Sarma demands no sops to firms violating laws

VIJAYAWADA:

EAS Sarma

, a former Union expenditure secretary, on Wednesday demanded that the central government not extend the concessions offered to industry in the light of the coronavirus to firms that have violated the

laws

that provide social security to workers.


“There have been instances of some enterprises guilty of non-payment of past wages, contributions to provident fund and other statutory benefits legitimately due to the workers. In my view, no bail-out assistance should be provided to such

businesses

unless the first charge on the financial package, if any, is in favour of settling such dues in favour of the workers. It is equally necessary that those who have wantonly violated the labour laws are proceeded against urgently,” Sarma said in a letter to finance minister Nirmala Sitharaman.

According to the letter, many Indian businesses are used to violating the other laws as a result of the laxity in administration at the centre and in the states. “When any relief is to be provided to them from the public exchequer, the benefits should not be allowed to go to such businesses,” it said.

“For example, there are thousands of units that have brazenly violated the environment laws, caused pollution of the environment, adversely impacting the health of the people. Many pharma units are guilty of this. Such units should not be allowed to benefit from the bail-out packages as a deterrent measure,” Sarma, who is now a social activist in Visakhapatnam, AP, said.

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