Punjab cabinet mulls changes in excise policy, labour laws

The Punjab government is mulling changes in the state excise policy and labour laws in the light of adverse impact of COVID-19, amid efforts to revive the state's battered economy.

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The issues came up for discussion at the Council of Ministers meeting here on Friday under the chairmanship of Chief Minister Amarinder Singh, who reiterated the decision that contributions by government staff to the CM Covid Relief Fund should be voluntary, just as it had been for other categories.

On the excise policy, the Cabinet sought the precise details of COVID lockdown's implications for the policy and its execution.

The Excise Department has been asked to review the policy in this context and bring a detailed proposal before the Council of Ministers, which will meet again on Saturday to further discuss the issue.

Terming the prevailing situation as "extraordinary", the Cabinet felt that all possible options should be explored to put the excise collection back on its feet, especially given its importance to the state's revenue model.

Underlining the need for industry to retain labour and prevent the migrant workers from leaving Punjab, the Chief Minister directed the Industry Minister to take all possible welfare measures to ensure that they are well taken care of.

The Cabinet welcomed the reopening of another 9,500 industrial units in the wake of the easing of lockdown restrictions.


Amarinder Singh said it was a good sign that with the state industry was reopening, and 35 per cent of workers who had registered to return to their native states had decided to stay back in Punjab for now.

He also directed the department to aggressive pursue the development of the four industrial parks already announced by the state in the Budget for this fiscal.

There was significant potential for attracting industry, particularly in the field of pharmaceuticals and pesticides, with many countries shifting their operations out of China, the Cabinet noted.

The Council of Ministers also agreed on staggering the paddy cultivation operations in view of the shortage of migrant labourers.

Amid concerns over women with children below five years of age, deployed on COVID frontline duties, the Chief Minister asked the Chief Secretary to discuss the matter with various departments and formulate necessary guidelines to ensure the protection of such women.

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