India's prime minister announces overhaul of archaic labor laws to boost investment

Indian Prime Minister Narendra Modi has announced a series of labor reforms aimed at transforming Asia's third-largest economy into an international manufacturing hub.

Modi said Thursday that he wants to overhaul India's archaic labor laws to make it easier to do business in the country, attract investment and promote India as the world's next cheap manufacturing nation.

India's labor laws, many written at the time India was a British colony, strictly regulate hiring and firing of employees and require a massive amount of paperwork which often deters companies from employing new staff.

Modi said "ease of business is the first and foremost requirement" in making India a global manufacturing hub.

The prime minister launched a "Make in India" campaign last month.