Cabinet approves amendments to three labor laws

Modi’s vision for labor reforms moved a step forward as in the country with the Union Cabinet approving amendments proposed to three key archaic labor laws. This will ensure that both employers and employees get a good deal. These amendments are in continuation to a series of measures taken by the government to improve ease of doing business a perspective in which India ranks disappointingly. All the three amendments proposed by the labor ministry will now be tabled in the current session of Parliament. The ministry of labor and employment headed by Narendra Singh Tomar has put forth amendments to the Apprenticeship Act of 1961, the Factories Act of 1948 and the Labor Laws Act, 1988 in the first series of long-overdue labor reforms in India.
The changes proposed in the Apprenticeship Act include dropping the clause that mandates imprisonment of company directors that fail to implement the Act of 1961 and doing away with an amendment made during the UPA regime. The Factories Act should improve safety of workers and multiply the provision of overtime from 50 hours a quarter including the relaxation of the norms of female participation in certain industry segments. It has also been projected that benefits like leave with pay be made available to employees after 90 days from the current 240 days of work. The Labor Laws Act, 1988 will be made flexible to allow companies to hire more employees as companies with 10-40 employees will now be exempt from furnishing and filing returns on various aspects with a threshold of 19 employees.