Over 40 years on, Kerala’s unemployment allowance scheme still follows outdated eligibility rules

Kottayam: Two decades ago, young people queued for hours outside employment exchanges to claim unemployment benefits. Today, only 286 individuals continue to receive the allowance, which remains ₹120 per month.

The eligibility criteria, set when the scheme was launched 43 years ago, remain unchanged. Annual family income must not exceed ₹12,000, and the applicant’s monthly income should be under ₹100. The surprising fact is that even today, 286 people still meet these conditions. The department has repeatedly requested the government to update the criteria, but no action has been taken.

In 2024, 2,019 people received unemployment benefits, compared with 19 lakh beneficiaries in 2015. Currently, the highest number of recipients is in Alappuzha district (138), followed by Kottayam (26) and Idukki (25). Only one person each receives benefits in Palakkad, Malappuram and Wayanad, while no recipients are recorded in Kannur and Kasaragod.

Local bodies received 24 new applications for unemployment benefits in 2024. While ₹26.54 crore was distributed in 2014 and ₹37.37 crore in 2015, last year’s disbursement amounted to just ₹14.14 lakh.

Similarly, applications for self-employment assistance have declined. Where financial aid of up to ₹25 crore was provided a decade ago, only ₹7.34 crore was distributed in 2024.