The central government has advised state governments to prioritize the deregulation of laws that are unfriendly to women workers.
This recommendation was made during the National Conference of Chief Secretaries held from December 13-15, 2024, with the aim of attracting investments, creating jobs, and bolstering economic growth.
Systematic Deregulation for Economic Growth
The central government emphasized the need for systematic deregulation or “line-by-line reform” of laws that make it difficult for businesses to open, run, grow, or exit.
This includes restrictions on increasing women’s employment, high electricity tariffs, and complex land and building zone/construction regulations.
The goal is to create a more business-friendly environment that can attract investments and create jobs.
The Centre has recommended adopting zero prohibition regimes for working women, similar to those in Vietnam, the Philippines, Malaysia, and Singapore.
Currently, women are prohibited from working in certain industries deemed “dangerous,” such as the glass industry, fat and oil extraction industry, and pesticide industry.
These prohibitions result in women earning 12% to 21% less than their male counterparts.
They are forced to opt for less paying jobs in sectors like food processing, paper, and the bead industry.
A key presentation at the conference highlighted the varying restrictions on women’s employment across different states.
For example, Bihar does not allow women to work at all at night, while Karnataka, Maharashtra, and Telangana allow it conditionally.
Gujarat, Haryana, and Odisha may allow night work, subject to permissions.
The Centre has suggested removing these restrictions to enable women to work in various factory processes.
This is especially important in key sectors like semi-conductors.
Impact on Women’s Income
The prohibitions on women working in certain industries have a significant impact on their income.
Women’s monthly income may be 12% to 21% lower due to these restrictions, as they have to opt for less paying jobs.
The Centre’s recommendation aims to address this disparity and provide equal opportunities for women in the workforce.
The Centre also highlighted the need to relax rigid standards that are holding back industry expansion.
Examples include separate zoning laws for residential and industrial areas and land use change licensing. Additionally, there are 48-hour per week work schedules for workers.
These standards are seen as excessively controlled compared to more flexible regulations in countries like Japan and South Korea.
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