Scarcity is always the result of high demand against a limited supply. Similarly, inequality in the industrialized world is the result of rising demand for skilled workers bordering on a surfeit of unskilled workers. This imbalance creates a policy dilemma for nations striving to reduce inequality without stifling economic growth. The paper traces the evolution of labour legislation and examines how this jurisprudence contributes to income disparity. It also examines the development of Industrial policies from early independence to the globalization era of 1991. The primary focus is on understanding how income disparities affect different social groups, particularly workers, and on examining the legal frameworks and mechanisms necessary to address these inequalities.