Engine of growth

There is a difference between being qualified and being skilled. A major part of our population may pass exams, but that could yield just theoretical knowledge, with a complete lack of practical skills. It is imperative to make the best use of human resources. The difference between the supply and demand of skilled manpower is steep and a major roadblock for the economy’s growth. Many fresh entrants do not possess relevant skills needed for jobs across sectors.

Corporate Social Responsibility initiatives are being increasingly used by companies to create a positive impact in the community, apart from promoting brands. In fact, even consumers abroad are willing to pay additional amounts for goods and services from socially active entities. As highlighted, one of the most pertinent needs of our country is trained manpower, especially technologically advanced workforce. Provisions should be promulgated for shifting a percentage of CSR funds to training. Currently, CSR initiatives are more focused on health, conservation of resources, philanthropy, habitat, charity, etc. If job creation and training modules can also become one of the aims, then some of the biggest economic challenges could be tackled. Resourceful and well-coached manpower attracts better business, especially in sectors like IT, manufacturing, research, development, education, hospitality, etc.

Apart from CSR, usage of the Apprentices Act, 1961 needs to be promoted. The primary goal of the Act for which it was promulgated was to satisfy the growing need for skilled personnel and provide experimental training. While certain amendments were sought to be brought a few years back, it is suggestive to make their usage even more liberal and far-fetched, especially to remote areas.

Besides the above, our labour laws have got some very liberal provisions, but those are not widely popularised, such as fixed-term employment. A fixed-term worker is the one who has been appointed for a fixed period, that is, for a specific time or project. Many times, companies fear employing regular employees, owing to strict and over-compliant termination provisions under Indian labour laws. However, fixed-term employment is a unique provision that excludes compliance with clauses like retrenchment. The appointment letter of a fixed-term worker is different from that of a regular worker. Stipulations of retirement, probation, are not required. Perks and allowances, as given to a regular employee, are also not required to be given to an employee whose contract is pre-allocated. Most importantly, the time period for which the fixed-term appointment is there, is clearly mentioned in the arrangement, and the employee can be easily terminated upon completion of work or as the contract defines. Seasonal industries also have these kinds of workers, where the work is not carried out throughout the year. While terminating a regular worker, depending upon facts, one may need to pay retrenchment compensation, notice pay, intimate/seek permission from the government. However, in the case of a contractual employee, no retrenchment or any such other rocket science conditions are required to be complied with. Such provisions have two-fold benefits, ease to the employer for hiring and privilege of pedagogies as well as practical know-hows for employees.

Other short-term employment such as gig, fixed-term, casual, daily, full-time, part-time, work from home, etc. can also provide employers with a variety of skills and mindsets, in addition to an experienced workforce.

Article 23 of the Universal Declaration of Human Rights elucidates the right to work. The European Union Charter of Fundamental Rights reiterates the same. Individuals deprived of the virtue of livelihood are deprived of the right to life as enumerated under Article 21 of the Constitution of India. Article 41 also provides the right to work, education, public assistance in certain cases, etc. The distribution of CSR funds, appropriate usage of Apprentices Act, awareness, and implementation of liberal labour law provisions could achieve these.

Turbulent global markets seeking revival strategies face enormous challenges to meet the basics of society. With recession hitting across the borders, it becomes even more vital that we liberalise laws and make appropriate distribution of resources. Workforce should be imparted with skills and knowledge, as it is essential for economic development.

The writer is a practising Advocate in Supreme Court and High Court of Delhi. Views expressed are personal