Nara Lokesh, Andhra Pradesh’s Minister for Information Technology and Electronics, has seized an opportunity amid the backlash against Karnataka’s proposed new legislation by inviting investors to consider Andhra Pradesh for their business ventures on July 17.
Dear @NASSCOM members,
We understand your disappointment. We welcome you to expand or relocate your businesses to our IT, IT services, AI and data center cluster at Vizag.
We will offer you best-in-class facilities, uninterrupted power, infrastructure and the most suitable… https://t.co/x2N0CTbnfp
— Lokesh Nara (@naralokesh) July 17, 2024
Karnataka’s proposed Karnataka State Employment Bill 2024 mandates that private enterprises reserve a significant portion of their jobs for local candidates. Specifically, it requires 50 per cent of management positions and 75 per cent of non-management roles to be filled by individuals born in Karnataka who have resided in the state for at least 15 years or are proficient in Kannada. This move has sparked significant concerns among industry leaders, including NASSCOM, the apex body for India’s technology industry.
Following the significant backlash from all sides, the Karnataka government has put the proposed bill on hold. The Karnataka State Employment Bill 2024 was initially set to be tabled in the Legislative Assembly on July 18, 2024.
As Karnataka’s industry sector raises objections and warns of serious consequences, Andhra Pradesh is positioning itself as a favourable destination for businesses looking for a supportive and unrestricted environment.
NASSCOM has expressed strong objections, highlighting the potential negative impact on the state’s economic growth and its attractiveness to skilled talent. In its statement, NASSCOM urged the Karnataka government to reconsider the legislation, emphasising that “in today’s highly competitive landscape, knowledge-led businesses will locate where talent is, as attracting skilled workers is crucial for success.”
nasscom statement on Karnataka State Employment of Local Industries Factories Establishment Act Bill, 2024@debjani_ghosh_ @sangeetagupta29 @SrikanthNasscom @AA_speaks @NasscomPolicy @nasscomstartups @nasscomdeeptech @nasscom_member_ pic.twitter.com/9LDkRz7x2z
— nasscom (@nasscom) July 17, 2024
In a swift response to the unrest, Lokesh took to Twitter, now known as ‘X’, to offer a welcoming alternative to investors. “We understand your disappointment. We welcome you to expand or relocate your business to our IT, IT services, Artificial Intelligence (AI), and data center in Visakhapatnam,” Lokesh stated.
Lokesh emphasised that Andhra Pradesh is ready to provide best-in-class facilities, uninterrupted power supply, robust infrastructure, and a skilled talent pool with no government-imposed restrictions. Retweeting NASSCOM’s concerns, Lokesh reiterated his state’s readiness to welcome all investors and invited them to contact him directly.
“The newly formed TDP Government in Andhra Pradesh sees this as a pivotal opportunity to attract businesses and investors,” Lokesh said, inviting companies to either expand their ventures in Andhra Pradesh or relocate entirely.
