Essay on labour issues social security amd minimum wages for ias
Answers
Labour has been one of the most critical factors for manufacturing industries as well as services sectors. Cost of production, geographical location of industries and even survival of the enterprises heavily rely on the labour.
Labour, today is considered as a backbone of development of any third world countries. However, if a country is democratic, liberal and respects universal adult franchise, labours, which are in majority numbers get voice and have right to freedom of speech and expression. These countries can’t ignore interest of labour in favour of industry and capital, even at the early stage of their development.
However, developed countries on the other hand extended liberal policies towards workmen only after long period of industrial development. During this period capitalists of the country amassed wealth and in latter period, mainly after numerous labour movements, workers getting voting rights and activism of ILO, western governments took up responsibility of wealth redistribution.
India, like any other developing country has been taking dual responsibility wealth creation and redistribution simultaneously, since independence.
For the latter result, i.e. wealth creation, India needs huge investment and development of its manufacturing industries. However, investment whether domestic or foreign will come, given there is low cost advantage. Generally, in the initial phase this low cost advantage is derived through relative lower wages of workers as there is surplus labour. As a result industries start mushrooming and results in the shortage of adequate skilled labour.
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