75% Job Reservation For Locals In Private Companies: Jharkhand’s New Law

From October onwards, the private companies in Jharkhand will have to provide 75 per cent of space to the local people with a salary of up to Rs 40,000. Every company which have strength more than 10 employees will have to follow this law. On Monday, while reviewing the work of Labor Planning Training and Skill Development Department, Chief Minister of Jharkhand Hemant Soren ordered the implementation of the new law in all companies and establishments from October. The District Commissioners of the districts of the state were also present in this meeting. 

The Labour and Planning Department had already issued the gazette notification of the rules for 75 per cent reservation for locals in the private sector on July 29. However, this provision will be applicable from October. A specific committee was formed at the state level under the secretary of the Labour Department to ensure compliance with this law. The Director of the Planning and Training Department will be the member secretary of this committee. Apart from these, Labour Commissioner, Industry Director, and Chief Factory Inspector among others will be the members of this committee. The committee will report to the Jharkhand government on the status of compliance with the law every three months

The companies have been given a time period of three years to implement this law, they have to ensure that 75 per cent of their workforce are the local people from Jharkhand. Though the law will not be applicable for appointments above Rs. 40,000 per month. This law will also be applied if workers are hired through outsourcing. If any company will be found to not apply this law in their recruitment process, the non-compliance fine could be up to Rs. 5 lakh. This law can relaxed jobs that demand specialised skills