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UPSC CURRENT AFFAIRS – 18 July 2024

Kartavya Desk Staff

UPSC CURRENT AFFAIRS – 18 July 2024 covers important current affairs of the day, their backward linkages, their relevance for Prelims exam and MCQs on main articles

InstaLinks : Insta Links help you think beyond the current affairs issue and help you think multidimensionally to develop depth in your understanding of these issues. These linkages provided in this ‘hint’ format help you frame possible questions in your mind that might arise(or an examiner might imagine) from each current event. InstaLinks also connect every issue to their static or theoretical background.

Table of Contents

GS Paper 2: (UPSC CURRENT AFFAIRS – 18 July 2024)

The Karnataka State Employment of Local Candidates in Industries, Factories, and Other Establishments Bill, 2024

The Karnataka State Employment of Local Candidates in Industries, Factories, and Other Establishments Bill, 2024

SC Agrees to List Petitions on Money Bill Route

SC Agrees to List Petitions on Money Bill Route

GS Paper 3:

Challenges in implementing National Quantum Mission

Challenges in implementing National Quantum Mission

Facts for Prelims (FFP)

ASMITA (Augmenting Study Materials in Indian Languages through Translation and Academic Writing)

ASMITA (Augmenting Study Materials in Indian Languages through Translation and Academic Writing)

Inverse ETF

Inverse ETF

Coalition of Epidemic Preparedness Innovations (CEPI)

Coalition of Epidemic Preparedness Innovations (CEPI)

Mapping:

Rwanda

Rwanda

Ivory Coast

Ivory Coast

UPSC CURRENT AFFAIRS – 18 July 2024

#### GS Paper 2:

The Karnataka State Employment of Local Candidates in Industries, Factories, and Other Establishments Bill, 2024

Syllabus: Government Policies and Interventions

Source: HT, BS

Context: The Karnataka State Employment of Local Candidates in Industries, Factories, and Other Establishments Bill, 2024 has sparked controversy since its cabinet approval on July 15, 2024.

Provisions of Karnataka Employment Bill, 2024:

Provisions | Details

Reservation Percentages | 50% of management jobs and 70% of non-management jobs must be reserved for local residents.

Definition of ‘Local Candidate’ | Must be born in Karnataka and domiciled there for 15 years

Capable of speaking, reading, and writing Kannada.

Secondary school certification in Kannada or passing a proficiency test conducted by the Nodal Agency.

Relaxation Clause | Industries lacking sufficient local candidates can apply for relaxation, however, reservations for locals must be:

Not less than 25% for management roles.

Not less than 50% for non-management roles.

Penalties for Non-compliance | Rs. 10,000 to Rs. 25,000 penalty for violations. Daily penalty for continued non-compliance

Compliance Reporting | Companies must report compliance to the nodal agency.

Previous cases of similar bills in other states: Earlier, several states such as Haryana, Andhra Pradesh etc. have enacted similar legislation to ensure reservation for locals in the private sector. The Act enacted by Haryana was declared unconstitutional by the Punjab and Haryana High Court as it violated Part III (Fundamental rights) and the constitutional morality principle.

Why states are pushing for local Reservations in the Private Sector?

Job Creation: The private sector is the largest source of employment, making reservation a tool for social justice.

Son of Soil: There’s a belief that jobs created within a state should prioritize its residents.

Government Support: Given benefits like tax breaks and loans, the private sector can be encouraged to adopt affirmative action policies.

Socio-economic Development: To promote socio-economic development by ensuring locals benefit from local industries.

Cultural and Language Preservation: To preserve local culture and language by promoting employment of people who are familiar with local customs and languages.

Political Considerations: To fulfil political promises and aspirations of local populations.

Addressing Migration: To mitigate the need for migration of local talent to other states in search of job opportunities.

Balanced Regional Development: To promote balanced regional development by encouraging local industries to hire from the local workforce.

Supporting Local Businesses: To support local businesses and industries by ensuring a skilled local workforce is available.

Reducing Dependency: To reduce dependency on non-local or migrant labour and encourage self-sufficiency in employment.

Issues with the local Reservation in Private sector:

Cons | Explanation

Can Trigger Exodus of Investors | Local job reservations may lead to an exodus of domestic and multinational investors, especially in sectors like auto and IT that rely on highly skilled manpower.

E.g., Haryana witnessed a 30% drop in investment in 2022 due to the local reservation law, impacting its ranking among states in terms of new investment projects.

Affect Existing Industries | The focus on the “son of the soil” and restrictions on the free movement of manpower can adversely affect existing industries in the state.

Extreme Talent Crunch | Imposing reservations on gig and platform companies may result in a severe talent crunch, affecting the availability of skilled individuals.

Constitutional and Legal Issues | It is beyond the power of states to create domicile as a condition for employment as the constitution provides this provision for public employment and only parliament is empowered to make such laws under Article 16(3)

75% reservation also goes beyond the reservation ceiling of 50%

Public Employment (Requirement as to Residence) Act, 1957 abolished Residence as a criterion for a job. A few exceptions were made for Andhra Pradesh, Manipur, Tripura, and Himachal Pradesh.

Violation of Article 19: Previously, the Punjab High Court had criticized the reservation in private sector law for imposing excessive control on private employers, creating an “Inspector Raj,” and impairing individuals’ rights under Article 19(1)(g) of the Constitution.

Private jobs are skill-based and analytical, and citizens have the fundamental right to work anywhere in India.

Promotes Regionalism | Local job reservation policies pose threats to unity in diversity, potentially creating local vs. non-local divisions.

Undermines Merite system | They undermine the merit system, affect economic efficiency, and may lead to a shortage of qualified workers, impacting economic development.

Promotes Vote Bank Politics among states

What does the Constitution Say?

The Constitution of India guarantees freedom of movement and consequently employment within India through several provisions.

Article 14provides for equality before the law irrespective of place of birth.

Article 15guards against discrimination based on place of birth.

Article 16guarantees no birthplace-based discrimination in public employment.

Article 19ensures that citizens can move freely throughout the territory of India.

Judicial Pronouncements:

Legal Cases | Key Points

Dr Pradeep Jain v Union of India, 1984 | Legislation for “sons of the soil” deemed unconstitutional

Sunanda Reddy v State of Andhra Pradesh, 1995 | Supreme Court affirmed the unconstitutionality of a state policy giving 5% extra weightage based on the medium of instruction.

2002 Rajasthan Case | Supreme Court invalidated the appointment of government teachers in Rajasthan, which favoured applicants from specific districts or rural areas.

2019 UP-Subordinate Service Selection Commission Case | Allahabad High Court struck down a UP recruitment notification that preferred women who are “original residents” of Uttar Pradesh alone.

2023 | The Punjab and Haryana High Court invalidated a 2020 Haryana government law that reserved 75% of private-sector jobs for state residents.

Conclusion:

What is more important for states is to focus on skill training (capacity building of Youths), economic recovery and education to provide ample job opportunities, fostering competition in the free market. While local reservations may offer short-term gains, they could hinder long-term economic development and national unity.

Insta Links:

Haryana private sector quota law

Prelims Links:

Consider the following statements : (UPSC 2023)

Statement-I : The Supreme Court of India has held in some judgements .that the reservation policies made under Article 16(4) of the Constitution of India would be limited by Article 335 for maintenance of efficiency of administration.

Statement-II : Article 335 of the Constitution of India defmes the term ‘efficiency of administration’.

Which one of the following is correct in respect of the above statements?

(a) Both Statement-I and Statement-II are correct and Statement-II is the correct explanation for Statement-I (b) Both Statement-I and Statement-II are correct and Statement-II is not the correct explanation for Statement-I (c) Statement-I is correct but Statement-II is incorrect (d) Statement-I is incorrect but Statement-II is correct

SC Agrees to List Petitions on Money Bill Route

Syllabus: Government Policies and Intervention, Judiciary

Source: TH

Context: Chief Justice of India D.Y. Chandrachud agreed to list petitions challenging the Money Bill route taken by the Centre. This issue was referred to a seven-judge Bench in 2019 by a five-judge Bench led by Chief Justice Ranjan Gogoi.

Money Bills and Financial Bills:

Any bill related to revenue or expenditure is a Financial Bill.

A Money Bill is a specific type of Finance Bill that deals only with matters specified under Article 110(1) and deals with taxes, borrowing, expenditure, etc. It can only be introduced in the Lok Sabha and must be certified by the Speaker.

All Money bills are Financial bills but all Financial bills are not Money bills

About Article 110:

Article 110(1): A Bill is deemed to be a Money Bill if it deals only with matters specified in Article 110(1)(a) to (g) — taxation, borrowing by the government, and appropriation of money from the Consolidated Fund of India, among others.

Article 110(1)(g): Adds that “any matter incidental to any of the matters specified in Articles 110(1)(a)-(f)” can also be a Money Bill.

Article 110(3): “If any question arises whether a Bill is a Money Bill or not, the decision of the Speaker of the House of the People thereon shall be final.

For a comparison between Money and Finance Bills: Click Here

Recent controversies regarding Money Bill:

Controversies | Details

Circumventing the Rajya Sabha | Passing contentious amendments as a Money Bill allows the government to bypass the Rajya Sabha, undermining the bicameral nature of Parliament.

Reduced Legislative Scrutiny | The Rajya Sabha’s bypass reduces opportunities for comprehensive debate and oversight, diminishing additional scrutiny.

Violation of Article 110 | Concerns exist that certain amendments labelled as Money Bills do not adhere strictly to Article 110, which specifies what constitutes a Money Bill.

Speaker’s Certification | The Speaker of the Lok Sabha certifies a bill as a Money Bill under Article 110, a decision not subject to judicial review, raising concerns about potential misuse to circumvent legislative processes.

Aadhaar Act Controversy | The Aadhaar Act, 2016, classified as a Money Bill, sparked controversy. The Supreme Court upheld its constitutionality, but Justice Chandrachud dissented, calling it an “abuse of the constitutional process”.

Finance Act, 2017 Concerns | The Finance Act, 2017 included amendments unrelated to Article 110 subjects. A five-judge Bench referred the Money Bill aspect to a larger seven-judge Bench in 2019.

PMLA Amendments | Amendments to the PMLA passed as Money Bills gave the Enforcement Directorate extensive powers. The Supreme Court upheld these amendments’ legality but left the Money Bill question to the seven-judge Bench.

Limited Role of Rajya Sabha | Classification as a Money Bill restricts the Rajya Sabha to only recommending changes, without the power to amend or reject the bill.

Potential consequences of misclassifying Money Bills:

Undermining Bicameralism: Example: The Finance Act of 2017 altered appointments to key judicial tribunals without Rajya Sabha input.

Erosion of Checks and Balances: Example: Amendments to the Prevention of Money Laundering Act (PMLA) were passed, granting broad powers to the Enforcement Directorate.

Constitutional Violations: Misclassification may breach Article 110 of the Constitution, which defines Money Bills’ scope.

Concentration of Executive Power: Example: The Finance Act of 2017 potentially extended executive control over judicial tribunals by altering selection committee compositions.

Political Manipulation: Encourages the ruling party to misuse the Money Bill route to pass controversial laws without sufficient opposition debate. Example: Critics argue that contentious amendments are dressed up as Money Bills to avoid Rajya Sabha rejection.

Example: Critics argue that contentious amendments are dressed up as Money Bills to avoid Rajya Sabha rejection.

Conclusion:

Misclassifying Money Bills undermines legislative scrutiny and leads to executive overreach, emphasizing the need for strict adherence to legislative processes to maintain the integrity of governance.

Insta Links:

What are money Bills?

Mains links:

How does a money bill differ from a financial Bill? Analyze whether the process of classifying a bill as a money bill needs to change. (250 words)

Prelims Link:

Q1. Regarding the Money Bill, which of the following statements is not correct? (UPSC 2018)

(a) A bill shall be deemed to be a Money Bill if it contains only provisions relating to the imposition, abolition, remission, alteration or regulation of any tax.

(b) A Money Bill has provisions for the custody of the Consolidated Fund of India or the Contingency Fund of India.

(c) A Money Bill is concerned with the appropriation of money out of the Contingency Fund of India.

(d) A Money Bill deals with the regulation of borrowing of money or giving of any guarantee by the Government of India.

Ans: (c)

Q2. What will follow if a Money Bill is substantially amended by the Rajya Sabha? (UPSC 2013)

(a) The Lok Sabha may still proceed with the Bill, accepting or not accepting the recommendations of the Rajya Sabha.

(b) The Lok Sabha cannot consider the Bill further.

(c) The Lok Sabha may send the Bill to the Rajya Sabha for reconsideration.

(d) The President may call a joint sitting to pass the Bill.

Ans: (a)

#### UPSC CURRENT AFFAIRS – 18 July 2024 GS Paper 3:

Challenges in implementing National Quantum Mission

Syllabus: Science and Technology: Quantum computing

Context: A new report, surveying the existing capabilities of India in the field of Quantum technology, has found that countries like China and the United States have a huge head start over India.

What is Quantum Computing?

Quantum computing is a new way of computing that uses the principles of quantum mechanics to perform calculations. In traditional computing, data is processed using bits, which are either a 0 or a 1. But in quantum computing, the data is processed using quantum bits or qubits, which can be both a 0 and a 1 at the same time. This property of qubits is called superposition, which allows for multiple calculations to be performed simultaneously, making quantum computing exponentially faster than traditional computing for certain types of problems.

Applications of Quantum Technology:

Higher Problem-solving Capabilities: Solves complex problems in cryptography, optimization, materials science, and drug discovery.

Enhanced AI Models: Improves machine learning algorithms for more efficient and accurate AI applications.

Optimization: Optimizes complex processes like supply-chain management and financial portfolio optimization.

Secure Communication: Enables ultrasecure communication with quantum encryption, preventing hackers from intercepting information.

New Medicines: Simulates complex molecular interactions to discover and optimize new drugs.

What is the National Quantum Mission?

The National Quantum Mission, launched in 2023 with a budget of over Rs. 6,003 crore for 2023-2031, aims to bolster India’s capabilities in this cutting-edge field.

Importance of National Quantum Mission

Significance | Details

Economic Growth and Job Creation | Expected to contribute $280-310 billion to the economy by 2030 and spur job creation in research, development, and manufacturing of quantum technologies.

Boost to Industries | Enhances the industrial ecosystem across sectors like aerospace, weather prediction, cybersecurity, advanced manufacturing, health, agriculture, and education.

Solving difficult Problems | Aids in finding solutions for issues like clean energy and affordable healthcare.

Improvement of Security Infrastructure | Secures communication and financial transactions through Quantum Key Distribution.

Complement Socio-economic Development | Supports initiatives like Digital India, Make in India, and Sustainable Development Goals.

Challenges for India in Implementing the National Quantum Mission:

Funding Disparity: India’s investment of $0.75 billion pales in comparison to China’s $15 billion and the US’s nearly $4 billion.

Research Output: India lags behind in publishing quantum research papers. Between 2000 and 2018, Indian researchers published 1,711 papers, compared to 12,110 in China and 13,489 in the US.

Patent Registrations: Indian researchers registered only 339 quantum-related patents between 2015 and 2020, while China registered 23,335 and the US 8,935.

Talent Pool: In 2018, India had 253 researchers per million people, roughly 11% of the researcher density of Italy.

Technological Dependence: India is still heavily reliant on developed countries for cutting-edge technology in the field of quantum technology.

Few Firms in Tech Manufacturing: Only about 3% of deep tech start-ups in India are involved in manufacturing or materials related to quantum technologies.

Way forward:

Increase funding for quantum R&D.

Enhance research output through grants and collaborations.

Boost patent activity with incentives and IP protection.

• Develop talent through scholarships and dedicated programs.

• Foster collaboration between academia, industry, and government.

• Prioritize key domains: computing, communications, sensors, and materials.

Engage public-private partnerships for scaling quantum technologies.

• Ensure global competitiveness by leading in quantum research areas.

Insta Links:

Quantum Computing

Mains Links:

What is quantum computing? Explain its applications and steps taken by India to promote quantum technologies in the country. (250 words)

#### UPSC CURRENT AFFAIRS – 18 July 2024 Facts for Prelims (FFP):

ASMITA (Augmenting Study Materials in Indian Languages through Translation and Academic Writing)

Source: TH

Context: The Ministry of Education and the University Grants Commission (UGC) launched the ASMITA project to develop 22,000 books in Indian languages over the next five years.

• This initiative, in collaboration with the Bharatiya Bhasha Samiti, aims to promote Indian languages in education.

• The project includes three key components: ASMITA, Bahubhasha Shabdkosh, and Real-time Translation Architecture.

• These initiatives are expected to enhance learning in Indian languages, empower students, and preserve linguistic traditions, aligning with the National Education Policy (NEP).

Thirteen nodal universities will lead the project, with a standard operating procedure (SOP) guiding the book-writing process.

Inverse ETF

Source: ET

Context: Sebi’s new asset class proposal for high-risk investors is expected to provide access to advanced strategies like long-short equity funds and inverse ETFs

What is an ETF?

An Exchange-Traded Fund (ETF) is a type of investment fund that holds a collection of assets like stocks, bonds, or commodities and is traded on stock exchanges, much like individual stocks. ETFs offer investors a way to diversify their portfolios with a single investment and are known for their lower fees and ease of trading.

What is an Inverse ETF?

An Inverse ETF is designed to provide returns that move in the opposite direction of a specific index or benchmark. If the underlying index declines in value, the Inverse ETF aims to increase in value by the same percentage, effectively allowing investors to profit from a market downturn.

  • Source: TH*

Context: Scientists have developed a detailed genetic profile of the Last Universal Common Ancestor (LUCA), a single-cell, bacterium-like organism that lived around four billion years ago.

• LUCA is believed to have resided in deep sea vents, supported by evidence from 355 genes linked to extreme environments.

• LUCA is believed to have lived around 4.2 billion years ago, based on a study using a molecular clock to estimate evolutionary timelines.

Coalition of Epidemic Preparedness Innovations (CEPI)

Source: PIB

Context: Asia’s first “Pre-clinical Network Facility” under the Coalition of Epidemic Preparedness Innovations (CEPI) at the Translational Health Science & Technology Institute (THSTI) was inaugurated recently.

• This facility, capable of handling BSL3 pathogens, becomes the 9th such lab globally and the first in Asia, enhancing research capabilities for infectious diseases.

• The Genetically Defined Human Associated Microbial Culture Collection (Ge-HuMic) Facility was also inaugurated which will serve as a repository for microbial cultures and genetically characterized animals, fostering collaborations among academic institutions, hospitals, and industry for R&D.

Tags: GS3, Science, Coalition of Epidemic Preparedness Innovations (CEPI)

#### UPSC CURRENT AFFAIRS – 18 July 2024 Mapping::

Rwanda

Source: TH

Context: Rwandan President Paul Kagame has won a fourth term, securing 99.15% of the vote according to partial results from the recent election.

About Rwanda:

Rwanda is a landlocked country located in East-Central Africa.

Rwanda is bordered by Uganda to the north, Tanzania to the east, Burundi to the south, and the Democratic Republic of the Congo to the west. The country is known as the “Land of a Thousand Hills” due to its hilly and mountainous terrain.

Ivory Coast

  • Source: TH*

Context: Ivory Coast became the first country to roll out the newest malaria vaccine, R21/Matrix-M, targeting about 250,000 children under the age of two.

• Developed by Oxford University and authorized by the World Health Organization (WHO) this three-dose vaccine is over 75% effective in preventing severe disease and death in the first year, with extended protection through a booster.

About Ivory Coast:

Côte d’Ivoire, commonly known as Ivory Coast, is a country located on the southern coast of West Africa.

Location: Bordered by Guinea and Liberia to the west, Mali and Burkina Faso to the north, Ghana to the east, and the Atlantic Ocean to the south.

• Capital: Yamoussoukro (political capital); Abidjan (economic capital and largest city).

UPSC CURRENT AFFAIRS – 18 July 2024 [PDF]

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