Draft Indian Institutes of Management Bill, 2015 causes apprehension

by news
June 19, 2015

New Delhi: The Indian Institutes of Management Bill, 2015 framed by the Union Human Resource Development Ministry, has raised apprehensions of their automomy being curtailed.  The oldest of these 13 institutes, the IIM-Ahmedabad, has expressed concern over some of the provisions of the proposed Bill,  which, it feels, will spell the end of autonomy.
The recommendations in the Bill, drafted by the Ministry headed by Smriti Irani, on display on mygov.in, are at variance with the recommendations submitted by them last year. The Bill, they fear, carries the trademark signature of overreach as is evident in some of the clauses. For one, they say the government seeks to appropriate for itself the power to decide on academic posts other than the one of director, whereas the draft submitted by the IIM-Ahmedabad wants the institutes to take the decision.

Pankaj Chandra, former IIM-Bangalore Director, who was involved in recommending changes to the structure of the IIMs earlier, says the Bill should grant more autonomy to the institutes in deciding how they wish to structure themselves, as they are governed by societies.

Positive in some ways

Though the Bill does have several enabling provisions in making them more accountable, it leaves the question of autonomy in doubt. However it does have positives too.

The enabling clause of giving degrees to students instead of diplomas is a welcome move, Saibal Chattopadhyay, Director, IIM-Kolkata, says. “This is only a draft. It will go to Parliament,” he says.

“Previous discussions were about how to structure the degree in a management course, in place of the diploma awarded now,” Pankaj Chandra, former IIM-Bangalore Director, says.

The draft Bill seeks to do away with the special emphasis on the IIMs by seeking to declare certain institutes of management to be institutions of national importance to empower them to attain standards of global excellence in management, management research and allied areas of knowledge and to provide for certain other matters connected with such institutions or incidental thereto — the IIMs want the Bill to confine itself to them.

Also, the proposed Bill takes away the powers of the institutes to determine fees by making it subject to prior approval of the government. Lastly, the Bill states that in discharge of its functions, the IIM Board will be accountable to the government, whereas the IIMs envisaged accountability only with respect to legal compliance, financial stability and growth of the institutes.

Quite clearly, the last word is not out yet as public comments are still being sought before the government makes its next move.