Flexibility of Labor Laws is the Key to Attracting More FDI

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Jan 17 • Group Discussion • 8278 Views • 27 Comments on Flexibility of Labor Laws is the Key to Attracting More FDI

Flexibility of Labor Laws is the Key to Attracting More Foreign Direct Investment

Foreign Direct investment a great conversation topic for the last academic year. It was till the announcement from the central government. “India will allow Foreign direct investment’. We would have heard this in television group discussion and also in the parliamentary news.

Foreign Direct Investment

Foreign Direct Investment

The topic was –  we need Foreign direct investment?

If we allow will it affect the small scale business?

But finally government had announced FOREIGN DIRECT INVESTMENT will enter India

China is a great threat to India? Not in the defense in the economy. We have only 0.8% of the foreign direct investment. China has 30% of the foreign Direct Investment. So their economy is increasing high. We dint get this because of the government. They restricted the low of FOREIGN DIRECT INVESTMENT in India. Now it’s granted but still Foreign Direct investment is not showing interest in India?

http://www.amrc.org.hk/alu_article/tncs_and_asian_labour/fdi_trends_and_labour_in_india

Group Discussion

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Reason?

India has more youngsters than other country. The reason is simple because of the labor laws in India. Fact is the management can’t make him jobless even if he is not working properly. This is the major problem in many industries. If they work for 10 year and got settle in their life. After that they lack in their work. Because of the years experience and by their friends they start union in the industry. This leads to many problems as they say just asking for their basic needs.

Most of the FOREIGN DIRECT INVESTMENT relates to. industries like cars, textiles, cement, rubber products, ceramics, and power equipments. This is more dangerous to human life. Life security and voluntary retirement is also a problem for them.

If the FOREIGN DIRECT INVESTMENT comes in there will be more temporary workers and contract labor. This gives no assurance to their future life.Our labor laws don’t support this. So Flexibility of labor laws is the key to attracting more Foreign Direct Investment.

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27 Responses to Flexibility of Labor Laws is the Key to Attracting More FDI

  1. Anonymous says:
  2. Debanki Mukherjee says:

    According to economists labor market regulation and standards decrease FDI inflows through the cost channel,but they increase FDI inflows through the productivity channel.Allowing for a nonlinear relationship between different indicators of labor market flexibility and FDI inflows revealed that some degree of labor market standards and regulations may be attractive for foreign investors.

  3. Barun kumar singh says:

    According to my views FDI has more disadvantage over advantage.As we all know India has the largest small scale industry in Asia which produces products which has is produced in foreign countries under famous brand names.I agree to your point it will definitely white wash small scale industries and employment opportunities in India by foreign brands products.Government should step forward and take a common view of nation before executing this policy.

  4. Kriti Das says:

    Ours is a country having a tremendous potential of economic growth.Till the other day ,India was hailed as one of the fastest growing economies of the world.But right now the situation is totally different .The economic condition is at an all time low.So government is looking at FDI as a way to revive the economy back.But the the big question is- are we ready for this change ???With the existing labor laws of this country,the answer is no.People in this country on the whole, have a laid back attitude towards their work,specially when they are working in the same company for say 10 years or so.Though the private sector has changed the scenario,but we still have miles to go,before we can think of being comfortable with the FDI approach.

  5. Chandreyee Ghosh says:

    First of all Indian Government granted FDI in retail only. But FDI is very dangerous for the small industries. The foreign investors will be the gainer only and the FDI can destroy the lives of small businessmen in our country. Actually This kind of policies are made only to make the rich people more rich .The poor will become more poor. We can not support this kind of so called improvement at all. If it is about improving the economic condition of India, then without he help of FDI it is also possible. So Indian Government should restrict FDI , it will be beneficial or the labors.

  6. A.R.Nivethitha Mathikumar says:

    Flexibility of labour laws is the key to attracting more foreign direct investment, Labour laws needs to be make flexible to improve the imports and exports not only the foreign direct investment

  7. vani sadasivam says:

    Flexibility of labour laws is the key to attracting more foreign direct investment, Not only the flexibility of labour laws but also the other characteristics play an important role for the attraction of foreign direct investment

  8. Prem kumar says:

    Flexibility of labour laws is the key to attracting more foreign direct investment, We focus only on the investment and share, to increase the human resources, its an essential thing to flexible the labour laws

  9. Ameer shahib.S says:

    “Flexibility of labour laws is the key to attracting more foreign direct investment” Yes, to raise the market share of our companies in the world market we have to attract foreign direct investment in the way of changing the labour laws

  10. kavya dilip says:

    Flexibility of Labour laws is the key to attracting more foreign direct investment, Labour laws is to make flexible such that employees are satisfied well, and they implement their innovative ideas to the field of work

  11. deepika.v deepi says:

    Flexibility of Labour is the key to attracting more foreign direct investment, Foreign countries are ready to invest money to the Indian Companies but they are not getting satisfying with our output. We should have good quality in our management skills to attract foreign direct investment

  12. Kiranmayi says:

    This may be meritorious but people always prefer job security for their work..

  13. bavi ragu says:

    Flexibility of labour laws is the key to attracting more foreign direct investment , Labour laws have to make flexible only up to certain extent for good empowerment

  14. Deepika viswanathan says:

    Flexibility of labour laws is the key to attracting more foreign direct investment –Foreign Direct Investment is needed for our country to deveolop

  15. nandhini muruganandham says:

    FDI is a key means of attracting inward flows of capital and technology,
    together with associated innovation in management techniques. So we should care our labours.

  16. Sathish PAZER says:

    Flexibility of labour laws is the key to attracting more Foreign Direct Investment is this needed to India

  17. Sindhu Sindhu says:

    Flexibility of labour laws is the key to attracting more Foreign Direct Investment is a true term.
    fdi can change the economy

  18. Saranya P says:

    In the aspect of doing any work labors are given importance. So labors must be cared properly.

  19. ஆர்த்தி தண்டபாணி says:

    Flexibility of labour laws is the key to attracting more foreign direct investment , As Youngsters are more in India as my friend said, the rich peoples are also more in the same country. So first rich have to serve the poor and help in developing the nation, and the world.

  20. jothi meenal says:

    “Flexibility of labour laws is the key to attracting more foreign direct investment” is the real thing which we have to make it profitable to both labours and the government

  21. komethakaraj p says:

    flexibility in the labor laws sure will increase the foreign direct investment

  22. Mathiyazhagan Marimuthu says:

    Flexibility of labor laws is the key to attracting more Foreign Direct Investment… change the labor laws increase the Indian economy

  23. suganya sivasamy says:

    Already a lot of wealth has been plundered by foreigners and now they decided to loot the remaining. If FDI persists we will be slaves again in the name of freedom.

  24. vinothkumar p says:

    yes these laws attract people .. benefits for employee is also high it improves status of every person..

  25. Dinesh says:

    Off course this will be a reason

    before 300 years English men ruled us and now they come back again because we are flexible to work at any situation under any guidance

  26. appu kuttie says:

    if we remake our labor laws sure Indian economy will increase

  27. suriya prakash says:

    Ya. First of all we have to consider our labor’s wealth.

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