(Juhi Aishwary, Journalist)
New Delhi: Six state governments have made major changes in their labor laws to promote economic development in the country. The lockdown has continued in the country since March 25 to prevent the spread of the coronavirus. As such, many companies have started layoffs. This has brought the economy to a standstill. Therefore, keeping in view employment and investment, the state governments have changed the labor law.
After Uttar Pradesh, Madhya Pradesh, and Gujarat, now Goa, Maharashtra, and Odisha have also announced significant changes in labor laws. State governments are calling it a good decision to speed up investment, jobs, and economy.
Uttar Pradesh government will give an exemption for three years
The Uttar Pradesh government has decided to exempt labor laws for the next three years. A spokesman for the state government said that the government has approved an ordinance that provides an exemption from labor laws to industries to revive the economy and investment affected after the Coronavirus infection. The Council of Ministers of State chaired by Chief Minister Yogi Adityanath approved the ‘Ordinance 2020 for a temporary exemption from Uttar Pradesh selective labor laws’ so that all labor except the provision of three labor laws and one other law to factories and industries. Exempt from laws. The provisions of the labor law relating to women and children and some other labor laws will continue to be in force.
Madhya Pradesh government reduces paperwork
The Government of Madhya Pradesh has made amendments in the major Acts, including the Industrial Disputes Act and the Factories Act. It has also reduced paperwork to help companies recover faster from the Covid-19 crisis. Madhya Pradesh Chief Minister Shivraj Singh Chouhan announced various steps, saying that the shift to working in all the factories in the state will increase from 8 hours to 12 hours. 72 hours of overtime a week have been approved. The factory planners will be able to make changes in the shifts to facilitate productivity.
Gujarat government also announced the easing of labor laws
Following the path of Uttar Pradesh and Madhya Pradesh, Gujarat also announced the easing of labor laws. Gujarat Chief Minister Vijay Rupani said, ‘All new projects working for at least 1,200 days or projects working for the last 1,200 days will be exempted from all provisions of labor laws. However, three provisions will remain in force. The state government has also identified 33,000 hectares of land for global companies that want to transfer their business from China. No other provisions of the labor law shall apply to companies other than laws relating to the payment of minimum wages, compliance with safety norms, and adequate compensation to workers in case of an industrial accident.
Goa and Odisha and Maharashtra government also relaxed labor laws
Now the governments of Goa, Maharashtra, and Odisha have relaxed labor laws under the Factories Act of 1948. On Friday, both states have allowed increasing the working hours in all factories from 8 hours to 12 hours. 72 hours of overtime a week have been approved. The governments of Goa and Odisha have announced a relaxation of labor laws for three months due to the corona virus epidemic. Both states stated that workers would be paid extra for extra hours. At the same time, the Government of Karnataka is also thinking about giving exemption in labor laws.
Center supports reforms
The central government supported structural labor reforms to spur economic growth. Supported changes and exemptions to the Comprehensive Labor Law brought by the state government. The central government and the BJP governments of Madhya Pradesh and Uttar Pradesh are confident that the reformist mindset and labor compliance holiday will attract more investment and this will ensure development.
There may be changes in other states as well
Other states can also follow this path soon. He too is considering loosening the rules here. Haryana has also started taking steps in this direction. The Punjab government is contemplating changes in labor laws and excise policy to start economic activities in the state and make it an attractive destination for migrant laborers. The statement issued by the government said that the state cabinet meeting chaired by Chief Minister Amarinder Singh considered changes in labor law and excise policy in the state.