Goa Government to Withdraw Employment Exchange Amendment Bill in Budget Session
The Goa state government has made a significant decision to withdraw the Employment Exchanges (Compulsory Notification of Vacancies) (Goa Amendment) Bill, 2025, during the upcoming budget session of the legislative assembly. This move comes after the bill was passed just last year, introducing stricter regulations for private companies operating within the state.
Background of the Amendment Bill
The Employment Exchanges (Compulsory Notification of Vacancies) (Goa Amendment) Bill, 2025, was designed to impose substantial fines on private companies that failed to advertise their job vacancies through official employment exchanges in Goa. Under this amendment, the government proposed to increase the penalty amounts significantly, ranging from Rs 5,000 to Rs 30,000, depending on the number of employees and the frequency of violations by the companies.
Previously, the penalty for such non-compliance was a mere Rs 500, with no specific categories or gradations based on company size or repeat offenses. The amendment also aimed to gather detailed information about job opportunities likely to be created in the next six months, enhancing the state's ability to plan and assist job seekers more effectively.
Role of Employment Exchanges
Employment exchanges are established under an all-India scheme to fulfill the functions, duties, and responsibilities outlined in the National Employment Exchange service manual. These exchanges do not create or provide jobs directly but serve as a crucial link between job seekers and employers. Their primary activities include:
- Registration of job seekers who enroll themselves in the exchanges.
- Submission of candidate names to employers in both public and private sectors based on notified vacancies.
- Providing employment assistance and guidance to job seekers and candidates.
The Employment Exchanges (Compulsory Notification of Vacancies) Act, 1959, was enacted following the recommendations of the training and employment services organisation committee in 1952. This act mandates compulsory notification of vacancies to employment exchanges for every establishment where 25 or more persons are ordinarily employed for remuneration. Regional employment exchanges then sponsor candidates from their live registers to these establishments that notify their vacancies.
Reasons for Withdrawal
Labour Secretary Sandip Jacques explained that the decision to withdraw the bill stems from recent developments at the central government level. The Employment Exchanges (Compulsory Notification of Vacancies) (Goa Amendment) Bill, 2025, was thoroughly examined in consultation with nodal Union ministries and departments, including the Ministry of Labour and Employment.
Jacques stated, "The central government brought the Code on Social Security, 2020, into force from November 21, 2025. By virtue of a section of this code, the Employment Exchanges (Compulsory Notification of Vacancies) Act, 1959, stands repealed with effect from that date. Hence, the state government is directed to withdraw the said bill at the earliest."
This repeal at the national level renders the state-level amendment redundant, as the foundational act it sought to amend is no longer in effect. The Code on Social Security, 2020, represents a broader legislative framework that consolidates and updates various labor laws, including those related to employment exchanges.
Implications and Future Outlook
The withdrawal of this bill means that private companies in Goa will no longer face the proposed increased fines for failing to advertise vacancies through employment exchanges. However, the underlying mechanism of employment exchanges continues to operate under the new central code, which may introduce different provisions or penalties.
This development highlights the dynamic interplay between state and central labor laws in India. It underscores how changes in national legislation can directly impact state-level initiatives, necessitating adjustments to ensure legal coherence and compliance.
As Goa moves forward, the focus will likely shift to implementing the Code on Social Security, 2020, which aims to streamline social security measures and employment-related regulations across the country. The state government's prompt action to withdraw the amendment bill demonstrates its commitment to aligning with central directives and maintaining a consistent legal framework for employment and labor practices.
