Quota for locals in private jobs

Theme:

• On 15th July 2024, the Karnataka cabinet approved a draft bill (The Karnataka State Employment of Local Candidates in the Industries, Factories, and Other Establishments Bill, 2024) mandating local quotas in private jobs. This bill proposes a 50% reservation for locals in administrative roles and 75% in non-administrative roles. Additionally, it mandates a 100% quota for Kannadigas in Group C and Group D jobs. To qualify as a local candidate, an individual must be born in Karnataka, have resided in the state for at least 15 years, and should be able to speak Kannada.
• Later, this bill was put on hold after backlash from companies.

Why:

• This bill aims to ensure job security for local residents.
• Pro-Kannada groups are pressuring the government. They’re concerned about too many people moving from other states to Karnataka, especially Bengaluru, saying it threatens Kannada identity.

Issues:

• Companies opposing the bill say they hire based on skills because they need to operate efficiently. They worry the bill will force them to move to other states. Meanwhile, neighbouring states like Andhra Pradesh and Kerala have seized the opportunity to attract businesses by offering more favourable conditions.
• Karnataka already struggling with a shortage of workers issue, which will get worse, if this bill is passed. Many companies in the state depend on migrant workers.
• In 2020, the Punjab and Haryana High Court stopped a similar bill in Haryana because it is against Article 14 (everyone should be treated equally under the law) and Article 19 (people can move, join groups, and work in any job they’re qualified for) of the Constitution.

Conclusion:

While the Karnataka government’s decision to reserve private sector jobs for locals aims to address local job security and pro-Kannada sentiments, it faces significant challenges. The bill could discourage companies from setting up branches or investing in the state because finding skilled workers is essential for their success. Focusing on skill development rather than reservations would likely be a more effective approach.

Your Turn…

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Image: Canva

References:

• Karnataka: One step too far with local-only quota
• Junk this bill: Industry leaders slam Karnataka’s job quota for locals
• Decode Politics: Siddaramaiah govt’s stalled job quota plans for ‘locals’: What and why
• War of words over Karnataka Bill on local quota in private sector jobs

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