homeeconomy NewsWhat is the Factories (Amendment) Act withheld by Tamil Nadu

What is the Factories (Amendment) Act withheld by Tamil Nadu

What is the Factories (Amendment) Act withheld by Tamil Nadu
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By CNBCTV18.com Apr 25, 2023 2:44:54 PM IST (Updated)

Tamil Nadu Chief Minister MK Stalin announced the decision to shelve the bill on Monday. What is this bill about and why was it withheld?

The Tamil Nadu government withheld the implementation of the Factories (Amendment) Act 2023 which proposed to extend working hours to 12 hours a day in case an employee chooses to work four days a week. The decision to put the Bill on hold was taken after several political parties and labour unions held protests over it.

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Chief Minister MK Stalin announced the decision to shelve the bill on Monday and said that based on the views expressed by various trade union representatives and political parties on the bill passed in the Assembly on April 21, the process of implementing it had been suspended, PTI reported.
Earlier in the day, a ministerial delegation held talks with representatives of trade unions that opposed the implementation of the bill in the present form, calling it "anti-worker and unwarranted".
What is the Factories (Amendment) Act?
The Tamil Nadu Assembly passed the Factories (Amendment) Act 2023 on Friday. It provides flexible working hours for employees in factories across the state — providing an option to the employees if they want to work 12 hours for four days a week.
Labour Welfare Minister CV Ganesan said there would be no change in the total number of 48 hours of work in a week and this amendment would apply only to factories or establishments where their staff opt.
Industries Minister Thangam Thennarasu the workers would now have the option to work for four days in a week and avail of three days leave.
"The remaining three days would be paid leave and the existing rules on leaves, overtime, salaries, etc., would remain unchanged," Labour Welfare Minister CV Ganesan said. "Action would be taken against factories, which coerced their employees to work against their wishes," Thennarasu was quoted by PTI as saying.
Protests over the Factories (Amendment) Act
Protests erupted as several parties and trade unions claimed that the Act would stretch the mandatory working hours to 12 hours from the present 8 hours duty - exploiting employees.
The DMK's allies — the Left parties, Congress and Viduthalai Chiruthaigal Katchi (VCK) — staged a walkout from the Assembly when the bill was taken up for discussion on the concluding day of the Assembly session.
Condemning the amendment as "anti-labour 12-hour work a day," AIADMK general secretary Edappadi K Palaniswami said the government should immediately withdraw it. If this was not done, his party would take all steps to stall it considering the welfare of workers.
However, the bill was passed by voice vote as the ruling DMK enjoys a majority in the House.
Why is the bill being opposed?
Earlier, tabling the bill to amend the Tamil Nadu Factories Act, 1948, the Labour and Welfare Minister said the state is the hub of major manufacturing companies and has the highest number of factories and industrial workers in the country.
Thennarasu claimed that the amendment has been brought taking into account the current conditions across the world, as Tamil Nadu has emerged as a global investment destination.
"The move would create new employment opportunities, especially for women, and it is applicable only to certain sectors such as electronic industries, non-leather shoe-making industries, and electronic clusters," he claimed.
"Representations were received from many industries and industry associations by the State government to bring out working hour reforms by making statutory provision for flexible working hours, citing the number of benefits it could bring for workers, especially women employees, industry and the economy as a whole," Ganesan said.
The chief minister said the country's industrial prosperity and economic development were dependent on providing a conducive industrial environment. "It is the government's objective to ensure the well-being of the workforce and protect them while promoting industrial development. Industrial peace is essential for the growth of industries," he said.
Moreover, the State government decided to amend the Factories Act of 1948 (Central Act 63 of 1948) for its application to Tamil Nadu, as the said Central code has not been brought into force, it said.
Meanwhile, the chief minister said further action on the Bill is suspended based on the views expressed by the trade union representatives and political parties on the bill.
(With inputs from PTI)
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