Fixed-term contractual employment: A small move in the right direction

The new fixed-term contractual employment scheme stipulates that such workers will get the same benefits as regular workers

Last week the Union government took a baby step in the right direction. It made it easier for industry to hire labour contractually for a fixed, implicitly shorter, term. Such labour can be released at the end of the contract without incurring the usual consequences of firing.

Such a facility has been available to the leather and garments industries since October 2016. It is now extended to all sectors. The finance minister had made this announcement in his last budget speech. The legislation is a quick follow up on the same. Apparently, the facility has not made a big difference