What are your views on Modi’s labour reforms like ‘unified labour portal’ and ‘universal account number’?

economy : polity : What-are-your-views-on-Modis-labour-reforms-like-unified-labour-portal-and-universal-account-number

Answer by Akhil Mahajan:

While launching these Labour reforms Mr Modi said

"I have to give back this money to the poor. This Rs 27 thousand crore belongs to the poor "

Before commenting on the labour reforms, Lets go through some statistics on various labour problems being faced by India and try to understand them.

Proportion of workforce with vocational training

India has workforce of about 48.5 Crore. The above pie chart shows the proportion of workforce who either received or were receiving vocational training (both formal and non-formal) was 10.1 %

Proportion of vocationally trained workforce with formal and non-formal training

Of these 10.1% ,only 25.6 % of the vocationally trained workforce had formal training

Proportion of vocationally trained workforce by level of education

The above figure shows the distribution of the technically trained workforce according to the nature of their technical qualification.

Unemployment Rates – Total, Youth (15-29) and Educated Youth (secondary and above)

This figure shows the unemployment rates which highlight the need for skilling at the floor level, both for employment and growth.

After going through these figures ,one realises that our country needs urgent steps to tackle such problems and one way to do is providing labour reforms. As Mr. Modi correctly said

We need to appreciate labour issues through the perspective of the labourers, so that they could be resolved with compassion.

Thus, I think these labour reforms will be have significance in following ways :

  • A single online portal will simplify the compliance of various labour laws. For example – The Shram Suvidha Portal has simplified compliance of more than 16 labour laws .
  • Transparent Labour Inspection Scheme for random selection of units for inspection would end undue harassment of the "Inspector Raj" while ensuring better compliance.
  • The initiative of appointing National Brand Ambassadors of vocational training would instill pride and confidence in ITI students.

Thanks for A2A.

What are your views on Modi's labour reforms like 'unified labour portal' and 'universal account number'?

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