: During emergencies such as the COVID-19 pandemic, the portal enables swift identification and support for affected workers.
Functioning:
Eligibility for Registering on the E-Shram Portal.
To register on the E-Shram Portal, workers must meet the following criteria:
- Be aged between 16 and 59 years.
- Be employed in the unorganized sector, including self-employed individuals, daily wage laborers, and gig workers.
- Possess an Aadhaar card, a valid mobile number linked to Aadhaar, and a bank account.
- Not be a member of the Employees’ Provident Fund Organization (EPFO) or Employees’ State Insurance Corporation (ESIC).
Beneficiaries can register themselves by visiting the e-SHRAM portal (www.eshram.gov.in) or by visiting the nearest Common Services Centres (CSCs) & State Seva Kendras (SSKs).
Integration with other portals:
The Union Budget 2024-25, under labour reforms, proposed that the e-Shram portal would be integrated with other portals to provide a one-stop labour services solution and would include a mechanism to connect job-seekers with potential employers and skill providers.
The portal has been integrated with National Career Service (NCS) Portal where an unorganised worker can search for suitable job opportunities, Pradhan Mantri Shram Yogi Maandhan (PM-SYM) which is a pension scheme for unorganised workers who are aged between 18-40 years, Skill India Digital where skill enhancement and apprenticeship opportunities can be provided to unorganised workers, and myScheme portal which offers one-stop search and discovery of the government schemes.
The other schemes of different Central Ministries / Departments that have already been integrated/ mapped with the e-Shram include Pradhan Mantri Suraksha Bima Yojana (PMSBY), Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY), Ayushman Bharat – Pradhan Mantri Jan Arogya Yojana, Prime Minister Street Vendors AtmaNirbhar Nidhi (PM-SVANidhi), PM Awas Yojana- Urban (PMAY-U), PM Awas Yojana- Gramin (PMAY-G), and Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA).
Performances and impact:
A total of Rs. 704.01 crores was allocated for the National Database of Unorganised Workers (NDUW) for the period FY 2019-20 to FY 2024-25.
Till 31 July 2025, the portal recorded a registration of 309.7 million unorganised workers. The top 5 states are Uttar Pradesh (83 million), Bihar (30 million), West Bengal (26 million), Madhya Pradesh, and Maharashtra. Females constitute more, where 53.8 percent is the female population, and 58 percent population is in the age group 18-40 years.
The largest percentage of the population is in the agriculture sector (160 million), followed by domestic and householder workers (29 million), and further followed by construction and apparel. In the budget 2025-26, platform workers were also allowed to register on the portal.
The portal is also facilitating all States/ Union Territories by sharing details of e-Shram registrants with them to facilitate targeted delivery & saturation of welfare schemes to workers.
International recognition:
The E-Shram Portal has gained international recognition for its innovative approach to addressing labor market challenges. The portal’s emphasis on inclusivity and digital empowerment has been highlighted as a best practice in workforce management.
- Geneva, Switzerland: The Indian delegation to the 112th International Labour Conference (ILC) in 2023 showcased the e-Shram portal and its present integrations and achievements. The e-Shram portal and effort by the Ministry in its development were well appreciated by the delegates of different member States at ILC.
- The 4th Employment Working Group (EWG) Meeting under India’s G20 Presidency: India made a presentation on e-Shram, the world’s largest database of unorganised workers, and the National Career Service (NCS) Portal. This presentation was also shared with the international delegates who expressed interest and curiosity in India’s achievements on these fronts.
Issues and limitations:
- Low Awareness and Digital Literacy: A large section of unorganized workers is unaware of the portal. Moreover, digital illiteracy, especially among women and rural populations, hinders self-registration.
- Language and Interface Barriers: Although the portal supports multiple Indian languages (22), many users still face difficulty navigating the interface.
- Dependence on Aadhaar: Mandatory Aadhaar linking excludes migrants with address mismatches. Along with workers without updated mobile numbers linked to Aadhaar are also excluded.
- No Real-Time Benefits or Entitlements: The portal creates a database but does not guarantee direct, immediate social security coverage or any employment. Most benefits (like insurance) require separate enrolment.
- Static and Unverified Data: Workers rarely update details (e.g., job change, migration), so there is a lack of a real-time mechanism to verify occupational status. This creates the risk of data becoming outdated or irrelevant.
- Lack of Institutional Follow-Up: There is weak coordination between labor departments, district officials, and local bodies. Moreover, limited training for officials and volunteers on how to assist and mobilize workers.
Way forward:
Though by leveraging technology, the E-Shram Portal tries to ensure that workers gain access to social security, job opportunities, and financial inclusion, fostering a more equitable and resilient labor ecosystem. However, there are miles ahead to achieve it. However, some of the suggestions could be organising a mass awareness campaign, relaxing Aadhar requirements, and allowing alternate verification, mandating data update after 6-12 months. Moreover, including workers like rag-pickers, beggars, semi-voluntary workers, and workers on gig platforms and semi-formal workers.
References:
1. Press Information Bureau. (December 19, 2024). E-Shram Portal: World’s Largest Database of Unorganised Workers From registration to recognition, a revolutionary journey. https://www.pib.gov.in/PressReleasePage.aspx?PRID=2086193
2. Press Information Bureau. (November 25, 2024). E-SHRAM PORTAL.
https://www.pib.gov.in/PressReleaseIframePage.aspx?PRID=2076949
3. Press Information Bureau. (June 19, 2024). e-Shram portal showcased during 112th International Labour Conference at Geneva, Switzerland . https://www.pib.gov.in/PressReleasePage.aspx?PRID=2026731
4. Unknown. (July 18, 2025). E-Shram Card: How To Apply And Its Benefits.
https://www.news18.com/business/e-shram-card-how-to-apply-and-its-benefits-9447855.html
5. Rajan S & Rajput K. (May 16, 2023). The e-Shram portal holds valuable data on unorganised workers. Use it in policymaking and safety nets for internal migrants.
6. https://eshram.gov.in/dashboard , accessed on July 31, 2025
7. New Delhi Bureau (January 07, 2025). e-Shram portal now available in 22 languages. e-Shram portal now available in 22 languages – The Hindu BusinessLine
8. Ministry of Labour & Employment, Government of India. (2025). ANNUAL REPORT 2024-25. https://labour.gov.in/sites/default/files/arenglish2024-25_compressed.pdf
About the contributor
Tuba Athar is a Research Intern with IMPRI.
Acknowledgment
The author sincerely thanks the IMPRI team for their valuable support.
Disclaimer:
All views expressed in the article belong solely to the author and not necessarily to the organisation.
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