News By/Courtesy: Nikshetaa Jain | 17 May 2020 10:54am IST


  • UP government has suspended major laws for a period of three years by passing an ordinance
  • Perceived Benefits of the Move
  • Response of the trade unions in the country

The Uttar Pradesh government passed an ordinance to suspend the majority of labor laws in the state for three years. The State Cabinet had cleared the Uttar Pradesh Temporary Exemption from Labour Law Ordinance to suspend 30 labor laws in the state. A government official said that the move ais to revive the economic activities in the state which have come to a halt due to the pandemic. Yogi Adityanath, the chief minister of UP, said that amendment in the labor laws would attract new investments, especially from China. By suspending these laws, the factory owners would be at an advantage as they would have powers for hire and fire without attracting punitive measures. The labor Minister stated that this move would also help in setting up of new industries in the state.
However, this ordinance has been sent to the Centre for its approval as the labor is a subject in the Concurrent List and the state made laws require the Centre’s approval to enforce them. This would not be a difficult task as BJP is the ruling party both at the Centre and in UP. Similar steps have been taken in the state of Madhya Pradesh and Gujarat.
Suspension of labor laws would give industries more flexibility to hire and fire workers, determine their wages, and to reduce employee benefits. The Indian Staffing Federation has supported this move by saying that the simplified labor laws would ease investments. By relaxing the labor laws, the states would become attractive for investors and promote ease of doing business. The ISF president said that India has been lagging behind in simplifying labor laws in the last 70 years. This move is an attempt in the direction of simplifying labor laws.
Some states such as Rajasthan, Maharashtra, Goa, and Odisha have increased the working hours from eight to twelve. This move has been criticized and has been termed as inhumane. The working class has already suffered due to the nationwide lockdown imposed due to the pandemic. Suspension of labor laws would make the situation worse for them.
The ten central trade unions have decided to approach the International Labour Organization against the suspension of labor laws. They consider these moves as a gross violation of the right of freedom of association, right of collective bargaining, and the internationally accepted norm of eight-hour work. The ten central trade unions have also decided to observe nationwide protest against the suspension of labor laws as well as an increase in the working hours on May 22.

Section Editor: Pushpit Singh | 17 May 2020 17:19pm IST

Tags : # suspension of labour laws

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