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Uttar Pradesh: Yogi government brings ordinance, abolishes all but 4 labour laws for the next three years to boost production, business in the state

A press statement issued by the UP government stated that the government has cleared the “Uttar Pradesh Temporary Exemption from Certain Labour Laws Ordinance, 2020”.

As the number of cases of Wuhan coronavirus is forging ahead day by day, the lockdown has been extended following the observation. The Central and state governments are looking for innovative ways to bring the economy on the track that was already facing a slowdown before the crisis of coronavirus took over. In an attempt to create better opportunities for a boosting economy, the Yogi Adityanath led UP government has approved an ordinance exempting businesses from the purview of many Labour Laws for the next three years.

A press statement issued by the UP government stated that the government has cleared the “Uttar Pradesh Temporary Exemption from Certain Labour Laws Ordinance, 2020”. It further added that the state government has exempted all establishments, businesses and industries from all except four existing labour laws.

Temporary relaxation for a thousand day period

Temporary relaxation has been given for One thousand days in labour rules for new industrial investment in the state and for industrial establishments and factories established earlier. He said that where industries are being run with 50 per cent workers, giving salary to all is an important point. An appropriate decision will be taken on this.

As per reports, only the Building and Other Construction Workers Act, 1996, Workmen Compensation Act, 1923, Bonded Labor System (Abolition) Act, 1976, and Section 5 of the Payment of Wages Act, 1936 (the right to receive timely wages), will apply in the state. The statement also said that provisions related to children and women in the labour laws will continue.

Businesses in the Red Zone permitted to function but with certain conditions

Apart from this, the businesses in the Red zone are permitted to function but with certain conditions and it has seen positive results in the recent three days. Now the instructions have been given to make necessary road construction and infrastructure facilities in all industrial areas.

The Yogi Adityanath government made changes in the UP labor acts due to the lockdown. The changes will remain in effect for the next three years. In the departmental review, the Minister of Industrial Development assured that the 38 labour laws will not be applicable for three years.

UP state chief secretary RK Tiwari has been quoted by Business Standard as saying, “The idea is that in the present circumstances, where we need to provide employment to workers who have migrated back to the state and to protect the existing employment, some flexibility has to be given to business and industry.”

The ordinance will be sent to the central government for approval.

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