Haryana private job quota law takes effect from tomorrow

The Haryana assembly passed the legislation titled the Haryana State Employment of Local Candidates Bill on November 5, 2020, and the governor gave his assent to the bill on March 2 last year. The law will be applicable for a period of 10 years
As per the notification issued by the state government on January 10, the Haryana State Employment of Local Candidates Act, 2020 requires local residents to carry the family identity card — the Parivar Pehchan Patra — for being eligible to register for employment on a designated portal of the Haryana Labour Department (Diwakar Prasad/ Hindustan Times)
As per the notification issued by the state government on January 10, the Haryana State Employment of Local Candidates Act, 2020 requires local residents to carry the family identity card — the Parivar Pehchan Patra — for being eligible to register for employment on a designated portal of the Haryana Labour Department (Diwakar Prasad/ Hindustan Times)
Published on Jan 14, 2022 12:11 AM IST
Copy Link

Chandigarh: The Haryana government’s law, which provides 75% reservation for local youth in private sector jobs that offer a salary of less than 30,000 a month, will come into force from January 15.

As per the notification issued by the state government on January 10, the Haryana State Employment of Local Candidates Act, 2020 requires local residents to carry the family identity card — the Parivar Pehchan Patra — for being eligible to register for employment on a designated portal of the Haryana Labour Department (https://local.hrylabour.gov.in/).

The Haryana assembly passed the legislation titled the Haryana State Employment of Local Candidates Bill on November 5, 2020, and the governor gave his assent to the bill on March 2 last year. The law will be applicable for a period of 10 years. The state government also relaxed the residency (domicile) requirement from 15 to five years for a person to get a bona fide resident certificate in the state to provide some flexibility to the private companies in hiring.

“Private sector hiring comes to a halt from January 15, the date of commencement of this Act. Now every employer in the state will first have to register employees receiving gross monthly salary or wages not more than 30,000 on the designated portal within three months of coming into force of this Act. No person shall be employed or engaged by any employer till the registration of all such employees is completed on the designated portal,’’ said an official, quoting the law.

Deputy chief minister, Dushyant Chautala, had said that startups and new Information Technology (IT) companies will be exempted from the provisions of the Act for two years. Officials said that this primarily meant that start-ups, companies, firms and establishments which come into being or are set up after January 15 will be exempted for two years from hiring 75% local candidates by the state government. Also, any internal hiring (from within a company or an establishment) is likely to be exempted from the law.

In November last year, the state government reduced the upper limit of gross monthly salary for jobs which will come under the ambit of the private sector job quota law. As per the official notification, jobs with a gross monthly salary of not more than 30,000 will be up for hiring from among local candidates.

The bill passed by the assembly last year capped the gross monthly wages for jobs available for hiring at 50,000. However, following feedback from industrial houses and entrepreneurs, the state government decided to reduce the salary cap, people aware of the matter said.

The India Inc had earlier called for a re-look at the legislation, saying that it could lead to multinational firms moving out of the state.

The Confederation of Indian Industry (CII) said: “At a time when it is important to attract investments at the state level, governments should not impose restrictions on the industry. Reservation affects productivity and industry competitiveness.” “We hope the government re-looks the legislation or at least ensures the rules are fair. As one country, there should be no imposition or restriction,” it added.

Legal experts said the new law is in contravention of the Constitution and will not withstand judicial scrutiny. Former Haryana advocate general Ashok Aggarwal had said domicile can never form the basis of employment.

Aggarwal said if public employment cannot be given on the basis of domicile how can private jobs be. The government is not the employer in private sector jobs, he said. He added that only a small percentage of low-end jobs can be reserved and that too for special reasons.

While tabling Bill in assembly, the government had modified its Section 23 to provide the law an overriding effect on any other state law.

The same provision provided an overriding effect to the law over any other law when an ordinance was approved by the cabinet. Since the provision had the potential to be repugnant to an Act of the Parliament its wording was changed in the Bill.

However, issues raised by the law and legislative secretary during vetting of the proposed law still holds good, legal experts said. The clause providing for preference in jobs to the local candidates domiciled in Haryana, experts said, was in contravention of Article 14 of the Constitution pertaining to equality before the law and Article 19 (1)(g) which provides for protection of certain rights to practice any profession, or to carry on any occupation, trade or business.

SHARE THIS ARTICLE ON
Close Story
SHARE
Story Saved
×
Saved Articles
Following
My Reads
Sign out
New Delhi 0C
Friday, January 28, 2022