08 April 2025 The Hindu Editorial
What to Read in The Hindu Editorial( Topic and Syllabus wise)
Editorial 1: India’s aviation arbitration cases will still fly off overseas
Context
Arbitration reform is integral to completing the Bharatiya Vayuyan Adhiniyam, 2024.
Introduction
In 1934, under British rule, India’s skies were governed by the Aircraft Act—created to control, not grow aviation. It restricted public access to air travel and couldn’t adapt to rising technology, passenger demand, or private players. Despite India’s booming aviation sector today, its legal framework remains rooted in a colonial past, lacking modern relevance and flexibility.
India’s Aviation Sector: From Colonial Laws to Modern Reforms – and the Road Ahead
- Legal inertia caused major problems for India’s aviation industry:
- Private and public airlines faced bureaucratic delays, limiting their growth.
- New ventures struggled due to a complex licensing system.
- Air traffic management remained inefficient.
- Basic issues like passenger compensation for delays or cancellations were not properly handled.
- These challenges made it clear that the Aircraft Act of 1934 was outdated and unsuitable for a rapidly evolving aviation sector.
- In 2024, India introduced the Bharatiya Vayuyan Adhiniyam, 2024, a landmark reform replacing the colonial-era Act.
- It marks a new beginning, aiming to make Indian aviation more modern, efficient, and globally competitive.
- However, one critical question remains, Will the new reforms also upgrade arbitration mechanisms to global standards?
- If not, commercial aviation disputes may continue to be resolved in Singapore, London, or Paris, instead of in India—posing a risk to India's ambition of becoming a global aviation hub.
What the Bharatiya Vayuyan Adhiniyam, 2024 Brings
- A modern update to India’s aviation laws, replacing the outdated Aircraft Act of 1934.
- Simplifies licensing for airlines and aviation businesses.
- Tackles inefficiencies in air traffic management, making skies safer and smoother.
- Improves passenger rights:
- Clearer compensation rules for flight delays and cancellations.
- Aims to make India a global aviation leader.
What’s Missing: Aviation Arbitration
Even with these reforms, one major area is left behind — arbitration.
|
Issue |
Current Situation |
Problem |
|
Arbitration laws |
Governed by the Arbitration and Conciliation Act, 1996 |
Does not address aviation-specific issues |
|
Nature of disputes |
Often involve technical, cross-border, or treaty-based matters |
Needs specialised expertise |
|
Arbitration venues |
Global hubs like Singapore, London, Paris are preferred |
India is overlooked due to lack of credibility and expertise |
Why This Matters
- Aviation disputes often cover:
- Airline contracts
- Aircraft leasing
- Safety standards
- Cross-border operations
- India lacks specialised arbitration centres and expert arbitrators for such complex topics.
- Without reform, India will continue to lose important aviation cases to international forums.
What India Needs Next
- Set up dedicated aviation arbitration centres.
- Train and appoint expert arbitrators in aviation law.
- Align arbitration practices with global standards.
- Build international confidence in India’s dispute resolution system.
Current Challenges in India’s Arbitration Ecosystem
- Despite institutional efforts, India has not become a major player in international arbitration.
- The Singapore International Arbitration Centre (SIAC) handles ~90% of Indian corporate arbitration cases.
- This highlights India's:
- Lack of specialised arbitration infrastructure.
- Absence of sector-specific institutional support (e.g., aviation).
- Generic arbitration frameworks are insufficient for complex sectors like aviation.
- Result: Aviation arbitration cases continue to be handled abroad.
Key Gaps in India’s Arbitration Ecosystem
|
Area |
Issues |
|
Institutional Support |
Existing centres lack global competitiveness and sectoral specialisation. |
|
Sectoral Infrastructure |
No dedicated frameworks for sectors like aviation. |
|
Human Resources |
Shortage of experts in aviation law and technology. |
|
International Perception |
Seen as lacking capability to manage high-stakes disputes. |
|
Legal Environment |
Excessive judicial and executive interference in arbitration awards. |
|
Arbitrator Neutrality |
Lack of transparent and independent appointment mechanisms. |
Need for a Specialised Aviation Arbitration Framework
- To emerge as a global aviation leader, India must:
- Develop specialised arbitration institutions for aviation.
- Establish expert panels in:
- Aviation law
- Aviation technology
- International treaties
- Move beyond a generic dispute resolution system.
Global Models to Learn From
|
Jurisdiction |
Best Practices |
|
Singapore |
Specialised arbitration panels; global credibility. |
|
United Kingdom |
Robust legal system with minimal state interference. |
- India should replicate successful practices:
- Create sector-specific arbitration panels.
- Provide incentives for private sector and legal industry participation.
- Encourage law schools to specialise in aviation and arbitration law.
Impact of Arbitration Exodus
- Economic Losses: Loss of revenue for Indian arbitrators, law firms, and institutions.
- Policy Failure:
- Undermines India’s global reputation.
- Deters foreign investors and aviation companies.
- Signal of Weak Confidence: Indicates lack of preparedness for high-stakes disputes.
Recommendations for Reform
|
Reform Area |
Recommendations |
|
Institutional Development |
Establish aviation-specific arbitration institutions and expert panels. |
|
Legal Reforms |
Reduce judicial and executive interference in arbitration outcomes. |
|
Arbitrator Appointments |
Ensure appointments are neutral, either by mutual agreement or independent bodies. |
|
Legal Education |
Equip law schools to produce specialists in aviation arbitration. |
|
Investor Confidence |
Build a stable, predictable arbitration environment to attract global players. |
Way forward: Key areas to focus on
- India needs to focus on neutrality, transparency, and strong institutions in dispute resolution.
- It should adopt global best practices and remove any rules that seem biased.
- The Bharatiya Vayuyan Adhiniyam 2024 is a major move forward but not enough without arbitration reforms.
- The Arbitration and Conciliation Act, 1996 offers a broad structure, but aviation disputes need expert handling.
Conclusion
Unless India creates a proper system for handling aviation-related disputes—with trained arbitrators, special institutions, and international trust—these disputes will continue to be settled in other countries. This could also drive away potential investments. The time to make these changes is now.
Editorial 2: Shaping a future-ready workforce
Context
The Future of Jobs Report 2025 by the World Economic Forum and the QS World Future Skills Index highlight the urgent need to match education plans with the changing needs of the global economy.
Introduction
The World Economic Forum’s Future of Jobs Report 2025 and the QS World Future Skills Index give important insights into the current state of India’s workforce and how prepared it is for the future. These reports act as a guidefor the government and universities to address key challenges and build a future-ready workforce. They also highlight the urgent need to align education strategies with the rapidly changing global economy.
Key Global Job Market Trends by 2030 (Based on the Future of Jobs Report)
- The global labour market is being reshaped by:
- Technological advancements
- Demographic changes
- Geo-economic fragmentation
- Economic uncertainties
- The green transition
- Technology and digital access:
- Seen as major drivers of change by 60% of employers.
- Economic factors (like job loss and shifting industries):
- Expected to affect 50% of employers.
- Climate change:
- Creates new jobs in renewable energy and environmental sectors.
- Forces businesses to adapt due to global tensions.
Labour Market Forecast by 2030
|
Category |
Projection |
|
New jobs created |
170 million |
|
Jobs displaced |
92 million |
How Employers Are Responding
- Focus on:
- Workforce training
- Higher wages
- Employee well-being
- Skills training needs:
- 59 out of 100 workers will need reskilling in:
- Analytical thinking
- Resilience
- Tech literacy
- 59 out of 100 workers will need reskilling in:
- In-demand roles:
- Big Data specialists
- AI engineers
- Soft skills are becoming equally important:
- Emotional intelligence
- Adaptability
- Leadership
Role of Educational Institutions
- Must prepare students for a fast-changing job market
- Need to offer:
- Technical training
- Cognitive skill development
- Soft skills integration in learning
India's Position – QS World Future Skills Index
|
Category |
India's Score/Rank |
|
AI and Green Skills Preparedness |
2nd globally |
|
Future of Work (identifying skills) |
Score: 99.1 |
|
Skills Fit (meeting demand) |
Score: 59.1 |
|
Academic Readiness |
Rank: 26th |
|
Innovation & Sustainability |
Score: 15.6 / 100 |
Key Gaps for India
- Mismatch between identified skills and actual workforce ability
- Weaknesses in:
- Entrepreneurship
- Innovation mindsets
- Sustainability readiness
- Low R&D investment affecting:
- Global competitiveness
- Progress in renewable energy and green innovations
An opportunity
- India has a key opportunity to align its education system with global trends and future workforce needs.
- To close the skill gaps, both the government and educational institutions must act together.
Multi-Pronged Strategy for Educational Reform
- Curriculum Innovation
- Update learning models to focus on:
- Creativity
- Critical thinking
- Resilience
- Problem-solving
- Entrepreneurial mindset
- Embed skills through:
- Interdisciplinary courses
- Experiential learning
- Problem-based learning (PBL)
|
Innovation Methods |
Purpose |
|
Hackathons |
Encourage creativity and real-world problem solving |
|
Startup incubators |
Promote entrepreneurial thinking |
|
Design-thinking labs |
Build user-focused innovation skills |
- Green Curriculum and Sustainability
- Develop a green curriculum that supports environmental goals:
- Set up centres for sustainability research
- Introduce courses on green technologies
- Promote student-led projects on local environmental issues
- Strengthening Industry-Academia Collaboration
- Build strong ties between universities and industry to bridge the education-to-employment gap:
|
Stakeholder |
Role in Partnership |
|
Universities |
Co-create curriculum, offer internships |
|
Industry |
Fund skill centres, mentor students, provide market insights |
- Improving Faculty Capacity
- Faculty development is essential to support the new curriculum and approaches:
- Run training workshops
- Offer certification programmes
- Facilitate global exchange opportunities
Conclusion
The government needs to lead the way in bringing major reforms by increasing investments in skill development, research, and innovation. A key priority should be building strong digital infrastructure in rural and semi-urban areas, which will help reduce the gap between urban and rural regions. At the same time, India’s higher education system must go through a significant transformation to stay flexible and future-ready. To support this shift, the government must create a policy environment that encourages growth, innovation, and adaptability.
