Indian police try to close the gate of a police van as arrested trade union activists try to force it open during a protest in Kolkata on September 2, 2015. Millions of workers across India held a 24-hour strike in protest at right-wing prime minister Narendra Modi's economic policies, which they say will put jobs at risk and hurt ordinary people. Dibyangshu Sarkar/AFP Photo
Indian police try to close the gate of a police van as arrested trade union activists try to force it open during a protest in Kolkata on September 2, 2015. Millions of workers across India held a 24-hour strike in protest at right-wing prime minister Narendra Modi's economic policies, which they say will put jobs at risk and hurt ordinary people. Dibyangshu Sarkar/AFP Photo
Indian police try to close the gate of a police van as arrested trade union activists try to force it open during a protest in Kolkata on September 2, 2015. Millions of workers across India held a 24-hour strike in protest at right-wing prime minister Narendra Modi's economic policies, which they say will put jobs at risk and hurt ordinary people. Dibyangshu Sarkar/AFP Photo
Indian police try to close the gate of a police van as arrested trade union activists try to force it open during a protest in Kolkata on September 2, 2015. Millions of workers across India held a 24-

‘More than 150 million workers’ in India strike over economic reforms


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NEW DELHI // Millions of workers across India went on strike on Wednesday in protest at Narendra Modi’s economic policies.

It was the biggest show of strength by trade unions since the right-wing prime minister took office.

They say labour law reforms planned by Mr Modi’s government will put jobs at risk, and are demanding it scrap changes that would make it easier to lay off workers and shut down unproductive factories.

The secretary of All India Trade Union Congress, Gurudas Dasgupta, said the response had been “magnificent” and estimated over 150 million workers participated in the strike.

The numbers could not be independently confirmed.

The strike – the biggest in India for more than two years – included staff at state-run banks and mines as well as factory, construction and transport workers.

“This strike is a reminder to the government that it must consult the millions of employee [affected] before changing the labour laws,” striking bank worker Amit Khanna said in New Delhi.

Most cities remained peaceful, but clashes between police and activists broke out in the eastern state of West Bengal, which has a long history of union activism.

Television footage showed police baton-charge protesters in state capital Kolkata and drag away women who had staged a sit-in, while protesters threw stones and smashed vehicles.

Banks, shops and other businesses remained closed in the city, stranding commuters and travellers at the main station, while dozens of flag-waving protesters halted suburban trains.

In New Delhi, long queues formed at bus stops on Wednesday, while passengers were stranded at airports as taxis and rickshaws stayed off the streets.

Some protesters forced autorickshaw and taxi drivers off the roads and vandalised their vehicles.

“I told them [protesters] that I am going to the hospital, but these people said ‘there’s a strike today’ and beat me up,” an autorickshaw driver in New Delhi told TV reporters as he stood in front of his damaged yellow and green vehicle.

Mr Modi has promised business-friendly reforms to attract foreign investment and revive Asia’s third-largest economy.

His government wants to simplify India’s myriad of sometimes archaic labour laws, which date back to the British Raj, and create a single code for industry.

Businesses argue that conforming to India’s 44 national and more than 150 state labour laws is not only costly and time-consuming, but has also deterred foreign investors.

The government’s proposals would make it easier for firms with 300 or more workers to fire employees and make it more difficult to create new unions.

Although trade unions agree reforms are overdue, they oppose the bills, saying saying they would leave workers with less job security while the level of legal protection on pay and other conditions would be reduced.

The bills have also come up against opposition in the upper house of parliament where the government does not have a majority.

The unions went ahead with the 24-hour strike after talks with finance minister Arun Jaitley broke down.

Last month they demanded the government improve social security measures and set a national minimum wage of 15,000 rupees (Dh830), up from current state set standards that range from 5,000 to 9,000 rupees.

Those demands are supported by hawkers, domestic workers and daily wage labourers who also joined Wednesday’s strike.

India’s economy grew by a slower than expected 7 per cent in the first quarter of the financial year and experts say reforms are needed to create jobs for millions of young people.

Previous strikes have shut down cities and cost the Indian economy millions of dollars in lost production.

* Agence France-Presse

Euro 2020

Group A: Italy, Switzerland, Wales, Turkey 

Group B: Belgium, Russia, Denmark, Finland

Group C: Netherlands, Ukraine, Austria, 
Georgia/Kosovo/Belarus/North Macedonia

Group D: England, Croatia, Czech Republic, 
Scotland/Israel/Norway/Serbia

Group E: Spain, Poland, Sweden, 
N.Ireland/Bosnia/Slovakia/Ireland

Group F: Germany, France, Portugal, 
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Tests 27, Wickets 87, Average 37.59, Best 5-40

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Who: Real Madrid v Liverpool
Where: NSC Olimpiyskiy Stadium, Kiev, Ukraine
When: Saturday, May 26, 10.45pm (UAE)
TV: Match on BeIN Sports

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Favourite pastime: Family and friends, meditation, discovering new cuisines

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1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

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There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

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Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

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Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

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Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

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Starring: Abdullah Boushehri, Laila Abdallah, Lulwa Almulla

Rating: 3/5

The specs

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Power: 540hp at 6,500rpm

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Kerb weight: 1580kg

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New UK refugee system

 

  • A new “core protection” for refugees moving from permanent to a more basic, temporary protection
  • Shortened leave to remain - refugees will receive 30 months instead of five years
  • A longer path to settlement with no indefinite settled status until a refugee has spent 20 years in Britain
  • To encourage refugees to integrate the government will encourage them to out of the core protection route wherever possible.
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