While addressing the Silver Jubilee celebrations of the All India Trade Union Congress – Trade Union wing of the then undivided Communist Party-in December 1957 at Iranjalikuda, Chief Miniser EMS said:
Without the active cooperation of the management and workers, without pooling together the resources of the state and private individuals for retaining and expanding the existing industrial base, without launching new industrial undertakings, the working class of the state has no redemption.
In the industrial sector the government launched a long term programme of blending the need for increasing production with protecting the legitimate interests of the working class. Two points were stressed to achieve this objective: co-operation between the management and workers; and encouraging private investment in the state’s industrialisation drive.
The party was clear in its perception and level headed in its execution. The ideas was to allow the private sector to expand and the capitalist class to grow so that ultimately production and employment opportunities could be enhanced. Subsequently the social environment needed for the realisation of socialism was to be created by organising the working class and democratising the state administration. This was exactly what the party envisaged at that point of time. It was as a first step towards this that Birla was invited to invest in Kerala and launch the Mavoor Rayons factory at Calicut.
The Kerala Industrial Relations Bill
Industrial Policyof Kerala Government