NEW DELHI: Indian External Affairs Minister Pranab Mukherjee said yesterday there is a need for the country to “unitedly, sagaciously and in the spirit of tripartite cooperation” protect itself from the “fall” of unprecedented economic crisis affecting the world.
“We are already witnessing worrying signs of protectionism in the world’s biggest economy. We need to argue against this trend at the international fora,” said Mukherjee in an apparent reference to protectionist measures being adopted by the United States, particularly a bar on firms receiving bailout money from hiring foreign workers if they are to replace Americans at work.
The bailout is likely to hit Indian skilled workers as around 100,000 Indians applied for non-immigrant skilled workers visas (H1-B) to the US for the current year. The US has restricted the number of H1-B visas to 65,000 a year. “We cannot be complacent given the nature of the crisis but the country has the capability and the resources to turn this into an opportunity to restructure our economy and to raise our stature in the world community even higher,” said Mukherjee, inaugurating the 42nd session of the Indian Labor Conference and Employment.
“The government’s approach of inclusive growth is the critical component of its strategy to ensure an early recovery from the current crisis ... Jobs must be protected even if it means some reduction in compensation at various levels,” said Mukherjee, underlining the steps being taken by the Congress-led United Progressive Alliance (UPA) government to “mitigate” impact of “deepening crisis” on Indian society.
“Social welfare nets need strengthening because this would provide the base for socially harmonious shift in the pattern of employment,” said Mukherjee, giving emphasis to areas that need more attention.
“We will need to press for trade and aid flows to developing countries and look at regional cooperation to strengthen defenses against such crises,” he said, adding that India needs to invest more in infrastructure, provide adequate credit support to poorer sections of society and create better facilities for upgrading manpower skills and provide additional training.
