Citing the Chinese model, Prime Minster Manmohan Singh says the industrial relations policy must be "sensitive" to absorb new technologies and ensure competitiveness while creating new employment opportunities and protecting interest of the working class on Friday.
He also stresses that government; employers and workers could work together with an "accommodative" approach and address challenges facing the nation.
Addressing the 41st session of the Indian Labour Conference in New Delhi, Singh said his Government was committed to working with labour and business to create a new era of "inclusive and employment-oriented economic growth".
"The experience of countries like China should alert us to the vital role of industrial modernisation and technical change... Our industrial policy must be sensitive both to the need to absorb new technologies and ensure competitiveness of our firms, as well as the need to create new employment opportunities and protect the interests of the working people," he said.
To promote new employment, there was need to create an environment in which both the government and the private sector were encouraged to invest.
"If we can provide an environment in which investors feel confident enough to invest, we will be able to generate gainful employment and promote workers' welfare," he said after giving away Shram Awards to 45 workers for their exemplary commitment and dedication.