itions .< ref .</ ref > ▁ ▁Gu jar at ▁In ▁ 2 0 0 4 ▁the ▁State ▁of ▁Gu jar at ▁am ended ▁the ▁Indust rial ▁Dis put es ▁Act ▁to ▁allow ▁greater ▁labour ▁market ▁flex ibility ▁in ▁the ▁Special ▁Ex port ▁Z ones ▁of ▁Gu jar at . ▁The ▁law ▁allows ▁companies ▁within ▁SE Z s ▁to ▁lay ▁off ▁redundant ▁workers , ▁without ▁seeking ▁the ▁permission ▁of ▁the ▁government , ▁by ▁giving ▁a ▁formal ▁notice ▁and ▁sever ance ▁pay . ▁ ▁West ▁Beng al ▁The ▁ ▁West ▁Beng al ▁government ▁re vised ▁its ▁labour ▁laws ▁making ▁it ▁virt ually ▁impossible ▁to ▁shut ▁down ▁a ▁loss - making ▁factory . ▁The ▁West ▁Beng al ▁law ▁applies ▁to ▁all ▁companies ▁within ▁the ▁state ▁that ▁employ ▁ 7 0 ▁or ▁more ▁employees . ▁ ▁International ▁comparison ▁ ▁The ▁table ▁below ▁contrast s ▁the ▁labour ▁laws ▁in ▁India ▁to ▁those ▁in ▁China ▁and ▁United ▁States , ▁as ▁of ▁ 2 0 1 1 . ▁ ▁Many ▁obser vers ▁have ▁argued ▁that ▁India ' s ▁labour ▁laws ▁should ▁be ▁reform ed . ▁▁ ▁The ▁laws ▁have ▁const rained ▁the ▁growth ▁of ▁the ▁formal ▁manufact uring ▁sector . ▁According ▁to ▁a ▁World ▁Bank ▁report ▁in ▁ 2 0 0 8 , ▁heavy ▁reform ▁would ▁be ▁des irable . ▁The ▁executive ▁summary ▁stated , ▁ ▁Ex - Pr ime ▁Minister ▁Man m oh an ▁Singh ▁had ▁said ▁that ▁new ▁labour ▁laws ▁are ▁needed . ▁ ▁In ▁U tt am ▁Nak ate ▁case , ▁the ▁Bomb ay ▁High ▁Court