Assessment Test PeopleScient Consulting LLP- Rahul Pillai

1) Considering the fact that PeopleScient specializes in Indian Labour and Employment
Laws, I can contribute to the firm since:
I have studied Industrial and Labour Laws in my CS Executive Programme, CS
Professional Programme and LLB First Semester, with a distinction in this subject at
the Executive Level. I have been an All India Ranker at the CS Foundation and LLB-
MHCET exams.
I have drafted several documents such as Petitions and Appeals at the previous firms I
have interned with (Trilegal and Singh and Singh Malhotra-Hegde) .
I have completed a certification in MS Excel
I have hosted the flagship event “Bullring” at the event “Finstreet” organized by my
alma mater Thakur College of Science and Commerce, besides leading the team
involved. I can work with and lead teams as needed.

-Keeping the above in mind, I would be an asset to the firm as I have the necessary
theoretical foundation and expertise needed by the firm in its work.
2) “Law is Codified Commonsense”
For
Law, whether Common Law or Statutory Law, can be generalized as “Codified
Commonsense”. Laws are enacted after a long drawn process, where it is first drafted by
expert bureaucrats, incorporating opinion of the public and affected parties, debated over and
then passed by Legislature, coming into force after being assented to by the
President/Governor. The whole process ensures laws are drafted in a manner which is just,
fair and reasonable. It is reasonably assumed by the Courts while interpreting statutes that
every word of a Statute is intentionally placed by a reasonable legislature. Law often
mandates what a reasonable man of ordinary prudence would do when confronted with the
facts of the situation.
Against
It was the view of Thomas Jefferson that laws should only be made for a specific time limit.
This was because law is made to regulate society, and society and social conditions may
change so drastically that the Law may be rendered archaic and draconian. Laws like the
Foreign Exchange Regulation Act, 1973 and the Monopolistic and Restrictive Trade Practices
Act, 1969 were rendered obsolete and overtly harsh due to changes in society and public
policy. The Insolvency and Bankruptcy Code, 2016 consolidated and amended a previously
fractured and ineffective law. Commonsense is a matter of context and not content. Therefore
Law must keep abreast of society, rather than society perennially keeping abreast of an
archaic law.

3) Basic Employment Standards to be followed by Indian Employers along with reasons

-Detailed Induction Programmes- Employers should ideally provide induction
programmes for employees since the Indian Education System is not in sync with industrial
demands and imparts mere academic information rather than practical, useful education.
Fresh entrants to the workforce would then blend seamlessly into a productive organization,
without the employer having to hunt for scarce “experienced” employees.
-Defined norms as to work week, emoluments, leave and maternity benefits which are in
conformance with legal requirements- This ensures compliance by an organization with
technicalities of labour laws as well as a healthy, motivated workforce.
-Openness to feedback and grievance redressal- Employers should have in place a
dedicated system to collect and process feedback from employees, as well as an outlet for
reporting grievances such as the Vigil Mechanism required under Section 177 of the
Companies Act, 2013. This ensures problems being nipped in the bud and improved
employee morale, which would reduce instances of employee turnover
-Employee Stock Options- Employers should provide stock options to employees so that
talent may be retained, as employees would then have an interest in the organization making
progress.
-Avoiding Contract labour whenever possible, and only employing contract workers
through licensed contractors.

4) As an associate at PeopleScient, I would not react in a fitful or immature manner to an

angry client. I would attempt to respond in an empathetic manner so as to defuse the situation
and hopefully retain the client. The response should be heartfelt, and must show
understanding and accountability. As an example, the below draft may suffice:
Dear Sir/Madam (Actual name for a more personal touch)
We acknowledge and regret any inconveniences that may have been caused to you. We
assure you that you are a priority for us and that your issues will be resolved at the earliest.
We assure you that the same shall not happen again.
Thank you for your patience,
Rahul Pillai,
Associate,
PeopleScient

5) Manufacturing Cost = Rs 50
Selling price for the manufacturer= Manufacturing Cost + Profit
50 + 100% of 50= 50+50= Rs 100
Selling price for the dealer= Purchase price + Profit Margin
100 + 50% of 100=100 + 50= Rs 150
Selling price for the shopkeeper= Purchase price + Profit Margin
 150 + 30% of 150=150 + 45= Rs 195
The customer has paid Rupees 195 for the product
6) “The Employees Provident Fund and Miscellaneous Provisions Act, 1952”
The aforesaid Act is a social security legislation applicable to establishments employing 20 or
more employees. It mandates employees engaged in or in connection with work of a factory
or other establishment and their employers to contribute minimum amounts to the Provident
Fund and Pension Scheme. This enables employees to save and invest in an attractive yet safe
scheme, providing them with a secure retirement. Employers are mandated to make
contributions, which are recoverable as arrears of land revenue and are even payable during
liquidation under the Insolvency and Bankruptcy Code, 2016. Amount may be withdrawn by
the employee at superannuation or two months after transferring to a different establishment.
Permitted withdrawals include acquisition or construction of a dwelling unit, marriage, post
matriculate education of children. Provident fund amount cannot be assigned, charged or be
subject to order or decree of a civil court. However, in the case of Lalit Popli vs Canara Bank,
the provident fund amount of the employee terminated for fraud had been confiscated as the
same was permissible under the rules and standing orders applicable to Canara Bank
employees.

“The Factories Act, 1948”

The aforesaid Act is a legislation dealing with occupational safety, health and welfare of
factory workers. It defines factory as premises including precincts where manufacturing
process is being carried on by 10/20 workers with/without the aid of power. Manufacturing
process has been defined liberally by the judiciary to extend the provisions of the Act to most
establishments. Persons with ultimate responsibility over the affairs of a factory, known as
occupiers have been made responsible for implementing provisions of the Act. The Act
provides for use of dangerous equipment and machinery by trained personnel only and
prohibits employment of women and children in or around such machinery or equipment. The
Act provides for manufacture, purchase and import of equipment and machinery which
adhere to industrial standards as specified. Health measures such as spittoons, latrines,
canteens, restrooms have also been provided for by the Act. Welfare measures such as paid
leave have also been ensured. Inspectors and Chief Inspectors, gazetted officers empowered
by notification in the Official Gazette, have been provided for to ensure compliance with
provisions of the Act in the area specified/State. These officers are empowered to enter places
used as factories, inspect and seize registers required to be maintained under the Act, as well
as take statements of workers. The newly enacted industrial codes envisage Inspector cum
Facilitators for smoother compliances. The Act also provides for additional responsibilities
for occupiers of factories involving hazardous process, including informing the employees
and general public about dangers of such process, in line with measures taken after the
Bhopal Gas Tragedy to prevent a recurrence or like event.

“Industrial Disputes Act, 1947”

The aforesaid Act is an attempt to ensure industrial peace and harmony to ensure economic
progress of the nation. It defines industry, which has been defined more broadly by the
Supreme Court in Bangalore Water Supply and Sewerage Board v A. Rajiappa as An activity
carried out in cooperation between employer and employees aimed at production of goods
and services geared to satisfy human wants. The Act is applicable to every establishment
which is an industry, and is inapplicable in establishments where predominantly there does
not exist employer-employee relationship. The Act defines industrial disputes as dispute or
difference with respect to employment, non-employment, terms of employment and
provides for redressal thereof. The Act defines strikes and lockouts, and prescribes procedure
to be followed to declare a legal strike or lockout after industrial adjudication such as
arbitration, labour courts and tribunals. The Act mandates peaceful conciliation measures by
prohibiting strikes and lockouts during and until a specified period of time elapses from
conclusion of such process. It protects legitimate needs of the workers and management by
distinguishing between lawful and unlawful strikes, justified and unjustified strikes and
provides for payment or non-payment of wages based on whether the strike and/or lockout
was legal and justified. The Act also defines Public utility services and provides for an
extended notice period for a strike therein so as to ensure minimum impediments to public
life. The Act also prohibits and penalizes unfair labour practices.

7) Please find attached the relevant solution in the enclosed excel sheet.