Its cover all 5 Units of MBA Anna University, Chennai

1. FACTORIES ACT, 1948

2. FACTORY
• A factory is a premises whereon 10 or more
persons are engaged if power is used, or 20 or
more persons are engaged if power is not
used, in a manufacturing process.

3. PROVISIONS OF THE ACT
• Health
• Safety
• welfare

4. HEALTH
• Cleanliness
• Disposal of waste and effluents
• Ventilation and temperature
• Dust and fume
• Artificial humidification
• Overcrowding
• Lighting
• Drinking water
• Latrines and urinals
• spittoons

5. SAFETY• Fencing of machinery
• Work on machinery near motion
• Employment of young persons on dangerous machines
• Striking gears and devices for cutting of power
• Self acting machines
• Casing of new machinery
• Prohibition of employment of women and children near cotton openers
• Hoists and lifts
• Lifting machines, chains, ropes
• Revolving machinery
• Pressure plant
• Floors, stairs and means of access
• Pits, sumps, openings
• Excessive weights
• Protection of eyes
• Precaution against dangerous fumes
• Precaution against the use of portable light
• Precaution against explosives
• Precaution in case of fire
• Power to require tests of stability
• Safety of building and machinery
• Maintenance of building

6. WELFARE
• Washing facility
• Facilities for storing and drying clothes
• Facility for sitting
• First aid appliances
• Canteens
• Shelters, rest rooms and lunch rooms
• Crèches
• Welfare officers

7. INDUSTRIAL DISPUTES ACT, 1947

8. INDUSTRY
• Industry means any systematic activity carried
on by co-operation between an employer and
his workmen.

9. OBJECTS OF THE ACT
• To secure industrial peace
• To ameliorate the conditions of workmen in
industry

10. INDUSTRIAL DISPUTE
Industrial dispute means any dispute between:
• Employers and employers
• Employers and workmen
• Workmen and workmen

11. INGREDIENTS OF DISPUTE
• There must be real or substantial dispute
• The dispute should be between employer and
workmen
• The dispute must be connected with
employment

12. PROCEDURE FOR SETTLEMENT OF
DISPUTES
• Works committee
• Conciliation officers
• Boards of conciliation
• Courts of inquiry
• Labour courts
• Industrial tribunals
• National tribunals

13. STRIKE
• Cessation of work by a body of persons
employed in a industry acting in combination

14. RETRENCHMENT
• Termination by the employer of the service of
a workman for any reason whatsoever,
otherwise than as punishment inflicted by way
of disciplinary action.

15. LOCK-OUT
• It means the temporary closing of a place of
employment or the suspension of work or the
refusal by an employer to continue to employ
any number of persons employed by him.

16. LAY-OFF
• Means the failure, refusal or inability of an
employer to give employment to a workman

17. PAYMENT OF BONUS ACT, 1965

18. MEANING OF BONUS
• Extra dividend to the share holders of a
company
• Distribution of profits to insurance policy-
holders
• Gratuity to workmen beyond their wages
• Desire of the employer to share with his
workers the surplus generated by common
endeavor and enterprise

19. OBJECT AND SCHEME OF THE ACT
• Object is to provide for the payment of bonus to
persons employed in certain establishments
SCHEME :
• To impose statutory liability upon an employer to pay
bonus
• To define principle of payment of bonus according to
prescribed formula
• To provide for payment of minimum and maximum
bonus
• To provide machinery for enforcement of the liability
for payment of bonus

20. ELIGIBILITY FOR BONUS
• Worker must have worked in the
establishment for not less than 30 working
days in that year

21. DISQUALIFICATION FOR BONUS
Employee will not get bonus if he is
dismissed from service for :
• Fraud
• Violent behavior
• Theft, misappropriation or sabotage of any
property

22. DETERMINATION OF BONUS
BONUS FORMULA DEPENDS ON :
• Computation of gross profits

23. SCHEDULES IN THE ACT
FIRST SCHEDULE- Computation of gross profits of a
banking company
Items to be added :
• Provision for depreciation, donations, income tax,
capital expenditure, income, profits and gains.
Items to deduct :
• Capital receipts and profits
• Expenditure or losses
• Capital expenditure and losses
• Income of foreign banking companies

24. SECOND SCHEDULE- COMPUTATION
OF GROSS PROFITS IN OTHER CASES
Items to be added :
• Provision for depreciation, donations, income tax,
capital expenditure, income, profits and gains.
Items to deduct :
• Capital receipts and profits
• Expenditure or losses
• Capital expenditure and losses
• Income of foreign banking companies

25. THIRD SCHEDULE
• The third schedule tells about the amount of
cash that is left over after deductions are
made. This forms the available surplus out of
which bonus is given

26. SEGREGATION OF EMPLOYER
• Company other than a banking company
• Banking company
• Corporation
• Co-operative society
• Any other employer not falling under the
above mentioned category

27. FOURTH SCHEDULE
This part deals with :
• Method of calculation of available surplus
• Its distribution
• Set on or set off of the amount available out of it

28. PAYMENT OF WAGES ACT 1936

29. SCOPE OF THE ACT
• To prevent the evils of withholding wages,
delays in payment of pages, unreasonable
deductions out of pages.
• To regulate the payment of wages to certain
classes of persons employed in industry.
• To ensure payment of wages in a particular
form and at regular intervals without
unauthorised deductions.

30. APPLICATION OF THE ACT
• Applies to persons employed in any factory.
• To persons employed in railways.

31. RULES FOR THE PAYMENT OF WAGES
• Responsibility for payment of wages
• Fixation of wage period
• Time of payment of wages
• Medium of payment of wages

32. DEDUCTIONS FROM WAGES
• Deductions for fines
• Deductions for absence from duty
• Deductions for damage or loss
• Deductions for services
• Deductions for recovery of advances
• Deductions for recovery of loans
• Deductions for payments to co-operatives and
insurance schemes

33. MAINTENANCE OF REGISTERS
The register must contain :
• The work performed by them
• Wages paid to them
• Deductions made from their wages
• Receipts given by them