Boosting the Care Economy: A Proposal
A working paper by the Economic Advisory Council to the Prime Minister (EAC-PM) emphasizes creating a robust framework to enhance the care economy.
Key Proposals
- Dedicated Fund: Establish a skilled and better-paid workforce.
- Policy Reforms: Implement policy reforms and enforce quality standards.
Projected Demand
- Domestic demand for care workers is expected to surpass 30 million by 2050.
- Global demand for care workers is also anticipated to increase significantly.
Financial Strategies
- Innovative Financing: Expand financing for care infrastructure and encourage "carepreneurs".
- Parivar Seva Kosh: Propose an outcome-based government-to-government fund under the finance ministry.
- Leverage corporate social responsibility (CSR) funds towards care projects.
Support for Entrepreneurs
- Create a Carepreneur Fund for concessional finance to entrepreneurs and co-operatives.
Public-Private Partnerships (PPPs)
- Develop model concession agreements for investment in care facilities.
Workforce Development
- Standardize training, certification, and occupational frameworks for childcare and eldercare workers.
Policy Recommendations
- The Ministry of Labour and Employment can introduce phased parental leave reforms.
- Start with statutory paid paternity leave in the private sector, moving towards a gender-balanced policy.
