What is the doctrine of laissez faire?

The doctrine of laissez-faire promotes minimal government interference in economic affairs, encouraging free markets and private control over production.

While not mentioned in the Constitution, it influenced early labour laws before India shifted toward a welfare state model. In Union of India vs Prabhakaran Vijaya Kumar & Ors (2008), the Supreme Court moved away from laissez-faire, holding that the Railways Act must be interpreted as welfare legislation.

The Court upheld strict liability, stating that compensation must be granted even if the passenger was negligent, reinforcing the shift from capitalist individualism to social welfare in Indian jurisprudence.