The amendment passed without much opposition and only one MLA called it “anti-Labor”.
The Karnataka government passed the 2020 bill on industrial disputes and certain other laws (Karnataka amendment) on Friday, which the unions have vehemently opposed. The bill passed without much opposition except for Chittapur MLA Priyank Kharge, who called it “anti-Labor”.
There were three important amendments to the existing law. First, establishments employing more than 300 people will need to seek government permission to lay off employees. This has been raised from 100 employees. Second, overtime has increased from 75 to 125 hours per quarter. Third, the threshold for employees has been increased from 10 employees to 20 in energy-using factories and from 20 employees to 40 in non-energy-using factories.
Amendments were made to laws such as the Labor Disputes Act, the Factories Act, and the Labor Contracts Act (regulation and abolition).
The bill was introduced by Labor Minister Shivaram Hebbar, who said it would ensure ease of doing business and “provide opportunities for those who wish to work overtime.”
When Shivaram Hebbar proposed increasing employees’ overtime hours, former IT and BT minister Priyank Kharge said: “This is anti-labor. This will make working conditions for employees horrible in the name of ease. to do business. ” Shivaram Hebbar responded to Kharge’s statement, saying that employees are willing to work longer shifts.
“We live in the middle of COVID-19 and we cannot close factories. It is inevitable that they will work and there are people willing to work longer hours and we just allow it to happen,” said Shivaram Hebbar.
This amendment was introduced after the Karnataka government enacted an ordinance in July this year with the same provisions. In addition to this amendment, the Karnataka government passed another 16 bills in the Assembly on Friday.
2/2 The applicability of these laws, which grant workers the right to drinking water, toilets; that impose some mandates on the main employer even if hired, and that protect workers in general from arbitrary closures and firings are modified to exclude many workers
– AICCTU Karnataka (@aicctukar) September 26, 2020
Unions strongly opposed the ordinance in July, claiming that the government was withdrawing workers’ consent to overtime. Before the amendment, factories had to get government approval for employee overtime. The new amendment states that instead of prior approval, companies can provide “periodic overtime reports.”
The Central Council of All India Trade Unions on Saturday condemned the Karnataka government’s move, saying it would push large numbers of workers into the unorganized sector.
“In a step that amounts to pushing a large part of the workforce towards the unorganized sector, the assembly approved an amendment to the Industrial Conflict Law, the Factories Law and the CLRAA. The applicability of these laws, which grant workers the right to drinking water, bathrooms; that they impose some mandates on the main employer, even if hired; and that they protect workers in larger establishments from arbitrary closure and dismissal is changed to exclude many workers, ”the AICCTU said in a tweet.
In August, the Karnataka government implemented the Industrial Policy, with the main objective of boosting investment in manufacturing. This policy, which is friendly to the industry, was sold in labor reforms.
In May, the Karnataka government came under fire for a controversial notice that extended the maximum working hours from 8 to 10 a day and from 48 to 60 a week for workers in factories in the state. According to a submission made to the Karnataka High Court, the notice was withdrawn on June 12.
