Telangana offers incentives to private industries providing reservations for locals
The Telangana Cabinet decided to adopt a two-pronged strategy to create a favourable environment to ensure that the local youth are employed in industries.Updated: Aug 06, 2020 22:12 IST
Telangana has joined other states like Maharashtra, Karnataka, Andhra Pradesh and Madhya Pradesh in insisting that private industries in the state should provide reservations to locals for employment.
A new draft policy to this effect was approved by the state Cabinet at its meeting held till late on Wednesday. “The Cabinet felt that the locals should have more opportunities in the industries being set up in the state. The cabinet decided to extend incentives to the industries which provide more job opportunities to locals,” an official release from the chief minister’s office said.
At present, in Maharashtra, 50 per cent of the jobs among the supervisory staff and 80 per cent of the total jobs in private industries are reserved for locals. Similarly, the reservations for locals in all jobs in private industries are 75 per cent in Karnataka and Andhra Pradesh and 70 per cent in Madhya Pradesh.
However, the Telangana Cabinet decided to adopt a two-pronged strategy to create a favourable environment to ensure that the local youth are employed in industries. First, the government shall ensure availability of skilled manpower through institutions like the Telangana Academy of Skill and Knowledge (TASK), tagging core industries with industrial training institutes (ITIs) and polytechnics to ensure continuous availability of skilled man power.
Secondly, the industries are classified into two categories-- in category-1, industries could employ 70 per cent of the semi-skilled manpower and 50 per cent of skilled manpower from locals; and in category-II, industries could have 80 per cent of the semi-skilled manpower and 60 per cent of the skilled manpower from locals.
“It was decided that industries established in the state need to be facilitated with the employable local manpower through synergy between the government, industry and the academia,” the official note said.
The Cabinet proposed that industries which followed this policy of reservations to the locals would be extended additional incentives like VAT, GST, SGST, and lower electricity tariffs and investment subsidies, among others.
The Cabinet also decided to decentralise the IT industry in Hyderabad and adopt a grid policy so that the IT companies could spread all over the city. It was decided to give incentives to the IT companies being set up in other areas other than only in Cyberabad in the western parts of Hyderabad.
The Cabinet also decided to encourage and promote the use of electrical vehicles to decrease the air pollution in Telangana. It was also decided to encourage the production of electric vehicles in the state by giving them incentives. The Cabinet approved the Telangana State Electronic Vehicle and Energy Storage Solution Policy.
The Cabinet has also approved the construction of the New Secretariat Complex and approved the designs.