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Many commentators (see eg. @dravirmani @TheJaggi and @ShekharGupta) have argued for Labour Law reform in India, in the context of UP Govt action to scrap a raft of current laws. Many have cited the example of Bangladesh. Here is B'desh Labour Act 2006.…
This is a comprehensive piece of legislation that reads like a Trade Unionist's wish list. Maternity rights, workers compensation, retirement benefits, health and safety at work, employment of minors.. its all there. This is progressive legislation indeed. I commend it.
In his Youtube commentary, @ShekharGupta presents an old argument that laws preventing a business owener from firing staff and shitting down a factory with > 100 workers acts as a brake on expansion and scale necessary to become competitive. He did NOT give any other example.
Let's assume he is right. That need not mean uncompetitive firms. Look at Germany (see chart) manufacturing thrives in Germany's small enterprises).
But even if we reject Germany as an unsuitable model for India (education, skills, management expertise all different)...
The answer to @ShekharGupta's problem is really simple: scrap that one law that says a factory with >100 employees cannot shut w/o some Govt permission, leading to zombie businesses. Shd. be easy, Both ModiJi and YogiJi have huge majorities. Who is objecting? Who can object?
The trouble is: that would be too sensible an approach; far easier to screw the workers by scrapping all but 4 labour laws. After all the #MigrantCrisis has shown that it may be cruel but it'e easierto treat workers as commodities. Plenty more where these slaves came from.
Back to Bangladesh. That country is held out by some as an example of Labour Laws that attract manufacturing. BUT, B'desh did not do it by sacrificing workers protection, they did it with a comprehensive Labour law. Here it is again:…
So lets have no more of this silly #RightWing defence of yogi Adityanath's undemocratic, anti-Labour and counterproductive scrapping of workers' rights and protective legislation. India can do better, but only if we recognise that a mere #MakeInIndia slogan will not do.
A democratic state is not an enlightened one if it sacrifices the rights of workers to satisfy the greedy motive of the owners of those "dark Satanic Mills". By putting the welfare of people first we develop both businesses, people, and the economy.
END of rant
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