Unemployment around the world is on rise due to the recent Covid-19 pandemic and global slowdown. Haryana, too, is not untouched by this. Even the available skilled workforce of local people in the state is facing difficulties in getting jobs in the private sector.
Historically, the state of Haryana has been an agrarian society, i.e. agriculture-based economy, which now is being under transmission to take the shape of an industry-based economy. This urbanisation, industrialisation and inclusion of substantial parts of the state within the National Capital Region (NCR) has led to huge land acquisition. This has resultantly reduced the growth and employment opportunities in the agricultural sector. On the other side, the quantum of opportunities of employment in private sectors, industries, and factories has increased rapidly within the state. Thus, it was felt that the local unemployed population, that was traditionally engaged in agricultural activities, required a positive reinforcement from the state government to uplift them by ensuring their skill development and employment in the private sector. This was the intent behind the recent enactment of the Haryana State Employment of Local Candidates Act, 2020.
This right, which our government has tried to vest with local candidates, was my promise during the last assembly election. Going by the legacy and ideals of Chaudhary Devi Lal, I am committed to fufil every promise made to my people.
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Bid to boost state economy
With the enactment of this law, in the interest of the public at large, the government of Haryana is going to encourage all employers in the state to boost local employment and improve its economy. This law provides tremendous benefits to the employers directly and indirectly through qualified and trained local workforce. Availability of suitable workforce, locally, would definitely enhance the efficiency of the industry, because the workforce is one of the major components for the development of an industrial organisation or factory. It would reduce absenteeism, dependency on migrant labourers, and crime rate in the society.
Even our new enterprises and employment promotion policy gives a handsome incentive of Rs 48,000 a year for hiring a person from the state of Haryana. Beside this, we have given huge incentives to the industries that fall within the interior blocks of the state. We had eight rounds of discussions with representatives from the industry while framing the employment guarantee bill, and added several clauses based on their feedback. We are moving simultaneously on both fronts — getting investment in the state and generating employment for our youth.
Pertinently, Haryana is neither the first nor the only state to give preference to local employment. In my knowledge, several states including Madhya Pradesh, Andhra Pradesh, Karnataka, Gujarat, and Maharashtra have in the past formulated policies with a mandate to reserve private jobs for local candidates.
Maharashtra, in fact, created reservation in jobs on the basis of language, whereas our Act does not deprive anyone of the opportunity on the basis of their caste, creed, sex, language or social status. We have made the classification on the basis of domicile, which does not violate any provision of the Constitution. The issue of ‘domicile-based benefit’ has been considered, recognised and upheld by the Supreme Court in catena of judgments. Pertinently, providing benefit to any citizen or a class of citizens on the basis of their domicile cannot be equated either with “place of birth” or “place of residence”.
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The sunset clause
Another aspect which needs to be given due consideration is that this legislation contains a “sunset clause”, which means that this Act will cease after 10 years of its enactment. We strongly believe that the pace and commitment with which our government is functioning for the welfare of its citizens, over the next decade, the state will have sufficient infrastructure, skilled workforce, and job opportunities for everyone. Thus, the positive reinforcement that we currently aim to provide would not be required in the future.
We have provided enough relief in cases where suitably skilled people are not found for any roles. The industry can easily approach the district commissioner and seek permission to hire from other states. Also, the industry has been given the right to restrict hiring from one district to 10 per cent, as was suggested by a top auto industry based in Gurugram.
Haryana is one of the best states in India in terms of the ease of doing business, and we are committed to creating a congenial environment through fiscal and policy incentives. But what would it all mean if we cannot provide employment to the youth of the state? There has to be reciprocity.
Allocation of resources also needs to be translated into gains in terms of employment generation. Haryana being an agrarian state has allocated its resources for the industry to ensure balanced economic growth. It is not possible to have a commitment to growth without having a sense of belongingness. About one third of people living in Gurugram have their votes registered in the city.
They keep their votes in their native states. Such practices may increase per capita income, but per capita spending doesn’t grow with it. If we go by the philosophy of socialism, the bedrock of the Indian Constitution, and the commitment of the state to wipe out the tears from every eye and provide quality life to its natives, it is the immediate society that has the utmost right over its resources.
When Article 21 provides the right to livelihood, then how can anyone transgress it? Such a policy may sound absurd to some economists, but as a socialistic measure and a vision of welfare, this law is just a way to ensure the social and economic security of the natives of Haryana.
The author is the current Deputy Chief Minister of Haryana. Views are personal.
Convoluted logic and political populism. If implemented Haryana is doomed. RIP.
Sooner industries shift their base to Noida/Greater Noida/Meerut the better it’ll be for them.
Even if the law is recalled there will always be an element of uncertainty, you have a business friendly progressing state next door in UP, shift there right away.
As you know, madness is like gravity…all it takes is a little push.
Abe dangal na hove Pvt company ma…
As you know, madness is like gravity…all it takes is a little push.
As you know, madness is like gravity…all it takes is a little push.
Abe dangal na hove Pvt job ma…
GST law was introduced to make”ONE NATION , ONE MARKET, ONE TAXATION ‘ And now we have legislation That debars Employment on Domicile basis . What a contradiction. If new employment law of Haryana is o;kay. REPEAL GST LAW. Let every state, every community in the state have its own laws to promote local economy.
I’m glad this happened. In fact Mr. Chautala please increase the salary floor – 200,000 lakhs per month.
P.S. Schadenfreude
Which drug do you take while speaking or writing publicly?
Have the reasons for low employment of local candidates in Pvt sector been examined? Is it not true that there are inadequate opportunities provided by Govt to impart requisite skills? Govt had given incentive to private sector for employing local manpower but has there been any study to find out why it did not work out? Now by forcing the industry to employ 75% local candidates, we would by killing the economy.
Let us avoid such knee jerk and populist policies and do some sincere thinking.
Your government failed to create jobs and improve you state education sector. In order to hide your failures , you have passed this anti-constitutional law to appease a certain part of your population. Gurugram is doomed and people are going to suffer now. Stop this HATE politics in the name of caste and region.
If the law is so spectacular, can the politician explain why it only applies to private enterprises and govt enterprises are exempt from following its provisions?
In India we constantly lament prevailing patriarchy, poor law and order, caste system, corruption…and rightly so.
However, one thing does not get lamented enough is this mindset of creating rent seeking socialist laws that have caused trillions of dollars of lost GDP growth since 1947.
The new employment quota law may do the following:
– improve farm productivity
– cause fewer rapes
– prevent terrorism
– solve global climate change
– allow India to terraform Mars
It will definitely not help solve the employment issue.
There is a high chance that the industry will leave ncr belt in haryana to other parts as the talent pool, or labour source suddenly shocked, to solve the unemployment government can do the following things ……… 1) improve the education, and train the students into modern employment techniques. Also bring some big private university which are renowned for giving modern industry oriented education ( this model can be seen in South India).subsidies local population studying here .(usa state subsidies only state population). 2)Give Incentive to companies to employ local such as extra tax cut as what percent of total employed are local etc. Also encourage the companies to establish skill development hub (like Infosys have in Mysore , Many MNCs have in Hyderabad). 3) Consider implementing universal basic income like in South Korea considering . 4) encourage entrepreneurship in local population who had become sudden rich through real estate also can haryana govt can bring a new model to give the land owner a certain share of real estate or factory ownership for which he or she given the land .
Reservation of jobs for only locals is definitely unconstitutional. But parochial media and power hungry politicians and organizations will differ and project never to be realized advantages. By logic and records (experience from my own MSME) it is natural for locals to be absent more and often without notice, with a lot of kith and kin and friends at a stone’s throw. Our station workers will not absent themselves without taking leave as they will want to spend it with family and friends in their native places. This involve travel, reservations etc.
There are many more disadvantages….with no tangible advantage to show
Tail piece: So, get real and not power hungry and condescending. Whose Nation is it anyway?
Sir, you are trying to preach logic to a populist politician. The phrase “bhes ke aage been bajana” has never been more apt.
One thing more local will always create nuisance since they have local leaders for support