2. LABOUR COMPLIANCES
INTRODUCTION :
India has seen a huge development of business and
economic growth in the recent times. Labour law compliance is
basically set of terms or conditions of employment. There are
many laws and acts that a firm is required to follow. If the
corporation fails to comply with the regulations then it may
lead towards punitive action from the concerned authorities.
There are central laws, as well as there are state laws with
which a business is required to comply with.
However, labour law compliances are imposed by the state
government and central government.
3. LAWS RELATING TO WAGES
INTRODUCTION :
The history of wage legislation in India began with the
passing of the government of India Act, 1935 which gave
autonomy providing leverage to the provincial
governments to take steps for bettering the condition of
workers. A number of committees were appointed in the
provinces to examine existing levels of wages and
conditions of employment and to make recommendations .
4. TYPES OF LAWS RELATING TO WAGES
Payment of Wages Act,
1936
Minimum Wages Act,
1948
Payment of Bonus Act,
1965
5. THE PAYMENT OF WAGES ACT, 1936
The Payment of Wages Act, 1936 was passed to regulate
the payment of wages to certain classes of persons
employed in industry.
It is essentially meant for the benefit of the industrial
employees not getting very high salaries and the
provisions of the Act were enacted to safeguard their
interest .
It also provides against irregularities in payment of wages
and unauthorized deductions there form by the employers.
Further, it ensures payment of wages in a particular form
and at regular intervals without unauthorized deductions.
6. OBJECTIVES OF THE ACT
It was passed to regulate the payment of wages to certain
groups of employees at regular intervals and without any
unauthorized deductions.
It is essentially meant for the benefit of industrial
employees who are not getting very high wages and the
provisions of the Act were enacted to safeguard their
interest.
It ensures payment of wages in a particular form and at
regular intervals without unauthorised deductions.
7. RULES FOR PAYMENT OF WAGES
Responsibility for payment of wages
[Section 3]
Fixation of Wage period [Section 4]
Time of payment of Wages [Section 5]
Medium of payment of Wages(wages to
be paid in current coin or currency notes)
[Section 6]
8. DEDUCTIOns
Deductions from wages [Section 7]
Fines [Section 8]
Deductions for Absence from Duty [Section 9]
Deductions for Damage or Loss [Section 10]
Deductions for Services Rendered [Section 11]
Deductions for Recovery of Advances [Section 12]
Deductions for Recovery of Loans [Section 12-A]
Deductions for Payments to Co-operative Societies and
Insurance Schemes [Section 13]
Maintenance of Registers and Records [Section 13-A]
9. PAYMENT OF MINIMUM WAGES ACT, 1948
Introduction :
Minimum wage is the one which provides not merely for bare
sustenance of life, but also the preservations of the efficiency
of the worker.
The minimum wage fixing machinery convention was held at
Geneva during 1928 and the resolution of that was embodied in
articles 223 to 228 of the international labour code to represent
fixation of minimum wages such bonds are absent or wages are
exceptionally low.
The foundational aim of the minimum wages act is to prevent
exploitation of labour in industries.
10. OBJECTIVES OF THE ACT
To provide minimum (statutory) wages for scheduled
employments
To provide for maximum daily working hours, weekly rest
and overtime.
To promote the welfare of workers by fixing minimum
rates of wages in certain industries where labour is not
organised and sweated labour is most prevalent.
To prevent exploitation of workers by ensuring that they
are paid the minimum wages, which would provide for
their subsistence and preserve their efficiency.
11. THE PAYMENT OF BONUS ACT, 1965
Introduction :
Bonus is a concept referring to ex gratia payment or
bounty or a payment by way of gift. Normally the term
bonus implies an extra payment over and above what is
due to the person concerned given as a voluntary gift.
Bonus also is one method of sharing of profits with the
workers.
12. OBJECTIVES OF THE ACT
To improve statutory liability upon an employer of every
establishment covered by the Act to pay bonus to
employees in the establishment;
To define the principle of payment of bonus according to
the prescribed formula;
To provide for payment of minimum and maximum bonus
and linking the payment of bonus with the scheme of ‘set-
off and set-on; and
To provide machinery for enforcement of the liability for
payment of bonus.
13. EQUAL REMUNERATION ACT, 1976
Introduction :
The principle of equal pay for equal work to men and
women workers has been gaining increasing acceptance
all over the world. In many countries, laws have been
passed prohibiting discrimination between men and
women in matters relating to payment of wages for the
same or similar work.
14. OBJECTIVES OF THE ACT
To pay equal remuneration to men and women workers.
To prevent discrimination on the ground of sex, against
women in the matter of employment,
To provide increasing opportunity to women, and
To set-up an advisory committees to promote employment
opportunities for women.
15. SOCIAL SECURITY, INDUSTRIAL SAFETY
AND WELFARE
Meaning :
‘Social Security’ provides protection to the labourers and
their families, and hence is very crucial component of
labour welfare. ‘Social Security’ is a means that has been
made by the society for the continuous protection of its
members from every aspect that poses threat to them.
16. OBJECTIVES OF SOCIAL SECURITY
To provide income security
To provide job security
To provide assistance
To provide assistance in household functions
18. INDUSTRIAL SAFETY
Meaning :
Industrial safety can be referred to the procedures and
practices that are put into effect so that the threat of
damage, injury and hazard to property, person or
environment or any place or section including the
producing, manufacturing or processing of merchandise is
minimised. One basic problem that the organisation faces
who operate in dangerous conditions.
19. NEED FOR INDUSTRIAL SAFETY
To save human lives from losses
To get rid of the financial cost
To be socially responsible
To be free from insurance premium costs
To be free of fine or imprisonment against
safety failure.
20. LABOUR WELFARE
Meaning :
The term employee or labour welfare is a broad term
which comprises of numerous services, facilities and
benefits that the employer offers to the employees.
It includes joy, comfort, contentment, protection and
growth of human capital.
It helps employees to set minimum desirable standards
like housing, health, clothing education, job, insurance
and fun for themselves.
21. FEATURES OF LABOUR WELFARE
Dynamic in nature: Employee welfare is an ever changing
concept and is different in different countries and also
differs from area to area in any given country. It is a
flexible and dynamic concept as welfare measures are
modified and added periodically.
Complementary in Nature: The measures that companies
take on employee welfare are supplementary to the regular
salary and other benefits that the employers, the
government, labour unions and other agencies also
provide welfare measures.
22. Vital part of social welfare: Employee welfare is
considered to be a very important aspect of social welfare,
as it enables the employee to balance his professional life
and domestic life with the society. The main motive
behind employee welfare is to enhance the quality of life
of the workers and convert them into good employees and
good citizens.
Dual Aspect: The actions taken for employee welfare can
be both statutory and voluntary. The warm and
humanitarian emotions of the employer are the outcome of
voluntary action or may be because of the tradition of
some industries or local customs. The statutory actions are
recommended by the labour laws. The measures taken for
employee welfare are also called employee benefits and
services.
23. OBJECTIVES OF LABOUR WELFARE
To provide better work life, personal and social life and health
to the labour force.
To make the workers happy and satisfied with the work
environment.
Dissatisfaction regarding work life among the workforce
creates industrial conflict and dispute. Labour welfare aims at
minimizing industrial dispute and industrial conflict.
To increase production by increasing efficiency.
To provide better physical work environment.
To improve the standard of living of the workers.
24. IMPORTANCE OF LABOUR WELFARE
Improving worker’s health – Labour welfare provides
healthcare benefits, security against work hazards. Different
welfare facilities provide better physical and mental health of
the workers.
Increase in efficiency – Different welfare programme creates a
better workplace and improves the physical and mental health
of the workers enabling them to improve their performance and
efficiency.
Reduction in labour turnover – Labour welfare programme
provides satisfaction to the workers. Satisfied workers are more
enthusiastic at work. This reduces labour turnover and
absenteeism.
25. Improving employee’s morale – Labour welfare programme
makes the worker feel that they are important asset of the
organisation and are looked after. This improves the morale of
the employees.
Promotion of industrial peace – Welfare services helps to
maintain industrial peace .It avoids conflict with trade unions
relating to issues like unhealthy work environment, accidents at
work place, hazardous working conditions and so on.
Providing satisfaction to workers – Welfare facilities like
housing, medical benefits, education and recreation facilities
for the worker’s and their families help to create contented
workers. Health and safety measures, improvement in working
conditions, prevention of accidents creates satisfaction among
the workers.
26. INDUSTRIAL RELATIONS AND SEXUAL
HARASSMENT AT WORKPLACE
Meaning and Definition of Industrial Relations :
The term ‘Industrial Relations’ is made up of two
words- ‘Industry’ and ‘Relations’ where ‘Industry’ denotes
a fruitful and creative activity that involves individuals or
group of people and ‘Relations’ denotes association
between employer and employee, employee and
employee, labour union and management, organisation
and society, etc. which exists in the relationship between
the employees and management which is a direct or
indirect result of the union- employer relationship.
27. OBJECTIVES OF INDUSTRIAL RELATIONS
To protect workers and management interest : protecting the
well- being of worker and management by creating excellent
understanding and goodwill between the various sections that
are responsible for production is the prime objective of
industrial relations.
To improve economic status of workers: The aim of industrial
relations is to enhance the economic standing of workers by
increasing their wages and benefits and by assisting the
workers in developing an effective budget.
To develop and support labour unions : It creates and promotes
labour unions so that the workers strength can be enhanced.
28. To regulate control of government: Industrial relations
handle control of the government of those units that are
facing a constant loss or the ones where production is
controlled for the benefit of the public.
To increase productivity : Another objective of industrial
relations is to enhance productivity to superior level by
ensuring that employees work with full strength.
To ensure workers participation: It aims at giving a chance
to the workers to express their views in management and
participate in decision- making. It also increases workers
power so that their problems are solved through joint
discussion between the workers and management .
29. Factors influencing industrial relations
Economic Factors
Institutional Factors
Technological Factors
Political Factors
Social and Cultural Factors
Organisational Factors
Global Factors
30. IMPORTANCE OF INDUSTRIAL RELATIONS
Good industrial relations help in the economic progress of a
country. The problem of enhancing productivity is necessarily
the problem of establishing and maintaining good industrial
relation. Because of this, they form an important part of the
economic development plan of every civilized nation.
(ii) Healthy industrial relations are also essential to help
establish and maintain true industrial democracy which is a
prerequisite for the establishment of a socialist society.
(iii) In order to help management both in the formulation of
informed labor relations policies and in their translation into
action.
31. Sexual harassment at workplace
Meaning and Definition:
Different unpleasant and offensive activities lead to the
harassment of the individual. The awkward behaviour with the
intention of disturbing or threatening an individual is
understood as ‘harassment’. In an oraganisation, sexual
harassment is the most common type of harassment faced by an
employee.
According to Catherine A. Mackinnon, “Sexual
harassment is defined as sexual attention imposed on
someone who is not in a position to refuse it”.
32. TYPES OF SEXUAL HARASSMENT
Quid Pro Quo Sexual Harassment : The Latin term quid pro
quo translates to "something for something." Therefore, quid pro
quo harassment occurs in the workplace when a manager or
other authority figure offers or merely hints that he or she will
give the employee something (a raise or a promotion) in return
for that employee's satisfaction of a sexual demand.
33. Hostile Environment Sexual Harassment : Hostile work
environment sexual harassment is any conduct directed at an
employee because of that employee’s sex that unreasonably
interferes with the employee’s work performance or creates an
intimidating, hostile or offensive working
environment. Examples of sexual harassment include, but are
not limited to:
Unwanted sexual advances or touching
Gender jokes
Lewd/sexual jokes
Inappropriate gestures
Offensive remarks about looks, body parts and clothes
34. EFFECTS OF SEXUAL HARASSMANT
Emotional Effects
Physical Effects
Economic Effects
