​No panacea: On benefits, politics and welfare Politics & News

Ever since the use of direct cash transfers to eligible beneficiaries as a welfare measure gained prominence following the Congress party’s ploy of announcing “election guarantees”, other parties and ruling governments have sought to adopt this as a way of retaining their support among constituents. The ‘Ladki Bahin’ and ‘Ladli Behna’ schemes in Maharashtra and Madhya Pradesh have been seen as reasons for the success of the ruling fronts/parties in retaining power, while the regime in Tamil Nadu instituted the ‘Kalaignar Magalir Urimai Thogai’ to shore up support beyond traditional adherents of the ruling party. The Aam Aadmi Party (AAP) in Delhi has never shied away from comprehensive welfare benefits to retain support, now promising ₹2,100 a month to women under the proposed ‘Mukhyamantri Mahila Samman Yojana’. There is a case for direct cash transfers to the needy and women from indigent families — they are in a way a recompense for the unpaid nature of work done by women as family members. While these amounts may not be high in an era characterised by inflation, that women can utilise the money without having to depend upon the family “head” in a largely patriarchal society, provides them with a disposable sum that is also fungible in the way it can be used for essentials or for savings. The benefits also accord a certain dignity to the women who are generally unemployed in the market, but who still provide labour — as domestic work or informal labour. It is no wonder that such schemes are popular in the States where they are being implemented.

Yet, these cash transfers are not a substitute for comprehensive welfare, where the state plays a role in creating employment and supports demand-driven growth. In Maharashtra and Madhya Pradesh, there has been a stagnation in employment generation, albeit of different orders. Maharashtra, one of India’s most industrialised and urbanised States, has been experiencing a relative stagnation in economic growth and employment creation compared to previous decades. There is also a clear regional and economic inequality while Madhya Pradesh remains one of India’s relatively poor States and lacks in diversity of employment options. While the ruling parties reaped the benefit of support over populist schemes, the reality is that they are little more than a balm as compared to effective economic policies that will generate employment, diversify the economy and provide greater opportunities. As for AAP, it did a far better job in focusing on primary health and education in its earlier terms. The fact that it is trying to emulate the BJP’s and its allies’ benefit schemes for women suggests that it is running out of ideas to provide a better vision for the Delhi metropolis.