Labour Law and Industrial Relations - 1 - DR Sharmila S. Ghuge

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9 or eee, | | | } i IF NY AND INDUSTRIAL RELATIONS - | WS ETC TES eM CLT ty \ ‘Himalaya ‘Publishing “House ISO 9001:2015 CERTIFIED PRATNEE SAMEDHIN cAdm LABOUR LAW AND INDUSTRIAL RELATIONS - I Dr. Sharmila Sandesh Ghuge Associate Professor, Jitendra Chauhan College of Law, Vite Parle (W), Mumbai, y go as cot ree 2 Ga oo — ‘ “Himalaya Publishing “House 180 9001:2015 CERTIFIED PREFACE ——— In any developing society, labor law plays a pivotal role in safeguarding the rights and interests of the workmen who are the strength of every industrial establishment and India is not an exception to it, At the same time labour legislations emerge as a pertinent facet of the legal system. The Tabour laws provide the jurisprudential aspect of protection of workforce and industrial progress in the nation. This labor Jaw book is an attempt to unravel the complexities of a few labor legislations in India, with a specific focus on Key statutes that shape the landscape of industrial relations, trade unions, standing orders and wages code, The new Labour Codes are explored within these pages. ‘The Industrial Relations Code incorporated within it the Industrial Disputes Act, the Trade Unions Act, The Industrial Employment (Standing Orders) Act 1946, Whereas, the Wages Code includes The Minimum Wages Act 1948, The Payment of Wages Act 1936 and the Bonus Act 1965. The new Codes have merged the earlier legislations with required modifications as per changing needs of contemporary era, Key Features of this Book Comprehensive Coverage: This book delves into the nitty-gritty of the Industrial Disputes Act, providing insights into the mechanisms for dispute resolution, and the role of adjudicating and settlement authorities. Historical reasons for the formation of combinations of workers, legal impediments and International Labour Organisation, its influence in bringing changes in national legislations are dealt in this book. Additionally, the Trade Union with definition, registration, recognition, civil and criminal immunities in trade disputes, etc is explained in detail. The concept of industry, workman, strike, lock out, lay off, retrenchinent, closure, unfair labour practices, ete., are enlightened in the new codes. The wages code which combines within it various Statues brings out an elucidated piece of legislation in the interest of workman, ‘This book offers practical insights beyond the theoretical aspects, case law references, and inlerpretative jueid language assists to provide a holistic understanding of the legal principles at play in a rut shell. This book is meticulously crafted for students pursuing their bachelor's degree in law. We ‘hope that this book equips the students with the knowledge they need to navigate the intricate web of labor law in India. Tctave for pardon of the readers of any inadequacy or flaw which may have occurred in this book, I shall welcome the suggestions from the readers, if any, to improve my writing for future work. Dr. Sharmila Ghuge SYLLABUS ——— Objectives ‘This course is designed to acquaint the students with the framework of Industrial Relations jn our country. Further, the importance of the maintenance of industrial peace and efforts to reduce the incidence of strikes and lockouts is to be emphasized. The main theme underlying the course is 10 critically understand the provisions of the Trade Unions, the types of machinery contemplated under the provisions relating to the Industrial Disputes for the prevention and sattlement of industrial disputes Further, the objectives underlying the Industrial Employment (Standing Orders) and Disciplinary Enquiry for Misconduct are to be. studied to acquaint the oudents with misconduct and the procedure 1o be followed before punishing the misconduct alleged and established. Further, the students are to be acquainted with the social security famework prevailing in our country. Tt is necessary to know the concept of social security, its ‘importance and the constitutional basis for the same in India, ‘The importance of ensuring the ‘health, safety and welfare of the workmen, social assistance and Social Insurance Schemes under ‘various legislations are to be emphasized. The main theme underlying, the course is to critically ‘examine the provisions relating to payment of wages of the workmen and the machinery provided for protecting the interests of the workers. The course aims to impart knowledge about the wages, payment of bonus, audits, ete. for workmen in industries and factories as per the Wages Code, 2020. Course Qutcomes ‘After completing this course, students should be able to: . Understand the provisions of the Trade Union and industry. ‘Comprehend the standards and techniques of industrial relations, . Understand the technicalities and concepts of industrial dispute and apply the relevant provisions of law. Know the legal provisions and concepts of Layoff and Lockout, Retrenchment, Strike, Wages and Workman, Develop extensive knowledge regarding provisions relating to trade unionism. a the provisions relating to minimum payment of wages, bonus, etc. of the wort Understand in detail Laws related to Factories and Apprentices. Know the offences and penalties under the Wages Code, 2020. > ae Pa Industrial Relations: The Trade Unions Module 1: Industrial Relations Code Historical Reasons for the Formation of Combinations of Workers, Legal Impediments, . International Labour Organisation — Its Influence in Bringing Changes in Nationa] Legislations ‘Trade Union — Definition, Registration and Recognition . Immunities in Trade Disputes: Criminal and Civil Module 2; Industrial Relations: The Industrial Disputes 1, ‘Industry" — Conceptual Analysis 2, Standing Orders 3, Mechanism to Dispute Resolution 4, Concept of ‘Workman’ Module 3: Causes of Industrial Dispute 1. ‘Strike’ and ‘Lockout’: Concepts, Legality and Justification 2, ‘Layoff’ ‘Rewenchment’ and ‘Closure’ 3. Analysis of the Concepts, Pre-requisites 4, Unfair Labour Practices ‘Module 4: Wages Code, 2020 1, Minimum Wages and Payment of Wages 2, Payment of Bonus 3. Offences and Penalties 4, Miscellaneous CONTENTS —_—_—a Module 1: Industrial Relations Code 1.1 Historical Reasons for the Formation of Combinations of Workers, Legal Impediments 1.2, International Labour Organisation — Its Influence in Bringing Changes in National Legislations 1.3. Trade Union — Definition, Registration and Recognition 1.4 Immunities in Trade Disputes; Criminal and Civil Module 2: Industrial Relations; The Industrial Disputes 2,1 ‘Industry’ - Conceptual Analysis 2.2 Standing Orders 2.3 Mechanism for Resolution of Industrial Disputes 2.4 Concept of ‘Workman'/Worker Module 3: Canses of Industrial Dispute BAL ‘Strike’ and ‘Lockout’: Concepts, Legality and Justification 3.2. ‘Layoff’, ‘Retrenchment’ and ‘Closure’ 3.3 Analysis of the Coneepts, Pre-requisites 3.4 Unfair Labour Practices Module 4: Wages Code, 2020 4.1 Payment of Minimum Wages 42. Payment of Bonus 43 Offences and Penalties 44 Miscellaneous Provisions Bibliography 33-63 64-101 102-139 140. INDUSTRIAL RELATIONS CODE Structure 1.1 Historical Reasons for the Formation of Combinations of Workers, Legal Impediments 1.2 International Labour Organisation - Its Influence in Bringing Changes in National Legislations 1.3. Trade Union ~ Definition, Registration and Recognition 1.4 Immunities in Trade Disputes: Criminal and Civil Introduction The Industrial Relations Code, 2020 provides a broader framework to protect the rights of workers to make unions, reduce the friction between employers and workers, and provide regulations for the settlement of industrial disputes. The Industrial Relations Code, 2020 was enacted by the Central Government, and with respect to the same, most of the State Labour Department has been publishing its draft rules, which will soon be implemented, The Code has ‘been introduced in order to amalgamate, simplify and subsume the following three central labour acts under one Code: (i) The Trade Unions Act, 1926 (i) The Industrial Employment (Standing Orders) Act, 1946 (iii) The Industrial Disputes Act, 1947 The Code has 104 scetions spread in XIV Chapters and three schedules relating to the Standing Orders, Unfair Labour Practice and Condition of Service for Change of which notice has to be given respectively. ‘Scope and Applicability ‘The Code és applicable to the whole of India, The Code is designed to consolidate and amend the laws regarding Trade Unions, conditions of employment in industrial establishment or undertaking, and aims settlement of industrial disputes. The Code regulates the subsequent areas: * Registration, Cancellation and Alteration of Name of Trade Union : Labour Lew and indusriat Relations 1 Constitution of Work Committee and Grievance Redressal Committee Incorporation of a Registered Trade Union Recognition of Negotiating Union Preparation of Standing Order Reaister of Standing Order Constitution of Industrial Tribunal Illegal Strikes and Lock-outs Procedure for Retrenchment and Re-employment of Retrenched Worker Compensation to Workers in Case of Transfer of Establishment Prohibition of Lay-off © Closure of an Industrial Establishment Objectives e The Code is designated to safeguard the rights of employers and employees by providing easy labour reforms and facilitating Ease of Doing Business. # The object of the Code is to realise industrial peace and harmony’ as the ultimate pursuit in resolving industrial disputes and to advance the progress of the industry by bringing about the existence of harmony and cordial relationship between the employers and workers, The Industrial Revolution, which started in Britain in the 18th century, slowly and steadily expanded in different countries and this revolution also resulted in the formation of Trade Unions. The sudden shift from small-scale industries to the establishment of large-scale industries led to a surge in the demand for both skilled and unskilled labourers With the advent of establishment of several factories, employers were required to hire more workers. Being the initial phase of industrial growth, everything was at nascent stage and so was unorganised, Consequently, there was possibility of exploitation of labour class, as the workers feared that they will be replaced if there is any lacuna on their part. At the same time, the employer had an upper hand which paved way to exploitation of workers. Therefore, the workers gathering in common intention to raise the standard of working conditions and to guarantee their rights was a welcome step. Over the period of time, the workers came together to form a body of worker which came to be known as *Unior India was under British Rule at that time, yet the concept of formation of Trade Union resulted in formation of new laws for protection of workers. During this. period, significant developments took place in India in crafting specific labour legislations for securing the goel of social justice. Thus, overall, the egonomic, political and social conditions influenced the growth of trade union movement in India. At the global stage, establishment of Intemational Labour Organisation (ILO) in 1919 helped the formation of trade union in the country. Several other Indasiriol Relations Code 4 jnfluences, such as the Swaraj Movement of 1921-1924 and the Royal Commission on Labour, emphasised the need to incorporate numerous labour laws that will benefit workers. Formation of Working Class in India ‘The working lass in India developed and formulated in the 19th century under colonial indulgence with the introduction of capitalism. It was during this phase that the British India witnessed several developments in the form of establishment of modern factories, railways, dockyards and construction to roads, huge buildings, etc, It was due to this progress. and expansion to, the working class looked forward to modern organisation of labour and a relatively free market for labour, Movement in Pre-independence India for Formation for Workers. ‘The trade and enlargements of the several activities by the East India Company fetched prominence to the port cities ~ Bombay, Calcutta and Madras. These cities due their geographical convenience favourable for trade very soon became the centres of the capitalist economy. Fer, cg. the establishment of cotton mills in Bombay, jute mills in Calcutta, and several factories in Madras in the late 19th century resulted in similar developments in smaller cities like Ahmedabad, Kanpur, Solapur, Kolhapur and Nagpur. Since the factories and various establishments required the services of workers, it emerged as the basic reason historically to have congregation of workers. The plantation workers worked for the capitalist employers and produced goods which were sold in the international markets. However, they were recruited under unfree conditions and were made to work in an unorganised manner. In fact, for the majority of the workers in colonial India, the recruitment and working conditions were not as free as were present in some other countries which were capitalistically more developed. This situation had its impact on the working class movement and was the main reason for calling a workers’ movement in India. Apart from less developed economy, the colonial condition also had its bearing on the labour movement. The working class movement covered all kinds of movements involving workers such as silent protests, passive resistance, individual protests and strikes as well as more organised forms of welfare activities and bigger protests and sirikes. Thus, the workers’ movement extended from daily struggles of the workers to general strikes encompassing the whole industry or many industries. In fact, being an early phase, the working conditions of the workers required attention of law. Consequently, the workers’ groups made endeavours in 1870-1880 to improve the working conditions by having organised labour, For a long period, no heed was paid to the working conditions of workers. It was only during 1903 to 1908 while the Swadeshi Surge took place in furtherance of concerted efforts to upgrade the conditions of labour. Additionally, major steps Were taken for formation, protection and organisation of workers between 1915-1922. During this period, there was resurgence of workers’ movement along with the Home Rule Movement and the Non-coopetation Movement. Thus, there wete various efforts made by the workers during the Colonial Rule for formation of workers. The workers’ movement experienced a long struggle for streamlining the recruitment and working conditions of workers which formed a background for formation of trade unions, Trade union movement is looked upon sa stronger movement which attempted to make working : Labour Law and Industria Relations — conditions more humane and more cooperative to the needs of the workers. Itis being in these compelling circumstances, India witnessed the growth and tise of trade union Factors Contributing to the Growth of Trade Union in India ‘After World War I, there were major changes which included increase in the prices of ‘essential commodities. However, the wages of labourers did not increase. The condition of workers became miserable. In the meantime, the Russian Revolution of 1917 and the establishment of the USSR compelled the workers to reconsider their social order. Similarly, the establishment of the International Labour Organisation (ILO) in 1919 gave a boost for protection of the workers’ interests. Daring the 1920s, the rise of socialist ideology in India led to the formation of trade unions, ‘The Gaya Session of Congress in 1922 adopted a resolution allowing party workers to participate in trade union activities, providing additional impetus to trade unions. According to the resolution, a committee was formed with Lala Lajpat Rai, C.R. Das and Anusuyaben Sarabhai to organise workers into trade union. C.R. Das, the President, opined that Congress should provide all necessary aid to the peasants and the working classes in their fight for attaining the Swaraj since they were heavily exploited by the Britishers and the loyalists. The growth of communist parties sparked the interest of the workers and which expanded the trade union. Factors Leading to Growth of Trade Union in India 1. Industrialisation: ‘The process of industrialisation in India, particularly after independence in 1947, led to the growth of the crganised workforce, As industries expanded, so did the number of workers, creating « need for collective representation and negotiation. Labour Exploitation: Historically, many workers in India faced harsh working conditions, low wages, and exploitation by employers. Trade union emerged as a response to these grievances, providing a platform for workers to voice their eoncems and demand better working conditions. 3. Legislative Support: The legal framework provided by laws like the Trade Unions Act, 1926, and the Industrial Disputes Act, 1947 gave trade union formal recognition and rights. These laws allowed unions to register, negotiate on behalf of workers, and engage in industrial dispute resolution. 4, Political Influence: Meny trade unions in India are affiliated with political parties. These affiliations have provided unions with political support and resources, contributing to their growth and influence. 5, Collective Bargaining: Trade unions are essential for collective bargaining. They negotiate with employers on behalf of workers for better wages, working conditions, and benefits, The ability to collectively bargain has been a significant attraction for workers to join unions, 6. Worker Awareness: Increased awareness among, workers about their rights, labour Jaws, and the benefits of collective action has led to more workers joining trade unions to protect their interests, y Industrial Relatfons Code 5 7. Changes in Employment Patterns: The changing nature of employment, including the growth of the informal sector, contractual labour, and gig economy workers, has spurred the need for unions to protect the rights of these workers who may be vulnerable to exploitation, 8. Social Movements: Various social movements in India, advocating for workers” rights, ‘have contributed to the growth of trade unions. These movements have raised awareness about labour issues and encouraged workers to otganise. 9, Global Labour Solidarity: Trade unions in India often collaborate with international labour organisations and unions. This global solidarity has helped Indian unions gain Support, resources, and exposure. 10, Technological Advances: Technology has enabled trade unions to communicate with and organise workers more efficiently. Online platforms and social media have facilitated union activities and outreach. 11. Changes in Economic Policy: Shifis in economic policy, such as labour market reforms and changes in employment laws, have driven workers to seek the protection and representation offered by trade unions, 12. Social Welfare Initiatives: Trade unions are often involved in advocating for social welfare initiatives, including healthcare, education, and housing, which resonate with workers and attract them to union membership. Thus, the growth of trade unions in India can be attributed to a combination of economic, political, and social factors, These unions continue to be essential in protecting the rights and interests of Workers in a rapidly changing economic and labour landscape The Trade Unions Act, 1926 serves as the legal framework for the functioning of trade unions in India. It aims to protect the rights and interests of workers and employers while ensuring that trade union activities are condueted within legal boundaries. This Act plays a crucial role in promoting industrial harmony and facilitating collective bargaining, which are fundamental to labour relations in India, Additionally, it recognises the role of trade union as vital entities in safeguarding the rights and welfare of workers in a democratic. and evolving society. Questions 1. Discuss the historical reasons for the formation of combinations of workers in India. . Discuss the evolution and growth of Trade Union in India. . Explain the fietors that contributed to the growth of Trade Unions in India. |. Elaborate the background leading for enactment of Trade Unions Act in India, Run In 1919, the International Labour Organisation (ILO) came into existence, as part of the Treaty of Versailles that ended World War I. The said Treaty was premised on the belief that universal and lasting peace can be ensured only if it is based on social justice. The Preamble of ‘ Labour Lev and Industrlt Rete mem Constitution of ILO enlists the regulation of working time and labour supply, the preventi unemployment and the provision of an adequate living wage, social protection of work. children, young persons and women as the key features. The Preamble also Tecognises a numb of vital principles such as equal remuneration for work of equal value and freedom of associn and highlights, attong others, the importance of vocational and technical education, “ Shri N.M. Joshi, a veteran social activist of that time, represented the labourers at ‘Washington Summit of ILO in the year 1919. Subsequently, the International Labour Guts was held in 1927, Shri V.V. Giri also represented the Indian working class. Since its inceptig the ILO has framed a number of conventions and recommendations concerning. various aspects =! working conditions, employer-employce relations, labour welfare, social security, etc. One ofthe earlier and most important conventions of the ILO is the ‘Right to Organise and Collective Bargaining Convention (No. 98), 1949’. This Convention sets out rules for the freedom of tnionisation and collective bargaining, principles that belong to the core values of the ILO, The Convention ensures workers’ protection from discrimination for their membership or engagement in union activities. The First Central Trade Union Organisation ‘The year 1920 was of crucial importance in the history of Indian trade union movement, By this time, efforts to organise trade unions all over India bore fruit and a large number of unions were started, In fact, in 1920 itself, the first Central Trade Union was organised. The Government of India Act, 1914 provided tor representation by nomination in the Central Legislature for industrial labour. It was understood that the Government would consult the leaders of the organised Iabour movement before making the nomination. Secondly, the establishment of International Labour Organisation in the same year, i.e, in 1919, produced a very similar situation because a representative of the Indian working people was to be nominated in the delegation to the International body. Initiative was taken by the leaders of the Indian National Congress and the All India Trade Union Congress (AITUC) was constituted in a conference of trade union representatives in Bombay in October, 1920. Lala Lajpat Rai, a veteran Congress leader from Punjab, was the President of the first session. Also associated were leaders like Shri Dewan Chaman Lal, Shri N.M, Joshi, Shri Motilal Nehru and Smt. Annie Besant. Unions with a total membership of 140,854 were affiliated to. it. All India Railwaymen’s Federation was also formed in 1922, and practically, all the Unions in the Railways were affiliated to it. Other organisations like the Bengal Trade Unionist Federation and the Central Labour Board, Bombay ‘were also formed almost the same time. The International Labour Organisation (ILO) was established in 1919, following World War I, as a social engineering project to protect workers? rights and ensure that freedom, equity, and dignity in working conditions are universally observed. It is the United Nations’ first specialised agency, having been established as part of the League of Nations, The ILO currently has 187 of the United Nations” 193 member states as members. The ILO accentuates on the tripartism, which aims to ensure that any dialogue on labour-related issues involves the three main stakeholders, namely, employers, workers, and states, The International Labour Organisation (ILO) achieves its goals through three main bodies made up of the aforementioned stakeholders, which are # follows: Industrial Relations Code H 1, The International Labour Conference: It is an annual gathering of governments, workers, and employers ftom ILO member countries. The conference's goal is 10 discuss the organisation's broad policies, establish and adopt intemational labour standards, and elect the governing body. 2. Governing Body: It is the ILO’s executive body, responsible for policy decisions, setting the agenda for the International Labour Conference, adopting a budget, and cleeting the Director-General. It is made up of 56 titular members, of which, 28 are held by govemments and 14 by cmployers and workers, respectively. Ten of the titular government seats are non-elected, permanent seats held by states with the ‘greatest industrial importance; India is one of these nations, 3 International Labour Office: It is the International Labour Organisation’s permanent secretariat, and it is in charge of the organisation's administration as well as the implementation of technical cooperation activities, as well as programmes for awareness, advacacy, and information sharing, Important Conventions/Declaration/Documents 1, Declaration on Fundamental Principles and Rights at Work (1998): The Declaration categorises fundamental principles and rights into four categories: freedom of association and effective recognition of the right to collective bargaining, the abolition of forced or compulsory labour, the abolition of child labour, and the abolition of employment and occupation discrimination Forced Labour Convention (1930) and its Protocol (2014): This document is one of the primary intemational instriments responsible for the worldwide reduction in foreed/eompulsory labour. It critninalises the use of forced labour and requires ratifying countries to ensure that itis strictly enforced. This also includes taking all necessary steps to end all forms of forced labour, as well as identifying and rehabilitating all victims of such labour. Labour Inspection Convention, 1947: This document requires ILO members to maintain, to the greatest extent possible, a system of labour inspection in industrial workplaces under the supervision and control of a central authority. 4. Freedom of Association and Protection of the Right to Organise Convention (1948): This Convention dealt with the right of workers to form and join organisations of their choice without the approval of their employer, the right of workers’ and employers’ organisations {o draft their own constitutions and rules, and the right of workers” and employers’ organisations to form and join federations, ete. 5. Right to Organise and Collective Bargaining Convention (1949); This document seeks to protect workers and workers’ organisations from anti-union discrimination in the workplace. 6 Equal Remuneration Convention (1951): The ratifying states are required by this Conyention to promote the application of the equal remuneration principle for work of equal value also aims to secure gender equality, 7. Abolition of Forced Labour Convention (1957); This Convention expands on the general prohibition in the preceding document by prohibiting the use of forced labour 2 es 8 Labour Lew and Indust Regy,, 1 for political coercion, education, punishment, mobilising labour for conan development, labour discipline 2s puishen for tke participation, end asamp. racial, social, national, of religious discrimination, 8. Minimum Age Convention (1973): This Convention requires ratifying counire, implement a national policy aimed at effectively eliminating child labour, Tequires states to raise the minimum age for employment/work to a level consisten wi young people’s physical and mental development. 9, Worst Forms of Child Labour Convention (1999): The term “child” refers tg a persons under the age of 18 for the purposes of this Convention. Each member hg ratifies this Convention is obligated to take immediate steps to eliminate the toy heinous forms of child Iabour. This term includes practices such as slavery, human trafficking, serfifom, and the use of child soldiers, among others. 10. Discrimination (Employment and Occupation) Convention (1958): This addresses discrimination based on race, colour, gender, sexual orientation, religion, politica] opinion, national origin, or social origin. Other distinctions that have the effect of nullifying or impairing equality of opportunity are included. 11. Employment Policy Convention, 1964: This Convention seeks to ensure that member countries actively pursue the policy goal of full and equal employment for all of their citizens, 12. Labour Inspection (Agriculture) Convention, 1969: The Convention seeks to impose am obligation on ratifying countries to refrain from excluding agricultural enterprises from the National Labour Inspection system. It defines agricultural enterprises and outlines the system functions that specifically cater to such establishments. 13. Tripartite Consultation (International Labour Standards) Convention, 1976: This document defines representative organisations in the context of labour and requires the ratifying countries to implement procedures that allow for effective consultations on issues handled by the ILO. These include government responses io questionnaires, ‘Proposals to the competent authority in connection with Conventions/Recommendations, re-examination of unratified Conventions, questions arising from reports to the International Labour Office, and proposals to denounce ratified Conventions, Conventions Ratified by India India has ratified only four of the eight core conventions, which are as follows: 1. Forced Labour Convention, 1930, Na. 29. 2. Equal Remuneration Convention, 1951, No. 100. 3. Discrimination (Employment and Occupation) Convention, 1958, No. 111. 4, Abolition of Forced Labour Convention, 1957, No. 105, Thus, the principal function of the ILO is to take care of the interests of the workers by means of setting up the international labour standards in the form of Conventions and Recommendations. Overall, [LO is dedicated to promote social justice and intemationally recognised hurhan and labour rights, by religiously following ifs founding mission that labour ‘peace is essential to prosperity, 5. Trade Union Right 2. 3 4. Industrial Relations Code Q Influence of ILO in Bringing about Changes in the Constitutional Law and Other Legislations in India The International Labour ‘Organisation (ILO) has had a significant influence on the development of labour laws and policies in India, including the Indian Constitution and other legislations: 1, ILO and the Indian Constitution: The principles and objectives of the ILO have been incorporated into the Indian Constitution which reflects in the chapter of Fundamental Rights Guaranteed by the Indian Constitution. The right to equality, right against exploitation, and the right to work are influenced by the Principles enshrined in ILO Conventions and Recommendations. Similarly, the Directive Principles of State Policy in Part IV of the Constitution contain provisions related to lahour and employment, emphasising the welfare of workers, just and tumane conditions of work, and the prohibition of child labour. » Minimum Wage Legislation; The concept of minimum wage and fair wages, which is van integral part of ILO Standards, has influenced Indian labour laws, including the Payment of Minimum Wages Act, 1948, 4. Child Labour Prohibition: India has ratified 1LO Convention No. 182 on the Worst Forms of Child Labour. The influence of the ILO is evident in the Indian laws such as the Child Labour (Prohibition and Regulation) Act, 1986, Pp 4, Occupational Health and Safety: 1LO Conventions related to Occupational Health and Safety have influenced Indian laws and regulations governing workplace safety, ‘tneluding the Pactories Act, 1948; the Employees” State Insurance Act, 1948; Mines Act, 1952; ete. (LO Conventions on Freedom of Association and the Right to ‘Organise fave played a role’ in shaping Indian laws related to trade unions, collective “bargaining and industrial disputes, including the Trade Unions Act, 1926 and the Industrial Disputes Act, 1947. 6. Equal Remuneration: The principle of equal pay for equal work, as advocated by the TLO, is reflected in Indian laws like the Equal Remuneration Act, 1976, which aims to ‘eliminate gender-based wage discrimination. 7. Social Security and Welfare: The ILO’s emphasis on social security and workers’ ‘welfare has influenced Indian policies and laws related to provident funds, gratuity and other Social security benefits. 8 Materalty Benefits: The ILO's Matemity Protection Convention has influenced Indian Taws such as the Matemity Benefit Act, 1961, which provides matemity benefits and Protection for pregnant and lactating women in the workforce. ‘Questions 1. Hightight the significance of Intemational Labour Organisation, . Explain the role of ILO in protection of Trade Union Members/Labourerss. . Explain in what manner has the ILO influenced Indian Legislations. . Name few Conventions af ILO. Definition (Section 2) Section 2 of the Code defines various terms are given hereunder 2. In this Code, unless the context otherwise requires, (a) “appellate authority” means an authority appointed by the appropriate Goverm cease such functions in such area as may be specified by that Government 5 notification in the Official Gazette; Sm {b) “appropriate Government” means,— (@_imrelation to any industrial establishment or undertaking carried on by or under the authority of the Central Government or concerning any such controlled industry as may be specified in this behalf by the Central Government or the establishment of railways including metro railways, mines, oilfields, major ports, air transport service, telecommunication, banking and insurance company or a corporation or other authority established by a Central Act or a central public sector undertaking, subsidiary companies set up by the principal undertakings or autonomous b owned of controlled by the Central Government including establishments of the contractors for the purposes of such establishment, corporation, other authority, public sector undertakings or any company in which not less than fifty-one per cent of the paid-up share capital is held by the Central Government, as the ease may be, the Central Government; Explanation: For the purposes of this clause, the Central Government shal continue to be the appropriate Government for central public sector undertakings even if the holding of the Central Government reduces to less than fifty per cent equity in that public sector undertaking after the commencement of this Code; (ii) in relation to any other industrial establishment, including State public secior Tindertakings, subsidiary companies set up by the principal undertaking and futonomous bodies owned or controlled by the State Government, the Stale Government: Provided that in case of a dispute between a contractor and the contract labour employed through the contractor in any industrial establishment where such cioPtS first arose, the appropriate Government shall be the Central Government OF the State Government, as the case may be, which has control over such industrial establishment; (©) “arbitrator” includes an umpire: (a) “average pay” means the average of tl (i) in the case of monthly paid worker, Gi) in the case of weekly paid worker, in four complete weeks; (Gil). in the case of daily paid worker, in twelve full working days, preceding the date om ‘which the average pay becomes payable, if the worker had worked for three the wages payable toa worker,— in three complete calendar months: pnd! Relations Code il complete calendar months or four complete weeks ar twelve full working days, 28 the-case may be, and where such calculation cannot be made, the average pay shall be calculated as the average of the wages payable to a worker during the period he actually worked; (e) “award” means an interim or a final determination of any industrial dispute or of any question relating thereto by any Industrial Tribunal referred to in Section 44.or National Industrial Tribunal referred to in Section 46 and includes an arbitration award made under Section 42; (f “banking company” means a banking company as defined in Section 5 of the Banking Regulation Act, 1949 and inchides. the Export-Import Bank of India, the Industrial Reconstruction Bank of India, the Small Industries Development Bank of India established under Section 3 of the Small Industries Development Bank of India Act, 1989, the Reserve Bank of India, the State Bank of India, a corresponding new bank constituted under Section 3 of the Banking Companies (Acquisition and Transfer of . Undertakings) Act, 1970, a corresponding new bank constituted under Section 3 of the Banking Companies (Acquisition and Transfer of Undertakings) Act, 1980; (g) “certifying officer” means any officer appointed by the appropriate Government, by notification, to perform the functions of a certifying officer under the provisions of Chapter IV; (h) “closure” means the permanent closing down of a place of employment or part thereof; ( “conciliation officer” means a conciliation officer appointed under Section 43; @) “conciliation proceeding” means any proceeding held by a conciliation officer under ~ 06) “controlled industry” means any industry the control of which by the Union has been ‘declared by any Central Act to be expedient in the public interest; "ean any person (other than an apprentice engaged under the Apprentices ed by an industrial establishment to do any skilled, semi-skilled or jeational, supervisory, managerial, administrative, technical or ‘reward, whether the terms of cmployment be express or implied, 4 person declared to be an employee by the appropriate Government, member of the Armed Forces of the Union; ‘a person who employs, whether directly or through any petson, or “or on behalf of any person, one or more employee or worker in his | where the establishment is carried on by any department of the or the State Government, the authority specified by the head of the fet ‘or where no authority is so specified, the head of the to.an establishment carried on by a local authority, the chief ty, and ineludes,— which is a factory, the occupier of the factory as jection 2 of the Factories Act, 1948 and where a person “Of the factory under clause (f) of sub-section (1) of ——————— Labour Law and Indust Retatong Ci) in relation to any other esabishment, the person who, oF the authority whic jy, ultimate control over the affairs of the establishment and where the said affsig entrusted to a manager or managing director, such manager or managing ice (iil) contractor; and (iv) legal representative of a deceased employer, (a) “executive”, in relation to a Trade Union, means the body by whatever name called, g which the management of the affairs of a Trade Union is entrusted: (0) “fixed term employment” means the engagement of a worker on the basis of a writen contract of employment for a fixed period: Provided that— (a) his hours of work, wages, allowances and other benefits shall not be less than thay of e-permanent worker doing the same work or work of similar nature; (>) he shall be eligible for all statutory benefits available to a permanent worker proportionately according to the period of service rendered by him even if his period of employment does not extend to the qualifying period of employment required in the statute; and (c) he shall be eligible for gratuity if he renders service under the contract for a period of one year; (p) “industry” means any Systematic activity carried on by cooperation between an employer and worker (whether such worker is employed by such employer directly or by or through any agency, including a contractor) for the production, supply or distribution of goods or services with a view 10 satisfy human wants or wishes (not being wants or wishes which are merely spiritual or religious in nature), whether or not,— (any capital has been inyested for the purpose of carrying on such activity; or (ii) such activity is carried on with a motive to make any gain or profit, but does not include— (i) institutions owned or managed by organisations wholly or substantially engaged in any charitable, social or philanthropic service; or (ii) any activity of the appropriate Government relatable to the sovereign functions cof the appropriate Government including all the activities carried on by the departments of the Central Government dealing with defence research, atomic energy and space; or (iii) any domestic service; or (iv) any other activity as may he notified by the Central Government; (q) “industrial dispute” means any dispute or difference between employers snd ‘employers or between employers and workers or between workers and workers which i+ connected with the employment or non-employment or the terms of employment or wilt the conditions of labour, of any person and includes any dispute or difference betwee™ an individual worker and an employer connected with, or arising out of dischars% dismissal, retrenchment or termination of such worker; ndusrtl Relations Code of (&) “industrial establishment or undertaking” means an establishment or undertaking in which any industry is carried on: Provided that where several activities are carried on in an establishment ot undertaking and only one ot some of such activities is or are an industry or industries, then— @ if any wnt of such establishment or undertaking carrying on any activity, being an industry, 1s severable from the other unit or units of such establishment or undertaking which is not earrying on ot aiding the carrying on of any such activity, such unit shall be deemed to be a separate industrial establishment or undertaking; (ii) if the predominant activity or each of the predominant activities carried on in such establishment or undertaking or any unit thereof is an indusiry and the other activity or cach of the other activities carried on in such establishment or undertaking or unit thereof is not severable from and is, for the purpose of carrying on, or aiding the carrying on of, such predominant activity or activities, the entire establishment or undertaking or, as the case may be, unit thereof shall he deemed to ‘be an industrial establishment or undertaking; @ “insurance company” means a company as defined in Section 2 of the Insurance Act, 1938; (t) “layoff” (with its grammatical variations and cognate expressions) means the failure, refusal or inability of an employer on account of shortage of coal, power or raw qnaterials or the accumulation of stocks or the breakdown of machinery’ or natural calamity or for any other connected reason, to give employment to a worker whose name is borne on the muster rolls af his industriel establishment and who has not been retrenched. Explanation: Every worker whose name is bome on the muster rolls of the industrial ‘establishment and who presents himself for work at the establishment at the time ae for the purpose during normal working hours on any day and is not given mployer Within two hours of his so presenting himself shall be aid off for that day within the meaning of this clause: ‘Provided that if the worker, instead of being given employment at the commencement ‘of any shift for any day is asked fo present himself for the purpose during the second - halffof the shift for the day and is given employment, then he shall be deemed to have teen laid off'only for one-half of that day: ‘Provided further that if be is not given any such employment even after so presenting | himself, tie shall not be deemed to have been laid off for the second half of the shift for the day and shall eae To full basic wages and dearness allowance for that part of the dayjen 0 sassy tapes sion closing of a place of employment, or the suspension of “Work of the refusal by an employer to continue to employ any number of persons employed by him; 0 major port” means a major port as defined in clause (8) of Section 3 of the Indian Hameo rallnay” means the metro rally as defined in sub-clause (i) of clause (1) of "Section 2 of the Metro Railways (Operation and Maintenance) Act, 2002; Labour Law and Industrie Relation I () “mine” means a mine as defined in clause (j) of sub-section (1) of Sect Mines Act, 1952; On 2 of the (y) “National Industrial Tribunal” means a National Industrial Tribunal ‘constituted Section 46; Under (2) “negotiating union or negotiating council” means the negotiating union es council referred to in Section 14; or neEDtiating (2a) “notification” means a notification published in the Official Gazette of India op Official Gazette of a State, as the case may be, and the expression “notify” wih grammatical variation and cognate expressions shall be construed accordingly; (zb) “office bearer”, in relation to a Trade Union, includes any member of the executi thereof, but does not include an auditor; ie (ze) “prescribed” means prescribed by rules made under this Code; (2d) “railway” means the railway as defined in clause (31) of Section 2 of the Railways acy 1989; (ze) “registered office” means that office of a Trade Union which is registered under thi Code as the head office thereof; (af) “registered Trade Union” means a Trade Union registered under this Code; (2g) “Registrar” means:a Registrar of Trade Unions. appointed by the State Government under Section 5; (2h) “retrenchment” means the termination by the employer of the service of a worker for any reason whatsoever, otherwise than as a punishment inflicted by way of discipl y plinary action, but does not inchide— ) voluntary retirement of the worker; or (i) retirement of the worker on reaching the age of superannuation; or (iii) termination of the service of the worker as a result of the non-renewal of the contract of employment between the employer and the worker concerned on its expiry or of such contract being terminated under a stipulation in that behal contained therein; or (iv) termination of service of the worker as a result of completion of tenure of fixed term employment; or (¥) termination of the service of a worker on the ground of continued ill-health, (2) “settlement” means a settlement arrived at in the course of conciliation proceeding and includes a written agreement between the employer and worker arrived at otherwise than in the course of conciliation proceeding where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof has been sent to an officer authorised in this behalf by the appropriate Government and to the conciliation officer; (zj) “standing orders” means orders relating to matters set out in the First Schedule; (zk) “strike” means a cessation of work by a body of persons employed in any indust) acting in combination, or a concerted refusal, or a refusal, under @ © , understanding, of any number of persons who are or have been so employed to cont Indusrlat Relations Code a to work or to-aceept employment and includes the concerted casual leave on a given day by filly per cent or more workers employed in an industry, (a) “Trade Union” means any combination, whether temporary. or permanent, formed primarily for the purpose of regulating the relations between workers and employers or between workers and workers, or between employers and employers, or for imposing restrictive conditions on the conduct of any trade or business, and includes any federation of two or more Trade Unions: Provided that the provisions of Chapter III of this Code shall not affect— (i) any agreement between partners as to their own business; or (ii) any agreement between an employer and those employed by him as to such employment; or (ii) any agreement in consideration of the sale of the goodwill of a business or of instruction in any profession, trade or handicraft; (zm) “Trade Union dispute” means any dispute relating to Trade Union arising between two or more Trade Uttions or between the members of'a Trade Union inter se; (zm) “Tribunal” means an Industrial Tribunal constituted under Section 44; (zo) “unfair labour practice” means any of the practices specified in the Second Schedule; (2p) “unorganised sector” shall have the same meaning as assigned to it in clause (1) of Section 2 of the Unorganised Workers’ Social Security Act, 2008; (eq) “wages” means all remuneration, whether by way of salary, allowances or otherwise, expressed in terms of money or capable of being so expressed which would, if the terms. of employment, express ot implied, were fulfilled, be payable to a person employed in respect of his employment or of work donc in such employment, and includes, — () basicpayy Gi) “dearness allowance; (ii) retaining allowatice, ifany, but does not include— (b) the value offany house accommodation, or of the supply of light, water, medical -Altendarice or other amenity or of any service excluded from the computation of jeral or Special order of the appropriate Government; ‘ontribution | by he employer to any pension or provident fund, and the interest which may have acerued thereon; (d) any conveyance allowance or the value of any travelling concession; : person to defray special expenses entailed on (g} remuneration payable under any award or settlement between the parties or order of a court or Tribunal; (h) any overtime allowance; Labour Lam and Industral Relations (i) any commission payable to the employee; (any gratuity payable on the termination of employment; or (&) any retrenchment compensation or other retirement benefit payable to tye employee or any ex- gratia payment made to him on the termination of employment: Provided tha, for ealculating the wage under this clause, if any payments mage by the employer to the employee under sub-clauses (a) to (i) exceeds one-haie of such other per cent as may be notified by the Central Government, of ai remuneration calculated wnder this clause, the amount which exceeds such ong. half, or the per cent so notified, shall be deemed to be remuneration and shall be accordingly added in wages under this clause: Provided further that for the purpose of equal wages to all genders and for the purpose of payment of wages, the emoluments specified in sub-clanses (4), (f, (g) and (h) shall he taken for computation of wage. Explanation: Where an employee is given in lieu of the whole or part of the ‘wages payable to him, any remuneration in kind by his employer, the value of ‘such remuneration in kind which does not exceed fifteen per cent of the total ‘wages payable to him, shall be deemed to form part of the wages of such employee; (ex) “worker” means any person (except an apprentice as defined under clause (aa) of Section 2 of the Apprentices Act, 1961) employed in any industry to do any manual, unskilled, skilled, technical, operational, clerical or supervisory work for hire or reward, whether the terms of employment be express or implicd, and includes working journalists as defined in clause (f) of Section 2 of the Working Journalists and Other Newspaper Employees (Conditions of Service) and Miscellaneous Provisions Act, 1955 and sales promotion employees 2s defined in clause (d) of Section 2 of the Sales Promotion Employees (Conditions of Service) Act, 1976, and for the purposes of any proceeding under this Code in relation to an industrial dispute, includes any such person who has been dismissed, discharged or retrenched or otherwise terminated in connection with, Or as a consequence of, that dispute, or whose dismissal, discharge of retrenchment has led to that dispute, but does not include any such person— (i) ‘who is subject to the Air Force Act, 1950, or the Army Act, 1950, or the Navy Act, 1957, or (ii) ‘who is employed in the police service or as an officer or other employee ofa prise" ‘or (iii) who is employed mainly in a managerial or administrative capacity; or GN) who is employed in @ supervisory capacity drawing wages exceeding eightee® thousand rupees per month or an amount as may be notified by the Central ‘Government from time to time: _ industrial Relations Code 7 Provided that for the purposes of Chapter III, “worker"— (a) means all persons employed in trade or industry; and (b) includes the worker as defined in clause (m) of Section 2 of the Unorganised Workers’ Social Security Act, 2008, Questions . Define Trade Union as per the Industrial Relations Code. . Define Employer and Employce as per the Industrial Relations Code. }. Define Wages as per the Industrial Relations Code. |. Define Appropriate Goverment as per the Industrial Relations Code, . Define Retrenchment as per the Industrial Relations Code. pao Be BI-PARTITE FORUMS Works Committee (Section 3) 1, In the case of any industrial establishment in which one hundred or more workers are employed or have heen employed on any day in the preceding twelve months, the appropriate Goverment may by general or special order require the employer to eonstitute a Works Committce, in such manner as may be prescribed, consisting of representatives of employer and workers engaged in the establishment: Provided that the number of representatives of workers in such Committee shall not be esi than the mumber of representatives of the employer. 2. ‘The representatives of the workers shall be chosen, in such manner as may be prescribed, from among the workers engaged in the establishment and in consultation with their Trade Union, if arty, registered in accordance with the provisions of Section 9. 3, It shall be the duty of the Works Committee to promote measures for securing and preserving amity and good relations between the employer and workers and, to that end, fo comment upon matters of their common interest or concem and endeavour to Compose any material difference of opinion in respect of such matters. Grievance Redressal Committee (Section 4) 1. Every industrial establishment employing twenty or more workers shall have one or more Grievance Redressal Committees for resolution of disputes arising out of individual grievances. 2. The Grievance Redressal Committee shall consist of equal number of members representing the employer and the workers to be chosen in such manner as may be prescribed, 3. The chairperson of the Grievance Redressal Committee shall be selected from among ‘Persons representing the employer and the workers alternatively on rotational basis every year, 4, The total number of members of the Grievance Redressal Committee shall not exceed Ten:

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