• UGI USER
  • Jul 29, 2024
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ON RESERVATIONS AND THE OBC CREAMY LAYER

Relevance: GS 2 – Government policies and interventions for development in various sectors and issues arising out of their design and implementation.

Why in the news?

  • The allotment of Indian Administrative Service (IAS) to Puja Khedkar as an Other Backward Class (OBC) Non-Creamy Layer (NCL) candidate.
  • The candidate also has multiple disabilities.
  • This case has raised issues surrounding the creamy layer in OBC reservation.

Recommendations of the Mandal Commission

Reservation in Government Jobs and Educational Institutions:

  • 27% reservation for OBCs in central government services and public sector undertakings.
  • The Same 27% Reservation in educational institutions for OBCs.

Criteria for Identifying OBCs:

  • Social, educational, and economic indicators to determine backwardness.
  • Use of caste as the primary indicator of social backwardness.

Implementation of Welfare Measures:

  • Various measures to enhance the educational and economic status of OBCs.

History of Reservation in India

  • Constitutional Provisions:
    • Articles 15 and 16 guarantee equality to all citizens in government policies and public employment.
    • Special provisions for the advancement of socially and educationally backward classes (OBC), Scheduled Castes (SC), and Scheduled Tribes (ST).
  • Reservation for SCs and STs: 15% reservation for SCs and 7.5% reservation for STs.
    • Applicable in jobs, educational institutions, and public sector undertakings (PSUs) at the central level.
  • Implementation of OBC Reservation: In 1990, Prime Minister V. P. Singh implemented 27% reservation for OBCs in central government employment based on Mandal Commission (1980) recommendations.
    • Expansion to Educational Institutions: In 2005, reservation was extended to OBC, SC, and ST in educational institutions, including private institutions.
  • Reservation for Economically Weaker Sections (EWS): In 2019, 10% reservation was introduced for the Economically Weaker Sections (EWS) among the unreserved category.

The Creamy Layer 

  • Supreme Court Ruling on OBC Reservation:
    • The 27% reservation for OBC was upheld by the Supreme Court in the Indra Sawhney case (1992).
      • The court opined that caste is a determinant of class in the Indian context.
    • To uphold the basic structure of equality, the court fixed a cap of 50% for reservation, unless there are exceptional circumstances.
    • The court also provided for the exclusion of the creamy layer from OBC reservations.
  • Criteria for Identifying the Creamy Layer:
    • Based on the recommendations of the Justice Ram Nandan Prasad Committee (1993).
    • Determined by the position/income of an applicant’s parents alone.
    • Income Criteria: Parental income, excluding income from salary and agricultural income, should be more than ₹8 lakh in each year in the last three consecutive financial years.
    • Additional Criteria for Creamy Layer:
      • Parents, either of whom entered government service (centre or State) as Group A/Class I officers or parents, both of whom entered as Group B/Class II officers or father, who was recruited in Group B/Class II post and promoted to Group A/Class I before 40 years of age.
      • Either of the parents employed in a managerial position in PSUs.
      • Either of the parents holding constitutional posts.

Issues Surrounding Reservation

  • Inadequacies in the Process:
    • Allegations of some applicants obtaining Non-Creamy Layer (NCL) or Economically Weaker Sections (EWS) certificates through dubious means.
    • Similar issues may exist with respect to disability certificates, enabling misuse of the 4% reserved seats for persons with disabilities in central government jobs.
  • Evasion of Creamy Layer Exclusion:
    • Allegations of applicants and their parents adopting strategies to bypass creamy layer exclusion, such as:
      • Gifting of assets.
      • Taking premature retirement.
    • Since the applicant’s or spouse’s income is not considered for exclusion, these tactics can be used to maintain eligibility.
  • Concentration of Reservation Benefits:
    • The Rohini Commission has estimated that 97% of reserved jobs and seats in educational institutions have been secured by just around 25% of the OBC castes/sub-castes at the central level.
    • Close to 1,000 out of approximately 2,600 OBC communities had zero representation in jobs and educational institutes.
    • Similar issues of concentration exist within the SC and ST categories, where there is no exclusion based on the creamy layer.
  • High Percentage of Reservation:
    • Reservation currently stands at 60%, including EWS reservation, reflecting societal realities and the need for higher reservation percentages.
    • Government replies in Parliament indicate that 40-50% of seats reserved for OBC, SC, and ST in the central government remain unfilled.

Way Forward

  • Plugging Loopholes: Implement thorough scrutiny in the issuance of NCL, EWS, and disability certificates.
    • Ensure only eligible applicants obtain these benefits.
  • Filling Reserved Vacancies: Address the backlog and fill vacancies for reserved communities promptly.
  • Sub-Categorisation of Reservation: Implement sub-categorisation to address the under-representation or non-representation of various communities within OBC, SC, and ST categories.
  • Consideration of Creamy Layer Exclusion for SC and ST: Explore the possibility of creamy layer exclusion for SC and ST categories, particularly for children of Group I/Class A government officials.
  • Initiating Dialogue: Begin discussions with all stakeholders on these sensitive matters.
    • Weigh arguments and counterarguments to ensure a balanced approach.
  • Ensuring Equitable Distribution:
    • Ensure that the benefits of reservation reach the more marginalised among the underprivileged in successive generations.
    • Implement measures to make the reservation system more effective and equitable.

Alternative articles

https://universalinstitutions.com/clarification-on-de-reservation-policy/

Source: https://www.thehindu.com/news/national/on-reservations-and-the-obc-creamy-layer-explained/article68458087.ece

Mains question

Critically analyze the challenges and potential solutions for equitable distribution of reservation benefits in India, focusing on issues related to the creamy layer, sub-categorization, and certificate fraud. (250 words)