Khattar delays implementation of Haryana reservation law as industries look to desert Gurugram for Noida

The Manohar Lal Khattar government in Haryana which recently announced a politically divisive decision to implement a 75 per cent quota for locals in non-public corporations amid much controversy is now having cold feet in rolling out the policy on the ground after scores of companies in the industrial hub of Gurugram started packing their bags and looking for newer pastures, with Noida being the preferred destination.

According to an ET report, the Haryana government has delayed the implementation of job reservations by more than a month. And several other reports have stated that Khattar is looking to make amends to the reservation policy by finally including the stakeholders in the conversation.

“The industry plays a pivotal role in the state’s development. The stakeholders gave many important and valuable suggestions at the meeting which would certainly be incorporated before framing the policy. If required, amendments to the policy would be made so as to ensure that it is industry-friendly,” said Khattar after presiding over a meeting with major industrial associations, chambers, entrepreneurs and other stakeholders on Thursday.

As reported by TFI, the officials of the IMT industrial association have been visiting Noida to look for opportunities to set up factories in the city. The industrialists based in Gurugram argued that more than 80 per cent of the workers in the automobile industry and textile industry are from Uttar Pradesh, Bihar, Jharkhand and Madhya Pradesh and the newly implemented law makes these workers illegal.

Read more: Automakers set to dump Gurugram and shift to Noida after Khattar’s silly 75% reservation for locals decision

Gurugram is a city that was developed on foreign capital and human resources from Delhi and other Indian cities. So, except for the land, the people of Haryana as well as the governments of Haryana have contributed very little to the making of the city.

For decades, Noida has been seen as a poorer cousin of Gurugram. But, in the last few years, many high-profile corporates have started moving to the city. The Yogi government has focused on improving the civic infrastructure of the city and pitched it to domestic and foreign investors.

Read more: Almost every business that matters and had a successful run in Gurugram is thinking about moving to Noida now

UP has the existing capacity to replace China as the ‘factory of the world’ with a population of 22 crores and young demography. Thus, a state like Haryana is set to lose the most if it goes ahead and implements its appeasement policies — only meant to pander to a certain section of the community, and in this case, the Jats being the target community of Dushyant Chautala.

Sensing that the business is turning away, Khattar has finally realised his folly, at least for the time being, and one reckons it will be in the best interest of the state if Khattar & co. let go of the reservation policy—for its downsides outweigh the pros, by quite some distance.