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MADHU , INC KANNUR
IMPORTANT LABOUR ANDIMPORTANT LABOUR AND
FACTORY LEGISLATIONS INFACTORY LEGISLATIONS IN
INDIAINDIA
MADHU.T.KMADHU.T.K
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Acts and Rules
Blend of Acts and Rules
Centered on the responsibility of a Factory Manager,
Personnel/ HR Manager or self employed Entrepreneur. Attention has not been made wherever the employer has
nothing to do with the provisions but has only to follow thedirections of the appropriate govt.
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THE FACTORIES ACT, 1948THE FACTORIES ACT, 1948
Act which makes it obligatory on the partAct which makes it obligatory on the part
of the employer to provide for the health,of the employer to provide for the health,
safety and welfare of the workerssafety and welfare of the workers
employed.employed.
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Act extends to the whole of
India.Applies to every factory wherein 10 or
more workers are or were employed, if
run with power and 20 or more workersare or were employed, if run withoutpower.
Application to factories with fewer workersu/s 85
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PROVIDESPROVIDES forfor Hours of workHours of work(adult) not to exceed 48 hours in a week or 9(adult) not to exceed 48 hours in a week or 9
hours in a day.hours in a day.
Relaxation: Where an adult worker is engaged inRelaxation: Where an adult worker is engaged inurgent repairs.urgent repairs. Payment of Overtime wages for overstay at workplace @Payment of Overtime wages for overstay at workplace @
twice the ordinary rate of wages.twice the ordinary rate of wages. ** Provision relating to hours of work not applicable to** Provision relating to hours of work not applicable to
supervisory staff.supervisory staff. Weekly HolidayWeekly Holiday: No work for more than 10 days without a: No work for more than 10 days without aday of rest.day of rest.
Intervals of rest:Intervals of rest: half an hour for 5 hours of workhalf an hour for 5 hours of work No childNo child (who has not attained the age of 15 years)(who has not attained the age of 15 years) bebe
permitted to work.permitted to work. Prohibition of employment of Women:Prohibition of employment of Women: No woman shall beNo woman shall be
employed in any factory for more than 9 hours in any dayemployed in any factory for more than 9 hours in any dayoror between 7 pm and 6 am.between 7 pm and 6 am.
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Factories Act now allows womento work night shifts PROVIDEDadequate safeguards in the factory as
regards occupational safety and health,
equal opportunity for women workers,adequate protection of their dignity,
honor and safety and their transportation
from the factory premises to the nearest
point of their residence" are made.
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The occupier (Employer) to
maintain a register LEAVE WITH
WAGES REGISTER- in FORM 15
Provide each employee a Leave Book- thick
bound sheet- in FORM 16 (with similar
entries as in Form 15)
Provide each worker an Attendance Card in
form 28 showing the particulars ofemployment
* shall be substituted by Electronic cards
EMPLOYER TO KEEP THE FACTORY
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EMPLOYER TO KEEP THE FACTORYEMPLOYER TO KEEP THE FACTORY
PREMISES CLEANPREMISES CLEAN white washing at least once in every 14 months
repainting or revarnishing every 5 years ensure proper disposal of wastes and effluents Record the dates on which white washing, painting or varnishing
done in a register in FORM 7.
Ensure provision of sufficient number of Latrines and urinals
separate for gents and ladies Ensure spittoons are provided at adequate places. Ensure workplace has adequate ventilation Avoid overcrowding ensure 500 cubic feet of space for every
worker without reference to any space which is more than 14 feet
above the level of the floor of the room. Ensure proper lighting- artificial or natural or both.
Ensure supply of uninterrupted supply ofDrinking Water.
Where the no. of workers is more than 250, provision for coldwater in every lunch room, rest room and canteen shall beensured.
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MADHU , INC KANNURMADHU , INC KANNUR
EMPLOYER TO ENSURE SAFETYEMPLOYER TO ENSURE SAFETY
OF WORKERSOF WORKERS
Fencing of Machines and Moving parts of machines Fencing of Machines and Moving parts of machines spindles, gears, pulleys, belts etcspindles, gears, pulleys, belts etc Protection of eyes using screens or goggles fromProtection of eyes using screens or goggles from
excessive light or infra-red or ultra violet radiationsexcessive light or infra-red or ultra violet radiations Precaution in case of Fire.Precaution in case of Fire.
No woman or young person shall, unaided by anotherNo woman or young person shall, unaided by anotherperson, lift, carry or move by hand or head anyperson, lift, carry or move by hand or head anymaterial or tool exceeding the maximum limitmaterial or tool exceeding the maximum limitprescribed.prescribed.
* Adult male 75 Kgs* Adult male 75 Kgs
* Adult female 30 Kgs* Adult female 30 Kgs * Adolescent male 30 Kgs* Adolescent male 30 Kgs * Adolescent female 20 Kgs* Adolescent female 20 Kgs Safety Officer:Safety Officer: Appoint a Safety Officer wherein 1000Appoint a Safety Officer wherein 1000
or more workers are employed.or more workers are employed.
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EMPLOYER TO LOOK AFTER THEEMPLOYER TO LOOK AFTER THE
WELFARE OF EMPLOYEESWELFARE OF EMPLOYEES
Washing facilityWashing facility separately for women and menseparately for women and men SeparateSeparate rooms forrooms for men and women formen and women for drying of clothesdrying of clothes SeparateSeparate rest roomsrest rooms for men and womenfor men and women First Aid boxesFirst Aid boxes equipped with prescribed medicinesequipped with prescribed medicines Ambulance room where 500 or more are employedAmbulance room where 500 or more are employed
CanteenCanteen for use of workersfor use of workers where 250 or more are employedwhere 250 or more are employed(150 under Plantation Labour Act)(150 under Plantation Labour Act)
Lunch room where 150 or more are employedLunch room where 150 or more are employed Crches where 30 or more women are employedCrches where 30 or more women are employed
AppointAppoint WELFARE OFFICERWELFARE OFFICER(S)(S) where 500 or more arewhere 500 or more areemployedemployed (300 under PLA)(300 under PLA) The duties, qualification and conditions of service of suchThe duties, qualification and conditions of service of such
welfare officers shall be in accordance with the rules of thewelfare officers shall be in accordance with the rules of therespective State Govt.respective State Govt.
NOTICE OF DANGEROUS OPERATIONSNOTICE OF DANGEROUS OPERATIONS
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REGISTERS TO BE MAINTAINEDREGISTERS TO BE MAINTAINED Attendance Register/ Muster roll in form 25Attendance Register/ Muster roll in form 25
Register of Adult Workers in form 12Register of Adult Workers in form 12 Record of Lime washing, painting etc in form 7Record of Lime washing, painting etc in form 7 Register of Compensatory Holidays in form 9Register of Compensatory Holidays in form 9 Overtime Muster roll for Exempted workers inOvertime Muster roll for Exempted workers in
form 10form 10
Register of Leave with Wages in form 15Register of Leave with Wages in form 15 Health Register in form 17 (in respect of personsHealth Register in form 17 (in respect of persons
employed in occupations declared to beemployed in occupations declared to bedangerous operations u/s 87)dangerous operations u/s 87)
Register of Accidents and DangerousRegister of Accidents and DangerousOccurrences in form 26Occurrences in form 26
Particulars of Rooms in the factory in form 35.Particulars of Rooms in the factory in form 35.
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RETURNS TO BE SENT TO
APPROPRIATE AUTHORITIES
Notice of accidents and dangerous occurrences resultingin death or bodily injury in form 18(similar to the one tobe sent ESI Local Office under the ESI Act)
Half yearly returns in form 22
Annual returns in form 21 Notice of change of Manager in form 23 Details of closure in form 32 Report of examination of Pressure Vessel or Plant in form
8 Report of examination of Water sealed Gas holder in form
38 Report of Examination of Hoist or Lift in form 41 Certificate of Fitness for Dangerous Operations in form
39
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SIGNIFICANCE
Terms of appointment order issued to
an employee cannot circumvent theprovisions of certified standing order.
Therefore, it is always desirable to get
standing orders drafted and certified asit regulates the relationship between
the employer and the employee.
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Standing Order drafted shall provide for
Date on which the standing ordersshall come in to force and shallremain in force
Definitions
Classification of workmen asPermanent, Probationer, Badlis,
Casual and Trainees
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contd Obligations
not to carryon any other business for gain or totake admission in educational institutionwithout permission
to observe strict secrecy of company matters not to take photographs, drawing or documents
of the process of manufacture of the company not to carry any lethal weapon, explosive or
article dangerous to life or property to follow safety rules in force
to inform any change in the address etc
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contdcontd
Medical examination and aid in case of accidentMedical examination and aid in case of accident
Identification of workmen and issue of IdentityIdentification of workmen and issue of Identitycardscards
Working time for different categories ofWorking time for different categories ofworkmenworkmen
Record of age, qualification and experienceRecord of age, qualification and experience
Entry, exit and liability for security checkingEntry, exit and liability for security checkingShift working and weekly offShift working and weekly off
Attendance and late comingAttendance and late coming
Methods of applying for different kinds of leaveMethods of applying for different kinds of leave
and extension of leaveand extension of leaveAction for unauthorised absenceAction for unauthorised absence
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contdcontd National and festival holidaysNational and festival holidays TransferTransfer Apprehension of danger to the safetyApprehension of danger to the safety
and security of factory and itsand security of factory and itspersonnelspersonnels
Date of payment of wages/ salaryDate of payment of wages/ salary
Overtime wagesOvertime wages Increment and promotionIncrement and promotion Stoppage, closing or lay off ofStoppage, closing or lay off of
establishment and strikeestablishment and strike
Resignation notice or payment in lieuResignation notice or payment in lieuof notice to be givenof notice to be given Termination of employment and noticeTermination of employment and notice
or payment in lieu of notice required toor payment in lieu of notice required tobe served or madebe served or made
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contdcontd
Deduction from wages for fine imposed orDeduction from wages for fine imposed orabsence from duty or loss caused to theabsence from duty or loss caused to the
property and recovery of employeesproperty and recovery of employees
contribution to schemes like EPF, ESI andcontribution to schemes like EPF, ESI and
Labour Welfare fundLabour Welfare fund Age of superannuationAge of superannuation
Grievance procedureGrievance procedure
Disciplinary action for misconductDisciplinary action for misconduct
Punishment for misconduct and procedure forPunishment for misconduct and procedure for
imposition of punishmentimposition of punishment
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contdcontd
Service of noticeService of notice
Issue of service certificateIssue of service certificate
Amendment of Standing orderAmendment of Standing order Exhibition of Notices as whether if putExhibition of Notices as whether if put
in the Notice Board or notin the Notice Board or not
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THE MATERNITY BENEFIT ACT,THE MATERNITY BENEFIT ACT,
19611961 The Act extends to the whole ofhe Act extends to the whole ofIndiandia Applies to every factory, shop orpplies to every factory, shop orestablishmentstablishment Woman entit led to maternity benefitoman entit led to maternity benefitnot withstanding the application ofot withstanding the application ofthe Employees State Insurance Act,he Employees State Insurance Act,1948948
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Employer to ensure
No woman works during the sixweeks immediately following theday of her delivery or hermiscarriage
No woman does any arduous workduring the period of ten weeksfrom the expected date of
delivery Not to discharge or dismiss awoman during her pregnancy
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Eligibility
Work of 80 days in the 12 monthsimmediately preceding the date of
delivery.
Leave days & lay offs taken asworked.
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THE MINIMUM WAGES ACT, 1948THE MINIMUM WAGES ACT, 1948
AN ACT TO PREVENT SWEATED LABOUR ANDAN ACT TO PREVENT SWEATED LABOUR ANDEXPLOITATION OF LABOUREXPLOITATION OF LABOUR
The Act extends to the whole of IndiaThe Act extends to the whole of India
Requires the Central and State Govt. to fix minimumRequires the Central and State Govt. to fix minimumrates of wages in certain scheduled employment.rates of wages in certain scheduled employment.
Minimum wages fixed REVISED from time to timeMinimum wages fixed REVISED from time to time
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Responsibility of the Employer
to follow the directions and fix wages of theworkers at the rate not less than the one fixed
to maintain Register of Wages in form XI showing
rate of wages payable,actual amount paid,
attendance & overtime,
deductions for EPF, ESI and other,
net amount paid,
date of payment and
signature of respective employee. Wages slip in form XIII showing the above details
to be given to every employee.
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THE WORKING JOURNALISTS (FIXATION OFTHE WORKING JOURNALISTS (FIXATION OF
RATES OF WAGES) ACT, 1958RATES OF WAGES) ACT, 1958
Provides for the fixation of wages in respect of WorkingProvides for the fixation of wages in respect of Working
Journalists and for matters connected therewithJournalists and for matters connected therewith
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PAYMENT OF WAGES ACT, 1936PAYMENT OF WAGES ACT, 1936
An Act to regulate the payment ofAn Act to regulate the payment ofwages to certain classes ofwages to certain classes of
personspersons Extends to the whole of IndiaExtends to the whole of India Responsibility of payment wages restsResponsibility of payment wages rests
with the employerwith the employer Employer to fix Wage PeriodEmployer to fix Wage Period No wage period shall exceed one month.No wage period shall exceed one month.
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Time of Payment of wages
7th day of wage month where less than
1000 are working
10
th
day where more than 1000 areworking
No payment in KIND
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Permissible deduction from Wages fines
for absence from duty for damage caused to the property of the
employer for the amenities provided, like house
accommodation for recovery of advance or adjusting overpayment of wages
towards EPF, ESI, Labour Welfare Fund andsimilar deductions permitted under any Act or the
Standing Orders of the establishment for Life Insurance/ general insurance policies and
Housing loan.
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The Kerala Payment ofThe Kerala Payment of
Subsistence Allowance Act, 1972Subsistence Allowance Act, 1972
Act to provide for the payment ofAct to provide for the payment of
subsistence allowance to thesubsistence allowance to the
employees during the period ofemployees during the period of
suspensionsuspension
Extends to the whole of KeralaExtends to the whole of Kerala
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Suspension
Any interim decision of an employerdebarring an employee temporarily from
attending his office
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Payment ofayment ofSubsistence Allowanceubsistence Allowance 50% of wages for the first ninety days of50% of wages for the first ninety days of
suspensionsuspension
75% of wages for the period beyond75% of wages for the period beyondninety daysninety days
Full wages for the period beyond oneFull wages for the period beyond one
hundred and eighty dayshundred and eighty days
N t li ibl f S b i t
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Not eligible for Subsistence
Allowance
An employee placed under suspension
not entitled for subsistence allowance if
he accepts employment during theperiod of suspension
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THE PAYMENT OF BONUS ACT,THE PAYMENT OF BONUS ACT,
19651965 An Act to provide for the payment of Bonus toAn Act to provide for the payment of Bonus to
persons in certain establishments on the basis ofpersons in certain establishments on the basis ofprofits, production or productivity.profits, production or productivity.
Extends to the whole of India.Extends to the whole of India. Applies to every establishment wherein 20 or moreApplies to every establishment wherein 20 or more
are employedare employed The Appropriate Govt. shall apply the Act to anyThe Appropriate Govt. shall apply the Act to any
other establishment, including a factory to which theother establishment, including a factory to which the
Factories Act, 1948 applies, wherein less than 20Factories Act, 1948 applies, wherein less than 20workers are employed provided the number ofworkers are employed provided the number ofpersons employed is not less than 10persons employed is not less than 10..
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Eligibility to Bonus
employee whose salary/ wages does notexceed Rs 10000 per month
who has worked in the establishment for
not less than 30 days Not disqualified to claim bonus due to
fraud, theft or any other misconduct Bonus of veryperson drawing salary
between Rs 3500/- and Rs 10000/- permonth shall be calculated as if his salarywere Rs 3500 pm
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For calculating theor calculating thenumber of workingumber of workingdaysays the days for which the worker has beenthe days for which the worker has been
laid offlaid off
the days he has been on leave with paythe days he has been on leave with pay
the days he has been absent due tothe days he has been absent due to
temporary disablement caused by antemporary disablement caused by an
employment injuryemployment injury
the days a woman employee has been onthe days a woman employee has been on
maternity leavematernity leave
shall be taken in to account.shall be taken in to account.
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Rate of Bonus
Minimum :8.33% of salary/wages
Maximum 20% of salary/wages
Computation of bonus as per Schedule I to IV
of the Act.
Adjust any interim bonus paid while making
payment of the final bonus.
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Disputes on Bonus
The Bonus Act does not provide for
any machinery to resolve disputes
relating to bonus. For this, theIndustrial Dispute Actshall be
referred to.
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THE PAYMENT OF GRATUITYTHE PAYMENT OF GRATUITY
ACT, 1972ACT, 1972
The Ke r a l a I n du s t r i a l Em p l o yee s P a yme n t o fh e Ke r a la I n du s t r ia l Em p l o yee s P a yme n t o fG r a t u it y A c t , 1 970 , f o l low ed b y t h e Wes tr a tu i ty A c t , 1 97 0 , f o l l owed b y t h e W es tB e n g a l E m p l o ye e s P a y m e n t o f C o m p u l so r ye n g a l E m p l o y e e s P a y m e n t o f C o m p u l so r yG r a t u it y A c t , 1 971 and t h e i n ten t i o n o f t h er a tu i ty A c t , 1 971 and t h e i n t en t io n o f t h eo the r S t a t e s t o ha ve s im i l a r A c t s in t he i rt he r S t a t e s t o ha ve s im i l a r A c t s i n t he i rr e s pe c t iv e s t a t e s n e c e s s i t a t ed t h ee spe c t i v e s t a t e s n e c e s s i t a t ed t h e Cen t r a len t r a lA c t s o a s t o a vo i d d i f fe r en t t r e a tmen t t oc t s o a s t o a vo i d d i f fe r en t t r ea tm en t t oem p l o yee s o f e s t ab l i shm en t s h a v i n gm p l o yee s o f e s t ab l i shm en t s h a v i n gb r an che s in m o r e t h an one s t a t e s who a r er an che s in m o r e t h an one s t a t e s who a r es ub j e c t t o t ra n s f e r f rom one s t a t e t oub j e c t t o t r a n s fe r f r om one s t a t e t oano ther .no ther .
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The Payment of Gratuity Act, 1972The Payment of Gratuity Act, 1972
extends to the whole of India.extends to the whole of India.
Applies to every factory, mine, plantationApplies to every factory, mine, plantationand other establishment wherein 10 orand other establishment wherein 10 or
more workers are employed.more workers are employed.
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a retirement benefita retirement benefit
payable to an employee forpayable to an employee for
a long and meritoriousa long and meritoriousserviceservice.. It is not paid to an employeeIt is not paid to an employee
gratuitously or merely as a matter ofgratuitously or merely as a matter of
boon. It is paid for the serviceboon. It is paid for the service
rendered by him to the employerrendered by him to the employer
(Delhi Cloth and General Mills(Delhi Cloth and General Mills
Co; Ltd Vs The Workmen)Co; Ltd Vs The Workmen) Then why it should necessarilyThen why it should necessarily
be denied to him when anbe denied to him when an
employee is dismissed foremployee is dismissed for
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Gratuity is payable to an
employee on termination of his
employment after he hasrendered continuous service for
not less than five years
on his superannuation
on his resignation
on his death or disablement due to employment
injury or disease
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News paper employees
The Working Journalists and Other
Newspaper Employees (Conditions of
service) and Miscellaneous Provisions
Act, 1955, provides for payment ofgratuity.
As such, three years of continuous
service is required for eligibility forGratuity.
The payment of gratuity shall be
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The payment of gratuity shall be
forfeited
to the extent of the damage or
loss caused by the employee to
the property of the employer
where the service of the employee
is terminated due to misconduct
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Rate of gratuity
15 days wages for every completedyear of service
Rates applicable to Working
Journalists depends upon the service ofthe employee as provided in theWorking Journalists and Other
Newspaper Employees (Conditions ofservice) and Miscellaneous ProvisionsAct, 1955
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The average pay of theThe average pay of the
monthly rated employee shallmonthly rated employee shallbe taken bybe taken by
dividing the monthly salary/dividing the monthly salary/
wages by 26 andwages by 26 and not by 30not by 30
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Piece rate workers andiece rate workers andSeasonaleasonalestablishmentsstablishments For piece rated workers,For piece rated workers, average of theaverage of the
three months wagesthree months wages immediatelyimmediately
preceding the day of leaving shall bepreceding the day of leaving shall be
taken as average rate of wagetaken as average rate of wage
An employee in a seasonalAn employee in a seasonal
establishment shall be paid @establishment shall be paid @ sevenseven
days wages for each seasondays wages for each season
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Salary ceiling
The Amendment Act of1994 removed the salary
ceiling of an employee,but the maximum
gratuity payable shall beRs 3.5 lakh.
I d t b li ibl f t it
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An employee is in service in a calendaryear provided he has worked for
190 days in case employee is employedbelow the ground and
240 days in any other case.
In order to be eligible for gratuity,
employee should have at least five
continuous years of service with theemployer
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Continuous service (contd.)
The days he/she has been laid offunder an agreement or under the ID Act or as
permitted by the Standing Orders on leave with pay
absent due to temporary disablement due toemployment injury
on maternity leave
shall be taken as worked for the
calculation of 190/240 days.
For seasonal employment 75%For seasonal employment 75%
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For seasonal employment 75%For seasonal employment 75%attendance during a season shallattendance during a season shall
constitute service in a yearconstitute service in a year
An employee who has worked for 4 yearsAn employee who has worked for 4 years
11 months and 10 days not eligible for11 months and 10 days not eligible forgratuity as decided ingratuity as decided in P. Raghavalu andP. Raghavalu andSons Vs Additional Labour Court, AndhraSons Vs Additional Labour Court, AndhraPradeshPradesh, as the qualifying phrases, as the qualifying phrases partpart
thereof in excess of six monthsthereof in excess of six monthsshall beshall betaken only for calculation of gratuity andtaken only for calculation of gratuity andnot for determining the eligibility ofnot for determining the eligibility ofgratuity.gratuity.
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THE INTERSTATE MIGRANTTHE INTERSTATE MIGRANT
WORKMEN (REGULATION OFWORKMEN (REGULATION OFEMPLOYMENT ANDEMPLOYMENT AND
CONDITIONS OF SERVICE) ACTCONDITIONS OF SERVICE) ACT
19791979
Act to regulate the employment of interstatect to regulate the employment of interstatemigrant workers and to provide for theirigrant workers and to provide for theirconditions of service.onditions of service.
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Extends to the whole of India.
Applies to every establishment wherein five or
more interstate migrant workmen (whether or
not in addition to other workmen) are
employed and every contractor who employs(whether or not in addition to other workmen)
5 or more interstate migrant worker.
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Interstate migrant worker
An interstate migrant worker means
anypersonwho is recruited byor
through a contractor in the state under
an agreementor arrangementforemploymentin an establishmentin
another state, whether with or without
the knowledge of the principalemployer.
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Provides for
Registration of establishmentsemploying interstate migrantworkmen, licensing of contractors,
appointment of licensing officers,prohibition of employment ofmigrant workmen withoutregistration and duties andobligations of contractors providedunder the Act.
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Employer to ensureEmployer to ensureRegular payment, equal pay for equalRegular payment, equal pay for equal
work irrespective of sex, suitablework irrespective of sex, suitableconditions of work, medical facilities,conditions of work, medical facilities,protective clothing etc shall be ensured toprotective clothing etc shall be ensured to
such workmen.such workmen.
The contractor to maintain register ofThe contractor to maintain register ofmigrant employees, send report ofmigrant employees, send report ofaccidents, half yearly returns (From 23)accidents, half yearly returns (From 23)
and annual returns (Form 24)and annual returns (Form 24)Employer contravening the provisionsEmployer contravening the provisionsliable for punishment of imprisonment orliable for punishment of imprisonment or
fine or bothfine or both
THE EQUAL REMUNERATIONTHE EQUAL REMUNERATION
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THE EQUAL REMUNERATIONTHE EQUAL REMUNERATION
ACT, 1976ACT, 1976 Act provides for the payment of equalAct provides for the payment of equal
remuneration to men and womenremuneration to men and women Extends to the whole of IndiaExtends to the whole of India Act makes it obligatory on the part ofAct makes it obligatory on the part of
employer to pay equal remuneration toemployer to pay equal remuneration tomen and women workers for same workmen and women workers for same workor work of a similar nature.or work of a similar nature.
In order to make the wages equal,In order to make the wages equal,
prevailing wages shall not be reducedprevailing wages shall not be reducedbut the higher rate shall be maintainedbut the higher rate shall be maintained..
No discriminationNo discrimination
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No discrimination while makingNo discrimination while making
recruitment for the same work orrecruitment for the same work orwork of a similar nature, exceptwork of a similar nature, exceptwhere the employment of womenwhere the employment of womenin such work is prohibited orin such work is prohibited or
restricted by or under any lawrestricted by or under any lawfor the time being in forcefor the time being in force..
NoNo discriminationdiscrimination in anyin any
condition of service subsequentcondition of service subsequentto recruitment such asto recruitment such aspromotions, training or transfer.promotions, training or transfer.
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THE APPRENTICES ACT, 1961THE APPRENTICES ACT, 1961
The Act extends to the whole of India.The Act extends to the whole of India.
Applies to those apprentices who areApplies to those apprentices who are
undergoing apprenticeship training inundergoing apprenticeship training in
designated trades.designated trades. From time to time, the Central Govt. hasFrom time to time, the Central Govt. has
specified the designated trades.specified the designated trades.
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Contract of apprenticeship
A contract of apprenticeship training is
entered in to between the employer and the
apprentice or, if he is a minor, guardian of the
apprentice.
The contract of apprenticeship training is to
be sent to the Apprenticeship Adviser of the
respective area.
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Termination of training
on the expiry of the period of apprenticeshiptraining specified in the contract.
Premature termination by employer -
the employer shall pay to the apprentice such
compensation as may be prescribed Premature termination by the apprentice
apprentice or his guardian shall refund to theemployer as cost of training such amount as may
be determined by the Apprenticeship Adviser
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NUMBER OF APPRENTICESNUMBER OF APPRENTICES
Depends onDepends on the ratio of tradethe ratio of trade
apprentices to workersapprentices to workers other thanother than
unskilled workersunskilled workers and the facilitiesand the facilities
availableavailable and that may be madeand that may be madeavailable by the employeravailable by the employer for trainingfor trainingthe apprentices.the apprentices.
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Duties of the employer Make suitable arrangements for impartingpractical training Provide for basic training. Where an employer employs 500 or moreworkers, the basic training shall be imparted inseparate part of the workshop building or in aseparate building set up by the employer. * the employer may get easy loan from theGovt. for construction of building for conductingtraining classes
ITIITI
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ITIsITIs if theif the numbernumberof apprentices to be trained isof apprentices to be trained is lessless
than twelvethan twelve, then the employer may depute such, then the employer may depute suchapprentices to anyapprentices to any Basic Training Center orBasic Training Center or
Industrial Training InstituteIndustrial Training Institute run by therun by the
Government for basic training in any designatedGovernment for basic training in any designated
trade.trade. Where an employer deputes any apprentice asWhere an employer deputes any apprentice as
above, such employer shall pay to theabove, such employer shall pay to the
Government the expenses incurred by theGovernment the expenses incurred by the
Government on such training, at such rate as mayGovernment on such training, at such rate as may
be specified by the Central Government.be specified by the Central Government.
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RI Centre
Apprentice to be given Related
Instruction course. Time spent by a trade apprentice in
attending classes on RIC shall be treated
as part of his paid period of work.
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EMPLOYERSMPLOYERS to ensureto ensurePlacement of Training Off icer withlacement of Training Officer wi thsuitable qualif icationuitable qualif icationPayment of stipend at a rate notayment of stipend at a rate notless than the prescribed minimumess than the prescribed minimumrateateNot to pay on the basis of pieceot to pay on the basis of piece
workorkNot toot to require to take part in anyrequire to take part in anyoutpututput bonus or other incentiveonus or other incentive
schemecheme
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Employer to ensure (contd.)
HEALTH, SAFETY AND WELFAREOF APPRENTICES
Not to requireor allow overtime
except with the approval of theApprenticeship Adviser.
In case ofemployment injurypaycompensation in accordance withthe provisions of the Workmen'sCompensation Act, 1923
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disputes Any disagreement or disputebetween an employer and an
apprentice arising out of thecontract of apprenticeship shall bereferred to the Apprenticeship
Adviser for decision.
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Obligation for employment
It shall not be obligatory on the part ofthe employer to offer any employmentto any apprentice who has completed
the period of his apprenticeshiptraining in his establishment,
nor shall it be obligatory on the part
of the apprentice to accept anemployment under the employer.
THE WORKMENSTHE WORKMENS
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THE WORKMENSTHE WORKMENS
COMPENSATION ACT, 1923COMPENSATION ACT, 1923
The Act provides for payment ofhe Act provides for payment ofcompensation to the worker injuredompensation to the worker injuredduring the course of employment oruring the course of employment orcontracted by any occupationalontracted by any occupationaldisease peculiar to that employmentisease peculiar to that employment Act extends to the whole of India.ct extends to the whole of India.
The amount of compensation
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The amount of compensation for accidents resulting in death, an amount
equal to fifty per cent of the monthlywages of the deceased workmanmultiplied by the relevant factor; or anamount of eighty thousand rupees,
whichever is more * forpermanent total disablement, an
amount equal to sixty per cent of the
monthly wages of the injured workmanmultiplied by the relevant factor, or anamount of ninety thousand rupees,whichever is more.
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The maximum compensation as per
W.C. Amendment Act 2000
Fatal Injury - Rs.4,57,080
Permanent Total Disablement -
Rs.5,48,496Permanent Partial Disablement -
According to incapacity caused
Temporary Disablement - Rs. 2000 permonth upto a period of 5 years
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ESI Corporation and Workmen
compensation
The liability of payment of
compensation shifted from theemployer to the Employees State
Insurance Corporation
EMPLOYEES STATE INSURANCEEMPLOYEES STATE INSURANCE
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EMPLOYEES STATE INSURANCEEMPLOYEES STATE INSURANCE
ACT, 1948ACT, 1948
Act extends to the whole of India, Howeverct extends to the whole of India, HoweverThe ESI Scheme is being implemented area-he ESI Scheme is being implemented area-wise by stages.ise by stages.The Scheme has already been implemented inhe Scheme has already been implemented indifferent areas in all States/Unionifferent areas in all States/UnionTerritories except Nagaland, Manipur,erritories except Nagaland, Manipur,Tripura, Sikkim, Arunachal Pradesh andripura, Sikkim, Arunachal Pradesh and
Mizoram and UTs of Delh i, Chandigarh andizoram and UTs of Delhi, Chandigarh andPondicherryondicherry
ESI Act
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ESI Act* Applies to factories and
establishments functioning in thenotified area and consisting of 10 ormore employees.
* Provides for health care and cashbenefits in cases of sickness, maternityand employment injury.
* The Act absolved the employers of
their obligations under the MaternityBenefit Act, 1961 and WorkmensCompensation Act 1923.
EmployeesEmployees
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EmployeesEmployees
coveredcovered
All employees drawingAll employees drawing
salary of Rs 10,000 or lesssalary of Rs 10,000 or less
are coveredare covered(w.e.f 1-10-2006)(w.e.f 1-10-2006)
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MADHU , INC KANNURMADHU , INC KANNUR
Contributionontribution
Employees contribution . 1.75% of wagesEmployees contribution . 1.75% of wages Employers contribution. 4.75 % of wagesEmployers contribution. 4.75 % of wages
Employees receiving a daily average wage uptoEmployees receiving a daily average wage upto
Rs.70/-(w.e.f 1-8-07) are exempted from paymentRs.70/-(w.e.f 1-8-07) are exempted from payment
of contribution.of contribution. Employers will howeverEmployers will howevercontribute their own share in respect of thesecontribute their own share in respect of these
employees.employees.
pay contribution within 21 days.pay contribution within 21 days.
Contribution Period and Benefit
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Period
There are two contribution periods eachof six months duration and twocorresponding benefit periods also of
six months duration as under Contribution period Corresponding
Benefit period
1st April to 30th Sept. 1st January of the following year
to 30th June
1st Oct. to 31st March 1st July to 31st December ofthe year following
http://www.esicoimbatore.org/benefits/esic_medical.htmhttp://www.esicoimbatore.org/benefits/index.htm -
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ESI BenefitsE
Medical Benefits Available both to IP and family. Also available to
disabled/retired IP Super specialist treatment Sickness Benefit Maternity Benefit
Disablement BenefitDependant benefitFuneral Expenses Old age medi careRehabilitation
Employer to maintain and file
http://www.esicoimbatore.org/benefits/esic_medical.htmhttp://www.esicoimbatore.org/benefits/esic_medical.htmhttp://www.esicoimbatore.org/benefits/esic_medical.htmhttp://www.esicoimbatore.org/benefits/esic_medical.htmhttp://www.esicoimbatore.org/benefits/esic_medical.htmhttp://www.esicoimbatore.org/benefits/esic_sickness.htmhttp://www.esicoimbatore.org/benefits/esic_maternity.htmhttp://www.esicoimbatore.org/benefits/esic_disablement.htmhttp://www.esicoimbatore.org/benefits/esic_dependant.htmhttp://www.esicoimbatore.org/benefits/esic_funeral.htmhttp://www.esicoimbatore.org/benefits/esic_old_care.htmhttp://www.esicoimbatore.org/benefits/esic_rehabilitation.htmhttp://www.esicoimbatore.org/benefits/esic_rehabilitation.htmhttp://www.esicoimbatore.org/benefits/esic_old_care.htmhttp://www.esicoimbatore.org/benefits/esic_funeral.htmhttp://www.esicoimbatore.org/benefits/esic_dependant.htmhttp://www.esicoimbatore.org/benefits/esic_disablement.htmhttp://www.esicoimbatore.org/benefits/esic_maternity.htmhttp://www.esicoimbatore.org/benefits/esic_sickness.htmhttp://www.esicoimbatore.org/benefits/esic_medical.htmhttp://www.esicoimbatore.org/benefits/esic_medical.htmhttp://www.esicoimbatore.org/benefits/index.htmhttp://www.esicoimbatore.org/benefits/index.htm -
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p oye to a ta a d e
the following books and returns.
1. Form 7 (Register of Employees showing the detailsof Gross wages, ESI contribution deducted,Contribution by the Employer and total for thecontribution period (six months)
2. Accident book in form 15
3. ESI Declaration in form 1, 4. Return of declaration in form 3 5. Return of Contribution in form 6 for the
contribution period (with similar entries as in registerof employees Form 7)
6. Accident report in form 16. (similar to Form 18 to befurnished to the Inspector of Factories and Boilers)
EMPLOYEES PROVIDENT FUNDEMPLOYEES PROVIDENT FUNDAND MISC PROVISIONS ACT
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AND MISC. PROVISIONS ACT,AND MISC. PROVISIONS ACT,
19521952An Act to provide for the institution ofAn Act to provide for the institution of
provident funds, pension funds andprovident funds, pension funds and
deposit linked insurance fund for thedeposit linked insurance fund for theemployees in the factories and otheremployees in the factories and other
establishmentsestablishments
Extends to the whole of India except theExtends to the whole of India except theState of Jammu and KashmirState of Jammu and Kashmir
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Applicabil itypplicabil ity Applies to al l factories andpplies to al l factories andestablishments in whichstablishments in which 20 or0 ormore are employedore are employed Continuity of applicationontinuity of application Exemption xemption Where employees gethere employees getbenefits in the nature ofenefits in the nature of
provident fund or old agerovident fund or old agepension fund from theension fund from theestablishment which are not lessstablishment which are not lessfavourable than the benefitsavourable than the benefitsunder the Act.nder the Act.
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Schemes under the Act
Three beneficial schemes-
1.Employees Provident Fund Scheme1952
2.Employees Pension Scheme 1995
3.Employees Deposit Linked Insurance1976
b hi
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membership
An employee at the time of joining theemployment and getting wages up to
Rs.6500/- is required to become a member.
an employee is eligible for membership offund from the very first date of joining a
covered establishment.
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Contribution to EPFContribution to EPF
Employees share : 12% of the Basic + DAEmployees share : 12% of the Basic + DA Employers contribution : 12% to beEmployers contribution : 12% to be
deposited as :deposited as :
8.33% to be deposited in Pension Fund8.33% to be deposited in Pension FundA/C No 10 andA/C No 10 and
the balance, ie, 3.67% to be deposited inthe balance, ie, 3.67% to be deposited in
Provident Fund A/C No 01 along withProvident Fund A/C No 01 along withEmployees share of 12%Employees share of 12%
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Contribution (contd.)Contribution (contd.)
Administration charges -Administration charges - @ 1.1% of the total wages/salary@ 1.1% of the total wages/salary
disbursed by deposit to A/C No 02,disbursed by deposit to A/C No 02, Employees Deposit Linked InsuranceEmployees Deposit Linked Insurance @@
0.5% of the total wages/salary by deposit0.5% of the total wages/salary by depositto A/C No. 21 andto A/C No. 21 and
Administration of EDLIAdministration of EDLI @ 0.01% of the@ 0.01% of thewages/ salary by deposit to A/C. No. 22.wages/ salary by deposit to A/C. No. 22.
Duties of employer
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Duties of employer Employer to furnish information about:
(a) Ownership and names of responsible personsof the establishment.
(b) Declaration and nomination.
(c) Joining and leaving of service by the members
in form 5 and form 10 respectively(d) Form 12A with monthly challans of deposit.
(e) Form 9 for details of employees.
(f) Form 3A/6A at the end of the financial year.
(g) Any other information as may be requiredunder Para 76 of the scheme
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Benefits to employees
Provident Fund Benefits
Pension Benefits Death Benefits
Provident Fund Benefits
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Provident Fund Benefits Employer also contributes to Members PF @
3.67% (1.67% in case of sick industry - eg: beedi) EPFO guarantees the Employer contribution and
Govt. gives a decent interest to PF accumulations
Member can withdraw from this accumulations to
cater financial exigencies in life - No need torefund unless misused
On resignation, the member can settle the account.i.e., the member gets his PF contribution, Employer
Contribution and Interest
Pension BenefitsPension BenefitsP i t M bPension to Member
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Pension to MemberPension to Member Pension to Family (on death of member)Pension to Family (on death of member) Scheme CertificateScheme Certificate
This Certificate shows the service & family details of aThis Certificate shows the service & family details of amembermember
This is issued if the member has not attained the ageThis is issued if the member has not attained the ageof 58 while leaving an establishment and he applies forof 58 while leaving an establishment and he applies for
this certificatethis certificate
Member can surrender this certificate while joiningMember can surrender this certificate while joininganother establishment and the service stated in theanother establishment and the service stated in thecertificate is added with the service he is gaining fromcertificate is added with the service he is gaining from
the new establishment.the new establishment.
After attaining the age of 50 or above, the member canAfter attaining the age of 50 or above, the member canapply for Pension by surrendering this schemeapply for Pension by surrendering this scheme
certificate (if total service is at least 10 years)certificate (if total service is at least 10 years) This is a better choice than Withdrawal Benefit, that ifThis is a better choice than Withdrawal Benefit, that ifa member dies holding a valid scheme certificate, hisa member dies holding a valid scheme certificate, his
family will get pension (Death when NOT in service)family will get pension (Death when NOT in service)
Pension benefit (contd )Pension benefit (contd )
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Pension benefit (contd.)Pension benefit (contd.) Withdrawal BenefitWithdrawal Benefit
if not eligible for pension, member may withdraw theif not eligible for pension, member may withdraw theamount accumulated in his pension accountamount accumulated in his pension account
the calculation of this amount is based only on (i) Lastthe calculation of this amount is based only on (i) Lastaverage salary and (ii) Service (Not based on actualaverage salary and (ii) Service (Not based on actual
amount available in Pension Fund Account)amount available in Pension Fund Account) No amount is taken from Member to give Pension to the Member.No amount is taken from Member to give Pension to the Member.
Employer and Govt. contribute to Pension fund @8.33% andEmployer and Govt. contribute to Pension fund @8.33% and
@1.16% [email protected]% respectively
EPFO guarantees pension to members, even if the Employer hasEPFO guarantees pension to members, even if the Employer has
not contributed to Pension Fund.not contributed to Pension Fund.
Pension calculation is similar to that of Govt. EmployeePension calculation is similar to that of Govt. Employee
Death BenefitsDeath Benefits
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Provident Fund Amount to Family (orProvident Fund Amount to Family (or
to Nominee)to Nominee) Pension to Family (or to Parent /Pension to Family (or to Parent /
Nominee)Nominee)
Capital Return of PensionCapital Return of Pension
Insurance (EDLI) amount to FamilyInsurance (EDLI) amount to Family(or to Nominee)(or to Nominee) No amount is taken from Member forNo amount is taken from Member for
this facility. Employer contributes forthis facility. Employer contributes for
this.this. Nominee is basically determined asNominee is basically determined as
per the information submitted by theper the information submitted by themember at this office through FORM-member at this office through FORM-
22
THE PLANTATION LABOUR ACTTHE PLANTATION LABOUR ACT
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19511951
AN ACT TO PROVIDE FOR THE WELFAREAN ACT TO PROVIDE FOR THE WELFAREOF THE LABOUR, AND TO REGULATE THEOF THE LABOUR, AND TO REGULATE THE
CONDITIONS OF WORK, IN PLANTATIONSCONDITIONS OF WORK, IN PLANTATIONS
It extends to the whole of India exceptIt extends to the whole of India exceptthe State of Jammu and Kashmirthe State of Jammu and Kashmir
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Applicabil itypplicabil ity Applies to any land used or intended topplies to any land used or intended tobe used for growing tea, coffee, rubber,e used for growing tea, coffee, rubber,cinchona or cardamom or any otherinchona or cardamom or any otherplant whichlant which measures 5 hectares oreasures 5 hectares or
more and in which 15 or more workersore and in which 15 or more workersare employedre employed on any day of theon any day of thepreceding 12 months.receding 12 months. The S t a t e G ove r nm en t b y no t i f ic a t io nhe S t a t e G ove r nm en t b y no t i f i c a t i o n
c an app l y t h i s law t o a n y o t h e r l a ndan app l y t h is l aw t o an y o t h e r la ndeven i f i t me a su r e s l e s s t h an 5 h e c t a r e sv en i f i t me a su r e s l e s s t h an 5 h e c t a r e sand em p l o y s le s s t h an 15 wo r ke r s .n d em p l o y s le s s t h an 15 wo r ke r s .
Duties of the Employer
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p y Provision of: Drinking Water
Separate Toilets for Men and Women Medical facilities to the workmen and their family Canteen where 150 or more workers are employed Crcheswhere 50 or more women workers are
employed or where the number of children of womenworkers is 20 or more Recreational facilities Educational Facilities where children between the ages
of six and twelve of workers employed in any
plantation exceed twenty five. Housing facility Welfare Officerwhere three hundred or more workers
are employed.
Hours of work and Limitations ofHours of work and Limitations of
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employmentemployment
Hours of work 48 hours per week which can beHours of work 48 hours per week which can beextended to 54 hours with double the rate asextended to 54 hours with double the rate asovertime wagesovertime wages
Weekly holidayWeekly holiday
Daily intervals of restDaily intervals of rest Prohibition of employing women workersProhibition of employing women workers
between 7 pm and 6 ambetween 7 pm and 6 am
Annual Leave (with wages) @ 1 per 20 days workAnnual Leave (with wages) @ 1 per 20 days work
Sickness and maternity benefitsSickness and maternity benefits Employer to furnish Notice of AccidentEmployer to furnish Notice of Accident
Employer to maintain a register of AccidentsEmployer to maintain a register of Accidents
THE INDUSTRIAL DISPUTESTHE INDUSTRIAL DISPUTES
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ACT, 1947ACT, 1947
An Act to make provision for then Act to make provision for theinvestigation and settlement ofnvestigation and settlement ofindustrial disputes, and for certainndustrial disputes, and for certainother purposes.ther purposes.
It extends to the whole of Indiat extends to the whole of India
Industrial disputeIndustrial dispute
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Industrial disputeIndustrial dispute
Any dispute orny dispute or differencedifference betweenbetweenemployers and employers, ormployers and employers, orbetween employers and workmen,etween employers and workmen,or between workmen and workmenr between workmen and workmen ,,which is connected with the employmentwhich is connected with the employment
or non-employment or the terms ofor non-employment or the terms of
employment or with the conditions ofemployment or with the conditions oflabour, of any person.labour, of any person.
AUTHORITIES UNDER THIS ACTAUTHORITIES UNDER THIS ACT
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AUTHORITIES UNDER THIS ACTAUTHORITIES UNDER THIS ACT
Works Committeeorks Committee Concil iation officersoncil iation officers Boards of Concil iationoards of Concil iation Courts of Inquiryourts of Inquiry Labour Courtsabour Courts Tribunalsribunals National Tribunalsational Tribunals
Works Committee
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Works Committee
Where?: Establishments with 100or more workers
Members: Equal number of
representatives of the Employer
and Employees
Objective: promotion of goodrelationship between employer
and employee(s)
Conciliation officersConciliation officers
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Conciliation officersConciliation officers
Appointed by the appropriateGovernment
Duty: Settlement of industrial disputes.
Nature : Appointed for a specified areaor for specified industries in a
specified area or for one or more
specified industries and eitherpermanently or for a limited period.
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Boards of Conciliation Appointed by the appropriate
Government as occasion arises forsettlement of disputes.
Board shall consist of an independentChairman and two or four othermembers in equal numbers torepresent the parties to the dispute
Courts of Inquiry
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Courts of Inquiry
Constituted by the appropriate Governmentas occasion arises for inquiring into any
matter appearing to be connected with or
relevant to an industrial dispute
Labour Courts
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Labour Courts
Labour Courts are constituted by theappropriate Govt. for the adjudication of
industrial disputes relating to any matter
specified in the Second Schedule and forperforming such other functions as may be
assigned to them under this Act.
Tribunals
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bu a s
Tribunalsare constituted by theappropriate Govt. for the adjudication of
industrial disputes relating to any matter
specified in the Second Schedule or theThird Schedule and for performing such
other functions as may be assigned to
them under this Act.
National Tribunals
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National Tribunals
National Tribunals areconstituted by theCentral Government for the adjudication of
industrial disputes which, in the opinion of
the Central Government, involve questionsof national importance or are of such a
nature that industrial establishments
situated in more than one State are likelyto be interested in, or affected by such
disputes.
Matters within the Jurisdiction of LabourMatters within the Jurisdiction of Labour
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Matters within the Jurisdiction of LabourMatters within the Jurisdiction of Labour
CourtsCourts (the II Schedule)(the II Schedule) 1.The propriety or legality of an order.The propriety or legality of an orderpassed by an employer under the standingassed by an employer under the standingorders;rders; 2.The application and interpretation of.The application and interpretation of
standing order;tanding order; 3.Discharge or dismissal of workmen.Discharge or dismissal of workmenincluding re- instatement of, or grant ofncluding re-instatement of, or grant ofrelief to, workmen wrongfully dismissed;elief to, workmen wrongfully dismissed; 4.Withdrawal of any customary concession.Withdrawal of any customary concession
or privilege;r privilege; 5.Illegal ity or otherwise of a strike or lock-.Illegal ity or otherwise of a strike or lock-out; andut; and 6.All matters other than those specified in.All matters other than those specified inthe Third Schedule.he Third Schedule.
Matters within the Jurisdiction ofMatters within the Jurisdiction of
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Industrial TribunalsIndustrial Tribunals (the III schedule)(the III schedule)
1.Wages, including the period and1.Wages, including the period andmode of payment;mode of payment;
2.Compensatory and other allowances;2.Compensatory and other allowances;3.Hours of work and rest intervals;3.Hours of work and rest intervals;
4.Leave with wages and holidays;4.Leave with wages and holidays;
5.Bonus, profit sharing, provident fund5.Bonus, profit sharing, provident fundand gratuity;and gratuity;
6.Shift working otherwise than in6.Shift working otherwise than in
accordance with standing ordersaccordance with standing orders;;
III schedule (contd )
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III schedule (contd.)
7.Classification by grades;8.Rules of discipline;
9.Rationalisation;
10.Retrenchment of workmen and
closure of establishment; and
11.Any other matterthat may be
prescribed.
Prohibition of strikes and
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lock outs
Not to strike without giving six weeksnotice of strike and during the pendency ofany conciliation proceedings
Not to declare lock-out without giving to
the employees six weeks notice of lock outand during the pendency of anyconciliation proceedings
A strike or lock-out shall be illegal if it iscommenced or declared in contraventionof the above.
Not to support of any illegal strike or lock-out
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LAY-OFF AND RETRENCHMENTAY-OFF AND RETRENCHMENTNo workman (other than a badli workmanNo workman (other than a badli workman
or a casual workman) whose name is borneor a casual workman) whose name is borne
on the muster-rolls of an industrialon the muster-rolls of an industrial
establishment whereinestablishment wherein 50 or more0 or moreworkers are employedorkers are employed shall be laid-offshall be laid-offby his employer except with the priorby his employer except with the prior
permission of the appropriate Government.permission of the appropriate Government.
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Lay off compensation
a workman (other than a badliworkman or a casual workman) whohas completed one year of
continuous service under anemployer shall be paid Lay offcompensation
Lay off compensation shall be equal
to fifty per cent of the wages (Basic+ DA) Lay off compensation need not be
paid for the weekly holidays which
may intervene
Continuous Service
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An employee is in continuous service in a calendaryear provided he has worked for
190 days in case employee is employedbelow the ground and
240 days in any other case.
The days he/she has been laid offunder an agreement or under the ID Act or
as permitted by the Standing Orders
on leave with pay
absent due to temporary disablement due toemployment injury
on maternity leave
shall be taken as worked for the calculation of
190/240 days.
Workmen not entitled toWorkmen not entitled to
ti i t iti i t i
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compensation in certain casescompensation in certain casesWhen a worker refuses to accept alternativeWhen a worker refuses to accept alternative
employment in the same establishment oremployment in the same establishment oranother establishment owned by the employeranother establishment owned by the employerand situated in the same village or town orand situated in the same village or town orwithin 5 a radius of miles of the establishment.within 5 a radius of miles of the establishment.
When a worker does not present himself forWhen a worker does not present himself forwork at the establishment at the appointed timework at the establishment at the appointed timeduring normal working hours at least once aduring normal working hours at least once adayday
When such laying-off is due to a strike orWhen such laying-off is due to a strike or
slowing-down of production on the part ofslowing-down of production on the part ofworkmen in another part of the establishmentworkmen in another part of the establishment
R t h t f k
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Retrenchment of workmen
No workman who has been in continuousservice for not less than one year shall beretrenched without giving one months notice(three months notice wherein not less than
100 workers are employed) in writingindicating the reasons for retrenchment or if no notice is given, wages in lieu of such
notice. Retrenchment of workmen employed in an
establishment wherein not less than 100workers are employed requires permissionfrom the appropriate Govt.
Retrenchmentetrenchment
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Compensationompensation Fifteen days average pay forifteen days average pay forevery year (or part thereof invery year (or part thereof in
excess of six months) of hisxcess of six months) of hisserviceervice THIS IS APART FROM THEHIS IS APART FROM THEGRATUITY PAYABLE UNDER THERATUITY PAYABLE UNDER THEPAYMENT OF GRATUITY ACTAYMENT OF GRATUITY ACT
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Compensation to workmen in case of
transfer of undertakings
every workman shall be entitled to notice and
compensation as if the workman had been
retrenched.
No compensation on transfer
id d
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provided
1 . the service of the workman has notbeen interrupted by such transfer;
2 . the terms and conditions of serviceapplicable to the workman after suchtransfer are not in any way less favourableto the workman
3 . the new employer takes in to
account the continuous service of theworkman.
Notice to be given of intention toNotice to be given of intention toclose down any undertakingclose down any undertaking
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close down any undertakingclose down any undertaking An employer who intends to close down anAn employer who intends to close down an
undertaking shall giveundertaking shall give at least sixty days noticeat least sixty days notice(Ninety days wherein not less than 100 workers(Ninety days wherein not less than 100 workersare employedare employed) to the appropriate government) to the appropriate governmentstating clearly the reasons for the intendedstating clearly the reasons for the intendedclosure of the undertaking:closure of the undertaking:
This section shall not apply to-This section shall not apply to- (a) an undertaking in which less than fifty(a) an undertaking in which less than fifty
workmen are or were employed, orworkmen are or were employed, or (b) an undertaking set up for the(b) an undertaking set up for the
construction of buildings, bridges, roads, canals,construction of buildings, bridges, roads, canals,dams or for other construction work or project.dams or for other construction work or project.
Compensation to workmen in case of
closing down of undertakings
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closing down of undertakings
Compensation be paid as if workmen are
retrenched
However no compensation is payable if theestablishment is closed down on account of
unavoidable circumstances beyond the
control of the employer
TheseT ese shall nots a not constituteconst tutecircumstances beyond thecircumstances beyond the
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yy
controlcontrol financial difficulties (includingfinancial difficulties (including
financial losses); orfinancial losses); or
accumulation of undisputed offaccumulation of undisputed off
stocks; orstocks; or the expiry of the period of thethe expiry of the period of the
lease or license granted to it; orlease or license granted to it; or
in case where the undertaking isin case where the undertaking isengaged in mining operations,engaged in mining operations,
exhaustion of the minerals in theexhaustion of the minerals in the
area in which operations arearea in which operations are
Procedure for retrenchment and
re employment
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re employment
Retrench the last worker to beappointed under a particular category
first
For re-employment, retrenched
worker shall have preference over
other persons
RECOVERY OF MONEY DUEECOVERY OF MONEY DUE
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FROM AN EMPLOYER (ROM AN EMPLOYER ( sectionection33 C of ID Act3 C of ID Act )
Any sum due from the employerny sum due from the employerunder a settlement or an award isnder a settlement or an award isrecoverable in the same manner asecoverable in the same manner asann arrear of land revenuerrear of land revenueApplication by the employee to bepplication by the employee to bereceived with in ONE year.eceived within ONE year.Any sum capable of being computedny sum capable of being computedin terms of money shall be recoveredn terms of money shall be recoveredfrom the employer with therom the employer with theintervention of Labour Court.ntervention of Labour Court.
UNFAIR LABOUR PRACTICESUNFAIR LABOUR PRACTICES
O th t f lO th t f l
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On the part of employersOn the part of employers
threatening workmen with discharge orthreatening workmen with discharge ordismissal, if they join a trade uniondismissal, if they join a trade union
threatening a lock-out or closure, if a trade unionthreatening a lock-out or closure, if a trade union
is organisedis organised
granting wage increase to workmen at crucialgranting wage increase to workmen at crucial
periods of trade union organisation, with a viewperiods of trade union organisation, with a view
to undermining the efforts of the trade union atto undermining the efforts of the trade union at
organisationorganisation
an employer taking an active interest inan employer taking an active interest in
organising a trade, union of his workmenorganising a trade, union of his workmen
Unfair-employer (contd.)Unfair-employer (contd.)
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To establish employer-sponsored trade unionso establish employer-sponsored trade unionsof workmenf workmen discharging or punishing a workman, becauseischarging or punishing a workman, becausehe urged other workmen to join or organise ae urged other workmen to join or organise a
trade unionrade union discharging or dismissing a workman forischarging or dismissing a workman fortaking part in any strike (not being a strikeaking part in any strike (not being a strikewhich it deemed to be an il lega l strike underhich it deemed to be an il legal strike under
this Act)his Act) changing seniority rating of workmenhanging seniority rating of workmenbecause of trade union activitiesecause of trade union activities
Unfair-employernfair-employer
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(contd.)contd.) refusing to promote workmen to higherefusing to promote workmen to higher
posts on account of their trade unionosts on account of their trade unionactivitiesctivities giving unmerited promotions to certainiving unmerited promotions to certainworkmen with a view to creating frictionorkmen with a view to creating friction
amongst other workmen, or tomongst other workmen, or toundermine the strength of their tradendermine the strength of their tradeunionnion discharging office bearers or activeischarging office bearers or active
members of the trade union on accountembers of the trade union on accountof their trade union activitiesf their trade union activities
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Unfair-employer (contd )Unfair-employer (contd )
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Unfair employer (contd.)Unfair employer (contd.)
To abolish the work of a regular natureo abolish the work of a regular naturebeing done by workmen, and to give sucheing done by workmen, and to give suchwork to contractors as a measure ofork to contractors as a measure ofbreaking a strike.reaking a strike. To transfer a workman mala fide from oneo transfer a workman mala fide from one
place to another, under the excuse oflace to another, under the excuse offollowing management policy.ollowing management poli cy. To insist upon individual workmen, who areo insist upon individual workmen, who areon a legal strike to sign a good conductn a legal strike to sign a good conductbond, as a precondition to allowing them toond, as a precondition to allowing them to
resume work.esume work.
Unfair-employer (contd.)Unfair-employer (contd.)
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To show favoritism or partiali ty to one set ofo show favoritism or partiality to one set ofworkers regardless of merit.orkers regardless of merit. To employ workmen as "badli s" casuals oro employ workmen as "badlis" casuals ortemporaries and to continue them as such foremporaries and to continue them as such foryears, with the object of depriving them ofears, with the object of depriving them ofthe status and privileges of permanenthe status and privileges of permanentworkmen.orkmen. To discharge or discriminate against anyo discharge or discriminate against anyworkman for fi l ing charges or testifyingorkman for fi l ing charges or testifying
against an employer in any enquiry orgainst an employer in any enquiry orproceeding relating to any industrial dispute.roceeding relating to any industrial dispute.
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Unfair-employer (contd.)
To recruit workmen during a strike which isnot an illegal strike.
Failure to implement award, settlement or
agreement. To indulge in acts of force or violence. To refuse to bargain collectively, in good
faith with the recognised trade unions.
Proposing or continuing a lock-out deemedto be illegal under this Act
UNFAIR LABOUR PRACTICESUNFAIR LABOUR PRACTICES
On the part of workmenOn the part of workmen
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On the part of workmenOn the part of workmen
advise, support or instigate any strike deemed toadvise, support or instigate any strike deemed tobe illegal under this Act.be illegal under this Act.
coerce workmen to join a trade union or refraincoerce workmen to join a trade union or refrainfrom joining any trade union,from joining any trade union,
picket in such a manner that non-strikingpicket in such a manner that non-strikingworkmen are physically debarred from enteringworkmen are physically debarred from enteringthe work placesthe work places
indulge in acts of force or violence or intimidationindulge in acts of force or violence or intimidationin connection with a strike against non-strikingin connection with a strike against non-strikingworkmen or against managerial staffworkmen or against managerial staff
Unfair- employeenfair- employee(contd.)contd.)
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For a recognised union to refuse to bargainor a recognised union to refuse to bargaincollectively in good fai th with the employer.ollectively in good faith with the employer. To indulge in coercive activit ies againsto indulge in coercive activities againstcertification of bargaining representative.ertification of bargaining representative. To stage, encourage or instigate such formso stage, encourage or instigate such formsof coercive actions as willful "go slow",f coercive actions as willful "go slow",
squat on the work premises or "gherao" ofquat on the work premises or "gherao" ofany of the members of the managerial orny of the members of the managerial orother staff.ther staff. To stage demonstrations at the residenceso stage demonstrations at the residencesof the employers or the managerial stafff the employers or the managerial staff
members.embers.
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Unfair- employee (contd.)
To motivate or indulge in willful
damage to employer's property.
To indulge in acts of force or violence
or to hold out threats of intimidation
against any workman with a view to
preventing him from attending work.
The Trade Unions Act, 1926The Trade Unions Act, 1926
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,,
An act to provide for theAn act to provide for the registrationregistration ofofTrade Unions and in certain respects toTrade Unions and in certain respects to
define the law relating to registered Tradedefine the law relating to registered Trade
Unions.Unions. It extends to the Whole of IndiaIt extends to the Whole of India
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Registration
The minimum number of workers to form a
registered Trade Union is 10% or 100
whichever is less, subject to a minimum of 7workers.
Ensure that the number of members does not
fall down the above requirement.
Sale Promotion EmployeesSale Promotion Employees
(Conditions of Service) Act 1976(Conditions of Service) Act 1976
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(Conditions of Service) Act, 1976(Conditions of Service) Act, 1976
An Act to regulate certain conditions ofAn Act to regulate certain conditions ofservice of sales promotion employees inservice of sales promotion employees in
certain establishments, in the firstcertain establishments, in the first
instance,instance, engaged in pharmaceuticalengaged in pharmaceuticalindustryindustry
It extends to the whole of IndiaIt extends to the whole of India
APPLICATION OF CERTAIN ACTS
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APPLICATION OF CERTAIN ACTS
Provides for APPLICATION OFCERTAIN ACTS, such asWorkmen's Compensation Act,
1923, Industrial Disputes Act, 1947,Minimum Wages Act, 1948,Maternity Benefit Act, 1961,Payment of Bonus Act, 1965 and
Payment of Gratuity Act, 1972TOSALES PROMOTION EMPLOYEES
THANK YOU
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THANK YOU