Wednesday, June 24, 2015

Does the era of permanent jobs are over?

An irony I often come across is, people criticize government employees but appreciate government employment. Given a chance everyone is ready to jump in to government employment. Factors often attributed to government employment are – easy, lot of time for personal things, pensions, respect and most importantly safety. As a matter of fact, at the height of socialism our then leadership created mammoth government machinery which works for itself (and current governments are trying to break it down and sell it).

The point I would like to make here is about job safety. In private industry it’s less or not present. There is hardly anyone to represent the well-being of workers in unorganized sector (other than courts).

However, all these things are going to change. When we are hotly debating on what Nitish Kumar and Lalu Yadav told; what words can be or can’t be used in Hindi movies; whether certain yoga poses are acceptable or not; there is a sea change going on the other side - employment code is changing. Of course, it’s not glamorous and hence may not get enough air time on the shouting matches going on national televisions.

However, the coming employment code is going to rewrite the employee-employer relations in India. It allows employers to hire more people for short term assignments without any overhead; it also removes the need of notice period for contract employees and so many other things. If you are interested, take a look at the proposed amendments to ‘Industrial Employment (standing orders) Act’ and other related acts.

I think we are transforming the job market and making the hiring and firing very flexible. At the same time, we don’t have a social security net of the type provided by Scandinavian countries. It’s critical to the future of employment. When you get free time, give some thoughts to these issues.


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