Karnataka Cabinet Approves 100% Quota for Locals in Private Jobs

The Karnataka Cabinet has recently approved a groundbreaking bill mandating 100% reservation for locals in private sector jobs, specifically in Group C and D posts. This landmark decision, spearheaded by Chief Minister Siddaramaiah, aims to prioritize Kannadigas in employment opportunities within the state. The bill also includes significant provisions for management and non-management positions, ensuring that Kannadigas are well-represented across various job levels. This article delves into the details of the bill, its implications, and the reactions it has elicited from various stakeholders.

Details of the Bill

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The ‘Karnataka State Employment of Local Candidates in the Industries, Factories and Other Establishments Bill, 2024’ is set to revolutionize the employment landscape in Karnataka. The bill mandates:

100% Reservation for Locals: All Group C and D posts in the private sector must be filled by locals.
Management Positions: 50% of management positions must be reserved for Kannadigas.
Non-Management Positions: 75% of non-management positions must be occupied by local candidates.

The bill defines a local candidate as a person born in Karnataka, domiciled in the state for a minimum of 15 years, and proficient in reading, writing, and speaking Kannada.

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Eligibility Criteria

To be considered a local candidate, individuals must meet the following criteria:

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Birth or Domicile: Born in Karnataka or domiciled for 15 years.
Kannada Proficiency: Must be capable of reading, writing, and speaking Kannada legibly.
Education: Must have a secondary school certificate with Kannada as a language or pass a Kannada proficiency test specified by the nodal agency.

If qualified local candidates are unavailable, industries must collaborate with the government to train local candidates within three years. Companies may apply for relaxation if the required number of local candidates is still not available, but the relaxation cannot exceed 25% for management categories and 50% for non-management categories.

Penalties for Non-Compliance

Failure to comply with the Employment of Local Candidates Act will result in penalties ranging from Rs 10,000 to Rs 25,000. This strict enforcement is designed to ensure that industries adhere to the new regulations and prioritize local employment.

Government’s Justification

Chief Minister Siddaramaiah, in a post on social media, emphasized the government’s commitment to the welfare of Kannadigas. He stated, “It is our government’s wish that the Kannadigas should avoid being deprived of jobs in the land of Kannada and should be given an opportunity to build a comfortable life in the motherland.” Siddaramaiah’s government has been vocal about its pro-Kannada stance and prioritizing the interests of local residents.

Industrialists’ Backlash

The bill has faced significant backlash from industry leaders, who are concerned about its potential impact on Karnataka’s economy and the availability of skilled labor.

Kiran Mazumdar-Shaw, Chairperson of Biocon, expressed her concerns on social media, stating that the policy should not affect Karnataka’s leading position in technology. She called for exceptions for highly skilled recruitment, emphasizing the need for skilled talent in the tech sector.
TV Mohandas Pai, a businessman and philanthropist, criticized the government’s approach, suggesting that more money should be spent on higher education, skill development, and apprenticeship programs instead of mandating quotas. He questioned the effectiveness of the policy, asking, “What are you trying to achieve by this?”
Chi. VSV Prasad, Managing Director of Swarna Group, highlighted the potential shortage of employees and the negative impact on infrastructure projects and industries. He urged the government to make decisions after thoroughly analyzing the industry situation.

The Karnataka Cabinet’s decision to approve a bill mandating 100% reservation for locals in private sector jobs has sparked a significant debate. While the government justifies the move as a step towards ensuring the welfare of Kannadigas, industry leaders are concerned about its potential repercussions. As the bill is set to be tabled in the state Assembly, its implementation and impact on Karnataka’s employment landscape remain to be seen.