Labour Law‟s Reform of COVID 19 Context : Obtain
an Turn of Taking India Back Into slavery?
In view of Covid 19 lockdown crisis the Labour law reforms of the States appear to be
another procedure of labour reform in the country. Because in the latest the codification
restructuring of 44 labours laws into four codes namely on wages, industrial relations, social
security and safety, health and working conditions has been started by the Modi Government
from its all beginning, to make ease of doing business is only partially. Even now the Social
Security Code, 2019 and the Occupational Safety and Health and Working Conditions Code,
2019 are pending.
At all events the Labour reform is a long-standing issue, still it remains untreated properly.
All its initiatives and implementation are at the stage of a standstill with a lot of
apprehensions attached to the no agreement among tripartition (employer, employee and
Government) representatives.Owing to the current context, some of States are in a move of
changing the labour laws with force and undemocratic decisions. Like extending working
hours, prohibiting migrant workers to go back, making ordinance for compulsory
surrendering of the salaries, are the some of the indications of taking away the workers‟ rights
which have been giving dignity of workers and decent work culture as per ILO directions.
Being a founding member of the ILO in 1919 and ratified nation of several ILO fundmental
conventions , including Tripartite Consultation (International Labour Standards) and decent
work conventions, India‟s engagement with the ILO has been noticeable at global level.
However, currents labour law reform efforts in the name of recovery of economy in the post
corona virus period is absolutely leaving into a big qualm of carrying back again into an era
of slavery in the country, as if C K Saji Narayanan BMS ruling party trade union leader says
„the proposed amendments will lead to the law of the jungle.‟
The former president of National Committee on Industrial Relations, Pradeep Bhargava has
hold the same view, saying that the present labour amendment move of State Governments,
especially Madhya Pradesh is in addition a counter –productive for employers to treat
employees in an unfair or un safe situations. Again other expert in labour management and
labour laws, K.R. Shyam Sundar has observed, this reform remains an attempt to push India
back into 19th century‟s work culture and chance to labour exploitation.
Labour Reform Steps
On May 6th the Uttar Pradesh Government has enacted the ordinance to suspend all labour
laws and retained only three labour regulations, are the Building and Other Construction
Workers Act, 1996; the Workmen Compensation Act, 1923, and the Bonded Labour System
(Abolition) Act, 1976 and Section 5 of the Payment of Wages Act, which relates to timely
payment of wages. Though the notification is not clear right now, it has sent for Governor‟s
approval.
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In Madhya Pradesh to makeover the covid 19 lockdown crisis, the new manufacturing units
have been exempted from all labour laws except some provisions of the Factories Act, 1948
for the next 1,000 days. The Government has also taken a decision to increase operational
hours from 8 to 12 in a day and 72 hours from 48 in a week. A reduction was offered in
inspection of firms of small-scale, medium enterprises and including the firms where there is
rarely than 50 employees. However, these inspections can also manage the industrial firms
based on the permission of the labour commissioner or in case of complaint.
Gujarat government announced the relaxations of labour laws for new projects units if that
ready to works at least 1200 days. Yet, the exemption of labour laws on the minimum wage,
safety and compensation in case of accidents are not applicable to these recent
establishments.
Rajasthan Government, besides the raising the operating hours from eight to 12 per day, has
revised the Industrial Disputes Act to increase edge for lay-off conditions and lighting to 300
numbers of employees from since 100 for retrenchment. The government also amended the
Trade Union Act with regard to recognition of a union in an industry or industry sector is
needed 30 per cent of employees from the same, instead of 15 percent as of now.
In the State of Maharashtra, in covid 19 contexts a provision has made for all shops and
factories to submit annual returns in the place of multiple returns under various labour laws.
Kerala, in order to stimulate industries to beyond come covid 19 lockdown crisis the
Government is ready to facilitate new industrial licence within a week just after submission
of application.
Punjab and Himachal Pradesh ,these two States have also amended the Factories Acts in the
context of covid19 lockdown crisis by increasing working time 12 from 8 hours in a day and
72 hours from 48 in a week.
The Assam Government has proposed a set of changes to labour laws in Factories Act 1948,
wherein seeking to advance working time and upsurge the number of workers from 20 into
40 to be made applicably to an electrified industrial unit. The Government was also revised
the Contract Labour (Regulation and Abolition) Act, 1970 for making to be relevant it on
firms in which employing should be 50 contract workers than 20 as at present.
The Tamil Nadu State Government has been considering amending the restrictive provisions
in the Industrial Disputes Act, 1947 and the Contract Labour (Regulation and Abolition) Act,
1970 (known as the Contract Labour Act) to afford labour flexibility to employers in all
sectors in the context of covid19 lockdown crisis.
Deteriorating the States‟ Competency
Since the Constitution of India sustains the right to work and right on work are subjects in the
concurrent list, where both the Central and the State Government are competent to enact
legislation for catering to different aspects of labour, viz. occupational health, safety ,
employment, training of apprentices, fixation and review or revision of minium wages ,mode
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of the payment of wages, payment of compensation to workmen who suffer injuries as result
of accident or casuing death or disablement , bonded labour, contract labour, women labour
and child labour , resoulation and adjusdication of industrial disputes, provisions of social
securities such as provident fund, employees‟ state insurance , gratuity and bouns, regulating
the working conditions of the specific catergories of workmen ,such as plantation labour
,beediworkers, etc.
In addition to, both Central and the State Governments as well retain the duty to facilitate the
implementation of the labour laws . In this context law needed to reviewed from time to
time.Hence, amendment of labour laws in an ongoing process to bear them in refrain with the
emerging needs of the economy, such as attaining higher levels of productivity and
competitiveness, increasing employment opportunities, attaining more investments both from
the nation itself and abroad.
However nowdays it is being stated, Uttar Pradesh, Madhya Pradesh and Gujarat, initiation
on labour laws is a second labour law reforming efforts of the country. For the reason that
other States, without looking political differences of ruling parties, all are following the line
of rewriting, of India‟s archaic labour laws by consuming provisions of constitutional
perspective cited in Articles 39, 41, 42 and 43 the right to work and right on work, that means
right to livelihood and right on life.However all these States, whoever takes steps of a
noncomprehensive approach on work , workers and economy is sending worng signals to the
people of India.
Sending Wrong Signals
Holding assumptions that covid19 lackdown crisis impacted damage on economy that can be
overcome by attracting investments from those who are begetting from China through
occupying Indian space of industries and these firms would provide more employments in the
country .
Withstanding these presumptions there is tendency to conclude that the recent move of labour
law reforms a bold one and model for the States to show the way for stoking the economy
engine. Actually this interpretation on current reform efforts is a myth and sending a
conflicting signal across the Nation. Because first of all the timing, manner and efficacy of
these reform efforts on labour laws leave merely to feel that the States are using this
opportunity to empower industries, rather than workers and more than that it is an effort of
taking away the rights of workers, like 8 hours of working time, freedom of association,
welfare and empowerment facilities through the back door.
For telling the timing of present labour reforms is not correct there are many reasons. At first
comes, according to even last year 2019 the United Nations‟s report India was only ranked
129th position out of 189 countries on the Human Development Index, that means Indian
people are so weak and vulnerable. This truth has been demonstrating on the streets of Indian
during covid19 lockdown crisis. Reported on 12 May 2020 saying “ Thousands upon
thousands of migrant workers, children in arms, stumbling along, are stretched out in
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unending lines.Almost every truck that passes by is a refuge on wheels. Exhausted people
sleep on the roadside. Children cry in hunger. Mothers cast anguished glances at vehicles that
won‟t stop.”As per the reported from the various parts of the country during crisis period of
48 days itself died 324 people due to starvation, suicide and accident.
Secondly the timing of present labour reforms is wrong means it is time of coincidental to get
cheap or low rate employees. In India there has been increase unemployment rate day by day,
that was high lighted in 2019 as first time in India's history, employment collapsed 9 million
in six years. And again in Covid 19 lockdown crisis, one out of four lost the jobs as per
Centre for Monitoring Indian Economy report. It also warned by citing the World Bank
report that about 40 lakh migrant workers came back to their own home States due to lack of
jobs where they were early engaged and huge number of international migrants have scarcely
started to come back to India. As resulted, today in India the availability of outsized numbers
of low-cost labourers are easy to be contracted and also being exploited in the high level
forms, at new labour market scenario.
Thirdly, another reason for saying labour reforming timing is mistaken, for, in front of the
Government, the stopping, the spread of corona virus in the society and taking tusk on
addressing issues of migrants in the country are the biggest present challenges along with
economic recovery sweats. In this busy situation the Government of States‟ labour reform
agenda become vague and seems not genuine.
With regards to unsatisfactory manner of labour reform steps means from the time of
outbreak of covid 19 and following the lockdown announcement, it has been hearing and a
question was also arise often that what should be prioritized? Whether it is life or livelihood?
It is exact, both are important and interdependence too, as studies and experience have
shown. Here, today India is experiencing the problem of overwhelming number of
unemployment and labour supply is high whereas the less demand of employment . Hence
people of India‟s life is extremely exhausted and vulnerable to represent a subject of
exploitation due to lack of proper protection of the rights trough Constitutional framework. In
this background the statutory protection should be given and opportunities of employment or
job needed more and more as the Constitution of India directs the States is keeping principal
of social justice, social equality, social welfare, international uniformity and national
economy. Wherein the protection of right to work and right on work or right of livelihood
and life will be effected.
Nevertheless, all the reformation initiatives of States are indications of taking away the
protection of workers and keen on making low cost workers even underestimates Minium
Wage Act .It seems no matter of rights on work or life .It is absolutely explicit from the steps
of the Government‟s plan to extend the working time, not wanting to provide more shifts with
much needed people for work .
Then the suspension of labour laws especially the Industrial Disputes Acts and the shop and
Industrial Establishment Act ( Standing Order) is a massive block of industrial dispute
resolutions between the employer and employees. It seems the settlement facilities of
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industrial disputes become a rudiment.And again tendency to abolishing the Trade Union Act
the Government is giving chance to take out the freedom of association of workers that backs
the standards of decent work.
When taking out the welfare provisions under the Factory Act and the Building and Other
Construction Act, the employers are not bound to make facilities of cleanliness at work place,
disposal of waste, lighting, drinking water, canteens, restroom, crèches and wage during
leave period and even construction firms won‟t contribute to Board of Construction Workers
the cess fund.
More than that in the recent proposals there no any space for legal frame work for informal
workers, who were 419 million ie 90.50 percent out of a total of 465 million workers
according to the Periodic Labour Force Survey of 2017-18, migrant workers, health workers
and workers those who are forced to work from home as resulted of covid pandemic. .
In India from the earlier experience, most of the labour laws have been poorly and half
minded implemented by State governments. The studies have shown that it was because of
lack of proper participations of stakeholders in the process of labour implementations. In this
background, today‟s all States labour law reform efforts have been introduced in an autocratic
or undemocratic way, so it‟s role out will be under the critical question as much other
existing labour laws, for instance Interstate Migrant Workers‟ Act.
The effectiveness of current labour law reform still is laying back, since there is no space to
give employers freedom to hire and lay-off workers on market dynamics by protecting
workers who lose employments through a well planed safety net of unemployment, health
social security system, re-training mechanism and proper documentation of all citizen‟s work
and income to eradicate informal character of workers as if what the level-headed countries
including Scandinavian- North Europe nations like Denmark, Norway, and Sweden are
ensuing. Let not forget that studies have sufficiently indicated, one of the most critical
essentials of the economic activity is the welfare and security of the workforce that enables
advanced productivity and achievements. Further more, the World Bank surveys have shown
that labour law is only the fifth-biggest problem employers face today in India. That means
other problems like infrastructure, skilled employees, resources flow and good governance,
etc. should be addressed by Governments for easing the economical activities and business.
Or else Indian will be at the top in the modern slavery system index.
Jose Vattakuzhy
Founder Director of Workers‟ India Federation, josevattakuzhy2017@gmail.com
14/5/2020
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