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Survey proposes hire-and-fire policy, amendments to Contract Law

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  • The Factories Act, which regulates labour in factories, should be amended to increase a work-week to 60 hours from the present 48 hours. The survey has also suggested increasing daily limit to 12 hours to meet seasonal demand through overtime. While the labour ministry is already working on a proposal to amend the Act, it is not immediately known what the proposed amendments are.

    Even as the survey makes its suggestions, about 45 million are estimated to be added to the labour force in the Eleventh Plan period. The number of jobs that are estimated to be created towards the end of the Plan period is 58 million. Since agriculture sector may not contribute anything towards job creation, said the survey, there will be a movement of surplus labour in agriculture sector to higher wage and more gainful employment in the non-agriculture sector.

    “The Eleventh Five-Year Plan has especially identified labour intensive manufacturing and services sectors with employment potential like food processing, leather products, footwear, textiles, wood and bamboo products, gems and jewellery, handicrafts, handlooms, tourism and construction, for this purpose,” the survey said.

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