States relax labor laws, woo MNCs

The official said on condition of anonymity that states including Tamil Nadu and Uttar Pradesh are likely to amend labor policies by allowing flexibility for women such as 12-hour shifts and night work shifts.

“Labour laws have been changed in Karnataka; Some five to six other states like Tamil Nadu and Uttar Pradesh will also make similar changes in their laws. This will facilitate companies like Apple,” said the official cited above.

Last month, Karnataka amended its labor laws governing factories, allowing manufacturers to increase shift hours from the current nine to 12 hours. Women have been allowed to work in night shifts; Overtime hours almost doubled to 145 in the three-month period, while the maximum working hours were capped at 48 per week.

The official said there is no need for central intervention as states are acting independently.

in March, financial Times The report said Apple and its manufacturing partner Taiwan’s Foxconn were among the companies pressing for changes to the legal framework to drive greater productivity and efficiency in operations to levels similar to those seen at production centers in China.

Flexible labor laws are among the many demands by contract manufacturers such as Foxconn, Pegatron and Wistron to assemble iPhones for the Cupertino-based smartphone maker in various locations. Foxconn’s manufacturing unit is located at Sriperumbudur in Andhra Pradesh, while Pegatron is located in Kanchipuram district of Tamil Nadu, and Wistron is located near Bengaluru in Karnataka.

Apple CEO Tim Cook, who visited India this week to inaugurate Apple’s flagship store, reaffirmed the company’s commitment to invest in India and expand its manufacturing base here. Expansion in manufacturing could lead to more units coming up in other states that offer a conducive environment and supportive policies, including investment and labour.

Tarun said, “If the labor laws change, it means better prospects for more production as they (Apple’s makers) have the capacity to make more iPhones in Tamil Nadu and subsequently, it will increase the value and ultimately India.” will contribute in greater numbers.” Pathak, director of research at Counterpoint Research, which tracks handsets and tech providers in India and globally.

Peppermint It reported on Thursday that Apple has sought support on continued policy forecasts in building suppliers and component ecosystems and employee skills in India. During his meeting with top government officials on Wednesday, Cook reportedly shared Apple’s business plans and plans to increase local manufacturing.

Cook’s visit to India is a significant milestone for the iPhone maker, which has pegged India as one of the leading growth markets and an increasingly important manufacturing base for its smartphones and other devices in the portfolio including AirPods and even That created a new base for making the iPad. Because it tries to reduce its dependence on China.

“Apple’s long-term strategy won’t just be about iPhones. It will also be more about iPads, Macs, AirPods and Apple Watches. So, it’s understandable. Pathak said the change in labor laws means greater synergy with other countries like China, where it is already producing its equipment round-the-clock.

While Apple has been manufacturing in India since 2017, it has expanded the scale of manufacturing over the past few years while exporting almost half of the total smartphone exports of around $10 billion to global markets.

Meanwhile, Tim Cook on Thursday launched Apple’s second retail store in India at Select Citywalk Mall in Saket, New Delhi. The Saket store, though much smaller than the flagship store opened at BKC in Mumbai on Tuesday, has all Apple products and amenities including Apple Pickup and Today. The launch marked the fourth day of Cook’s planned week-long tour of India.