On a Dangerous Course?

The centre’s plan is an attempt to enhance flexible employment at the cost of reduced economic and social security of workers and their increased vulnerability to exploitation. It will also push out women workers from paid economic activities

- Rahul Suresh Sapkal, KT Suresh

SINCE the introduction of four labour codes, India’s concerted effort to promote flexible labour markets has been the subject of considerable debate. In order to increase India’s global ranking in the World Bank’s Ease of Doing Index, all policy reforms have been directed at protecting the interests of employers and capital.

This has attracted indignation from all quarters—trade unionists, civil society organisations, think tanks and scholars. They are seeing this as the beginning of an era of “Precarious World of Work” that will take the Indian economy to a low path of development. Advocates of flexible employment have argued that it will enable enterprises to lower their costs and enhance competitiveness in times of rapidly changing markets and technologies.

Moreover, it is expected to offer new opportunities for small enterprises to enhance their linkages to larger firms. In theory, these claims appear to be efficiency-enhancing when there is perfect compliance with labour regulations that will protect the rights of workers. How ever, in reality, what we see is an attempt to enhance flexible employment at the cost of reduced economic and social security of workers and their increased vulnerability to exploitation, especially where there is little or no labour market regulation (Standing, 1999)1 .

At a time when the economy is yet to pick up steady growth and unemployment is at its peak, the government mooting a four-day week (48 hours of work per week, three days of paid leave in a week and 12 hours of work per day) requires critical examination.