“The Confederation of Indian Textile Industry (CITI) welcomes the long-awaited reforms and implementation of the New Labour Codes. We thank our Honourable Prime Minister for this bold step of replacing 29 archaic labour laws with 4 unified labour codes.
We hope that this will reduce the redundancies in the earlier labour laws and help in reducing informality in employment that was present due to the inflexibilities in the earlier labour laws. We also hope that the rules would address the heterogeneity in the state laws, which, so far, has made it difficult for companies with divisions in multiple states to comply with different state laws.
The scale of growth visualised through PM Mitra parks and some of the other policy reforms need liberal employment rules. States with more industry-friendly provisions will attract more investment and jobs.
We also hope that the new Labour Codes will align well with India’s initiatives towards becoming a responsible business hub and adherence to the various reporting frameworks.
The industry looks forward to the addressal of overtime rates which have been significantly higher than the ILO norms so far.
Further simplification, reduction in compliance costs and more alignment with international labour norms and wage costs will augur well for the overall growth of both industry and organised employment and would result in reduced informalization of the sector.”
Source – CITI
