Context: Recently, three member-committee set up to examine the income criteria for determining the Economically Weaker Sections (EWS) is expected to submit its report to the Centre.

Background of the reservation

• Economically Weaker Section is a section of the society in India that belongs to the un-reserved category and has an annual family income of less than 8 lakh rupees.
• The government of India introduced a 10% reservation to this category of people.
• EWS reservation was granted based on the recommendations of a commission headed by S R Sinho in 2005.

The Sinho Commission recommended that:

• all below poverty line (BPL) families within the general category as notified from time to time,
• all families whose annual family income from all sources is below the taxable limit, should be identified as EBCs (economically backward classes).

Why was the committee set up?

• It was set up to provide an explanation for the basis for fixing an income limit of Rs 8 lakh for granting reservation to EWS.
• The Supreme Court questioned the income criteria for defining EWS, and made an observation that it appeared to be “arbitrary”.
• Reservation for Economically Weaker Sections (EWS) is being implemented in respect of recruitment in government services and admission in educational institutions.
• The revisioning of the criteria is in terms of the provisions of the explanation to Article 15 of the Constitution.
• The 10% EWS quota was introduced under the 103rd Constitution (Amendment) Act, 2019 by amending Articles 15 and 16.

Why has the Supreme Court termed the income ceiling arbitrary?

• The income limit in the criteria for the determination of the creamy layer of the OBC category and the EWS category is the same - 8 lakhs.
• The creamy layer in Other Backward Classes (OBC) category is known for excluding a section of the community that has ‘economically progressed’.
• In other words, the income criterion in respect of the OBC category is aimed at exclusion from a class.
• On the other hand, EWS category is identified to include the segment which is ‘poorer’ when compared to the rest of the community.
• In other words, in the case of the EWS category, income criterion is aimed at inclusion. Hence, it is arbitrary to provide the same income limit both for the OBC and EWS categories.

When were the income criteria fixed?

• The Centre issued a notification in 2019 implementing reservation criteria for postgraduate medical courses.
• It provided 10% reservation for EWS along with 27% for OBC within the all-India quota.
• It is set by the Department of Personnel and Training (DoPT) based on the 103rd Amendment to the Constitution.

The 2019 notifications include

• The criteria for identification of Economically weaker Sections (EWS)
• It also specifies what constitutes income,
• It also excludes some persons from the EWS category if their families possess assets specified in the notification.
• At present, those with an annual income below Rs 8 lakh fall in the EWS category.