New Delhi, 11 Nov (KNN) The Haryana Government has notified that it is mandatory for private sector to allot 75 per cent jobs to locals of the state.

The Gazette Notification  is No. Lab/25467/2021.— dated 6th November, 2021.

Expressing concerns on this matter, S.K. Jain, CEO & Managing Director of Gurugram based Solo Components Pvt. Ltd told KNN that, “Employment should always be based on skillsets, however the Haryana Govt should draw some clarity in context of domicile. For instance, if a worker who is working in the state for more than 5 years is considered local then the old units will be at benefit and setting up of new units will be challenging”

With the state’s vision to make Haryana a business hub by supporting MSMEs and Small Businesses, this announcement doesn’t benefit the sector rather it hinders its growth.

In an interaction with KNN, Rakesh Chhabra, Managing Partner at Sonipat based Choudhary Enterprises, pressing on the freedom of MSMEs to function, said that, “Haryana has seen numerous job fairs but we do not get employees for the position of helpers from this state. It takes approximately 15 days after which workers tend to leave the job which hampers production.”

“MSMEs need freedom to work. There are Government interventions already in place which hold us from exploring our fullest potential, with this notification productivity rate will fall further,” added Chhabra.

Further some members of the industry have told Business Standard that they may appeal to the court against it, calling it a 'restrictive' law.

Along with this announcement, the Haryana Government has also reduced the upper limit of gross monthly salary under the Act from INR 50,000 per month to INR 30,000.

They have made is compulsory for employers to register all such employees who draw gross monthly salary of not more than INR 30,000 per month on a portal of the Haryana Labour Department.

It is to note that this act will be applicable to private sector companies, societies, trusts, limited liability partnership firms, partnership firms and any entity that employs 10 or more persons on salary, wages or other remuneration for the purpose of manufacturing, carrying on business or rendering any service in Haryana.