Labour Law, Governance Reforms, and Protests

Employers and critics of labour regulation have been arguing for the liberalisation of labour laws, and for governance and compliance systems, following the liberalisation of the product market to enable firms to respond swiftly and suitably to fast-changing market conditions. The trade unions opposed this even as the government was seemingly favourably disposed towards employers’ demands. The countrywide strikes that have taken place since 1991 have become controversial not merely due to their high frequency but also for their lack of legitimacy as reforms appear to be a foregone conclusion and the protest politics seems to be vain and economically hurting the nation. This paper explores the dynamics of the countrywide strikes and examines whether some of the demands of trade unions are justified.