A.C.

E 2020 Internship

Nitish Chandra
Nazish Kamal
Stakeholders in an IR System

Industrial relations is that field of study

which analyses the relationship between
the management and the employees of
an organization at the workplace and also
provides a mechanism to settle down
various industrial disputes.
 Industrial Disputes Act, 1947
The primary purpose of the Industrial Disputes Act, 1947 (also referred to as ID
Act) is to prevent or resolve industrial disputes.

The act also provides for a Works Committee that includes representatives of the workmen
and management. The primary purpose of the Works Committee is to promote and
maintain good relations between the employees and employers.
The act also provides for the following authorities that seek to resolve industrial disputes:
Conciliation Officers: These are persons appointed by the government to mediate in
industrial disputes with the objective of resolving them. Objectives of ID Act:-
Board of Conciliation: It consists of either three or five persons, one of whom is designated ❖ Promoting and securing amity and good
the Chairman of the Board. In the event the board consists of three people, the composition relations between employees and
shall be as follows : employers
• One member shall represent the workmen ❖ Minimising difference and settling disputes
• One member shall represent the management through adjudication
• An independent chairman who shall have no affiliations to either the workmen or the ❖ Providing a suitable machinery for
management investigation of disputes
In the event that the board consists of five people, the composition shall be as follows: ❖ Preventing illegal strikes and lockouts
• Two members shall represent the workmen ❖ Providing relief to workmen in matters of
• Two members shall represent the management layoffs, retrenchment, wrongful dismissals
• An independent chairman who shall have no affiliations to either the workmen or the and victimisation
management ❖ Giving workmen the right of collective
bargaining
❖ Promoting Conciliation
The Industrial Disputes Act, 1947 talks about certain other concepts as well. A few of those concepts have been discussed
below:

Lay-Off: It refers to the following situations:

• Failure of an employer to provide employment on account of shortage of power or raw materials
Refusal of an employer to provide employment on account of accumulation of unsold products. Continuing production while
products are not being sold will cause the employer to incur losses.
• Inability of the employer to provide employment due to breakdown of machinery
In effect, lay-off is a temporary break from employment for a workman on account of the employer’s inability or refusal to
provide the former with employment.

Retrenchment: It refers to the termination of employment of a workman for any reason except as a punishment. Hence, a
workman cannot be retrenched on account of disciplinary action. Retrenchment does not include the following:
• Voluntary Retirement of the Workman
• Retirement on account of age
• Termination of employment due to non-renewal of contract
• Termination of service on grounds of continued ill health

Strike: It is a refusal to work by a group of workmen. It is a coercive tactic to compel the management to agree to the demands
of the workmen. Strikes cause huge losses to the industry, which is why the Industrial
Disputes Act, 1947 includes several dispute resolution mechanisms.
Lock-out: It is a temporary shutdown of the factory by an employer (or management) on account of internal or external
disturbances. It is a tactic that the employer may use to coerce the workmen to accept the demands of the employer.
 Factories Act, 1948
It contains provisions concerning the health, safety
and welfare of the workers in the factory.

What is a factory?
As per the act, any premises where a manufacturing process
in carried on where ten or more workers are working, with the
aid of power, or twenty or more workers are working without
the aid of power.

Who is an occupier?
As per the act, the owner of the factory, or the person who
exercises the ultimate control over the factory is to be
designated as an occupier With regard to factories owned by
companies, the act says that one of the directors of the
company shall be designated as an occupier.
The act mandates the employers to ensure the following provisions for the workers
• Adequate Lighting and Drinking Water
• Prevention of accumulation of dust & fumes
• Ensuring circulation of fresh air, providing adequate ventilation, and maintenance of comfortable temperature
• Preventing dust & fumes from accumulating
• Avoidance of overcrowding within the premises of the factory
• Providing toilets, urinals & spittoons for the workers
• Facilities for washing and drying of wet clothes and storing of clothes not worn during working hours
• Seating arrangements to facilitate short rests for employees who are required to work in standing position
• First aid boxes or cupboards, one for every 150 employees, to be provided and maintained under the charge of a certified person
• Occupational Health Centre having prescribed equipment, along with medical and nursing staff
• A canteen, suitably located and sufficiently lighted and ventilated, and equipped with
the necessary furniture & utensils; to be operated on a non-profit basis
• Rest Areas with provision for drinking water, and such rest areas should be sufficiently lighted and ventilated

Additionally, from the safety perspective, some of the provisions are as follows:
• All dangerous and moving parts of any machinery are to be fenced
• No person is to be employed to lift, carry or move excessively heavy loads
• Appropriate equipment is to be made available to the workers to move heavy loads within the factory
• Stairs are to be kept free from obstructions and slippery substances, and are to be provided with handrails
• Safe working load of each device is to be clearly marked and never exceeded
• Periodic examination of all devices and machinery by competent persons
• All dangerous pits, sumps, openings in floors are to be covered
• Proper Personal Protective Equipment to prevent exposure to dangerous fumes, gases or dust
• Provision of safe means of escape in case of fire
• Firefighting equipment, and provision of training for workers to use such equipment
• Safety Officers to ensure adherence to safety protocols
 The Maternity Benefits Act, 1961
An Act to regulate the employment of women in certain establishments
for certain period before and after child-birth
and to provide for maternity and other benefits.

Benefits:-
➢ Leave with average pay for 8 weeks before and 18 weeks after
delivery date.
➢ Leave with average pay for 12 weeks for more than two children
➢ 12 weeks Maternity Benefit to a ‘Commissioning mother’ and Conditions for Eligibility:-
‘Adopting mother’(below 3 months child) ➢ Must work in the establishment for 80 days in 12
➢ A medical bonus of Rs.3500 if the employer does not provide free months before her date of Delivery.
medical care to the woman. ➢ 10 weeks before the date of expected delivery, she
may ask the employer for light work for a month after
➢ For miscarriage, 6 weeks leave with average pay from the date of a medical certificate
miscarriage. ➢ Notice to the employer 7 weeks before the date of
her delivery that she will be absent for 8 weeks before
➢ For Tubectomy, 2 weeks leave with wages from the date of
and 18 weeks after her delivery
Tubectomy.
➢ She should take the payment for the first 8 weeks
➢ An additional leave with pay up to 1 month if the woman shows before going on leave.
proof of illness due to the pregnancy, delivery, miscarriage, or
premature birth.
Creche Facility
As per a 2017 amendment to the Maternity Benefits Act, 1961, each
establishment with 50 or more employees has to provide its employees
with a crèche facility within a reasonable distance. Two or more
establishments situated in close proximity may also provide their
employees with a common facility.

Maximum Period of Maternity Leave

The same 2017 amendment to the Maternity Benefits Act, 1961 has
also increased the maximum period of maternity leave to 26 weeks, of
which not more than 8 weeks shall precede the expected date of
delivery
 Sexual Harassment At Workplace Act,2013
The Sexual Harassment of Women at Workplace (Prevention,
Prohibition and Redressal) Act, 2013 is a legislative act in India that
seeks to protect women from sexual harassment at their place of work.
COMPLAINT COMMITTEES:-
1. INTERNAL COMPLAINT COMMITTEE:-
• Applicable for establishments with 10 or more members
• Must be presided by a woman with minimum 4 members
• One person from NGO familiar sexual harassment cases
2. LOCAL COMPAINTS COMMITTEE:-
• Applicable for establishments with less than 10 members
• Chairperson must be a woman
The Act also provides the circumstances under which an act may
• Ex-Officio members may or may not be woman having legal
amount to sexual harassment.
knowledge.
➢ Implied or explicit promise of preferential treatment in her
employment; or
➢ Implied or explicit threat of detrimental treatment in her
employment ; or
➢ Implied or explicit threat about her present or future
employment status; or
➢ Interference with her work or creating an intimidating or
offensive or hostile work environment for her; or
➢ Humiliating treatment likely to affect her health or safety
 Contract Labour (Regulation & Abolition) Act,1970
OBJECTIVE:- To prevent exploitation of contract labour and also to
introduce better conditions of work.

Applies to:-
❖ Every establishment with 20 or more workmen employed or
were employed on any day of the preceding twelve months as
contract labour.
❖ Every contractor who employees or who employed on any day of
the preceding 12 months,20 or more workmen

Contractor for an establishment, is a person who undertakes to

produce a given result for the establishment, other than a mere
supply of goods or articles of manufacture to such establishment,
through contract labour or who supplies contract labour.

Workman means any person employed in or in connection with the

work of any establishment to do any skilled, semi-skilled or un-
skilled manual, supervisory, technical or clerical work for hire or
reward, whether the terms of employment be express or implied.

Who is a Principal Employer?

❑ Head of Department or office
❑ Occupier/Owner
❑ Owner or agent of Owner
❑ Any person responsible for supervision
 The Child Labour (Prohibition and Regulation) Amendment Act, 2016
OBJECTIVE:- An Act to prohibit the engagement of children in
all occupations and to prohibit the engagement of adolescents
in hazardous occupations and processes and the matters
connected therewith or incidental thereto

Child means a person who has not completed his

fourteenth year of age or such age as may be
specified in the Right of Children to Free and
Compulsory Education Act, 2009, whichever is more
Adolescent means a person who has completed his
fourteenth year of age but has not completed his
eighteenth year
Hazardous Work:-
Beedi Making, Mica cutting, Gem cutting and
Polishing, Manufacturing of pesticides, paper making,
Dhabas (road side eateries), hotels, motels etc.
EXCEPTIONS:-
➢ Helps his family or family enterprise, which is
other than any hazardous occupations or
processes set forth in the Schedule, after his
school hours or during vacations;
➢ Works as an artist in an audio-visual
entertainment industry, including advertisement,
films, television serials or any such other
entertainment or sports activities except the
circus, subject to such conditions and safety
measures, as may be prescribed:
 Code of Wages Act, 2019
OBJECTIVE:- The code of wages aims to rationalize the
provisions of minimum wages and timely payment of wages to
all employees irrespective of sector and wage limits

Code of wages replaces:- The act doesn’t cover:- Key Features:-

1.The Payment of Wages Act, 1936 • Air Force or Army or Navy • Central government will fix the floor wages
2.The Minimum Wages Act, 1949 • Officers in police services , based on Standard of living determined
3.The Payment of Bonus Act, 1965 • Person in managerial or administrative from time to time based on geographies.
4.The Equal Remuneration capacity, • Prohibits discrimination of wages on grounds
Act,1976 • Supervisor drawing wages above Rs.15,000 of gender
• The Central/State government may fix the
number of hours
• Employees will be entitled to overtime wages
Wages:- Includes all remuneration paid by the Employer which includes Basic Salary, which shall be twice the normal wages
allowance or any other component expressed in monetary terms excluding Bonus , HRA, • The central government shall specify the
Conveyance allowance, PF , Pension etc. establishments to pay wages only by cheque
or crediting wages in employee bank account
Worker :- Any Person employed in industry includes to do any manual, skilled, unskilled, • An employee can receive the maximum
technical, operational , clerical or supervisory work and includes Journalist and sales bonus of 20% of his annual wages
promotion employees • Minimum wages to be revised after every 5
years
THANK YOU