Professional Documents
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Know The Labour Laws India
Know The Labour Laws India
Know The Labour Laws India
• Defines the terms and conditions of service between the employer and his
employees.
• Applies to every industrial establishment wherein 100 (in some States 50)or
more workers are employed
• The Act extends to the whole of India
SIGNIFICANCE
Manner of intimating to workmen periods and hours of work, holidays, pay-days and wage rates.
Shift working.
Conditions of, procedure in applying for, and the authority which may grant, leave and holidays.
Closing and re-opening of sections of the industrial establishments, and temporary stoppages of work and the right
and liabilities of the employer and workmen arising therefore.
Termination of employment, and the notice thereof to be given by employer and workmen.
Suspension or dismissal for misconduct, and acts or omissions which constitute misconduct.
Means of redressal for workmen against unfair treatment or wrongful exactions by the employer or his agents or
servants.
Additional Matters
Service Record – Matters relating to service card, token tickets, certification of service, change of residential address of
workers and record of age Confirmation Age of retirement Transfer Medical aid in case of Accident Medical
Examination Secrecy Exclusive service.
Submissions of Draft Standing Orders
Within six months from the date when the Act becomes applicable to an industrial establishment.
Five copies of the draft Standing Orders are to be submitted to the Certifying Officer under the Act.
Examination Secrecy Exclusive service.
Certifying Officer to forward a copy of draft standing orders to the trade union or in the absence of
union, to the workmen of the industry. The trade union or the other representatives, as the case may
be, are to be heard.
Payment of Subsistence Allowance to the
Suspended Workers
At the rate of fifty per cent, of the wages which the workman was entitled to immediately proceeding
the date of such suspension, for the first ninety days of suspension.
At the rate of seventy-five percent of such wages for the remaining period of suspension if the delay
in the completion of disciplinary proceedings against such workman is not directly attributable to the
conduct such workman.
Certifying Officer to forward a copy of draft standing orders to the trade union or in the absence of
union, to the workmen of the industry. The trade union or the other representatives, as the case may
be, are to be heard.
PENALTY
•Failure of employer to submit draft Standing Orders fine of Rs.5000 and Rs.200 for every day on continuation
of offence.
•Fine of Rs.100 on contravention and on continuation of offence Rs.25 for every day.
MATERNITY BENEFIT ACT, 1961
MATERNITY BENEFIT ACT, 1961
Coverage of the Act
Object of the Act Conditions for eligibility of benefits
Upon all women employees either employed
To protect the dignity of directly or through contractor except
motherhood and the domestic women employees employed in
Women indulging temporary of
dignity of a new person’s mines, factories, plantations and also in other unmarried are eligible for maternity
birth by providing for the establishments if the State Government so benefit when she is expecting a child
full and healthy decides. Therefore, if the State Government and has worked for her employer for at
maintenance of the decides to apply this Act to women least 80 days in the 12 months
woman and her child at employees in shops and commercial immediately proceeding the date of her
this important time when establishments, they also will get the benefit expected delivery Sec. 5.
she is not working. of this Act. Bihar, Punjab Haryana, West
Bengal, U.P., Orissa and Andhra have done
so.
Cash Benefits
•Leave with average pay for six weeks before the delivery.
•Leave with average pay for six weeks after the delivery.
•A medical bonus of Rs.25 if the employer does not provide free medical care to the woman.
•An additional leave with pay up to one month if the woman shows proof of illness due to the pregnancy, delivery,
miscarriage, or premature birth.
•In case of miscarriage, six weeks leave with average pay from the date of miscarriage.
Non Cash Benefits/Privilege
•Light work for ten weeks (six weeks plus one month) before the date of her expected delivery, if she asks for it.
•Two nursing breaks in the course of her daily work until the child is 15 months old.
•No discharge or dismissal while she is on maternity leave.
•No change to her disadvantage in any of the conditions of her employment while on maternity leave.
•Pregnant women discharged or dismissed may still claim maternity benefit from the employer.
Exception : Women dismissed for gross misconduct lose their right under the Act for Maternity Benefit
MATERNITY BENEFIT ACT, 1961
Conditions for eligibility of benefits Leave for Miscarriage
& Tubectomy Operation
•Ten weeks before the date of her expected delivery, she may ask •Leave with wages at the rate
the employer to give her light work for a month. At that time she of maternity benefit, for a
should produce a certificate that she is pregnant. period of six weeks
•She should give written notice to the employer about seven weeks immediately following the day
before the date of her delivery that she will be absent for six weeks of her miscarriage or her
before and after her delivery. She should also name the person to medical termination of
whom payment will be made in case she can not take it herself. pregnancy.
•She should take the payment for the first six weeks before she goes •Entitled to leave with wages
on leave. at the rate of maternity benefit
•She will get payment for the six weeks after child-birth within 48 for a period of two weeks
hours of giving proof that she has had a child. immediately following the day
•She will be entitled to two nursing breaks of fifteen minutes each of her tubectomy operation.
in the course of her daily work till her child is fifteen months old.
•Her employer cannot discharge her or change her conditions of
service while she is on maternity leave.
Sec. 5.
MATERNITY BENEFIT ACT, 1961
Leave for illness arising out of pregnancy etc. etc.
A woman suffering from illness arising our of pregnancy, delivery, premature birth of child
(Miscarriage, medical termination of pregnancy or tubectomy operation) be entitled, in addition to
the period of absence allowed to her leave with wages at the rate of maternity benefit for a
maximum period of one month. Sec. 10
If a woman works in any establishment after she has been permitted by her employer to absent
herself under the provisions of section 6 for any period during such authorized absence, she shall
forfeit her claim to the maternity benefit for such period.
For discharging or dismissing such a woman during or on account of her absence from work, the
employer shall be punishable with imprisonment which shall not be less than 3 months, but it will
extend to one year and will find, but not exceeding Rs.5,000. Sec. 18
MINIMUM WAGES ACT, 1948
MINIMUM WAGES ACT, 1948
Object of the Act Fixation of Minimum Rates of Wages
To provide for fixing minimum •The appropriate government to fix minimum rates of wages. The
rates of wages in certain employees employed in para 1 or B of Schedule either at 2 or either part
employments of notification u/s 27.
•To make review at such intervals not exceeding five years the
minimum rates or so fixed and revised the minimum rates.
Minimum Rates of Wages Government can also fix Minimum Wages for
Such as Basic rates of wages etc. •Time work • Piece work at piece rate • Piece work for the purpose of
Variable DA and Value of other securing to such employees on a time work basis • Overtime work done
concessions etc. Sec. 4 by employees for piece work or time rate workers.
Sec. 3
Claims by employees
•To be filed by before authority constituted under the Act within 6
months.
•Compensation upto 10 times on under or non-payment of wages Sec. 16
MINIMUM WAGES ACT, 1948
Imprisonment upto 6
For paying less than
months or with fine upto
minimum rates of wages
Rs.500/-
Sec. 20 For contravention of any
Imprisonment upto 6
provisions pertaining to
months or with fine upto
fixing hours for normal
Rs.500/-
working day etc.
PAYMENT OF BONUS ACT, 1965
PAYMENT OF BONUS ACT, 1965
Components of Bonus Applicability of Act
Salary or wages includes dearness Every factory where in 10 or more persons are employed with the
allowance but no other allowances aid of power or
e.g. over-time, house rent, incentive An establishment in which 20 or more persons are employed
or commission. without the aid of power on any day during an accounting year
Sec.2(21)
Employees drawing 8.33% of the salary or Rs.100 (on completion of 5 years after 1st
wages up to Rs.10,000 Accounting year even if there is no profit)
per month or less (w.e.f. Sec.10
1.4.2006)
For calculation
Sec. 8
purposes Rs.3,500(
w.e.f. 1.4.2006) per
month maximum will
Maintenance of Registers and Records etc.
be taken even if an
employee is drawing •A register showing the computation of the allocable surplus referred to in clause (4)
upto Rs.10,000 per of section 2, in form A.
month. •A register showing the set-on and set-off of the allocable surplus, under section 15, in
Sec.12 form B
•A register showing the details of the amount of bonus due to each of the employees,
Note: The proposal to the deductions under section 17 and 18 and the amount actually disbursed, in form C.
enhance the existing Sec.26, Rule 4
ceiling of Rs.3500 is
under active
consideration by the
Govt.
PAYMENT OF BONUS ACT, 1965
AMENDMENTS TO THE PAYMENT OF BONUS ACT, 1965
The Cabinet in its meeting held on October 1, 2007 has approved the Amendments to the payment of Bonus Act, 1965,
which are as follows (wef 01.04.06):-
i) Amendment to Section 2(13): To raise the eligibility limit for payment of bonus from the salary or wage of Rs.3500/- to
Rs.10,000 per month.
ii) Amendment to section 12: To raise the ceiling for calculation purpose from the salary or wage of Rs.2500/- to
Rs.3500/- per month, and;
iii) Deletion of section 32(vi): To cover the employees employed through contractors on building operations .
Penalties
•Imprisonment not less than 3 months and upto one year with fine on
default in comply-ing with the provisions of Act or Rules.
PAYMENT OF WAGES ACT, 1936
PAYMENT OF WAGES ACT, 1936
Applicability of Act Object of the Act Wages to be paid in current
•Factory industrial Establishment To regulate the payment of wages coins or currency notes
•Tramway service or motor transport of certain classes of employed •All wages shall be paid in
service engaged in carrying persons current coins or currency
passengers or good or both by road notes or in both.
for hire or reward. • Air transport
service Dock, Wharf or Jetty • Inland •After obtaining the
vessel, mechanically propelled authorization, either by
•Mine, quarry or oil-field Plantation cheque or by crediting the
•Workshop or other establishment wages in employee’s bank
etc. Time of payment of wages Account Sec. 6
Sec. 9
PAYMENT OF WAGES ACT, 1936
Deductions for service rendered
Deduction made from wages
When accommodation amenity or service
has been accepted by the employee.
Deductions such as, fine, deduction for amenities and services
supplied by the employer, advances paid, over payment of wages, Sec.11
loan, granted for house-building or other purposes, income tax
payable, in pursuance of the order of the Court, PF contributions,
cooperative societies, premium for Life Insurance, contribution to
any fund constituted by employer or a trade union, recovery of
losses, ESI contributions etc.etc. Sec. 7
On contravention of S.5 (except sub-sec.4), S.7, S.8 (except Ss.8), S.9, S.10 (except Ss.2) and Secs.11 to 13. Fine not less than Rs.1000
which may extend to Rs.5000. On subsequent conviction fine not less than Rs.5000, may extend to Rs.10,000. On contravention S.4,
S.5(4), S6, S.8(8), S.10(2) or S.25 fine not less than Rs.1000. – may extend to Rs.5000. On subsequent On conviction fine not less
•Fine which shall not be less than Rs.1000 but may extend to Rs.5000 – On record conviction fine not less than Rs.5000,
may extend to Rs.10,000.
For second or subsequent conviction, fine not less than Rs.5000 but may extend to Rs.10,000.
•Wilfully obstructing an Inspector in the discharge of his duties under this Act; or
•Refusing or wilfully neglecting to afford an Inspector any reasonable facility for making any entry, inspection etc.
Wilfully refusing to produce on the demand of an inspector any register or other document kept in pursuance of this Act; or
preventing any person for appearance etc.
•On conviction for any offence and again guilty of Contravention of same provision.
•Failing or neglecting to pay wages to any employee Imprisonment not less than one month extendable upto six
months and fine not less than Rs.2000 extendable upto Rs.15000.
Additional fine upto Rs.100 for each day.
EMPLOYEES’ COMPENSATION
ACT, 2010
EMPLOYEES’ COMPENSATION ACT, 2010
Sec.3
Amount of compensation
•Where death of a workman results from the injury
•An amount equal to fifty per cent of the monthly wages of the deceased workman multiplied by the relevant factor
on an amount of eighty thousand rupees, whichever is more.
•Where permanent total disablement results from the injury.
•An amount equal to sixty per cent of the monthly wages of the injured workman multiplied by the relevant factor or
an amount of ninety thousand rupees, whichever is more
Procedure for calculation
Wages
When an employee is not liable for compensation
Report of accident
Bar upon contracting out
Rule 11 Form EE
PENALTY
Amendments :
Section 2(n) excludes people who are employed in a casual nature and those who are employed 'otherwise than for the purpose of
the employers trade or business. This exclusion is sought to be removed.
Section 4 sets the minimum amount payable for death and permanent total disablement as Rs 50,000 and Rs 60,000 respectively.
These are sought to be enhanced to Rs 80,000 and Rs 90,000 respectively.
Explanation to Section 4 set a ceiling of Rs 2000 for the purpose of calculating wages. This ceiling is sought to be enhanced to Rs
4000.
Section 4(4) requires the employer to deposit Rs 1000 with the commissioner as funeral expenses payable to the workman. This
amount is sought to be increased to Rs 2,500.
Section 4(A) specifies that the penalty on late payments is to be credited to the State Government. It is sought to credit the penalty
amount to the workman
The Apprentices Act, 1961
The Apprentices Act, 1961
Apprenticeship
Object of the Act Applicability of Advisor
Promotion of new the Act Central
manpower at skills. Areas and Apprenticeship
Improvement/refine industries as Advisor – when
ment of old skills notified by the appointed by
through theoretical Central Central
and practical training Government Government.
in number of trades
Sec. 1 Sec. 2(b)
and occupation
The Apprentices Act, 1961
Industry Qualification for being trained as
Industry means any industry, or business or in an Apprentice
which any trade, occupation or subject/field in A person cannot be an apprentice
engineering or technology or any vocational
in any designated trade unless
course may be specified as a designated trade
He is not less than 14 years of
Sec. 2(k) age;
He is not less than 18 years of
age for designated trades related
to hazardous industries
Contract of Apprenticeship He satisfies such standard of
To contain such terms and conditions as education
may be agreed to by the apprentice, or his And physical fitness as
guardian (in case he is a minor) and
employers. May be prescribed.
Sec. 3
Sec. 4
The Apprentices Act, 1961
Termination of
Conditions for Novation of Obligations of
Apprenticeship
Contract of Apprenticeship employers
On the expiry of the period of
•To Provide the
apprentice with Apprenticeship training.
•There exists an apprenticeship the training in his
contract. On the application by either of the
trade.
•The employer is unable to fulfil his •To ensure that a
parties to the contract to the
obligation. Apprenticeship Advisor
person duly
•The approval of the Apprenticeship qualified is placed
Three months last drawn tripend
Advisor is obtained. payable by employer in case of his
in charge of the
•Agreement must be registered with training of the
failure and recoverable from
the Apprenticeship Advisor. apprentice or his guardian in case for
apprentice. his failure
Sec. 5 •To carry out
contractual Sec. 6
obligations.
Sec. 11
Number of Apprentices in Period of Apprenticeship
Designated Trade As prescribed in Schedule 1 & 1B
Each establishment shall engage for trade apprentices
apprentices in the band of 2.5% to
10% of its total strength including I year for other Apprentices
contractual workers Rule 7
Sec.8 & Rule 7B
The Apprentices Act, 1961
Obligations of Apprentice
To learn his trade conscientiously, diligently.
To attend practical and instructional classes regularly.
To carry out all lawful orders.
To carry out his contractual obligations.
Health safety & Welfare measures for Apprentices
As per Factories Act or Mines Act as the case may be when undergoing
training. AS PER CHAPTERS 3,4,5 OF THE FACTORIES ACT AND CH 5 OF THE MINES ACT:
ALSO WORKMANS COMPENSATION ACT 1923
Hours of work
Sec. 15
The Apprentices Act, 1961
Offences & Punishment
Employer’s liability to pay Imprisonment of a term upto 6
compensation for injury months or with fine when
As per provisions of employer (I) engages as an
Workmen’s Compensation apprentice a person who is not
Act. qualified for being so engaged or
Sec. 16 (ii) fails to carry out the terms and
conditions of a contract of
apprenticeship, or (iii)
contravenes the provisions of the
Act relating to the number of
apprentices which he is required
to engage under those provisions
Secs. 30 & 31
Prevention, Prohibition & Redressal
of Sexual Harassment at the
Workplace, 2013
The POSH Act, 2013