Tuesday 2 July 2019


Hiring is defined as the addition of workers to provide services for a company while firing is defined as the reduction of workers that have not properly provided services for a company ."Hire and Fire"  term is largely used in private sector , which mean hiring an employee on temporary basis and firing them when work term is over. It is usually used in contract basis where contractor hire people in fixed term basis and Fire them when contract term is over. Hiring and Firing are the two main aspects which evolved clearly during the era of industrial revolution and persistent from hundreds and thousands of years even before industrial revolution . It occurs on daily basis with no reason or whatsoever. Other staffing agencies for employment are known as temp agencies. Temporary workers are workers that are hired by companies to work anywhere from a couple of days to six months or more. It is understood at the point of hire that the job does not last more than the specified amount of time and at the end of that time period the employee will need to find employment elsewhere. Temp agencies provide companies with temporary workers on a regular basis
#Mixed Economy
"Hire and Fire" is the result or we can say that it may give rise to mixed economy that is capitalism and socialism.
Capitalism economy is where , factors of production owned by private sector . There is fierce competition amongst producers to lure the consumers which results in increase in demand of employment and hence maximum number of people is hired than required just to finish the work . And after that when company feels that the number is more than required and workers are becoming liabilities rahen than assets then they fire them.
Socialist economy is one where factors of production is owned by the government and it's represented by society. But a mixed economy is where factors of production are owed by both government and private sectors.
These two aspects of economy (Hire and Fire) has been in news since 2002. 
According to The Hindu newspaper
Withdraw hire and fire policy’
HYDERABAD, APRIL 20, 2018 22:14 IST
UPDATED: APRIL 20, 2018 22:14 IST

The CPI(M) has demanded that the Union government withdraw its notification on fixed-term employment.
"This in essence provides employers with the freedom to hire and fire workers. It is one of the measures intended to facilitate the movement up the ladder of the ease of doing business index of the World Bank. This will increase contractualisation and casualisation of workers. The precariousness in jobs has to be taken seriously,” former party general secretary Prakash Karat said.
Most latest evident of policy by     'Bussiness Standards'
There won't be any hire and fire policy for India: Niti V-C Rajiv Kumar

Press Trust of India | New Delhi | Last Updated at June 08 2019 23:22 IST

NITI Aayog Vice-Chairman Rajiv Kumar on Saturday set the record straight that while labour laws would be reformed, there won’t be any hire and fire policy for India. 
Talking about labour reforms, he said, “You will see action very soon. But you have to see action not in terms of hire and fire. You have to have labour reforms where labour gets his due and rightful participation but yet investors get the flexibility to be able to change its composition of labour force. We will take action in the coming Parliament session.” 


There are many laws in every sector ( public sector,private sector) for the protection and welfare of different kind of workers(permanent,contractual, part time) but very less people know the proper use of it to avoid exploitation by the employer. Many workers enter the contract agreement/bond without reading and without knowing the legal prospect and conditions of the contract. To avoid the misuse of laws workers enter into trade unions which give them a sense of security. But there is a need to make workers aware of their rights and laws, which would affect them. If workers/employees would know laws related to termination then employers would not fire employees unnecessarily. There are 51 laws in India which are related to employees/workers and they cover all aspects related to working condition, wages, welfare, social security. Usually it is seen that factory workers are unaware of the firing laws and they are fired without any notice so there is a need to make them aware of it. As very less literature is available related to hiring and firing topics the study became short in providing the framework in laws. This study covered only what the laws say related to firing of employees/workers. For future study I would suggest that study could be done to know the knowledge/awareness among workers and employees regarding hiring and firing laws in India.

                               Hiring and firing keeps the business world running and keeps the flow of employees going at a normal pace day in and day out.

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