Context

The Haryana government notified that its act of implementing 75% reservation for local people in private jobs with a monthly salary ceiling of ?50,000 will come into force from 15 January, 2022. 

About

What is provided in the Act?

• The act provides for the reservation of 75% of new jobs for local candidates in various companies, societies, trusts, and limited liability partnership firms situated in the state.
• Applicability: The law will be applicable for a period of 10 years.
• The state government also relaxed the residency (domicile) requirement from 15 to five years for a person to get a bona fide resident certificate in the state to provide some flexibility to the private companies in hiring.
• The state government also reduced the upper limit of gross monthly salary for jobs which will come under the ambit of the private sector job quota law.
• As per the official notification, jobs with a gross monthly salary of not more than ?30,000 will be up for hiring from among local candidates.
• The bill passed by the assembly last year capped the gross monthly wages for jobs available for hiring at ?50,000.

Current scenario of Reservation

• The Supreme Court ruling that reservations cannot exceed 50% (which it judged would violate equal access guaranteed by the Constitution) has put a cap on reservations. 
• The current scenario of Reservation in India is:
  • 15% seats are reserved for Scheduled Castes (SC)
  • 5% seats are reserved for Schedule tribes (ST)
  • 27% seats are reserved for Other backward classes (OBC)

Can a law be framed for reservation on domicile?

• Yes, but only by the Parliament.
• Article 16(3) in the Constitution empowers Parliament to provide for domicile-based reservation in public employment and jobs with local or any other authority under a state or a Union Territory. 

What is ‘Locals First’ Policy?

• This policy implies that jobs that will be created in a state will be first offered to only people who belong to that state i.e., local people.

How is it linked to migration?

• More Indians are also moving across state lines in search of better educational opportunities.
• But despite these newly emerging trails, in a majority of India’s districts, less than one in 10 (or less than 10%) of the urban workforce is an interstate migrant.

Indian Constitution & Migration: The Constitution of India guarantees ‘freedom of movement’ and consequently employment within India through several provisions. Article 19 ensures that citizens can “move freely throughout the territory of India". Article 16 guarantees no birthplace-based discrimination in public employment. Article 15 guards against discrimination based on place of birth. Article 14 provides for equality before law irrespective of place of birth.