Govt asks industry to consider 5% jobs for poor

Finding it difficult to enforce employment quota in private sector, the government has asked the industry to consider giving 5 per cent of the jobs to disadvantaged sections wherever fiscal incentives are given.

In a letter to the leading business chambers CII, FICCI and Assocham, the industry department has sought their views on the issue.

The letter dated July 14 was a follow-up of the meeting between the government and chambers on the affirmative actions in April this year.

Industry secretary R P Singh had suggested in the April meeting that "while it may not be possible to insist on a quota in the private sector, wherever the government was giving incentives to the industry, a certain minimum, say 5 per cent employment for disadvantaged sections may be insisted".

Industry gets a variety of fiscal sops which include export related duty credit, area specific income tax exemptions which are also extended on R&D budget of companies. Besides, the export income in the special economic zones and software technology parks are also exempted from income tax.

While the government has not been insisting on job reservation in the private sector, it wants the industry to take affirmative action in favour of underprivileged sections of the society.
    
A high-level group headed by a PMO official has been interacting with the industry on the issue. The industry on it part claims that it has several initiatives for training and employment of the SCs and STs from the weaker sections of the society.
    
The CII has come out with several reports showing that quite a few of its member organisations have been working on affirmative action.