Unions oppose Model Law to provide flexibility to retailers

Trade unions today opposed the government's move to bring a model law, which seeks to provide greater flexibility to retailers as well as malls on various issues such as timings of opening and closing of shops.
The Labour Ministry today held tripartite consultations to discuss the Model Shops and Establishments (Regulation of Employment and Conditions of Service) Bill, 2015, which was opposed by the unions, including BJP-backed Bhartiya Mazdoor Sangh (BMS).
"Trade unions opposed this Model Act. They said there is no need to frame such a law. Already all states have laws on running shops and establishments ... If the Centre wants it can crate model guidelines," All Indian Trade Union Congress Secretary D L Sachdev told PTI after the meeting.

Today, Labour Minister Bandaru Dattatreya clarified that the government will not approach Parliament for this model act, he added.
"After opposition by the unions, the Minister said that the Ministry will take suggestions and bring a new draft. This will be brought out as guidelines," Sachdev said.
According to the draft bill, the Model Act would bring uniformity in the legislative provisions, making it easier for all the states to adopt it and thereby ensuring uniform working conditions across the country.

At present, states have their own legislations which regulate shops and establishments like their closing and opening times, holidays and working shifts of women.

The bill says that women should be permitted during night shift and there should be no discrimination against women in the matter of recruitment, training, transfer or promotions.
It will be applicable to shops and establishments having 10 or more workers except manufacturing units.
BMS Zonal Organisation Secretary Pawan Kumar said: "BMS has said that the draft should be rejected and a new one should be made and then discuss it with unions. The definition of wages is not right as per us. Overtime, bonus issues have not been dealt properly."
The government's model act is not in the interest of the workers. The Act deals with shops and establishments with more than 10 workers, while in 95 per cent of the shops in India there workers are less than 10. So what about them?, he added.

"Another drawback is that if a worker is fired, that worker cannot approach the court under this law. This law has also not talked about social security," Kumar said.
However, as per the background note of the model law, the state laws are inadequate to deal with the issues related to shops and establishment.
Central government has found that there is rigidity in opening and closing of shops. Issues like discouraging women in employment, difficulties in registration & annual renewal (of shop permits or licenses) and maintenance of statutory records are also there, sources said.