6th August, 2002
SOCIAL JUSTICE & EMPOWERMENT
INDPENDENCE DAY FEATURE


TOWARDS UPLIFT OF OTHER BACKWARD CLASSES


The Constitution specifically recognizes the existence of a category of India’s people called the "Socially and Educationally Backward Classes" or "Backward Classes other than SCs and STs". Various articles of the Constitution empower the State to make specific policies and programmes for the development of Backward Classes.

The Backward Classes are those castes and communities that are notified as socially and educationally backward classes by the State and the Central governments from time to time. As per the estimates made by the Mandal Commission, the Backward Classes constitute 52 per cent of the country’s population, a majority of whom are poor and possess no assets or very little assets.

To bring the OBCs in the mainstream of the society, the Government has taken various steps for their socio-economic empowerment through educational and economic support. These include, implementation of educational development schemes and concessional financial assistance for supporting economic activities. Since 1998-99 the Government has been implementing the schemes of pre-matric and post-matric scholarships, hostel for OBC boys and girls, assistance to voluntary organizations and pre-examination coaching. During the financial year 2001-2002, a Budget provision of Rs. 60.50 crore had been provided under these schemes. Of that amount Rs. 55.26 crore was utilized by the end of the financial year. A Budget provision of Rs. 64.50 crore has been made for 2002-2003.

In 1992, the Government set up the National Backward Classes Finance and Development Corporation (NBCFDC) with the object of providing concessional finance to the members of the Backward Classes living much below the poverty line. The Corporation has been extending them loans at concessional rates of interest for their skill upgradation, income generating schemes and setting up of self-employment ventures. As against the authorized share capital of Rs. 700 crore, the Government has so far contributed towards its share capital to the tune of Rs. 390.40 crore (paid-up share capital). The Corporation has so far disbursed loans amounting to Rs. 662.22 crore covering 4,07,019 beneficiaries under its schemes. A Budget Provision of Rs. 12 crore has been made for 2002-2003.

The Government has also set up the National Commission for Backward Classes (NCBC) to examine the requests and recommend for inclusion and complaints of over-inclusion and under-inclusion in the Central Lists of Backward Classes. The Central Government has included 2268 castes/communities excluding sub-castes/synonyms in the Central Lists of OBCs in respect of 26 States /UTs through 19 Gazette Notifications issued so far.

In addition to these schemes, the Central Government has also provided 27 per cent reservation in the civil posts and services under the Central Government in favour of the OBCs. This reservation is available to those members of the Backward Classes who are not covered under the Creamy Layer clause.

Creamy Layer

The Supreme Court in its judgement in the case of Indira Sawhney and others vs. Union of India and others delivered on November 16, 1992 upheld 27 per cent reservation for the OBCs subject to the exclusion of socially advanced persons/sections (Creamy Layer) from amongst the OBCs and directed the Central Government to evolve criteria for identification of Creamy Layer among the OBCs. The Government appointed an Expert Committee which submitted its report specifying the criteria for identification of the socially advanced persons amongst the OBCs. The Government accepted the recommendations of the Committee and circulated among all the Ministries/Department of the Central and State governments in September 1993. As per the recommendation, the rule of exclusion applies to son(s) and daughter(s) of persons holding Constitutional positions like President of India, Vice-President of India, Judges of the Supreme Court/High Courts, Chairman and Members of the Union Public Service Commission and State Public Service Commissions, Chief Election Commissioner, Comptroller and Auditor General of India, parents either of whom is a Class I officer, parents either or both of whom is or are in the rank of Colonel and above in the Army and equivalent posts in the Navy and Air Force and the para-military forces. Families owning irrigated land, which is equal to or more than 85 per cent of the ceiling limit in terms of irrigated land as per State land ceiling laws and persons having gross annual income of Rs. 1 lakh or above or possessing wealth above the exemption limits prescribed in the Wealth Tax Act for a period of three consecutive years (income from salaries or agricultural land shall not be clubbed) are also excluded.

The issue of modification of the income criteria laid down by the Expert Committee for exclusion of the members of the Other Backward Classes as per Creamy Layer concept is under active consideration of the Government.

Other Benefits

The Government has provided OBC candidates the benefit of relaxed standard in respect of written examinations and interviews, same as in the case of SC and ST candidates. It has also issued instructions relaxing the upper age limit for OBC candidates in direct recruitment by 3 years and the number of attempts for OBC candidates who are otherwise eligible has been increased to 7 in respect of civil service examinations.

 
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