North lags in labour reforms

CHANDIGARH: A comparison of labour practices in the northern states with those in the progressive states in the rest of India shows that state level labour reforms have not really taken off and the state governments need to follow a proactive, and not protective, labour policy. The states also need to realise that economic and commercial viability is a pre-requisite for job security. Labour laws, being in the Concurrent List, afford space and freedom for states to bring in amendments to remove rigidities and promote the entrepreneurial climate without waiting for the central governmentâ€™s intervention. A comparative analysis of labour practices in select northern region, including Punjab, Haryana, Himachal and Rajasthan, by the CII says that workforce adjustment is one of the responsibilities of the employer and the onus cannot be shifted from the employers. At the same time, the government must take a neutral stand between the conflicting interests of the employer and the employees. CII says, to accelerate the industrial sectorâ€™s growth in the north, the state governments have a crucial role to play in terms of policies relating to labour laws. Thus, current labour laws must be made flexible enough to allow leeway where it is warranted. Northern states, in particular, need to push harder on the manufacturing front for achieving the 10% growth target. By adopting a proactive approach, the northern states could become an attractive proposition for the investing community and in the process reap long term benefits for the overall economy. The study points out that Punjab, Himachal Pradesh and Rajasthan have kept pace with progressive states like Gujarat, Karnataka and Pondicherry in undertaking reforms. However, none of the states surveyed provides exemption from notice for change under section 9-A of the Industrial Disputes Act, 1947. Haryana and Himachal Pradesh are the only states which have added the continuous process/ hazardous/ export-oriented industries to the first schedule of the Industrial Disputes Act, 1947. Even progressive states like Gujarat, Karnataka and Pondicherry have not adopted any of the three provisions of the ID Act covered in the survey. Himachal Pradesh is the only state which gives exemptions to EOUs from all provisions of Sections 51, 52, 54 and 56 of the Factories Act, 1948. Similarly, Rajasthan alone has a provision of deemed approval for factory building plan. Many states, however, are permitting two-shift operations with women workers under this act. None of the states surveyed, except Karnataka, could yield encouraging responses on the various aspects of Inspector Raj. It is felt that a common inspection should be carried out under all labour and pollution laws reducing the regular visits by the inspectors. Inspections should be carried out once a year as per an advanced schedule and with prior intimation. Moreover, it should suffice to have a common audit questionnaire covering all labour legislation filled by an employer and submitted to one agency. The survey reveals that Gujarat and Karnataka have a common muster roll for different acts. Pondicherry has provided for a single inspection book and computerised records are also being accepted all the more. Haryana and Punjab have consolidated various return forms into a single booklet, while Karnataka has gone a step further with a single format for various annual returns. Punjab, Rajasthan, Gujarat and Karnataka have the provision of self certification.

North lags in labour reforms

A comparison of labour practices in the northern states with those in the progressive states in the rest of India shows that state level labour reforms have not really taken off and the state governments need to follow a proactive, and not protect...

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