Labour Law changes at a wrong time

Anil Anand

In the midst of protracted fight against the COVID-19 pandemic and thousands of panic-stricken labourers/workers hitting the highways unmindful of the long distances they have to cover on foot to reach their villages or home towns a discordant note was struck by the BJP-ruled Uttar Pradesh and Madhya Pradesh with Gujarat closely following the suit, to suspend the labour laws. Others including Bihar, Orissa, Punjab, Maharashtra, Goa and Rajasthan are aiming at diluting these laws. The changes are being affected on the plea to attract the multi-national companies which are folding their business in China under the prevailing circumstances.
There is as strong a case for labour reforms as is for the administrative reforms which have been necessitated more during the past some decades than ever before. The political parties irrespective of colour and ideology make a strong case for reforms in a structured manner when in opposition, however, they change colours as soon as they assume the status of a ruling dispensation.
The current stint of changes in labour laws have come at a time when the entire labour force has been uprooted and fighting for survival partly due to circumstances created by the pandemic and more by the mishandling of the situation. Even before the Centre and the state Governments could realise or act in anticipation the panic button had already been pressed and the migrant workers with families decided to set on a voyage by foot.
It is a fact that labour reforms are direly needed. The question arises, in view of the UP/MP/Gujarat Governments’ decision to go for sweeping changes in the labour laws, as to reforms for whom. It is a very tricky question and the answer would vary if asked from labourers, employers or even the Governments’ perspective. This situation has been prevailing for quite some time with no attempt at a structured reform that benefits all the stakeholders and more so the work force.
Can labour reforms, which could have far reaching consequences, be introduced without any consultative mechanism in place? The answer is no. The counter to this could be that an emergency situation required emergency measures to be taken in the broader interest of the country. Yes, there is an emergency situation on health front due to COVID-19 pandemic and the resultant economic crisis due to weeks of lockdown. Yes, some hasty policy decisions need to be taken to woo the multi-nationals leaving China in order to proverbially convert the challenge into opportunity. But the manner in which some State Governments have focused on the labour laws arbitrarily, it cannot be without the consent of the Centre, would not bode well for creation of an environment congenial for the multi-nationals to look towards India. It is more a step in isolation than being part of the overall policy or strategic decision.
Three developments that took place in quick succession after the surprise decision on labour changes came, could be a pointer towards stage being set for a high-voltage fight between ruling BJP and the opposition on one side, Government and trade unions on the other side, and the Parliamentary mechanism gearing itself to intervene in the matter. The fourth angel that is still to emerge is recourse to legal processes.
Not only the BJP-ruled but other State Governments have also harped on the path of labour reforms in the recent past. The alarm bells, however, have been sounded by the sweeping changes being sought to be made by UP, MP and Gujarat Governments.
Given the fact that the workforce in the country is in a state of volatility and uncertainty and that the worker-employer relations are not going through best of times, any step towards labour reforms should be taken with utmost care. The bare minimum the Governments could do was to take the opposition parties and trade unions into confidence to discuss the urgent need for some reforms due to the emerging situation. The immediate impression that the step has created is that the interest of the workers has been kept subservient to that of employer/ manufacturer/service provider.
It was but natural that the stakeholders concerned could not have remained silent spectators as they came to know of the labour law reforms through media. Most importantly, the Parliamentary Standing Committee on Labour has decided to summon representatives of states governments to seek explanation for making “selective changes” in labour laws through executive decisions particularly when the proposed legislations and the standing committee’s recommendations on major labour laws changes awaited parliamentary approval.
“I have decided to summon before the Standing Committee on Labour, at its earliest meeting, representatives of State Governments which have made contentious changes in labour laws through executive orders. They need to explain certain aspects of their actions,” committee chairman, Bhartruhari Mahtab said.
The panel has already sought clarifications from Madhya Pradesh, Uttar Pradesh, Gujarat, Goa, Punjab, Odisha and Rajasthan. These states have been given two weeks time to explain whether the steps taken by them are in line with the proposed codes of the Union Government under which replacement of a few dozen labour laws has been sought.
“It appears some of the Governments have acted selectively, by overlooking (pending) labour law proposals meant for providing additional welfare and protection to workers. Workers’ can’t be left to the mercy of the management, he added.”
It will be interesting to see how far Mr Mahtab would go as his party, Biju Janata Dal has a cautious relation with the BJP at the Centre and the likelihood of coalition politics coming into play is not ruled out.
On the trade unions front 10 of them have already announced their intention to lodge a complaint with the International Labour Organisation (ILO) against the “anti-workers” changes proposed to be made in the labour laws in some states. They alleged that it was being done at the “instance of the Central Government”.
The most interesting development on the trade unions front is the stance of the RSS-affiliated Bharatiya Mazdoor Sangh (BMS) which has immediately directed all its state units to oppose the proposed changes in labour laws, and also write to the respective Chief Ministers to “stop the unilateral withdrawal of labour laws”. The BMS has not been on the same page as the BJP Government at the Centre on the labour related issues and it was in this connection that its senior leaders had met Union Labour Minister recently to express their concerns.
On the political front the opposition have though not been able to show any intent on joining hands on this issue, but in one way or the other they have expressed concern on this development. A group of Left and some other political parties were the first to raise the issue at the level of the President of India. They had alleged that the situation created by the lockdown was being misused to introduce controversia labour laws through backdoor.
They were followed by Congress voicing similar concern when its former president, Rahul Gandhi opposed the amendments to labour laws in UP and MP. The fight against coronavirus disease (COVID-19) cannot be used as an excuse to exploit workers and suppress their voices, he stated.
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