The document discusses key sections of the Industrial Employment (Standing Orders) Act, 1946 related to the approval of standing orders in India. It outlines the procedures for employers to submit draft standing orders (Section 3), conditions for certification of standing orders (Section 4), and obtaining certified standing orders (Section 5). It also discusses the roles of the Certifying Officer, appellate authorities, and case laws related to standing orders and their binding nature on employers and employees. Recent amendments to incorporate "fixed term employees" in Karnataka in response to COVID-19 are also mentioned.

1. APPROVAL OF STANDING ORDERS
BY- PRAGYA KUMAR (9008)
AMITY LAW SCHOOL, NOIDA
BATCH: 2019-2022

2. INTRODUCTION OF THE STUDY
In INDUSTRIAL EMPLOYMENT (STANDING
ORDERS) ACT,1946 there are three sections which are
related to the approval of standing orders which are
mentioned below as-
 Section 3 (Procedure for the submission of draft
standing orders)
 Section 4 (Conditions for certification of standing
orders)
 Section 5 (Procedure for obtaining certified standing
orders)

3. SECTION 3
PROCEDURE FOR THE SUBMISSION OF DRAFT STANDING ORDERS
• (A) Any employer covered by the Act is required to prepare standing orders covering the matters specified by standing
orders. The document standing orders must be provided by an employer or a group of employers.
• (B) Within 6 months from the date on which this act becomes applicable to industrial establishment, the employer shall
submit to the Certifying officer 5 copies of the draft standing orders proposed by him. draft has to enclose the
prescribed particulars of the workmen
• (C) Subject to such conditions as may be prescribed, a group of employers in similar industrial establishments may
submit a join draft or standing orders under this section. The status and name of the trade unions to be given.
• (D) Provision shall have to be made as such every matter set out in the schedule which may be applicable to the
industrial establishment and were model standing orders have been prescribed.

4. CASE LAWS
• In U.P. STATE SUGAR CORPORATION & AUTHORITY V. BIPIN KUMAR MISHRA It was held that there is no provision
under the Act to create a standing order for the transfer, therefore the usual right of the employer to move the employee from
one position to another cannot be denied. The Employer cannot be denied the right to frame employee transition rules and
regulations.
• In S.K. SHESHADRI V. H.A.L AND OR’S. It was held that a violation of Article 14 of the Indian constitution was challenged
for the validity of the standing order which caused an unduly misconduct in the company premises. The said standing order had
not been considered unjust. It was further held that as long as the standing orders fall within the schedule to the act, they would
not be invalid or ultra-virus because they contain additional provisions not provided for in the Model standing orders.
• In the case of GUEST KEEN WILLIAMS (PVT.) LTD. The court held that the standing orders were effective when they were
certified, and bound the employer and all the workers.

5. SECTION 4
CONDITIONS FOR CERTIFICATION OF STANDING
ORDERS
Standing orders shall be certifiable under this Act, if-
(A) It provides for all matters listed in the schedule relevant to the industrial
establishment and,
(B) The standing orders otherwise comply with the requirements of this Act and
[shall be the function] of the Certifying Officer or Appellate Authority to
adjudicate the fairness or reasonableness of any standing orders requirements.

6. SECTION 5
PROCEDURE FOR OBTAINING CERTIFIED STANDING ORDER
• If provision is made therein for every matter set out in the schedule which is applicable to the Industrial Establishment
• If the standing orders are not in compliance with the provisions of this act and the role of the Certifying Officer or
appellate authority shall be to provide the standing orders with reasonableness.
• The certifying officer who receives the employer's draught standing orders shall forward a copy of the draught standing
orders to the establishment's recognised trade union requesting opposition to the draught standing orders, if any.
• If no such union exists, three workers' representatives elected at a meeting called for the reason in the state.
• A notice shall be issued in the specified form inviting objections, if any, to the draught standing orders within fifteen
days of receipt of those orders

7. CONTD.
• The certifying officer shall, after giving the parties the opportunity to be heard, determine whether or not
any alteration of the draught is appropriate and make an order in which it is written
• The certifying officer may thus adjudicate on the fairness and reasonableness of the clauses in the drafts.
• The certifying officer shall then certify the standing orders with or without modifications and shall
forward the authenticated copies thereof within seven days from the date of his instructions to the
employer and to the trade union or other designated members of the workmen.
• The standing orders took effect at the expiry of 04 days from the date on which the certifying officer
forwarded the validated copies of the standing orders to the employer and the workers.

8. CONTD.
• Employment terms, which will be binding on the employer and the workmen from the day they
become operational.
• NOTE: If an employer fails to apply draught standing orders for approval, a penalty can be levied
up to Rs. 5000; If an individual acts in contravention of the final approved standing orders, a
penalty of up to Rs. 100 may be levied and a further fine of up to Rs. 25 a day may be levied if the
offence continues as clarified under Section 13.

9. APPEAL
An aggrieved party may appeal to the appellant authority
within thirty days of the date the certifying officer forwarded
the copies of the standing orders to it. The authority's order is
finalised.
Section 6 (1) empowers the appellate authority to do only two
things that are mentioned below as-
 Confirm standing orders in certified form with the
certifying officer
 Validate the standing orders by making the required
changes or additions after amending them.

10. REGISTER & POSTING OF STANDING ORDERS
REGISTER
 The Certifying Officer shall file a copy of all standing orders as finally certified under this Act in a register in the
specified manner.
 Every individual shall be provided with a copy of it upon payment of the prescribed fees specified under (Section 8)
POSTING
• The text of the certified standing orders shall be released prominently by the employer in English and in the language
known by the majority of the workers on the special board at or near the entrance from which the majority of the
workers join the industrial establishment. as clarified under Section 9.

11. SECTION 11
CERTIFYING OFFICERS AND APPELLATE AUTHORITIES TO HAVE POWER OF
CIVIL COURT
• SECTION 11 (1): Every Certifying Officer and appellate authority shall have all the powers of a Civil
Court for the purposes of receiving evidence, administering oaths,, enforcing the attendance of witnesses,
and compelling the discovery and production of documents, and shall be deemed to be a Civil Court
within the meaning of [Sections 345 and 346 of the Code of Criminal Procedure, 1973 (2 of 1974).
• SECTION 11 (2): Clerical or arithmetical mistakes in any order passed by a Certifying officer or
appellate authority, or errors arising therein from any accidental slip or omission may, at any time, be
corrected by that Officer or authority or the successor in office of such officer or authority, as the case
may be.

12. CERTIFYING OFFICER
“Certifying Officer” means a Labour
Commissioner or a Regional Labour
Commissioner, and includes any other officer
appointed by the appropriate Government, by
notification in the Official Gazette, to
perform all or any of the functions of a
Certifying Officer under this Act as clarified
under section 2 (C) of the industrial
employment (standing orders) Act, 1946.

13. POWERS OF CERTIFYING OFFICER
Every Certifying Officer and Appellate Authority shall have all civil court powers for the purpose of:
 Receiving evidence
 Administering oaths
 Enforcing the attendance of witness and,
 The identification and produce of documents

14. CASE LAWS
• In the case of TATA CHEMICALS (1965) 1 LLJ 54) The High Court held that a standing order becomes
operational when it is eventually approved under the Act and binds the employer and the worker under
the provisions of the Act and not under any contract between the employer and the worker. The court
further added the rights and obligations provided by the standing orders which derive their force from the
provisions of the Act rather than the contract between the parties. They are legally binding and not
contractual rights and obligations.
• In the case of CO-OPERATIVE CENTRAL BANK LTD (AIR, (1970) SC 245) The court held that there
is no clear provision in the Act dealing with the binding existence of standing orders and their effect.

15. CONTD.
In the absence of any clause, courts have held that a standing order approved under the Industrial Jobs
(Standing Orders) Act is binding on the employers and employees of the sector in question. The decided
case, however, shows that while they are binding, they do not have the power of laws that are binding on
industrial tribunals adjudicating industrial disputes.
• BHARAT PETROLEUM CORPORATION LTD. V. MAHARASHTRA GENERAL KAMGAR UNION
(683 (1999) LLR 180 (SC) The court held that once the standing orders have been approved, they
represent the terms of service that are binding on the management and on the workers already serving and
in jobs, or who may be working after certification.

16. STANDING ORDERS AND COVID 19
RECENTLY, In the context of the COVID-19 pandemic, which resulted in tremendous job losses
in all industries, the State Government amended the 1961 Karnataka Industrial Jobs (Standing
Orders) Rules to incorporate 'Fixed Term Employees' into the standing orders model.
Jobs in the category "fixed term employees" helps the industry to quickly recruit and fire, which is
considered more versatile than the contract method. While laborer’s employed under the scheme are
eligible for all statutory relief, they can easily terminate their services. On June 30 the department told
of the amendments to the rules of 1961.

17. CONCLUSION OF THE STUDY
After going through the above-mentioned sections of the study this may be conclude that this act
requires the employer to work in compliance with the rules of this act to preserve employees' needs
and interests. The philosophy of certification of standing orders also fills the partnership gap between
employees and employers. The theory behind the standing orders principle, which plays a very
important role in maintaining a harmonious relationship in the industry by promoting fair industrial
practises. The Act is a legislative framework for the formal conception of the employment relationship
between the employer and the worker. Lastly, it may be noted that while it lays down an exemplary
concept, it needs comprehensive changes with regard to the current employment scenario pursued by
the main employer in order to significantly fulfil the constitutional objective of ensuring socio-
economic justice.