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Inspector raj set to be history with Modi govt's first

 big-bang labour reform:



NEW DELHI: The NDA government is set to unveil its first big-bang labour reform by partially dismantling the factory inspector raj, perceived by industry to be arbitrary and corrupt. 



Under the proposed reforms, labour inspectors will lose their power to decide which unit to visit and the number of forms related to compliance with labour laws that employers have to file will drop from 16 to 1.



However, cutting down on the inspector raj will be twinned with pro-worker measures, such as making it easier for employees to access provident fund accounts and insurance schemes, according to a concept note prepared by the labour ministry which EThas reviewed.

Some of these changes could be unveiled as early as Thursday by Prime Minister Narendra Modi, in the presence of state labour and health ministers from across the country. Modi is likely to inaugurate a new programme, christened Pt Deen Dayal Upadhyay Shrameva Jayate Karyakram.

Under the programme, the labour ministry is setting up a 'Shram Suvidha', or labour facilitation, portal and will unveil a new 'Labour Inspection Scheme' that will cut down on the inspector raj and bring in transparency for e-filing of returns related to compliance with various labour laws. It will also make it easier for workers to access welfare schemes such as Employees' Provident Fund and insurance.

Importantly, the new scheme introduces portability for EPF accounts by linking them with bank accounts.

As part of the inaugural ceremony, the PM will send SMS es to 1,800 labour inspectors of four central organisations (Chief Labour Commissioner, Directorate General of Mines Safety, Employees' Provident Fund and Employees' State Insurance Corporation), which will immediately come under the new scheme.

These four organisations administer 16 out of 44 central labour laws in government and private companies across the country. In the second phase of the programme, the government intends to bring in the remaining labour laws and also all the state governments on to the portal to ensure that all the units of  the country are covered by this scheme.



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