The Hindu Business Line : PM urges unions to respond to changing times

THE Prime Minister, Dr Manmohan Singh, today urged trade union leaders to understand the need of changing times and simultaneous need for changing labour-related legislation.

Inaugurating the 40th session of the Indian Labour Conference here today, the Prime Minister said, "We need new laws for new times. Laws which provide safety standards, which cater to the basic needs of workers, which takes care of their welfare, which are flexible enough to create rather than destroy jobs, which increase the overall well-being of our people."

The Prime Minister noted how multiple legislation was leading to confusion. Dr Singh said, "There is, I believe, confusion even with respect to basic definitions in some of our labour laws. Many common terms like workman, wages, employee and factory are defined differently in different Acts pertaining to the same sector.

"Provisions under the Factories Act do not match the provisions under the Minimum Wages Act. Provisions under the Beedi Act are at variance with those under the Contract Labour Abolition Act."

The Prime Minister said that the time has come to take stock of the labour laws and see how best to serve the interests of the working masses, especially the vast mass of low-skilled, unemployed youth who are looking for jobs in the manufacturing sector.

Calling for an end of the inspector raj, Dr Singh said that in most industries in China, a factory establishment was visited by a handful of inspectors, often not more than five, whereas in India, a large-scale factory was visited by over 30 inspectors under various laws and rules and regulations.

"This tyranny of the inspector raj must also end," he said.

He said that appropriate and relevant labour legislation were in the interests of labour and urged labour leaders and those committed to the welfare of the working class to recognise this reality.

Dr Singh said some analysts suggested that excessive regulatory legislation had contributed to the relative lack of growth of the organised industrial sector and the greater growth of the unorganised sector.

"While the protection of workers' interests is necessary, over-protection through such administrative interference only contributes to corruption," he said and added that many of these are legacies of the past that have no longer much relevance today.

"Indeed, some of them have become counter-productive and may well be hurting the very people they were meant to benefit," the Prime Minister said.

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