A change in the Contract Labour (Regulation and Abolition) Act, 1970 may be in the pipeline.  According to news reports, the government may amend the 1970 Act to safeguard the interest of contract workers.  The proposal is to bring parity between permanent and contractual workers in wages and other benefits. The Contract Labour Act, 1970 regulates the employment of contract labour in establishments which employ 20 or more workmen.  It excludes any establishment whose work is intermittent or casual in nature.  The appropriate government may require establishments to provide canteens, rest rooms and first aid facilities to contract labourers.  The contractor shall be responsible for payment of wages to each worker employed by him.  There are penalties listed for contravening the Act. According to the Report of the National Commission on Enterprises in the Unorganised Sector (NCEUS), more than 90% of the workforce is part of the unorganised sector.  Contract labour is found in certain activities in the unorganized sector such as in stone quarrying, beedi rolling, rice shelling and brick kiln.  The Commission recommended some measures to protect the workers in the unorganized sector such as ensuring minimum conditions of work, minimum level of social security and improved credit flow to the non-agricultural sector. The Report of the Working Group on “Labour Laws and other Regulations” for the 12th Five Year Plan, also proposed that the 1970 Act should be amended.  The amendment should ensure that in case of contract labour performing work similar to that performed by permanent workers, they should be entitled to the same wage rates, holidays, hours of work and social security provisions.  Furthermore, whenever a contract worker is engaged through a contractor, the contract agreement between the employer and the contractor should clearly indicate the wages and other benefits to be paid by the contractor. However, other experts such as Bibek Debroy, Kaushik Basu and Rajeev Dehejia have recommended broad reforms in India’s labour laws to allow for more flexibility in the labour market.  According to them, these laws protect only a small portion of workers in the organized sector.

Over the next few weeks, Assembly elections are scheduled to be held in five States – Uttar Pradesh, Punjab, Uttarakhand, Manipur and Goa.  As parties prepare for the upcoming elections, we take a look at the electoral trends in these states over the past 25 years. We see that electoral fortunes in some states have fluctuated widely.  The electoral mandate in UP has varied over the last 25 years.  Five different parties -- Congress, Janata Dal, BJP, SP and BSP have been the single largest party in the Assembly at some point in time. In Punjab, the Akalis and the Congress have alternately controlled the government.  In Uttarakhand, the 2007 elections saw the BJP take over control from the Congress. In Manipur and Goa, Congress has been dominant player in elections.  In both states, it emerged as the single largest party in all but one election since 1984.  In Manipur, the Congress lost this status to the Manipur State Congress Party (MSCP), a splinter group of the Congress in 2000.  In Goa, it lost this status to BJP in 2002. The results of Uttar Pradesh elections will have the highest impact on national politics.  The state has 80 out of 543 elected seats in Lok Sabha and 31 out of 231 elected seats in Rajya Sabha.  The results could give an indication of the prospects for these parties in the next general elections, and may also change the composition of Rajya Sabha over the next few years.  Given that there are five parties (BSP, SP, BJP, Congress and RLD) with a significant base in the state, the possibilities of post poll arrangements are also wide open. For more details, see our Vital Stats.