People's Democracy

UPA AND WORKING PEOPLE

From Hope To Despair, On To Struggle Path

W R Varada Rajan

THE UPA government at the centre has completed one year in office on May 22, 2005. There has been no dearth of celebrations, assessments, ranking the performance of the ministers, reaffirmation of CMP commitments and what not. But what has been the experience of the working people of this country during the first year of tenure of the UPA governance?

The working people of India hailed the people’s verdict in the general elections 2004 ousting the erstwhile NDA government, whose track record had been disastrous for all sections of the Indian society except for a few affluent ones.

At that time the CITU pointed out candidly in an editorial in June 2004 issue of its organ The Working Class: “The verdict is not just for change of government – it is for change of policies as well. The UPA government should fulfil the people’s aspirations by embarking on an exercise to bring about a paradigm shift in the economic policies”. It is this hope that has during the course of the last one year evaporated into the thin air and being replaced by mounting despair amongst all sections of the workers.

The Manmohan Singh government had adopted a Common Minimum Programme (CMP); it swore to implement it faithfully. The CMP was only a mixed bag when viewed from the working class point of view. Yet, it had some positive commitments. The workers hoped to build on these aspects and seek at least some immediate relief.

The prime minister began on a welcome note by inviting the central trade unions for an interaction soon after assuming office. The finance minister restored the pre-budget consultations, which was discontinued during the NDA regime, affording an opportunity for the trade unions to place their proposals. But, these initiatives were not followed by actions that would have even partially met the concerns voiced and aspirations outlined during these occasions.

While presenting the Shram Awards on October 4, 2004 the prime minister noted, “The last few years have seen the phenomenon of jobless growth and we need to reverse this trend so that more growth translates into meaningful results for the working class”. He added: “Structural reforms in a democracy, to be durable, must involve consultation with all stakeholders, particularly the workers and trade unions. Our government is committed to reforms with a human face. The working classes of our country have my assurance that we shall never pursue a path, which affects adversely the interests of the workers and the toiling masses of our country”.

These words reflect a commendable attitude. But, has the practice of UPA governance matched this attitude?

The only apex tripartite forum for consultations on labour related issues viz. the Indian Labour Conference (ILC) has not met even once after the UPA government took office. Unfortunately, despite dates being notified twice during last year, the ILC session had been postponed. Reason: Prime Minister, who was expected to inaugurate the same, could not confirm the dates! It is time for holding yet another session of the ILC this year and there is no word even on that!

And a plethora of decisions have been taken on issues of serious concern to the working classes without any consultation whatsoever. From proceeding to disinvest up to 49 per cent of the government holding in public sector enterprises, despite the CMP commitment of not privatising profit-making PSUs, to the launch of banking sector ‘reforms’ of mega mergers and facilitating takeover by foreign banks of Indian private sector banks, unilateral and arbitrary moves are afoot, throwing to winds the CMP promise of “Tripartite consultations with trade unions and industry on all proposals concerning them will be actively pursued”. The move for a “Bill to be introduced to amend section 66 of the Factories Act, 1948 to provide flexibility in working hours of women” is yet another move sans consultations.

The UPA government had, in its CMP, asserted that one of its basic principles of governance would be “to enhance the welfare and well-being of farmers, farm labour and workers, particularly those in the unorganised sector, and assure a secure future for their families in every respect”. For ensuring that this basic principle is translated into action, the CITU, in a memorandum presented to the prime minister, had urged giving utmost priority to the three long awaited, legislative measures viz. 1)            Comprehensive Agricultural Workers Bill to guarantee minimum wage and to extend social protection to the vast multitude of agricultural labourers; 2) The Unorganised Sector Workers Bill, duly incorporating the unanimous inputs provided by all the central trade unions and 3) A legislation to protect women workers from sexual harassment at work places as per the recommendations and guidelines issued by the Supreme Court as far back as August, 1997.

The document released on the one year of UPA government is silent on the first. As for the second and third legislations suggested, the report card only states: “Bill on welfare of workers in unorganised sector is under preparation” and “Law against sexual harassment of women at work place is under preparation”.

On the promise of reversing the phenomenon of jobless growth, the prime minister, while releasing the document said: “The Employment Guarantee Act, which will be passed in all likelihood in the next session of parliament, will be our primary vehicle for providing income security to the poorest sections of society”. But the fact remains that the Bill introduced and pending with the standing committee of parliament is a much diluted version even of the draft of the National Advisory Council and just a mockery of the CMP commitment in this regard.

The prime minister also asserted: “We must also do more to protect the interests of workers in the unorganised sector, improve their working conditions and give them social security, even as we create a more competitive environment for the organised sector”. But, the UPA government had only circulated the NDA government draft on the Unorganised Sector Workers Bill, duly incorporating therein the dubious Unorganised Sector Workers Social Security Scheme launched by the previous regime as an election-eve gimmick. Even on this the unanimous recommendations made by the entire spectrum of trade union movement have been ignored.

The report card proudly displays as its achievement the “Establishment of a Pension Fund Regulatory and Development Authority to promote old age income security by establishing, regulating and developing pension funds under the New Pension System, to protect the interests of subscribers to pension schemes” under the heading ‘senior citizens’. This is nothing but toeing the retrograde NDA line of privatising pension funds and diverting the contributions to the speculative stock markets. As if this not enough, the UPA finance minister has planned to open the ‘pension sector’ for foreign direct investment, along with retail trade and mining sectors!

The UPA government took the extreme step of deciding by majority to reduce the interest rate on EPF from 9.5 to 8.5 per cent (termed as interim measure) in the tripartite Board of Trustees. Though the finance minister announced after a meeting with the prime minister that the interest rate would be maintained at 9.5 per cent, this issue still lingers on making it a classical case of ‘how not to implement a commitment’!

In yet another affront to the working people the UPA government has put out a release stating: “The labour ministry has indicated readiness to raise exemption limit for establishments seeking government permission for retrenchment/lay off from employing 100 employees to 300 employees under the ID Act”. This is resurrecting the much-resented recommendation from the shop-soiled report of the Second National Commission on Labour! Here again the CMP commitment to exclude “the Industrial Dispute Act from the labour laws that will be re-examined and procedures harmonised and streamlined” is merrily reneged!

It will not pass the test of objectivity if we fail note a few of the steps taken, which are pro-labour. They are: a) to undo the NDA regime’s amendment to the Model Standing Orders providing for a new category of ‘fixed term workman’; b) introduction of Unemployment Allowance Scheme under the ESI Scheme (though covering only around 80 lakh workers) and c) agreeing to delete the exemption from labour laws clause in the legislation on Special Economic Zones.

The first year of the UPA governance has left nothing to cheer for the working people. Rather, the dogged pursuit of anti-worker policies of the ousted NDA regime is forcing the working masses of the country to embark on the path of struggle with renewed determination.