Skip to main content

Whither protection? 88% Gujarat employees without job contract, 67% sans paid leave

By Rajiv Shah 
Amidst apprehensions that the Government of India’s new labour codes, tabled in Parliament recently, are driven by the interests of the industry in order to “alter” the labour protection landscape in India “beyond repair and reclaim”, facts have come to light suggesting that “model” Gujarat has been one of the worst states in the country as far as providing any form of protection to its workers is concerned.
Published by the Ministry of Statistics and Programme Implementation, Government of India, a recent report, “Annual Report: Periodic Labour Force Survey (PLFS)”, has found that 87.7% of Gujarat wage or salaried employees in the non-agricultural sector work “without job contract”, which is the second highest among 21 major states, next to Karnataka (94.2%).
Based on a survey carried out across India between July 2017and June 2018, the report has also found that Gujarat’s 66.8% workers in the same category are “not eligible for paid leave”, which is again the second highest in India, next only to Rajasthan (68.4%), and the state’s 55.9% workers do not get “any social security benefit”, which is fifth worst following Andhra Pradesh (62.7%), Rajasthan (61.1%), Punjab (60.8%) and West Bengal (59.2%).
Combining all the three ingredients, the survey has further found that as for “workers not eligible for paid leave, without written job contract and without any social security benefit”, Gujarat is the fourth worst (47.3%), following Rajasthan (54.3%), Punjab (52.2%) and Andhra Pradesh (51.9%). The national average is 38%. 
The inter-state comparative figures come amidst Gujarat government claims that it has been following the International Labour Organization (ILO) guidelines in order to “protect” workers from exploitation, one reason why it has refused to accept the exit policy, allowing industry to retrench workers at will, as suggested by the Government of India.
Through a labour law amendment, the home state of Prime Minister Narendra Modi has not only given powers to the government to prohibit strikes in public utility services – where increasing number of persons are being appointed on contract – it has scaled down the period a worker could fight a case against the industry.
Under the amended law, an industrial worker now gets only a year to make an application against his dismissal, discharge, etc., raising an "industrial dispute" to the labour court or tribunal, as against the earlier window of three years. Further, the state has allowed industrial units in special economic zones (SEZs) to lay off workers without government’s sanction, which is seen as a precursor of things to come in Gujarat.
The failure to provide workers’ protection in Gujarat, significantly, is coupled with the same Government of India report pointing out that the per month average wages or salary earnings for regular employees in Gujarat during April-June 2018 was Rs 14,528.24, which is lower than all major 21 states with the sole exception of West Bengal (Rs 11,978.99).
The all-India average for lack of protection to its workers is, no doubt, poor, but not as bad as the one finds in Gujarat. Thus, as against Gujarat’s 87.7%, the report says, in India, among regular wage/salaried employees in the non-agriculture sector, 71.1 per cent do no have a written job contract.
Further, as against Gujarat’s 66.8%, the report states, 54.2% in workers in the same category across India are found to be not eligible for paid leave. And, as against Gujarat’s 55.9%, in India, 49.6% workers are found to be not eligible for any social security benefit.
The authoritative survey, even as seeking to ascertain the duration of the written contract or agreement with the employer, including the date of termination, if any, in all Indian states, says, “However, if no written contract existed, then irrespective of the duration of employment, it was considered as no written job contract.”
For the ascertaining whether employees were eligible to get paid leave, the report takes into account paid leave “during sickness, maternity, or such leave, as an employee was eligible to take without loss of pay, as per the conditions of employment.”
And as for ascertaining whether employees are covered under any of the specified social security benefits or a combination of them arranged by the employer, the survey seeks details of whether contribution has been made by the employer towards provident fund, pension, gratuity, health care, maternity benefits.
It states, “Those who were not covered under any of the above social security schemes were considered as not eligible for any social security benefits.”

Comments

Anonymous said…
What is important a growth with wealth or a standstill where no generation of wealth and employment and people live a life of poor. Entrepreneurs restrict the number of workers within limit so that they remain out of the net of the labour laws and improve efficiency of the unit by keeping industrious force and become competitive. Ultimately he is taking all the risk of the business and if workers with the legal protection come as extra burden he will die. Many such units closed down and there is demand to relax the labour laws to ease the business environment. Rajasthan goverment amended their labour laws and the results are encouraging. The units life extended and more wealth and more employments generated. Most important is the sustainable of the industry. It it dies, who will employ?
Uma said…
Why is Gujarat used as standard? Many other states are doing, or trying to do, better

TRENDING

Gujarat Information Commission issues warning against misinterpretation of RTI orders

By A Representative   The Gujarat Information Commission (GIC) has issued a press note clarifying that its orders limiting the number of Right to Information (RTI) applications for certain individuals apply only to those specific applicants. The GIC has warned that it will take disciplinary action against any public officials who misinterpret these orders to deny information to other citizens. The press note, signed by GIC Secretary Jaideep Dwivedi, states that the Right to Information Act, 2005, is a powerful tool for promoting transparency and accountability in public administration. However, the commission has observed that some applicants are misusing the act by filing an excessive number of applications, which disproportionately consumes the time and resources of Public Information Officers (PIOs), First Appellate Authorities (FAAs), and the commission itself. This misuse can cause delays for genuine applicants seeking justice. In response to this issue, and in acc...

'MGNREGA crisis deepening': NSM demands fair wages and end to digital exclusions

By A Representative   The NREGA Sangharsh Morcha (NSM), a coalition of independent unions of MGNREGA workers, has warned that the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) is facing a “severe crisis” due to persistent neglect and restrictive measures imposed by the Union Government.

A comrade in culture and controversy: Yao Wenyuan’s revolutionary legacy

By Harsh Thakor*  This year marks two important anniversaries in Chinese revolutionary history—the 20th death anniversary of Yao Wenyuan, and the 50th anniversary of his seminal essay "On the Social Basis of the Lin Biao Anti-Party Clique". These milestones invite reflection on the man whose pen ignited the first sparks of the Great Proletarian Cultural Revolution and whose sharp ideological interventions left an indelible imprint on the political and cultural landscape of socialist China.

Gandhiji quoted as saying his anti-untouchability view has little space for inter-dining with "lower" castes

By A Representative A senior activist close to Narmada Bachao Andolan (NBA) leader Medha Patkar has defended top Booker prize winning novelist Arundhati Roy’s controversial utterance on Gandhiji that “his doctrine of nonviolence was based on an acceptance of the most brutal social hierarchy the world has ever known, the caste system.” Surprised at the police seeking video footage and transcript of Roy’s Mahatma Ayyankali memorial lecture at the Kerala University on July 17, Nandini K Oza in a recent blog quotes from available sources to “prove” that Gandhiji indeed believed in “removal of untouchability within the caste system.”

Targeted eviction of Bengali-speaking Muslims across Assam districts alleged

By A Representative   A delegation led by prominent academic and civil rights leader Sandeep Pandey  visited three districts in Assam—Goalpara, Dhubri, and Lakhimpur—between 2 and 4 September 2025 to meet families affected by recent demolitions and evictions. The delegation reported widespread displacement of Bengali-speaking Muslim communities, many of whom possess valid citizenship documents including Aadhaar, voter ID, ration cards, PAN cards, and NRC certification. 

Subject to geological upheaval, the time to listen to the Himalayas has already passed

By Rajkumar Sinha*  The people of Uttarakhand and Himachal Pradesh, who have somehow survived the onslaught of reckless development so far, are crying out in despair that within the next ten to fifteen years their very existence will vanish. If one carefully follows the news coming from these two Himalayan states these days, this painful cry does not appear exaggerated. How did these prosperous and peaceful states reach such a tragic condition? What feats of our policymakers and politicians pushed these states to the brink of destruction?

India's health workers have no legal right for their protection, regrets NGO network

Counterview Desk In a letter to Union labour and employment minister Santosh Gangwar, the civil rights group Occupational and Environmental Health Network of India (OEHNI), writing against the backdrop of strike by Bhabha hospital heath care workers, has insisted that they should be given “clear legal right for their protection”.

Rally in Patna: Non-farmer bodies to highlight plight of agriculture in Eastern India ahead of march to Parliament

P Sainath By  A  Representative Ahead of the march to Parliament on November 29-30, 2018, organized by over 210 farmer and agricultural worker organisations of the country demanding a 21-day special session of Parliament to deliberate on remedial measures for safeguarding the interest of farm, farmers and agricultural workers, a mass rally been organized for November 23, Gandhi Sangrahalaya (Gandhi Museum), Gandhi Maidan, Patna. Say the organizers, the Eastern region merits special attention, because, while crisis of farmers and agricultural workers in Western, Southern and Northern India has received some attention in the media and central legislature, the plight of those in the Eastern region of the country (Bihar, Jharkhand, West Bengal, Orissa, Chhattisgarh and Eastern UP) has remained on the margins. To be addressed by P Sainath, founder of People’s Archive of Rural India (PARI), a statement issued ahead of the rally says, the Eastern India was the most prosperous regi...

'Centre criminally negligent': SKM demands national disaster declaration in flood-hit states

By A Representative   The Samyukt Kisan Morcha (SKM) has urged the Centre to immediately declare the recent floods and landslides in Punjab, Himachal Pradesh, Jammu & Kashmir, Uttarakhand, and Haryana as a national disaster, warning that the delay in doing so has deepened the suffering of the affected population.