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Karnataka draft bill proposes 5% disability quota in private sector, fines up to Rs 5 lakh for violations

Karnataka government has released the draft Karnataka Rights of Persons with Disabilities in Employment and Education Bill, 2025. It also mandates that all educational institutions reserve 10 percent of seats in every course for students with disabilities. The government has invited objections and suggestions within 30 days, to be submitted to the Labour Department.

November 24, 2025 / 21:12 IST
CM Siddaramaiah with labour minister Santosh Lad

Karnataka government has released draft Karnataka Rights of Persons with Disabilities in Employment and Education Bill, 2025, proposing a 5 percent reservation for persons with disabilities in private establishments with 20 or more employees. It also mandates that all educational institutions reserve 10 percent of seats in every course for students with disabilities.

Employment and reservation

Private establishments with 20 or more staff must reserve 5 percent of sanctioned posts for persons with disabilities, covering direct recruitment and regularised posts. Employers must distribute reserved posts across disability categories based on a formula prescribed by the State Regulatory Authority. The quota will be implemented in phases, with annual compliance reports mandatory. Unfilled posts may be carried forward for up to three recruitment cycles. Exemptions will be permitted only when essential job functions cannot be performed despite reasonable accommodation.

Also, readKarnataka notifies menstrual leave policy: 12 days of paid leave annually for women employees

Published in the official gazette on November 21, the draft bill aims to strengthen protections in line with the Rights of Persons with Disabilities Act, 2016, and the UN Convention on the Rights of Persons with Disabilities.

Up to Rs 5 lakh fine

Violations may attract penalties ranging from Rs 10,000 to Rs 5 lakh, along with corrective measures and public disclosure of non-compliance. Fraudulent disability claims may draw fines up to Rs 1 lakh and imprisonment up to two years. The government may also provide incentives such as procurement preference and certification for compliant organisations.

The bill prohibits discrimination in recruitment, promotion, training and service conditions. Employers must provide reasonable accommodation such as assistive devices, flexible work arrangements and physical modifications. “If an employer denies accommodation citing undue hardship, reasons must be given in writing and may be reviewed by the proposed State Regulatory Authority. Disability-related information may be disclosed only with informed consent except when required for safety or legal compliance. Employees acquiring disabilities cannot be demoted or terminated and must be reassigned or placed in a supernumerary post”, it said.

Education and accessibility

The draft mandates that all educational institutions reserve 10 percent of seats in every course for students with disabilities. Institutions must ensure reasonable accommodation during admissions, classes and examinations, including extended time, scribes and alternative question papers. They must also provide accessible infrastructure and digital platforms, develop Accessibility and Inclusion Plans within six months and achieve full accessibility within five years. Students with disabilities will receive concessions such as five-year age relaxation and a 5% cut-off relaxation.

Educational loans must be made accessible at concessional rates, with simplified documentation and dedicated facilitators. Unfilled seats may be carried forward for three years.

Regulation, complaints and penalties

A State Regulatory Authority will monitor compliance, conduct audits, issue guidance and publish annual reports, while a State Enforcement Authority will adjudicate complaints and award compensation. Establishments and institutions must appoint trained Grievance Redressal Officers and provide multiple accessible complaint channels.

The government has invited objections and suggestions within 30 days of publication, addressed to the principal secretary, Labour Department, Vikasa Soudha, Bengaluru.

Also, readKarnataka domestic worker’s draft bill proposes 5% welfare fee, 48-hour work week, fines up to Rs 50,000; seeks public suggestions

Christin Mathew Philip
Christin Mathew Philip is a Senior Assistant Editor at Moneycontrol.com with 15 years of experience in journalism and a recipient of the Ramnath Goenka Excellence in Journalism Award. Based in Bengaluru, he understands the pulse of the people and covers issues that matter, including mobility, infrastructure, start-ups, and government policies. He tweets at @ChristinMP_
first published: Nov 24, 2025 09:11 pm

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