ACMA wants Haryana to reconsider jobs reservation for locals in private enterprises

Hiring in the sector is done on the basis of merit and talent rather than the domicile of the candidates, it said

Auto components industry body ACMA on Thursday said Haryana's move to mandate 75 per cent reservation of jobs for locals in private sector in the state will adversely impact ease of doing business and also be detrimental to its image as an investor friendly destination.

The Automotive Component Manufacturers Association of India (ACMA), which has many of its members located in Haryana, asked the state government to reconsider the reservation of employment for locals in private enterprises.

On Tuesday, Haryana Chief Minister Manohar Lal Khattar had announced that state Governor Satyadeo Narain Arya has given assent to the 'Haryana State Employment of Local Candidates Bill, 2020' providing 75 per cent reservation in the private sector to job seekers from the state.

The Haryana Assembly had late last year passed the Bill, a key poll promise made by the ruling alliance partner Jannayak Janta Party.

Read: Explained | What Haryana’s 75% private sector job quota for locals means

Commenting on the development, ACMA President Deepak Jain said, "Such a move would not only adversely impact the ease of doing business in the state but also be detrimental to Haryana's image of an industry-friendly destination."

The automotive industry with investments of over Rs 40,000 crore, accounts for more than 25 per cent of the state's GDP and created employment exceeding 10 lakh, he added.

"The industry is keen that the state remains attractive for fresh investments, as in the last couple of years, automotive investments have been largely destined to other states," Jain said.

Noting that Indian auto and auto components industry cater not only to the domestic market but to international markets including the US and Europe, Jain said," Our industry requires skilled workforce to produce high quality products that are globally competitive."

Hiring in the sector is done on the basis of merit and talent rather than the domicile of the candidates, he added.

"The reason for the industry employing from outside the state is due to shortage of adequately skilled, locally available manpower," Jain asserted.