Punjab and Haryana High Court declares the Haryana State Employment of Local Candidates Act, 2020, as unconstitutional

In its significant ruling dated 17^th November, 2023, the Punjab and Haryana High Court has quashed the Haryana State Employment of Local Candidates Act, 2020, which provided 75 per cent reservation in private sector jobs to the residents of the state. The Hon’ble Court has termed the enactments as unconstitutional and said they will become ineffective from the date it came into force.

As per the enactments, private sectors in Haryana had to provide 75 per cent reservation for the person domiciled in Haryana in jobs having a gross salary of less than INR 30,000 per month. As soon as the enactment was passed, the Gurgaon Industrial Association filed a writ petition in the Punjab and Haryana High Court not to effect the same.

The Punjab and Haryana High Court on 3^rd February, 2022, granted an interim stay on further implementation of the said enactment.

The Supreme Court on 17^th February, 2022, had set aside the Punjab and Haryana High Court order staying the enactment and requested the High Court to decide the writ petition filed by Industrial Association expeditiously and not later than a period of four weeks from 17^th February, 2022. Meanwhile, the Supreme Court ordered the state government not to take coercive steps against employers for violating the said Act.

Now, as per the judgement given on 17^th November, 2023, by the Hon’ble High Court, the Government of Haryana cannot enforce the provisions of the Haryana State Employment of Local Candidates Act, 2020, on any private organisation.