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Centre not yet ready with labour code implementation plan: Indian Staffing Federation

The Centre has to implement the labour codes one by one, section-wise or in a phased manner for the overall improvement of the employment scenario and economic condition of the country, instead of not moving on it at all even as the implementation deadline is barely three days away, said Indian Staffing Federation (ISF), an apex body of organised staffing companies in the country.

Although the Centre’s newly-introduced labour codes (a set of four) are expected to come into effect from July 1, ISF observed that there has been `no further movement’ yet on the same from the government’s side.

“Our appeal to the Union government is to implement the labour codes one by one or section-wise, rather than not moving at all. The roll-out of the codes in a phased manner will be a start and create the pathway for more codes and sections to be introduced,’‘ said Lohit Bhatia, President, ISF.

According to Mr. Bhatia, for the country, the need of the hour is economic development and creation of employment for its citizens. Both can happen only through the formalisation of employment.

He said, “New jobs need to be created in the country to attract foreign investment and for the much-needed economic revival of the country. Therefore, the implementation of the labour codes is critical, although it may not be feasible to put all four labour codes into action simultaneously.’‘

The ISF representative further said, the federation’s request to the government was also to seek consensus from the stakeholders, as was done in the days leading to the implementation of the Goods and Services Tax (GST) law.

“Prior to the implementation of these codes, the Centre should take steps and initiatives, holding consultations with States to reach a consensus to ensure that all stakeholders are on the same page,’’’ Mr. Bhatia opined.

Further, the implementation of labour codes would also boost labour security and labour productivity. With multinational companies making formal employment non-negotiable, it would also increase the flow of foreign investments to the country, the ISF spokesperson further said.

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