Inspector Raj had stifled potential of MSME
Updated: Oct 20, 2014 05:13:06pm
New Delhi, Oct 20 (KNN) The ongoing 'Inspector Raj' and procedural complexities had stifled the potential of micro, small and micro enterprises (MSME), rued President, All India Organisation of Employers (AIOE), Sanjay Bhatia, adding that the new labour policy reforms announced by Prime Minister Narendra Modi, riding high on technology would constitute a significant milestone.
Complimenting the PM for the slew of labour policy reforms he announced recently, Bhatia hopes that these efforts would improve compliances drastically. However, providing training to rural based enterprises on application of portal would be critical for the success of the scheme, he said.
Improving Apprenticeship system would require facilitating enterprises through incentives to encourage them to enroll more and more apprentices. It is really a matter of concern that while the number of enterprises in the country exceeds forty millions, there are only 2.81 lakh apprentices trained every year.
In this context, “Every 'working place' should be a 'training place,' Bhatia said.
The Bills to amend the Factories Act, Apprentices Act and Labour Laws (Exemption from Furnishing Returns and Maintaining Registers by Certain Establishments) Act, 1988 already placed in the Parliament had signalled a positive message to the industry on the intent of the Government.
Removing some of the harsh provisions in the factories Act, like imprisonment even for minor violations is greatly appreciated and increasing overtime hours from 50 to 100 per quarter would help to execute production related targets within the time schedule, he said.
Adoption of Unified Account Number (UAN) by the EPF organization would not only make transfer of accounts simpler, but would also solve the issue of unclaimed accounts which hold Rs. 27,000 crore, he added.
Finally, Bhatia hopes that the second phase of labour policy reforms would address more important areas like allowing industry to engage contract labour freely and removing Government intervention in ' restructuring or right sizing of industry' which would provide fresh impetus to employment generation.
AIOE is an allied organization of FICCI. (KNN/ES)
Complimenting the PM for the slew of labour policy reforms he announced recently, Bhatia hopes that these efforts would improve compliances drastically. However, providing training to rural based enterprises on application of portal would be critical for the success of the scheme, he said.
Improving Apprenticeship system would require facilitating enterprises through incentives to encourage them to enroll more and more apprentices. It is really a matter of concern that while the number of enterprises in the country exceeds forty millions, there are only 2.81 lakh apprentices trained every year.
In this context, “Every 'working place' should be a 'training place,' Bhatia said.
The Bills to amend the Factories Act, Apprentices Act and Labour Laws (Exemption from Furnishing Returns and Maintaining Registers by Certain Establishments) Act, 1988 already placed in the Parliament had signalled a positive message to the industry on the intent of the Government.
Removing some of the harsh provisions in the factories Act, like imprisonment even for minor violations is greatly appreciated and increasing overtime hours from 50 to 100 per quarter would help to execute production related targets within the time schedule, he said.
Adoption of Unified Account Number (UAN) by the EPF organization would not only make transfer of accounts simpler, but would also solve the issue of unclaimed accounts which hold Rs. 27,000 crore, he added.
Finally, Bhatia hopes that the second phase of labour policy reforms would address more important areas like allowing industry to engage contract labour freely and removing Government intervention in ' restructuring or right sizing of industry' which would provide fresh impetus to employment generation.
AIOE is an allied organization of FICCI. (KNN/ES)
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