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The Haryana government passed the Haryana State Employment of Local candidates Act, 2020, requiring companies in the state to employ 75% of local applicants with the background, The influx of a large number of migrants competing for low- paid jobs places a significant impact on local infrastructure and housing and leads to proliferation of slums, which leads to environmental and health issues. Therefore, giving preference to local candidates in low-paid jobs is socially, economically and environmentally desirable and in the interests of the general public. Employers operating as a business, society, trust, limited liability partnership, partnership firm, or any individual paying salary, wages, or other compensation to ten or more workers are covered by this policy (apart from the federal or state governments and any entities under their ownership).
The aforementioned Act was challenged before the Punjab and Haryana High Court in nine separate writ petitions, CWP nos. 26573 of 2021 and other related matters, for violating the rights to equal employment, residence, and settlement under Article 14 and for imposing arbitrary and unreasonable restrictions on the right to engage in business and trade under Article 19. The court stated that the state cannot discriminate against individuals merely because of the fact that they do not belong to that state and have a negative discrimination against other citizens of the country. Subsequently, the court held the said Act unconstitutional and violative of Part-III of the Constitution of India.
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