Govt moots proposal to strengthen employment services

The proposed amendment could also see private sector firms employing 10-24 workers coming under the purview of the Act -- the Employment Exchange Compulsory Notification of Vacancy (CNV) Act, sources in the Ministry of Labour and Employment said.

According to them, the penalty could be increased from Rs 500 to Rs 5,000 for first instance of not providing details of the vacancies to the employment exchanges and to Rs 10,000 from existing fine of Rs 1,000 in case of second default for employers.

The amendments have been proposed to strengthen employment services and improve the scope and coverage of the employment exchange.

The draft strategic plan of the Ministry for the next five years has also revealed that the employment exchange will be renamed to show more focus on vocational guidance and career counselling.

The Act could be named as Employment Guidance and Promotion Centres (Compulsory Notification of Vacancies) Act.

The government had earlier said registration of job seekers in employment exchanges across the country has increased at an average rate of 56.67 lakh per annum during the last ten years, while the incremental requirement of workforce would touch 198.7 million by 2022.

According to sources, there is also a proposal to include those engaged on contractual basis or by outsourced agency into the total staff strength so that an employer also provides information about such vacancies.

The proposal also seeks to bring the vacancies connected with any unskilled office work within the purview of the Act.

The Ministry is also believed to have proposed to insert a new sub-clause in the Act to make it compulsory for employers to intimate results of selection to the exchanges against vacancies notified within 30 days from the date of selection.

Sources said the proposal was mooted in light of the fact that despite repeated efforts employers do not provide results of selection process to exchanges.

The proposal to amend the Act comes in the backdrop of the Ministry finalising the National Employment Policy (NEP).

An action plan for strengthening employment services will be prepared in consultation with concerned Ministries Departments and other stakeholders.