Special package to generate 11 lakhs jobs in made ups sector

The Dollar Business Bureau

The next three years for the made ups sector of India may witness healthy employment generation with the Cabinet approving a special package for the domain, as per information released by an industry body.

According to Cotton Textiles Export Promotion Council (TEXPROCIL) Chairman Ujwal Lahoti, the special package has been targeted to create large scale direct and indirect employment to cover upto 11 lakh persons. “It will lead to strengthening exports of made ups at the same time,” he added.

Calling it a “positive move by the government”, Lahoti said that the exporters will get the much-needed respite after this announcement as they face a duty disadvantage in the main market of EU as compared to products from competing countries on account of preferential tariffs given to some of them.

The package covers similar measures given to apparels such as additional 10 per cent subsidy under Technology Upgradation Fund Scheme (TUFS), additional contribution under Pradhan Mantri Rozgar Protsahan Yojana (PMRPY) and the Rebate of State Levies (ROSL).

The package will specifically benefit the women in rural areas by providing them employment, which is one of the potential areas the government had identified before announcing the measures.  

The other terms included in the package are increasing the permissible overtime upto 100 hours per quarter along with making employees' contribution to EPF as optional for employees earning less than Rs 15,000 per month.

All these measures are expected to initiate labor reforms in the sector apart from providing other benefits to the workers.