HC Halts 75% Job Quota for Locals, Declares Act Prima Facie Unconstitutional

HC Halts 75% Job Quota for Locals, Declares Act Prima Facie Unconstitutional

  • Case Name: Jharkhand Small Industries Association v. State of Jharkhand
  • Judge(s): MS Ramachandra Rao, Deepak Roshan
  • Advocate(s): Amit Kumar, Das Goswami & Others

The Jharkhand HC has issued an interim stay on the Jharkhand State Employment of Local Candidates in Private Sector Act, 2021. The Act mandated a 75% reservation for local candidates in private sector jobs with monthly salaries up to ₹40,000.

The court deemed it unconstitutional, citing violations of Articles 16(2), 16(3), and 19(1)(g) of the Constitution. It also flagged Sections 9-12 of the Act for imposing financial penalties and granting excessive state control over private employment.

Referencing the Punjab & Haryana HC ruling. The stay will remain in effect until further orders, with the next hearing scheduled for January 31, 2025.

Business Standard / 9 months ago

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