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My Perspective: Mr. Michael Dias
Secretary of The Employers’ Association – Delhi
In a tripartite labor market where stakeholders consist of labor, government and employers, there are a lot of silent challenges which get adrift among many labor laws in the country without a proper resolution. Apparently, it won’t be so difficult if the activities of the staffing companies would be regulated and worked out comprehensively as per the ILO convention 181. There are many countries who are following it successfully and could be followed in India as well.
As per the industry trends and my observation, “there are no reported deliberate violations of the labor laws by the Staffing Companies; in fact, in view of the large number of personnel employed by them, especially in the Organized Sector, there is no substantiated Complaint of exploitation of the employee’s wages or Social Security legislations. Therefore, statutes such as ESI, PF, Bonus, Gratuity, Maternity are all faithfully complied with.
Another aspect I would like to highlight in terms of engagement of contract labor is that the Government is ignoring the importance of providing supportive legislation to create more employment. If Government does not focus and promote legislation that encourages employment, then this will gradually discourage the employers towards contractual hiring from the available workforce and create a situation of huge unemployment.
It was brought out in a recent interview with one of the former CM, who emphasized on regularizing the contract jobs in order to create only permanent employment, this would in reality lead to a jobless growth of the economy which is purely market driven and it is absolutely imperative to ensure flexibility in the engagement and disengagement of manpower. The current scenario of the jobless market could be helped only by the solution of contractual staffing.
It is in this context that ISF has to play to a very active role in terms of advocacy with the Government and law makers by recommending the benefits of promoting contractual staffing as a choice of employment. In such a scenario, it is imperative that all Staffing Companies should wholeheartedly support the collective voice of ISF. It is only their combined voice that will protect them from susceptibility and amenability to legal prosecution. Citing an example, “If a contractual labour gets injured at the site of an Employer, then as a member of the ISF, this Staffing Company would have a bigger support body as a backup to negotiate with the ESIC to amicably sort out the issue easily with less efforts”.
Indian Staffing Federation has to play a very active role by creating an ecosystem with lots of programs to reach and connect all the stakeholders (Govt. Employers, Trade Unions, Employees Staffing companies and the like). ISF has a role to advocate not just by laisoning with the policy makers but have to educate the Employers to fight the nuances of statutory compliances under various Employment Laws in India enacted both by the Central and State Governments.
Hence, you need a formal structure to push the statutory system to work for the benefits of contractual staff and it should be the part of ISF vision.
Last but not the least, staffing is the next choice of putting India to work and making it the manufacturing hub of the world. Hence, being an apex body, ISF has to work as 360 degree ecosystem to help the stakeholders by recommending fundamentals of the ILO convention, decent work environment, interpreting the legal issues, advocating the compliance for a better workplace environment for our teeming working class.
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