Bill to reserve 50% management jobs for Kannadigas in private firms gets cabinet nod

Provisions in the bill states that industries, factories, and other establishments must reserve 50 percent of management category posts.

Published Jul 17, 2024 | 8:57 AMUpdated Jul 17, 2024 | 4:03 PM

Bill to reserve 50% management jobs for Kannadigas in private firms gets cabinet nod

The Karnataka government is poised to take a noteworthy step towards prioritising local talent in the job market. The move has led to mixed reactions.

The Siddaramaiah cabinet has given its nod to a bill proposing 50 percent jobs in management and 70 percent in non-management roles for Kannadigas in private firms.

Chief Minister Siddaramaiah took to his special media pages to announce that the cabinet had further approved another bill mandating private industries to reserve 100 percent of jobs in C & D category for Kannadigas. The post was, however, deleted later.

The bill is, however, yet to be tabled in the Assembly for debate.

Announcing the cabinet decision, Chief Minister Siddaramaiah stated on X: “As a pro-Kannada government, our priority is to look after the welfare of Kannadigas.”

“We want to ensure that our people are not deprived of jobs in their own land and have the opportunity to build a comfortable life in the motherland,” stated Siddaramaiah while making the announcement.

The post was deleted later indicating that the government was perhaps reconsidering the decision.

On Tuesday, 16 July, the Siddaramaiah cabinet approved a draft bill aimed at promoting employment opportunities for local candidates in industries, factories, and other establishments.

The Karnataka State Employment of Local Candidates in the Industries, Factories and Other Establishments Bill, 2024, if passed, would mandate industries, factories, and other establishments to reserve a substantial proportion of jobs for local candidates.

50% in management and 70% in non-management jobs

According to the draft bill, it proposes a minimum 50 percent reservation under management and 70 percent in non-management category jobs to be reserved for candidates from the state.

The draft bill also provides for relaxation in cases where qualified or suitable local candidates are not available. Industries and factories can apply for exemption from the provisions of the bill, but only after taking steps to train and engage local candidates within three years.

Additionally, the draft bill proposes penalties for failing to adhere to the act, with continued non-compliance attracting an additional penalty of 100 per day.

Minister for Labour Santosh Lad reiterated that this bill is aimed at addressing larger interests of providing Kannadigas employment in industries, factories, and other establishments.

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Reserving jobs for locals in private establishments

In a significant development in terms of policy-making, the Karnataka State Employment of Local Candidates in Industries, Factories, and Other Establishments Bill, 2024 aims to promote employment opportunities for local candidates in various industries and establishments within the state.

The appointment procedure outlined in the bill states that industries, factories, and other establishments must reserve 50 percent of management category posts and 70 percent of non-management category posts for local candidates.

In the bill, a “Local Candidate” is defined as an individual who was born in Karnataka and has been a domicile of the state for at least 15 years.

Candidates who have not studied Kannada as a language in secondary school must pass a Kannada proficiency test specified by the Nodal Agency.

If qualified or suitable local candidates are not available, industries, factories, and other establishments must collaborate with the government or its agencies to train and engage local candidates within three years.

In cases where sufficient local candidates are not available, industries, factories, and other establishments may apply for relaxation from the provisions of this Act to the state government.

The government may pass appropriate orders after due inquiry, with a minimum relaxation of 25 percentage for management category posts and 50 percentage for non-management category posts.

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Penalties for Non-Compliance

The bill takes non-compliance seriously, imposing significant penalties on employers, occupiers, and managers of establishments that violate its provisions.

The aim is to ensure that industries and establishments adhere to the law and provide employment opportunities to local candidates as mandated, claimed the bill.

Any employer, occupier, or manager of an establishment that flouts the provisions of this bill will face penalties ranging from a minimum of 10,000 to a maximum of 25,000.

Moreover, if the infringement continues after the initial penalty has been imposed, an additional penalty of one hundred rupees per day will be levied for each day the contravention persists, serving as a deterrent against prolonged non-compliance.

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In the larger interest of Kannadigas 

Commenting on the draft bill, Minister for Labour, Santosh Lad reiterated that this move aims to address a long-standing demand and promote the interests of the Kannadiga community and generate more employment for locals in private industries.

Santosh Lad told South First: “We have drafted this bill in the larger interest of Kannadigas. The main aim of this bill is to create more employment opportunities for the local people in private establishments including industries. This was a long pending demand before the government. The private companies/industries have availed several benefits including subsidies, water and land while setting up their industries in the state.”

When asked whether the government consulted stake holders before drafting the bill, he said: “The government is the lawmaker. It is being chalked out in the interest of the people of Karnataka. The aim is to provide more jobs for the locals in industries and other private firms. We will be tabling the bill in the ongoing session.”

On anonymity, a higher official from the labour department told South First: “This is a mere affirmative action from the government. This bill is yet to be enacted in the house. It is only approved by the cabinet. The government’s intention is to generate more employment for the local people instead of outsiders. The private companies or industries were not consulted or taken an opinion on while drafting this bill.”

(Edited by Neena)

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