The Rajasthan government’s recent moves on the labour reforms front have drawn flak from central trade unions, including Bharatiya Mazdoor Sangh, which is affiliated with the Rashtriya Swayamsevak Sangh.
The unions have dismissed the term “labour reforms” as baseless and have strongly opposed the state government’s move to tweak the Industrial Disputes Act, 1947, the Factories Act, 1948, and the Contract Labour Act, 1971.
On Thursday, the Vasundhara Raje-led government in Rajasthan had passed a Cabinet note for bringing amendments to the three labour laws.
“We strongly oppose this move. During the preparation of the Bharatiya Janata Party (BJP)’s manifesto, we had said there was no scope of labour reforms in the country. It was incorporated in their manifesto, which had called for a review in the labour laws. However, the issue was review, not reforms,” said B N Rai of the Bharatiya Mazdoor Sangh.
According to an amendment to the labour laws, the state wouldn’t require the Centre’s permission for the retrenchment of up to 300 employees, against the current 100. Another amendment says now the Contract Labour Act will be applicable to companies with more than 50 workers, against the current 20, while the Factories Act will be applicable to units with more than 20 employees, against the current 10 (in case of non-electric companies, the amendment raises the limit from 20 to 40).
Relevant Bills in this regard might be introduced in the state Assembly the next month, following which these will be sent to the President.
Trade unions have said implementation of existing labour laws was the key issue, not ushering in labour reforms. “There were long-pending demands from employers and the government, saying labour laws were the biggest hurdle in generating employment. But all trade unions believe the biggest problem we face is non-implementation of labour laws. All arguments saying amending certain provisions can create employment are baseless,” said A K Padmanabhan, president of the Centre of Indian Trade Unions, associated with the Communist Party of India (Marxist).
He added the trade union had opposed the Rajasthan government’s move, seen as “corporate-friendly”.
“This was one of the demands made by corporates to the new government at the Centre, who saw labour laws as an obstacle to employment-generation. This move is in sync with what the BJP government at the Centre might do in the near future,” said Padmanabhan.
Opposing the amendments, the Bharatiya Mazdoor Sangh has instructed its Rajasthan unit to contact the state ministry concerned. To decide on a course of action, it has also convened a joint meeting of all central trade unions.
