K.R. Shyam Sundar

Trade Unions Protest and Way Forward | UPSC

K.R. Shyam Sundar is Professor, HRM Area, XLRI, Xavier School of Management, Jamshedpur

CODES AND FLAWS

• STRUCTURAL REFORMS : With the introduction of economic reforms concretely since 1991, employers and the global financial institutions have been lobbying for labour market and structural reforms.
• UNPROVEN INSPECTION SYSTEMS : The Codes are based on the fundamental unproven premise that labour laws and inspection system are obstacles in attracting investment.
• LABOUR MARKETS SOAR : The state must promote a cheaper and flexible labour market.

LABOUR RIGHT IN THE NEW CODE

The Codes do extend some labour rights such as

• Universal minimum wage
• Statutory recognition of trade unions
• Formalisation of employment contracts
• Social security to gig
• Platform economy workers.

• BLURRED DEFINITIONS : The Codes have also considerably redefined the concept and practice of labour inspection system by diluting it.

SOURCES : ANI

• FISCAL CONSERVATISM : The Codes and state retrenchment in the industrial sector — especially in the context of higher levels of unemployment has raised temperature.
• INFLATION : Stubborn inflation have created tremendous insecurity among workers.
• WOEFUL EXPERIENCES : Migrant and informal workers underwent woeful experiences during the COVID-19 period, and trade unions perceive that the state has not provided adequate relief to workers.

CRISIS AND REFORMS

• OPPORTUNISTIC ENACTMENT : The state had chosen the COVID-19 crisis-ridden period as an “opportune time” to enact labour law reforms having far-reaching adverse consequences for labour rights and structural reforms.
• EXTRA-LEGAL LEGISLATION : It is galling to note that the COVID-19 period has witnessed perhaps a maximum amount of legal and extra-legal measures issued by the state.

SIX OPTIONS TO CONFRONT

In such a context, trade unions have six options to confront —

1. Social dialogue
2. Political lobbying
3. Political confrontation through Opposition parties
4. Legal action by approaching the judiciary
5. Seek the International Labour Organization’s intervention
6. Direct industrial action.

MISCOMMUNICATION AND PROTESTS

• SOCIAL DIALOGUE : The State as per trade unions, did not conduct an effective and sustaining social dialogue, though it held a few symbolic parleys with them.

• DENIAL MODE : The state has dismissed social dialogue as being ineffectual and even frustrating.
• NUMEROUS REPRESENTATIONS : The Central trade unions have made numerous representations on their demands and suggestions relating to labour market reforms.
• BILLS MISS OUT DEMANDS : Trade unions contend that many of their suggestions have not been incorporated in the Codes and the COVID-19 relief measures.
• FEW DELIBERATIONS : The whole political exercise of the passage of the Farm Bills and the three Labour Codes during the COVID-19 period smacks of “un-democracy” as Parliament did not witness “healthy discussions”.

SEEKING ASSISTANCE

• JUDICIO-PHOBIA : Unions must shed their judicio-phobia and approach it provided they have strong legal grounds to challenge reforms introduced by Central or State governments.
• REDRESSAL MECHANISMS : Trade unions do not use extensively the complaints mechanism created by the International Labour Organization for fear of washing dirty linen in the global spaces.
• THE LAST METHOD : Trade unions are left with the only option — of demonstrative “industrial action” followed by sustained protest actions.

DEMANDS

The central trade unions have these demands :

1. Direct cash transfer of ₹7,500 per month for all non-income tax-paying families
2. 10 kg free ration per person per month to all the needy
3. Expansion of MGNREGA to provide 200 days of work in a year in rural areas at enhanced wages
4. Extension of employment guarantee to urban areas;
5. Withdrawal of all anti-farmer laws and anti-worker labour codes
6. A halt to privatisation
7. Protection of government employment
8. Restoration of old pension schemes, etc.