A Parliamentary Committee on the Welfare of Other Backward Classes (OBCs) has
recommended increasing the ₹8 lakh income limit for the “creamy layer” within OBCs.
📍📍 Why?
• To ensure more backward class individuals benefit from reservation policies & welfare
schemes.
• The creamy layer income cap was last revised in 2017 (from ₹6 lakh to ₹8 lakh).
🔹🔹Key Recommendations of the Panel
✔ Increase in Creamy Layer Income Limit
• The committee suggested raising the income cap after consultations with stakeholders.
✔ Transparency in Job Quotas
• Urged the government to publish data on Central job reservations for better
accountability.
• The DoPT’s RRCPS portal tracks this data but is currently not publicly accessible.
✔ Uniform Income Calculation Formula
• Different states calculate the creamy layer limit differently.
• Recommended a uniform income calculation method at the national level.✔
Equivalence of Posts in Autonomous Bodies
• Delays in defining post equivalency have resulted in OBC UPSC candidates missing service allocations.
✔ Increase in Scholarship Income Limit
• Suggested doubling the ₹2.5 lakh income limit for OBC pre- and post-matric scholarships.
• Also recommended raising the limits for top-class scholarships in school & college education.
✔ Expanding Scholarship Coverage
• Pre-matric scholarships should cover students from Class V onwards (currently available only for Class IX & X).
• The top-class scholarship slots (currently 15,000) should be expanded based on demand.
🔹🔹What is the Creamy Layer Principle?
✔ Purpose
• Ensures reservation benefits go to truly disadvantaged OBCs.
• Prevents economically privileged OBCs from overutilizing affirmative action.
✔ Origin
• Introduced in Indra Sawhney Case (1992) (Mandal Commission Case).
• The Supreme Court ruled that affluent OBCs should not get reservation benefits.
✔ Impact
• More effective affirmative action by ensuring equitable distribution of benefits.
• Prevents misuse of reservation by wealthier or socially advanced OBCs.
🔹🔹Need for the Creamy Layer Concept
✔ Prevents Misuse: Stops economically well-off OBCs from taking undue advantage.
✔ Ensures Transparency: Clear income thresholds create fairness in reservations.
✔ Promotes Social Mobility: Helps genuinely disadvantaged OBCs access education & jobs.
✔ Fosters Social Justice: Ensures reservation reaches those most in need.
🔹🔹Constitutional Provisions on Reservation
📜📜 Article 16
• Guarantees equal opportunity in public employment.
• Allows the State to provide reservations for backward classes that are underrepresented in services.
📜📜 Article 16(4A)
• Allows reservation in promotions for SCs & STs in government jobs.
📜📜 Article 335
• Recognizes the need for special measures to uplift SCs & STs in public employment.
📜📜 103rd Constitutional Amendment
• Introduced 10% reservation for Economically Weaker Sections (EWS) in education & jobs.
Way Forward
✔ Regular Updation of Creamy Layer Limit:
• Adjust the income cap periodically based on inflation & economic conditions.
✔ Data Transparency:
• Make reservation data public to improve trust & accountability.
✔ Uniform National Formula:
• A standardized income calculation method across all states.
✔ Expand Scholarship Benefits:
• Widen the reach of educational financial aid to support more disadvantaged students.
📌📌 Conclusion
Raising the creamy layer limit will enhance access to reservations & scholarships for genuinely backward OBCs. However, a
balanced approach ensuring transparency, uniformity, and proper implementation is crucial for achieving true social justice.