The Union Cabinet on Wednesday approved a set of reforms, including simplified labour laws and technology upgradation for the made-ups sector. “The interventions are expected to boost employment in the textiles sector and create jobs for up to 11 lakh persons, lead to increase in exports and enhance benefits to the workers in the textiles and apparel sector,” said an official release.
Made-ups, which includes products like towels and bedsheets, is the second largest employer in the textiles sector after apparel. The government will provide production incentive through enhanced Technology Upgradation Fund Scheme (TUFS) subsidy of additional 10% for made-ups similar to what is provided to garments based on additional production and employment after three years. On labour laws front, the government increased the permissible overtime up to 100 hours per quarter in made-ups manufacturing sector besides making employees’ contribution to EPF optional for employees earning less than Rs 15,000 per month.