Labour laws

TABLE OF CONTENTS
Sl No. Content Page No.

1 INTRODUCTION TO LABOUR LAW 1-2

2 EVOLUTION OF LABOUR LAW 4-5

3 IMPORTANCE OF LABOUR LAW 5-6

4 OBJECTIVES OF LABOUR LAW 7-8

5 PRINCIPLE OF LABOUR LAW 8-9

6 INTERNATIONAL LABOUR ORGANISATION 10-11

7 IMPORTANT LABOUR LAWS IN INDIA 11-13

8 CONCLUSION 14

1|Page
Labour laws
`

LABOUR LAWS;

Meaning:-
Labour laws (also known as labor laws or employment laws) are those that mediate
the relationship between workers, employing entities, trade unions and the
government. Collective labour law relates to the tripartite relationship between
employee, employer and union.

Definition:-
Labor Laws means any and all federal, state, local and foreign statutes, laws,
regulations, ordinances, rules, judgments and orders relating to employment, equal
employment opportunity, nondiscrimination, immigration, wages, hours, benefits,
collective bargaining, the payment of social security and similar taxes, occupational
safety and health, and plant closing.

2|Page
Labour laws

Introduction to labour laws;

Labour laws or labour legislations is the body of laws,
administrative rulings, precedents which addresses the
relationship among the employers and employees and labour
organisation often dealing with the issues of public.
*Indian labour law reforms regulating labour in india .
Traditionally ,Indian governaments at federal and state level
have sought to ensure a high degree of protection for workers,
but in practice, legislative rights only cover a minority of workers.
India is a federal form of government ,because labour is a subject
in the concurrent list of the Indian constitution ,labour matters are
in the jurisdication of both central and state government ; both
central and state government have enacted laws on labour
relations and employment issues

3|Page
Labour laws

*The law relating labour and employment is is also known as

industrial law in india . the history of labour legestration in india
is interwoven with the history of political colonialism enacted by
the british were primarly intended to protect the interest of the
british employers . consideration of british political economy were
naturallyparamount in shapping some of this 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
manchesters and lancashier .thus india recived the first
stipulation of eight hours of work the abolition of child labour and
the restruction of women in night employment and the
introduction of overtime wages for work beyond eight hours.
4|Page
Labour laws

While the impact of this measures was clearly welfarist the real
motivation was undoubtedly protectionist the earlist Indian
statute to regulate the relationship between employer and his
workmen was the trade dispute act,1929. Provision were made
in this act for restraining the rights of strike and lock out but no
machinery was provided to take care of disputes.
The originally colonial legislation underwent modifications in post
-colonial era because independent india called for a clear
partnership between labour amd capital. The content of this
partnership was unanimously approved in tripartite conference in
December 1947 in which it was agreed that labour would be
given a fair wage and fair working conditions and in return capital
would receive the fullest co-operations of labour for uninterrupted
production and higher productivity as part of the stratergy for
national economic development and that all concerned would
observes a truce period of three years free from strikes and
lockouts ultimately the industrial disputes act brought into force
on 01-4-1947 repealing the trade disputes act 1929 has since
remained on statue book.

5|Page
Labour laws

Necessity and Importance of Labour Law:

(1) Improves industrial relation i.e. employee-employer relations and
minimizes industrial disputes.

(2) Prospects workers form exploitation by the employers or

management

(3) Helps workers in getting fair wages

(4) Minimizes labour unrest

(5) Reduces conflicts and strikes etc.

(6) Ensures job security for workers

(7) Promotes welcome environment conditions in the industrial

system

(8) Fixes rest pauses and work hours etc.

(9) Provides compensation to workers, who are victims of accidents.

6|Page
Labour laws

7|Page
Labour laws

Principle of labour law

Principles of Labour Legislation

Social Justice
• The essence of democracy is ensuring social justice to all sections of
the community.

• This demands the protection of those who cannot protect themselves.

• In modern industrial set-up, workers, left to themselves, are unable to

protect their interest Therefore, the State has to intervene to help
them by granting them freedom of association, the power of collective
bargaining and by providing for mediation or arbitration in the case of
industrial conflict.
Social Equity
• Legislation based on this principle provides for achievement of
definite standards. Standards in terms of living, position in society etc.
of the working population.

• These standards for the working class can be achieved by bringing

about changes in the Law of our land.

• Power to change the Law is exercised by the government.

8|Page
Labour laws

• Existing laws may be amended to meet the changed standards.

National Economy
Measures have to be provided through legislation to:

• Ensure normal growth of industry for the benefit of the nation as a

whole; Satisfy the physical and intellectual needs of the citizens;

• Ensure the growth of industrial efficiency such as to adjust the wage

system with a view to increase the productivity and prosperity of the
workers.
International Uniformity
• Since its inception, securing minimum standards (for the working
population – worldwide) on a uniform basis in respect of all labour
matters has been the main objective of ILO.

• To this end, conventions are passed at the conferences of ILO.

• As a member of the ILO, adopting these conventions would require

appropriate legislation to be brought about.

• The influence of International labour conventions has been significant

in shaping the course of labour legislation in India.

9|Page
Labour laws

ILO: International Labour Organization

•
ILO: International Labour Organization
The International Labor Organization (ILO) is devoted to promoting social justice and
internationally recognized human and labour rights, pursuing its founding mission that labour
peace is essential to prosperity. Today, the ILO helps advance the creation of decent work and
the economic and working conditions that give working people and business people a stake in
lasting peace, prosperity and progress.

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’s based on
social justice. In 1946, the ILO became a specialized agency of the United Nations.Its unique
tripartite structure gives an equal voice to workers, employers and governments providing a
unique platform for promoting decent work for all women and men.

The ILO has four strategic objectives

– Promote and realize standards and fundamental principles and rights at work
– Create greater opportunities for women and men to decent employment and income
– Enhance the coverage and effectiveness of social protection for all, and
– Strengthen tripartism and social dialogue

In support of its goals, the ILO offers expertise and knowledge about the world of work,
acquired over more than 90 years of responding to the needs of people everywhere for decent
work, livelihoods and dignity. It serves its tripartite constituents -and society as a whole- in a
variety of ways, including:

– Formulation of international policies and programmes to promote basic human rights,

improve working and living conditions, and enhance employment opportunities
– Creation of international labour standards backed by a unique system to supervise their
application
– An extensive programme of international technical cooperation formulated and implemented
in an active partnership with constituents, to help countries put these policies into practice in

10 | P a g e
Labour laws

an effective manner
– Training, education and research activities to help advance all of these effort

Mission and impact of ILO

The International Labour Organization (ILO) is devoted to promoting social
justice and internationally recognized human and labour rights, pursuing its
founding mission that social justice is essential to universal and lasting peace.

Only tripartite U.N. agency, the ILO brings together governments, employers and
workers representatives of 187 member States , to set labour standards, develop
policies and devise programmes promoting decent work for all women and men.

11 Important Labour Laws In India That Every Working

Individual Should Be Aware Of

1. Minimum Wages Act

As the name suggests, this act determines the minimum wage you should earn.
Minimum wages vary by location, whether you are a skilled or unskilled employee, and
your position.
At the least, you should be aware of the minimum wage applicable in your state for the
category you belong.

2. Maternity Benefit (Amendment) Act

In 2017, the paid maternity leave available for women was increased from 12 weeks
to 26 weeks. If a woman has worked for more than 80 days in the past 12 months in
an organisation, she is eligible to avail such paid leaves.
If you have adopted a child below the age of 3 months, you are also eligible for 12
weeks of paid maternity leave from the date of adoption. A commissioning mother,
that is, a biological mother who uses her embryo to be planted in another woman
(surrogate mother), can also take 12 weeks maternity leave from the day of birth of
the child.
Women may also take work from home after the completion of the 26 weeks' leave
period if mutually agreed with the employer. Under this act. creche facilities are also
mandatory for establishments employing more than 50 employees and women are
permitted to visit the creche 4 times a day.

11 | P a g e
Labour laws

3. Payment of Wages Act

If your employer delays your payment every month, then this Act can come in handy
for you. According to the Payment of Wages Act, 1936, your employer must pay you
your salary by the 7th of every month. If they fail to do so, they can be charged with an
offense.
The act also regulates the deductions that can be made from your salary.

4. Equal Remuneration Act

If you are a female and you earn less than your male colleagues working at the same
position and having the same experience, you can very well sue your employer.
The Equal Remuneration Act, 1976 states that you can not differentiate between two
employees based on their gender, color, or race.

5. Sexual Harassment of Women at Workplace Act

The Sexual Harassment of Women at Workplace (Prevention, Prohibition and
Redressal) Act was introduced in 2013. According to this Act, every employer is
required to form an Internal Complaint committee which needs to complete the inquiry
against the grievances within 90 days of the complaint.
According to this Act, sexual harassment includes -
(i) physical contact and advances;
(ii) a demand or request for sexual favours
(iii) making sexually coloured remarks
(iv) showing pornography
(v) any other unwelcome physical, verbal or non-verbal conduct of sexual nature
This Act is not limited to the workplace but also covers students in schools and
colleges as well as patients in hospitals. If you, or anyone you know, are facing any
kind of sexual harassment, please speak, and report it.

6. Provident Fund Act

This act aims to provide retirement savings to the employees. Earlier the amount
contributed to Employees Provident Fund and the interest earned on it used to be tax-
free. But from now on, if your contribution is more than ₹2.5 lakhs in a year, the interest
earned on the excess amount will be taxable.
You also get a Universal Account Number (UAN) which makes the transfer of EPF from
old employer to new employer hassle-free.

12 | P a g e
Labour laws

7. Employees' State Insurance Scheme

It is a social security scheme provided by the government of India which protects the
employees in case of on-the-job injuries, sickness, or maternity.
Employees' State Insurance Scheme could be understood as a combination of two
types of insurance schemes, that is, medical insurance for you and your family, and
accidental insurance for you. It is applicable in shops, hotels, and restaurants but does
not apply to establishments like manufacturing, cinemas, newspaper, etc.

8. Bonus Act
According to the Bonus Act, 1965, it is compulsory for companies to give statutory
bonuses. The minimum limit of the bonus is 8.33%, that is, your company is required
to give you a minimum bonus of 8.33% of your wage.
It is applicable for employees who have worked for more than 30 days in a year and
receives a salary or wages of up to ₹21,000 per month.

9. Gratuity Act
If you have worked for more than five years in a company and decide to leave, you are
entitled to receive 15 days of gratuity for every year worked at that company. For
example, if you have worked for 10 years in a company, you will get 150 days' salary
as per the last salary drawn by you as gratuity.

10. Shop & Establishment Act

The different kinds of leaves, like sick leave, casual leave, holiday leave that you
receive in a year are governed by this act. The Shop and Establishment Actdiffers from
state to state. You should check the rules applicable to your state and determine
whether your employer is giving you leaves accordingly or not.

11. Industrial Dispute Act

This act is useful when you leave your job or are dismissed from the job. It governs
the procedure to be followed at the time of termination of an employee. It also includes
the compensation to be provided at the time of termination.
These are some of the labour laws applicable in India and few of their provisions that
each individual should be aware of. They empower the employees and ensure their
rights are protected.

13 | P a g e
Labour laws

Conclusion.
To make four laws into one, provide uniformity in labour laws is a good step taken
by the government. This act will only be able to achieve its goal if those labours are
aware of their rights
Conclusion We have seen that the labour market in India has been suffering since time
immemorial. Despite an improvement in management levels over the years, direct
employmentgeneration programmes, with the possible exception of MGNREGA, have
not had the desired impact in large parts of the country. Apart from the need for their
restructuring, several of them also need to be more focused in the deprived regions.
These regions include areas dominated by the tribal and backward populations, as
also remote regions of the country, in order to unpack the full potential of both
programmes and regions. So, measures should be taken in order to eradicate them
and much attention should be paid towards it. This will benefit our economy at a large
scale.

14 | P a g e