Prepared by, N.

Priyadharshini

Compiled from:
•Elements of Mercantile Law by N.D.Kapoor (2007), •http://labour.nic.in/act/welcome.html •Various postings in www.citehr.com

Law
 What is law?
 Law includes all the rules & principles which regulate our relations

with other individuals & with the state.

 Object of law?
 To establish socio-economic justice and remove the existing

imbalance in the socio-economic structure.

 Need for the knowledge of law?
 Ignorance of law is no excuse.

Mercantile/Business/Commercial Law
 What is it mean?
 It deals with contractual situations and the right & obligations

arising out of mercantile transactions between mercantile persons.

 Sources of Business Law?
 English Mercantile law  Statute Law

 Judicial decisions or the system of precedents
 Customs & usages

1976 Professional Tax Act. 2008 . 1976 Interstate Migrant Workmen Act. 1961 Payment of Bonus Act.Indian Contract Act. 1965 Contract Labour Act. 1923 Trade Unions Act. 1872 Workmen’s Compensation Act. 1961 Maternity Benefits Act. 1986 Unorganized workers social security Act. 1970 Payment of Gratuity Act. 1947 Factories Act. 1972 Equal Remuneration Act. 1932 Payment of Wages Act. 1948 Employees’ State Insurance Act. 1926 Partnership Act. 1979 Child Labour Act. 1952 Industrial Disputes Act. 1959 Apprentices Act. 1948 Company Act. 1946 Employees’ PF & Miscellaneous Provisions Act. 1936 Industrial Employment (Standing Orders) Act. 1948 Minimum Wages Act. 1956 Employment Exchanges Act.

1872  Object?  Branch of law which determines the circumstances in which promises made by the parties to a contract shall be legally binding on them.  Contract = Agreement + Enforceablility by law (Legal obligation not a Social obligation)  Agreement = Offer + Acceptance (In genuine consent) .The Indian Contract Act.

.competent. Offer and acceptance .Essentials of valid contract 1. 3. 4.something in return Capacity of parties . terms of offer must be definite and the acceptance must also be according to the mode prescribed and must be communicated to the offeror. sound mind. major. not disqualified from contracting by any law 2. other party accepting the offer.2 parties – one party making the offer. Intention to create legal relationship Lawful consideration .

9. . not opposed to public policy Agreement not declared is void Certainty and possibility of performance – not vague or indefinite Legal formalities – contract should be in writing 6. Free and genuine consent – same mind on all the material terms of the contract Lawful object – legal. 7. moral.Essentials of valid contract 5. 8.

Workmen’s Compensation Act. . 1948 are not entitled to compensation under this Act as disablement and dependants’ benefit is available to workmen under the former act. 1923  First step towards social security of workmen  The theory behind this act is that “the cost of product should bear the blood of the workmen”  Object?  To provide for the payment of compensation by certain classes of employers to their workmen for injury by accident.  Note: Workmen who are covered under ESI Act.

Disablement?  Disablement means loss of capacity to work or to move  It may result in loss or reduction of his/her earning capacity.  Disablement may be  Partial  Total  Further it may be  Permanent  Temporary .

4000 only. 80.54.000 % loss of earning capacity * relevant age factor 25% of monthly wages shall be payable every half month till the disablement lasts Note: Where the monthly wages of workman exceed Rs.000 Permanent total disablement Permanent partial disablement Temporary disablement (total & partial) Rs.37 60% of monthly wages * relevant age factor Compensation for Death Minimum amount Rs. . his monthly wages shall be deemed to be Rs. Age 65 factor = 99. Personal injury Occupational Disease Calculation 50% of monthly wages * relevant age factor Eg: Age 16 factor = 228. 2. 90. 4000.Employer’s liability for compensation 1.

Trade Unions Act. 1926  Trade Union – “An association of workers in a particular craft or industry” and now it symbolize  Workers’ right to organize  Their right to press their demands collectively and to go on strike if their demands are not accepted  Object?  To regulate the conditions governing the registration of trade unions  Obligations imposed upon a registered trade union and  Rights & liabilities of registered trade unions .

 name and address of the partners.“utmost good faith” i. 1889 .  accounts  Deed must be duly stamped as required by the Indian Stamp Act. 1932  A contract of uberrimae fidei.Indian Partnership Act.  principal place of business.e partnership     contract must run with mutual trust and confidence Min: 2 competent persons Max: on banking business should not exceed 10. any other business not exceeding 20 Profit must be distributed in “agreed ratio” Documents which contains the agreement is called “Partnership Deed” and it contains  nature of business.  management.

1936  Object?  To avoid with holding wages.  Wage period – shall not exceed 1 month  Time of payment of wages  <1000 persons – before the expiry of the 7th day of the following wage period  >1000 persons . the Central Government may. on the basis of figures of the Consumer Expenditure Survey published by the National Sample Survey Organisation.  This Act is applicable to persons whose wages does not exceed Rs.before the expiry of the 10th day of the following wage period  Termination of employment – before 2nd working day from the terminated day  Wages to be paid on a working day .Payment of Wages Act. delays in paying wages & making unreasonable deductions out of wages. 6500 per month (2005) or such other higher sum which. after every five years. by notification in the Official Gazette.

Deductions from wages  Medium of payment of wages – current coin or currency notes or both. amenities etc  Recovery of advances  Recovery of loans  Payments to co-operative societies & insurance schemes  Other deductions such as income tax. payment can be made either by cheque or by crediting the wages in bank account  Deductions from wages  Fines (shall not exceed 3% of wages payable to him in that wage period)  Absence of duty  Services like house accommodation. after obtaining written authorization of the employed person. PM’s Relief fund etc .

Maintenance of registers & records  Every employer shall maintain registers & records giving the following particulars of the persons employed by him:  the work performed by them  the wages paid to them  the deductions made from their wages  the receipts given by them .

1946  Object?  To require employers in industrial establishments to define with sufficient precision the conditions of employment under them & to make the said conditions known to workmen employed by them.The Industrial Employment (Standing Orders) Act. .

pay days & wage rates Shift working Attendance & late coming Conditions of procedure in applying for.         holidays. and the authority which may grant leave & holidays Requirement to enter premises by certain gates. temporary stoppages of work & the rights & liabilities of workmen & employer arising therefrom. Termination of employment & respective notice Suspension or dismissal for misconduct & related actions Redress mechanism against unfair treatment . & liability to search Closing & reopening of sections in Industrial Establishment.Matters to be provided in Standing Orders  Classification of workmen  Manner of intimating to workmen about periods & hours of work.

Procedure for Certification of Standing orders Within 6 months of the application of the Act to an industrial establishment (100 or more workmen). workmen & trade unions within 7 days . the employer shall submit 5 copies of the draft standing orders to the Certifying Officer (Labor Commissioner or a Regional Labor Commissioner etc) Certifying Officer shall send a copy of draft standing orders to be sent to trade union or workmen Opportunity of hearing to trade union/workmen to be provided Certify & send copies to employer.

The Industrial Disputes Act. Labor Courts. 1947  Object?  To secure industrial peace    By preventing & settling industrial disputes between the employers & workmen By securing & preserving amity & good relations between the employers & workmen through an internal Works Committee By promoting good relations through an external machinery of conciliation. Courts of Inquiry. Industrial Tribunals & National Tribunals By redressal of grievances of workmen through a statutory machinery By improving job security  To improve the condition of workmen in industry   .

which is connected with a) b) c) The employment or non-employment The terms of employment The conditions of labor of any person  It includes both individual & collective disputes .What is Industrial dispute?  It means any dispute or difference between  employers & employers  employers & workmen  workmen & workmen.

 Breakdown of machinery. Lock out – Temporary closing of a place of employment or suspension of work or refusal by employer (Employer’s weapon) Closure – Closing the business due to actual loss or apprehended loss Retrenchment – Employees terminated on account of surplus labor Strike – Cessation of work by workmen Unfair labor practices .  Accumulation of stocks. power or raw material.Important Terms  Lay off – Failure/Refusal/Inability of an employer to give employment      to a workman due to  Shortage of coal.  Natural calamity.

Conciliation Machinery  Work committees  Conciliation Officer  Board of Conciliation  Courts of Inquiry Adjudication Machinery  Labor Courts  Industrial Tribunal  National Tribunal .

Factories Act. 1948  Factory means any premises where in a manufacturing process  10 or more persons are engaged if power is used or  20 or more persons are engaged if power is not used  Object?  To protect children & to provide for some health & safety measures. .

State Government / Chief Inspector
1.
2. 3. 4. 5.

Site Approval for a factory before it is constructed Submission of plans of Factories Registration & Licensing of Factories Appeal to State/Central Govt within 30 days if permission is refused by Chief Inspector/State Govt respectively Notice by the occupier
     

Name & address of the factory, owner & occupier Address for communication Nature of manufacturing process Total rated horsepower Name of the manager No. of workers likely to be employed etc

Health of workers
 Cleanliness  Disposal of wastes & effluents  Ventilation & Temperature  Dust & fume

 Artificial humidification
 Overcrowding  Lighting  Drinking water  Latrines & Urinals  Spittoons

Safety of workers
 Fencing of machinery  Work on near machinery in motion  Employment of young persons on dangerous machine  Striking gear & devices for cutting off power  Self acting machines  Casting of new machinery  Prohibition of employment of women & children near cotton opener  Hoists & Lifts  Lifting machine, chains, ropes & lifting tackles  Revolving machinery

openings in floors etc  Excessive weights  Protection of eyes  Precautions against dangerous fumes  Precautions regarding the use of portable electric light  Precautions against explosive or inflammable dust.  Power to require specifications of defective parts or tests of stability  Safety of building & machinery  Maintenance of building  Safety officers . gas. fire etc. sumps. stairs and means of access  Pits.Safety of workers  Pressure plant  Floors.

Welfare of workers  Washing facilities  Facilities for storing & drying clothes  Facilities for sitting  First aid appliances  Canteens  Shelter. rest rooms & lunch rooms  Creches (>30 women workers)  Welfare officers (>500 workers) .

30 days for public utility service  Maternity leave not exceeding 12 weeks .Working hours  Not more than 48hours per week or 9 hours per day  Intervals of rest – fixed by factory  Women employees – 6AM to 7PM  Ordinary rate of wages = Basic wage + Allowances  Extra wages for overtime – wages at twice the ordinary rate  Annual leave with wages  1 day for every 20/15 days of work performed in case of adult/child  Application for leave – atleast 15 days before for private.

disease.per month (Gross Salary).Employees’ State Insurance Act.  Benefits?  Sickness benefit  Maternity benefit  Disablement benefit  Dependants’ benefit  Medical benefit  Funeral expenses . want. namely. 1948  Object?  The Act is a piece of social security legislation conceived as a means of extinction of the evils of the society. dirt. ignorance and indigence  Applicability of the Act for employees is Rs. 10000/.

special expenses paid and gratuity payable on discharge . not being an apprentice engaged under the Apprentices Act. Employee?  Any person employed for wages in or in connection with the work of a factory or establishment  Directly employed by the principal employer  Employed through an intermediate employer  Contract employees  Apprentice. 1961 or under Standing Orders  Wages?  All remuneration paid in cash to an employee except employer contribution to pension & provident funds. travelling allowance.

75% of his/her wages rounded to next higher rupee  Employee Contribution is exemption for employees whose wages are < Rs.16% Admin charges A sum equal to 1.Contribution?  Contribution – Sum of money payable to ESI Corporation by the principal employer & employee  Contribution period – Must not exceed 6 consecutive months Contribution by Employer Employee Rate of Contribution A sum equal to 4.75% of the total wage bill of all employees rounded to the next higher rupee + 1. till the date of its actual payment  All disputes arising out of this are resolved by Employees’ Insurance Court .50 per day  Default in payment of contribution – to pay simple interest at 12% or more per annum.

1948  Object?  To secure the welfare of the workers in a competitive market by fixing the minimum rates of wages in certain employments  Scheduled employment – Workers in mines. transport. mills etc  Appropriate State Government shall fix  minimum rate of wages for time work  minimum rate of wages for piece work  guaranteed time rate  overtime rate . plantation.Minimum Wages Act.

 Appropriate Government shall consult with Advisory Boards before fixing/revising minimum wages . Publication of proposals in the Official Gazette 1.Fixation & Revision of wages  Fixation & revision of minimum wages are done by appropriate Government through either of the 2 methods Appointment of committees & sub-committees as it considers necessary to hold inquiries 2.

Employees’ Provident Fund & Miscellaneous Provisions Act. 1952  Object?  It is a social security measure meant to induce employees to save a portion from their present earnings for a rainy day  Authorized Officer?  Central PF Commissioner  Additional Central PF Commissioner  Deputy PF Commissioner  Regional PF Commissioner  Contribution is made to  Employees’ Provident Fund Scheme  Employees’ Pension Scheme & Fund  Employees’ Deposit Linked Insurance Scheme (EDLI) & Fund .

67% of Basic Salary Administrative charges EDLI Fund Administrative charges for EDLI Scheme 1.33% of Basic Salary or Rs.10.61% Pension Fund: 8.541 whichever is lesser Provident Fund: 3.50% of Basic Salary 0.10%of Basic Salary 0.Contribution  ESI is covered to employees whose wages are upto Rs.01%of Basic Salary .000 per month  Basic Salary = Basic Wages + Dearness Allowance including cash value of any food concession + Retaining Allowance Employee Contribution Employer’s Contribution 12% of Basic Salary 12% of Basic Salary + 1.

Company Act. 1956  Company .“ an association of many persons who contribute money or money’s worth to a common stock and employ it in some common trade or business(for common purpose) and who share the profit or loss arising there from” .

Separate legal entity Limited liability –limited by shares –limited by guarantee Perpetual succession Common seal Transferability of shares Separate property Capacity to sue . 4. 6. 3.Characteristics of the company 1. 5. 8. 2. 9. 7.

Board of Every partner should take part in Directors the management Property and rights is Transferable to any or all nontransferable to shareholders partners .Act 1956 Partnership Partnership Act 1932 Registration not mandatory Managed by Directors.Company Vs Partnership Company Regulated under Companies Act 1956 Exits after registration under Co.

.Company Vs Partnership Shares are transferable when the transferee becomes the member Shareholders is not the agent…has no power Members Min Max Public 7 No limit Pvt 2 50 Shares cannot be transferred without the concern of all partners Each partner is an agent…has power Min-2 Max.banking 10 others 20 Bound by law and audited annually No statutory provisions Only it can be dissolved (Wound by Dissolved by death/ insolvency of partner or wound if it is for fixed provisions of companies Act 1956) period.

2 Max .50 No restriction Private Co.Public Co. No public invitation 2 No restrictions Special priviliges .no limit File with registrar to act as Director Invites public to subscribe for shares / issues Quorum members –5 Managerial remuneration cannot exceed 11% of NP No privileges Min. Public Co. Vs Private Co. Min members.7 Max members .

• • Agreement between the Co and the individual for the appointment of • • whole time Director or Manager List of directors agreed to act as director with their written consent Declaration relating to companies act and formalities related to registration .Documents to be filed with Registrar for getting Certificate of Incorporation • Memorandum of Association signed by the subscribers • Fundamental document • Lays down the area of operation • Regulates the external affairs of the co in relation to outsiders Articles of Association if any(public limited co limited by shares need not have its own AOA • Rules and regulations and bye-laws for the internal management of the affairs of a company.

1959  Object?  To provide for the compulsory notification of vacancies to employment exchanges. . horticulture etc domestic service. the total duration of which is less than three months.Employment Exchanges (Compulsory Notification of Vacancies) Act. connected with the staff of Parliament.  Act is applicable to vacancies in posts of a technical and scientific nature carrying a basic pay ≥ Rs. to do unskilled office work.210 per month occurring in establishments or to be circulated to the Employment Exchanges outside the State or Union Territory  Act is not applicable to any employment in      agriculture.

Time & Place of interview/test (b) Designation and address of the person to whom applicants should report (9) Whether there is any obligation or arrangement for giving preference to any category of persons such as Scheduled Castes. (ii) Desirable (d) Age-limits if any . ex-Servicemen and physically handicapped persons in filling up the vacancies. (2) Telephone number of the employer. (e) Whether women are eligible ? (4) Number of vacancies . Scheduled Tribes.(a) Regular. (7) Probable date by which the vacancy will be filled (8) Particulars regarding interview/test of applicant . (b) Temporary (5) Pay and allowances (6) Place of work (name of town/village and district in which it is situated).(a) Date . if any . (3) Nature of vacancy :(a) Type of workers required (Designation) . the number of vacancies to be filled by such categories of persons. (c) Qualifications required .(i) Essential. and if so. (10) Any other relevant information . Form and manner of notification of vacancies (1) Name and address of the employer . (b) Description of duties .

Within 30 days by 30th June. 31st March.  Employer to furnish the result of selection within 15 days.  Submission of Returns  Quarterly in Form ER-I . Time limit for notification of vacancies & selection  Atleast 15 days before the applicants will be interviewed or tested. 30th September & 31st December  BIENNIAL Return Form ER-II – Within 30 days of the due date as notified in the Official Gazette .

Apprentices Act. He must not leave his master’s service during the term of his apprenticeship”  Object?  To provide for the regulation & control of training of apprentices . endeavor to learn his trade or business. take care of his property and promote his interest. & perform all the conditions of his contract not contrary to law. 1961  “An apprentice is bound to obey his master in all his lawful commands.

Types  Technician (Vocational) Apprentice  Undergo training for 2 years inorder to hold a certificate in vocational course after completing secondary stage of school education. recognized by All India Council of Technical Education  Trade Apprentice  Undergo apprenticeship training in any trade or business Qualifications for being an apprentice  14 years of age or above  satisfies the standard of education & physical fitness as prescribed for apprenticeship training .

settlement of disputes .Employer’s responsibilities  Total number of hours/week = 42 to 48 (6AM to 10PM)  Employer shall look after  Offer & Acceptance of employment  Practical & basic training of apprentices & related instructions  Health. Safety & Welfare of apprentices  Leave / Overtime hours  Payment of stipend  Compensating for injury during training  Holding test & granting certificate  Records.

Maternity Benefits Act. of which not more than 6 weeks shall precede the date of her expected delivery . 1961  Object?  To regulate the employment of women in certain establishments for certain periods before & after child birth & to provide for maternity benefit & other certain benefits  Wage?  Remuneration in cash + Cash Allowances including DA & HRA + Incentives + Money value of food grains  Maternity benefit is a payment to a women (should have worked atleast 80 days in the 12 months immediately proceeding the date of her expected delivery ) at a rate of the average daily wage for the period of her actual absence  Maternity benefit is given for a maximum period of 12 weeks.

Liabilities of Employer  Pregnant women are prohibited to work in establishments during a period of 6 weeks immediately following the day of her delivery or her miscarriage  Employer is liable to pay maternity benefit to her nominee or that woman even in case of death of that woman/child respectively  2 nursing breaks per day shall be allowed until the child attains the age of 15 months  6 weeks leave shall be allowed for miscarriage on production of the prescribed proof .

management & labor  A minimum bonus of 8. in recognition of their right.Payment of Bonus Act. 1965  Bonus – “gratuity to workmen beyond their wages”  Object?  To maintain peace & harmony between labor & capital by allowing the employees. to share in the prosperity of the establishment reflected by the contributions made by capital.33% of the (Salary + DA) or Rs.paid to all employees whose salary is up to Rs.3500 per month & worked for not less than 30 days for that year  Bonus is no longer linked with production & profitability and so it is a statutory liability for an employer on completion of 5 years after 1st Accounting year even if there is no profit  60 or 67% of available surplus is allocated for bonus . 100 whichever is higher .

Register of Fines. 1970  Object?  To regulate the employment of contract labour in certain establishments and to provide for its abolition in certain circumstances and for matters connected therewith.  Principal employer entitled to recover from the contractor for providing such amenities or to make deductions from amount payable  Every contractor shall maintain Muster Roll. Register of Advances. Register of Overtime. sufficient supply of drinking water. Register of Deductions. Register of wages.  Liability of Principal Employer  To ensure provision for canteen. .Contract Labour (Regulation & Abolition) Act. restrooms. Wage slip & display the abstract 0f rules & Act in English & regional language. washing facilities. latrines and urinals.

 Registration of Establishment  Principal employer employing 20 or more workers through the contractor or the contractor(s) on deposit of required fee in Form 1 as given below.60 Rs.600 Rs.300 Rs.1200 Rs. If the number of workmen proposed to be employed on contract on any days(a) is 20 (b) exceed 20 but does not exceed 50 (c) exceed 50 but does not exceed 100 (d) exceed 100 but does not exceed 200 (e) exceed 200 but does not exceed 400 (f) exceeds 400 Rs.1500  Prohibition of Employment of Contract Labour  Only by the appropriate Government through issue of notification after consultation with the Board (and not Courts) can order the prohibition of employment of contract labour. .150 Rs.

.75.00  It is valid for specified period.  If the number of workmen employed by the contractor on any day(a) is 20 (b) exceed 20 but does not exceed 50 (c) exceed 50 but does not exceed 100 (d) exceed 100 but does not exceed 200 (e) exceed 200 but does not exceed 400 (f) exceed 400 Rs.37.150 Rs.00 Rs.300.50 Rs. Licensing of Contractor  Engaging 20 or more than 20 workers and on deposit of required fee in Form IV as given below.375.00 Rs.15.00 Rs.

You need to have at least 5 full years of service with an employer to qualify for gratuity.  Rate of Gratuity Gratuity = 15 days wages = (based on last salary drawn) • Every completed years of service * 15 days wages • {(Monthly Basic + DA) /26} * 15 days • Shall not exceed Rs.000 as per Act & it is not taxable Maximum gratuity . 3. 1972  Principle?  By faithful service over a long period. when you retire (at any other age) or resignation.Payment of Gratuity Act. and in the event of your death or being rendered disable because of an accident or illness. the employee is entitled to claim a certain amount as a retirement benefit  Gratuity is paid out at the time of superannuation (if you retire at the age of 58).50.

Application for gratuity  An employee or his/her nominee shall write to the employer within 30 days from the date the gratuity become payable or shall be applied before 30 days if date of superannuation is known  If it is not paid by the employer within 30 days. then he shall pay simple interest as prescribed by Central Government  The grievances are redressed by controlling authority and the collector shall recover the gratuity amount + compound interest from the employer .

1976  Object?  To provide for the payment of equal remuneration to men and women workers and for the prevention of discrimination. Ex-Servicemen etc. ST. against women in the matter of employment and for matters connected therewith or incidental thereto  Duties of employer  To pay equal remuneration to men and women workers for same work or work of a similar nature  No discrimination to be made while recruiting [or promoting/training /transferring] men and women workers except where the employment of women in such work is prohibited or restricted by any law and it shall not affect any reservations for SC.Equal Remuneration Act.  The appropriate Government shall constitute one or more Advisory Committees to increase employment opportunities for women . on the ground of sex.

he shall be punishable with fine. which may extend to Rs. muster-roll.Penalties If an employer –  Omits or fails to produce any register.000 to Rs.he shall be punishable with fine of Rs.10.he shall be punishable with simple imprisonment for a term which may extend to 1 month or with fine which may extend to Rs.10. omits or refuses to produce to an Inspector any register or other document or to give any information.5000 .000 or with imprisonment for a term of 3 months to 1 year or with both for the first offence.20. any information or other document relating to the employment of workers .000 or with both  Makes any recruitment or discrimination in wages in contravention of the provisions of this Act . and with imprisonment which may extend to 2 years for the second and subsequent offences  If any person being required so to do.

Rs.810  Date of payment  15th of succeeding month + additional 5 days grace .45000 Between Rs.Professional Tax Act.75001 Rs.75 Rs. women.390 Between Rs.21001-Rs.Rs.  The set of professional tax slabs in India are different for all the 28 states in India and some of the states have formulated different professional tax slabs for men.60001.188 Rs.45001. trade callings & employment in the state.30001-Rs.60000 Monthly Professional Tax Nil Rs. and the senior citizens of the respective states.585 Rs. 1976  Object?  To provide for the levy & collection of tax on professionals .30000 Between Rs.  Eg: Tamil Nadu's Tax Slabs: Half yearly basis Half yearly Income Less than Rs.21000 Between Rs.75000 Beyond Rs.

whether with or without the knowledge of the principal employer in relation to such establishment. 1979  Object?  To regulate the employment of inter-State migrant workmen and to provide for their conditions of service and for matters connected therewith.  Inter-State migrant workman  Any person who is recruited by or through a contractor in one State under an agreement or other arrangement for employment in an establishment in another State. .Inter-state Migrant Workmen (Regulation of Employment & Conditions of Service ) Act.

within 15 days from the date of recruitment and also to intimate if there are any changes in employment  To issue to every inter-State migrant workman.Duties of Contractors  To furnish prescribed particulars to the specified authority in State from which an interState migrant workman is recruited and in the State in which such workman is employed. (ii) the period of employment. (iii) the proposed rates and modes of payment of wages. and others. (v) the return fare payable to the workman on the expiry of the period of his employment and in such contingencies as may be prescribed and in such other contingencies as may be specified in the contract of employment. (iv) the displacement allowance payable. a pass–book affixed with a passport size photograph of the workman and indicating in Hindi/Regional and English languages       (i) the name and place of the establishment wherein the workman is employed. . (vi) deductions made.

Wages. prescribed medical facilities (free of charge). hours of work and other conditions of service of an inter-State migrant workman shall remain the same as any other workman in that establishment and Minimum Wages Act. 1948 is also applicable to them  Non-refundable displacement allowance = 50% of the monthly wages payable to him or Rs.75 whichever is higher  Journey allowance ≥ the fare from the place of residence of the inter-State migrant workman in his State to the place of work in the other State  Other facilities such as suitable conditions of work. equal pay for equal work irrespective of sex. Welfare & other facilities  The wage rates. holidays. protective clothing are also applicable  To ensure regular payment of wages. in case of fatal accident or serious bodily injury to any such workman to report to the specified authorities of both the States and also the next-of-kin of the workman . residential accommodation.

 Penalties  Violations under Section-3 shall be    punishable with imprisonment .10.20.000 to Rs. . 1986  Object?  To prohibit the engagement of children in certain employments and to regulate the conditions of work or children in certain other employments.3 months to 1 year or with fine of Rs.Child Labour (Prohibition and Regulation) Act.000 or with both.  Child means a person who has not completed his fourteen years of age. Continuing offence shall be punishable with imprisonment for a term of 6 months to 2 years.

2008  Object?  To provide for the social security and welfare of unorganised workers and for other matters connected therewith or incidental thereto.Unorganized Workers Social Security Act. self employed 0r a wage worker in the unorganized sector & includes a worker in the organized sector who is not covered under .  Unorganized workers means a home based worker.

 old age protection  any other benefit as may be determined by the Central Government  The State Government formulated schemes for unorganized workers relating to  provident fund.  educational schemes for children.  employment injury benefits.  skill upgradation.  funeral assistance and  old-age homes .  housing. The Central Government formulated schemes for different sections of unorganized workers on matters relating to  life and disability cover.  health and maternity benefits.