The government is likely to bring a constitutional amendment bill in Parliament on Tuesday, they said, adding that the quota will be over and above the existing 50 per cent reservation.
The section doesn't get reservation as of now, the sources said.
"The reservation will be given to those economically backward poor people who are not availing the benefit of reservation as of now," a source explained.
The reservation benefit is likely to be availed by those whose annual income is below Rs 8 lakh and have up to five acres of land, he said.
Articles 15 and 16 of the Constitution will have to be amended for implementation of the decision, the sources added.
The Congress described the government's decision as an "election gimmick" and accused the BJP of posturing ahead of the national elections. ALSO READ: Quota for economically backward among general category a poll gimmick: Cong
Congress spokesperson Abhishek Singhvi said the government did not think about this for four years and eight months and brought this just months before the model code of conduct coming into effect.
He also asked whether the government has the majority to bring about a Constitution amendment in Parliament.
Why did you not think of this for four years and eight months? So obviously thought of as election gimmick three months before the model code. You know that you cannot exceed 50 per cent maxima so it is done only to posture that you tried," he said in a tweet.
Former Union Finance Minister Yahswant Sinha dubbed as "jumla" (fake promise) the Modi government's move to approve 10 per cent reservation for economically backward upper castes in jobs and educational institutions.
Sinha questioned the government's intent citing legal complexities and paucity of time as the current session of Parliament is scheduled to end on Tuesday.
"The proposal to give 10 per cent reservation to economically weaker upper castes is nothing more than a jumla.
It is bristling with legal complications and there is no time for getting it passed through both Houses of Parliament. Government stands completely exposed," tweeted Sinha.