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18/08/2021 - Government Policies

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August 18, 2021

The labour reforms carried out in Rajasthan sets an example for other states can improve employment rate in the country. Explain (200 Words)

Refer - Financial Express

Enrich the answer from other sources, if the question demands.

3 comments
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IAS Parliament 3 years

KEY POINTS

·        Since labour falls under the Concurrent List of the Constitution, both the Union and state governments can legislate.

·        Rajasthan was a pioneer in bringing out major labour reforms in 2014. It didn’t take long for states like Madhya Pradesh, Maharashtra, Gujarat and Haryana to follow suit.

·        Earlier, Industrial Disputes Act, 1947, covered those establishments which employ 100 or more workers. Rajasthan, Haryana, Gujarat, Maharashtra, Uttar Pradesh, etc, have amended the threshold to 300 or more workers.

·        Similarly, several states have also amended the Factories Act, 1948. This Act is applicable to only those establishments that employ 20 or more workers and 40 or more workers (not using power).

·        The threshold has been relaxed from the earlier threshold of 10 or more workers and 20 or more workers (not using power).

·        Rajasthan, Haryana, Maharashtra, etc, have increased the threshold of applicability of Contract Labour Act to more than 50 workers.

·        For instance, Madhya Pradesh amended eight labour laws, including Inter-State Migrant Workers Act, Motor Transport Workers Act and Building & Other Construction Workers Act (1996).

·        Gujarat passed Labour Laws (Gujarat Amendment) Bill, 2015, through which it amended 11 existing Acts, including the Unorganised Workers Social Security Act, 2008.

·        Maharashtra and Karnataka amended their respective Shops and Establishments Acts in 2017 to allow shops and establishments to remain open 24×7 across the state.

 

Swathi 3 years

Dear ShankarIAS Team,

Requesting to review and provide your feedback to improve myself.

Thanks,

Swathi

IAS Parliament 3 years

Try to emphasize on the impact of Rajasthan model in other states. Keep Writing.

Swathi 3 years

Thank you

Soni Kumari 3 years

Please review sir 

IAS Parliament 3 years

Try to focus on impact of the Rajasthan model in other states. Keep Writing.

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