labels: it news
Kerala initiative to attract IT firmsnews
James Paul
09 November 2001

Kochi: A new labour dispensation for information technology (IT) companies, huge financial incentives for companies that invest over Rs 100 crore and customised investment package for reputed companies will form part of a new drive to attract major IT companies into the state, Kerala IT secretary Aruna Sundararajan said."We have finalised a very competitive package of incentives in the proposed IT policy to catapult the states IT sector ahead of other states," she told delegates while inaugurating a conference on e-Advantage Kerala: Redefining IT growth in the state," organised here by the Confederation of Indian Industry (CII).

As per the new labour dispensation proposed under the IT policy, there will be flexible working hours for companies in the sector and women will be allowed to work during the third shift. "IT companies have certain special requirements and the new labour dispensation is framed to take into consideration this aspect," she said. Also, IT companies will be categorised as public utility services to protect them from labour strife.

To attract top 25 IT companies to invest in the state, a customised investment package will also be framed, based on companies requirements, she said. "A high-level delegation led by IT Minister P K Kunhalikutty has already visited the offices of Infosys, IBM, Microsoft and others to make them aware of the immense potential the state has to offer in the IT sector."

Sundararajan said an early bird scheme has also been finalised, whereby special incentives will be given to the first few companies that invest over Rs 100 crore in the states IT sector. These incentives will be explicitly linked to employment creation. Stating that Kerala has immense potential in the area of e-services, the IT secretary said Kerala should orient itself to tap the possibilities of e-services in the tourism, health and education sectors.

"The e-services in the tourism and health sector can be leveraged to the maximum. Kerala also has huge advantages in e-education and for creation of content for digital media," she said. "The government has concrete plans to make Kerala a 100-per cent digital state."

Proposing a vote of thanks, Soft Systems MD and convenor of CIIs IT panel Achamma Joseph said though the state failed to utilise the potential of the IT sector, most of the employees working in IT companies outside the state are Malayalees. "Earlier it was difficult to attract these IT professionals back to Kerala, but now after the recession, many software employees are ready to work in Kerala."

 


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Kerala initiative to attract IT firms