Economic Empowerment And Social Inclusion - Addressing Disparities In Developed India
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ECONOMIC EMPOWERMENT AND SOCIAL INCLUSION:
ADDRESSING DISPARITIES IN DEVELOPED INDIA
Rishabh Rai, Advocate, Delhi High Court
ABSTRACT
The relevance of economic development for the welfare of a society has always been understood profoundly in Indian society. “कोष मुलो दंड” which today is the motto for the income tax department of India, taken from Arthashatra of famous “Kautilya” also highlights the relevance of resources for a society and describes it as the root of the rule and more important than military as it is the foundation on which the welfare of general public is dependent upon. This old wisdom is equally relevant in today’s modern world if not more. In the Indian constitution the fundamental rights are wide enough to include a basic standard of living to each and every individual, especially to those who are underprivileged and lack resources, due to their surrounding environments and conditions which are beyond their control.
This guarantee by the Indian constitution being an enforceable right against the state mandates the state to provide opportunities of economic upliftment of backward classes because in absence of such opportunities the society is bound to navigate in such a manner which may give rise to hoarse practice like “class divide” creating deep disparities within the fabric of society. This stratification of society can be countered only by inclusion of each and every member of society in the economic development of the country, which can be simply done by opening certain doors to the underprivileged class and more importantly by not placing any kind of restrictions in their way.
Making arrangement of providing employment opportunities and guaranteeing people a reasonable living wage for the work done by them, by stopping every kind of bonded labour and safeguarding the rights of workers, are one of the measures for ensuring the economic development of the weak section of the society.
IMPACT OF ECONOMIC EMPOWERMENT UPON SOCIETY
Economic empowerment of the weak strata of society is the most essential step in creating the foundation of a developed society and it can only be done through their inclusion in the economic growth of the country. Very few people understood it more than Mr. B. R Ambedkar with clarity. His insistence on making provisions of affirmative actions in favour of socially and educationally backward community was an attempt of inclusion of that section of society which was historically kept on the boundaries of growth and development. The section of society which is socially and educationally underdeveloped than other sections of a society is bound to suffer economic deprivation. To counter this problem, policies were created for such section of the society which ultimately leads to higher standard of living through economic upliftment.
In the vibrant tapestry of India's progress, economic empowerment and social inclusion play pivotal roles in ensuring that the nation's growth is not only robust but also equitable. While India has made significant strides in economic development, disparities persist, particularly in regions that are considered developed. Addressing these disparities requires a multifaceted approach that integrates economic policies with social inclusion initiatives. Promoting diversity and inclusivity in workplaces and educational institutions is another crucial aspect of social inclusion. Encouraging dialogue, celebrating cultural differences, and providing equal opportunities for all individuals regardless of their background or identity contribute to a more inclusive society where everyone can thrive. Economic empowerment is the cornerstone of a prosperous society.
In developed regions of India, economic empowerment often focuses on enhancing entrepreneurship, job creation, and skill development. Encouraging small and medium enterprises (SMEs) through favourable policies, access to finance, and technological support can spur economic growth while creating avenues for employment. The Indian society that exists in urban areas is drastically different from the society in rural areas in terms of standard of living and need of basic amenities. The urban areas are focusing on nuances of democracy and their demand circle around the same, whilst in the remote rural areas in the country, there exists a situation where the general public is merely alive and living their lives like „cattle‟.
Our large population lives either around or below the poverty line, and 1 out of 3 people suffer from the problem of malnourishment, to an extend that their rib cages have not fully developed causing them to have short life span among other chronic illnesses. There is no better way of social inclusion than economic empowerment of the people, because it opens the door of social progress. With economic development the basic essentials of living a dignified life are secured by people like food, clothing and shelter which naturally lead to people aspiring for better life standard.
This brings change in the life of one small family drastically, as now they can provide better education for their next generation, they can provide for better medical support to the family members, and eventually escape from the misery of poverty and enter a new social class called middle class, where their standard of living is much more improved from their former life. This one example of one small typical family suffering the wrath of poverty and trying to escape it is the reality of millions of Indians. This has been lived by millions of household in India, since 1991, when the New Economic policies were introduced, which lead to economic growth of the country and resulted in creation of „middle class‟. In a country like ours where majority of resources of the country are owned by a small percentage of the people, the economic disparity is deep and vast.
This has a historical background to it, which is the king and subjects rule, a prominent example can be of Mughals, where public faced all kinds of deprivations and atrocities which was replaced by colonial rule of Britishers which was in a master-servant relationship. This brought in a problem of social inclusion in distribution of wealth amongst people. This problem could be changed only by giving the people an opportunity to grow and develop, while providing them rights as citizens, instead of treating them as subjects. The constitution of India was drafted by keeping in mind this poor state of affairs of common people and it became, the precursor of the new Indian renaissance that came into effect on 26th January 1950. 1 The economic disparity has been reduced by free movement of capital, which has created a lot of employment opportunities for the general people.
This has allowed capital to enter the daily lives of downtrodden labourers who may be working in building some infrastructural projects among other development projects. Additionally, investing in infrastructure, such as 1 DC. Wadhwa vs State of Bihar, AIR 1987 SC 579: (1987) 1 SCC 378, infra, chapter III, section D(ii)(d) and chapter VII, section D(II)(c). transportation networks and digital connectivity, can bridge urban-rural divides and facilitate the flow of goods, services, and information. These investments not only boost economic activities but also contribute to the overall well-being of communities by improving access to essential services like healthcare and education. Social inclusion is the bedrock of a harmonious and progressive society.
In developed India, social inclusion initiatives must address various dimensions of marginalization, including gender disparities, caste-based discrimination, and access to education and healthcare. Also, empowering marginalized communities through education and skills training programs not only enhances their economic prospects but also fosters social cohesion and mutual respect. Implement progressive taxation policies that ensure the wealthy contribute a higher percentage of their income to taxes. The revenue generated can be used for social welfare programs and infrastructure development benefiting lower-income groups. Achieving economic empowerment and social inclusion requires a coordinated and integrated approach. Policy frameworks should be designed to address the unique challenges faced by different segments of society while promoting inclusive growth.
For instance, targeted subsidies and financial incentives can encourage the participation of women and marginalized groups in economic activities. CREDIT SCHEMES OF THE GOVERNMENT FOR ECONOMIC UPLIFTMENT Several initiatives in India exemplify the successful integration of economic empowerment and social inclusion. The National Rural Livelihoods Mission (NRLM) has empowered millions of women in rural areas by providing them with training, access to credit, and opportunities to start their businesses. This has not only improved their economic status but also enhanced their social standing within their communities. Similarly, programs like the Pradhan Mantri Jan Dhan Yojana (PMJDY) have significantly expanded financial inclusion by providing banking services to millions of unbanked individuals, especially in rural and underserved areas.
This has not only improved access to credit and insurance but has also facilitated government welfare schemes, ensuring that benefits reach the intended beneficiaries.
The significance of credit availability or banking facilities has a very deep impact on society which affects the stratification of society, which in India has been based upon caste. To understand its effect we must understand the concept of close knit communities or caste. These have been existing as a support and protection mechanisms for its members, as the community leaders also used to provide for credit facilities like lending money sometimes also referred as „Sahukaars‟ of a town or a village, to the members or residents of their community, village or town.
The communities used to function as a reliable resort of protection and this lead to strong identification with that caste/community, which further lead to hatred or contempt towards other communities/caste, which had different views or rival stakes, and this brought challenges within society leading to controversy which always breeds catastrophe. This problem can be solved with policies like Pradhan Mantri Jan Dhan Yojna. Strengthening social safety nets such as unemployment benefits, healthcare subsidies, and pension schemes. This can protect vulnerable populations from economic shocks and provide them with a basic level of financial security. The acknowledgment of social class divide prevalent in India at the point of Independence of the country was perhaps one of the primary reasons for insertion of the chapter of Directive principle of state policies in Indian constitution.
A very significant responsibility has been entrusted to the constitution, which requires the state to spread human rights literacy among various sections of society. In a number of pronouncement the supreme court has insisted that these DPSP seeks to introduce the concept of welfare state in the country. In India, the Directive Principles of State Policy (DPSP) play a crucial role in shaping policies aimed at economic empowerment and inclusion of backward sections of society. These principles, enshrined in Part IV of the Constitution, provide a roadmap for the government to create a just and equitable society. Thus we find the Supreme court observing in Paschim Banga2: The constitution envisages the establishment of a welfare state at the federal level as well as the state level. In a welfare state the primary duty of the government is to secure the welfare of the people.
2 Paschim Banga Khet mazdoor samity vs. State of W.B, 1996 4 SCC 37
The DPSP differs from the fundamental rights, which enjoin the state to refrain from taking prejudicial action against an individual and, thus, impose a negative duty on the state. Fundamental rights seek to introduce an egalitarian society and to ensure liberty for all. The Directive principles seek to achieve a welfare state. The two together constitutes the conscience of the constitution. Originally the Directive principles were more akin to moral, rather than to legal, precepts as they did not have much value from a legal point of view. The main idea underlying these principles was that they would serve as restrains to those who come in power. These persons would have to pay some respect to those principles while exercising power, and could be held accountable for ignoring them before the electorate if not before the court of law. In the constituent assemble Dr.
Ambedkar had said that a party, which failed to implement these principles which stand to lose in the next elections. Thus, the accountability to enforce these principles were left to the political process. With the passage of time however, greater emphasis has come to laid on the fulfilment of the goals set out in these principles. Article 37 says that the Directive principles “shall not be enforceable by any court, but the principles therein laid down are nevertheless fundamental in the governance of the country and it shall be the duty of the State to apply these principles in making laws. ” The term „state‟ in Article 37 has the same meaning as has been given to it in Article 12 and which has been explained earlier. One of the primary objectives of DPSP is to reduce income disparities and ensure social justice.
This is particularly important in a country like India, where vast economic gaps exist between different sections of society. The DPSP directs the state to promote policies that ensure equal pay for equal work and the right to work, education, and public assistance in cases of unemployment, old age, sickness, and disability. Inclusive economic policies also involve addressing issues of land ownership and access to resources. Many backward communities have historically faced challenges in owning and accessing land, which is a fundamental asset for economic empowerment. The DPSP encourages the state to enact land reforms and provide land to landless farmers and agricultural workers, thereby enabling them to improve their economic status. However, despite the progressive ideals outlined in the DPSP, challenges remain in translating these principles into effective policies.
Implementation gaps, bureaucratic hurdles, and inadequate resource allocation often hinder the realization of economic empowerment for backward sections of society. There is a need for concerted efforts from policymakers, civil society, and other stakeholders to address these challenges and ensure that the DPSP's objectives are met in a meaningful and sustainable manner. Moreover, leveraging technology and digital platforms can enhance access to services and information, particularly in remote areas. Mobile banking, e-commerce platforms, and digital literacy programs can empower individuals and communities by providing them with tools to improve their economic and social well-being. The government can employ utilization of data and analytics to identify areas with the highest income disparities and tailor policies and interventions accordingly.
This approach can ensure that resources are allocated efficiently and effectively to address the root causes of income inequality. In India, the use of modern technology has emerged as a powerful tool for promoting social inclusion and economic upliftment, especially for the backward sections of society that often face significant income disparities. In recent years, advancements in technology have opened up new avenues for empowerment, offering opportunities for education, employment, financial inclusion, and access to essential services. One of the key areas where modern technology has made a significant impact is in education. With the proliferation of internet connectivity and digital devices, students from remote and underprivileged backgrounds now have access to online learning platforms, educational resources, and interactive content.
This has democratized education to a great extent, allowing students to learn at their own pace and explore diverse subjects that were once inaccessible to them. Similarly, technology has transformed the landscape of employment opportunities. Online job portals, freelance platforms, and skill development programs have enabled individuals, including those from backward communities, to find work opportunities and gain valuable skills. Remote work options have also opened up avenues for employment that were previously limited by geographical constraints, providing a level playing field for individuals irrespective of their location. Financial inclusion is another area where technology has had a profound impact.
Digital payment systems, mobile banking, and microfinance initiatives have expanded access to financial services for millions of people, including those in rural and underserved areas. This has empowered individuals to save, invest, and access credit facilities, enabling them to start businesses, improve their livelihoods, and break the cycle of poverty. Healthcare is yet another sector benefiting from technological advancements. Telemedicine services, health monitoring apps, and digital health records have improved healthcare access for individuals in remote areas, reducing the barriers to quality healthcare services. This is particularly crucial for backward communities that often face challenges in accessing healthcare facilities due to geographical constraints or lack of infrastructure.
Moreover, technology has facilitated the delivery of essential services such as government schemes, subsidies, and welfare programs. Digital platforms and mobile applications have streamlined the distribution process, reducing inefficiencies and ensuring that benefits reach the intended beneficiaries in a timely manner. This has contributed to greater transparency, accountability, and effectiveness in governance, thereby enhancing social inclusion and economic upliftment. However, it is essential to acknowledge that while technology presents immense opportunities, there are also challenges and considerations that need to be addressed. Issues such as digital divide, privacy concerns, cybersecurity threats, and digital literacy gaps must be tackled to ensure that the benefits of technology reach everyone, especially the most marginalized sections of society.
CONCLUSION
TOWARDS INCLUSIVE AND SUSTAINABLE DEVELOPMENT Economic empowerment and social inclusion are indispensable pillars of India's journey towards inclusive and sustainable development. By bridging disparities and ensuring equal opportunities for all, India can harness its demographic dividend and unlock the full potential of its diverse population. Policymakers, civil society organizations, and the private sector must work collaboratively to create an enabling environment that promotes economic prosperity and social harmony across all regions of the country. Through concerted efforts and inclusive policies, India can build a future where every individual has the chance to thrive and contribute to the nation's progress. We must strive for creating a country which was the ideal country in Dr. B.
R Ambedkar‟s view, where policies of affirmative action will not be required as the society‟s will progress enough to destroy the walls creating crevasses between different communities of a society.
There are certain ways through which we can solve the problem of Income disparity in India, like Investing in education and skill development programs, particularly in rural and marginalized communities. This can help individuals acquire the skills needed for higherpaying jobs and entrepreneurial ventures, thus narrowing the income gap. Expanding access to financial services such as banking, credit, and insurance in rural and underserved areas. This can empower individuals to start businesses, invest in education or healthcare, and build financial resilience. Encouraging the growth of industries that can create a large number of jobs, especially in sectors like manufacturing, technology, and services. This includes providing incentives to businesses, supporting entrepreneurship, and promoting a conducive business environment.
Directive Principles of State Policy provide a framework for promoting economic empowerment and inclusion of backward sections of society in India. By focusing on areas such as education, employment, land reforms, and social security, the state can work towards reducing income disparities and creating a more equitable society. However, concerted efforts are needed to overcome implementation challenges and ensure the effective realization of these principles. Also, the use of modern technology holds tremendous potential for promoting social inclusion and economic upliftment among backward sections of society in India.
By leveraging digital tools and platforms for education, employment, financial inclusion, healthcare, and service delivery, policymakers, businesses, and civil society organizations can work together to bridge income disparities and create a more inclusive and equitable society.