Lok Sabha Question No. 1743 (UNSTARRED), answered on 2023-02-13
Subject: Employees/Workers in Startups
Ministry: LABOUR AND EMPLOYMENT
Asked by: Lavu Sri Krishna Devarayalu, Vinayak Bhaurao Raut

## GOVERNMENT OF INDIA MINISTRY OF LABOUR AND EMPLOYMENT LOK SABHA

UNSTARRED QUESTION NO. 1743 TO BE ANSWERED ON 13.02.2023

## EMPLOYEES/WORKERS IN STARTUPS

1743. SHRI LAVU SRI KRISHNA DEVARAYALU: SHRI VINAYAK RAUT:

Will  the  Minister  of  LABOUR  AND  EMPLOYMENT  be  pleased  to state:

- (a)the  details  of  employees/workers  employed  by  Indian  startups during the last three years, yearwise;
- (b)whether  more  than  20,000  employees  were  laid  off  by  startups during the last year and if so, the reasons behind this heavy lay off and  the  manner  in  which  Government  is  facilitating  startups  to retain employees/workers;
- (c)whether  the  Government  has  taken  any  steps  for  the  families  of more than 20,000 employees and if so, the details thereof;
- (d)the details of employees/workers engaged by Indian startups during
- the last three years, year-wise;
- (e)whether  it  is  true  that  more  than  20,000  employees  were  laid  by start ups last year in the country; and
- (f)if  so,  the  reasons behind this huge layoff and manner in which the Government is facilitating startups in retaining employees/workers?

## ANSWER

## MINISTER OF STATE FOR LABOUR AND EMPLOYMENT (SHRI RAMESWAR TELI)

(a) to (f): Based  on  the  information  furnished  by  Department  for Promotion  of  Industry  and  Internal  Trade  (DPIIT),  total  number  of direct  employment  generated  in  the  last  three  years,  year-wise;  as self-reported by DPIIT's recognised Startups is at Annexure. Employment  including  lay-offs  is  a  regular  phenomenon  in  industrial establishments. Matters relating to lay-off in industrial establishments are governed by the provisions of the Industrial Disputes Act, 1947 (ID Act) which also regulates various aspects of lay-off.  As per the ID Act, Contd..2/-

establishments employing 100 persons or more are required to seek prior  permission  of  the  appropriate  Government  before  effecting  layoff. Further, lay-off is deemed to be illegal which is not carried out as per the provisions of ID Act. ID Act also provides for right of workmen laid  off  for  compensation.  Based  on  their  respective  jurisdictions  as demarcated in the ID Act, Central and State Governments take actions to  address  the  issues  of  the  workmen  and  protect  their  interests  as per  the  provision  of  the  Act.  In  the  establishments  that  lie  in  the jurisdiction  of  Central  Government,  the  Central  Industrial  Relations Machinery  (CIRM)  is  entrusted  with  the  task  of  maintaining  good Industrial relations and protects the interest of workers including on the matters  relating to layoff and  its prevention.  However,  the jurisdiction  in  the  matters  with  regard  to  Startups  lies  with  the respective  State  Governments.  No  data  is  maintained  at  the  Central level on laying off to this Sector.

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Annexure Annexure referred to  in reply to part (a) to (f) the Lok Sabha Unstarred Question No.1743 to be

answered on 13.02.2023.

| Sl. No.   | States/UTs                               | Year 2020   | Year 2021   | Year 2022   |
|-----------|------------------------------------------|-------------|-------------|-------------|
| 1         | Maharashtra                              | 29,845      | 37,583      | 51,357      |
| 2         | Karnataka                                | 27,457      | 20,994      | 24,487      |
| 3         | Delhi                                    | 18,155      | 23,125      | 30,083      |
| 4         | Uttar Pradesh                            | 15,973      | 19,845      | 22,969      |
| 5         | Gujarat                                  | 9,521       | 17,970      | 23,832      |
| 6         | Haryana                                  | 10,888      | 10,304      | 13,713      |
| 7         | Telangana                                | 8,982       | 10,030      | 14,187      |
| 8         | Tamil Nadu                               | 7,794       | 9,956       | 17,191      |
| 9         | Kerala                                   | 5,639       | 7,616       | 9,967       |
| 10        | Rajasthan                                | 4,710       | 5,631       | 11,640      |
| 11        | Madhya Pradesh                           | 3,575       | 6,680       | 11,752      |
| 12        | West Bengal                              | 2,923       | 7,081       | 9,428       |
| 13        | Odisha                                   | 2,345       | 3,934       | 4,611       |
| 14        | Bihar                                    | 2,309       | 3,145       | 4,509       |
| 15        | Andhra Pradesh                           | 3,007       | 2,359       | 3,061       |
| 16        | Punjab                                   | 1,741       | 2,432       | 2,308       |
| 17        | Chhattisgarh                             | 1,069       | 1,741       | 2,188       |
| 18        | Assam                                    | 877         | 1,431       | 2,589       |
| 19        | Jharkhand                                | 1,436       | 1,472       | 1,919       |
| 20        | Uttarakhand                              | 762         | 1,705       | 1,650       |
| 21        | Jammu and Kashmir                        | 484         | 813         | 1,327       |
| 22        | Chandigarh                               | 361         | 753         | 861         |
| 23        | Goa                                      | 384         | 485         | 880         |
| 24        | Himachal Pradesh                         | 283         | 346         | 999         |
| 25        | Tripura                                  | 765         | 95          | 202         |
| 26        | Manipur                                  | 125         | 409         | 300         |
| 27        | Puducherry                               | 68          | 205         | 237         |
| 28        | Dadra and Nagar Haveli and Daman and Diu | 31          | 136         | 147         |
| 29        | Andaman and Nicobar Islands              | 32          | 72          | 71          |
| 30        | Nagaland                                 | 32          | 86          | 71          |
| 31        | Meghalaya                                | 0           | 120         | 61          |
| 32        | Mizoram                                  | 2           | 15          | 106         |
| 33        | Arunachal Pradesh                        | 0           | 31          | 66          |
| 34        | Sikkim                                   | 2           | 29          | 22          |
| 35        | Ladakh                                   | 3           | 0           | 32          |
| 36        | Lakshadweep                              | 7           | 0           | 0           |
|           | Total                                    | 161,587     | 198,629     | 268,823     |

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