Bharat Bandh: Trade Unions Demand Centre Address Labour Code Concerns

Bharat Bandh: Trade Unions Demand Centre Address Labour Code Concerns
  • Trade unions call Bharat Bandh against new labour codes.
  • Labour codes streamline central laws, stirring controversy over worker rights.
  • Unions demand reforms in laws, addressing workers' grievances.

The impending Bharat Bandh, spearheaded by a coalition of Central Trade Unions, signals a significant escalation in the ongoing dispute over the newly formulated labour codes in India. This nationwide strike, poised to be one of the largest in recent history, underscores the deep-seated anxieties and grievances harbored by the labor force concerning the sweeping reforms aimed at consolidating and streamlining existing labor laws. While the government posits these codes as a progressive step towards modernizing the regulatory framework, trade unions vehemently contest their implications, perceiving them as a pro-corporate agenda that undermines workers' rights and collective bargaining power. The roots of this contention lie in the historical context of India's labor laws, which have traditionally been governed by a complex web of over 20 Central and State legislations, each addressing distinct aspects of worker rights and employer obligations. The Centre's endeavor to consolidate these disparate laws into four comprehensive codes, encompassing wages, workplace safety, terms of employment, dispute resolution, and social security, was initially met with cautious optimism. However, the legislative reengineering undertaken in this process has ignited a firestorm of controversy, prompting the trade unions to mobilize their constituents and stage a nationwide protest. The Bharat Bandh is not merely a spontaneous outburst but rather the culmination of a sustained campaign of resistance waged by trade unions, including prominent organizations such as INTUC, AITUC, CITU, HMS, and SEWA. These unions, representing a diverse cross-section of the Indian workforce, have consistently voiced their opposition to the labor codes, arguing that they erode fundamental worker protections and empower employers at the expense of employee welfare. The anticipated participation of over 25 crore workers in the Bharat Bandh reflects the widespread discontent and solidarity among the labor force. Furthermore, the endorsement of the strike by numerous farmers' unions underscores the broader societal concerns surrounding the government's economic policies and their impact on vulnerable populations. The genesis of the Bharat Bandh can be traced to the perceived shortcomings and contentious provisions embedded within the four Labour Codes. While the intent to consolidate and simplify the existing labor laws has garnered some support, the specific legislative changes introduced have sparked significant controversy. The Code on Wages (2019), designed to ensure a minimum wage threshold and timely payouts across sectors, aims to establish a unified definition of "wages" to standardize the calculation of employee benefits. However, concerns have been raised regarding the potential for employers to circumvent these provisions through various loopholes and exemptions. The Industrial Relations Code (2020) governs crucial aspects such as trade union regulations, employee layoffs, minimum work hours, and dispute resolution mechanisms. The introduction of the "fixed-term employee" category, which grants fixed-term employees the same benefits as permanent employees, has been met with skepticism by trade unions, who fear that it could lead to the exploitation of workers and the erosion of job security. Furthermore, the increase in the minimum limit for mandatory government approvals in the event of layoffs or closures, from 100 to 300 workers, has been criticized for making it easier for companies to downsize their workforce without adequate oversight or accountability. The Social Security Code (2020) seeks to expand the coverage of welfare schemes to include gig workers, platform-based workers, and domestic workers. While this is a welcome step, concerns remain about the adequacy of the benefits provided and the enforcement mechanisms in place. The mandatory contribution of platform owners or aggregators to 2 percent of their annual profits towards the welfare fund of workers has also been questioned, with some arguing that it may not be sufficient to address the needs of the growing gig economy. The Occupational Safety, Health and Working Conditions Code (2020) aims to address existing safety gaps and introduce measures to improve working conditions. However, the trade unions argue that the code fails to adequately address the underlying causes of workplace accidents and health hazards, and that it lacks effective enforcement mechanisms. The specific grievances of the labor unions are multifaceted and encompass a range of concerns related to the labor codes. The introduction of the "fixed-term employment" concept is seen as a threat to job security, as it allows employers to hire workers on a temporary basis without providing them with the same protections and benefits as permanent employees. The requirement for digitised registration of identity documents like Aadhaar to receive welfare benefits has also raised concerns about data privacy and potential exclusion of vulnerable populations who may not have access to or be able to navigate the digital registration process. The change in the retrenchment limits for layoffs has been criticized for making it easier for companies to downsize their workforce, further exacerbating the problem of job insecurity. Moreover, the increased compliance requirements for union registrations are seen as a deliberate attempt to undermine the power of collective bargaining of the workers. The unions also highlight the government's failure to address their broader concerns, including the lack of regularisation schemes for all workers, the erosion of their constitutional right to unionise, strike, and negotiate, the inadequacy of the minimum wage, the excessive working hours, and the overall weakening of measures that safeguard the rights of workers. The current call for Bharat Bandh is a direct consequence of the government's perceived unwillingness to engage in meaningful dialogue with the unions and address their concerns. The unions argue that their 17-point demand charter, submitted to the Labour Ministry earlier this year, has been largely ignored. These demands encompass a wide range of issues, including the regularisation of all workers, irrespective of their nature of employment, the revisiting of clauses related to union registrations and the reinstatement of their constitutional right to unionise, strike, and negotiate, the increase in the minimum wage to index it to inflation, the capping of working hours to eight hours a day, and the overall strengthening of the implementation of measures that safeguard the rights of workers. The Bharat Bandh organisers also highlight the fact that the Indian Labour Conference, a crucial forum for dialogue between the government, employers, and workers, has not been organised over the past decade. They argue that the existing labor laws landscape is increasingly promoting privatisation without adequately tackling unemployment and related problems. The projected scale of the Bharat Bandh underscores the deep-seated outrage and frustration of the workers' unions. The government's response to this challenge will be crucial in determining the future of industrial relations in India. A failure to listen to the concerns of the workers could lead to further unrest and instability, while a willingness to engage in meaningful dialogue and address their grievances could pave the way for a more equitable and sustainable economic future. The government needs to prioritize the welfare of its workers and ensure that their rights are protected. The labor codes should be reviewed and amended to address the concerns raised by the trade unions. The government should also engage in regular dialogue with the unions and other stakeholders to foster a more collaborative and constructive approach to labor policy. The future of India's economy depends on a healthy and productive workforce. By listening to the concerns of the workers and addressing their grievances, the government can create a more equitable and sustainable economic future for all.

Source: Bharat Bandh: Why Centre must listen to the concerns of trade unions

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