Buckling under pressure, Chief Minister M K Stalin on Monday decided to put “on hold” implementation of the Factories (Amendment) Act 2023 which paves the way for providing flexible working hours for desirable employees in factories of select sectors identified by the government.
Stalin released a statement announcing the government’s decision not to continue with further action of the Act which was passed by the Tamil Nadu Assembly on April 21 amid opposition from almost all political parties, including the ruling DMK’s alliance partners.
The decision to put the Bill on hold was taken after PWD Minister E V Velu, and Labour Minister C V Ganesan chaired a meeting of representatives from trade unions to elicit their opinion. The government said the representatives opposed amendments to the Factories Act, allowing desirable employees to work for 12 hours against the current 8 hours a day.
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“Based on the opinion voiced by representatives of several trade unions and political parties, the Factories (Amendment) Bill has been put on hold,” Stalin said in the statement. He recalled the efforts taken by the previous DMK government for the welfare of employees and asserted that the party will never act against their interests.
The parties objected to the Bill saying that the “flexible working hours” would stretch the mandatory working hours to 12 hours from the present 8 hours duty and hence the Act should not be notified, despite Industries Minister Thangam Thennarasu clarifying that the total working hours in a week remains 48 and an option would be provided to workers who are willing to work for 12 hours a day (four days) and take off the remaining three days.
The flexible working hours were aimed at benefitting electronics manufacturers like Foxconn and Pegatron, involved in assembling high-end Apple iPhones. Both Foxconn and Pegatron have pledged to invest additionally in their Chennai plants as Apple makes a shift from China. Another Apple supplier, Luxshare, is also likely to begin operations in Chennai very soon.
The trade unions and parties protested the Bill despite the government clarifying that said the amendment will only apply to industries like electronics and non-leather shoe-making, most of which are from Taiwan and other Asian countries.
Officials who were involved in drafting the bill said the idea was to provide flexible work time to workers by the employer through a mutually agreeable model.
“The bill clearly says the factories that can implement this flexible working hours system will be specifically notified. We have applied our mind to choose the industries unlike making it across the board. For instance, any factory that implements this system will have to be fully air conditioned,” an official said.