
Chandigarh takes a cue from Pb, Hry models, proposes amendments to labour laws
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Chandigarh: The Chandigarh administration proposed amendments to existing labour laws, submitted to the ministry of home affairs, to streamline compliance, reduce regulatory burdens, and foster a business-friendly ecosystem while prioritising worker welfare.
"To empower the business community and enhance Chandigarh's competitiveness, the administration proposed amendments under Section 87 of the Punjab Reorganisation Act, 1966, drawing inspiration from Punjab and Haryana's progressive models," said a UT spokesperson.
In the Factories Act, 1948 (Extension of Haryana Amendment Act, 2018), the administration recommended increasing the threshold. "Raises the applicability threshold from 10 to 20 workers (with power) and 20 to 40 (without power), exempting smaller units from complex compliance requirements and reducing operational costs," said the spokesperson.
Further, UT sought to allow night shifts for women. "UT proposed women to work night shifts with enhanced safety protocols, enabling industries to leverage a diverse workforce and operate round-the-clock."
UT proposed extended overtime hours. "The quarterly overtime limit from 75 to 125 hours should be increased, providing businesses with greater operational flexibility to meet production demands," the UT proposed.
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Compounding of offences should be introduced wherein provisions to settle minor violations without lengthy legal processes should be done, which will save time and resources for businesses.
Amendments in the Contract Labour (Regulation & Abolition) Act, 1970 (Extension of Punjab Amendment Act, 2020) are sought to increase the applicability threshold from 20 to 50 workers, easing regulatory requirements for small and medium enterprises, allowing them to focus on growth and innovation.
Similarly, changes in the Industrial Disputes Act, 1947 (Extension of Punjab Amendment Act, 2020) are sought to elevate the applicability threshold from 100 to 300 workers, streamlining dispute resolution processes and reducing compliance burdens for larger businesses. Amendments were proposed in the Industrial Disputes Act, 1947 (New Amendment for Chandigarh) to amend Section 22 to replace "Public utility service" with "Public Utility service and all industrial establishments," ensuring smoother operations across all industrial sectors and minimising disruptions.
"These proposed reforms are designed to create a dynamic, investor-friendly environment in Chandigarh by reducing compliance costs: Higher thresholds and simplified regulations lower operational costs, particularly for small and medium enterprises. It will enhance operational flexibility. It will promote inclusivity allowing women in night shifts, expands the workforce, addressing skill shortages and fostering inclusive growth.
Streamlining legal processes and boosting competitiveness," said the spokesperson. MSID:: 122073091 413 |
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