Choose the given statement is true/false:

Flexibility in labour laws would hinder production.

see full answer

Your Exam Success, Personally Taken Care Of

1:1 expert mentors customize learning to your strength and weaknesses – so you score higher in school , IIT JEE and NEET entrance exams.

An Intiative by Sri Chaitanya

True

False

answer is B.

(Unlock A.I Detailed Solution for FREE)

Best Courses for You

JEE

NEET

Foundation JEE

Foundation NEET

CBSE

Detailed Solution

The given statement is false.
As competition intensifies worldwide, companies look to reduce production costs to remain competitive. The intense competition forces them to give consumers more utility concerning the product's price. More value for money can only be provided if production costs are cut down. A high company cost includes the salaries to pay employees and expenses for employee benefits. Companies can solve this by hiring workers on a temporary and contractual basis, after which they can be let go during the off-season, but this is not allowed legally due to labour laws. Flexibility in labour laws enables companies to take these cost-cutting steps to provide more value-for-money products to consumers without affecting production processes.
The correct statement would be flexibility in labour laws would help production.

Watch 3-min video & get full concept clarity