Contributory Social Security and Employment-Based Social Protection for Unorganised Workers: Moderating Role of Regulatory Framework

Abstract

Purpose- Social protection measures can play a critical role in achieving development goals in the same way that a lack of security undermines them and increases vulnerability. In a developing country like India, a quantitative investigation of contributory social security, regulatory framework, and unorganized workers’ social protection is worth studying. Design/methodology/approach- This study examines the role of contributory social security and regulatory framework extending social protection for workers in the informal economy. Responses from 406 workers were obtained via a scheduled method using a questionnaire. The data in this study were analysed using SPSS version 20.0 and Smart PLS version 3.0 software. Findings- The present study aims to examine how the dimensions of employment relations affect employment-based social protection. The results show a high potential for contributory insurance to extend social protection for unorganized workers, while a robust regulatory framework strengthens employment relations and social protection in the informal economy. Research limitations/implications - The workers considered in the survey were employed in construction and from only two cities; hence, the results might not be generalized. This study substantiates the literature on social insurance, regulatory mechanisms, and informal workers’ protection. Practical implications- This study ascertains the growing necessity of contributory insurance for workers in non-standard employment. This study confirms the critical role of the regulatory framework that ensures social protection for unorganized workers. It has potential implications for the government, policymakers, labour officials and insurance providers. Originality/value- This study offers a novel inquiry to underscore the significance of contributory insurance and regulatory frameworks, while the extant literature mainly focuses on establishing relations between employment relations and social protection for unorganized workers. The association between employment relations and social protection was established through contributory social security. Furthermore, the regulatory framework enhances the association between employment relations and social protection