Not just lateral entry: Other big reversals by Modi government in the past

Prime Minister Narendra Modi believes that the 'move should be aligned with social justice', Union Minister Jitender Singh wrote in a letter to the UPSC chief.

Union minister Jitendra Singh on August 20 wrote to the Union Public Service Commission (UPSC) to withdraw its advertisement that invited applications for lateral entry into mid-level positions in central ministries, rolling back the decision within three days.

The advertisement was for filling 45 posts of joint secretaries, directors and deputy secretaries across 24 ministries on a contract basis. The positions were to be filled by September 17.

In his letter, Singh, who is in charge of the department of personnel and training (DoPT), said Prime Minister Narendra Modi had stressed that the “process of lateral entry must be aligned with the principles of equity and social justice enshrined in our Constitution, particularly concerning the provisions of reservation”.

The Opposition slammed the government’s lateral entry move as “anti-quota”, with Congress MP and leader of the opposition Rahul Gandhi leading the charge. The BJP’s NDA allies, the Janata Dal (United) and the Lok Janshakti Party (Ram Vilas), too, opposed the move, forcing the government to walk back the decision.

This is not the first time the Modi government has been forced to revisit or shelve a decision since being voted to power for the first time in 2014. Here are some prominent examples:

Land bill amendments

In 2015, a year after the BJP swept to power, the government accepted the demand to revisit the land acquisition law. It rolled back six controversial amendments to the Land Acquisition (Amendment) Bill, 2015, including those on social impact assessment and consent clauses.

Farm laws

The three farm laws, which saw protests by farmers for over a year who virtually laid siege to Delhi, were withdrawn in 2021. Prime Minister Narendra Modi on November 19, 2021, in an address to the nation announced the withdrawal of the Farmers’ Produce Trade and Commerce (Promotion and Facilitation) Act, 2020, Essential Commodities (Amendment) Act, 2020 and Farmers (Empowerment and Protection) Agreement on Price Assurance and Farm Services Act, 2020. The Shiromani Akali Dal, one of the BJP’s oldest allies and a founding member of the NDA, walked out of the alliance over the farm laws. Farmers had opposed the laws, saying it would end the minimum support price regime and leave them at the mercy of big corporations.

Data Protection Bill

A year after it scrapped the farm laws, the Centre in 2022 withdrew the Data Protection Bill (PDP), first proposed in 2019. Union minister Ashwini Vaishnaw said the Centre took the decision as a parliamentary panel's review of the bill had suggested 81 amendments, leading to the need for a new "comprehensive legal framework".

In 2023, the Centre came out with the Digital Personal Data Protection (DPDP) Bill, which was approved by Parliament on August 9. The rules for the Digital Personal Data Protection Act, 2023, will be released within a month, information technology minister Ashwini Vaishnaw said on August 19.

Indexation benefits restored

The government had to revisit the Budget proposal that removed indexation benefits on real estate. Finance Minister Nirmala Sitharaman announced the withdrawal of indexation benefits from real estate and lowered the long-term capital gains (LTCG) tax from 20 percent to 12.5 percent in the Budget presented on July 23. The proposal didn’t go down well with homebuyers as well as the real estate sector who demanded a rethink.

On August 6, the Centre allowed homeowners to choose between paying a 20 percent LTCG tax with an indexation benefit or a 12.5 percent rate without indexation for properties bought before July 23, 2024. However, owners who bought the property on July 23 or after have to follow the new tax regime.

Restricting laptop, PC imports

Around this time in 2023, the Centre junked its policy that aimed to restrict the import of laptops and personal computers (PC). The policy required companies such as Apple, Dell and HP to obtain licences for shipping laptops, tablets, PCs and servers. The move, aimed at addressing potential security issues and safeguarding sensitive data, triggered fears of a slowdown in sales for manufacturers based abroad.

The decision to roll back the new norms came after the US, Taiwan and South Korea raised concerns about India’s move to restrict imports at the World Trade Organisation Committee on Market Access meeting.

According to reports, the Centre has also put the controversial broadcast bill on hold with plans to undertake a fresh round of consultations. The draft bill triggered fears of greater government control over online content.