Economics
Modi’s Labor Reform Push May Remove Key Hurdle For Investors
- Industrial code allows some flexibility in hiring and firing
- Modi to face backlash from opposition leaders, trade unions
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Prime Minister Narendra Modi is finally attempting to overhaul India’s most controversial labor laws to attract investment and make it easier to do business in a country where changing archaic rules is a challenge for any government.
After a long struggle, his government will push a crucial industrial relations bill allowing companies to hire workers on fixed-term contracts of any duration. The legislation, to be tabled in Parliament’s current winter session, does not seek to change stringent laws on hiring and firing, but allows the government the flexibility to relax the conditions through an executive order.