Financial Daily from THE HINDU group of publications
Tuesday, May 20, 2003

Port Info

Group Sites

Industry & Economy - Industry Associations
Corporate - Company Law

Employers oppose workers' participation in management Bill

Our Bureau


THE Employers Federation of India (EFI) and PHDCCI have opposed the proposed Workers Participation in Management Bill (which is pending in the Rajya Sabha since 1990) saying it would cause serious impediment in expanding the industrial base.

"Though the objective of workers' participation in management is laudable to tap their skill and creativity and achieve higher efficiency, better quality and competitiveness, the Bill has lost its relevance in view of the globalised market and our entering in the WTO regime", the EFI Northern region Chairman, Mr R K Somany, said in a statement.

While the Government has assured the industry to abolish the inspector raj, the Bill gives wide powers to the inspectors to enter premises of establishment, examine books, registers and documents relating to the employment of persons.

This would increase harassment of employer and breed more corruption, Mr Somany said, adding, the provision of imprisonment or fine up to Rs 20,000 for violating any provision, even on technical grounds, was rigorous and might create scare among employers.

Under the proposed law, about 25 per cent seats in the board would have to be allocated to the employees thus reducing the promoter's share in the board to 25 per cent, which would be a strong disincentive to any promoter who invested resources in the enterprise, he said.

Instead, the constitution and working of the Works Committee under Industrial Disputes Act should be enlarged for providing effective and meaningful consultation on all work related issues of the establishment, Mr Somany suggested.

Article E-Mail :: Comment :: Syndication

Stories in this Section
HC stays water treatment unit set-up in Karaikal

Kerala sinking into an economic quagmire, says RBI adviser
Waste disposal plant in hazardous state
Djibouti keen to develop strategic ties
3 Park Hotels get `Design' tag
Plastic sector to form body to boost sales
Kayamkulam Phase II plan ready
VTPS generators trip
Govt mulls check on pvt placement firms
CII pushes for independent water regulator
Employers oppose workers' participation in management Bill
Plan to set up biotech info centre soon
Dubai Film Festival to be launched at Cannes
Multilateral investment framework — Developing countries alerted against proposals at WTO
Study finds surge in Indian investors in UK
C-Dit video festival from May 20
Hyderabad Engagements
Entrepreneurship programme
California, NY top US exports list to India

The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription
Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | Home |

Copyright 2003, The Hindu Business Line. Republication or redissemination of the contents of this screen are expressly prohibited without the written consent of The Hindu Business Line