Karnataka on Thursday approved a new five-year industrial policy that reserved 70% jobs in all new industrial projects for local residents, becoming the latest in a clutch of state governments to move towards policies guaranteeing employment for local population.
State industries minister Jagadish Shettar said the policy aimed to attract investments worth Rs 5 lakh crore and create employment opportunities for two million people. “With the new policy, the state is aiming at an industrial growth rate of 10 percent per annum, even as we are looking at promoting industrial activity in tier 2 and tier 3 cities outside of Bangalore. The new policy will ensure a well balanced, sustainable and inclusive industrial development in the state.”
In recent years, states such as Andhra Pradesh, Harayana, and Goa have announced similar policies that reserved employment opportunities for local residents. “All new industrial projects shall create maximum possible direct employment opportunities with a minimum employment of 70 per cent to Kannadigas on an overall basis and 100 per cent in case of Group D employees,” the 2020-2025 industrial policy read.
Policy also aimed to ensure that Karnataka reached the third position among states in merchandise exports over the next five years, Shettar said. It also provides for an amendment to the Factories Act 1948 to allow women to work during night shifts as well as allow overtime to be extended to 125 hours per quarter. For medium, large and mega enterprises, the investment promotion subsidy based on turnover would range from 1.75% to 25% for a period of 5-10 years. It also allows the development of private industrial parks. “Our aim is to emerge as a global leader in advanced manufacturing, research and development, Innovation, and to create an ecosystem for an inclusive, balanced, and sustainable development.”
{{/usCountry}}Policy also aimed to ensure that Karnataka reached the third position among states in merchandise exports over the next five years, Shettar said. It also provides for an amendment to the Factories Act 1948 to allow women to work during night shifts as well as allow overtime to be extended to 125 hours per quarter. For medium, large and mega enterprises, the investment promotion subsidy based on turnover would range from 1.75% to 25% for a period of 5-10 years. It also allows the development of private industrial parks. “Our aim is to emerge as a global leader in advanced manufacturing, research and development, Innovation, and to create an ecosystem for an inclusive, balanced, and sustainable development.”
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