Job Reservation Bill for Kannadigas Draws Flak From Industrialists in Karnataka

Bengaluru:Industrialists in Karnataka urged the Congress led State Government to withdraw its approval for Karnataka State Employment of Local Industries Factories Establishment Act Bill, 2024, which mandates 100 percent job reservation for Kannadigas in ‘C’ and ‘D’ category posts in private sector considering the Bill to reverse the progress of the State. The Bill got approval in the cabinet meeting on Monday while Chief Minister Siddaramaiah disclosed it on Tuesday.

Terming the Bill a “disappointment,” National Association of Software and Service Companies (NASSCOM) observed the provisions of the new Bill threaten to reverse the progress of the State and drive away companies besides stifle startups.

In a statement on Wednesday, NASSCOM stated globally, there is a huge shortage for skilled talent and Karnataka is no exception and stated the technology sector has been crucial to Karnataka’s economic and social development with Bengaluru known globally as India’s ‘Silicon Valley.’

Expressing concern over the approval for Karnataka State Employment of Local Industries Factories Establishment Act Bill, 2024, NASSCOM stated the Bill could force companies to relocate as local skilled talent becomes scarce.

The technology sector contributes to about 25 percent of State’s Gross Domestic Product (GDP), houses a quarter of the country’s digital talent and over 11,000 start-ups and NASSCOM asked the State Government to hold a meeting of industry representatives and State authorities to discuss the concern and prevent the State’s progress from being derailed.

Businessman T.V. Mohandas Pai, termed the Bill as ‘draconian,’ and ‘Unconstitutional’ and pointed out when the Haryana government made a similar move then the High Court struck it down stating it as unconstitutional. “I don’t know why they are doing it,” Pai said.

However, Deputy Chief Minister D.K. Shivakumar reacted to the displeasure of industrialists, saying investors need not worry and assured the concerns of the industrialists will be addressed.