Government Entities in Gujarat Fail to Meet Local Hiring Norms, Raises Concerns, India

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Government Entities in Gujarat Fail to Meet Local Hiring Norms, Raises Concerns

Three central government entities, namely the Airports Authority of India (AAI), the Oil and Natural Gas Corporation Limited (ONGC), and the Indian Oil Corporation (IOC), have failed to meet the local hiring norms in Gujarat, sparking concerns among lawmakers and highlighting the need for stricter enforcement of regulations.

In 1995, the Gujarat government resolution mandated that all commercial entities, including central public sector undertakings (PSUs), operating in the state must hire 85 percent of their workforce from within Gujarat. However, these three entities have consistently fallen short of this requirement, despite repeated reminders from the state government.

During a legislative assembly session, Congress MLA Imran Khedawala brought attention to the issue and sought information on whether AAI, IOC, and ONGC were adhering to the rule. In response, State Labour, Skill Development and Employment Minister Balwantsinh Rajput admitted that the three PSUs had not complied with the 85 percent hiring norm for local candidates.

Rajput revealed that the latest data showed these entities were maintaining a recruitment ratio of 65 percent, well below the prescribed 85 percent mentioned in the government resolution. He further explained that the state government had made numerous efforts to address the issue, including sending 24 communications and holding meetings with the concerned entities. The minister clarified that 87 percent of their labor force was already from Gujarat; however, the shortfall was primarily in managerial positions.

The management of these public sector undertakings claimed that they encountered difficulties in implementing the 85 percent rule due to centralized recruitment procedures and employee transfers across different states, Rajput added.

Commenting on the situation, Congress legislative party leader Amit Chavda suggested an alternative approach. Instead of relying solely on government resolutions, Chavda proposed introducing a bill that would make it mandatory for all companies and PSUs operating in Gujarat to comply with the 85 percent local hiring rule.

This issue has raised concerns among lawmakers and sparked a debate on the effectiveness of existing regulations. Some argue that stricter enforcement is necessary to ensure the fulfillment of local hiring norms, particularly in managerial positions, while others contend that a legislative solution would provide a more comprehensive and enforceable framework.

The state government continues to work towards resolving this issue and ensuring greater representation for local candidates. Striking the right balance between addressing the concerns of public sector undertakings and prioritizing employment opportunities for Gujarat residents remains a key focus. It is hoped that a suitable resolution can be reached that benefits both parties and promotes inclusivity in the workforce.

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Jaishankar BH
Jaishankar BH
Jaishankar BH, the experienced author behind The Reportify, brings a wealth of knowledge in Indian news. With a deep understanding of the country's political landscape and cultural nuances, Jaishankar delivers insightful and well-researched analysis. Stay informed and enlightened with Jaishankar's expertise at The Reportify. He can be reached at jaishankar@thereportify.com for any inquiries or further information.

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