LABOUR
LAW AND EMPLOYEE RELATIONS
Module 1
INTRODUCTION
Labour law also
known as employment law is the body of laws, administrative rulings, and precedents
which address the legal rights of, and restrictions on, working people and
their organizations. As such, it mediates many aspects of the relationship
between trade unions, employers and employees. In other words, Labour law
defines the rights and obligations as workers, union members and employers in
the workplace. Generally, labour law covers:
• Industrial
relations – certification of unions, labour‐management
relations, collective bargaining and unfair labour practices;
• Workplace
health and safety;
• Employment
standards, including general holidays, annual leave, working hours, unfair dismissals,
minimum wage, layoff procedures and severance pay.
There are two
broad categories of labour law. First, collective labour law relates to the
tripartite relationship between employee, employer and union. Second,
individual labour law concerns employees' rights at work and through the
contract for work. The labour movement has been instrumental in the enacting of
laws protecting labour rights in the 19th and 20th centuries. Labour rights
have been integral to the social and economic development since the industrial
revolution.
History of
Labour laws
Labour law arose
due to the demands of workers for better conditions, the right to organize, and
the simultaneous demands of employers to restrict the powers of workers
in many organizations and to keep labour costs low. Employers' costs can
increase due to workers organizing to win higher wages, or by laws
imposing costly requirements, such as health and safety or equal opportunities
conditions. Workers' organizations, such as trade unions, can also
transcend purely industrial disputes, and gain political power ‐ which some employers may oppose.
The state of labour law at any one time is therefore both the product
of, and a component of, struggles between different interests in
society.
International Labour Organization (ILO) was one
of the first organisations to deal with labour issues. The ILO was established
as an agency of the League of Nations following the Treaty of Versailles, which
ended World War I. Post‐war
reconstruction and the protection of labour unions occupied the attention of
many nations during and immediately after World War I. In Great Britain, the
Whitley Commission, a subcommittee of the Reconstruction Commission,
recommended in its July 1918 Final Report that "industrial councils"
be established throughout the world. The British Labour Party had issued its
own reconstruction programme in the document titled Labour and the New Social
Order.
In February
1918, the third Inter‐Allied Labour
and Socialist Conference (representing delegates from Great Britain, France,
Belgium and Italy) issued its report, advocating an international labour rights
body, an end to secret diplomacy, and other goals. And in December 1918, the
American Federation of Labor (AFL) issued its own distinctively apolitical
report, which called for the achievement of numerous incremental improvements
via the collective bargaining process.
As the war drew
to a close, two competing visions for the post‐war
world emerged. The first was offered by the International Federation of Trade
Unions (IFTU), which called for a meeting in Berne in July 1919. The Berne
meeting would consider both the future of the IFTU and the various proposals
which had been made in the previous few years. The IFTU also proposed including
delegates from the Central Powers as equals. Samuel Gompers, president of the
AFL, boycotted the meeting, wanting the Central Powers delegates in a
subservient role as an admission of guilt for their countries' role in the
bringing about war. Instead, Gompers favored a meeting in Paris which would only
consider President Woodrow Wilson's Fourteen Points as a platform. Despite the
American boycott, the Berne meeting went ahead as scheduled. In its final
report, the Berne Conference demanded an end to wage labour and the
establishment of socialism. If these ends could not be immediately achieved,
then an international body attached to the League of Nations should enact and
enforce legislation to protect workers and trade unions.
The British
proposed establishing an international parliament to enact labour laws which
each member of the League would be required to implement. Each nation would
have two delegates to the parliament, one each from labour and management. An
international labour office would collect statistics on labour issues and
enforce the new international laws. Philosophically opposed to the concept of
an international parliament and convinced that international standards would
lower the few protections achieved in the United States, Gompers proposed that
the international labour body be authorized only to make recommendations, and
that enforcement be left up to the League of Nations. Despite vigorous
opposition from the British, the American proposal was adopted.
The Americans
made 10 proposals. Three were adopted without change: That labour should not be
treated as a commodity; that all workers had the right to a wage sufficient to
live on; and that
women should
receive equal pay for equal work. A proposal protecting the freedom of speech, press,
assembly, and association was amended to include only freedom of association. A
proposed ban on the international shipment of goods made by children under the
age of 16 was amended to ban goods made by children under the age of 14. A
proposal to require an eight‐hour work day
was amended to require the eight‐hour
work day or the 40‐hour work week
(an exception was made for countries where productivity was low). Four other
American proposals were rejected. Meanwhile, international delegates proposed
three additional clauses, which were adopted: One or more days for weekly rest;
equality of laws for foreign workers; and regular and frequent inspection of
factory conditions.
The Commission
issued its final report on 4 March 1919, and the Peace Conference adopted it without
amendment on 11 April. The report became Part XIII of the Treaty of Versailles.
(The Treaty of Versailles was one of the peace treaties at the end of World War
I. It ended the state of war between Germany and the Allied Powers. It was
signed on 28 June 1919.)
The first annual
conference (referred to as the International Labour Conference, or ILC) began
on 29th October 1919 in Washington DC and adopted the first six International
Labour Conventions, which dealt with hours of work in industry, unemployment,
maternity protection, night work for women, minimum age and night work for
young persons in industry. The prominent French socialist Albert Thomas became
its first Director General. The ILO became a member of the United Nations system
after the demise of the League in 1946.
Purpose of
labour legislation
Labour
legislation that is adapted to the economic and social challenges of the modern
world of work fulfils three crucial roles:
• It establishes
a legal system that facilitates productive individual and collective employment
relationships, and therefore a productive economy;
• by providing a
framework within which employers, workers and their representatives can interact
with regard to work‐related issues,
it serves as an important vehicle for achieving harmonious industrial relations
based on workplace democracy;
• It provides a
clear and constant reminder and guarantee of fundamental principles and rights
at work which have received broad social acceptance and establishes the
processes through which these principles and rights can be implemented and
enforced.
Evolution of
Labour law in India:
The law relating
to labour and employment is also known as Industrial law in India. The history
of labour legislation in India is interwoven with the history of British
colonialism. The industrial/labour legislation's enacted by the British were
primarily intended to protect the interests of the British employers.
Considerations of British political economy were naturally paramount in shaping
some of these early laws. Thus came the Factories Act. It is well known that
Indian textile goods offered stiff competition to British textiles in the
export market and hence in order to make India labour costlier the Factories
Act was first introduced in 1883 because of the pressure brought on the British
parliament by the textile magnates of Manchester and Lancashire. Thus India
received the first stipulation of eight hours of work, the abolition of child
labour, and the restriction of women in night employment, and the introduction
of overtime wages for work beyond eight hours. While the impact of this measure
was clearly welfare the real motivation was undoubtedly protectionist.
The earliest
Indian statute to regulate the relationship between employer and his workmen
was the Trade Dispute Act, 1929 (Act 7 of 1929). Provisions were made in this
Act for restraining the rights of strike and lock out but no machinery was
provided to take care of disputes.
Constitutional provisions with regard to labour laws:
The relevance of
the dignity of human labour and the need for protecting and safeguarding the interest
of labour as human beings has been enshrined in Chapter‐III (Articles 16, 19, 23 &
24) and Chapter IV (Articles 39, 41, 42, 43, 43) of the Constitution
of India keeping in line with Fundamental Rights and Directive Principles of
State Policy.
Continuing Basis:
Committee on Workers Education
Art 14 of the Indian Constitution explains the concept of
Equality before law. The concept of equality does not mean absolute
equality among human beings which is physically not possible to achieve.
It is a concept implying absence of any special privilege by reason of birth,
creed or the like in favour of any individual, and also the equal subject
of all individuals and classes to the ordinary law of the land. As Dr.Jennings
puts it: "Equality before the law means that among equals the law
should be equal and should be equally administered, that like should be
treated alike. The right to sue and be sued, to prosecute and be
prosecuted for the same kind of action should be same for all citizens of
full age and understanding without distinctions of race, religion, wealth,
social status or political influence” It only means that all persons
similarly circumstance shall be treated alike both in the privileges
conferred and liabilities imposed by the laws. Equal law should be applied
to all in the same situation, and there should be no discrimination
between one person and another. As regards the subject-matter of the
legislation their position is the same.
Thus, the rule is that the like should be treated alike and not
that unlike should be treated alike. In Randhir Singh v.
Union of India(AIR 1982 SC 879), the Supreme Court has held
that although the principle of 'equal pay for equal work' is not expressly
declared by our Constitution to be a fundamental right, but it is
certainly a constitutional goal under Articles 14, 16 and 39 (c) of the Constitution. This
right can, therefore, be enforced in cases of unequal scales of pay based on
irrational classification. This decision has been followed in a number of
cases by the Supreme Court.
In Dhirendra Chamoli v. State of U.P (AIR 1986 SC
172) it has been held that
the principle of equal pay for equal work is also applicable to casual
workers employed on daily wage basis. Accordingly, it was held that
persons employed in Nehru Yuwak Kendra in the country as casual workers on
daily wage basis were doing the same work as done by Class IV employees
appointed on regular basis and, therefore, entitled to the same salary and
conditions of service. It makes no difference whether they are appointed
in sanctioned posts or not. It is not open to the Government to deny such
benefit to them on the ground that they accepted the employment with full
knowledge that they would be paid daily wages. Such denial would amount to
violation of Article 14. A welfare State committed to a socialist pattern
of society cannot be permitted to take such an argument.
In Daily Rated Casual Labour v. Union of India((1988)
1 SCC 122) it has been held that the daily rated
casual labourers in P & T Department who were doing similar work as
done by the regular workers of the department were entitled to minimum pay
in the pay scale of the regular workers plus D.A. but without increments.
Classification of employees into regular employees and casual employees
for the purpose of payment of less than minimum pay is violative of Articles 14
and 16 of the Constitution. It is also opposed to the spirit of Article 7
of the International Covenant of Economic, Social and Cultural Rights
1966. Although the directive principle contained in Articles 38 and 39 (d)
is not enforceable by virtue of Article 37, but they may be relied upon
by the petitioners to show that in the instant case they have been
subjected to hostile discrimination:
Article 16(1): There shall be equality of opportunity for all citizens in
matters relating to employment or appointment to any office under the State.
Article 16(2):No citizen shall, on grounds only of religion, race, caste, sex, descent, place of birth, residence or any of them, be ineligible for, or discriminated against in respect or, any employment or office under the State.
Article 16(2):No citizen shall, on grounds only of religion, race, caste, sex, descent, place of birth, residence or any of them, be ineligible for, or discriminated against in respect or, any employment or office under the State.
Article 19 (1) (c):
This Article speaks about the Fundamental right of citizen to
form an associations and unions.. Under clause (4) of Article 19, however,
the State may by law impose reasonable restrictions on this right in the
interest of public order or morality or the sovereignty and integrity of India.
The right of association pre-supposes organization. It as an
organization or permanent relationship between its members in matters of common
concern. It thus includes the right to form companies, societies,
partnership, trade union, and political parties. The right guaranteed is
not merely the right to form association but also to continue with the
association as such. The freedom to form association implies also the
freedom to form or not to form, to join or not to join, an association or
union.
Article 23:
Article 23 of the Constitution prohibits traffic
in human being and beggar and other similar forms of forced labour. The
second part of this Article declares that any contravention of
this provision shall be an offence punishable in accordance with law.
Clause (2) however permits the State to impose compulsory services for
public purposes provided that in making so it shall not make any
discrimination on grounds only of religion, race, caste or class or any of
them. 'Traffic in human beings' means selling and buying men and women
like goods and includes immoral traffic in women and children for
immoral" or other purposes. Though slavery is not expressly mentioned
in Article 23, it is included in the expression 'traffic in human being'. Under
Article 35 of the Constitution Parliament is authorized to make laws for
punishing acts prohibited by this Article. In pursuance of this Article Parliament
has passed the Suppression of Immoral Traffic in Women and Girls Act,
1956, for punishing acts which result in traffic in human beings.
Article 23 protects the individual not only against the State but also
private
Article 24:
Article 24:
Prohibition of employment of children in factories, etc
No child below the age of fourteen years shall be employed to work in any
factory or mine or engaged in any other hazardous employment Provided that
nothing in this sub clause shall authorize the detention of any person beyond
the maximum period prescribed by any law made by Parliament under sub clause
(b) of clause ( 7 ); or such person is detained in accordance with the
provisions of any law made by Parliament under sub clauses (a) and (b) of
clause ( 7 )
Article 38&39:
Article 38 speaks of the promotion of welfare of all the people Article 39 (a) speaks specifically of right to an adequate means of livelihood for men and women equally. Article 39 (d) addresses the issue of equal pay for equal work for both men and women (the Government of India went on to enact the Equal Remuneration Act in 1975 to fulfill this direction) and Article 39 (e) particularly directs the state to ensure that its policy secures that the health and strength of workers, men and women and children are not abused and that the citizens are not forced by economic necessity to take to vocations unsuited to their age or strength. Article 41 adds strength to Article 39 (a) by stating that within the limits of its economic capacity and development the State should make effective provisions for securing the right to work among st other things to its entire people.
Article 38&39:
Article 38 speaks of the promotion of welfare of all the people Article 39 (a) speaks specifically of right to an adequate means of livelihood for men and women equally. Article 39 (d) addresses the issue of equal pay for equal work for both men and women (the Government of India went on to enact the Equal Remuneration Act in 1975 to fulfill this direction) and Article 39 (e) particularly directs the state to ensure that its policy secures that the health and strength of workers, men and women and children are not abused and that the citizens are not forced by economic necessity to take to vocations unsuited to their age or strength. Article 41 adds strength to Article 39 (a) by stating that within the limits of its economic capacity and development the State should make effective provisions for securing the right to work among st other things to its entire people.
Article 42:
Article 42 is one of the hall marks of the Indian
Constitution as it takes into consideration the very specific context of
pregnancy related discrimination in the context of employment and therefore it
directs the State to make provisions for securing not only just and humane
conditions of work but also for Maternity Relief. It is in this context
that the Government of India went on to enact the Maternity Benefit Act,
1961 which enables women in the labour force who have been employed for
160 days in a year to provide leave with pay and medical benefit.
Article 43:
Living wage, etc, for workers The State
shall endeavor to secure, by suitable legislation or economic organization or
in any other way, to all workers, agricultural, industrial or otherwise, work,
a living wage, conditions of work ensuring a decent standard of life and full
enjoyment of leisure and social and cultural opportunities and, in particular,
the State shall endeavor to promote cottage industries on an individual or co operative
basis in rural areas.
Labour Commissions and their recommendations.
First Labour commission and recommendations:
The Commission recommended that there should be a policy framework in the unorganized sector that ensures the generation and protection of jobs, access to jobs, protection against the exploitation of poverty and lack of organisation, protection against arbitrary or whimsical dismissal and denial of minimum wages. It also suggested that a system of welfare should include access to compensation for injuries suffered while engaged in work, provident fund, medical care, pension benefit, maternity benefits, child care shelter and old age support.
The first National Labour Commission was established on 24th December,
1966 under the Chairmanship of Dr. Gajendragadkar. The objective was to study
and review the living conditions of labour and the labour legislations since
1947. In pursuance of this legacy which involves industrial relations and
economy, the Second National Labour Commission was brought into existence after
a long gap of 33 years based on the recommendation of Indian labour Conference
held in September, 1992. It consisted of ten members.
While developing the framework for its recommendation, the Commission took into account, the emerging economic environment involving rapid technological change, globalisation of economy, liberalisation of trade and industry, need for bringing existing laws in tune with future labour market needs and demands. Study groups were formed for detailed study and review of various laws, umbrella legislation for unorganised sector workers, globalisation and its impact, social security, women and child labour, skill development training and workers education.
The Commission recommended new labour laws on labour management relation, wages, occupational safety and health, small enterprise, hours of work, leave and other working condition of work place, child labour and unorganised sector etc.
The Commission suggested that there is no need for any wage board for fixing wage rates for workers in any industry. It opined that each state or union territory should have the authority to fix minimum rates of wage not less than national level. It also recommended linking of child labour with education by enactment of Child Labour (Prevention and Education) Act.
While developing the framework for its recommendation, the Commission took into account, the emerging economic environment involving rapid technological change, globalisation of economy, liberalisation of trade and industry, need for bringing existing laws in tune with future labour market needs and demands. Study groups were formed for detailed study and review of various laws, umbrella legislation for unorganised sector workers, globalisation and its impact, social security, women and child labour, skill development training and workers education.
The Commission recommended new labour laws on labour management relation, wages, occupational safety and health, small enterprise, hours of work, leave and other working condition of work place, child labour and unorganised sector etc.
The Commission suggested that there is no need for any wage board for fixing wage rates for workers in any industry. It opined that each state or union territory should have the authority to fix minimum rates of wage not less than national level. It also recommended linking of child labour with education by enactment of Child Labour (Prevention and Education) Act.
National
Commission on Labour 1966
The National Commission
on Labour (NCL) was set up in 1966 to study the industrial relations situation in the country and to make
recommendations for improvement. The recommendations of the National Commission
on Labour had far reaching implications on labour policy in different fields.
The National Commission on labour submitted its report in 1969. It has observed
that the concern of the state in labour matter emanates from its obligations to
safeguard the interest of workers and employees so as to ensure the social
welfare facilities at a reasonable price. Its involvement in the process is
determined by the level of social and economic advances. In India the polices
on industrial relations are influenced by the Constitution of India, the
instruments of ILO and the policies on industrial relations announced. The
reports and recommendations of inquiry such as the Royal Commission on Labour,
the National Commission on Labour, Rural Reforms committee are useful for
providing inputs in shaping government policies.
In a democratic set up
industrial relations polices are shaped by basic philosophy for governance of
the people based on human values for freedom and human rights. In India the
state and central government endeavors to correct through effective industrial
relation an imbalance, disordered, and maladjusted social and economic order
with a view to reshaping the complex socio – economic relationships following
technological and economic progress. In the process it protects some and
restrains others depending on the situation. Government intervention in India
becomes necessary in view of alarming industrial unrest, poor conditions of
work and workers and lack of strong trade union movement.
The Directive
Principles of the Indian Constitution require the Government to intervene in
industry to safeguard the interest of the working class and to increase
productivity. Certain laws applicable throughout the country such as the
Plantations Labour Act 1952, the Minimum Wages Act 1948, the Payment of Bonus
Act 1965, The Contract Labour Act 1970, the Payment of Gratuity Act 1972, The
Bonded Labour (Abolition) Act 1975 and the Equal Remuneration Act 1976 have
been enacted to protect the economic and social interests of the working class.
Labour policy during all the Eleven Five Year Plans is related to the well –
being of the working class.
The National commission
on Labour (NCL) was set up in 1966 to study the industrial relations situation
in the country and to make recommendations for improvement. The report came out
in 1969. The recommendations include the categorization by NCL of industries as
essential and non essential for the purpose of strikes and lockouts. The NCL
recommended the constitution of Industrial Relations Commission on permanent
basis both at the state level and the centre for adjudication in industrial
disputes, conciliation, and certification of unions. It laid down the procedure
for the settlement of disputes and for the recognition of trade unions. The
strengthening of trade unions, the strengthening of collective bargaining,
statutory formulation of grievance procedure are the other major
recommendations of the first National Commission on Labour. The first National
commission on labour was constituted on 24 – 12 – 1966 which sublimated its
report in August 1969 after a detailed examination of all aspects of labour
problems both in the organized and unorganized sectors.
The Commission recommended that there should be a policy framework in the unorganized sector that ensures the generation and protection of jobs, access to jobs, protection against the exploitation of poverty and lack of organisation, protection against arbitrary or whimsical dismissal and denial of minimum wages. It also suggested that a system of welfare should include access to compensation for injuries suffered while engaged in work, provident fund, medical care, pension benefit, maternity benefits, child care shelter and old age support.
Workers
Education Review Committee:
The report of the Committee was received by the
Government by 20th July 1975. About the importance of Workers Education the
Committee had remarked:
“The Committee is convinced that education of
workers is not only desirable but very necessary. There is need for
well-organized and systematic education of workers not only in organized
industries, but also in the unorganized industries, including the rural sector.”
The recommendations of the Review Committee are
of far reaching importance. Government of India has accepted nearly all of them
and they have been implemented.
Estimates
Committee
The Estimates Committee of the Parliament
studied the Workers Education Programme and submitted its report in 1971. The
Committee in their observations had opined that
1. Trade unions in India should take increasing
interest and initiative in the furtherance of workers education progrmme.
2. Public Sector should give a lead in the matter
of extending full co-operation and providing facilities to workers Education Scheme.
3. Considering the huge employment potential of
workers in the industries field, the Scheme needs rapid expansion.
Various recommendations were made by the
Committee and most of them have been implemented.
Continuing Basis:
The
Commission had recommended that the “ Board should be put on a continuing basis
in respect of its tenure.”
There were,
in all, four recommendations concerning Workers Education Scheme. They were
most valuable and useful and most of them have been implemented.
National Commission on Labour –
Recommendations
The National
Commission on Labour, to which the Committee referred to above had submitted
its report and recommendations, generally endorsed them. In its report
submitted to the Government of India in 1969, the Commission observed:
“There is
evidence to show that the beneficiaries of the Workers Education Scheme have
shown more interest in union activities than others who have not had this
education”.
Committee on Workers Education
The National
Commission on Labour appointed by Government of India set up a Committee on
Workers Education in 1967, “to carry out a comprehensive assessment of the
Workers Education Programme”. This was the first time a high level committee
was examining the working of the Scheme and assessing its impact. According to
the findings of the Committee:
“The need
and usefulness of Workers Education has been amply established. The trade union
representatives who met the committee admitted that the scheme had created a
general consciousness about the need of Workers Education and had provoked the
workers to thick for them. The scheme has been successful in turning out an
enlightened worker aware of his duties and responsibilities as a citizen"
Review Committee of the Board:
“The
Committee found that the workers trained by the Central Board for Workers
Education displayed a sense of responsibility as members of trade unions. There
was visible impact of Workers Education on the trade union movement in India
and the unions on their part showed awareness of utilizing trained workers for
higher responsibility. A good number of worker-teachers had, after training,
improved their position in their respective unions an quite a few were elevated
to higher positions in civic bodies. There was improvement in the attendance
and trained workers showed a sense of responsibility on the job. There was
reduction in absenteeism and decrease in the frivolous demands by the workers. Punctuality
and sense of responsibility had increased. They became productivity-minded.
They participated more effectively in the Works Committees and Joint Management
Councils."
2nd
national commission on labour:
The
Second National Commission on Labour 1999
After the submission of
the report of the first NCL in 1969, a lot of changes have taken place in the
last century in techonology, social, economic, politico – legal, and in international
environment of industry. The initiation of several economic reforms during the
1990s, further necessitated a review of industrial relations scenario, labour laws
and other related matters and brings the desired changes to deal with the
challenges of future. The need for setting up of the Second National Commission
on Labour was felt. During the period of three decades since the setting up of
the first National Commission on Labour there has been an increase in the
number of workforce and other factors due to the growing pace of
industrialization. After the implementation of new economic policy in 1991,
changes have taken place in the economic environment of the country which have
in turn brought about radical changes in the domestic industrial climate and
labour market. Changes have occurred at the work places like character of
employment, changes in hours of work, and overall change in the scenario of
industrial relations. These changes have resulted in uncertainties in the
labour market requiring a new look to the labour laws. In the light of the
above position, the government resolved on 15 -10-1999 to set up the second
National Commission on Labour so that a high powered body could dispassionately
look into these aspects and suggest appropriate changes in the labour
legislation and labour policy. With this background the central Government set
up the second National Commission on Labour in 1999 under the chairmanship of
Ravindra Varma. The commission was entrusted to suggest, among other things,
rationalization of the existing labour laws in the organized sector so as to
make them more relevant in the changing economic conditions under the impact of
globalization.
It is a well
acknowledged fact that both foreign investment and export growth are being
constrained by the existing labour laws which do not allow any room for a direct
linkage between increase in wages and productivity growth. The existing labour laws
are so inflexible that employers are reluctant to hire labour because they
would not be able to fire surplus labour in the future. Unless the labour laws
are changed higher manufacturing growth will not automatically result in
greater employment. They will be constrained to undertake downsizing or
restructuring for fear of trouble from the trade unions. Thus a thorough review
of the provisions of the Industrial Disputes Act and other labour legislations
is called for in order to impart greater flexibility to the labour market and
thereby encourage more employment and attract larger amounts of foreign
investment.
The second National
Commission on Labour was expected to formulate an umbrella law to ensure protection
to workers in the unorganized sector which in the absence of growth in job
opportunities in the organized sector, is expanding at a rapid pace, absorbing
school dropouts, women, and children. It is of the utmost importance to look
after the welfare and interests of the 32 crore workers in the unorganized
sector because they are often made to suffer silently. They are not always paid
minimum wages and even their low salaries are not paid on time besides being
subject to deduction by way of commissions to middlemen.
The terms of reference
of the second National Commission on Labour are (a) to suggest rationalization
of existing laws relating to labour in the organized sector and (b) to suggest
an umbrella legislation for ensuring a minimum level of protection to the workers
in the unorganized sector. The commission took into account (i) follow up implications
of its recommendations (ii) The emerging economic environment involving rapid
technological changes requiring response in terms of change in methods, timing
and conditions of work in industry, trade and services, globalization of economy,
liberalization of trade and industry and emphasis on international
competitiveness and the need for bringing the existing laws in tune with the
future labour market needs and demands (iii) The minimum level of Labour
protection and welfare measure and the basic institutional frame work for
ensuring the same and (iv) improving the effectiveness of measures relating to
social security, occupational health and safety, minimum wages and linkage of
wages with productivity, and in particular the safeguards and facilities
required for women and handicapped persons in employment. The second National
Commission on Labour submitted its report to the Government in July 2002.
Report on Trade Union Movement:
1. Fragmentation and
Politicalisation of trade unions
2. Increase in trade
unions; but decline in average membership
3. Industry specific
trade unions – National Alliance of Construction Workers
4. Trade union SEWA
group e.g., Marketing, Micro-finance, etc.
5. Ad hoc Committee
(join other trade union in their struggle)
6. Readiness &
determination of Central Trade unions to escalate the objectives of Govt.
policy like disinvestment e.g., BALCO
7. Under world
connections
8. Unscrupulous trade
union leaders (e.g., contract labour)
9. Allowing proxy
workers to work on behalf of permanent workers
10. Conversion to
unions into closed shops [an agreement with the employer to recruit only
trade union members] or union shops
Report on Industrial Relations Scenario
in India:
1. It is increasingly
noticed that trade unions do not normally give a call for strike because they are
afraid that a strike may lead to the closure of the unit
2. Service sector
workers feel they have become outsiders and are becoming increasingly disinterested
in trade union activities.
3. The labour
adjudication machinery is more willing to entertain the concerns of industry.
4. There is a trend to
resolve major disputes through negotiations at bipartite level. The nature of
disputes or demands is changing. Instead of demanding higher wages, allowances
or facilities, trade unions now demand job security and some are even willing
to accept wage cuts or wage freezes in return for job protection. Disputes
relating to non-payment of wages or separation benefits are on the rise.
5. The attitude of the
Government, especially of the Central Government, towards workers and employers
seems to have undergone a change. Now, permissions for closure or retrenchment
are more easily granted.
6. The conciliation
machinery is more eager to consider problems of employers and today consider
issues like increase in productivity, cost reduction, financial difficulties of
the employer, competition, market fluctuations, etc. They are also not too
serious in implementing the awards of labour courts awarded long back after
protracted litigation against employers wherein reinstatement or regularization
of workers was required.
7. The industrial
relations machinery is not pursuing seriously the recovery proceedings against
employers who could not pay heavy dues of workers, if the financial position of
the employer is very bad.
NCL ON TECHNOLOGICAL
CHANGE:
Application of new technology is warranted only, if:
n It accommodates all labor that may be rendered surplus
n It results in higher productivity & efficiency
n It improves the level of earnings of workers by ensuring them equitable share in the gains due to automation
n It leads to reduction in costs and benefits to the community.
n It accommodates all labor that may be rendered surplus
n It results in higher productivity & efficiency
n It improves the level of earnings of workers by ensuring them equitable share in the gains due to automation
n It leads to reduction in costs and benefits to the community.
Module II
The
ILO was created in 1919, as part of the Treaty of Versailles that ended World
War I, to reflect the belief that universal and lasting peace can be
accomplished only if it is based on social justice.
The
Constitution was drafted between January and April, 1919, by the Labour
Commission set up by the Peace Conference, which first met in Paris and then in
Versailles. The Commission, chaired by Samuel Gompers, head of the American
Federation of Labour (AFL) in the United States, was composed of
representatives from nine countries: Belgium, Cuba, Czechoslovakia, France,
Italy, Japan, Poland, the United Kingdom and the United States.
The
Constitution contained ideas tested within the International Association for
Labour Legislation, founded in Basel in 1901. The driving forces for ILO's
creation arose from security, humanitarian, political and economic considerations.
Summarizing them, the ILO Constitution's Preamble says the High Contracting
Parties were 'moved by sentiments of justice and humanity as well as by the
desire to secure the Permanent peace of the world…
There
was keen appreciation of the importance of social justice in securing peace,
against a background of exploitation of workers in the industrializing nations
of that time. There was also increasing understanding of the world's economic
interdependence and the need for cooperation to obtain similarity of working
conditions in countries competing for markets. Reflecting these ideas,
The preamble states;
- 1. Whereas universal and lasting peace can be established only if it is based upon social justice;2. And whereas conditions of labour exist involving such injustice hardship and privation to large numbers of people as to produce unrest so great that the peace and harmony of the world are imperiled and an improvement of those conditions is urgently required;3. Whereas also the failure of any nation to adopt humane conditions of labour is an obstacle in the way of other nations which desire to improve the conditions in their own countries.
The
International Labour Organization (ILO) has the following mission:
To promote opportunities for men and
women to obtain decent and productive work, in
conditions of freedom, equity, security and human dignity, which is summed up
by the expression “Decent work as a global goal”.
How the ILO
works:
Underlying the
ILO’s work is the importance of cooperation between governments and employers’
and workers’ organizations in fostering social and economic progress.
The ILO aims to
ensure that it serves the needs of working women and men by bringing together
governments,
employers and workers to set labour standards, develop policies and devise
programmes. The very structure of the ILO, where workers and employers together
have an equal voice with governments in its deliberations, shows social
dialogue in action. It ensures that the views of the social partners are
closely reflected in ILO labour standards, policies and programmes.
The ILO
encourages this tripartism within its constituents and member States by
promoting a social dialogue between trade unions and employers in formulating,
and where appropriate, implementing national policy on social, economic, and
many other issues.
The ILO
accomplishes its work through three main bodies (The International labour
Conference, the Governing body and the Office) which comprise governments',
employers' and workers' representatives. The work of the Governing Body and of
the Office is aided by tripartite committees covering major industries. It is
also supported by committees of experts on such matters as vocational training,
management development, occupational safety and health, industrial relations,
workers’ education, and special problems of women and young workers.
What the ILO is and what it does:
The
International Labour Organization (ILO) is a specialized agency of the United
Nations system which seeks the promotion of social justice and internationally
recognized human and labour rights.
The ILO formulates international
labour standards.
These standards take the form of Conventions and Recommendations, which set
minimum standards in the field of fundamental labour rights: freedom of association,
the right to organize, the right to collective bargaining, the abolition of
forced labour, equality of opportunity and treatment, as well as other
standards addressing conditions spanning across the entire spectrum of
work-related issues.
The ILO provides technical
assistance, mainly in the following fields:
• vocational
training and vocational rehabilitation;
• employment
policy;
• labour
administration;
• labour law and
industrial relations;
• conditions of
work;
• management
development;
• cooperatives;
• social
security;
• labour
statistics, and occupational safety & health.
Tripartite structure of the ILO:
The ILO has a
tripartite structure unique in the United Nations system, in which employers’
and
workers’
representatives – the “social partners” – have an equal voice with those of
governments in shaping its policies and programmes.
The ILO’s
tripartite mechanisms seek to promote a climate of understanding between
workers, employers and governments. Tripartism thus emphasizes the concept of a
“social partnership” between them, in the interests of every ILO member State.
TRIPARTITE
BODIES
Tripartism is a
system of labour relations in which the state, employers, and workers are
autonomous yet interdependent partners, pursuing common interests and
participating in decisions affecting them in a binding spirit of mutuality and
reciprocity. This can take place at either or both macro and micro levels.
Tripartite
consultation is an important feature of India‘s industrial relations system. It
has a long history in India as it was set up as early as 1942. The Indian
Labour Conference (ILC) and the Standing Labour Committee (SLC) are two main
forums for Tripartite Consultation. The objectives of Tripartite Consultation
could be mentioned as under:
i. To promote
uniformity in labour legislation.
ii. To lay down
a procedure for settlement of industrial disputes.
iii. To consider
matters of importance to both the managements and labour.
Tripartite
forums evolve norms or standards in the form of guidelines.There are a number
of tripartite bodies which operate at the Central and State levels. The Indian
Labour Conference, Standing Labour Committees, Wage Boards and Industrial
Committees operate at the Central level and State Labour Advisory Boards
operate at the state level. All these bodies play an important role in reaching
at voluntary agreements on various labour matters. Though the recommendations
of these bodies are only advisory in nature they carry considerable weight with
the government, workers and employers. Some important measures agreed to by the
Indian Labour conference in past are:
1. Setting up of
bipartite works committees, joint consultative and production committees.
2. Adoption by
employers and unions of a voluntary code of discipline;
3. Following
proper grievance and disciplinary procedures;
4. Deciding
norms for fixing need based wages;
5. Rationalizing
and revising wage structures of important industries through non-statutory wage
boards; and
6. Encouraging
voluntary arbitration for the settlement of industrial disputes.
Industrial
relations in India have been shaped largely by principles and policies evolved
through tripartite consultative machinery at the industry and national levels.
The aim of the consultative machinery is ―to bring the parties together for
mutual settlement of differences in a spirit of co-operation and goodwill. The
role of the tripartite machinery has been summarized by the Planning Commission
thus. Labour policy in India has been evolving in response to the specific
needs of the situation in relation to industry and the working class and has to
suit the requirements of planned economy. A body of principles and practices
has grown up as a product of joint consultation in which representatives of
government, the working class and the employers have been participating at
various levels. The legislative and other measures adopted by government in
this field represent the consensus of opinion of the parties vitally concerned
and thus acquire the strength and character of a national policy, operating on
a voluntary basis.
A large number
of tripartite bodies have been set up by the government to provide a forum of
discussion and consultation on various labour-related issues. Among these
bodies, a few notable ones are:
1. The Indian
Labour Conference (ILC);
2. The Standing
Labour Committee (SLC);
3. The Committee
on Conventions;
4. The
Industrial Committee; and
5. Other bodies of
tripartite nature deals with various aspects of labour problems.
There are 44
tripartite committees at the national level. Additionally, in the public
sector, there is national-level bipartite machinery in select core industries,
such as banking, coal, oil, port, transport and steel. Such bipartite
arrangements also exist at the industry-cum-region level in jute, engineering, plantations,
textiles, etc., which are predominantly in the private sector.
Evolution of
Tripartite Bodies
The need for
consultation on labour matters on the patterns set by the I.L.O. was
recommended by the Whitley Commission in 1931. It envisaged a statutory
organization which should be sufficiently large to ensure adequate
representation of the various interests involved; but it should not be too
large to prevent the members from making individual contributions to the
discussion. The representatives of employers, of labour and of government
should meet regularly in conference. The commission also recommended that
labour members should be elected by registered trade unions and employers‘representatives
should be elected by their associations. But the recommendation was not
implemented and nothing could be done in this respect till the outbreak of the
Second World War, which necessitated the need for maintenance of industrial
peace. During the Second World War separate consultations with the
representatives of labour and employers were held in 1941 and 1942 by the
Government of India to finalize post-war labour programmes. The experience of these
consultations highlighted the necessity of holding joint meetings of the
representatives of the government, workers and employers, thus, providing a
common platform for the resolution of differences between the employers and
workers by means of discussion and mutual understanding. Accordingly, the Fourth
Labour Conference was held in August 1942. It set up a permanent tripartite
collaboration machinery and constituted a Preliminary Labour Conference (later
named as the Indian Labour Conference – ILC) and the Standing Labour Advisory
Committee (which subsequently dropped the word Advisory from its title SLC).
Initially the ILC consisted of 44 members whereas the SLC was about half the
size of the ILC. The pattern of representation was governed by the obtaining in
the International Labour Conference.
It ensured:
i. Equality of
representation between the government and the non-government representatives;
ii. Parity
between employers and workers;
iii. Nomination
of representatives of organized employers and labourers was left to the
concerned organizations; and
iv.
Representation of certain interests (unorganized employers and unorganized
workers), where
necessary, on an
adhoc basis through nomination by government. The delegates are free to
bring one official and one non-official adviser with them.
Tripartite
Bodies
(1 and 2)
Indian Labour Conference and Standing Labour Committee
Both ILC and SLC
are two important constituents of tripartite bodies. They play a vital role in
shaping, the I.R. system of the country. A brief account of these bodies is
discussed here:
The objects of
the Indian Labour Conference (ILC) are:
a. To promote
uniformity in labour legislation;
b. To lay down a
procedure for the settlement of industrial disputes; and
c. To discuss
all matters of all-India importance as between employers and employees.
The function of
the ILC is to ―advise the Government of India on any matter referred to it for
advice, taking into account suggestions made by the provincial government, the
states and representatives of the organizations of workers and employers.
The
Standing Labour Committee‘s (SLC) main function is to ―consider and examine
such questions as may be referred to it by the Plenary Conference or the
Central Government, and to render advice taking into account the suggestions
made by various governments, workers and employers. The representatives of
the workers and employers were nominated to these bodies by the Central
Government in consultation with the all-India organizations of workers and
employers. The agenda for ILC/SLC meetings was settled by the Labour
Ministry after taking into consideration the suggestions sent to it by member
organizations. These two bodies worked with minimum procedural rules to
facilitate free and fuller discussions among the members. The ILC meets once a
year whereas the SLC meets as and when necessary.
· To
lay down a procedure for settlement of industrial disputes.
· To
consider matters of importance to both the managements and labour.
Tripartite
forums evolve norms or standards in the form of guidelines.
There are a
number of tripartite bodies which operate at the Central and State levels. The
Indian Labour Conference, Standing Labour Committees, Wage Boards and
Industrial Committees operate at the Central level and State Labour Advisory
Boards operate at the state level. All these bodies play an important role in
reaching at voluntary agreements on various labour matters. Though the recommendations
of these bodies are only advisory in nature they carry considerable weight with
the government, workers and employers. Some important measures agreed to by the
Indian Labour conference in past are:
1. Setting up of
bipartite works committees, joint consultative and production committees.
2. Adoption by
employers and unions of a voluntary code of discipline;
3. Following
proper grievance and disciplinary procedures;
4. Deciding
norms for fixing need based wages;
5. Rationalizing
and revising wage structures of important industries through non-statutory wage
boards; and
6. Encouraging
voluntary arbitration for the settlement of industrial disputes
Industrial
relations in India have been shaped largely by principles and policies evolved
through tripartite consultative machinery at the industry and national levels.
The aim of the consultative machinery is ―to bring the parties together for
mutual settlement of differences in a spirit of co-operation and goodwill. The
role of the tripartite machinery has been summarized by the Planning Commission
thus. Labour policy in India has been evolving in response to the specific
needs of the situation in relation to industry and the working class and has
to suit the requirements of planned economy. A body of principles and practices
has grown up as a product of joint consultation in which representatives of government,
the working class and the employers have been participating at various levels.
The legislative and other measures adopted by government in this field
represent the consensus of opinion of the parties vitally concerned and thus
acquire the strength and character of a national policy, operating on a voluntary
basis.
A large number
of tripartite bodies have been set up by the government to provide a forum of
discussion and consultation on various labour-related issues. Among these
bodies, a few notable ones are:
1. The Indian
Labour Conference (ILC);
2. The Standing
Labour Committee (SLC);
3. The Committee
on Conventions;
4. The
Industrial Committee; and
5. Other bodies
of tripartite nature deals with various aspects of labour problems.
There are 44
tripartite committees at the national level. Additionally, in the public
sector, there is
national-level
bipartite machinery in select core industries, such as banking, coal, oil,
port, transport and steel. Such bipartite arrangements also exist at the
industry-cum-region level in jute, engineering, plantations, textiles, etc.,
which are predominantly in the private sector.
Employee union:
A
trade union is a formal association of workers, acting collectively, who seek
to protect and promote their mutual interests through collective action
The
Indian labor movement is more than 150 years old, with its origin in the 1850s
and 1870s. But it gained momentum in 1918 when the Madras labor union was
formed with mill workers as members. The formation of the All India Trade Union
congress (AITUC) in 1920 gave a fillip to the organized labor movement in
India. A series of agitations and strikes happened during the early years of
unionization in different parts of the country. The focus of the unions was to
end exploitation of workers in factories and other workplaces like mines, Trade
union also participated in the freedom struggle against the colonial rule.
National leaders like Mahatma Gandhi were active in the trade union movement.
The introduction of the Trade Union Act of 1926 provided the required legal
framework for unions.
The
changes in the political landscape of India resulted in the AITUC splitting
into the Indian National Trade Union Congress (INTUC) in 1947 followed by the
formation of the Hindustan Mazdoor Sabha (HMS) in 1948. Later political events
like the split in the Indian National Congress and the communist party also
resulted in formation of corresponding unions. Thus, in India, politically
connected unions became a regular feature. The election of communist government
in states like Kerala and West Bengal gave a flip to the labor movement in the
states.
With
the support of political parties and the elected governments, the public sector
companies and many private companies became heavily unionized. What followed in
the 1960s and 1970s was a rise in trade union activity leading to strikes and
lockouts. Though the imposition of emergency in 1975 led to the suspension of
trade union rights and a sudden fall in trade union activity (many prominent
opposition trade union leaders were jailed during the emergency period), post
emergency the activities picked up. Under pressure from trade unions, in 1976
the Industrial Disputes Act was amended making it mandatory for firms employing
more than 300 workmen to take prior government permission before retrenching
workmen.
The
failure of the Bombay textile strike (started in 1981) led by independent trade
union leader Dutta Samant marked another shift in the labor unions.
Nonpolitical unions focused on members’ requirements alone became a reality.
After the first wave of economic liberalization in 1984, the approach of unions
also started to change. By that time the profile of their members also changed
with more people wanting better living conditions, rather than those led by
larger political ideology. Private sector unions became increasingly open to
productivity linked agreements that were later accepted by the public sector
unions also. The powerful banking sector trade unions allowed the introduction
of computers in a limited scale. They extracted a price for this in terms of
extra payment. In many workplaces there was a marked shift towards adopting a
collaborative approach rather than a confrontational approach.
Important Employee Unions In India:
4. Effective recognition of the right of collective bargaining, right to strike, freedom of association, freedom of speech, right to personal liberty and freedom of movement.
principal functions are:
(i) making, altering, ornamenting, finishing, packing, oiling, washing, cleaning, breaking up, demolishing, or otherwise treating or adopting any article or substance with a view to its use, sale, transport, delivery or disposal; or
APPROVAL, LICENCING AND REGISTRATION
PROVISIONS REGARDING THE HEALTH OF
WORKERS
Features
of employee union:
- It is an association of employees or employers or of independent workers
- It is a relatively permanent formation of workers
- It is formed to secure certain economic benefits to members
- It emphasizes joint, coordinated action and collective bargaining
Objectives
of employee unions:
- Securing economic benefits to members
- Improving the working conditions
- Protecting members from unilateral acts and disciplinary actions of management
- Fighting against inappropriate personnel policies
- Promoting the welfare of members
- Improving employer-employee relations
- Carrying out negotiations with management in a fair manner
- Safeguarding organizational health and the interests of the industry
The All India Trade Union Congress (AITUC) was founded in 1920 with Lala
Lajpat Rai as its first president. Up to 1945 Congressmen, Socialists,
Communists worked in the AITUC which was the central trade union organization
of workers of India. Subsequently the trade union movement got split on
political lines. The membership of the AITUC is 3.6 million.
The unions affiliated to AITUC are from textile, engineering, coal, steel, road
transport, electricity board and of unorganized sector such as beedi,
construction and head-load workers, anganwadi, local bodies and handloom.
Recently a number of agriculture workers' unions have affiliated themselves to
AITUC.
Aims & Objectives:
•
To
establish a socialist state in India;
•
To
socialize and nationalize the means of production, distribution and exchange as
far as possible;
•
To
ameliorate the economic and social conditions of the working class;
•
To
watch, promote, safeguard and further the interests, rights and privileges of
the workers in all matters relating to their employment.
To secure and maintain for the workers:
•
The
freedom of speech
•
The
freedom of press
•
The
freedom of association
•
The
freedom of assembly
•
The
right of strike ; and
•
The
right to work or maintenance
•
To
co-ordinate the activities of the trade unions affiliated to the AITUC;
•
To
abolish political or economic advantage based on caste, creed, community, race
or religion; to fight against all forms of social oppression and injustice;
•
To
fight against all forms of atrocities against women and harassment at place of
work.
•
The
AITUC shall endeavor to further the aforesaid objects by all legitimate,
peaceful and democratic methods such as legislation and, in the last resort, by
strikes and similar other methods, as the AITUC may, from time to time, decide.
ix.The right to work, the right for security of service and for social security, the right to conduct trade union activities and the right to strike as a last resort after having exhausted other legitimate methods of trade unionism for redressal of grievances.
CITU: Centre of
Indian Trade Unions
AIMS AND OBJECTS:
The CITU believes that the exploitation of the working class can be
ended only by socializing all means of production: distribution and exchange
and establishing a Socialist State. Holding fast the ideal of socialism, the
CITU stands for the complete emancipation of the society from all exploitation.
The CITU fights:
(a) against all encroachments on the economic and social rights of
workers and for enlargement of their rights and liberties including the right
to strike, for winning, defending and extending the freedom of the democratic
and trade union movements,
(b) for the recognition of trade unions on the basis of secret ballot,
(c) for the progressive improvement of wages, for reduction of working
hours, for provision of decent housing and improvement of the living conditions
of the workers,
(d) for security of full employment, right to work and against the
hazards of unemployment,
(e) for full and adequate social security legislation to protect the
workers and their families against sickness, accident and old age, providing
adequate maternity insurance and pensions for widowed mothers and dependent
children, and every other type of social security, for effective control of the
worker subscribers over the Provident Fund and ESI Corporations,
(f) for equal wages for equal work,
(g) for the abolition of discrimination based on caste, like
untouchability, on sex, and religion, in relation to employment, wages and
promotion,
(h) for the protection of the democratic rights of the minorities,
(i) for formation through election of committees in factories,
workshops, business houses and other places where collective work is performed,
with a view to control conditions of work in these places,
(j) for proper vocational training,
(k) for elimination of illiteracy,
(l) for helping workers organize unions where none exists, for rallying
the workers in a single union by uniting the rival unions in one industry.
BMS: Bharatiya
Mazdoor Sangh
BMS was founded on 23rd of July, 1955 – the day being the birth
anniversary of Lok Manya Bal GangadharTilak – veteran of Freedom Movement.
The aims and objectives of BMS
(a) To establish ultimately the Bharatiya order of society in which there
shall be secured among otherthings:
i. Complete utilisation of manpower and resources leading to full employment and maximum production.
i. Complete utilisation of manpower and resources leading to full employment and maximum production.
ii. Replacement of profit motive by service motive and establishment of
economic democracy resulting in equitable distribution of wealth to the best
advantage of all individual citizens and of the national as a whole.
iii. Development of autonomous industrial communities forming part and parcel
of the nation, culminating in ‘Labourisation of industry’
iv. Provision of work with living wage to every individual through
maximum industrialisation of the nation.
(b) With a view to enable the workers to strive successfully for the
ultimate realisation of the above objects and to strengthen them, in the
meanwhile, to make their own contribution to the cause of protecting and
promoting their interest consistent with those of the community:
v. To assist workers in organising themselves in trade unions as a
medium of service to the motherland irrespective of faiths and political
affinities.
vi. To guide, direct, supervise and coordinate the activities of the
affiliated unions.
vii. To assist the affiliated unions in the formation of state BMS units
and Industrial Federations as constituent units of the BMS.
viii. To bring about unity in the trade union movement.
(c) To secure and preserve for the workers:
ix.The right to work, the right for security of service and for social security, the right to conduct trade union activities and the right to strike as a last resort after having exhausted other legitimate methods of trade unionism for redressal of grievances.
x. Improvement in conditions of work, life and social and industrial
status.
xi.A living wage consistent with a national minimum and due share in the
profits in their respective industries as partners.
xii.Other appropriate amenities
xiii.Expeditious enforcement and appropriate amendment of existing
labour legislation in their interest.
xiv.Enactment of new labour laws from time to time in consultation with
the labour representatives.
(d) To inculcate in the minds of the workers the spirit of service,
cooperation and dutifulness and develop in them a sense of responsibility
towards the nation in general and industry in particular.
(e) To educate the labour by organising worker’s training classes, study
circles, guest lectures, seminars, symposia, excursions etc., in cooperation
with institutions and organisations having similar aims and objects such as the
Central Board of Workers Education. Labour Research Centres, Universities etc.
(f) To publish or cause publication of journals, periodicals, pamphlets,
pictures, books and many other types of literature mainly concerning labour and
their interests and to purchase, sell & circulate them.
(g) To establish, encourage and organise Labour Research Centres and
similar activities.
(h) Generally to take such other steps as may be necessary to ameliorate
the social, economic, cultural, civic and general conditions of the workers.
For sound health of workers and society BMS has been against the use of any
type of drugs, liquor, alcohol and smoking. To render assistance or to
establish cooperative societies, welfare institutions, clubs etc., for the
overall welfare of the common man in general and the workers and their families
in particular.
HMS: Hind Mazdoor
Sabha
HMS was founded in
Calcutta during the trade union conference from 24th to 26th December 1948.
1. A living wage to
all working people.
2. Guaranteed right to work for every citizen
3. Provision of adequate housing and leisure, compulsory primary education, vocational training, child welfare and maternity protection and
2. Guaranteed right to work for every citizen
3. Provision of adequate housing and leisure, compulsory primary education, vocational training, child welfare and maternity protection and
4. Effective recognition of the right of collective bargaining, right to strike, freedom of association, freedom of speech, right to personal liberty and freedom of movement.
The aims and objectives of Hind Mazdoor Sabha can be summed up as a
creating " a free and independent trade union movement and upholding
democratic values and principles and be a change agent in the formation of a
egalitarian society in which people's a basic needs would be met."
INTUC:
Indian National Trade Union Congress
INTUC was born on May 3, 1947 as historic
necessity, just before Indian attained independence. The constitution of INTUC
was adopted in the second day’s proceedings of the conference; Mahatma Gandhi who was then in
Delhi also blessed the new found trade union center.
Objectives:
Against Unfair
Discrimination and Redundancy
Creating Jobs- an
economy that generates opportunities for investment, entrepreneurship, skill
development, job creation and sustainable livelihoods.
Guaranteeing Rights
at Work – to obtain recognition and respect for the rights of workers. All
workers, and in particular disadvantaged or poor workers, need representation,
participation, and laws that work for their legitimate interests.
Extending Social Protection – to promote both inclusion and productivity
by ensuring that women and men enjoy working conditions that are safe, allow
adequate free time and rest, taking into account family and social values,
provide adequate compensation in case of lost or reduced income and permit
access to adequate healthcare.
Promoting Social Dialogue – Involving strong and independent workers’
and employers’ organizations is central to increasing productivity; avoiding
disputes at work, and building cohesive societies
Values:
Against all forms of
exploitation and to secure and guarantee the life and work for all labourers.
To enable the workers
and their families reap the benefits and fruits of their hard work.
For the right to full
employment and the guarantee of this right.
For training, education
and culture for all workers, thus enabling them to gain access to any
responsibility or position within their capabilities.
For protection of the
working environment; effective measures to maintain and promote ecological
standards and sustainable development.
DEMOCRACY – protecting
the right to be a member of INTUC and to the negotiation of working and living
standards.
EQUALITY – protecting
the right to be treated equally in all aspects of employment opportunity and to
create a working environment with no barriers based on politics, race, region,
religion, sex or age.
PARTICIPATION –
establishing the rights to have their voice heard in how a particular work is
done and to influence decisions regarding the future of the organization.
PROMOTION of
co-operative relations with trade unions and trade union federations across
India.
CO-OPERATION with other
types of trade unions and democratic organizations in supporting these aims and
other actions and policies intended to safeguard and strengthen justice, peace
and freedom.
Employers Association:
Employers’
Organisations (EOs) are “formal groups of employers set up to defend, represent
or advise affiliated employers and to strengthen their position in society at
large with respect to labour matters as distinct from economic matters. Unlike
trade unions, which are composed of individual persons, employers’ organizations
are composed of enterprises. The Trade Unions Act, 1926 includes in its
purview, both associations of workers as well as employers.
Employers’ Associations came into existence as a result of the formation of ILO and the growing presence of Trade Unions, especially after the First World War. The Royal Commission on Labour, 1929, recommended that the Indian employers need and some other factors which influenced the formation of unions of managers, senior executives and other officers, are nationalisation and rationalisation of pay and perquisites, and anomalies in pay arising from the recommendations of Pay Commissions and Wage Boards and their implementation.
Employers’ Associations came into existence as a result of the formation of ILO and the growing presence of Trade Unions, especially after the First World War. The Royal Commission on Labour, 1929, recommended that the Indian employers need and some other factors which influenced the formation of unions of managers, senior executives and other officers, are nationalisation and rationalisation of pay and perquisites, and anomalies in pay arising from the recommendations of Pay Commissions and Wage Boards and their implementation.
Primary Objectives
·
Promote
and protect the interest of employers engaged in industry, trade and commerce
in India.
·
Study,
analyse and disseminate information relating to labour policy, labour
management relations, collective bargaining, etc.
·
Offer
advice concerning various aspects of labour policy.
·
Liaise
with Union Government and initiate steps that are representative and
legislative in nature.
Secondary Objectives
- Train and develop staff and members.
- Obtain data on wages and conditions of work in industries attached to them. Come out with surveys, research-based reports on issues of importance to both labour and management.
- Take up projects for social and family welfare.
- Deal with safety and health at work place and working environment.
- Initiate steps to improve public image and improve public relations.
- Educate the public regarding the character, scope, importance and needs of trade, industry and commerce represented by members.
Different EO s In India:
AlOE: The All India Organisation
of Employers is a unitary type of organisation, setup in 1953; members from
manufacturing, banking, insurance, commercial establishments; and has no
sub-organisation on an industrial or geographical basis. The President is
elected every year.
EFI: The Employers’ Federation of India has a federal
structure formed in 1933, it has governing body executive committee and the
secretariat. The governing body formulates policies, the executive committee
implements policies and the secretariat with its own permanent staff is
responsible for carrying out the decisions of the governing body. It had only
four presidents in over 50 years.
IOE: International
Organisation of Employers, represents the interests of employers in all social
and labour matters at the international level. Founded in 1920 with
headquarters in Geneva, it has a membership of Employers’ Associations from
over 100 countries. The Central Council of Indian Employers is a matter of IDE.
SCOPE: The objectives of the Standing Conference of Public Enterprises cover a
wider ambit. SCOPE looks upon its tasks as both internal and external to the
public sector. Internally, it would endeavour to assist the public sector in
such ways as would help improve its total performance. Externally, it would
help improve its total boundary role in conveying such information and assist
the public sector in such ways as would help improve its total performance and
advice to the community and the Government as would generally help the public
sector in its role.
CIE: The main object in setting up the Council of Indian
Employers was to ensure closer co-operation and coordination between the two
bodies which together represent particularly the interests of large-scale
industry in India. In the year 1973, the SCOPE joined the CIE.
(i) to discuss generally problems confronting
Indian employers, with particular reference to matters coming up before the ILO
Conferences and various Industrial Committees and to formulate, from time to
time, the policy and attitude of Indian employers in the matter of
collaboration with employers of other countries;
(ii) to furnish and exchange information on problems relating to industrial relations with employers of other countries;
(iii) to maintain a close contact with the International Organisation of Employers (IOE) with a view to study international trends in the employer-employee relations and to keep the two parties informed of such matters; and,
(iv) to select the personnel of the Indian Employers’ Delegation to the various Conference and Committees of the ILO. The same point was emphasised differently in the list of objectives. the matter of collaboration with employers of other countries;
(ii) to furnish and exchange information on problems relating to industrial relations with employers of other countries;
(iii) to maintain a close contact with the International Organisation of Employers (IOE) with a view to study international trends in the employer-employee relations and to keep the two parties informed of such matters; and,
(iv) to select the personnel of the Indian Employers’ Delegation to the various Conference and Committees of the ILO. The same point was emphasised differently in the list of objectives. the matter of collaboration with employers of other countries;
- to take all steps which may be necessary to promoting, supporting or opposing legislative and other measures affecting or likely to affect directly or indirectly, industry, trade and commerce in general, or particular interest;
- to take all possible steps for counteracting activities inimical to industry, trade and commerce of the country;
- to promote and protect the interests of employers engaged in industry, trade and commerce in India.
Labour department of the government
The Ministry of Labour & Employment is one of the
oldest and important Ministries of the Government of India. The main
responsibility of the Ministry is to protect and safeguard the interests of
workers in general and those who constitute the poor, deprived and disadvantage
sections of the society, in particular, with due regard to creating a healthy
work environment for higher production and productivity and to develop and
coordinate vocational skill training and employment services. Government’s
attention is also focused on promotion of welfare and providing social security
to the labour force both in organized and unorganized sectors, in tandem with
the process of liberalization. These objectives are sought to be achieved
through enactment and implementation of various labour laws, which regulate the
terms and conditions of service and employment of workers. The State
Governments are also competent to enact legislations, as labour is a subject in
the concurrent list under the Constitution of India.
At present, there are 44 labour related statutes
enacted by the Central Government dealing with minimum wages, accidental and
social security benefits, occupational safety and health, conditions of
employment, disciplinary action, formation of trade unions, industrail
relations, etc.
Vision:
Decent working conditions and improved quality of life
of workers, ensuring India without child labor in hazardous sectors and
enhancing employability through employment services and skill development on a
sustainable basis.
Mission:
Improving the working conditions and the quality of
life of workers through laying down and implementing policies / programmes /
schemes / projects for providing social security and welfare measures,
regulating conditions of work, occupational health and safety of workers,
eliminating child labour from hazardous occupations and processes,
strengthening enforcement of labour laws and promoting skill development and
employment services.
FUNCTIONS OF CHIEF
LABOUR COMMISSIONER:
The Organisation of Chief
Labour Commissioner (Central) (CLC(C) is entrusted with the following
functions.
1. Prevention and settlement
of industrial disputes through conciliation/mediation.
2. Enforcement of Labour Laws and Rules
made there under in Central Sphere.
3. Quasi-Judicial functions
4. Verification of Trade Union
membership
Prevention And
Settlement Of Industrial Disputes
The CIRM ensures
harmonious industrial relations in the central sphere establishments through :
A)
Intervention, mediation and conciliation in industrial disputes with a view to
bring about settlements of disputes.
B)
Implementation of settlements and awards
C)
Interventions in situations of threatened strikes and lockouts with a view to
avert them.
MODULE III
Factory. The term Factory is defined in Section 2 (m) of the Act as follows: "Factory means any premises including the precincts thereof- .
(i). whereon ten or more workers are working, or were working on any day of the preceding twelve months, and in any part of which a manufacturing process is being carried on with the aid of power or is ordinarily so carried on, or
(ii) whereon twenty or more workers are working, or were working on any day of the preceding twelve months, and in any part of which a manufacturing process is being carried on without the aid of power, or is ordinarily so carried on, but does not include a mine subject to the operation of the Indian Mines Act, 1952 (Act XXXV of 1952), or a mobile unit belonging to the armed forces of the Union, a railway running shed or a hotel, restaurant or eating place. Explanation.-For computing the number of workers for the purposes of this clause all the workers in different relays in a day shall. be taken into account. [Clause 2(m) as amended in 1976.]
1. It is a place where a "manufacturing process" is carried on.
Manufacturing Process. This term is defined in Section 2(k) in a very wide sense. It includes:
MODULE III
COLLECTIVE BARGAINING
Collective bargaining is a process of negotiations between employers and a
group of employees aimed at reaching agreements that regulate working
conditions. The interests of the employees are commonly presented by
representatives of a trade union to
which the employees belong. The collective reached
by these negotiations usually set out wage scales, working hours, training,
health and safety, overtime, grievance mechanisms, and rights to participate
in workplace or company affairs.
Collective bargaining consists of the process of negotiation between representatives of
a union and employers (generally
represented by management, in some countries such as Austria, Sweden and the Netherlands by an employers' organization)
in respect of the terms and conditions of employment of employees, such as wages,
hours of work, working conditions, grievance-procedures, and about the rights and responsibilities of trade unions. The parties often refer to the result of the
negotiation as a collective bargaining agreement (CBA) or as a collective
employment agreement (CEA).
Collective bargaining consists of
negotiations between an employer and a group of employees so as to determine
the conditions of employment. The result of collective bargaining procedures is
a collective agreement. Employees are often represented in bargaining by a
union or other labor organization. Collective bargaining is governed by federal
and state statutory laws, administrative agency regulations, and judicial
decisions. In areas where federal and state law overlap, state laws are
preempted.
Negotiation
The word “negotiation” stems from the
Roman word negotiari meaning “ to carry on business” and is derived from the
Latin word neg (not) and otium (ease or leisure). Negotiation is a dialogue
intended to resolve disputes, to produce an agreement upon courses of action,
to bargain for individual or collective advantage, or to craft outcomes to
satisfy various interests. It is usually regarded as a form of alternative
dispute resolution.
Negotiation is a process of bargaining
in which two parties, each of whom have something that the other wants, try to
reach an agreement, on mutually accepted terms. Negotiation occurs in almost
all walks of life. Negotiation is a basic means of getting what you want from
others.
In other words, Negotiation is any
form of meeting or discussion in which you and/or the persons you are in
contact with use argument and persuasion to achieve an agreed decision or action”.
Negotiation of Service Conditions
Contract negotiations are only good when they are a
"win-win" situation for everyone. Both you and your suppliers should
walk away from the table with a satisfactory arrangement.
Getting
a great price does not necessarily mean you will get great service. Source One
specializes in contract negotiations and knows what it takes to satisfy both
the suppliers and the buyers.
Service conditions means conditions of
employment including all aspects of the relationship between the employer and
employee. Following conditions of service can be negotiated:
1)
Salary: A salary negotiation window exists from the
time employer offers a job to a candidate until the acceptance of the job by
the selected candidate. Salary negotiation is the process of establishing a
dialogue between two parties, usually an employee and an employer.
2)
Benefits:
The best time to discuss benefits for an employee is during his initial salary
negotiations. In other words, after employer has offered him the job, but
before he has accepted it.
3)
Increment
and Promotion: Just like negotiating for a raise, negotiating for a promotion
must be weighed against factors like timing, industry considerations and
company policies on when raises and/or promotion can be awarded.
4)
Working
conditions: Working conditions may
include not only physical conditions that make working unsafe or unpleasant,
but also the grievance process, and how relationships between employees and
superiors be handled. Though many people do not often consider this a major
point of contention when going into a union negotiation, it has the potential
to be a big issue if the problems are perceived to be serious by union
membership.
Non- Unionized Organizations
Non-unionized workers are those who are not
members of a union and do not have union representation at the workplace. A
2003 report for the BLS states that a unionized workforce is one that has a
recognized labor organization or employee association that serves as a
bargaining liaison. A workforce can bargain or negotiate its salary and wage
rates through a union, as well as employee benefits, complaint procedures,
workplace safety and policy and procedures.
The employer makes all the rules, sets
all the wage rates, and makes all the decisions on things like discipline,
promotions, and hours of work. The worker has no voice.
Non-unionized workers are those who are not
members of a union and do not have union representation at the workplace. A
2003 report for the BLS states that a unionized workforce is one that has a
recognized labor organization or employee association that serves as a
bargaining liaison. A workforce can bargain or negotiate its salary and wage
rates through a union, as well as employee benefits, complaint procedures,
workplace safety and policy and procedures
In non-unionized organizations, the employee
relation managers have to communicate with each and every employee, negotiate
service conditions with each of them individually and deal directly with
employees without third party intervention for any issues like indiscipline,
poor performance or unauthorized absence.
Non- Unionized workers are those who are not
members of a union and do not have union representation at the workplace.
Non-Unionized workers had few opportunities to influence their working lives.
Non-Unionized workers are also generally unaware of their rights to associate
in a trade union.
Industrial
Relations with Non-unionized workers:
Industrial relations are a multidisciplinary field that
studies the employment relationship.
Industrial relations is increasingly being called employment relations or employee
relations because of the
importance of non-industrial employment relationships; this move is sometimes seen as further
broadening of the human resource management trend. Indeed, some authors now define
human resource management as synonymous with employee relations. Other authors
see employee relations as dealing only with non-unionized workers, whereas labor relations is
seen as dealing with unionized workers. Industrial relations studies examine
various employment situations, not just ones with a unionized workforce.
However, according to Bruce E. Kaufman "To a large degree, most scholars regard
trade unionism, collective bargaining and labor-management relations, and the
national labor policy and labor law within which they are embedded, as the core
subjects of the field."
Collective bargaining and negotiation of service conditions
Collective
bargaining is
a process of negotiations between employers and a group of employees
aimed at
reaching agreements that regulate working conditions. The interests of the
employees are
commonly presented by representatives of a trade union to
which the employees belong.
The collective
agreements reached by these
negotiations usually set out wage scales, working
hours, training, health and
safety, overtime, grievance mechanisms, and rights to participate in
workplace or company
affairs
In collective bargaining certain essential
conditions need to be satisfied, such as the existence of the freedom of
association and a labour law system. Further, since the beneficiaries of
collective bargaining are in daily contact with each other, negotiations take
place in the background of a continuing relationship which ultimately motivates
the parties to resolve the specific issues.
Collective bargaining is specifically an
industrial relations mechanism or tool, and is an aspect of negotiation,
applicable to the employment relationship. As a process, the two are in essence
the same and the principles applicable to negotiations are relevant to
collective bargaining as well. However, some differences need to be noted. In
collective bargaining the union always has a collective interest since the
negotiations are for the benefit of several employees. Where collective
bargaining is not for one employer but for several, collective interests become
a feature for both parties to the bargaining process. In negotiations in
non-employment situations, collective interests are less, or non-existent,
except when states negotiate with each other. Further, in labour relations,
negotiations involve the public interest such as where negotiations are on wages
which can impact on prices. This is implicitly recognized when a party or the
parties seek the support of the public, especially where negotiations have
failed and work disruptions follow. Governments intervene when necessary in
collective bargaining because the negotiations are of interest to those beyond
the parties themselves.
A pluralistic outlook involves the acceptance
within a political system of pressure groups (e.g. religious groups, unions,
business associations, political parties) with specific interests with which a
government has dialogue, with a view to effecting compromises by making
concessions. Pluralism implies a process of bargaining between these groups,
and between one and more of them on the one hand and the government on the
other. It therefore recognizes these groups as the checks and balances which
guarantee democracy.
Non-union organizations and industrial
relation with non unionized workers
Non-union
workers do not belong to a trade union or labor union. A non-union company or
organization does not employ workers who belong to a trade union or labor
union.
The
employer makes all the rules, sets all the wage rates, and makes all the
decisions on things like discipline, promotions, and hours of work. The worker
has no voice. Employer
determines wages, benefits and other terms and conditions of work. If you're
not satisfied, your only option is to get another job. Wages, benefits and
other terms and conditions can be changed by the employer at any time. Hiring
and promotion is up to the discretion of the employer.
1) The conditions of employment prescribed
in a national standard order, or in a sectoral regulation order, or a
collective agreement or determined by voluntary settlement or award under the
Title II of this Act, or required to be observed by or under this Act, shall be
the recognised conditions of employment for the employees concerned.
2) Where the conditions of employment are
prescribed in a collective agreement, the employer or employers being a party
there to shall, within fifteen days of the signing of such agreement, send to
the Director a copy thereof duly authenticated.
3) Non observance by an employer of conditions of
employment established by a national standard order or by a sectoral regulation
order shall be deemed to be an offence under this Act;
4) Nothing in this article shall prejudice any
rights the parties may have arising out of any contract of service or any
collective agreement under the provisions of the Title II of this Act or any
other law, including the Civil Code.
5) The Minister may, after consultation
with the Board, prescribe the maximum weekly working hours, including overtime,
for employees, minimum periods of daily rest, weekly rest and annual leave, and
may make different provisions for different classes of employees including any
incidental, supplemental or consequential provisions as may be deemed
necessary.
6) On engagement of any employee, the
employer shall explain to the employee the provisions of any recognized
conditions of employment as may be applicable and shall deliver to the employee
a written statement about such conditions as may be prescribed.
7) (1) Where a general increase in wages is
granted by the Government to all its whole-time employees and such increase is
declared by the Minister by notice in the Gazette to be of general application
to all whole-time employees, every employer shall increase the wages of every
whole-time employee in his employment by an amount equivalent or corresponding
to the increase granted by the Government to its employees with effect from the
date on which the increase granted by the Government in respect of its
employees takes effect:
Provided that, in the case of an
employee who is entitled to pro rata benefits in accordance with this Act or
any regulations issued hereunder, such employee shall be entitled to a portion
of such cost of living increase on a pro rata basis.
(2) For the purpose of sub article (1),
"whole-time employees" means any employee who is deemed to be a
whole-time employee in accordance with any recognized condition of employment
as defined in
this Act and includes any other employee who is in employment with any
particular employer for not less than thirty four hours per week averaged in a
twelve month period or part thereof.
Unions
were able to negotiate (relative) pay and benefit gains for their members, and
these gains sometimes spilled over to affect the pay and benefit decisions and
practices of non-union employers. Also
during this period, especially in the United States, public policy regarding
the employment relationship largely focused on union–management relationships
and collective bargaining, with considerable attention paid to strikes,
employer and union unfair labor practices, and union democracy.
MODULE IV
Law relating to Service conditions:
MODULE IV
Law relating to Service conditions:
FACTORIES ACT 1948
The object of the Factories Act is to
regulate the conditions of work in manufacturing establishments coming within
the definition of the term "factory" as used in the Act.The first Act, in India, relating to
the subject was passed in 1881. This was followed by new Acts in 1891, 1911,
1922, 1934 and 1948. The Act of 1948 is more comprehensive than the previous
Acts. It contains detailed provisions regarding the health, safety and welfare of workers inside factories, the hours of work, the minimum age 6f, workers,
leave with pay etc. The Act has been amended several times.
The
Act is based on the .provisions of the Factories Act of Great Britain passed in 1937.
APPLICATION
OF THE ACT
The Factories Act of 1948 came into force on 1st April 1949; It applies
to factories, as defined Unless
'otherwise provided, the Factories Act applies to factories belonging to the
Central or any State Government.--Sec. 116. in. the Act, all over India, including the State of
Jammu and Kashmir.
DEFINITIONS
UNDER THE FACTORIES ACT
Factory. The term Factory is defined in Section 2 (m) of the Act as follows: "Factory means any premises including the precincts thereof- .
(i). whereon ten or more workers are working, or were working on any day of the preceding twelve months, and in any part of which a manufacturing process is being carried on with the aid of power or is ordinarily so carried on, or
(ii) whereon twenty or more workers are working, or were working on any day of the preceding twelve months, and in any part of which a manufacturing process is being carried on without the aid of power, or is ordinarily so carried on, but does not include a mine subject to the operation of the Indian Mines Act, 1952 (Act XXXV of 1952), or a mobile unit belonging to the armed forces of the Union, a railway running shed or a hotel, restaurant or eating place. Explanation.-For computing the number of workers for the purposes of this clause all the workers in different relays in a day shall. be taken into account. [Clause 2(m) as amended in 1976.]
Under
Section 85, the State Government is empowered to declare any establishment carrying on a manufacturing process to be a
factory for the purposes of the Act even though it employs less than the prescribed
minimum number of workers, provided that the manufacturing process is not being
carried on by the owner only with the aid of his family.
Summary: From Sec. 2(m) of the
Act it follows that m establishment comes within the definition of a Factory if
the conditions stated below are satisfied :1. It is a place where a "manufacturing process" is carried on.
2. It employs
the prescribed minimum number of "workers"viz., ten if "'power" is used, and twenty
if no "power" is used. It is sufficient if the prescribed number of
workers were employed on any day of the preceding twelve months.
3. . It is not a mine coming within the
purview of the Indian Mines Act of 1952, a railway running shed, mobile unit
belonging to the armed forces of the Union, a hotel, restaurant or eating
place.
Manufacturing Process. This term is defined in Section 2(k) in a very wide sense. It includes:
(i) making, altering, ornamenting, finishing, packing, oiling, washing, cleaning, breaking up, demolishing, or otherwise treating or adopting any article or substance with a view to its use, sale, transport, delivery or disposal; or
(ii)
Pumping oil, water, sewage or any other substance; or (Hi) generating, transforming or transmitting power; or
(iii) composing types for printing, printing
by letter press, lithography, photogravure or other similar processes or book
binding ; or
(iv) Constructing, reconstructing, repairing, refitting,
finishing or breaking up ships or vessels ; or
(v)
Preserving or storing any article in cold storage.
For
the corresponding section of the English Act, it was held that the different
processes enumerated in the clauses are merely illustrative so that laundries,
,carpet beating, or bottle washing works come within the Act, if mechanical
power is used. Patterson v. Hune
The following undertakings have been held to
be manufacturing processes-bidi-making; conversion of raw-films into finished
products; the preparation of eatables in the kitchen of a restaurant ; use of
a refrigerator for adapting any article
with a view to its sale.
The scraping out of salt and grading them,
even though done by, manual labour, is a manufacturing process.
APPROVAL, LICENCING AND REGISTRATION
It is necessary to obtain a" license before a factory is started. Section 6 provides that the State
Government may make rules requiring, for the purposes of this Act, the
submission of. plans or any class or description of factories to the Chief
Inspector or the State Government, and the plans and specifications of a
factory and its location.
The Amendment of 1976 provides that any replacement and
addition to the factory will not be allowed if it does not reduce the I minimum
clear space required for safe working around the plant or machinery or
adversely affect the environmental conditions from the evolution or emission of
steam, heat or dust or fumes injurious to health.
Notice by occupier. Section 7 provides that the occupier
of a factory must, at least 15 days before he begins to occupy or use any
premises as a factory; send to the Chief Inspector of Factories a written
notice containing the following particulars:
(
1 ) the name and situation of factory ;
(2)
the name and address of the occupier ;
(3) the name and address of the owner
of the premises or building (including
the precincts thereof) ; ( 4) the address to which
communications relating to factory may be sent ;
(5) the nature of the manufacturing
process to be carried on in the factory during the next twelve months ;
( 6) the total rated horse power installed
or to be installed in the factory, which shall not include the rated – horse
power or any separate stand-by plant;
(7) the name of the manager of the
factory for the purposes of this Act ;
(8) the number of workers likely to be
employed in the factory ;
(9) such other particulars as may be
prescribed.
The rules stated above are enforced .
because the plans and specifications of the factory must insure proper measures
of health, safety and welfare of the . workers.
Powers of Inspectors. Section 9 provides that subject to any
rules made in this behalf, an Inspector may exercise the following powers
within the local limits for which he is appointed :
(a) enter,
with such assistants, being persons in the service of the Government or any
local or other public authority, as
he thinks fit, and place which is used, or
which he has reason to believe is
used, as a. factory ;
(b) make examination of the premises, plant and machinery;
(c) require the production of any prescribed
register and any other document relating to the factory, and take on the spot
or otherwise statements of any person which he may consider necessary for
carrying out the purposes of the Act;
and .(d) exercise such other
powers as may be prescribed for carry ing out the purposes of this Act.
Obstructing
an Inspector.
Whoever willfully obstructs an Inspector in the exercise of any
power conferred on him by or under this Act, or fails to produce on demand by
an Inspector any registers Of other documents in his custody kept in pursuance
of this Act or of any rules made there under, or conceals or prevents
any worker in a factory from appearing before, or being examined by, an
Inspector, shall be punishable ~with imprisonment for a term which may extend
to three months or with fine which may extend to Rs. 300 or with both.-Sec. 95.
Duties of Inspector. It is the duty of factory inspectors
to enforce the provisions of the Factories Act and other industrial laws. For
this purpose they inspect factories periodically. If any rule is violated they
take steps like prosecuting the guilty persons etc.
CERTIFYING SURGEONS
Section 10 provides that the State
Government may appoint qualified medical practitioners to .be certifying
surgeons for the purposes of the Act for specified local areas or for specified
factories or class of factories.
No person can be a certifying surgeon
for a factory or industry in which he is interested .directly or
indirectly.-Sec. 10(3).
The State Government may by order in
writing and subject to specified conditions, exempt any person or class of
persons from the provisions of this sub-section in respect of any factory or
class or description of factories.
Duties.
The certifying surgeon has the following duties under the Act and the rules
framed under it.
1.
The examination and certification .of young persons.
2. The examination of persons engaged
in factories in dangerous
occupations or processes. .
3. Medical supervision of factories in
cases where such supervision had been prescribed owing to the dangerous nature
of the work carried on or for any other reason, viz.,
(i)
cases of illness have occurred which it is reasonable to believe are due to the
nature of the manufacturing process carried on,. or other conditions of work
prevailing therein;
(ii) by reason of any change in the
manufacturing process carried on or in the substances used therein there is a
likelihood of injury to the health of workers employed in that manufacturing
process ;
(iii)
young persons are, or about to be employed in any work which is
likely to cause injury to their health.
Sections 11 to 20 of the Act contain
certain provisions intended to ensure that the conditions under .which work is
carried on in factories do not affect the health of the workers injuriously.
The summary of the provisions are
explained below :
1. Cleanliness. Every factory shall be
kept clean and free from dirt, and the outflow of drains etc. The floors must
be cleaned. Drainage shall be provided. Inside walls, partitions and ceilings
must be repainted at least once in five years. When washable water paint is
used they must be painted once every three years and washed at least every
period of six months.-Sec. 11,' as amended in 1976.
2. Disposal of wastes and
effluents. The waste materials produced from the manufacturing process
must be effectively disposed off-Sec. 12.
3.
Ventilation 'and Temperature. There must be provision for adequate ventilation by the circulation of
fresh air: The temperature
must be kept at a comfortable level.
Hot parts of machines must be
'separated and insulated.-Sec. 13.
4. Dust and Fume. If the .manufacturing process used.
gives off injurious or offensive dust and fume steps must be taken so that they
are not inhaled or accumulated. The exhaust fumes of internal combustion
engines must be conducted outside the factory.--Sec. 14.
5. Artificial humidification. The water used for this purpose must
be pure. It must be. taken from some source of drinking water supply. The State
Government can frame rules .regarding the process of humidification etc.-8ec.
15. .
6. OverCrowding. There must be no overcrowding in a
factory. In factories existing before the commencement of the Act there must
be at least 350 c.ft. (~r 55 cubic metres) of space per worker. For factories
built afterwards, there must be at least 500 c.ft. (or 75 cubic metres) of
space. In calculating the space, an account is to be taken of space above 14
ft. (or 5 metres) from the floor.-Sec. 16.
7. Lighting. Factories must be well lighted. Effective
measures must be adopted to prevent glare or formation of shadows which might
cause eyestrain.-sec. 17.
8. Drinking water. Arrangements must be made to provide
a sufficient supply of wholesome drinking water. All supply' points of such
water must be marked "drinking water". No such points shall be within
20 ft. (or 7.5 metres) of any latrine, washing place etc. Factories employing
more than 250 workers must cool the water during the hot weather.-Sec. 18. .
9. Latrines and Urinals. Every factory must provide'
sufficient number of latrines and urinals. There must be separate provision for
male and female workers. Latrine and urinals must be kept in a clean and
sanitary condition. In factories. employing more than 250 workers, they shall
be of prescribed sanitary types.--sec. 19.
PROVISIONS
REGARDING THE SAFETY OF WORKERS
1. Fencing ot machinery. All dangerous machinery must be securely fenced e.g.,
moving .parts- of prime movers and flywheels connected to every prime
mover. electric generators. etc.-Sec. 2l.
2. Work on or near machinery in
motion. Work on or near machinery in motion
must be carried out only by specially trained adult male workers wearing
tightly fitting c1othes.-Sec. 22.
3. Employment of young persons on
dangerous machines. No young person shall work at any danger()us machine' unless he has been
specially instructed as to the dangers and the precautions to be
observed. has received sufficient training about th~ work. and is under the
supervision of some person
having thorough knowledge and experience of the machine.-Sec. 23.
4. Striking gear and devices for
cutting off power. In every
factory suitable devices for cutting off power in emergencies from
running machinery shall be provided and maintained in every workroom.~. 24.
5. Self-acting machines. Moving parts of a self-acting machine must not be
allowed to come within 45 cms. of any fixed structure which is not part of the
machine.-Sec. 25.
6. Casing of new machinery. In all machinery installed after the commencement of the
Act. certain parts must be sunk, encased or otherwise effectively guarded
e.g.. set screw. bolt. toothed gearing etc. -sec. 26.
7. Women and children near cotton Openers. Women and children must not be allowed to work near cot/On openers, except In
certain cases.-Sec. 27
8. Hoists, lifts, chains etc, Every hoist and lift must be so constructed as to be safe. There are detailed
rules as to how such safety is to be secured. There are similar provisions
regarding lifting machines. chains, ropes and lifting tackle .Sec. 28. 29.
9. .Revolving machinery. Where grinding is . carried on the maximum safe working
speed of every revolving machinery connected
therewith must be notified. Steps must be taken to see that the safe speed is
not exceeded.-Sec. 30.
10. Pressure plant. Where any operation is carried on at a pressure higher
than the atmospheric pressure, steps must be taken to ensure that the
safe working pressure is not exceed~cL-.sec. 31.
. 11. Floors, stairs and means
of access. All floors,
steps, stairs, passage and gangways shall be of sound construction
and properly maintained. Handrails shall be provided where necessary. Safe
means of access shall be provided to the place where the worker will carry on
any work.-Sec. 32.
12.
Pits, sumps. openings in floors etc. Pits. sumps. openings in floors etc. must be securely
covered or fenced.-Sec. 33.
13.
Excessive weights. No
worker shall be made to carry a load so heavy as to cause him
injury.-8ec. 34.
14. Protection of eyes. Effective screen or suitable goggles shall be provided to
protect the eyes of the worker from fragments thrown off in course of
any manufacturing process and from excessive light if any.-Sec. 35.
15. Precautions against dangerous
fumes. No person shall be allowed to enter
any chamber. tank etc. where dangerous fumes are likely to ,be present.
unless it is equipped with a manhole or other means of going out. In such space
no portable electric light of more than 24 ,volts shall be used. Only a lamp or
light of flame proof construction can be used in such space. For people entering
such space suitable breathing apparatus, reviving apparatus etc. shall be
provided. Such places shall be cooled by ventilation before any person is
allowed to enter.-8ecs. 36 and 36A.
16.
Explosive or inflammable gas etc. where a manufacturing process produces inflammable gas. dust. fume. etc.
steps must be taken to enclose the machine concerned, prevent the accumulation
of substances and exclude all possible sources of ignition. Extra
precautionary measures are to be taken where such substances are worked at
greater than the atmospheric. pressure.-Sec. 37.
17. Precaution in case of fire. Fire escapes shall be provided. Windows and doors
shall be constructed to open outwards. The means of exit in case of the fire
shall be clearly marked in red letters. Arrangements must be made to give
warning in case or fire -sec. 38
18.
Specifications of defectives etc. and safety of buildings and machinery. If any building or machine is in a defective or
dangerous condition, the inspector of factories can ask fer the holding of
tests to determine how they can be made safe. He can also direct the adoption of the
measure necessary to make them safe. In case of immediate danger, the use
of the building or machine can be prohibited.-Secs. 39. 40.
19. Maintenance of Buildings. If the Inspector of Factories thinks that any building in
a factory, or any. part of it. is in such a state of disrepair that it is
likely to affect the health and welfare of the workers. he may serve on the
occupier or manager or both in writing specifying the measures to be done
before the specified date. Sec. 4OA.
20. Safety Officers. The State Government may notify to the occupier to employ
a number of Safety Officers in a factory (i) wherein one thousand or
more workers are ordinarily employed. or (ii) wherein any manufacturing
process or operation which involves the risk of bodily injury, poisoning.
disease or any other hazard to health of the persons employed in the factory
.-Sec. 40B.
21.
Rules. The State Government may make rules
providing for the use of such further devices for safety as may be
necessary. Sec. 41.
PROVISIONS REGARDING THE WELFARE OF
WORKERS
1..
Washing. In every factory adequate and suitable
facilities for washing shall be
provided and maintained. They shatI be conveniently accessible and shall be
kept clean. There must be separate provisions for male and female workers.-Sec.
42.
2. Storing and drying. The State Government may make rules requiring the
provision of suitable facilities for storing and drying clothing.-Sec. 43.
3. Sitting. Sitting facilities must be provided for workers who have to work in a standing position. so that they may take
rest when possible. When work can be done in a
sitting position efficiently the Chief Inspector may direct the
provision of sitting arrangements. Sec. 44.
4. First aid. Every factory
must provide first aid boxes or cupboard. They must contain the
prescribed materials and they must be in charge of persons trained in first aid
treatment. Factories employing more than 500 persons must maintain an
ambulance roam containing the prescribed equipment and in charge of the
prescribed medical and nursing staff-Sec. 45.
5. Canteens. Where more than 250 workers are employed. the state
Government may require the opening of canteen or canteens for workers. Rules may be framed
regarding the food served. its management etc.,..-Sec. 46.
6. Shelters. In every factory where more than 150 workers are employed there must be
provided adequate and suitable shelters or rest. rooms and a lunch room (with
drinking water supply) where workers may eat meals brought by them. Such rooms
must be sufficiently lighted and ventilated and must be maintained in a cool
and clean condition~. The standards may be fixed by the State Government. -Sec.
47,
7. Creches. In every
factory where more than 30 women a employed, a room shall be provided for
the use of the children (below 6 years) of such women. The room shall be
adequate size. well lighted and ventilated, maintained in a clean and sanitary
condition and shall be in charge of a woman trained in the care of children and
infants. The standards shall be laid down by the State Government.Sec. 48.
8. Welfare
officers.
Welfare officers must
be appointed in every factory where 500 or more workers are employed. The State
Government may prescribe the duties, qualifications etc. of such officers.
Sec. 49.
9.. Rules. The State Government may make rules regarding the
welfare of workers.-Sec. 50.
THE WORKING HOURS OF ADULTS
Weekly Hours. No adult worker shall .be required or
allowed . to-work in a factory for more than forty-eight hours in any week.
Sec. 51.
Daily
Hours. No adult
worker shall be required or allowed to work in a factory for more than nine
hours in any working day. The daily maximum may be exceeded with the previous
approval of the Chief Inspector, to facilitate change of shifts.-Sec. 54.
Intervals
for Rest. The periods
of work of adult workers in a factory each day shall be so fixed that no period
shall exceed five hours arid that no worker shall work for more than five hours
before he has had an interval for rest of at least half an hour. The State
Government or the Chief Inspector may, by order in writing, and for reasons
stated therein, increase the work period to six.-Sec. 55.
Spread over. The periods of work of an adult worker
in a factory shall be arranged that inclusive of his intervals for rest under
section 55, they shall not spread-over more than ten and half hours in any day.
The Chief Inspector may for specified reasons increase the spread over up to
twelve hours.-Sec. 56.
RULES REGARDING EMPLOYMENT OF ADULTS
Night Shifts. Where a worker in a factory works on
a. shift which extends beyond midnight, (a) his weekly holiday and compensatory
holiday means a period of holiday for 24 consecutive hours beginning when his
shift ends, and (b) the following day for him shall be deemed to be the
period. of 24 hours beginning when such shift ends and the hours he has worked
after midnight shall be counted in he previous day.-sec. 57
Overlapping Shifts. Work shall not be carried on in any
factory by means of a system of shifts so arranged. that more than one relay of
workers is engaged in work of the same kind at the same time. The State
Government or the Chief Inspector may grant exemption from this rule.-See. 58.
Double Employment. No adult worker shall be required or
allowed to work in any factory on any day on which he has already been working
in any other factory, save In such circumstances as may be prescribed.-Sec. 60.
Notice of Periods of Work. There must be displayed in every factory a notice showing periods of
work of adults, classification of workers in groups according to nature of
their work, shifts and relays etc.
Change made in the system of work must be notified to the Inspector before
change. The manager of every factory must maintain a Register of Adult Workers
showing the name of each worker, the nature of his work, the group in which he
is included, the relay in which he is allotted etc. The hours of work of an
adult worker- must correspond with the notice referred to above and the
Register.- Sections 61, 62, 63.
RESTRICTIONS ON THE EMPLOYMENT OF
WOMEN
By section 66 the following
restrictions have been imposed to women workers:
(a) Maximum daily work is 9 hours: No exemption from the provisions of Section 54 (which
lays down that the maximum daily hours of work shall be nine hours) can be
granted in respect of any women.
(b) Prohibition of night work: No women shall be required or allowed to work in
any factory except between the hours of 6 a.m. and 7 p.m. The State Government
may by notification in the official Gazette vary the limits for any factory or
group or class or description of factories. But such variation must not
authorise the employment of women between the hours 10 p.m. and 5 a.m. .
(c) Change of shift only after holiday: There shall be no change of shifts
for women except after a weekly holiday or any other holiday.
Exception: There is an exceptional case. The
State Government may make rules providing for the exemption from the aforesaid
restrictions (wholly or partially or conditionally) of women working in
fish-curing or fish-canning factories
Other restrictions: There are other restrictions on the
employment of women workers:
1.
Work on or near machinery in motion. No woman or young person shall be
allowed to clean, lubricate or adjust any part of the machinery while the prime
mover or transmission machinery is in motion or to work between moving parts,
or between fixed and moving parts of any machinery which is in motion.-Sec.
22(2}. (See p. 16.)
2.
Cotton openers. No
woman or child shall be employed in any part of a factory for pressing cotton
in which a cotton opener is at work. If the feed-end of a cotton opener is in a
room separated from the delivery-end by a partition extending to the roof or to
such height as the Inspector may in a particular case specify in writing, women
and children may be employed on the side of the partition where the feed-end is
situated.-Sec. 27. (See p. 18.)
3. Excessive weights. The State Government may make rules
prescribing the maximum weights .which may be lifted, carried. or moved by
adult men, adult women, adolescents and children employed in factories or in
any class or description of factories or in carrying on any specified
process.-Sec. 34. (See p. 21.)
4. Creches. In every factory wherein more than
thirty women workers are ordinarily employed there shall be provided and main trained
a suitable room or rooms for the use of children under the age of six years of
such women.-Sec. 48. (See p. 30.)
5. Dangerous operations. The State Government is empowered to make special rules for the purpose
of controlling and regulating factories which carry on operations exposing
women, young persons and other workers to a serious risk of bodily injury,
poisoning or disease.-Sec. 87 (b). (See p. 43.)
EMPLOYMENT OF YOUNG PERSONS
Employment of Children. No child who has not completed his
fourteenth year shall be required or allowed to work in any factory.--sec. 67.
Certificate of Fitness and Token. A child who has completed his
fourteenth year or an adolescent shall not be required or allowed to work in
any factory unless
(a) he has been granted a certificate of fitness. Which
is in the custody of the manager, and
(b) such child or adolescent carries a token giving a
reference to such certificate-Sec. 68.
Working hours for Children. The law regarding working hours for
children are stated below.-Sec. 71 :
1.
No child shall be employed or. Permitted to work in any factory-’
(a)
for more than four and a half hours in any
day;
(b)
during the night, .
Explanation: For the purpose of this sub-section
"night" shall mean a period of at least twelve consecutive hours
which shall include the interval between 10 p.m. and 6 a.m.
2. The period of work of all children
employed in a factory shall be limited to two shifts which shall not overlap or
spread-over more than five hours each, and each child shall be employed in only
one of the relays which shall not, except with the previous permission in
writing of the Chief Inspector, be changed more frequently than once in a period of thirty days.
3. The provisions of section 52 shall
apply also to child workers, and in respect of any child. (Sec. 52 relates to
weekly holidays. See next ' Section).
4. No child shall be required or
allowed to work in any factory on any day on which he has already been working
in another factory.
Notice
and Register. A notice must be displayed showing clearly the periods of
work of children.-,-Sec. 72.
The
manager of every factory must maintain a Register of child workers showing the
name of each child worker, the nature of his work the group (if any) in which
he is included. the relay to which he is allotted and the number of his
certificate of fitness.-Sec. 73.
No child worker shall be required or
allowed to work in any factory unless his name and other particulars have been
entered in the register of child workers.-Sec. 73 (IA). Factories (Amendment)
Act, 1976.
The hours of work of a
child must correspond with the Notice and the Register.-Sec. 74.
HOLIDAYS AND LEAVE
Weekly
Holidays.
Section 52 provides that adult workers shall have a holiday on the first day of the
week. But the manager of the factory may fix the holiday on any other day which
is with three days before or after the first day of the week in case of such substitution; notice must be given to
the Inspector of Factories an displayed in the factory. No substitution can be
made which will result in any worker working for more than ten days
consecutively without a holiday for a whole day. The State Government may make
rules providing for exemption from the above section in certain cases, e.g.,
for urgent repairs.
Rules regarding the Annual Leave:
1. When counting the number of days of
work performed by a worker, the following are to be included: (a) days
of lay-oft, (b) maternity leave to a female worker, not exceeding twelve
weeks, and (c) the leave earned in the previous year. But the worker
shall not earn leave for. these days.
2.
The leave admissible under the aforesaid rule shall be exclusive of all
holidays whether occurring during or at either end of the period of leave.
3. A worker whose service commences
otherwise than on the first day of January shall be entitled to leave ,with
wages at the rate laid down above if he has worked for two-thirds of the total
number of days in the remainder ?f the calendar year.
4, If a worker is discharged or
dismissed from service of quits his employment or is superannuated or dies
while in service, during the course of the calendar year, he or his heir or
nominee, as the case may be, shall be entitled, to wages in lieu of the quantum
of leave to which he was entitled Immediately before his discharge, dismissal,
quitting of employment,, superannuation or death calculated at threats
specified in sub-section (1)even If he had not worked for the entire period
specified In sub-section (J) or sub-section (2) making him eligible to avail of
such leave. Such payment shall be made
(i) where the worker is discharged or dismissed or
quits
employment-before the expiry of the
second working day from the date of such discharge, dismissal or quitting; and
(ii) where the worker is superannuated or
dies while in service -before the expiry of two months from the date of such
superannuation or death. (Amended by the Act of 1976).