BENGALURU: Nearly 18 months after the Karnataka Cabinet approved The Karnataka State Employment of Local Candidates in the Industries, Factories and Other Establishments Bill, 2024, the proposed legislation to reserve private-sector jobs for Kannadigas remains on hold, even as the State Government warns companies against discriminating against local candidates.
The Bill, approved by the then Siddaramaiah Cabinet in July 2024, was pushed by Labour Minister Santosh Lad, who was keen on getting the legislation enacted to protect employment opportunities for Kannadigas. It proposed reserving 50% of management positions and 70% to 75% of non-management jobs for local candidates, besides 100% reservation in Group C and D posts in private establishments and industries.
The State Government, however, put the draft legislation on hold following strong opposition from industry representatives, particularly those from the IT sector, who raised concerns over its potential impact on recruitment, business operations and investment in Karnataka. The Bill was not introduced for passage in the legislature.
The issue has resurfaced following complaints that Kannadigas are being overlooked in recruitment by IT companies in Bengaluru.
Chief Minister D K Shivakumar and Kannada and Culture Minister Shivaraj Tangadagi have warned companies against discriminating against local candidates and urged those facing such discrimination to bring it to the government’s notice.
The State Government’s latest promise has, however, revived questions about the fate of the proposed legislation and whether it intends to revive the Bill or pursue alternative measures to protect employment opportunities for Kannadigas.
The Bill’s key provisions included: management positions: 50% reservation for local candidates, non-management positions: 70% to 75% reservation and Group C and D posts: 100% reservation for locals. A proposed requirement of 15 years’ domicile in Karnataka and proficiency in Kannada, subject to prescribed certification requirements.
Proposed fines of Rs 10,000 to Rs 25,000 for non-compliance, with an additional daily fine of Rs 100 until compliance. The proposed definition of a local candidate and the eligibility requirements were among the provisions that drew attention during the debate over the legislation.
Industry opposition stalled the Bill
The Bill reportedly faced strong opposition from industry representatives, including technology-sector bodies, which warned that mandatory employment quotas could restrict recruitment flexibility and affect Karnataka’s investment climate. Following the backlash, the government decided to put the draft on hold for wider consultations.
Qualified Kannadigas must get suitable jobs, says DCM
On Chief Minister DK Shivakumar’s reported emphasis on employment opportunities for Kannadigas, DCM Dr G Parameshwara said industries receiving government support must provide suitable jobs to qualified local people. The State Government provides industries with essential facilities such as land, electricity and water, and they have a responsibility to employ eligible Kannadigas, he said, adding that the policy was not new and had been in place for a long time.
“We are not asking industries to employ those who are unqualified. Our stand is that Kannadigas who possess the required educational qualifications and skills must be provided jobs commensurate with their merit and capabilities,” he said.
Pointing out that some industries confined local people to attendant-level or lower-level positions, he said qualified Kannadigas should be offered appropriate roles based on their education and skills. The CM had only reiterated the government’s longstanding commitment to the issue, he added.