Better late than never! Labour laws in the country have undergone a comprehensive revision. These would now run on four codes after consolidation of 29 previous laws governing this hugely populated sector. The newly codified laws are effective from November 21, signifying several changes that are of immense benefit to the workforce across the wide and diverse spectrum. Labour unions are not satisfied, though, and are planning protests, though the present reform has been introduced after tripartite talks including government and representatives of industry and trade unions. Such protests are natural; and valid points, if any, must still be addressed. Refining the system is an ongoing process.
India’s labour laws, introduced during the British Raj, underwent periodic changes short of any wholesale reform. These laws, nearly a century old, remained in place for most part. The three-term Modi government has not been able to majorly reform any sector other than implementing the market reform through GST. This step, however, proved to be a money-spinner for the national economy. For every purchase done in the market, the government gets a cut. This is also thanks to the previous UPA government that had conceived the smart system but failed to take it forward due to resistance from the BJP and others in the Rajya Sabha. The Modi government attempted agricultural reforms, but cut and ran due to protests from farmer lobbies. It introduced education sector reforms in the form of the National Education Policy 2020, which gained attention mostly for its alleged “attempt to saffronize” the system. The Bharatiya Nyana Sanhita, implemented last year, was less inspiring, considering the large array of issues plaguing the policing system. The government is reticent about the much-needed reforms in several sectors, including to the justice-dispensation system, even as cases are dragging in courts for decades. Justice delayed is justice denied. Another vital sector awaiting reforms is the administrative system, where the bureaucracy has turned itself into white elephants. Red tape and corruption are massive right under Modi’s nose.
Notably, the labour force as a whole has been orphaned in recent times due to a variety of factors. The age of Liberalization since the early 1990s saw the nullification of some labour rights while it also effected new controls on trade union functioning. Contract labour system emerged as a new attraction for companies while it undercut the interests of the workers in several sectors. The Covid19 and its aftermath further disrupted the process of collective bargaining. Alongside, the Leftist parties, principally the two Communist parties that had major control of the trade unions, lost their clout in the political arena. Unions organising the workforce showed more zest in collecting membership fees, levies and much else on a monthly and annual basis, which proved to be a lucrative ‘business’. The unions and their leaders substantially lost their bargaining power in several sectors, while white-collar government employees could still assert and get what they wanted from successive governments. All things considered, the reform being introduced in the labour sector is well-appreciated for their good sides while there naturally is scope for improvements.
