Centre not ready to amend labour acts

The Centre is not yet ready to amend labour laws on the lines of the Rajasthan government’s changes, according to sources.

“It is still early to make any move towards bringing such amendments,” said a senior labour ministry official, who did not wish to be named.

President Pranab Mukherjee on Friday gave his assent to Rajasthan’s amendment to three laws -- the Factories Act, Industrial Dispute Act and Contract Labour Act.

Since labour is on the concurrent list of the Constitution, both the Centre and states can frame their own laws.

While industry has termed it a move to attract investments, central trade unions are viewing it as a pro-industry and anti-labour move.

The official cited above said the Union government wants to examine how the changes in these rules work out in Rajasthan before taking any decision.

“Right now, tripartite consultation is going on,” said the official.

After Rajasthan, the Madhya Pradesh Cabinet, too, approved amendments on similar lines.

Among the major steps taken by the Rajasthan government are the one allowing companies employing up to 300 people to lay off workers or close down the company without taking the government's prior approval. Earlier, only those with less than 100 employees were allowed to do so.

The ministry official also raised the contention that the National Democratic Alliance government doesn’t have a clear majority in the Rajya Sabha, which could be seen as a hurdle in passing any labour law.

Notably, the Opposition had created an uproar in the Lok Sabha when the Centre introduced amendment Bills for the Factories Act and Apprentices Act in the Budget session in August.

The opposition parties demanded the Bill be sent to a Parliamentary Standing Committee.

While the Apprentices Act was cleared by the Lok Sabha, it has to be passed in the Rajya Sabha as well. Apart from these two bills, the Labour Laws (Exemption from Furnishing Returns and Maintaining Registers by Certain Establishments) Act, which was cleared by the Cabinet in July this year, is awaiting introduction in both the Houses.

The Centre is planning to introduce a Bill, which seeks a blanket ban on child labour, in the upcoming winter session.

The Child Labour (Prohibition and Regulation) Amendment Bill will bring the law in consistency with the Right to Education Act by banning employment of children below 14 years of age in any occupation.

The Winter Session of Parliament will begin on November 24.