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India: Labour reforms that could ease factory closures & retrenchments on hold after strong backlash from trade unions

Author: Priyanka Kakodkar, Times of India, Published on: 5 December 2017

'Labour reforms on hold, govt to seek consensus'. 18 November 2017

Faced with a strong backlash from trade unions and its ally the..[State].government [of Maharashtra, India] has put the brakes on its plans to change laws and ease factory closures while it seeks to create a consensus.

The state earlier intended to get cabinet clearance for the reform and introduce a bill in the winter session of the state legislature which begins in three weeks.

...In fact, the reform proposals may not be taken up in the cabinet next week as the government plans to consult trade unions.

...The proposed reform of the Industrial Disputes Act 1947, seeks to allow all 37,234 factories in the state the option of closing down and retrenching workers without government permission. The proposals also offer higher compensation to sacked workers.

Industry has supported the proposed amendments, saying they will release companies from the burden of keeping loss-making units running.

Read the full post here