Karnataka Cabinet Clears Bill Mandating Local Job Reservations

General Studies Paper-2

Context: Recently, the Karnataka Cabinet cleared a Bill mandating 50% reservation for locals in management jobs and 75% in non-management positions.

About

• The Karnataka State Employment of Local Candidates in the Industries, Factories, and Other Establishments Bill, 2024, has taken centre stage in the state’s legislative landscape, aiming to address the employment concerns of local candidates within the private sector.
• The bill emphasises job opportunities for Kannadigas by mandating specific reservation percentages for management and non-management positions.
• The bill comes after long-standing demands for job reservation for Kannadigas. Earlier this year, Kannada organisations organised rallies across the state, urging the immediate implementation of the Sarojini Mahishi Report, submitted in 1984, recommended quotas for locals in both government and private sector jobs.

Reservation Quotas

• Management Positions: Industries, factories, and other private sector establishments are now required to appoint local candidates for at least 50% of management positions. These roles include executive, administrative, and leadership positions within organisations.
• Non-Management Positions: For non-management positions—such as technical, operational, and support roles — 75% of the workforce must consist of local candidates.

Eligibility Criteria for Local Candidates

• According to the Bill, a local candidate is someone who:
• is born in the State of Karnataka;
• has been domiciled in the state for at least 15 years;
• can speak, read, and write Kannada proficiently (there’s even a required test for this).
• holds a secondary school certificate with Kannada as a language. If not, they must pass a Kannada proficiency test.

Minimum Thresholds

• Even if industries face challenges in finding local talent, the percentage of local candidates should not fall below 25% for management positions and 50% for non-management positions.
• Failure to comply with these thresholds may result in penalties ranging from ₹10,000 to ₹25,000.
• Fallback Measures (Training and Relaxation)
• If qualified or suitable local candidates are not available, industries and establishments must collaborate with the government to train local candidates within three years.
• In exceptional cases where sufficient local candidates are unavailable, establishments can apply for relaxation from the provisions of the Act. The government will review such requests and make final decisions.

Penalties for Non-Compliance

• Industries failing to comply with the reservation norms may face penalties ranging from ₹10,000 to ₹25,000.
• The government aims to enforce these provisions rigorously to ensure effective implementation.

Conclusion

• The Karnataka Cabinet’s move to reserve management and non-management positions for local candidates is a significant step toward ensuring equitable employment opportunities.
• While some industry leaders have criticised the move as discriminatory, proponents argue that it will empower local talent, boost regional employment, and strengthen the state’s economy.