Haryana: Employers to give 75% employment to local domiciled candidates

The Legislature of the State of Haryana received the assent of Governor of Haryana on February 26, 2021 for The Haryana State Employment of Local Candidates Act, 2020 to provide 75% employment of local domiciled candidates by employers in the State of Haryana.

Few of the salient features of the Haryana State Employment of Local Candidates Act, 2020 are as under:

• The Act is applicable to all Companies, Societies, Trusts, Limited Liability Partnership Firms (LLP), Partnership Firms or any person employing 10 or more persons.
• The Act is applicable only to the State of Haryana.
• Every employer shall register its employees receiving gross monthly salary or wages not more than Rs. 50,000/- (Fifty Thousand only) within 3 months of coming into force of this Act (i.e. by June 02, 2021).
• Every employer shall employ 75% of local domiciled candidates with respect to such post where the gross monthly salary or wages are not more than Rs. 50,000/- (Fifty thousand only) or as maybe notified by the State Government.
• Local candidates may be from any district of the State of Haryana. However, an employer may at his option restrict the employment of local candidates from any district to 10% of total number of local candidates.
• Local candidates can avail the benefits of the Act only if he/she registers himself/herself on the designated portal.
• The Act permits an employer to claim exemption from the requirement of employment of 75% of local domiciled candidates receiving gross monthly salary or wages not more than Rs. 50,000/- (Fifty thousand only) in cases where adequate number of the local candidates of the desired skill, qualifications or proficiency are not available.
• However, the exemption is not automatic and the employer has to make a claim for exemption before the designated officer (as maybe notified) requesting for the exemption from the requirement of recruiting 75% of local domiciled candidates.
• The designated officer on receipt of request for exemption shall conduct inquiry and subject to the information/ details as maybe provided by the employer may either accept the request or reject the request or direct the employer to train local candidate to achieve the desired skill, qualifications or proficiency.
• An employer is required to furnish a quarterly report of the local candidate employed and appointed during a quarter.

Penalties