Labour Law Reform: The
Role of Trade Unions
Umesh Upadhyaya
Beginning Point of the Agenda
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Continued Discussion - more than a
decade
TUs emphasis on implementation
EOs stress on amendment (hidden
agenda of hire & fire policy)
Both ready to revise
EOs Arguments
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Need for Labour market flexibility
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Labour law not neutral - with pro-worker
character
Rigidity of labour - hurdled economic activity
Hesitation in investment
High uncertainty in business scenario
FDI not attracted
Implementation poor due to rigidity of labour
law
TUs Arguments
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Full FOA, Increased Wages and Social
Protection
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Labour law - naturally expected to be proworker
Violent conflict
Poor capacity of the state to ensure a
conducive business environment
Policy defects of the government
Feudal attitudes of employers
Employers' focus on labour cost minimization
– not on productivity enhancement
Anti-union policies rather than cooperation
with unions
Reviewing the Past
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7 issues identified by Unions and
FNCCI
19 point agreement between TUs &
FNCCI
Continued discussion during 2004
and 2005
Government initiative due to
pressure of World Bank
ILO efforts as intermediary
Efforts of the Unions
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Some normal – some radical
Joint Initiatives for common position
GEFONT-NTUC Taskforce
NTUC/GEFONT Board & Secretariat
Efforts of the Unions
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Issue-wise collaboration
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GEFONT+NTUC+DECONT
GEFONT+NTUC+DECONT+TUN
GEFONT+NTUC+DECONT+CoNEP
GEFONT+NTUC+DECONT+ANFTU
GEFONT+NTUC+DECONT+ANFTU+AN
TUC+NTUF
JTUCC as a joint structure of 8 National
TUs
Focus of Union Efforts
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Full recognition of unions in every
segment of employment
Uninterrupted rights
Social security as the fundamental
right in Constitution
Labour Court system ineffective
National Labour Commission as a
new device for solution
Towards new welfare state
Priorities of Unions
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'Joint go ahead' strategy in spite of rivalry
Give & Take focus on labour flexibility in
balance with social security/protection
Divert the state from Capital-tilt to
Labour-Capital balance in its character
Influential interventions in the new
constitution & labour law process
Capacity of Unions: Let us assess
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Research capacity & expert consultations
Fact-based logical presentations & common
stance
Activist mobilization & Mass show for pressurizing
Mobilization of international support
Lobbying capacity
Coordination capacity
Bipartite relation with employers
Level of mutual trust among unions
Tactful strategy to balance Confrontation and
Negotiation