Lok Sabha Question No. 1211 (UNSTARRED), answered on 2019-06-28
Subject: Removal of Rigid Labour Laws in Textile Industry
Ministry: TEXTILES
Asked by: Pushpendra Singh Chandel, Shrirang Appa Barne, Shrikant Eknath Shinde, Pritam Gopinath Munde, Vinayak Bhaurao Raut

## LOK SABHA UNSTARRED QUESTION NO.1211 TO BE ANSWERED ON 28.6.2019

## REMOVAL OF RIGID LABOUR LAWS IN TEXTILE INDUSTRY

## 1211.   SHRI KUNWAR PUSHPENDRA SINGH CHANDEL:

SHRI SRIRANGA APPA BARNE:

DR. SHRIKANT EKNATH SHINDE:

DR. PRITAM GOPINATHRAO MUNDE:

SHRI VINAYAK RAUT:

Will the Minister of TEXTILES वस्त्र मंरी be pleased to state:

- a) whether  the  Government  is  aware  that  the  textile  industry  employing  about  45 million people and is the second highest job generator after agriculture, has been demanding removal of rigid labour laws that hurt its operations;
- b) if so, the details thereof;
- c) whether the Government has constituted high level expert panel to give a boost to the labour-intensive textile sector, if so, the details thereof;
- d) whether  the  aforesaid  high  level  expert  panel  has  submitted  its  report  to  the Government;
- e) if not, the reasons thereof?
- f) the steps taken or proposed to be taken by the Government on the recommendations made by the aforesaid panel?

## उत्तर

## ANSWER

## वस्त्र मंरी ( श्रीमती स्त्म ृ तत ज़ूबिन इरानी )

MINISTER OF TEXTILES

(SMT. SMRITI ZUBIN IRANI)

(a) to (e): A High Level Advisory Group (HLAG) was constituted by the Department of Commerce to assess the global environment and recommendations for boosting India's share and importance in global merchandise and services trade, managing pressing bilateral trade relations and mainstreaming new age  policy  making  including  textiles.  The  Advisory  Group  submitted  its  report  on  22 nd May 2019 to Department of Commerce.

(f): The Government has taken slew of measures on labour reforms  for promotion of textile industry which inter-alia include the following:

- (i) Reforms in Labour Laws: Increasing overtime capsOvertime hours for workers not to exceed 8 hours per week in line with ILO norms. This shall lead to increased earnings for the workers. Introduction  of  fixed  term  employment -  Looking  at  the  seasonal  nature  for  the garment segment, a fixed term workman at par with permanent workman in terms of working hours, wages, allowanced and other statutory dues.
- (ii) Enhancing scope of Section 80JJAA of Income Tax Act :      Looking at the seasonal nature  of  garment  industry,  the  provision  of  240  days  under  Section  80JJAA  of Income Tax Act is relaxed to 150 days for garment industry.
- (iii) Further, Government has launched a special package of Rs.6000 crore in 2016 to boost investment, employment and exports in the garmenting and made-ups sector with the following components viz., (i) full refund is provided under Remission of State Levies (ROSL)  to  the  exporters  for  the  State  level  taxes;  (ii)  production  linked  additional incentive  of  10%    is  provided  under  the  Amended  Technology  Upgradation  Fund Scheme (ATUFS); (iii)  Government is providing the entire 12% of  the employer's contribution  of  the  EPF    under  Pradhan Mantri  Paridhan  Rozgar  Protsahan  Yojana (PMPRPY) for a period of three years w.e.f 1 st April,2018  to employees of garment industry who are earning less than Rs. 15,000 per month. Further a new Scheme for Rebate  of  State  and  Central  Taxes  and  Levies  (RoSCTL)  has  been  approved  by Government to rebate all embedded state as well as central taxes/levies with a view to improve the competitiveness of value-added textile apparel and made ups sector.

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