Reforms Required In Labour Legislation That Could Help Promote Make In India
LawZ Magazine|June 2018

Reforms Required In Labour Legislation That Could Help Promote Make In India

Akanksha Sood
Reforms Required In Labour Legislation That Could Help Promote Make In India

In India, currently, there are more than 400 labour laws for central and state combined. Thus, the problem of labour laws needs close and deep introspection. It has also been accused many times that these laws neither has any benefit nor strength for working for population and at the end, they better serve the employer rather than employees. In desperate need for reforms, there are several changes that the government of India needs to inculcate if it wants to really change the domain of its manufacturing sector..

Uniform labour law

At present- there are around 400 local and national laws prevailing throughout the country. Around 26 crores more or less population is involved in agriculture and around 10 crores are involved in the unorganized sector like construction and retailing. Interestingly none of them are fully covered under the prevailing labour laws. Out of 9 crore workers in the organised sector, only 3 crores including public and private sector combined together are covered by existing law as per the data provided by R.B.I. As a result of such sector-specific law, many companies tend to hire employees on a temporary basis rather than permanent. Some of that laws are payment of wages (Air Transport Services) Rules 1968, Sales Promotion Employees (Condition of Service) Act 1976” etc.

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