Oops Bourgeoisie Did It Again
On Indian States' Abrogating Miscellaneous Labour Laws Amidst Covid-19
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The tragedy is immediate, real, epic and unfolding before our eyes. But it isn’t new. History has taught us that whenever a revolution, pandemic or a crisis unfolds, the downtrodden sections are the most affected. Be it the French Revolution or the Black Death, the poor have always been at the receiving end of the worst consequences of the crises, the coronavirus has not only taken away the livelihood of many but has also pushed the governments to adopt draconian laws for the future.
(Source: Twitter Image)
What are Indian labour laws?
There is no set definition of “labour laws” in the country and yet there are over 200 state laws and 20 central laws. Some of them are the Factories Act, The Shops and Commercial Establishments Act, The Minimum Wages Act and the Industrial Disputes Act, 1947. These cover various issues ranging from the working hours and safe conditions for labourers to terms of service such as layoff and retrenchment.
The New Labour Laws, a boon or a bane?
On May 6, 2020, the Madhya Pradesh government promulgated the Madhya Pradesh Labour Laws (Amendment) Ordinance, 2020 and similarly, the Uttar Pradesh Cabinet has approved the Uttar Pradesh Temporary Exemption from Certain Labour Laws Ordinance, 2020. Following UP, labour laws in 11 states were changed in an attempt to promote business operations and maintain industrial output, particularly in the manufacturing sector. Even though many major economies like the United States and China have robust labour laws, these new changes in India are a lousy attempt at copying their playbooks, showcasing that the government did not do their homework before establishing these martial laws.
While a few experts view the changes as a way to attract capital, most see it as a blanket suspension of labour laws without details which makes it ambiguous and open to litigation.
These long-awaited labour law reforms might make it easier for businesses to function, but the relaxation of rules puts at stake the interest of labourers and workers. These new laws might bring in more employment investment, but at what cost?
(Source: Al Jazeera)
According to the Ordinance passed by the U.P government, all factories and establishments engaged in manufacturing processes are exempt from all labour laws for a period of three years, and it now only retains the Bonded Labour Act, 1976, Employee Compensation Act, 1923, and Building and Other Construction Workers’ Act, 1996. Some of the laws that would no longer apply include the Minimum Wages Act, Trade Unions Act, Industrial Disputes Act, Factories Act, Contract Labour Act, Payment of Bonus Act, Inter-State Migrant Workmen Act, Working Journalists Act, Employees’ Provident Funds and Miscellaneous Provisions Act.
This enables an environment of exploitation and harassment, taking us back a century and undoing the initial stance the government took when they asked firms to not fire workers and pay full salaries at the start of the lockdown, to now stripping workers of even their most basic human rights.
“If all labour laws are removed, most employment will effectively turn informal and bring down the wage rate sharply. And there is no way for any worker to even seek grievance redressal,” said Amarjeet Kaur, General Secretary of AITUC to Indian Express.
It appears that the Covid-19 crisis is being used as a pretext to push the long awaited “reforms” of the government of increasing working hours, restricting wages to the bare minimum, reducing social security benefits, easing norms for firing workers and pushing down on trade union rights and whittling down labour inspection.
“It is absolutely shocking. This move of the Uttar Pradesh government turns the clock back by more than 100 years. It will lead to slave-like conditions for workers and it’s unacceptable, in violation of all human and fundamental rights. This move should be legally challenged,” labour law advocate Ramapriya Gopalakrishnan said.
The Madhya Pradesh government issued a notification exempting new factories from the Industrial Disputes Act provisions, with a few exceptions. This means, workers in these newly established factories will not be able to exercise their freedom of association and collective bargaining rights for a period of 1000 days.
It may appear that these measures will be in place for a short period of time, however they may act as a harbinger of things that are yet to come and may as well become a permanent feature once the waters are tested. While the government may justify these measures which clock us back to the 19th century, claiming they will help boost the economy, the fact remains that they infringe on the fundamental and human rights of workers.
(Workers protest in Bihar. Photo: Special arrangement)
Reacting to the development, CPI(M) leader Sitaram Yechury on Thursday tweeted, “Wealth is nothing but the monetisation of value. Destroying labour means destroying economic growth. BJP’s diabolical agenda must be resisted and defeated to save “India, that is Bharat”.”
Trade Unions have also showcased their opposition to these new measures by coming out on the streets and protesting. Ten central trade unions — including Indian National Trade Union Congress (INTUC), All India Trade Union Congress (AITUC), Centre of Indian Trade Unions (CITU) — registered an initial complaint with the International Labour Organisation (ILO) on May 14, terming these moves as “an attack on human and labour rights”, asking for ILO’s intervention on “the extremely precarious and regressive moves” for the working class in the country.
In response to the demands, the International Labour Organisation (ILO) informed the trade unions of India that the Director-General has expressed concern and urged PM Narendra Modi to “send a clear message” to the Central and State governments to uphold international labour laws after the recent dilution of laws by some States.
There has been very little evidence that draconian laws like these result in attracting any big investments or even create jobs. By implementing such laws, the States takes a step back from the commitments that it has made by reason of ratifying the International Covenant on Civil and Political Rights, the International Covenant on Economic, Social and Cultural Rights and various Conventions of the ILO as a result of which it is bound to promote decent work in conditions of freedom, equity, security and dignity.
The question is, are these the long-pending reforms that economists have been talking about or are these ill-times and retrograde steps as critics have pointed them out to be?
Which brings us to the most important question, should the erosion of worker rights come without debate? Why are state governments and businesses leading the charge, using COVID-19 as a shield?
Aanya Wig is a B.A. (Hons.) History student at Lady Shri Ram College for Women, University of Delhi. She is currently working as the Campus Coordinator with The Jurni, a London based Travel and Culture Magazine and has previously worked as a journalist with The Quint. She is also the founder of Aghaaz & Girl Up Rise, two student-led social entrepreneurship projects to empower women.