
| NEWSNOTES NOT SATISFY WITH EPZ NOW FTZ: NEW CHALLENGE
New Delhi Bureau A n important component of the new exim policy announced by the Commerce Minister of India Ramakrishna Hegde recently is the promise to convert in July all the Export Processing Zones (EPS) into Free Trade Zones(FTZ) and corporate them on the lines that exist the world over. Units there can trade in or manufacture any product without any export obligations ,input-output norms and like restrictions that currently throttle incumbents. Hegde had promised that there will be no bureaucratic interference. Units in the free trade zones shall be permitted to carry out any manufacturing or trading activities. They shall not be subjected to any predetermined value addition, export ,obligation ,input -output wastage norms treated as outside the customs territory of the country and the customs shall be manning one entry and exit points. Sale in the DTA will be permitted on payments of full customs. But then even after these there is demand for to make labour laws more employer-friendly in the proposed Free Trade Zone and that means is nothing but is called legalising what is known as exist policy at the will of the employers in .And from the assurance of the commerce ministry and the from the joy of the empolyers chammbers it seems the main purpose of converting the EPZ to FTZs is nothing but to allow the employers free hand to deal with the employees disregarding all prevailing law of the land.
In the export processing zone which are now in existence the implementation of the labour laws is much to be desired even if the labour ministry is to be believed. The 34th session of Indian Labour Conference(ILC) held on December 1997 had expressed its concern on the prevailing service condition of the labour and non implementation of the labour laws in the units of EPZz. In the agenda paper of the 35th ILC which will be held on 3rd and 4th of April the labour ministry gave details of the reports of inspection held in these EPZs by the state labour departments, Assistants Labour Commissioners and by others in the third qurater of 1998. in the Even if reports are to be believed the implementation of the labour laws are unsatisfactory. EPZ. NOIDA : Joint team of the Labour department of Uttar Pradesh, Assistant Labour Commissioner (central),New Delhi and Joint Development Commissioner of Noida EPZ inspected the NEPZ .There are about 70 factories in the NEPZ and about 60 of them were found working.Out of these 60 operational factories 48 were inspected by the teams from 21st September 1998 to 24September 1998.The total number number of workers employed in these factories was 8085 including 1444 female employees. Out of these 1148 workers names were not found on rolls.The inspecting team detected 970 cases of less payments.
EPZ Chennai: After the inspections were conducted by the chief Inspector of Factories and Inspectors of factories .During the course of the inspections it was observed that in certain readymade garment industries, some workers are being paid overtime wages for less number of hours than entitled. Certain factories have obtained exemptions permissions to engage workers beyond the normal working hours. Canteen facilities are available in some of the factories. In other factories ,where violation in respect of provision of canteen was observed, show cause notice had been issued for non provision of the rest room and dining room in the establishment. In other factories where the facilities are not provided/maintained ,show cause notices have also been launched against them. Although the inspectors did not found any workers children engaged in factories however ,some adolescents were found engaged in the production process . EPZ Kandla: There are 99 units in this EPZ and the total number of workers employed in these units is 8,650.It was observed during the inspection that many units especially the garment and plastic industries were not paying minimum wages to the workers. Some garments units have provided transport facility to their workers but the transportation charges of Rs.400 to Rs.500 per month are deducted from the salaries of the workers. Though all the units are covered under IE(Standing Orders) Act, it was found that only two units were having certified Standing Orders. It has been said that the offices of the State Labour Department have been regularly inspecting the units in the EPZ and are filling prosecutions in respect of non-compliance of the labour laws. An Amount of Rs.2,47,143 has been disbursed to 671 workers under Minimum Wages Act during the 12 the preceding months from October 1998. EPZ Falta , Calcutta :Twenty one industrial units in Sector-1 and Sector -2 at Falta EPZ are in existence. The statutory minimum wages are being enforced in the employments covered under the Minimum Wages Act. There are employments in the EPZ for which neither the work \process is minimum wages are enforced through the normal schedule of inspections regularly. Whenever less payment is detected the payment of minimum wages is enforced. A number of industrial establishments situated at EPZ are covered under IESO Act. But none is reported to have either submitted draft standing orders, or got it certified by the certifying officer so far. As regard health ,safety and welfare it is reported that Chief Inspector of Factories. Government of West Bengal is enforcing the statutory provision in this regard through their insepectors. State Labour department ,West Bengal is enforcing the provisions of Industrial Disputes Act, Minimum Wages Act .,House Rent Allowance Act. Etc .The enforcement is done through normal schedule of inspections. EPZ Mumbai : Twelve industrial units engaged in manufacturing of electronic devices at The Santa Cruz Electronics Export Processing Zone(SEEPZ) was inspected by a team of officers of the state labour ,central labours inspectors and trade union leaders .During the inspection it was found that six establishments were paying less than the minimum wages to the workers. Irregularities pertaining to non-maintenance of registers were also detected in some other establishments. Eight establishments were found to have engaged contract labour and irregularities including working without certificate or registration and licence were detected.Violation of provision of the provisions of payment Bonus Act was detected in one establishment. All of the establishments inspected except three were found to be violating the provisions of IE(Standing Order) act. EPZ Cochin: At the industrial units located in EPZs ,Cochin there are 37 industrial units engaging 4990 labours. The officers of the state labour department visited 7 units.The establishments were inspected under Minimum Wages Act and Kerala Industrial Establishments(National and Festival) Holidays Act. In all the units inspected cases of non-payment of minimum rates of wages were detected. . The violation have been brought to the notice of government commissioner (CEPZ)on !9th may 1998 the day after the inspection took place and he has been requested for rectification of the irregularities noticed by the state labour inspectors. EPZ Vishakhapatnam: After the inspection in 5 establishment under various labour laws covering 908 employees it was found that only one of the establishments had got its standing order certified. And two of the five establishments so visited had not yet been operational. It was stated that the state labour department has initiated necessary action wherever irregularities have been detected. This is the condition of the implementation of the labour laws in the export processing zone but even with this they have not done much for the growth of the exports. And now all these EPZ are to be converted into Free Trade Zones by 1st July 1999.Now there is demand from chambers and others and supported by the ministry of commerce itself for a more employer friendly labour laws in these areas. It is reported that labour ministry has argued when approached by the commerce ministry that any move to change the labour legislation would invite legal opposition from the unions and eventually end up in protracted court battles. Moreover Article 14 of the constitution ensures equality before law to all citizens. Besides, most labour laws including the industrial disputes act specify that the state governments are the appropriate government in their implementation and in settlement of disputes. The central government does not have a direct role .The labour ministry is said to have opined that if the commerce ministry desired to have a different set of labour laws in the free trade zone they will have to discuss with the state government. If the implementation of the labour laws in the EPZ is such as has been seen in the words of the labour ministry itself what will happen to the labours in this country where there is no security and protection of jobs and crore of unemployed and jobless if the socalled "employer-friendly legislation is allowed |
Search Site
Ganashakti Newsmagazine
74A Acharya Jagadish
Chandra Bose Road
Kolkata,India 700016
email: mail@ganashakti.co.in
Tel: 91-33-2227-8950 Fax: 91-33-2227-6263/8090
©Ganashakti,
Reproduction in any form without permission prohibited
![]()
Home Week Archive Portal
Feedback
Content Editorial Headline World Nation Bengal Column Feature
Contact Us
Site Designed and Hosted by Arijit Upadhyay