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Resource centre on India's rural distress
 
 

Provide income support, restore jobs -R Nagaraj and Radhicka Kapoor

-The Hindu

On the contrary, scrapping labour laws will only reduce wages, lower earnings and reduce consumer demand

Following the adage, “never waste a crisis”, the government of Uttar Pradesh, last week, introduced an ordinance that has scrapped most labour laws for three years — ostensibly for creating jobs and for attracting factories exiting China following the outbreak of the novel coronavirus. These laws deal with the occupational safety, health and working conditions of workers, regulation of hours of work, wages and settlement of industrial disputes. They apply mostly to the economy’s organised (formal) sector, that is, registered factories and companies, and large establishments in general. Madhya Pradesh and Gujarat have quickly followed suit. Reportedly, Punjab has already allowed 12-hour shifts per day (72 hours per week) in factories without overtime payment to overcome worker shortage after the migrants have left in the wake of the national lockdown.

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