Labour flexibility in textile sector remains inflexible
26 Jul '06
1 min read
Labour laws flexibility in textile sector remains inflexible as the meeting of Central Government, State Government, textile industry and trade representatives came a cropper since no consensus was reached among them.
Representatives of the Government and industry pushed for the reforms saying that industry could gain on low labour cost if labour laws were made flexible.
Industry's representatives demanded the implementation of labour laws along with steps like reduction in power tariffs, entry tax, electricity duty and octroi,which are not refundable under any scheme.
They said the above steps would enable them in achieving export target of US $50 billion by 2010 set in National Textile Policy.
On the other hand, union leaders opposed the reforms on the ground that as it was not a seasonal industry, there was no need for flexibility in contractual labour laws. They also opposed the move of extending the duty hours on health grounds.
The pace of labour reforms in India remains sluggish to say the least due to political compulsions and labour unions pressure coupled with lack of will power of the respective Governments.