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Industrial Acts

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Industrial Acts

  1. 1. WELCOME
  2. 2. <ul><li>WORKMEN’S COMPENSATION ACT 1923 </li></ul><ul><li>FACTORIES ACT 1948 </li></ul><ul><li>APPRENTICES ACT 1961 </li></ul><ul><li>CONTRACT LABOR ACT[R&A] 1970 </li></ul><ul><li>EMPLOYMENT EXCHANGES ACT 1959 </li></ul><ul><li>LABOR LEGISLATIONS </li></ul><ul><li>SHOPS & COMMERCIAL ESTABLISHMENT ACT </li></ul>CONTENTS OF PPT
  4. 4. WORKMEN’S COMPENSATION ACT 1923 <ul><ul><li>Before elucidating about this act, Parliament has passed workmen’s compensation (Amendment Bill) 2009, Which mainly provides for the following </li></ul></ul><ul><li>a) Change of name of the Act to employee’s Compensation Act 1923 </li></ul><ul><li>b) Enhancement in Minimum Payment Compensation (Amount Details will be listed in coming slides) </li></ul><ul><li>c) Reimbursement of actual medical expenses incurred during treatment of injury caused whilst employment </li></ul><ul><li>d) Increase in coverage by omission of restrictive clause in schedule II & inclusion of additional hazardous activities </li></ul><ul><li>e) Disposal of cases of compensation by commissioner within 3 months </li></ul><ul><li>f) Empower central Govt. to specify monthly wages for the purpose of compensation & enhance minimum rates of compensation from time to time </li></ul>
  5. 5. PROCEDURE FOR COMPENSATION <ul><li>Notice of accident </li></ul><ul><li>Medical Examination </li></ul><ul><li>Claim For examination </li></ul><ul><li>Registration of the compensation agreements </li></ul><ul><li>Commissioner for workmen’s compensation </li></ul><ul><li>Appeal </li></ul>
  6. 6. WORKMEN COMPENSATION ACT 1923 <ul><li>To deposit the compensation on an accident with the commissioner under the act </li></ul><ul><li>To deposit the compensation when due and penalty for the default with the commissioner under the act </li></ul><ul><li>To observe the method of calculating wages </li></ul><ul><li>To report fatal accidents and serious bodily injuries </li></ul><ul><li>Not to indulge in contracting out </li></ul>
  7. 7. WORKMEN’S COMPENSATION ACT 1923 <ul><li>Person Responsible – Employer – Penal Provisions- Fine Up to Five hundred Rupees </li></ul><ul><li>Some Special Cases on Workmen Compensation act 1923 in the following slides </li></ul>
  8. 8. WORKMEN’S COMPENSATION ACT 1923 <ul><li>Jharkand high court DB : Project officer, Giddi ’A’ colliery CCL, Hazaribagh Vs. Sanjay Prasad Chaurasia & another 2005 ILLJ 891 </li></ul><ul><li>The workmen’s compensation act, 1923 –Section 2(d) and 10-A child in the mothers womb at the time of its father- workers death is ‘dependent’. However, claim made by the child dependent after attaining majority, is barred by limitation </li></ul>
  9. 9. WORKMEN’S COMPENSATION ACT 1923 <ul><li>Kerela high court : V. Sukumaran Vs Union of India, 2005 Lab IC 2285 </li></ul><ul><li>The workmen’s compensation act ,1923- section 4-Osteoarthrits was not an occupational disease and hence the compensation under the act was not payable. The disease must be attributable to a specific injury arising out of and in the course of employment. </li></ul>
  10. 10. WORKMEN’S COMPENSATION ACT 1923 <ul><li>Various research have proved that stress related diseases like Hyper-tension, Ulcers, Hemorrhage and Insomnia are on increase </li></ul><ul><li>They also associated it with work related stress </li></ul><ul><li>If an employee is able to establish the relationship between his disease and work, then he is eligible to get compensation </li></ul><ul><li>It has to be proved on the basis of the report by a qualified doctor under the law </li></ul><ul><li>As preventive measures we should try to create a work environment to avoid unnecessary stress </li></ul><ul><li>Regular health check ups </li></ul>
  11. 11. FACTORIES ACT 1948
  12. 12. FACTORIES ACT 1948 <ul><li>Act which makes it obligatory on the part of the employer to provide for the health, safety and welfare of the workers employed. </li></ul><ul><li>Applies to every factory wherein 10 or more workers were employed, if run with power and 20 or more workers were employed. </li></ul><ul><li>Maintaining of important register enhance smooth performance of the organization. </li></ul>
  13. 13. FACTORIES ACT 1948 <ul><li>Hours of work (adult) not to exceed 48 hours in a week or 9 hours in a day. </li></ul><ul><li>Relaxation: Where an adult worker is engaged in urgent repairs. </li></ul><ul><li>Payment of Overtime wages for overstay at workplace @ twice the ordinary rate of wages. </li></ul><ul><li>** Provision relating to hours of work not applicable to supervisory staff . </li></ul><ul><li>Weekly Holiday: No work for more than 10 days without a day of rest. </li></ul><ul><li>Intervals of rest: half an hour for 5 hours of work </li></ul><ul><li>No child (who has not attained the age of 15 years) be permitted to work. </li></ul><ul><li>Prohibition of employment of Women : No woman shall be employed in any factory for more than 9 hours in any day or between 7 pm and 6 am. </li></ul>
  14. 14. FACTORIES ACT 1948 <ul><li>Factories Act now allows women to work night shifts PROVIDED </li></ul><ul><li>Adequate 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&quot; are made . </li></ul>
  15. 15. REGISTER’S TO BE MAINTAINED under FACTORIES ACT 1948 Adult Workers Leave with Wages Accident Register With Forms Muster Roll & Wages Register Inspection Book Register of Compensatory Holidays & Overtime Muster roll For Exempted Workers
  16. 16. FACTORIES ACT 1948 <ul><li>Leave with Wages – in Form 15 </li></ul><ul><li>@ 1day for every 20 days provided ----- </li></ul><ul><li>240 days of work during preceding year </li></ul><ul><li>Days of lay off, paid holidays or leave days considered </li></ul><ul><li>Encashment of unveiled leave: Encashable at the present rate of wages. </li></ul>
  17. 17. FACTORIES ACT 1948 RETURNS TO BE SENT TO APPROPRIATE AUTHORITIES <ul><li>Notice of accidents and dangerous occurrences resulting in death or bodily injury in form 18 (similar to the one to be sent ESI Local Office under the ESI Act) </li></ul><ul><li>Half yearly returns in form 22 </li></ul><ul><li>Annual returns in form 21 </li></ul><ul><li>Notice of change of Manager in form 23 </li></ul><ul><li>Details of closure in form 32 </li></ul><ul><li>Report of examination of Pressure Vessel or Plant in form 8 </li></ul><ul><li>Report of examination of Water sealed Gas holder in form 38 </li></ul><ul><li>Report of Examination of Hoist or Lift in form 41 </li></ul><ul><li>Certificate of Fitness for Dangerous Operations in form 39 </li></ul>
  18. 18. APPRENTICES ACT 1961
  19. 19. APPRENTICES ACT 1961 <ul><li>The Act extends to the whole of India. </li></ul><ul><li>Applies to those apprentices who are undergoing apprenticeship training in designated trades. </li></ul><ul><li>From time to time, the Central Govt. has specified the designated trades. </li></ul>
  20. 20. APPRENTICES ACT 1961 CONTRACT OF APPRENTICESHIP <ul><li>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. </li></ul><ul><li>The contract of apprenticeship training is to be sent to the Apprenticeship adviser of the respective area. </li></ul>
  21. 21. APPRENTICES ACT 1961 TERMINATION OF TRAINING <ul><li>On the expiry of the period of apprenticeship training specified in the contract. </li></ul><ul><li>- Premature termination by employer - </li></ul><ul><li>The employer shall pay to the apprentice such compensation as may be prescribed </li></ul><ul><li>- Premature termination by the apprentice- </li></ul><ul><li>Apprentice or his guardian shall refund to the employer as cost of training such amount as may be determined by the Apprenticeship adviser </li></ul>
  22. 22. APPRENTICES ACT 1961 NUMBER OF APPRENTICES <ul><li>Depends on the ratio of trade apprentices to workers other than unskilled workers and the facilities available and that may be made available by the employer for training the apprentices. </li></ul>
  23. 23. APPRENTICES ACT 1961 DUTIES OF THE EMPLOYER <ul><li>Make suitable arrangements for imparting practical training </li></ul><ul><li>Provide for basic training . </li></ul><ul><li>Where an employer employs 500 or more workers, the basic training shall be imparted in separate part of the workshop building or in a separate building set up by the employer. </li></ul><ul><li>* The employer may get easy loan from the Govt. for construction of building for conducting training classes </li></ul>
  24. 24. APPRENTICES ACT 1961 ITIs <ul><li>If the number of apprentices to be trained is less than twelve , then the employer may depute such apprentices to any Basic Training Center or Industrial Training Institute run by the Government for basic training in any designated trade. </li></ul><ul><li>Where an employer deputes any apprentice as above, such employer shall pay to the Government the expenses incurred by the Government on such training, at such rate as may be specified by the Central Government. </li></ul>
  25. 25. APPRENTICES ACT 1961 RI CENTRE <ul><li>Apprentice to be given Related Instruction course. </li></ul><ul><li>Time spent by a trade apprentice in attending classes on RIC shall be treated as part of his paid period of work. </li></ul>
  26. 26. APPRENTICES ACT 1961 DISPUTES <ul><li>Any disagreement or dispute between an employer and an apprentice arising out of the contract of apprenticeship shall be referred to the Apprenticeship Adviser for decision. </li></ul>
  27. 27. CONTRACT LABOR ACT[R&A]1970
  28. 28. CONTRACT LABOUR ACT [REGULATION & ABOLITION] 1970 <ul><li>Regulate the employment of contract labor in certain establishments </li></ul><ul><li>Provide for its abolition in certain circumstances & for matters connected therewith </li></ul>
  29. 29. CONTRACT LABOR ACT[R&A] 1970 - APPLICABILITY <ul><li>Every establishments where 20 or more workmen are or were employed as contract labor on any day in last 12 months </li></ul><ul><li>Every contractor who employs or who employed 20 or more workmen on any day in last 12 months </li></ul><ul><li>NOT APPLICABLE: </li></ul><ul><li>IF THE WORK IS OF INTERMITTENT OR </li></ul><ul><li>CASUAL NATURE </li></ul>
  30. 30. CONTRACT LABOR ACT[R&A] 1970 - DEFINITIONS <ul><li>Contract Labor - A workman hired in or in connection with work of an establishment., by or thro’ a contractor, with or without knowledge of principal employer.(Sec.2b) </li></ul><ul><li>Contractor - A person who undertakes to produce a given result for the establishment., other than mere supply of goods or articles of manufacture to such establishment., thro’ contract labor, or who merely supplies contract labor for any work of the establishment., & includes a sub-contractor.(Sec.2c) </li></ul>
  31. 31. CONTRACT LABOR ACT[R&A] 1970 – PRINCIPAL EMPLOYER <ul><ul><li>In relation to any Govt. Office or Dept. or a </li></ul></ul><ul><ul><li>Local Authority, head of that Office/Dept. or </li></ul></ul><ul><ul><li>such other Officer as the Govt. or the Local </li></ul></ul><ul><ul><li>Authority may specify in this behalf. </li></ul></ul><ul><ul><li>In case of factory, the owner or occupier of </li></ul></ul><ul><ul><li>the factory, & manager of the factory, if any </li></ul></ul><ul><ul><li>so named under the Factories Act, 1948. </li></ul></ul><ul><ul><li>In case of mine, owner or agent of mine & the </li></ul></ul><ul><ul><li>manager of the mine, if any so named. </li></ul></ul><ul><ul><li>In any other establishment., any person responsible for the supervision & control of the establishment. </li></ul></ul><ul><ul><li>(Sec.2g) </li></ul></ul>
  32. 32. CONTRACT LABOR ACT[R&A] 1970 – REGISTRATION OF ESTABLISHMENT <ul><li>Principal Employer of an establishment to make an application within stipulated time frame, </li></ul><ul><li>to the Registering Officer (Asst. Comm. </li></ul><ul><li>of Labor) </li></ul><ul><li>Revocation of RC in certain cases - </li></ul><ul><ul><li>Misrepresentation or suppression of any material fact </li></ul></ul><ul><ul><li>If the RC becomes useless or ineffective & therefore, requires to be revoked </li></ul></ul>
  33. 33. CONTRACT LABOR ACT[R&A] 1970 – EFFECT OF NON - REGISTRATION <ul><ul><li>If the establishment has not been registered under the Act within the stipulated time or the RC has been revoked, </li></ul></ul><ul><ul><li>The principal employer of the establishment. to </li></ul></ul><ul><ul><li>which this Act applies, shall not employ </li></ul></ul><ul><ul><li>contract labor after expiry of period or </li></ul></ul><ul><ul><li>after the revocation of RC. </li></ul></ul>
  34. 34. CONTRACT LABOR ACT[R&A] 1970 – PROHIBITION OF EMPLOYEMENT OF CONTRACT LABOR <ul><li>Appropriate Govt. may, after consultation with the Central or State Advisory Board, prohibit by notification, employment of contract labor in any process, operation or other work in any establishment </li></ul><ul><li>Before issuing any notification as aforesaid, the appropriate Govt. shall have regard to the conditions of work and other benefits provided for the contract labor in that establishment and other relevant factors, such as - </li></ul><ul><li>Whether the process, operation or other work is incidental to or necessary for the industry, trade, business, manufacture or occupation carried on that establishment </li></ul>
  35. 35. CONTRACT LABOR ACT[R&A] 1970 – PROHIBITION OF EMPLOYEMENT OF CONTRACT LABOR <ul><ul><li>Whether it is of perennial nature i.e. of sufficient duration </li></ul></ul><ul><ul><li>Whether it is done ordinarily through regular workmen in that establishment. or establishment similar thereto </li></ul></ul><ul><ul><li>Whether it is sufficient to employ considerable number of whole-time workmen. </li></ul></ul>
  36. 36. CONTRACT LABOR ACT[R&A] 1970 – LICENSING OF CONTRACTOR’S <ul><li>No Contractor shall undertake or execute any work thro’ contract labor except under and in accordance with a license issued by the licensing Officer. </li></ul><ul><li>Contractor to make an application within stipulated time frame, to the Licensing Officer. </li></ul><ul><li>A license shall contain - </li></ul><ul><ul><li>Such conditions including, in particular, hours of work, fixation of wages and other essential amenities in respect of contract labor. </li></ul></ul>
  37. 37. CONTRACT LABOR ACT[R&A] 1970 – WELFARE & HEALTH OF CONTRACT LABOR <ul><li>Canteens </li></ul><ul><li>Rest Rooms </li></ul><ul><li>Other facilities - Drinking Water, Latrines & Urinals, Washing facilities </li></ul><ul><li>First Aid facilities </li></ul><ul><li>Liability of Principal Employer in certain cases </li></ul><ul><li>Responsibility for payment of wages </li></ul>
  39. 39. EMPLOYMENT EXCHANGE ACT -1959 [COMPULSORY NOTIFICATION OF VACCANCIES] INTRODUCTION <ul><li>After the commencement of this Act in any State or area thereof, the employer in every establishment in public sector in that State or area shall, before filling up any vacancy in any employment in that establishment, notify that vacancy to such employment exchanges as may be prescribed. </li></ul><ul><li>The appropriate Government may, by notification in the Official Gazette, require that from such date as may be specified in the notification, the employer in every establishment in private sector or every establishment pertaining to any class or category of establishments in private sector shall, before filling up any vacancy in any employment in that establishment, notify that vacancy to such employment exchanges as may be prescribed, and the employer shall thereupon comply with such requisition </li></ul>
  40. 40. EMPLOYMENT EXCHANGE ACT -1959 [COMPULSORY NOTIFICATION OF VACCANCIES] <ul><li>The manner in which the vacancies referred to in sub-section (1) or sub-section (2) shall be notified to the employment exchanges and the particulars of employments in which such vacancies have occurred or are about to occur shall be such as may be prescribed. </li></ul><ul><li>Nothing in sub-sections (1) and (2) shall be deemed to impose any obligation upon any employer to recruit any person through the employment exchange to fill any vacancy merely because that vacancy has been notified under any of those sub-sections. </li></ul><ul><li>In this Act, unless the context otherwise requires, - (a) &quot;appropriate Government&quot; means - (1) in relation to - (a) any establishment of any railway, major port, mine or oil-field, or </li></ul>
  41. 41. EMPLOYMENT EXCHANGE ACT -1959 [COMPULSORY NOTIFICATION OF VACCANCIES] <ul><li>Any establishment owned, controlled or managed by - (i) the Central Government or a department of the Central Government </li></ul><ul><li>A company in which not less than fifty-one per cent of the share capital is held by the Central Government or partly by the Central Government and partly by one or more State Governments, </li></ul><ul><li>A corporation (including a co-operative society) established by or under a Central Act which is owned, controlled or managed by the Central Government, the Central Government; </li></ul><ul><li>in relation to any other establishment, the Government of the State in which that other establishment is situate; </li></ul><ul><li>“ Employee&quot; means any person who is employed in an establishment to do any work for remuneration; </li></ul>
  42. 42. EMPLOYMENT EXCHANGE ACT -1959 [COMPULSORY NOTIFICATION OF VACCANCIES] <ul><li>“ Employer&quot; means any person who employs one or more other persons to do any work in an establishment for remuneration and includes any person entrusted with the supervision and control of employees in such establishment; </li></ul>
  43. 43. EMPLOYMENT EXCHANGE ACT -1959 [COMPULSORY NOTIFICATION OF VACCANCIES] Employment exchange Means <ul><li>“ Employment exchange &quot; means any office or place established and maintained by the Government for the collection and furnishing of information, either by the keeping of registers or otherwise, respecting </li></ul><ul><li>Persons who seek to engage employees, </li></ul><ul><li>persons who seek employment, and </li></ul><ul><li>Vacancies to which persons seeking employment may be appointed </li></ul><ul><li>&quot;establishment&quot; means - (a) any office, or </li></ul><ul><li>Any place where any industry, trade, business or occupation is carried on </li></ul><ul><li>“ Establishment in public sector&quot; means an establishment owned, controlled or managed by - (1) the Government or a department of the Government </li></ul><ul><li>A Government company as defined in section 617 of the Companies Act, 1956 (1 of 1956) </li></ul><ul><li>A corporation (including a co-operative society) established by or under a Central, Provincial or State Act, which is owned, controlled or managed by the Government </li></ul>
  44. 44. EMPLOYMENT EXCHANGE ACT -1959 [COMPULSORY NOTIFICATION OF VACCANCIES] <ul><li>a local authority; </li></ul><ul><li>&quot;establishment in private sector&quot; means an establishment which is not an establishment in public sector and where ordinarily twenty-five or more persons are employed to work for remuneration; </li></ul><ul><li>&quot;prescribed&quot; means prescribed by rules made under this Act; </li></ul><ul><li>&quot;unskilled office work&quot; means work done in an establishment by any of the following categories of employees, namely :- </li></ul><ul><li>dusting man or far ash; </li></ul><ul><li>bundle or record lifter; </li></ul><ul><li>process server; </li></ul><ul><li>watchman; </li></ul><ul><li>sweeper; </li></ul><ul><li>Any other employee doing any routine or unskilled work which the Central Government may; by notification in the Official Gazette, declare to be unskilled office work. </li></ul>
  45. 45. EMPLOYMENT EXCHANGE ACT -1959 [COMPULSORY NOTIFICATION OF VACCANCIES] – PENALTIES <ul><li>If any employer fails to notify to the employment exchanges prescribed for the purpose any vacancy in contravention of sub-section (1) or sub-section (2) of section 4, he shall be punishable for the first offence with fine which may extend to five hundred rupees and for every subsequent offence with fine which may extend to one thousand rupees. </li></ul><ul><li>If any person - (a) required to furnish any information or return - (i) refuses or neglects to furnish such information or return, or </li></ul><ul><li>furnishes or causes to be furnished any information or return which he knows to be false, or </li></ul>
  46. 46. EMPLOYMENT EXCHANGE ACT -1959 [COMPULSORY NOTIFICATION OF VACCANCIES] – PENALTIES <ul><li>Refuses to answer, or gives a false answer to, any question necessary for obtaining any information required to be furnished under section 5; or </li></ul><ul><li>Impedes the right of access to relevant records or documents or the right of entry conferred by section 6, he shall be punishable for the first offence with fine which may extend to two hundred and fifty rupees and for every subsequent offence with fine which may extend to five hundred rupees. </li></ul>
  48. 48. SHOPS & COMMERCIAL ESTABLISHMENT ACT <ul><li>A review of the TN Shops & Establishments Act , 1947 reveals that there is no requirement for registration of an establishment with any statutory authority like the Companies Act, 1956, Factories Act and several other Acts. It is an Act requiring adherence to specified provisions by all establishments in the specified area. There are number of obligations imposed by the Act like Employment of Children, Measures on Health & Safety, Holidays with wages etc. Maintenance of prescribed Registers etc. . These will have to be followed. The Act therefore does not require anyone to notify to any prescribed authority of any change in the name or location or address of an establishment under the provisions of this Act. </li></ul>
  49. 49. SHOPS & COMMERCIAL ESTABLISHMENT ACT <ul><li>In India most States have a legislation (Shop and Establishments Act) in place which regulate aspects such as working hours, leave with pay, overtime etc. </li></ul><ul><li>Shop and Establishments Act apply to shops, commercial establishments, banks, insurance companies, hotels, restaurants, software companies and other service providers. However, they do not apply to factories as Factories Act, 1948 governs that conditions. </li></ul><ul><li>The establishment are required to register in each city under the Act. Some of the salient features is discussed herein of Bombay Shop and Establishment Act, 1948 (“BSA”) which are akin to the enactment of other States. </li></ul>
  50. 50. SHOPS & COMMERCIAL ESTABLISHMENT ACT <ul><li>Working hours for 48 hours per week spread over 6 days is permitted. Overtime payment is made at the double normal hourly rate. </li></ul><ul><li>Employee who has worked minimum 240 days will become eligible for 21 days paid leave and employee is not allowed to accumulate more than 42 days leave. </li></ul><ul><li>BSA also has provisions regarding toilets, hygiene etc. and makes provisions for maternity benefits etc. </li></ul>
  51. 51. THANK YOU

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