Fresh energy and shattered ceilings: Modi gets a new-look Cabinet with 2019 poll looming

Nirmala Sitharaman as defence minister is the biggest change, although the reshuffle featured many other storylines.

With a little more than a year and a half to go for Lok Sabha elections, Prime Minister Narendra Modi on Sunday revealed a thorough reworking of his Council of Ministers, shuffling some around, downgrading others and throwing in some surprises. Nirmala Sitharaman was the big winner, moving from Minister of State for Commerce to the Defence Ministry. In moving Sitharaman into one of the top four ministries, Modi makes his biggest move in elevating younger talent. Sitharaman will sit alongside External Affairs Minister Sushma Swaraj in the Cabinet Committee on Security, making it the first time in India’s history that two women are on one of the country’s top decision-making bodies.

But Sitharaman’s elevation was not the only big story to come out of Sunday’s announcements. Modi did not simply fill vacancies or move portfolios around. The new-look Cabinet and Council of Ministers includes a number of surprise picks that suggest a new approach to sourcing talent. The big picks here were two civil servants who have directly been moved into independent charges: career diplomat Hardeep S Puri, who has been made Minister of State (Independent Charge) of Housing and Urban Affairs, and retired Indian Administrative Services officer K Alphons, who was given independent charge of the Tourism Ministry as well as being made Minister of State for Electronics and IT.

Suresh Prabhu – who conspicuously offered to resign as railway minister last month after several accidents on his watch – was moved to the Ministry of Commerce, with former Power Minister Piyush Goyal taking over the Indian Railways. Smriti Irani, who seemed to have lost the trust of the leadership after a vocal stint as Human Resource Development minister, has been kept as Minister for Textiles and Information & Broadcasting.

The reshuffle is not a complete overhaul of Modi’s key team. The core Raisina Hill ministries of Home, External Affairs and Finance remain unchanged, with Sitharaman now joining in the Defence Ministry. There were no major demotions, with even Prabhu simply being shunted to Commerce rather than dropped. A few ministers had resigned earlier in the week, Rajiv Pratap Rudy being the most prominent face, after Modi and Bharatiya Janata Party President Amit Shah signaled that they were carrying out this exercise.

Political goals

Some of the picks for the new-look Council were made with political goals in mind. Dharmendra Pradhan, who was elevated into the Cabinet, is a prominent face from Odisha, a state that the BJP hopes will prove to be fertile ground. And Alphons, the bureaucrat-turned-minister, is a prominent Christian from Kerala, where the Church plays an important role in local politics.

But while it may not be a complete overhaul, the reshuffle gives the administration an opportunity to reset after a couple of disastrous weeks. The rejig was very conspicuously not a response to immediate setbacks like the legal failure in the Right to Privacy case or the economic woes – both Law Minister Ravi Shankar Prasad and Finance Minister Arun Jaitley have kept their portfolios.

Instead, it appears to be careful strategising from Modi and Shah, planning for the future as the government enters its final stretch ahead of the 2019 Lok Sabha elections. The spotlight will fall most prominently on Sitharaman, and possibly the civil servant inductees. But the main question will be whether Modi government can notch up significant victories, particularly on the economic front, especially as it has become clear that one of its two flagship efforts – demonetisation, with the Goods and Services Tax being the other – has turned out to be a massive disaster.

We welcome your comments at letters@scroll.in.
Sponsored Content BY 

Why should inclusion matter to companies?

It's not just about goodwill - inclusivity is a good business decision.

To reach a 50-50 workplace scenario, policies on diversity need to be paired with a culture of inclusiveness. While diversity brings equal representation in meetings, board rooms, promotions and recruitment, inclusivity helps give voice to the people who might otherwise be marginalized or excluded. Inclusion at workplace can be seen in an environment that values diverse opinions, encourages collaboration and invites people to share their ideas and perspectives. As Verna Myers, a renowned diversity advocate, puts it “Diversity is being invited to the party, inclusion is being asked to dance.”

Creating a sense of belonging for everyone is essential for a company’s success. Let’s look at some of the real benefits of a diverse and inclusive workplace:

Better decision making

A whitepaper by Cloverpop, a decision making tool, established a direct link between inclusive decision making and better business performance. The research discovered that teams that followed an inclusive decision-making process made decisions 2X faster with half the meetings and delivered 60% better results. As per Harvard Business School Professor Francesca Gino, this report highlights how diversity and inclusion are practical tools to improve decision making in companies. According to her, changing the composition of decision making teams to include different perspectives can help individuals overcome biases that affect their decisions.

Higher job satisfaction

Employee satisfaction is connected to a workplace environment that values individual ideas and creates a sense of belonging for everyone. A research by Accenture identified 40 factors that influence advancement in the workplace. An empowering work environment where employees have the freedom to be creative, innovative and themselves at work, was identified as a key driver in improving employee advancement to senior levels.


A research by Catalyst.org stated the in India, 62% of innovation is driven by employee perceptions of inclusion. The study included responses from 1,500 employees from Australia, China, Germany, India, Mexico and the United States and showed that employees who feel included are more likely to go above and beyond the call of duty, suggest new and innovative ways of getting work done.

Competitive Advantage

Shirley Engelmeier, author of ‘Inclusion: The New Competitive Business Advantage’, in her interview with Forbes, talks about the new global business normal. She points out that the rapidly changing customer base with different tastes and preferences need to feel represented by brands. An inclusive environment will future-proof the organisation to cater to the new global consumer language and give it a competitive edge.

An inclusive workplace ensures that no individual is disregarded because of their gender, race, disability, age or other social and cultural factors. Accenture has been a leading voice in advocating equal workplace. Having won several accolades including a perfect score on the Human Rights Campaign’s Corporate equality index, Accenture has demonstrated inclusive and diverse practices not only within its organisation but also in business relationships through their Supplier Inclusion and Diversity program.

In a video titled ‘She rises’, Accenture captures the importance of implementing diverse policies and creating an inclusive workplace culture.


To know more about inclusion and diversity, see here.

This article was produced by the Scroll marketing team on behalf of Accenture and not by the Scroll editorial team.