Chandigarh:
The Haryana government passed a bill on Thursday that provides a 75 percent reserve for local candidates applying for private sector jobs in the state that pay less than Rs 50,000 a month.
The bill, introduced by Senior Deputy Minister Dushyant Chautala (also the state Labor Minister), also contains a clause that companies can invoke if suitable local candidates cannot be found. In such cases, they can hire outside staff as long as they inform the government of such a step.
However, as this contravenes articles 14 and 19 of the Constitution (equality before the law and the right to practice any profession anywhere in India), the bill – the bill of employment of local candidates in the state of Haryana – needs the consent of President Ram Nath Kovind before it becomes law.
Noting the “large number of migrants competing for low-paying jobs” and the consequent “impact on local infrastructure and housing … and the proliferation of slums,” the Haryana government said preferences for local candidates they will be “socially, economically and environmentally desirable”.
The bill also designates a “designated official” to act as a government representative, who will rule on companies invoking the exemption clause citing the lack of suitable candidates.
According to the bill, this official can override the exemption request by ordering the company in question to “train local candidates to acquire the desired skill, qualification or competence.”
Under the provisions of this bill, companies are required to record the details of all employees who receive gross monthly wages of less than Rs 50,000 per month. This must be done within three months after the bill becomes law or a fine of between 25,000 rupees and 1 lakh rupees may be imposed.
And, once the bill becomes law, 75 percent of these positions must be filled by local candidates. However, companies can restrict the employment of any district to 10 percent. Violation of this provision will result in fines of between Rs 50,000 and Rs 2 lakhs.
The 75 percent reserve had been promised by Chautala while campaigning for the Assembly elections in October last year. Chautala and his JJP finished third, behind the BJP and Congress, but joined a last-gasp alliance with the former to form the government.
In July, Chautala spoke to NDTV about the ordinance, saying it would only apply to companies with more than 10 employees. He said: “This will help residents get employment in the state. This kind of law exists in other states and we need to create jobs in Haryana.”
The JJP chief pointed to major automaker Maruti, which has a manufacturing plant in Manesar, near Delhi, and said: “Maruti doesn’t even have 20 percent Haryana staff.”
“We want to create jobs in the state so that GST is also generated in the state,” he added.
The Chief Deputy Minister also said that residency certificates would be mandatory for a candidate to claim these benefits under this scheme.
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