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By-Dr.Preeti Dwivedi
1
Unit-5
The Industrial
Employment
(Standing Orders)
Act, 1946
Introduction & Definition
 To avoid friction amongst the employers and workmen
employed in an industry is the principal aim of Indian
Legislation in India.
 It was considered that the society had a vital interest in the
settlement of terms of employment of Industrial Labor and also
settlement of Labor problems.
 Therefore, the steps were taken by the Central Government to
enact Industrial Employment (Standing Orders) Act, 1946 with
a view to afford protection to the workmen with regard to
conditions of employment.
 Definition under the Act (Sec.2)
“Standing Orders” mean rules relating to matters set out in the
Schedule to the Act [Sec.2(g)] to be covered and in respect of which
the employer has to draft for submission to the Certifying Officer,
are matters specified in the Schedule.
 There was no uniformity in the conditions of service
of workers until this Act was brought.
 The absence of standing order, clearly defining the
rights and obligations of the employer
 The demand for statutory service conditions was
first raised by Bombay Cotton Textile workers in
1927-28.
 The Bombay Industrial Disputes Act of 1938
provided, for the first time, for statutory standing
orders.
 The Labour Investigation Committee 1944-46
observed: “An industrial worker has the right to
know the terms & conditions under which he is
expected to follow”. 3
OBJECTIVES
 To require employers to define the
conditions of work
 To bring about uniformity in terms and
conditions of employment
 To minimize industrial conflicts
 To foster harmonious relations
between employers and employees.
 To provide statutory sanctity and
importance to standing orders
4
SCOPE AND APPLICATION
 The Act extends to the whole of
India
 It apply to every establishment
wherein 100 or more workmen
are employed or employed on any
day preceding twelve months.
5
 It applies to railways, factories, mines,
quarries, oil-fields, tramways, motor
services, docks, plantations,
workshops, civil construction and
maintenance works.
 The Act has 15 sections and a
schedule.
6
 The Act is applicable to all workmen
employed in any industrial
establishment to do any skilled or
unskilled, manual, supervisory,
technical, clerical work.
 Even the apprentices are also
included.
 But the persons employed mainly in a
managerial/administrative/supervisory
capacity drawing wages exceeding
7
STANDING ORDERS
 Classification of the workmen : temporary, casual, apprentices
 Manner of intimating to workmen periods and hours of work,
holidays, pay-days and wage rates
 Shift working
 Attendance and late coming
 Conditions of, procedure in applying for, and the authority which
may grant leave and holidays
 Requirements to enter premises by certain gates and liability to
search
 Closing and reopening of sections of the establishments, or
temporary stoppages
 Suspension or dismissal for misconduct and acts and omissions
which constitute misconduct
8
Procedure for the Approval of
Standing Orders
 The main provision that deal for the approval of Standing
Orders are:
1. Procedure for the submission of Draft Standing Orders
[Section 3].
1. Procedure for the Conditions for Certification of Standing
Orders [Section4].
2. Procedure for Certification of Standing Orders (Procedure for
Adoption) [Section 5].
3. Appeals [Section 6].
Submission of Draft Standing Orders
 Obligatory on the part of an employer or a group of
employers to furnish 5 copies of the draft standing
orders
 Within 6 months of the application of the Act the
employer shall submit the draft standing orders
 Copies to be given to the certifying officer
 Draft has to enclose the prescribed particulars of
the workmen
 The status and name of the trade unions to be
given.
 It has to take all matters set out in the Schedule.
Procedure for Certification of Standing
Orders
 Copy of draft standing orders to be sent to trade
union/workmen
 Opportunity of hearing to trade union/workmen to be
provided
 Certification
 Certified standing orders have the force of law and the
violation of any provision shall be taken action
 Standing orders to be applicable to all present and future
workmen
 Standing orders must confirm the model standing order
Conditions for certification of Standing
Orders
 Must compile as per the Model Standing Orders
 Fairness of the provisions shall be verified by the Certifying Officer
Appeal
Any employer, workman, trade union aggrieved by the order of the certifying
officer may, with in 30 days from the date on which copies of the certified
standing orders sent to them
Date of Operation of the Act
On the expiry of 30 days of the certification given by certifying officer
Or
After the expiry of 7 days of the decision given by appellate authority.
Payment of Subsistence
allowance
 Payment of subsistence allowance by an
employer to a workman who has been
suspended by the employer and his investigation
is pending
 the allowance shall be at the rate of 50% of the
wage for the first 90 days of suspension
 The allowance shall be 75% of the wage after 90
days if the investigation is delayed due to
employer
Penalty
 Any employer fails to submit draft
standing orders or modifies it, shall be
punishable with fine which may extend
to Rs. 5000.
 In case of continuance of the above
offence, fine up to Rs.200 per every
day.
 Any contravention of Standing Orders
is punishable by Rs. 100 fine .
Certifying Officer
 Definition:-
The “certifying officer” under standing order act means
Regional Labor Commissioner, Labor Commissioner or other officer
appointed by the appropriate government by the notification in the
Official Gazette, to perform all or any of the functions of certifying officer
under Act.
 Powers of Certifying Officer:-
Every Certifying Officer and appellate authority shall have all the powers
of Civil Court for he purpose of:
1. Receiving Evidence,
2. Administration,
3. Enforcing the attendance of witness, and
4. Compelling the discovery and production of documents.
Acts of Misconduct
 The following acts or omissions on the part of a workman
shall amount to misconduct;
• Going on an illegal strike
• Wilfully slowing down in performance of work
• Theft, fraud or dishonesty in connection with the employer’s
business or property or the theft of property of another
workman within the premises of the establishment
 Taking or giving bribes
 Habitual absence without leave or absence without leave for
more than ten consecutive days
 Collection without the permission of the manager of any
money within the premises of the establishment except as
sanctioned by any law for the law for the time being in force
16
Acts of Misconduct
 Engaging in trade within the premises of the
establishment
 Drunkenness, riotous, disorderly or
indecent behaviour on the premises of the
establishment
 Habitual neglect of work
 Habitual breach of any rules or instructions
 Wilful damage to work in process or to any
property of the establishment
17
 Holding meeting inside the premises of the
establishment without the previous
permission of the manager or except in
accordance with the provisions of any law
for the time being in force.
 Disclosing to any unauthorised person any
information
 Smoking and spitting on the premises of the
establishment where it is prohibited by the
employer
 Unauthorised possession of any lethal
weapon in the establishment
18
Obligations of Employers
 Submit draft standing orders with the
required information to the certifying officer
for certification within the time limit
mentioned in the Act.
 Act in conformity with the certified standing
orders in the day to day dealings with the
workmen
 Modify certified standing orders only with
the approval of the certifying officer
19
Obligations of Workmen
 Work in conformity with the
certified standing orders or model
standing orders as the case may
be.
20

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Unit-5 standingordersact1946 (1).pptPOPNIKJHYRTDFSDSADS

  • 2. Introduction & Definition  To avoid friction amongst the employers and workmen employed in an industry is the principal aim of Indian Legislation in India.  It was considered that the society had a vital interest in the settlement of terms of employment of Industrial Labor and also settlement of Labor problems.  Therefore, the steps were taken by the Central Government to enact Industrial Employment (Standing Orders) Act, 1946 with a view to afford protection to the workmen with regard to conditions of employment.  Definition under the Act (Sec.2) “Standing Orders” mean rules relating to matters set out in the Schedule to the Act [Sec.2(g)] to be covered and in respect of which the employer has to draft for submission to the Certifying Officer, are matters specified in the Schedule.
  • 3.  There was no uniformity in the conditions of service of workers until this Act was brought.  The absence of standing order, clearly defining the rights and obligations of the employer  The demand for statutory service conditions was first raised by Bombay Cotton Textile workers in 1927-28.  The Bombay Industrial Disputes Act of 1938 provided, for the first time, for statutory standing orders.  The Labour Investigation Committee 1944-46 observed: “An industrial worker has the right to know the terms & conditions under which he is expected to follow”. 3
  • 4. OBJECTIVES  To require employers to define the conditions of work  To bring about uniformity in terms and conditions of employment  To minimize industrial conflicts  To foster harmonious relations between employers and employees.  To provide statutory sanctity and importance to standing orders 4
  • 5. SCOPE AND APPLICATION  The Act extends to the whole of India  It apply to every establishment wherein 100 or more workmen are employed or employed on any day preceding twelve months. 5
  • 6.  It applies to railways, factories, mines, quarries, oil-fields, tramways, motor services, docks, plantations, workshops, civil construction and maintenance works.  The Act has 15 sections and a schedule. 6
  • 7.  The Act is applicable to all workmen employed in any industrial establishment to do any skilled or unskilled, manual, supervisory, technical, clerical work.  Even the apprentices are also included.  But the persons employed mainly in a managerial/administrative/supervisory capacity drawing wages exceeding 7
  • 8. STANDING ORDERS  Classification of the workmen : temporary, casual, apprentices  Manner of intimating to workmen periods and hours of work, holidays, pay-days and wage rates  Shift working  Attendance and late coming  Conditions of, procedure in applying for, and the authority which may grant leave and holidays  Requirements to enter premises by certain gates and liability to search  Closing and reopening of sections of the establishments, or temporary stoppages  Suspension or dismissal for misconduct and acts and omissions which constitute misconduct 8
  • 9. Procedure for the Approval of Standing Orders  The main provision that deal for the approval of Standing Orders are: 1. Procedure for the submission of Draft Standing Orders [Section 3]. 1. Procedure for the Conditions for Certification of Standing Orders [Section4]. 2. Procedure for Certification of Standing Orders (Procedure for Adoption) [Section 5]. 3. Appeals [Section 6].
  • 10. Submission of Draft Standing Orders  Obligatory on the part of an employer or a group of employers to furnish 5 copies of the draft standing orders  Within 6 months of the application of the Act the employer shall submit the draft standing orders  Copies to be given to the certifying officer  Draft has to enclose the prescribed particulars of the workmen  The status and name of the trade unions to be given.  It has to take all matters set out in the Schedule.
  • 11. Procedure for Certification of Standing Orders  Copy of draft standing orders to be sent to trade union/workmen  Opportunity of hearing to trade union/workmen to be provided  Certification  Certified standing orders have the force of law and the violation of any provision shall be taken action  Standing orders to be applicable to all present and future workmen  Standing orders must confirm the model standing order
  • 12. Conditions for certification of Standing Orders  Must compile as per the Model Standing Orders  Fairness of the provisions shall be verified by the Certifying Officer Appeal Any employer, workman, trade union aggrieved by the order of the certifying officer may, with in 30 days from the date on which copies of the certified standing orders sent to them Date of Operation of the Act On the expiry of 30 days of the certification given by certifying officer Or After the expiry of 7 days of the decision given by appellate authority.
  • 13. Payment of Subsistence allowance  Payment of subsistence allowance by an employer to a workman who has been suspended by the employer and his investigation is pending  the allowance shall be at the rate of 50% of the wage for the first 90 days of suspension  The allowance shall be 75% of the wage after 90 days if the investigation is delayed due to employer
  • 14. Penalty  Any employer fails to submit draft standing orders or modifies it, shall be punishable with fine which may extend to Rs. 5000.  In case of continuance of the above offence, fine up to Rs.200 per every day.  Any contravention of Standing Orders is punishable by Rs. 100 fine .
  • 15. Certifying Officer  Definition:- The “certifying officer” under standing order act means Regional Labor Commissioner, Labor Commissioner or other officer appointed by the appropriate government by the notification in the Official Gazette, to perform all or any of the functions of certifying officer under Act.  Powers of Certifying Officer:- Every Certifying Officer and appellate authority shall have all the powers of Civil Court for he purpose of: 1. Receiving Evidence, 2. Administration, 3. Enforcing the attendance of witness, and 4. Compelling the discovery and production of documents.
  • 16. Acts of Misconduct  The following acts or omissions on the part of a workman shall amount to misconduct; • Going on an illegal strike • Wilfully slowing down in performance of work • Theft, fraud or dishonesty in connection with the employer’s business or property or the theft of property of another workman within the premises of the establishment  Taking or giving bribes  Habitual absence without leave or absence without leave for more than ten consecutive days  Collection without the permission of the manager of any money within the premises of the establishment except as sanctioned by any law for the law for the time being in force 16
  • 17. Acts of Misconduct  Engaging in trade within the premises of the establishment  Drunkenness, riotous, disorderly or indecent behaviour on the premises of the establishment  Habitual neglect of work  Habitual breach of any rules or instructions  Wilful damage to work in process or to any property of the establishment 17
  • 18.  Holding meeting inside the premises of the establishment without the previous permission of the manager or except in accordance with the provisions of any law for the time being in force.  Disclosing to any unauthorised person any information  Smoking and spitting on the premises of the establishment where it is prohibited by the employer  Unauthorised possession of any lethal weapon in the establishment 18
  • 19. Obligations of Employers  Submit draft standing orders with the required information to the certifying officer for certification within the time limit mentioned in the Act.  Act in conformity with the certified standing orders in the day to day dealings with the workmen  Modify certified standing orders only with the approval of the certifying officer 19
  • 20. Obligations of Workmen  Work in conformity with the certified standing orders or model standing orders as the case may be. 20