Empowering TOMCOM is key to protecting migrant workers and maximising remittance gains
By Dr Vijay Korra
The United Nations Department of Economic and Social Affairs (UNDESA) estimated 304 million international migrants globally in 2024, from 275 million in 2020. In other words, 3.7 per cent of the world’s population are migrants, with males making up the majority. Among them, 169 million are migrant workers, primarily concentrated in Asia and Europe. India has remained the top country of origin, with 18.5 million migrants, for the past 15 years.
India also received USD 118.7 billion in remittances, making it the only country to exceed the USD 100-billion-mark and the top remittance-recipient country since 2008. The main sources of these remittances are the US (USD 79 billion), followed by Saudi Arabia (USD 39 billion). For 2023-24, Maharashtra accounted for 20.5 per cent of India’s total remittances, followed by Kerala (19.7 per cent), Tamil Nadu (10.4 per cent), and Telangana (8.1 per cent).
While emigration from southern States, especially Kerala, to Gulf nations has stagnated, migration from northern states such as Bihar, Uttar Pradesh, and Rajasthan has increased. Notably, Telangana has emerged as a major contributor to Gulf migrants, with over 1.5 million of India’s total 9 million Gulf-based workforce. The northern districts of Telangana account for 70 per cent of these migrant workers and play a vital role in the State’s development through remittances. In 2024, Telangana contributed over Rs 25,200 crore, accounting for 8.1 per cent of India’s total remittances.
Sought-after Gulf
Remittances from migrant workers help India earn foreign exchange, generate tax revenue, stimulate economic growth through increased consumption, boost economic activities, reduce poverty, promote investment, and create jobs.
At the household level, remittances provide a steady income, enabling families to meet daily needs, invest in education and healthcare, improve housing and infrastructure, support agriculture, increase savings, and ensure economic stability.
With over 1.5 million Gulf-based workforce, Telangana contributed over Rs 25,200 crore — 8.1 per cent of India’s total remittances — in 2024
In Telangana, especially in rural northern districts, remittances have led to improvements in infrastructure and amenities comparable to urban areas, helping bridge the rural-urban divide. It is fair to say that remittances have been a key factor in the State’s rapid development, as it aims to become a USD 3 trillion economy by 2047.
Pull Factors
Several factors motivate Telangana workers to seek employment in Gulf countries:
On the flip side, limited job opportunities, low wages, and rural underdevelopment in Telangana push workers abroad. Many face unstable agricultural income and losses, which compel farmers to migrate. Irregular work and financial aspirations also drive migration.
Most migrants are either low-educated or semi-skilled, coming from all social backgrounds — farmers, labourers, tenants, and unemployed youth, aged between 20 and 55 years. Some finance their migration from personal resources, while others rely on borrowings from friends and relatives, or take high-interest loans from moneylenders.
Often, they travel through unauthorised recruitment agencies that manipulate job details, salaries, and locations, which can lead to low income, poor savings, job loss, police detention, and imprisonment in the Gulf Cooperation Council countries.
Despite these risks, Telangana migrants continue to take up jobs in construction, as domestic help, driving, electrical work, plumbing, storekeeping, and sanitation — though salaries often fall short of expectations. Most work long hours and save by cutting back on expenses or borrowing from friends to send money home. Emotionally, they suffer from separation, loneliness, and the inability to participate in family events or watch their children grow.
Additionally, migrant workers face issues like non-fulfilment of job and salary agreements, lack of health insurance, delayed wages, and abuse by employers. The absence of effective grievance redressal mechanisms further worsens their plight, leading to mental stress.
Addressing Challenges
To address these challenges, the Telangana government has launched ‘Gulf Bharosa,’ offering Rs 5 lakh to the families of deceased emigrants. A committee has been formed to study issues faced by Gulf migrants and recommend solutions. The government has promised to establish a ‘Gulf Workers Welfare Board’ with Rs 500 crore corpus to support distressed migrants. Also, insurance schemes for Gulf workers are on the cards. The government also plans to set up resource centres in each district to provide training and reskilling to return migrants, helping them reintegrate into the domestic job market.
Recent initiatives appear to support families of deceased and needy migrant workers but to further improve their situation, the government should overhaul the Emigration Act of 1983 and enact the new Emigration Act, the drafting of which began in 2019.
This law should address wages, working and living conditions, health protections, insurance and welfare support for workers facing job loss or detention in GCC countries. A support system must be created for workers to assist them with legal or health issues abroad. Bilateral agreements with Gulf countries will improve coordination.
The Telangana Overseas Manpower Company (TOMCOM) must be expanded and empowered, not only for creating employment awareness and facilitating recruitment but also for providing pre-departure training and skill development. Such efforts could streamline emigration processes and enable Telangana to benefit more from increased remittances.
(The writer is Assistant Professor at the Centre for Economic and Social Studies, Hyderabad, and author of the book ‘Gulf migration and rural transformation in Telangana’)