[India] Assam will remove jail time as labour law violation punishment

On December 20 in India, the Assam government introduced 10 labour law amendment bills related to private sector employees. The bills are intended to dilute the criminal penal provisions in order to promote "ease of doing business", National Herald reports.

In each bill, the punitive measure of imprisonment has been removed but the fine amount has been multiplied.

Labour Welfare Minister Sanjay Kishan reportedly tabled the bills in the Assam Assembly on the first day of the Winter Session. He said the proposed amendments have been introduced to decriminalise all labour laws by bringing in civil penalties.

In the Statement of Objects and Reasons for all the 10 bills, the minister said, "The rationale behind decriminalisation is that imprisonment is too severe a consequence for economic offences that do not involve mala fide."

The legal process around an offence involving imprisonment "greatly increases the anxiety" among employers and reduced possibility of such processes leads to "improved ease of doing business", he said.

"Criminal penalties, especially the risk of imprisonment, often unintentional offences, is a major reason for low business investment."

The minister said that the idea behind the change is that strong deterrent provisions with heavy fines will force employers to have watertight internal organisational and operational mechanisms to ensure that there are no lapses in compliance.

"This will relieve employers from fear of imprisonment while protecting the rights of the workers," he said.

The tabled bills are The Minimum Wages (Assam Amendment) Bill, 2022, The Building and Other Construction Workers Welfare Cess (Assam Amendment) Bill, 2022, The Plantations Labour (Assam Amendment) Bill, 2022 and The Industrial Disputes (Assam Amendment) Bill, 2022.

Kishan also tabled The Beedi and Cigar Workers (Conditions of Employment) (Assam Amendment) Bill, 2022, The Contract Labour (Regulation and Abolition) (Assam Amendment) Bill, 2022 and The Inter-State Migrant Workmen (Regulation of Employment and Conditions of Services) (Assam Amendment) Bill, 2022.

Also introduced in the House were The Equal Remuneration (Assam Amendment) Bill, 2022, The Building and Other Construction Workers (Regulation of Employment and Condition of Service) (Assam Amendment) Bill, 2022 and The Payment of Gratuity (Assam Amendment) Bill, 2022.

Source: National Herald

(Quotes via original reporting)

On December 20 in India, the Assam government introduced 10 labour law amendment bills related to private sector employees. The bills are intended to dilute the criminal penal provisions in order to promote "ease of doing business", National Herald reports.

In each bill, the punitive measure of imprisonment has been removed but the fine amount has been multiplied.

Labour Welfare Minister Sanjay Kishan reportedly tabled the bills in the Assam Assembly on the first day of the Winter Session. He said the proposed amendments have been introduced to decriminalise all labour laws by bringing in civil penalties.

In the Statement of Objects and Reasons for all the 10 bills, the minister said, "The rationale behind decriminalisation is that imprisonment is too severe a consequence for economic offences that do not involve mala fide."

The legal process around an offence involving imprisonment "greatly increases the anxiety" among employers and reduced possibility of such processes leads to "improved ease of doing business", he said.

"Criminal penalties, especially the risk of imprisonment, often unintentional offences, is a major reason for low business investment."

The minister said that the idea behind the change is that strong deterrent provisions with heavy fines will force employers to have watertight internal organisational and operational mechanisms to ensure that there are no lapses in compliance.

"This will relieve employers from fear of imprisonment while protecting the rights of the workers," he said.

The tabled bills are The Minimum Wages (Assam Amendment) Bill, 2022, The Building and Other Construction Workers Welfare Cess (Assam Amendment) Bill, 2022, The Plantations Labour (Assam Amendment) Bill, 2022 and The Industrial Disputes (Assam Amendment) Bill, 2022.

Kishan also tabled The Beedi and Cigar Workers (Conditions of Employment) (Assam Amendment) Bill, 2022, The Contract Labour (Regulation and Abolition) (Assam Amendment) Bill, 2022 and The Inter-State Migrant Workmen (Regulation of Employment and Conditions of Services) (Assam Amendment) Bill, 2022.

Also introduced in the House were The Equal Remuneration (Assam Amendment) Bill, 2022, The Building and Other Construction Workers (Regulation of Employment and Condition of Service) (Assam Amendment) Bill, 2022 and The Payment of Gratuity (Assam Amendment) Bill, 2022.

Source: National Herald

(Quotes via original reporting)