Labour Movement or Historical Development of Labour Welfare:

Labour welfare activity in India was largely influenced by humanitarian principles and
legislations. Before the introduction of welfare and other legislation in India, the conditions of
labour were miserable .Exploitation of child labour, long hours of work, bad situation, and
absence of safety measures were the features of factory life.

Before Independence:

 The movement improves the working conditions of Indian labour started with the
passing of the first Indian factories act in 1881.
 The Mulock commission was appointed by the government of Bombay in 1884 to
review the working of the factories act 1881. The factories (amendment) act,1891 was
passed as a result of the recommendations of the Bombay factory commission of 1884
and the factory labour commission of 1890. It is applied to all factories employing 50
persons or more.
 The government of India appointed a commission in 1907 to study the working
condition of labour in the industry and make recommendations of this commission.the
indian factories act 1911 was made applicable also to seasonal factories working for
less than 4 months in a year.
 In the mean while, voluntary action in the field of labour welfare also made
considerable progress.group efforts came to the forefornt.
 The establishment of the international labour organisation in 1919 was another
landmark in the history of labour welfare movement in our country. The ILO declared
that universal peace can be established only if it is based upon social justice . the
formation of AITUC (1920), the first central trade union organisation in our
country,also helped in furthering the cause of welfare movement.
After Independence:

 After independence, the labour welfare movement accquired new dimensions. It was
realised that labour welfare had a positive role to pay in increasing productivity and
reducing industrial tensions. The state began to realize its social responsibilities
towards weaker sections of the society. The emergence of different central trade union
organisation gave a further flip to the growth of labour welfare movement.
 The factories act of 1949 came into effect from 1st April 1949. It is a comprehensive
piece of legislation.
 Various labour welfare activities were incorporated in different five year plan.
 The first five year plan (1951-56) paid considerable attention to the welfare of
the working classless.
 During the second five year plan (1956-61) the importance of better working
conditions has been progressively recognized.
  The third five year plan (1961-66) stressed the need for more effective
implementations of various statutory welfare provisions.
 The fourth five year plan (1969-74) provided for the expansion of employees
state insurance scheme to cover medical facilities to the families of insured
persons.
 The fifth five year plan (1974-79) also laid down programmes for labour
welfare.
 The sixth plan (1980-85) gave importance in extending coverage of the
employee‟s state insurance scheme, PF and family pension scheme.
 The seventh five year plan (1985-90) gave importance for working and living
conditions of unorganized labour.
 The eighth five year plan (1992-97) laid stress on strategic improvements in
 the quality of labour, productivity , skills and working conditions.
 In ninth five year plan (1997-2002) the planning process attempts to create
conditions for improvement in labour productivity and for provision of social
security.

In the field of labour welfare the government is now playing a crucial role.

Definition of Labour Welfare:

“Welfare work covers all the efforts which employers make for the benefits of their
employees over and above the minimum standard of working conditions fixed by the
factories act & over & above the provisions against accident, old age unemployment and
sickness”.

--- N.M.JOSHI.

“Labour welfare should be understood as meaning such as services, facilities amenities

which may be established in an organisation to enable the persons employed in them to
perform their work in healthy congenial surroundings and providing them facilities
conducive to good health and morale”.
---- INTERNATIONAL LABOUR ORGANISATION

According to committee on labour welfare “All such facilities and amenities as adequate
canteen ,rest and recreation facilities , sanitary & medical facilities , arrangement for travel
to and from the accommodations of workers employed at the distance from their home and
social security measures are all known as labour welfare”.

Elements of Labour Welfare:

1. To provide workers a better life and health.

 2. To relieve the workers from industrial fatigue.
3. To make workers happy, efficient and contented.
4. To improve the intellectual and cultural conditions of living of employees.

Features Of Labour Welfare:

1. These are voluntary acts on part of the employer.

2. It includes facilities aimed at improvement and betterment of workers social, moral,
economic and intellectual conditions.
3. Labour welfare measure is introduced by the employer, government, employees or
any social or charitable agency.
4. Labour welfare measures are flexible and changing with new measures being added
to the existing ones
5. The welfare measures are in additions to regular wages and other economic benefits
available to the workers due to legal provisions & collective bargaining.
6. The purpose of labour welfare is to bring about the development of the whole
personality of the workers to make him a good worker and good citizen.

Objective Of Labour Welfare:

Objectives of labour welfare can be seen from different points of view:

1. Humanitarian Aspect: It enables the workers to enjoy a healthy ,full and richer
life style and to improve his efficiency through good health.

2. Economic Aspect: To provide the workers with the basic amenities of life, so
that he could maintain himself & his members of family in a proper way.

3. Civic Aspect: It aims at developing a feeling & sense of responsibility, dignity,

honesty and professional approach among workers to make them respectable
citizen of the country.

4. Future Aspect: It is another object of labour welfare where a feeling of secure

and safe future is given to workers within assumable that through social security
and retirement benefit scheme he would be taken care of his family in case of any
contingency or mishappenings.

Agencies Of Labour Welfare:

1) Employers: Employers provide welfare facilities either individually or

 collectively through associations. They play an important role in providing
facilities to industrial workers. The facilities provided are voluntary as well as
statutory.

2) Central Government: A no. of acts has passed by the central government for the
welfare of the workers. There is also an implementation and administration of
industrial and labour laws. Appointment of welfare officer is made compulsory.

3) State Government: The state government runs various health centers and
educational centers for the welfare of employees. State governments have the
power to implement the provisions of various laws, appoint appropriate authority
etc. They keep a strict vigil on employers as well.

4) Trade Unions: The various trade unions are supposed to raise the welfare of the
workers and are expected to provide certain welfare facilities to their members.
There are varieties of trade unions running in our country. They offer
educational, sports cultural facilities etc. to their members. However their role is
being impaired by the political involvement.

5) Charitable Organisations: The contribution of such organisations in labour

welfare is not so significant. These agencies provide medical, legal aid,
educational facilities scholarships etc, to the various sections of the workers.

Need For Welfare Activity In India:

1. Industrial backwardness.
2. Low level of health and nutrition.
3.Lack of recreation.
4. Extreme poverty.
5. Problems of absentiseem and migration.
6.Illiteracy.
 STATUTORY WELFARE ACTIVITIES

OR

FACTORIES ACT 1948 & LABOUR SCHEMES ON WELFARE

Section 42 to 49 of factories act 1948 contains provisions relating to welfare of labour.Section

42 to 45 are applicable to all the factories irrespective of the no. of workers employed and sec
46-49 apply to factories employing more than specified no. of workers.

Sec 42- Washing facility.

Sec 43 - Facilities for storing and drying.

Sec 44- Facilities for sitting [to provide rest b/w work periods]

Sec 45- First aid appliances (150 workers are employed one first aid box. If more than
500 are employed ambulance room.)

Sec 46- Canteen (250 employees canteen is must, which supplies good and nutrious
food at subsidized rate.)

Sec 47- shelters, rest rooms, lunch rooms (150 workers suitable shelters of restroom
and lunch room with drinking water facilities, adequate shelter and restrooms should
be provided.)

Sec 48: Crèches (if an organization is having more than 30 women workers crèche
should be provided for children under age group 6.)
 Sec 49: welfare officer (Any factory having 500 or more workers, State government
may prescribe the duties, qualifications and conditions of service of welfare officer.)

CLASSIFICATION OF LABOUR WELFARE ACTIVITIES OR

NON-STATUTORY WELFARE ACTIVITIES

Labour welfare activities are broadly classified into 2 types:

1) Intra-Mural Activities
2) Extra-Mural Activities

Intra –Mural activities are all those amenities and services which have been provided by the employers,
inside the factory.

Extra –Mural activities are all those amenities and services which have
been provided by the employers, outside the factory.
INTRA- MURAL ACTIVITIES EXTRA- MURAL ACTIVITIES
Washing and Bathing Housing.

Crèches Medical facilities.

Rest shelters and canteens Recreational facilities, sports,

reading rooms cultural
activities.

8. Worker’s clubs
Merits of Welfare Measures:

Most of the organizations have been extending the welfare measures to

their employees year after year for the following merits:

1. Meets Employee Demand: Employees demand more and varied

types of fringe benefits rather than pay like because of reduction in
tax burden on the part of the employees.

2. Buys Employees Loyalty: Providing employees welfare measures

leads to employee satisfied employees because loyal to the
organization.

3. Buys Employees Commitments: Employees increase their

commitment to the job having availed of welfare measures.

4. Loyalty To Employee Family Members: Since welfare measures

are also provided to the employees family members they become
loyal to the organization having availed of welfare measures.

5. Meets Trade Union Demands: Trade unions compete with each

other for getting more and new variety of fringe benefits to their
members. By providing various fringe benefits these trade unions
demands are met.

6. Satisfies Employers Preference: Employers prefer fringe benefits

to pay-hike, so they will be more satisfied and are motivated by
these welfare measures.

7. Improves Human Relations: Human relations are maintained

when the employees are satisfied economically, socially, and
psychologically. These fringe benefits satisfy the workers
economic, social, psychological needs. Consumer stores, canteens,
recreational facilities etc satisfy the workers social needs. Whereas
retirement benefits satisfy psychological problems about post
retirement like. However most of the benefits minimize the
economic problems of employees .Thus fringe benefits improve
 human relations.
8. Create & Improve Sound IR: Welfare measures satisfy employees
and trade unions and thus prevent grievances &industrial disputes
leads to sound IR.

9. Provide Qualitative Work Environment &Work Life: Welfare

measures improve the quality of work life as well as general life.

10. Provide Security To The Employees Against Social Risks Like Old Age

11. Protects The Health Of The Employees And To Provide Safety

To The Employees Against Accidents.

12. Create a Sense of Belongingness among Employees & to retain

them: By welfare measures employees prefer to stay with the
organizations for longer period
.Therefore, fringe benefits are called GOLDEN HAND-CUFFS.

13. Meets Requirements Of Various Legislations Relating To Fringe Benefits.

DEMERITS OF WELFARE MEASURES:

These are very limited when compare to merits.

Cost to the Employer: Providing welfare measures to the employees and

their family members invariably increases cost of labour to the employer

As A Matter of Right: Employees and their family members feel that they
have legal rights to get welfare measures. Therefore employees sometimes
may not be satisfied.

Discrepancies & De-Motivation: Employer may commit some mistakes

while providing welfare measures which may lead to discrepancies .These
situations leads to employee de- motivation.