Home / Knowledge / News / Apparel/Garments / Retailers hail Model Shop announcement, pay hikes
Retailers hail Model Shop announcement, pay hikes
30
Jun '16
Retailers have welcomed the government's decision to allow shops, malls and cinema halls to run round-the-clock saying it will provide convenience to customers and add thousands of jobs.

Retailers have also hailed the government's decision to implement the 7th Central Pay Commission's recommendations, which, they say, will boost consumption in the retail sector, consumer goods, retail, automobiles, travel and tourism and bank credit. The government's decision is expected to give pent-up demand a boost.

The Cabinet has also decided that arrears of pay and pensionary benefits will be paid during the current financial year (2016-17) itself, unlike in the past when parts of arrears were paid in the next financial year. The recommendations will come into effect retrospectively from January 1, 2016.

Retailers are eyeing one crore govt employees who will benefit from the new pay structures.

The Cabinet's decision to clear the Model Shops and Establishment Bill will bring parity in laws across India but its success will depend on states adopting it, retailers said.

“This will definitely help in improving efficiency and a new level of retail can open up... I will call it the end of permission raj,” Shoppers Stop Managing Director and Customer Care Associate, Govind Shrikhande said.

Retailers Association of India CEO, Kumar Rajagopalan said this step is a win-win for everyone, including businesses, consumers and government.

“With government clearing Model Shops and Establishment Bill, a model has been created which will have to be adopted by states. Some states like Maharashtra and Andhra Pradesh have already adopted retail policy. This will benefit not just businesses but also consumers and government in the form of taxes and higher employment. Retailers will experiment for sure,” he said.

But not everybody is jumping in joy. The Confederation of All India Traders (CAIT), has suggested states should first run a pilot project in any one big market of a city for impact assessment.

Fast food restaurant chain KFC welcomed the government's move to allow shops to run round-the-clock, would boost the industry. “This is a welcome development as it will provide a definite boost to industry and the economy,” KFC India Managing Director Rahul Shinde said

According to India Ratings & Research, the pay package will boost consumption in the economy by Rs 45,110 crore (or 0.3 per cent of GDP) and increase savings by Rs 30,710 crore (or 0.2 per cent of GDP). The ratings agency also said the central government's net tax revenue (after sharing with states) will increase by Rs 14,100 crore (or 0.09 per cent of GDP) this financial year. All of this is significant and the full impact will be felt in FY18 (2017-18), the agency said, when big-ticket items get a fillip. (SH)

Fibre2Fashion News Desk – India


Must ReadView All

Textiles | On 21st Jul 2017

No shortage of cotton & yarn in country: Minister

There is no shortage of cotton and yarn in the country, and the...

Pic courtesy: Sutlej Textiles & Industries Ltd

Textiles | On 21st Jul 2017

Sutlej Textiles’ Q1 FY18 EBITDA expands to Rs 76.28 cr

Sutlej Textiles and Industries Ltd (STIL), one of India’s largest...

Textiles | On 21st Jul 2017

CAI revises 2016-17 cotton crop to 337.25 lakh bales

Cotton Association of India (CAI) has upwardly revised cotton crop...

Interviews View All

Nitin Bhatia
Trend Arrest

Setting up a brand for online selling is easy, but running the brand is not

Abhishek Samdaria
Reflete

GST will certainly reduce a lot of paperwork in future

Spokesperson
Hugo Boss

'Hugo Boss works with carefully selected sourcing partners'

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Iago Castro Asensio
RCfil Distribuciones S.L.

Iago Castro Asensio, International Business Manager of RCfil...

Kai Poehler
Voith Paper GmbH & Co. KG

The glass mat industry is growing by five to eight per cent annually. Kai...

Judy Frater
Somaiya Kala Vidya

Among the many honours showered on Frater, including Fulbright and Ford...

Jay Ramrakhiani
Occasions Elegance Wear

It is believed that by early 19th century, Varanasi weavers had moved away ...

Sonam & Paras Modi
SVA

Sonam and Paras Modi's Sva Couture is synonymous with head-turning...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

July 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Thanks for your valuable feedback. Claim your free latest sustainability e-book.


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search



X