Blitz Bureau
Lucknow: In a far-reaching labour reform, the Uttar Pradesh government has approved the creation of the Outsource Service Corporation Limited (UPOSCL) to regulate and protect the interests of outsourced workers across the state. The initiative is being hailed as a turning point in making public employment systems more transparent and worker-friendly.
A Workforce of 11 Lakh Under One Umbrella
More than 11 lakh people are currently engaged on outsourced contracts in 93 government departments. Until now, recruitment was handled through private agencies, often leading to delayed salaries, lower wages, and denial of statutory benefits. The new corporation will serve as a single nodal body to streamline appointments and ensure fair practices.
Timely Salaries and Statutory Benefits
Under the new system, outsourced staff will be hired on three-year contracts with monthly honoraria ranging from ₹16,000 to ₹20,000. Their wages will be transferred directly into bank accounts between the 1st and 5th of every month, removing dependence on contractors.
Employees will also receive Provident Fund (EPF) and State Insurance (ESI) contributions, along with access to maternity leave, funeral assistance of ₹15,000, and periodic skill-development training. Reservation benefits for SC, ST, OBC, EWS, women, ex-servicemen, and persons with disabilities will be strictly enforced.
Transparent Recruitment Through GeM
UPOSCL, registered as a Section 8 non-profit public limited company, will empanel outsourcing agencies through the Government e-Marketplace (GeM) portal. Officials say this transparent and competitive system will replace the opaque practices that had allowed private middlemen to dominate recruitment.
A Segment Worth Nearly ₹30,000 Crore
The financial scale of outsourcing in Uttar Pradesh is massive. Based on official workforce numbers and salary bands, the annual wage bill is pegged at ₹21,000–₹26,000 crore, with an additional ₹3,000 crore in employer contributions towards EPF and ESI. Together, the sector represents a financial footprint of ₹24,000–₹29,600 crore every year.
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Chief Minister Yogi Adityanath, who chaired the Cabinet meeting, described the move as a “landmark decision to make outsourcing transparent, accountable, and humane.” Officials believe it will not only improve working conditions but also boost efficiency in government service delivery.
By placing outsourced staff under a structured, state-run system, Uttar Pradesh has sent a clear signal: dignity, security, and fairness are non-negotiable in the workplace.
