RESERVATION FOR LOCALS - IS IT REALLY REQUIRED? - POSSIBLE SOLUTIONS
What if you aren't
allowed to work in Bangalore since you are not from Karnataka ?. This sounds
alarming when heard. Because 40% of people working in silicon valley in Bangalore
are Outsiders. This is the new idea of reservation for locals. Recently Haryana
government passed an ordinance alloting 75 percent of jobs to people hailing Haryana.Previously
Andhra Pradesh was the first government
to do this.In this article I would give you a comprehensive analysis on the
feasibility and necessity of this types of Ordinance. These governments argue
that this would provide the youth in their state with employment
opportunities.
WHAT DOES THE PROPOSAL MEAN ?
It implies
that jobs that will be created in a state will be first offered to only
people who belong to that State. It means that some percentage of seats
will be reserved for the domiciles of the state and the companies should abide
the law .There is different percentages of reservation proposed in different
states and there are exceptions for few companies. I have given the links below
for complete rules and regulations of that were proposed in Andhra pradesh
and Haryana.
WHY IS THIS A BAD IDEA?
INVESTOR PHOBIC
This act is surely Investor Phobic. Because any new investor willing to set up a factory in the state will have to question his ease of doing business after setting up the factory. Thus he would eventually shun away from the state and invest at a place there are no such restrictions. Hence this would create a insecurity in the investors willing to invest in the state.
LACK OF SKILLED WORKERS
Many industries and companies need high skilled workers for their work to be done. They only recruit according to their standards. Many states willing to implement this idea lack skilled workers to get into these Companies. Some states like Andhra Pradesh ordered the companies to train the youth in the State. But this in reality over burden the companies and eventually they lose interest of investing in the state.
MYOPIC
This is a short sighted act. Since this decision is industry phobic this would lead to decline in investment in the state and thus after few year the state will have less job creation. Hence even you have reservations for your people you donot have jobs to offer.
EFFECT INTEGRITY OF NATION
This policy can lead
to a situation of locals vs non-locals in area, thus posing a threat
to the integration of the country. Such a law goes against the spirit of One
Nation One Tax, One Nation One Ration Card etc. The law somehow requires one to
start preparing the State Register of Citizens (SRCs) as against the National Register of Citizens (NRCs).
LACK OF MACHINERY AND FAILED ATTEMPTS
Many states have
attempted these type of Practices. But when operated in reality there is no
proper mechanism which could properly evaluate that companies are abiding to
this law. Hence this would end up as a fiasco and will have adverse effect on
its implementation.
HOW THIS MIGHT SOLVE THE PROBLEM OF MIGRATION?
This idea has many cons
but this would in some way or the other solve the problem of migration in the
country. Migrants are a serious problem for Indian economy.Their data is
registered in one state but they work in other states. Providing reservations
to the locals in the state will ensure that the workforce is not migrated to
other states for employment.
But this holds good only
with the migrants who migrating for a Blue Collar Job. People migrating for
White Collar Jobs and for other reasons have some issues which cannot be
solved.
IS THIS CONSTITUTIONALLY VIABLE?
Equality is very
deeply enshrined in the Constitution all across but Article 16 specifically
states that no citizen shall, on grounds only of religion, race, caste, sex,
descent, place of birth, residence or any of them, be ineligible for, or
discriminated against in respect or, any employment or office under the State. But
some cases in the past were given different judgements However the constitution
provides reservation based on domicile. This case is still pending in the
court.
POSSIBLE SOLUTIONS
This act is mainly proposed to provide employment opportunities to the youth in the state .For this to be fulfilled here are some possible solutions
1.Teach the people of
the state required skills that are best suited for the industry.
2. Limit this act only
to unskilled workers or people having blue
collar Jobs. This might check migration
3. First create a
right ecosystem for the industry to flourish in the State.Then you would have
the liberty to take these type of decisions.
4.If there is really a
need to do this provide the company incentives so that they wouldn’t back off
from the state citing the restrictions.
Finally
Reservations for Local
is an idea whose time has still not come.America under trump has implemented
this only after 100 years of unparalled growth of America. This decision is
very tempting for politicians for scoring brownie points . But this doesn't go
well with the economy.
Achieving sustainable
development should be the priority of any government unlike myopic ideas like
this.
REFERENCES
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