Bengaluru- The Karnataka government has decided to pause the implementation of a draft bill designed to secure job quotas for Kannadigas in the private sector, following concerns raised by industry bodies and experts.

The draft, known as the Karnataka State Employment of Local Candidates in the Industries, Factories, and Other Establishments Bill 2024, was approved in a Cabinet meeting on July 15.

It aimed to reserve 50 percent of management positions, 75 percent of non-management roles, and 100 percent of Group C and Group D posts for Kannadigas within the private sector. However, the Chief Minister Siddaramaiah has since announced on X that the bill will be held back for further consultation.

The decision to delay the bill came after significant backlash from industry leaders. Kiran Mazumdar Shaw and Mohandas Pai publicly voiced their opposition on social media, highlighting the potential negative impacts of the bill.

Nasscom, the IT industry body, warned that such quotas could undermine Karnataka’s status as a technology hub and roll back the progress made in recent years. Additionally, the Federation of Karnataka Chambers of Commerce and Industry requested a meeting with the Chief Minister to discuss the bill.

Given the strong reaction from private sector stakeholders, the Chief Minister stated that the bill is temporarily on hold and will be reconsidered following broader consultations.