Haryana's apparel industry is concerned as the state implements an employment reservation law in the private sector

Haryana's apparel industry is concerned as the state implements an employment reservation law in the private sector

23 January 2022, Mumbai:

Haryana, a renowned garment manufacturing state, has implemented a 75% job reservation policy in the private sector for residents earning less than Rs. 30,000 per month. This job quota has heightened the industry's concerns, which it describes as "unjustified."

Haryana Map. Haryana Administrative and Political Map. Haryana Map with  Neighboring Countries and Borders. Stock Vector - Illustration of  communication, country: 218768376

Not just clothes makers, but also retailers and other companies are concerned about the Haryana government's decision. Garment Resources has also underlined how private job reservations for locals will harm the apparel business over a year ago when the matter was presented.

The largest centers of garment and textile-related items are Gurugram, Faridabad, Panipat, and Sonipat. Animesh Saxena, MD of Neetee Clothings in Gurugram and President of the Federation of Indian Micro and Small and Medium Enterprises (FISME), believes that this is harmful to MSMEs because the bulk of their staff is within the Rs. 30,000 pay category, which is subject to employment reservation. He also stated that, sadly, local candidates in many of the needed skill sets are not accessible in sufficient quantities. 

Filling vacancies and planning expansion would be a big difficulty for MSMEs. The statute will be in effect for ten years, and the State Government has reduced the residence (domicile) requirement from 15 to 5 years for a person to get a bona fide resident certificate in the state, allowing private enterprises more recruiting freedom.

 

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