Further to the update on the proposed reservation for PWDs in our email of November 07, 2025, we write to update you that the Government of Karnataka has now published the draft Karnataka Rights of Persons with Disabilities in Employment and Education Bill, 2025 (“Bill“) for objections and suggestions from the public / industry.

The Bill confirms the proposal for a 5% reservation mandate for persons with disabilities (“PWDs“) in private establishments and sets out a comprehensive compliance and enforcement framework, as further explained below:

• The Bill proposes a 5% reservation in all sanctioned posts for PWDs in private establishments employing 20 or more persons. Reservation will apply to direct recruitment and certain regularized posts, with limited exemptions to be decided in the prescribed manner.
• Employers will be required to implement the reservation in phases, submit annual compliance plans, and publish an annual disclosure of sanctioned posts, the number of PwDs employed and measures taken to provide reasonable accommodations.
• Where eligible candidates are not available in a recruitment cycle, reserved vacancies shall be carried forward for up to 3 cycles, subject to prescribed justifications and prior notice to the regulator.
• The Bill also prescribes internal grievance mechanisms – grievance redressal officer being the relevant point of contact and sets out timelines for grievance redressal.
• Penalties are tiered, with higher fines for repeated non-compliance (up to INR 5,00,000) and orders including for public disclosure of non-compliance.
• Incentives for compliant employers may be notified separately, including tax measures, certification as “Inclusive Employer” and recognition awards.

Please write to us at rachit.bahl@azbpartners.com & jatinder.singh@azbpartners.com should you have any queries.