The bill is a pet project of state Deputy Chief Minister Dushyant Chautala.
The Haryana Governor's approval of a bill that reserves 75 per cent private sector jobs for locals is a "regressive straightjacket" that will force the industry to look beyond the state, the Federation of Indian Chambers of Commerce and Industry (FICCI) has said. The law, which targets jobs with gross salaries of up to Rs 50,000 a month, was passed by the state Assembly last year.
On Tuesday, Haryana Deputy Chief Minister, Dushyant Chautala, said the governor had passed the bill which was originally tabled in the House by the Jannayak Janta Party President himself. Such a law was a key election promise made by his party, which had formed a government in the state in alliance with the BJP after winning 10 of the 90 seats.
The industry, clearly, is not amused.
Speaking for FICCI, its President Uday Shankar today said, "The Haryana government's move...will spell disaster for the industrial development and private investment in the state."
He also that investors and entrepreneurs need to source the best human resource available in the country to be competitive and successful. "FICCI also believes that this move is against the spirit of the constitution the gives the citizens of India the freedom to work anywhere in the country."
The bill also contains a clause that companies can invoke if suitable local candidates cannot be found. In such cases they may hire from outside so long as they inform the government of such a step. The companies must register details of all employees receiving up to Rs 50,000 a month, the government had said, adding that failure to do so within three months of the law coming into force will attract penalties.