HR Policies & Employment Legislation
Employment Legislation and Standards
Employment standards are the minimum standards of employment for workplaces required by law. Employment standards cover many aspects of employment including, but not limited to, the following topic areas:
Minimum wage
Minimum daily pay
Meal breaks
Payment of earnings (paydays)
Hours of work
Overtime
Statutory holidays
Annual vacation
Vacation pay
Employment of people under 18
Leave from work
Resolving disputes
Termination
Maternity leave
Weekly day of rest
Deductions
Keeping records
Sexual harassment
Probationary periods
Parental leave
Definition of "employee"
Any HR policies that you develop around the above topics, and any others covered by employment standards, must not provide less than what is offered in the legislation and/ or regulations. The employment standards legislation offers minimum standards; employers are free to develop policies or practices that enhance (provide better standards) than what is allowed for in the law.
HR Policies & Employment Legislation
Human Rights Legislation
Human rights legislation is put in place to protect people from discrimination. It seeks to guarantee people equal treatment regardless of certain identified characteristics (called “prohibited grounds of discrimination”) that have attracted historical stereotyping or bias in relation to employment.
Employers, including nonprofit organizations, need to be aware of human rights legislation as it applies to all practices of employment, including:
Recruitment ads
Application forms
Interviews
Hiring
Dismissal/termination
Promotion
Demotion
Benefits
Wages
Workplace harassment
As organizations strive to create a better world through their missions, it is important that they also work at creating inclusive workplaces that are respectful and welcoming of diversity. Most of the sites below have excellent resources and tools that your organization can use in creating policies, in the hiring process, and in building a more diverse and respectful workforce. We encourage you to explore several of the websites below as they offer a wealth of information that can often be applied across provincial/territorial lines. Particular attention should be paid to the employer’s duty to accommodate an employee in the workplace.
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Employment Legislation MBA - HRM Notes
1. Employment legislation
Employee Legislation
Industrialization has brought
Huge Employment Opportunities
Mass Production
Distribution of goods and commodities.
But at the same time carried with it certain disadvantages to workmen as
Loss of Freedom
Unhygienic Working Conditions
No freedom of contract
The dynamics of market and self interest
The Employee/ Labour/ Industrial / Human Resource Legislation, by what ever
name you call, it refers to the concept that covers a no. of legislations passed by the
Parliament to procure for the Employees
Higher wages,
Healthy working condition,
Opportunity to get advance, Satisfaction at Work.
Avenues for raising industrial dispute & protection against loss of wages,
Over work and Arbitrary Treatment.
This concept could easily be comprehended when we undertake the study of all
characters who play the roles in an industrial organization, The Main Characters
are
Employee
Employer
Trade Union
Trade Union Movement
2. Historical Dimension of Labour In India
The Evolution of Industrial Relations
Primitive Stage:Moving from one place to another place.
Main Occupation was Fishing, Hinting and Pastoral.
Whatever they produced, they consumed.
Had no saving, no accumulations and no exchange of production.
No employer – Employee Relationship.
Agrarian Economy or Middle Age:Landlords had Slaves working & Cultivating their Land
No salary paid.
But given some food, old clothes and place to live.
Govt had no control.
No Labour legislation regulate employer – employee relationship.
Serfdom:a person in a condition of servitude, required to render services to a lord,
commonly attached to the lord's land and transferred with it from one owner
to another.
Land owners were crowned as feudal princes, landlords & land owing class.
People worked under them were slaves with limited intellect, ignorant,
depraved, without personal ethics * hence subject to complete dominations.
Handicraft Stage:Craftsman started their own guilds.
No Employer –employee relations and so no employee legislations.
Cottage Industries:Use of steam power created cottage industries.
3. Workmen were hired on meager salaries
Govt had no control.
No Labour legislation regulate employer – employee relationship.
Factory or Industries:It gave plenty of employment.
Exploited to the core.
Under the banner of Maximization of profit and with the help of technology,
workmen had to work more than 12 hours in unhygienic condition with low
salaries.
Women and children were employed in unhygienic condition with low
salaries.
Sate of social reforms felt the necessity of employee legislation to save the
workmen from the cruel treatment.
EMPLOYEE LEGISLATIONS IN INDIA:
• Kautilya’s Arthasasthra Spelt rules and regulations on labour, like guilds,
co-operative undertaking.
• Kautilya Spoke about Privileges of workmen, high wages, sick leave, old age
pension and dispute settlement methods.
• Vedic period advocated happiness and good mutual relations between the
employer and employees.
As the years rolled the following important events took place.
Sequence of Events :
1877
: Emperor Mills Nagpur Stoppage
19th Century
18th and 19th
Century
: Industrial Capitalism in Bombay and Surat.
: Industrialisation in Europe
4. First World War – boon for employers because of raising
prices – huge profits - Economic distress for workmen.
: Trade Dispute Act enacted.
1917
: First Trade Union started at Madras by B.P. Wadia
1921
: Mahatma Gandhi advocated Collective Bargaining and re1921
opened the Ahmedabad Textile Mills.
: Workmen's Compensation Act was enacted.
1923
: Trade Union Act was born
1926
: Second World War
1945
: Huge profits to capitalists - Indian Employment Standing
1946
Order enacted.
: Disturbed year
1946 - 1947
: INTUC was born
1947
: Industrial Disputes Act
1947
: Minimum Wages Act, Employees State Insurance Act &
1948
Factories Act
LEGISLATIVE HISTORY OF LABOUR LEGISLATION
1914 - 1918
:
Historical growth of modern employee legislation may be classified as below,
The beginning of Employee Legislation ( 1830 – 1918)
Employee Legislation between wars ( 1919 – 1942)
Employee Legislation between 1942 to 1947
Post independence Employee Legislation 1947 to 1975
Post – emergency Legislation 1975 onwards.
THE BEGINNING OF EMPLOYEE LEGISLATION ( 1830 – 1918):Govt of India felt the need for regulating the recruitment, forwarding and
employment of India laborers under the indenture system to the various
British Colonies.
This legislation applied to emigration to foreign counties, it exerted a
profound influence on the development of labor legislation within India,
especially in regard to the labor supply for the Assam Tea garden.
5. Believed that any interference in employee – employer relationship would
prove detrimental to both parties.
Protecting the interests of labour, the first attempts to regulate labour
consisted of enactments, such as earlier Assam Labour Acts, the Workmen’s
Breach of Contract Act of 1859, Employer’s and workmen’s (Disputes) Act
1860, which rendered workmen liable to criminal penalties for breach of
contract and the Indian penal code of 1860 also contained provisions of this
character.
Towards the close of 19th century, efforts were made to enact legislation to correct
the more serious abuses in the employment of workers in factories.
The factories Act of 1881 & 1891, which placed a limitation on the
employment and working hours of women and children.
First mines Act passed in 1901 with limited objective of securing safe
conditions of work and there were no provisions for the special protection of
women and children or for the regulation of hours of work.
In Factory, industries expanding the employees and working hours were 14
to 15 hours per day.
The provision regarding minimum age of children and half-times were
totally ineffective.
Due to several serious abuses were brought to the notice of the authorities by
the factory labour commission appointed in 1907 by the government of India.
An act was passed in 1911 with the object of removing some of the
obvious shortcoming for the existing law.
Regulations about the employment for women and children were
strengthened and for the first time in India, there was a statutory
limitation of hours of work for men, though this was confined to textile
factories only.
EMPLOYEE LEGISLATION BETWEEN WARS ( 1919 – 1942)
After the First World War labour legislation took shape at rapid rate.
6. The governments were provinces served to bring the various problems of the
country before public attention.
Country received it’s first constitution under reforms of 1919, conferring a
modified degree of autonomy on the provinces.
Rise of Trade Union Movement:At the end of First World War, there was a rising consciousness among
workers through increased knowledge of general economic condition and of
the trade union movement in other countries.
In 1919 there was a birth of first strong central organization of workers ALL
INDIA TRQADE INION CONGRESS.
At the same time International Labour Organization (ILO) was setup and
the attendance of workers, employers and government representatives at its
meetings and the ratifications by the government of India many of the
International Labour conventions resulted in giving a great fillip to labor
legislation in India.
Year
1927 – 28
1931 – 32
1935 – 36
1939 – 40
1942 – 43
1947 - 48
1951 – 52
1955 – 56
1960 – 61
1964 – 65
No
of
Registered
Trade Union
29
131
241
666
693
2766
4623
8095
11312
12801
Year No
of
Registered
Trade Union
1977 30810
1979 34430
1981 37539
1983 38939
1985 45067
1987 49329
1989 52210
1990 52016
1991 53574
1992 55675
Birth of the International Labour Organization:-
7. The ILO is an inter-governmental agency, established by peace Treaty of 1919 for
promotions of industrial peace and social justice. Its structure is tripartite and
includes representatives of Governments, employers and workers.
The basic principle of ILO are
a) Labour is not commodity.
b) Freedom of expression and of association are essential to continued progress.
c) Povery anywhere constitutes a danger prosperity everywhere.
d) War against want requires to be carried on with unending vigour within
each nation and by continuous efforts in which the representatives of
workers and employers, enjoying equal status with those governments, join
with them in free discussions and democratic decisions with a view to
promotion of the common welfare.
EMPLOYEE LEGISLATION BETWEEN 1942 TO 1947
Impact of ILO recommendations & conventions and the method of tripartite
regulations has resulted in the enactment of a series of amendments to the
Factories Act which gave workers in factories a 48 hours week, annual
holiday with pay & Canteen Facilities.
Industrial Employment (Standing Orders) Act 1946, which requires the
larger industrial establishments in the country to frame and adopt regular
standing orders and the Industrial dispute Act 1947, provides foe
investigation and peaceful settlement of Industrial disputes.
POST INDEPENDENCE EMPLOYEE LEGISLATION 1947 TO 1975
The Post Independence labour laws classified by the problems they seek to tackle,
may be divided into the following categories:a. Working conditions, Industrial Safety, hygienic and welfare inside the
workers
b. Wages
c. Industrial Relations
d. Trade Unionism
e. Social Security
f. Welfare Outside the works
8. g. Employment and unemployment
h. Industrial housing
i. Miscellaneous problem.
Laws have also been enacted to meet the special needs of particular Industries or
employments
Example: mines, plantations, factories, transport, shops & establishments and
working journalists.
POST – EMERGENCY LEGISLATION 1975 ONWARDS.
With the declaration of national emergency with effect from June 26, 1975
and announced 20 point economic programme, the socio-economic polices
including industrial relations, have taken positive and a meaningful turn.
a. 20 point of economic programme.
i. Attack on rural poverty
ii. Strategy for Rained agriculture
iii. Better use of irrigation water
iv. Bigger harvest
v. Enforcement of Land Reforms
vi. Special Programs for rural labour
vii. Clean drinking water
viii. Health for all
ix. two child norm
x. expansion of education
xi. Justice for SC / ST
xii. Equality for women
xiii. New Opportunities for women
xiv. Housing for the people
xv. Improvement for slums
xvi. New Strategy for Forestry
xvii. Protection of environment
xviii. concern for the consumer
xix. Energy for the villages
xx. A responsive administration
9. This era, therefore witnesses not only laws for pruning the existing
industrial and labour laws structure but also carving out a positive role for
it.
Thus anti-inflationary laws like payment of Bonus (Amendment ) act 1975,
Additional Emoluments (Compulsory Deposit) Amendment Act 1976 ad the
42nd Amendment of the constitution Act, Equal Remuneration Ordinance
and Consequential Act, the bonded Labour abolition Act, Laws to free the
low earning industrial workers from debts, introduction and / or revision of
agricultural minimum wages, provisions for controlling lay-offs,
retrenchments, closures and ensuring greater security of service, acquisition
of surplus land etc… for providing homes for landless and site less labour
joint management and shops councils, scheme for workers association in
industries, enlargement of apprenticeship scheme, income tax relief to low
income groups and more schemes for social security characterize the new
labor law approach.
This marks an end for era of governmental hesitation and opportunism plagued
approach in favor of a determined and positive effort for the formulation of rational
industrial order based on socio-economic justice. A new leaf has turned in the jural
management of social engineering in the country.
CONSTITUTION OF INDIA
LABOUR PROTECTION AND WELFARE (SOCIAL SECURITY AND
SOCIAL JUSTICE)
Constitution of India
The Constitution of India is the supreme law of India. It lays down the framework
defining fundamental political principles, establishes the structure, procedures,
powers, and duties of government institutions, and sets out fundamental rights,
directive principles, and the duties of citizens. It is the longest[1] written
constitution of any sovereign country in the world, containing 448 articles in 25
parts, 12 schedules and 97 amendments. Besides the English version, there is an
official Hindi translation. B. R. Ambedkar is the Chief Architect of Indian
Constitution.
10. The Constitution was enacted by the Constituent Assembly on 26 November 1949,
and came into effect on 26 January 1950. The date 26 January was chosen to
commemorate the Purna Swaraj declaration of independence of 1930. With its
adoption, the Union of India officially became the modern and contemporary
Republic of India and it replaced the Government of India Act 1935 as the
country's fundamental governing document. The Constitution declares India to be
a sovereign, socialist, secular, democratic republic, assuring its citizens of justice,
equality, and liberty, and endeavours to promote fraternity among them. The
words "socialist" and "secular" were added to the definition in 1976 by
constitutional amendment. India celebrates the adoption of the constitution on 26
January each year as Republic Day.
The Constitution of India has conferred innumerable rights on the protection of
labour. In this chapter let’s see in brief what are all the rights confered and what
are the mechanism used, with the support of case laws.
Articles 14, 19, 21, 23 and 24 form part of the Fundamental Rights guaranteed
under Part III of the Constitution.
PART III
FUNDAMENTAL RIGHTS
General
12.
Definition.
13.
Laws inconsistent with or in derogation of the fundamental rights.
Right to Equality
14.
Equality before law.
Right to Freedom
19.
Protection of certain rights regarding freedom of speech, etc.
21.
Protection of life and personal liberty.
11. Right against Exploitation
23.
Prohibition of traffic in human beings and forced labour.
24.
Prohibition of employment of children in factories, etc.
Articles 38, 39, 39-A, 41, 42, 43, 43-A and 47 form part of the Directive Principles
of State Policy under Part IV of the Constitution.
PART IV
DIRECTIVE PRINCIPLES OF STATE POLICY
38.
State to secure a social order for the promotion of welfare of the
people.
39.
Certain principles of policy to be followed by the State.
39A.
Equal justice and free legal aid.
41.
Right to work, to education and to public assistance in certain
cases.
42.
Provision for just and humane conditions of work and maternity
relief.
43.
Living wage, etc., for workers.
43A.
Participation of workers in management of industries.
47.
Duty of the State to raise the level of nutrition and the standard
of living and to improve public health.
Through social security and social justice are spelt in our Constitution, they are
never put into practice thanks to our Executives who only pretend to implement
the programmes of the State. Some of the important Employee Legislations that
promise but do not guarantee Labour Protection and Social Security are:
The Factories Act of 1948
The Employees State Insurance Act 1948
The payment of Wages Act 1936
The Minimum Wages Act
12.
The Workmen's Compensation Act 1923
The Employees' Provident Funds and Miscellaneous Provisions Act 1952.
The Payment of Bonus Act, 1965
The Payment of Gratuity Act, 1962
Industrial Disputes Act, 1947
The Child Labour (Prohibition and Regulation) Act, 1986
The Industrial Employment Standing Orders Act, 1946
The Maternity Benefit Act, 1961
Contract Labour Act 1970
Shops and Establishment Act 1947
Trade Union Act 1926
Unorganized Workers Social Security Act, 2008
Let us now analyze the intention of the legislators in enacting the above employee
legislations and how these legislations are implemented.
The Factories Act of 1948
The Factories Act is meant to provide protection to the workers from
being exploited by the greedy business employments and provides for
the improvement of working conditions within the factory premises.
The main function of this act is to look after the welfare of the workers,
to protect the workers from exploitations and unhygienic working
conditions, to provide safety measurers and to ensure social justice.
It applies to factories covered under the Factories Act, 1948.
The industries in which ten (10) or more than ten workers are
employed on any day of the preceding twelve months and are engaged
in manufacturing process being carried out with the aid of power or
twenty or more than twenty workers are employed in manufacturing
process being carried out without the aid of power, are covered under
the provisions of this Act.
SALIENT FEATURES OF THE ACT ARE :Approval of Factory Building Plans before construction/extension, under the
Delhi Factories Rules, 1950 .
Grant of Licences under the Delhi Factories Rules, 1950, and to take action
13. against factories running without obtaining Licence.
Renewal of Licences granted under the Delhi Factories Rules, 1950, by the
Dy. Chief Inspectors of Factories .
Inspections of factories by District Inspectors of Factories, for investigation
of complaints, serious/fatal accidents as well as suo moto inspections to
check compliance of provisions of this Act relating to : Health
Safety
Welfare facilities
Working hours
Employment of young persons
Annual Leave with wages etc.
The Employees State Insurance Act 1948
Applicability of the Act & Scheme: Is extended in area-wise to factories
using power and employing 10 or more persons and to non-power using
manufacturing units and establishments employing 20 or more person upto
Rs.15,000/- per month with effect from 01-May-2010. It has also been
extend-ed upon shops, hotels, restaurants, roads motor transport
undertakings, equipment maintenance staff in the hospitals.
Rate of contribution of the wages
Employer's 4.75%
Employee's 1.75%
Benefits under the Scheme
Employees covered under the scheme are entitled to medical facilities for self
and dependants.
They are also entitled to cash benefits in the event of specified contingencies
resulting in loss of wages or earning capacity.
The insured women are entitled to maternity benefit for confinement.
Various benefits that the insured employees and their dependants are
entitled to, the duration of benefits and contributory conditions thereof are
as under:
Medical benefits
14.
Sickness benefits
Extended sickness benefit
Enhanced sickness benefit
Maternity benefit
Disablement benefit
Dependants benefit
Other benefits like funeral expenses, vocational rehabilitation,
free supply of physical aids and appliances, preventive health
care and medical bonus.
The payment of Wages Act 1936
The Payment of Wages Act was enacted as early as 1936 during the colonial
rule.
The purpose of this act is to regulate payment of wages.
This insists on the payment of wages by the seventh day or the tenth day of
the succeeding month and in case of weekly payment the last day of the
week.
This Act has been enacted with the intention of ensuring timely payment of
wages to the workers and for payment of wages without unauthorized
deductions.
The Minimum Wages Act 1948
The Minimum Wages Act 1948 is to provide for fixing the minimum rates
of wages. Minimum wages are fixed by the State Governments based on the
cost of living index on hourly basis, day basis, monthly basis and any larger
period.
The Minimum thus fixed is below poverty line and has to restructured and
reconsidered by the officials.
The main aim of the enactment is to make provisions for statutory fixation of
minimum rates of wages in scheduled employment wherein labour is not
organized and sweated labour is most prevalent.
An underdeveloped country like India faces the problem of unemployment in
a very large scale.
15. Workers may offer to work even on starvation wages. Employers may be
ready to offer them the work at starvation wages.
What the Act purports to achieve is to prevent the exploitation of labour
and for that purpose, authorizes the appropriate Government to take steps to
prescribe the minimum rates of wages in certain employment.
For this purpose, the capacity of employer shall not be considered.
The State assumes that every employer must pay the minimum wages to the
labour engaged by him.
The Act contemplates the minimum wage rates must ensure not merely the
mere physical needs of a worker which would keep them just above
starvation level, but must ensure for him not only his and his family’s
subsistence, but also to preserve his efficiency as a worker. It should
therefore provide something above the bare subsistence level.
Minimum wage is fixed on ethical ground and not on economic ground. It
does not consider either the value of work done by a worker or the capacity of
the employer to pay. It is a bedrock minimum which must be paid to a
worker in any case, and if a particular industry is unable to pay even the
minimum wage, it has no right to run, it must shut down.
The act gives statutory recognition to the notion that an employee must get
at least a minimum wage in certain employment where labour is
unorganized and is likely to be exploited. It is a clear direction against the
exploitation of the ignorant members of the society by the capitalist class
The Workmen's Compensation Act 1923
The Workmen’s Compensation Act, 1923 provides for payment of
compensation to workmen and their dependants in case of injury and
accident (including certain occupational disease) arising out of and in the
course of employment and resulting in disablement or death.
The amount of compensation to be paid depends on the nature of the injury
and the average monthly wages and age of workmen.
The minimum and maximum rates of compensation payable for death (in
such cases it is paid to the dependents of workmen) and for disability have
been fixed and is subject to revision from time to time.
16. The Employees' Provident Funds and Miscellaneous
Provisions Act 1952.
An Act to provide for the institution of Provident Funds, pension funds and
deposit linked fund for employees in factories and other establishments.
Contributions of 13.61% of the wages are paid by the employer and another
12% by the employees.
This amount is deposited with the government which pays an interest.
This Act also now has provisions for pension scheme.
Scheme Name
Employee
Employer
contribution
contribution
Employee provident fund
12%
3.67%
Employees’ Pension scheme
0
8.33%
Employees
Deposit
linked
0
0.5%
insurance
EPF Administrative charges
0
1.1%
EDLIS Administrative charges
0
0.01%
THE PAYMENT OF BONUS ACT, 1965
The object of the Payment of Bonus Acts to provide for the payment of bonus
(linked with profit or productivity) to persons employed in certain establishments
and matters connected therewith.
Every factory wherein 10 or more persons are employed with the aid of
power or An establishment In which 20 or more persons are employed
without the aid of power on any day during an accounting year.
Bonus is a reward that is paid to an employee for his good work towards the
organization.
The basic objective to give bonus is to share the profit earned by the
organization amongst the employees and staff members.
In India there is a principle law relating to this procedure of payment of
bonus to the employees and that principle law is named as Payment of
Bonus Act, 1965.
The Payment of Bonus Act applies to every factory and establishment
17. employing not less than 20 persons on any day during the accounting year.
The establishments covered under the Act shall continue to pay bonus even
if the number of employees fall below 20 subsequently.
Eligibility: Every employee not drawing salary/wages beyond Rs. 10,000 per
month who has worked for not less than 30 days in an accounting year, shall be
eligible for bonus for minimum of 8.33% of the salary/wages even if there is loss in
the establishment whereas a maximum of 20% of the employee’s salary/wages is
payable as bonus in an accounting year. However, in case of the employees whose
salary/wages range between Rs. 3500 to Rs. 10,000 per month for the purpose of
payment of bonus, their salaries/wages would be deemed to be Rs. 3500.
There are provisions and benefits for newly formed establishments as well. As per
these provisions/benefits, the first five accounting years following the accounting
year in which the employer sells goods/renders services, bonus is payable only in
respect of the accounting year, in which profits are made but the provisions of set
on and set off would not apply.
The Payment of Gratuity Act, 1962
An act to provide for scheme for the payment of gratuity to employees
engaged in factories, mines, oil fields, plantations, ports, railway companies,
shops or other establishments and matters connected therewith or incidental
thereto.
Gratuity shall be payable to an employee on the termination of his
employment after he has rendered continuous service for not less than five
years.
(a) on his superannuation
(b) on his retirement or resignation
(c) on his death or disablement
For every completed year of service or part thereof in excess of six months the
employer shall pay gratuity to an employee at the rate of 15 days‘ wages based on
the rate of wages last drawn by the employee concerned.
Industrial Disputes Act, 1947
18. An Act to make provisions for the investigation and settlement of industrial
disputes and for certain other purposes.
"Industrial dispute" means any dispute or difference between employers and
employers, or between employers and workmen, or between workmen and
workmen, which is connected with the employment or non-employment or
the terms of employment or with the conditions of labour, of any person.
Objective
The objective of the Industrial Disputes Act is to secure industrial peace and
harmony by providing machinery and procedure for the investigation and
settlement of industrial disputes by negotiations.
The Act also lays down
a. The provision for payment of compensation to the Workman on
account of closure or lay off or retrenchment.
b. The procedure for prior permission of appropriate Government for
laying off or retrenching the workers or closing down industrial
establishments
c. Unfair labour practices on part of an employer or a trade union or
workers.
The Child Labour (Prohibition and Regulation) Act, 1986
An Act to prohibit the engagement of children in certain employments and
to regulate the conditions of work of children in certain other employments.
Objectives:(i)
Ban the employment of children, i.e. those who have not completed their
fourteenth year, in specified occupations and processes;
(ii) Lay down a procedure to decide modifications to the Schedule of banned
occupations or processes;
(iii) Regulate the conditions of work of children in employments where they are
not prohibited from working;
(iv) Lay down enhanced penalties for employment of children in violation of the
provisions of this Act, and other Acts which forbid the employment of
children;
(v) To obtain uniformity in the definition of 'child' in the related laws.
19. The Industrial Employment Standing Orders Act, 1946
Prior to the passing of the industrial employment (standing orders) act,
1946, conditions of employment obtaining in several industrial
establishments were governed by contract between the employers and
employee
Sometimes these conditions were reduced to writing.
But in many cases they were not reduced to writing and were governed by
oral agreement.
Inevitably in many cases, the conditions of service were not well defined and
there was ambiguity or doubt in regard to their nature and scope.
That is why the legislature took the view that in regard to industrial
establishments to which act applies, the conditions of employment subject to
which industrial labour is employed should be well defined and precisely
known to both the parties.
With this object, the act has made relevant provisions for making standing
orders which, after they are certified, constitute the statutory terms of
employment between the industrial establishments in question and their
employees
The Maternity Benefit Act, 1961
The Act was passed to regulate the employment of women in certain
establishments for certain periods before and after child birth and to provide
for maternity benefit and certain other benefits.
The Maternity Benefit Act aims to regulate the employment of women in
certain establishments for certain periods before and after childbirth.
To provide for maternity benefits including maternity leave, wages, bonus,
nursing breaks etc.
To protect the dignity of motherhood and the dignity of a new person’s birth by
providing for the full and healthy maintenance of the women and her child at this
important time when she is not working.
Contract Labour Act 1970
Contract Labour (Regulation & Abolitions) Act 1970, was passed to prevent
exploitation of contract Labour. The policy of the Act is to prohibit the
20. employment of contract labour and wherever this is not possible, to improve
the conditions of work of contract labour. Apart from providing for
prohibition of employment of contract labour, the Act also provides for
health and welfare of the contract labour.
Shops and Establishment Act 1947
The Shops and Establishment Act is a state legislation act and each state has
framed its own rules for the Act. The object of this Act is to provide
statutory obligation and rights to employees and employers in the
unauthorized sector of employment, i.e., shops and establishments.
Guidelines for working hours per day and Week,
Guidelines for Spread-over, rest intervals, opening and closing hours, closed
days, national Holidays and over time work.
Guidelines for Employment of children, young persons, and women.
Rules for annual leave, maternity leave, sickness leave and casual leave.
Rules for employment and termination of services.
Trade Union Act 1926
The Act provides for registration of trade unions which include associations
of employers.
The Act also contains certain restrictions, protections and privileges to
registered Trade Union.
The Act provides that any seven or more members of a trade union may by
otherwise complying with the provisions of this Act with respect to
registration, apply for the registration of Trade Union under this Act.
Recently the Act has been amended and a proviso has been added to section
relating to the registration of trade unions which provides that no trade
union of workmen shall be registered unless atleast 10% or 100 workmen
whichever is less, engaged or employed in the establishment or industry with
which it is connected are the members of such trade union on the date of
making application for registration.
21. Unorganized Workers Social Security Act, 2008
Unorganized Workers Social Security Act, 2008 is an Indian Act related to
Industrial law enacted by the Government of India, to provide for the social
security and welfare of the unorganized workers(meaning home-based
workers, self-employed workers or daily-wage workers).
This Act received the assent of the President of India on 30 December 2008.
The Act provides for constitution of National Social Security Board at the
Central level which shall recommend formulation of social security schemes
viz life and disability cover, health and maternity benefits, old age protection
and any other benefit as may be determined by the Government for
unorganized workers.
As a follow up to the implementation of the Act, the National Social
Security Board was set up on 18 August 2009.
Constitution of India
The Constitution of India is the supreme law of India. It lays down the framework
defining fundamental political principles, establishes the structure, procedures,
powers, and duties of government institutions, and sets out fundamental rights,
directive principles, and the duties of citizens. It is the longest[1] written
constitution of any sovereign country in the world, containing 448 articles in 25
parts, 12 schedules and 97 amendments. Besides the English version, there is an
official Hindi translation. B. R. Ambedkar is the Chief Architect of Indian
Constitution.
The Constitution was enacted by the Constituent Assembly on 26 November 1949,
and came into effect on 26 January 1950. The date 26 January was chosen to
commemorate the Purna Swaraj declaration of independence of 1930. With its
adoption, the Union of India officially became the modern and contemporary
Republic of India and it replaced the Government of India Act 1935 as the
22. country's fundamental governing document. The Constitution declares India to be
a sovereign, socialist, secular, democratic republic, assuring its citizens of justice,
equality, and liberty, and endeavors to promote fraternity among them. The words
"socialist" and "secular" were added to the definition in 1976 by constitutional
amendment. India celebrates the adoption of the constitution on 26 January each
year as Republic Day.
The Constitution of India has conferred innumerable rights on the protection of
labour. In this chapter let’s see in brief what are all the rights confered and what
are the mechanism used, with the support of case laws.
Articles 14, 19, 21, 23 and 24 form part of the Fundamental Rights guaranteed
under Part III of the Constitution.
PART III
FUNDAMENTAL RIGHTS
Right to Equality
14.
Equality before law.
Right to Freedom
19.
Protection of certain rights regarding freedom of speech, etc.
21.
Protection of life and personal liberty.
Right against Exploitation
23.
Prohibition of traffic in human beings and forced labour.
24.
Prohibition of employment of children in factories, etc.
Articles 38, 39, 39-A, 41, 42, 43, 43-A and 47 form part of the Directive Principles
of State Policy under Part IV of the Constitution.
PART IV
23. DIRECTIVE PRINCIPLES OF STATE POLICY
38.
State to secure a social order for the promotion of welfare of the
people.
39.
Certain principles of policy to be followed by the State.
39A.
Equal justice and free legal aid.
41.
Right to work, to education and to public assistance in certain
cases.
42.
Provision for just and humane conditions of work and maternity
relief.
43.
Living wage, etc., for workers.
43A.
Participation of workers in management of industries.
47.
Duty of the State to raise the level of nutrition and the standard
of living and to improve public health.
Classification of Various Labour Laws
There are over 45 legislations on labour from the Central Government and the
number of legislations enacted by the State Governments is close to four times that
of the Central Acts.
Labour Laws can be classified into the following eight categories:
1. Laws related to Industrial Relations
2. Laws related to Wages
3. Laws related to Specific Industries
4. Laws related to Equality and Empowerment of Women
5. Laws related to Deprived and Disadvantaged Sections of the Society
6. Laws related to Social Security
7. Laws related to Employment & Training
8. Others
24. Laws related to Industrial Relations:1
The Trade Unions Act, 1926
2
The Industrial Employment (Standing Orders) Act, 1946
The Industrial Employment (Standing Orders) Rules, 1946
3
The Industrial Disputes Act, 1947
Laws related to Wages:1. The Payment of Wages Act, 1936 & The Payment of Wages Rules, 1937
2. The Minimum Wages Act, 1948 & Rules, 1950.
3. The Working Journalist (Fixation of Rates of Wages) Act, 1958 & Working
Journalist (Conditions of service) and Miscellaneous Provisions Rules, 1957
4
The Payment of Bonus Act, 1965
4. The Payment of Bonus Rules, 1975
Laws related to Specific Industries:1. The Factories Act, 1948 2
2. The Dock Workers (Regulation of Employment) Act, 1948
3. The Plantation Labour Act, 1951
4. The Mines Act, 1952
5. The Working Journalists and other Newspaper Employees’ (Conditions of
Service and Misc. Provisions) Act, 1955 & The Working Journalists and
other Newspaper employees’ (Conditions of Service and Misc. Provisions)
Rules, 1957
6. The Merchant Shipping Act, 1958
7. The Motor Transport Workers Act, 1961
8. The Beedi & Cigar Workers (Conditions of Employment) Act, 1966
9. The Contract Labour (Regulation & Abolition) Act, 1970 10 The Sales
Promotion Employees (Conditions of Service) Act, 1976
10.The Sales Promotion Employees (Conditions of Service) Rules, 1976
11.The Inter-State Migrant Workmen (Regulation of Employment and
Conditions of Service) Act, 1979
12.The Shops and Establishments Act
13.The Cinema Workers and Cinema Theatre Workers (Regulation of
Employment) Act, 1981 & The Cinema Workers and Cinema Theatre
25. Workers (Regulation of Employment) Rules,
1984 &
The Cine
Workers’ Welfare Fund Act, 1981.
14.The Dock Workers (Safety, Health & Welfare) Act, 1986
15.The Building & Other Construction Workers (Regulation of Employment &
Conditions of Service) Act, 1996
16.The Dock Workers (Regulation of Employment) (inapplicability to Major
Ports) Act, 1997
17.The Mica Mines Labour Welfare Fund Act, 1946
18.The Limestone & Dolomite Mines Labour Welfare Fund Act, 1972
19.The Beedi Workers Welfare Fund Act, 1976
20.The Beedi Workers Welfare Cess Act, 1976
21.The Iron Ore Mines, Manganese Ore Mines & Chrome Ore Mines Labour
Welfare Fund Act, 1976
22.The Iron Ore Mines, Manganese Ore Mines & Chrome Ore Mines Labour
Welfare Cess Act, 1976
23.The Cine Workers Welfare Fund Act, 1981
24.The Cine Workers Welfare Cess Act, 1981
25.The Employment of Manual Scavengers and Construction of Dry latrines
Prohibition Act, 1993
26.The Coal Mines (Conservation and Development) Act, 1974
Laws related to Equality and Empowerment of Women:1. The Maternity Benefit Act, 1961
2. The Equal Remuneration Act, 1976
Laws related to Deprived and Disadvantaged Sections of the Society:1. The Bonded Labour System (Abolition) Act, 1976
2. The Child Labour (Prohibition & Regulation) Act, 1986
Laws related to Social Security:1. The Workmen’s Compensation Act, 1923
2. The Employees’ State Insurance Act, 1948
3. The Employees’ Provident Fund & Miscellaneous Provisions Act, 1952
4. The Payment of Gratuity Act, 1972
26. Laws related to Employment & Training:1. The Employment Exchanges (Compulsory Notification of Vacancies) Act,
1959 &
The Employment Exchanges (Compulsory Notification of
Vacancies) Rules, 1959
2. The Apprentices Act, 1961
Others:1. The Fatal Accidents Act, 1855
2. The War Injuries Ordinance Act, 1943
3. The Weekly Holiday Act, 1942
4. The National and Festival Holidays Act
5. The War Injuries (Compensation Insurance) Act, 1943
6. The Personal Injuries (Emergency) Provisions Act, 1962
7. The Personal Injuries (Compensation Insurance) Act, 1963
8. The Labour Laws (Exemption from Furnishing Returns and Maintaining
Register by Certain Establishments) Act, 1988
9. The Public Liability Insurance Act, 1991
The Need / Principles of Labor Legislation becomes important because of
following reasons :
a) Weak Labor Organizations :
Individual worker is economically very weak and is unable to bargain his
terms with the employers. Even, Labor organizations are relatively weak
and in most cases, they depend merely on the mercy employers.
Now as the payment of wages, lay off, dismissal, retrenchments etc, are all
governed by the legislations, economic insecurity of workers is removed to
great extent.
b) Occupational Insecurity :
The workers in many organizations, did not get the amount in case of
accidents, deaths etc.
As a result, the workers faced occupational insecurity.
27. Now, benefits such as Occupational Act, Employees State Insurance Act,
etc have been statutorily given to the employees.
c) Hazardous Working Conditions:
Workers health and safety is always in danger due to harmful working
condition in some factories.
The Factories Act, contains a numbers of provisions relating to health,
safety and welfare of workers.
d) Law And Order :
Labor legislation is also necessary in order to maintain law and order
situation and national security of the country.
The idea of welfare state is embodied in the directive principles of the
constitution and for that reason various labor laws have been enacted to
protect the sections of the society.
e) Achieving Socio –economic Progress :
Labor legislation is one of the most progressive and dynamic instruments
for achieving socio – economic progress.
FACTORIES ACT, 1948
In great Britain, the second half of the 18th century, there was a rapid growth
of industrial towns & factories.
As it was started without planning, they employed the women as well as
their children in factories who needed to work for more than 12 hours a day.
Some of the employees took initiative to implement labour legislations,
Factories Act came into existence in 1819.
After some modifications, the final amended of Factories Act took place in
1948.
In India, the First factories Act was passed in 1881.
28. This Act was basically designed to protect children and to provide few
measures for health and safety of the workers.
This law was applicable to only those factories, which employed 100 or more
workers.
In 1891 another Factories Act was passed which extended to the factories
employee 50 or more workers.
DEFINITION:‚Factory‛ is defined in section 2(m) of the Act. It means any premises including
the precincts thereofa) Whereon 10 or more workers are working, or were working on any day of
the preceding 12 months, and in any part of which a manufacturing process
is being carried on with the aid of power, or is ordinarily so carried on; or
b) Whereon 20 or more workers are working, or were working on any day of
the preceding 12 months, and in any part of which a manufacturing process
is being carried on without the aid of power, or is ordinarily so carried on.
But does not include a mine subject to the operation of the Mines Act, 1952 or a
mobile unit belonging to the Armed forces of the Union, a railway running shed or
a hotel, restaurant or eating place.
OBJECT AND SCOPE OF THE ACT:
The main object of the Factories Act, 1948 is to ensure
Adequate safety measures
to promote the health and welfare of the workers employed in factories.
The Act also makes provisions regarding employment of women and young
persons (including children and adolescents), annual leave with wages etc.
Adult: means a person who has completed his eighteenth year of age (Section 2 (a))
Adolescent:
Adolescent means a person who has completed his fifteenth year of age but has not
completed his eighteenth year.
29. Child means a person who has not completed his fifteenth year of age
Factory includes any premises including the precincts thereofWhereon ten or more workers are working or were working on any day of
the preceding twelve months, and in any part of which a manufacturing
process is being carried on with the aid of power or is ordinarily so carried
on; or
whereon twenty or more workers are working, or were working on a day of
the preceding twelve months, and in any part of which a manufacturing
process is being carried on without the aid of power, or is ordinarily so
carried on.
HEALTH PROVISIONS UNDER THE FACTORIES ACT
Chapter III of the Act deals with the following aspects.
‘(i) Cleanliness: Section 11 of The Factories Act ensures the cleanliness in the
factory. It must be seen that a factory is kept clean and it is free from effluvia
arising from any drain, privy or other nuisance and various measures have been
stipulated in the above said section.
(ii) Disposable of waste and effluents: Every occupier of a factory, as per rules,
shall make effective arrangements for the treatment of wastes and effluents due to
the manufacturing process carried on in the factory so as to render them innocuous
and for their disposal.
(iii) Ventilation and temperature: Section 13 provides that every factory should
make suitable and effective provisions for securing and maintaining (1) adequate
ventilation by the circulation of fresh air; and (2) such a temperature as will secure
to the workers reasonable conditions of comfort and prevent injury to health
(iv) Dust and fume: There are certain manufacturing processes like chemical,
textile or jute etc., which generates lot of dust, fume or other impurities. It is
injurious to the health of workers employed in such manufacturing process.
Suitable measures have to be taken to keep the level of dust and fumes under
control so that they do not affect the health of the workers.
30. (v) Artificial humidification: Humidity means the presence of moisture in the
air. In certain industries like cotton, textile, cigarette, etc., higher degree of
humidity is required for carrying out the manufacturing process. For this purpose,
humidity of the air is artificially increased. This increase or decrease in
humidity artificially adversely affects the health of workers and hence certain
provisions have been made regarding them.
(vi) Overcrowding: Overcrowding in the work room not only affect the workers
in their efficient discharge of duties but their health also. Section 16(2) states that
there shall be in every workroom of a factory in existence on the date of the
commencement of this act at least 9.9 cubic metres and of a factory built after the
commencement of this Act at least 14.2 cubic metres of space for every worker
employed therein and for the purposes of this sub-section no account shall be taken
of any space which is more than 4.2 metres above the level of the floor of the room.
(viii) Lighting: Every part of a factory where workers are working or passing
there shall be provided and maintained sufficient and suitable lighting, natural or
artificial or both.
(ix) Drinking Water: In every factory effective arrangements shall be made to
provide and maintain at suitable points conveniently situated for all workers
employed therein a sufficient supply of wholesome drinking water. Further if more
than two hundred and fifty workers are working in a factory they shall be provided
with cooled drinking water during hot weather.
(x) Latrines and urinals: In every factory sufficient latrine and urinal
accommodation of prescribed types shall be provided for men and women
separately. All such accommodation shall be maintained in a clean and sanitary
condition.
SAFETY PROVISIONS UNDER THE FACTORIES ACT
(i)Fencing of machinery: In every factory every moving part of a prime mover
and every flywheel connected to a prime mover shall be securely fenced by
31. safeguards of substantial construction which shall be constantly maintained and
kept in position while the parts of machinery they are fencing are in motion or in
use.
(ii)Work on or near in motion: If an any factory it becomes necessary to
examine any part of machinery, while the machinery is in motion such
examination or operation shall be made or carried out by only by a specially trained
adult male worker wearing tight fitting clothing.
(iii)Employment of young persons on dangerous machines: No young person
shall be required or allowed to work at any machine to which Sec.21 applies unless
he has been fully instructed as to the dangers arising in connection with the
machine and the precautions to be observed.
(iv) Striking gears and devices for cutting off power: In every factory suitable
striking gear or other efficient mechanical appliance shall be provided and
maintained and used to move driving belts to and from fast and loose pulleys
which form part of the transmission machinery.
(v)Self acting machines: No traversing part of a self acting machine in any
factory and no material carried thereon shall, if the space over which it runs is a
space over which any person is liable to pass, whether in the course of his
employment or otherwise, be allowed to run on its outward or inward traverse
within a distance of forty five centimeters from any fixed structure which is not
part of the machine.
(vi)Casing of new machinery: All machinery driven by power and installed in
any factory shall be encased or otherwise effectively guarded as to prevent danger.
(vii)Prohibition of employment of women and children near cotton
openers: No woman or child shall be employed in any part of a factory for pressing
cotton in which a cotton opener is at work, unless the feed end of a cotton opener is
in a room separated from the delivery end by a partition.
32. (viii) Hoists and Lifts: Every hoist and lift shall be of good mechanical
construction, sound material and adequate strength and it shall be properly
maintained and shall be thoroughly examined by a competent person, once in every
six months.
(ix) Lifts, Machines, chains, ropes and lifting tackles: Every lifting machine
(other than a hoist and lift) and every chain, rope and lifting tackle shall be of good
construction, sound material and adequate 9e strength and free from defects and it
shall be property maintained and it shall be thoroughly examined once in 12
months by a competent person.
(x) Revolving machinery: In every factory in which the said process of grinding
is carried on there shall be permanently affixed to or placed near each machine in
use a notice indicating the maximum safe working peripheral speed of every
grindstone or abrasive wheel, the speed of the shaft or spindle upon which the
wheel is mounted and the diameter of the pulley upon such shaft or spindle
necessary to secure such safe working peripheral speed.
(xi) Pressure Plant: In any factory, any plant or machinery or any part thereof is
operated at a pressure above atmospheric pressure, effective measures shall be taken
to ensure that the safe working pressure of such plant or machinery or part is not
exceeded.
(xii) Floors stairs and means of access: In a factory all floors, steps, passages
and gangways shall be of sound construction and properly maintained and shall be
kept free from obstructions and substances likely to cause persons to slip and if
necessary handrails may be provided.
(xiii) Pits, sumps, openings in floors: In every factory fixed vessel, sump, tank,
pit or opening in the ground or in a floor which by reasons of its depth situation
construction or contents is or may be a source of danger, shall be either securely
covered or securely fenced.
33. (xiv)Excessive weights: No person shall be employed in any factory to lift, carry
or move any load so heavy as to be likely to cause him injury.
(xv)Protection of eyes: If in a factory where the manufacturing process involves
risk of injury to the eyes from particles or fragments thrown off in the course of the
process or risk to the eyes by reason of exposure to excessive light then effective
screen or goggles may be provided to the protection of the workers.
(xvi)Precaution against dangerous fumes, gases etc.: No person shall be
required or allowed to enter any chamber, tank or vat, pit, pipe flue or other
confined space in any factory in which any gas, fume, vapour or dust is likely to be
present to such an extent as to involve risk to persons being overcome thereby,
unless it is provided with a manhole of adequate size or other effective means of
progress.
(xvii)Precautions regarding the use of portable electric light: No portable
electric light or any other electric appliance of voltage exceeding 24volts shall be
permitted of the use inside any chamber, tank, pit, pipe, flue, or other confined
space unless adequate devices are provided for safety.
(xviii)Explosive or inflammable gas: In any factory if the manufacturing
process produces dust, gas, fume or vapour of such character and to such extent as
to be likely to explode to ignition all practicable measures shall be taken to prevent
any such explosion.
(xix) Precautions in case of fire: In every factory all practical measures shall be
taken to prevent outbreak of fire and its spread, both internally and externally and
to provide and maintain safety measures like equipments for fire extinguishing
devices and to have emergency exits.
(xx) Safety of buildings and machinery: If it appears to the Inspector that any
building or part of a building or any part of the ways, machinery or plant in a
factory is in such a condition that it is dangerous to human life or safety then the
occupier or manager or both may by order in writing specify the measures to be
34. taken and if necessary prohibit the use until it has been properly repaired or
altered.
(xxi)Maintenance of buildings: If it appears to the Inspector that any building
or part of a building is detrimental to the health and welfare of the workers, he may
serve on the occupier or manager or both of the factory an order regarding the
remedial measures.
(xxii) Safety Officers: In every factory wherein one thousand or more workers are
ordinarily employed the occupier shall, if so required by the State Government by
notification in the official Gazette, employ such number of Safety Officers as may
be specified on that notification.
WELFARE PROVISIONS IN THE FACTORIES ACT
(i)Washing Facilities: In every factory adequate facilities for washing shall be
provided and maintained for the use of the workers. Separately and adequately
screened facilities shall be provided for the use of male and female workers.
(ii)Facilities for storing and drying facility: The State Government shall make
rules in respect of a factory or class or description of factories requiring the
provision therein of suitable places for keeping clothing not worn during working
hours and for the drying of wet clothing.
(iii)Facilities for sitting: In every factory suitable arrangements for sitting shall
be provided and maintained for all workers obliged to work in a standing position,
in order that they take advantage of any opportunities for rest which may occur in
the course of the work.
(iv)First aid appliances: Every factory shall maintain and provide one first aid
box with prescribed contents for every 150 workers and it shall be in charge of a
responsible person who holds a certificate in first aid treatment, recognized by
State Government.
(v)Canteen: The State Government may make rules requiring that in any specified
factory wherein two hundred and fifty workers are ordinarily employed, a canteen
35. or canteens shall be provided and maintained by the occupier for the use of the
workers.
(vi)Shelters rest rooms and lunch rooms: In every factory wherein more than
one hundred and fifty workers are ordinarily employed, adequate and suitable
shelters or rest rooms and a suitable lunch room with provision for drinking water,
where workers can eat meals brought by them.
(vii)Creches: In every factory where more than thirty women are ordinarily
employed there shall be provided and maintained a suitable room or rooms for the
use of children under the age of six years of such women.
(viii)Welfare Officers: In every factory wherein five hundred or more workers
are ordinarily employed the occupier shall employ in the factory such number of
Welfare Officers as may be prescribed.
WORKING HOURS FOR ADULTS
(i)Weekly hours: No adult worker shall be required or allowed to work in a
factory for more than forty eight hours in any week.
(ii)Weekly Holidays: No adult worker shall be required or allowed to work in a
factory on the first day of the week unless he has or will have a holiday for a whole
day on one of the three days immediately before or after the said day.
(iii)Compensatory Holidays: In case of exempting a factory from the above said
provision, the worker shall be provided within the month, compensatory holidays of
equal number to the holidays so lost.
(iv) Intervals for rest: The period of work of adult workers in a factory each day
shall be so fixed that no period shall exceed five hours and that no worker shall
work for more than five hours before he has an interval for rest of at least half an
hour.
36. (v) Spread over: The period of work of an adult worker in a factory shall be so
arranged that inclusive of his intervals for rest they shall not spread over more
than ten and half hours in a day.
(vi) Prohibition of overlapping shifts: Work shall not be carried in any factory
by means of a system of shifts so arranged that more than one relay of workers is
engaged, in work of the same kind at the same time.
(vii) Extra wages for overtime: Where a worker works in a factory for more than
nine hours in any day or for more than forty eight hours in any week, he shall, in
respect of overtime work, be entitled to wages at the rate of twice his ordinary rate
of wages.
(viii) Restriction on double employment: No adult worker shall be required or
allowed to work in any factory on any day on which he has already been working
in any other factory, save on prescribed circumstances.
(ix) Notice of period of work for adults: There shall be displayed and correctly
maintained in every factory in accordance with the provisions of sub- section (2) of
section 108, a notice of periods of work for adults, showing clearly for every day the
periods during which adult workers may be required to work.
(x) Register of adult workers: The manager of every factory shall maintain a
register of adult workers, to be available to the Inspector at all times during
working hours or when any work is being carried on in the factory.
EMPLOYMENT OF YOUNG PERSONS
(i)Prohibition of employment of young children: No child who has not
completed his fourteenth year shall be required or allowed to work in any factory.
(ii)Non adult workers to carry tokens: A child who has completed his
fourteenth year or an adolescent shall not be required or allowed to work in any
factory unless he is possession of a token, referring to a certificate of a fitness issued
and in the custody of manager.
37. (iii)Working Hours for Children: No child shall be employed or permitted to
work, in any factory
(a) for more than four and half hours in any day
(b) during night
Further no child shall be required or allowed to work in any factory on any day on
which he has already been working in another factory.
No female child shall be required or allowed to work in any factory except between
8 A.M. and 7 P.M.
(iv) Register of child workers: The manager of every factory in which children
are employed shall maintain a register a child workers available to the Inspector at
all times during working hours or when any work is being carried on in a factory.
ANNUAL LEAVE WITH WAGES
A worker in a factory if entitled under any other law or under the terms of any
award, provided for longer annual leave with wages than provided under this Act,
is exempted from the under mentioned provisions of The Factories Act.
(i)Annual leave with wages: Every worker who has worked for a period of 240
days or more in a factory during a calendar year shall be allowed during the
subsequent calendar year, leave with wages for a number of days calculated at the
rate of(a) if an adult one day for every twenty days of work performed by him during the
previous calendar year.
(b) if a child one day for every fifteen days of work performed by him during the
previous calendar year.
The lay off days, maternity leave and earned leave shall be taken as days worked for
the purposes of computation of working days.
The annual leave shall be computed, exclusive of all holidays whether occurring
during or at either end of the period of leave.
(ii)Wages during leave period: For the leave allowed to him under the provisions
a worker shall be entitled to wages at a rate equal to the daily average wage of his
38. total full time earnings for the days on which he actually worked during the month
immediately preceding his leave, exclusive of any overtime and bonus but inclusive
of dearness allowance and the cash equivalent of the advantage accruing through
the concessional sale to the worker of food grains and other articles.
(iii)Payment in advance in certain case: A worker who has been allowed leave
for not less than four days, in the case of an adult, and five days, in the case of a
child, shall, before his leave begins be paid the wages due for the period of the leave
allowed.
(iv) Mode of recovery of unpaid wages: Any sum due and payable it not paid
as stipulated it shall be recoverable as delayed wages under the provisions of The
Payment of Wages Act.
Further under The Factories Act various provisions (Sections 92 to 106A) have
been enacted for providing penalty for offences, cognizance, limitation enhanced
penalty and jurisdiction of Court to entertain proceedings under the Factories Act.