Employment, Labour and Benefits

In what may not please many businesses, the Governor of Haryana granted his assent to the Haryana State Employment of Local Candidates Bill, 2020 (Bill) on 26 February 2021. The Bill, which reserves 75% of the jobs in specified private sector posts for local candidates, was published in the Official Gazette for general information on 2 March 2021 and will take effect on such date as may be notified by the state government.

In an important and perhaps a much-needed move, the Employees’ Provident Fund Organisation (EPFO) has launched an electronic facility for principal employers (i.e., establishments engaging contract labour through contractors / manpower service providers) whereby they may be able to verify compliance by their contractors with the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 (EPF Act) vis-à-vis the contract labour.

By way of a notification dated 2 January 2021 (Notification), the Labour Department, Government of Karnataka, has permitted all shops and commercial establishments employing 10 or more persons to remain open for all days of the week throughout the year for a period of 3 years from the date of publication of the Notification in the Official Gazette*. The move comes after the state government’s imposition of night curfew in view of the spread of the new variant of SARS-CoV-2 and its subsequent withdrawal in the wake of widespread criticism.

The year 2020 has given many jolts to businesses. As companies across sectors continue to grapple with the ongoing COVID-19 pandemic, those located in Haryana may now have to gear up for localism-driven recruitment as envisaged under the Haryana State Employment of Local Candidates Bill, 2020 (Bill). The Bill, when implemented, would reserve 75% of the jobs in specified private sector posts for local candidates.

If there is one thing that COVID-19 has reminded us, it is that we cannot predict everything. In its fullblown shape, the pandemic disrupted businesses, and several entrepreneurs made attempts to resort to force majeure clauses in their commercial arrangements with third parties to get some respite from their obligations.