Stress on job creation than job protection can change the status of economy of West Bengal. West Bengal has large number of old sick units, which are beyond revival. Instead of trying to revive these units, if we free the land by selling the machinery on scrap basis and think of setting up alternative viable industrial units on the same land, we can create huge opportunity for industry. Money raised from selling the scrap and leasing of land units for industrial purposes should be first utilised to pay off the workers and building infrastructure for developing skill sets and connecting the backward rural areas, specially districts like Bankura, Birbhum and Purulia with industrial towns of Howrah, Hooghly and Durgapur.
With better connectivity to industrial towns and developed skill sets, the pressure on rural economy will reduce, which itself will improve the rural per-capita.
At present, we stress too much on job protection and donot allow the existing units to modernise or close down. This chokes the economy in chain reaction. As a sick unit choke its suppliers, lenders and above all the very labourers (whom we want to protect) by way of defaulting in PF deposits and ultimately wages by way of increased layoffs and lockouts. If we allow the management freedom to close down or modernise, there will be creating jobs by way of expansion.
With better connectivity to industrial towns and developed skill sets, the pressure on rural economy will reduce, which itself will improve the rural per-capita.
At present, we stress too much on job protection and donot allow the existing units to modernise or close down. This chokes the economy in chain reaction. As a sick unit choke its suppliers, lenders and above all the very labourers (whom we want to protect) by way of defaulting in PF deposits and ultimately wages by way of increased layoffs and lockouts. If we allow the management freedom to close down or modernise, there will be creating jobs by way of expansion.
Businesses donot hire people for feeding their belly. They hire because they need them, so they should be allowed to drop them, when they are not required. No business will close down, if it is running well and making profits. Presently, good employers invest heavily on HR and build the goodwill as a good employer to attract the best. There is no point in forcing them to employ a certain category of people. We should make easy laws for both entry and exit for the businesses. This will go a long way in solving the unemployment problem.
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