ARTICLE Company Secretary and Compliance of Labour Laws Labour Laws are of great importance for ail economies irrespective of their developmental satus. Compliance of Labour Law njor aspect to enstre the np environment to ensure the welfare of human resource, iment standaris like health of employees, safety in India are quite erkaustize and have alsa gone through various amendments with the ch payments ete. Labour Lawes ing time and industrial Manjiri Kulkarni, ACS fracisingComany Secretary Pane INTRODUCTION GPE ach yoar, Labour Eves the “Invluais ons at working Tian women make 1. our ator, cu econo fn our colocive jospory, It gives usa chan To Show graituce for weetor® rl dod and strength, which defme our aton's char ‘Thomas E. Pere The above qu inrespect oxpression of every human boing i nationally or country. Labour Laws are ff great imporiance for all ocorerries whether ii ‘economy, developing economy o” undeveloped Labour aus pla role as regular to ensure country’s industrial zation, human resource Gevelopment including their rights and economic development Labour lens govor vatious aspects rolaled to health, safely elmer tarda Ike daly worn hours ae off procodu and bonus policies, Labour Laws doal wih industial n employeo mployor and trado unons, il any and collozive bargaining, registratonicertfiestion of workers! rade unsen and ils management, Labour Lat both organized land unorganized labour and their ralalions wih employer irrespaciive of the type ef industry In India, prior to independens Brlishors to ensure benelts’nterests of Briish employers, In postindepondance ora, now lagislalions were passed fo ‘suit he development of economy and industrialization and to protect the interestibenefis of labours as well In india labour sre enaclod and enforced by talh Ihe Contral Goverment a8 wol as lato Govorments or bot tne manviacturng ard service sectorindusiry LABOUR LAWS CAN BE CLASSIFIED AS UNDER* “the list is illustrative/representative and not the 56 labour laws were laid by ‘comprehensive list , ‘egulating working hours, conditions of service andl yymient Faolarios Aol, 1948 (Amondod in 1987 and 2076 Plantalion Labour Act, 1951 Mines Act, 1952 Merchant Shipping Act, 1858 Motor Transport Workars Act, 1981 Coniract Labour Regulation ane Abolition) Act, 1970 Industrial Employrnent (Standing Orders) Act, 1946 ¢ Prvale Sccuriy Agoncios (Regulation) Act, 2005 * Sexual Garassmon! of women al. workplace Provertion, Prohibition and Rodrossal) Act, 2013 '* Building and Gther Censiruction Workers (Reguiation of Employment ard Condiions of Service) Aci, 12 ¢ Intorsiaio Migrant” Workmen —(Rogulation Employment ane Conditions o' Service) Act, 1978 ¢ Sates Pramolion Emsloyoes (Conditions ice) Act, 1978 ‘+ Wiorkng Joumalisis and Other NowspanerEmplayeos: (Conditions of Service) and Miscellaneous Provisions Aci, 19 > Laws regulating socal securty © Enployors Liability Act, 1988 @ Employoos Providen! Fund and Miscollanoous Provisons Act, 1952 ¢ Payment of Gratuity Act, 1972 ‘= Workmen's Compensation Aci, 1928 Employees Siate Insurance Act, 1948 > Laws regulating deprived and disadvantaged sections of ciety Bonded Labour Systom (Aboition) Act, 1 © Children (Pledging of Labour) Act, 1933 * Child Labour (Profib tien and Regulation) Act, 1988 > Laws related lo wages. + Paymont of Wages Act, 1988 = Minimum Wages Act, 1248 © Payment of Bonus Act, 1265 Working Joumaliss Fixalion of Rates of Wages) Ac Industrial Disp Trade Unions A © Industrial Employment (Standing Orders) Act, 1946 COMPANIES ACT, 2013 AND COMPLIANCE OF APPLICABLE LAWS: ‘As por Section 13415)(1) of companies Acl, 2018, the Directors rospensibilly staloment must confirm thal Dirscters, ‘cHatreren secreTaRy | way 2018 (68)had dovised proper system provisions of all applicable laws ard adequate and operating effect 204(1) of Companias Acl, 201 isled company and companies belonging to other (os shal annex wri te Bogs Repot_a Secretarial Aut Repo gon by @ Company Sceretary in According 10 Section sompany having a turnover of two hundred and fly eroros rupoos or mare The scope of the Secretarial Audt in ‘oxarrining and reporting whether the adeaur and processes are in-place to monitor ane ‘compliance wth general laws lke labour ws, , ane env ronmental ws” ition Aci, 2013 fun {As per Section 208(1) of Compa pany Secretary ino udes = To repr to the Board af Dirastars about compliance wih the provisions of this Acl, the rules made there under ard the olhor laws applicable fo the Compary = To ensure thal the Company complies with the applicable al Stancrds = Todischarge such olher dulies as may be preserbed IListhus he rosponsibiity of Company Secratayy fo ensure Jogal compliance by the Compary under the Corrpanias Aci, 2013 It's obligatory for Managemen mployer lo ensure time compliance o'theprevisionsof various abour lav it's listod or unisted ently For the corporate sect ich are listed on Stock Exchanges in India ttbecomes more key parameter to periodically ‘and ensure compliance of all applicable lshour ws, Azcording lo Securities and Exchange Board of India 1 Listing Obl gations and Disclosure Requicemonts NLODR) Regulations, itis obligatory for Board of Directors lo poradieal’y review compliance reports portaiing lo all ‘applicable laws lo Ine Iisted ently and steps eken by the listed ently to rectty instances of non-compliance MAJOR ASPECTS OF LABOUR LAWS COMPLIANCE ‘SYSTEM CAN BE CLASSIFIED AS FOLLOWS 1. Ragisiralion of establshmentiompany various iaws 2. Statutory Disp rnaculer langlag} 3, Laying down o' applicable to tho Companylestablishmentifeclory 4, Perodicaly fling ef Relursie-forms under all applicable lab clory_undor S which are mandatory Ersuring frequen! updalion and keop them avaiable for inspection by proseribed authori 6. Formulating and implomentation of sysiom which will ‘ensure iniely complance of the provisions of varous ws, idonlily gaps and adoquale measures to recily thom, provertion of aw sulls and ponalties fornonidolay compliance. (08) cuareren secretary Imay 2018 Company Secrray Labour laws govern various aspects related to health, safety, employment standards like daily working hours, leave and lay off procedure, severance pay, wages and bonus policies, ete. Labour Laws deal with industrial relations between ‘employee and employer and trade unions, if any applicable, collective bargaining, registration’ certification of workers’ trade union and its management. Labour Laws cover both organized and unorganized labour and their relations with ‘employer irrespective of the type of industry. Considering the huge number of labour lass applicable to an esiablishmentFactory:Company depending upor industry lype, il becomes very uiicul fo keep close eye on slippages. of deys for manageren! Hence, tne role of Company Secrolary bocemas mara imparanl fo orsuro timaly filing of Retumsie-formsiainionance of ragislers. trem respociive dopartmonis ard kecp the Board updaledibriafed about the talus of Compliane: Wilh the evclution of information technology, t has become ‘easier to maintain records ancl Aeep Wack of deans ancl censure timely fling of retums'e-orms. Now, its not obligatory lo koop cvery rag storrecordimanually, E-rocordsand rogisters can be mainiainod by companies as logal documents with sulfcient data back-upsand safely measures, Ilisthe Company Sccrolary who keeps informed all functional managers about the amendments or any change in lawsulos!provisions ard there implications as wel mpiementalion wih the help of legal ani compliance deparment. Accoriing to the amendments and ‘or changes in provisionsulos of sary fo upgrads and modify the version of sol used by the company to avoid delays in implomeatation ard forthe inspection by the preserbed authori In pursuit of keeping up to Ministry of amendmeris in corain las, in ‘anging times, the 3 always come up with ‘gnow Acts like Labour 57 STOMYVARTICLE Laws (Simplification of procedure for “umishing Retums and Mainianing Registers Sy Cenain Estahiishmerts) Act, 1888 ipubl shod in the Gazelle of India, on 27° Seplombor, 198 introduetion of schemeslike Un fied Saram Suvidha Porial Tris Unified Srram Suvidha Portal faciitates online maintenance of fourteen Central Labour related reconisegisters, resulting in avalapity of information in teal lime to establishments land Mristry of Labour and Ereployment, Tho Porta! aims al fonline reporting of inspection and submission of Rotums: It's the single point of contact between onplayer, emplayao and ‘enforcement agencies for integration of data arnong varous, fonforcoman agencies, Every inspactatlo unil under ary labour law shal he assigned one Latour Identification Numbor LIN}. Tho Portal faciitales consolidation of more than cighly registers into approximately nine electronic registers to avoid data duplication 2 10. Mal Ease of Compl Labour LW Rules, 21 February expedient Registers under varous 2017 ‘alte of India on 2017 have for tho of ective, ‘d converiant compliance ef the numorous provisions of labour laws. These Rules ciliate maintenance Cf combined registers for various labour laws. According tc these Rules, Employers are required lo mainlan only five rogislors as compared to the eacliar provision of mandalorly maiiainng almost fily sx registers in toll, As por those now Rules new registers have 144 data fields compares to provious @33 dala folds, Ease of Compliance lo Maritain Rogisters undor various Labour Law Aulos, 20"7 enumoretes compliance in rogard to the falowing la = Building and otner construction workers (Regulation of Employment and Coneitions of Servico} Act, = Coniracl Labour [Regulation and Aboitan) Act, 1970 Equal Remuneration 8 and Cenaitions o! Ser Minos Ae, 1952 Minimum Wages Act, 1948 Payment of Wages Bet, 1895 Sas Promelion Employ 1976 = Working Journalists and Otner Nowsoaner Employees ‘Condition of Service! and Viscallaneous Provisions Ac! 1955 (Condition of Serv As per Ease of Compliance to Mainiain Rog siors under varous Labour Law Fules, 2017, employers are supposed 10 marntain consolidated! register under the tolal nine abovementioned bourlaws There is provision which stalos that hese registers can be mainizined eiscironically or in hard register maintenance wil lead to eae ol updation, complane ingpectio norities as also easy accessbilly io higher transparency ‘ollowi The employers are presently required to: maintain registers according to abovementioned total nine labour laws 1.” Employes Rouislor (Formal 2. Wage Register (Fam. 3, Rogisler of Loans and Recoveries (Forn-C) 4. Atiendarco Registor (Forr-D) 5, Rogislerof res/iaavelloavo wayes uncior Minos Act, 1952, the Sales Promotion Employees (Condition of Service) Aci 58 1978 and Tho Werking Journalists (Condlion of Service) and Niscollanoous Provisons Aci, 1957. (Form-E} Compliance of Various Labour Laws is of utmost importance for every employer irrospactive of nature of his businoss Le Us cnumorale mandatory complance of few Labour Laws COMPLIANCES FOR COMPANIES UNDER EQUAL REMUNERATION ACT, 1976 AND EQUAL REMUNERATION RULES, 1976 Rule 6: Regarung regsters to be maintained by the Employer. Compliance Every omployer shall rainiain = rogistor in rolalion to the workers employed by him hhor in Wage Register Form} COMPLIANCES FOR COMPANIES UNDER CONTRACT LABOUR (REGULATION AND ABOLITION) ACT, 1970 AND THE CONTRACT LABOUR (REGULATION AND ABOLITION) CENTRAL RULES, 1971 Fule-75. Regarding registers tobe maintained by theEmployer. Compliance’ Every regislored establishment shall mainlain & rogislor of contract lavour in the Emplayer Rogislor (For A) Fule-78 Regarding Muster Foll, Wages Fiegister, Deructon Register and Overt Compliance: Every Contractor shall mainiain a Muster Roll and a Rogister ol Wagos in Allondaneo Ragisler (Form D) and Wage Reg stor (Form 8 COMPLIANCES FOR COMPANIES UNDER MINIMUM, WAGES ACT, 1948 AND MINIMUM WAGES (CENTRAL) RULES, 1950 Rule21(4) Regarding time and conditions of payment of wages and the ceductions permis Compliance: All such fines imposed and doduclions made shall bo recorded in the register maintainod in the Register of Loan and Recoveries (Form C). Ni any has fo be made i no fine or deduction has been imposed Rule 25(2) Regarding extra wages for Overtime mpiance: Every omployer has lo mainiain a rogistor of jolie in tne Wage Fogister (Form B} in which cnlrics under column specifies therein shall be made as and when veriime is worked in any establishment Rule 25(1), Regarding lorm of roqisters and ro Compliance: Every em altho work spot in tne We Je 2615): Regard ng Form mpiance: Every Employer the work spot ard kopt in Attendance Register (For D} within three noursol the commencement of the work shit or relay for the day as the case maybe. COMPLIANCE UNDER PAYMENT OF BONUS ACT, 1965 Every Employer is required to camply with following peo A ragister showing the compulalion of allocable shall be maintained in Form A ‘= Arogisler showing the set on and set olf of the surplus shall be maintained in Form B = Doisils showing the amount of bonus duo, docu and actual bonus amourl disbursed shal be mainlained in For C. surplus ‘cHatreren secreTaRy | way 2018 (68)Ease of Compliance to Maintain Registers under various Labour Law Rules, 2017 notified in Gazette of India on 21st February, 2017 have been prescribed for the effective, expedient and convenient compliance of the numerous provisions of labour laws. These Rules facilitate maintenance ‘of combined registers for various labour laws, According to these Rules, Employers are required to maintain only five registers as compared to the earlier provision of mandatorily maintaining almost fifty six registers in total. = Annual Relums to be filed in Form D before Feb 1 COMPLIANCE UNDER PAYMENT OF GRATUITY ACT, 1972 Fling of Form A with the prescribed authorities aftor ‘opening of an offcaitranch as intimation = Copy of Form = Form G - Nomination submitted by the ‘employee It is tno du of managomonl anc the employee to update marital status and filin the revised Form * or fopondents for nominatian ssing application for gratully in Form | ity has lo ho paid irespecive of whether employee fils Form | or nat = Form U disolay of Notice: Form U needs to be with the abstract of Ihe Act and rules and the person responsible COMPLIANCE UNDER EMPLOYEES PROVIDENT FUND AND MISCELLANEOUS PROVISIONS ACT, 1952 ‘An employer must prepare Contribution cards in Form SA as prescribed under Para SSand 42 ct Employees: Provident Fund Schomo, 1952 and Para 19. Ereployoos Family Ponson Scharre, 1971 = Every Ermployoc must file Declaration ane Nomination For in Form 2 aoconiing lo Para 88 and 81{1) 0! the Employoos Provident Furd Schey and Para 18 ol tho Employees’ Family Pension Schema, 1971 © Re ployees quallyng for membarship of the (08) cuareren secretary Imay 2018 xd Comalince of Lagou Employees Provident Fund, Employees Pension Fund land the Empleyee Depos t Linked Insurance Furi for he firsl time in morth {lo be sont lo Commis anar with For 2 EPF AND FPF) is to be sent lo Commissioner in Form 5 wilhin 18 cays of each month as given in Para 3612} (a} of Employees Proviciont Fund Schera, 1952 and Para 1512) of Employees’ Family Pension Scheme, 1971 = Return of Ownersnip shall he sent to Regional State Commissioner in Forn §-A as menlionod n Para 364 | Employeos Provident Fund Schome, 1952 and Para * of Emplayoos’ Family Pension Schama, 1871 Employer within one mantn of expiration of the perod ef ‘of contribution ead should send the Cantributien Cards to the Commissionar togethor with statoment in Form & according o Para 43 0! Employees Provident Fund Schomo, 1952 = Employer shail send within one month of the clase of the currency, a consalidaled Annual Contribution Statement fas given ht Farm 6-A according lo Para 30 and 38/3) of Employees Provident Fund Scheme, 1952 and Para 20(3) of Employees’ Pension Schome, 1895 lo the = Rolums of momber leaving son 10 as proseritied under Para 38(2) 2 for every month in Form 12:8 10 sent lo the Commissioner before 25th of evary ‘or Para 98(2) af Emplayoos Provicion! Fund me, 1952 CONCLUSION Ican be said that it's duty of Govemment to lay down vanous, lawsiprovisions’Acts'Rules lo prolecl, enhance Ihe 5 secutly, improve conditions of sorvice, industrial rolalions ard idontlly. prevent and rodross the maltors rolaled lo deprived! disadvarlagod sections of secly, chicren, and woman, ith the eechtonie and digitization of filing of returns and mainlonance of records it mas bocome more cost affect ve, offic ency love's are improved signficanlyforbotr and Ihe proserived aulhortios Utimloy its on the employer to thoroughly ensure the compliance of various labour Irue loller and spirit for the welling of the workers fas lo avoid penal provisions and provent lawsuits lo save the resources like time and manay a 59 be Fed in Form (b] of Emplayoos Provident Fund Scheme, = Slatoments of Contrinut shall ATOLYV