LS passes Bill to give IIMs more autonomy

Javadekar describes bill as a ‘historical’ step

New Delhi, July 28: The Lok Sabha on Friday passed a Bill to give autonomy to the Indian Institutes of Management (IIMs) by restricting the government’s role in their functioning and allowing them to award degrees.

The Indian Institutes of Management Bill, 2017, grants statutory powers to all IIMs in their running, including the appointment of directors and faculty members, besides giving them powers to award degrees instead of postgraduate diplomas.

HRD minister Prakash Javadekar described the Bill as “historic” and expressed confidence that it will enable IIMs, as well as the whole education system, to prosper. “It is greater autonomy, and it’s in that direction that we want to go,” he said while replying to a debate on the Bill.

The Centre received unprecedented and rare praise from the Opposition in the Lok Sabha for bringing a legislation which will grant complete functional autonomy to the Indian Institutes of Management (IIMs) by limiting government’s role.

HRD minister Prakash Javadekar described the bill as a “historical” step towards their greater prosperity and independence.

The Indian Institutes of Management Bill, 2017, which was passed by the Lok Sabha after a prolonged and enriching discussion, provides for giving statutory powers to these institutions in their running including the appointment of directors, faculty members, and gives them powers to award degrees instead of post graduate diplomas.

The bill also has provisions for appointment of members of the Board of Governors (BoG) in each of the 20 IIMs through a transparent process, while limiting even the HRD minister’s role.

While taking part in the discussion on the bill, Congress leader Shashi Tharoor said it was a “remarkable moment when a minister surrenders (his) powers”. He added that other ministers in the government should draw inspiration from Mr Javadekar in doing so.

At the same time, the former minister criticised the government for not enhancing financial assistance to IITs and IIMs, stating they are reeling under funds crunch.

Mr Tharoor suggested the government should have some say in determining fee structure in the IIMs as higher fees may badly hit students from the poor families.

Praising the government for bringing the bill, Trinamul Congress leader Sougata Roy said that it will further improve the functioning of the IIMs.

The bill also seeks to declare the IIMs as institutes of national importance and abolish the post of visitor. Currently, the President is the ‘visitor’ of

It was a ‘remarkable moment when a minister surrenders (his) powers’. Other ministers in the government should draw inspiration from Javadekar in doing so.

— Shashi Tharoor, Congress leader

the IIMs.

Moving the bill for consideration and passage, Mr Javadekar said the aim of the bill is to remove the government’s interference in IIMs.

“It is a historical bill which will bring a new era in management education in the country,” he said, noting that financial transaction will be subject to CAG evaluation as the institutes run on tax payers’ money. The minister said it was not an ideal situation to run the IIMs from Delhi, noting the move is aimed at allowing autonomy to institutes which have created an eco-system for excellence in higher education.

The government will have only one representative in each BoG so that the institutes can take decisions independently, the minister said.