Notes compiled by Samidha Hegde (Ramaiah College of Law, Bcom LLB, 2018-2023)

1. Define unorganised worker and discuss the administrative mechanism its composotion
and powers under unorganised workers social security act,2008

Introduction-

In India, mostly all the social security legislations and the schemes fail to address unorganised
sector workers and thus exclude them and their problems. This is a harsh truth for the nation as
more than 90% of the total work force falls under unorganised sector. These unorganised sector
workers are compelled to spend out of their meagre incomes for all contingencies and remain
helpless in their old age. These workers face serious problems which range from the uncertainty
of employment to hazardous conditions at work. This led to the need for specific legislation of
social security for unorganised workers who are poor and vulnerable and are in dire need of
welfare programs.

And therefore the Unorganized Workers Social Security Act,2008 was enacted to provide social
security and welfare of the unorganized workers and all matters that is in connection with it

The Act enables the central government to formulate welfare schemes for unorganized sector
workers. These welfare schemes consist of health and maternity benefits, life and disability
cover, old age protection and any other benefit by the government. The Act, lists down 11
schemes for the unorganized sector workers. Further, the Act also enables state governments to
formulate welfare schemes which are related to provident fund, employment injury benefits,
educational schemes for children, and skill up graduation of workers, funeral assistance and old
age homes. These notified schemes may be wholly funded by the central or state government or
both and it might require contributions by the beneficiaries of the schemes or their employers to
unorganized sector workers.

According to the Unorganized Workers Social Security Act,2008

“Unorganized sector means an enterprise which is engaged in the production or sale of the food
or in providing services of any kind owned by individuals or self-employed workers and where
the number of worker working is less than 10 in number.”

Unorganised Workers: “unorganised workers” means as follows.

self- employed worker , home- based worker, or a wage worker in the unorganized
sector and also includes a worker in the organized sector who is not covered by any of
the Acts mentioned in Schedule II to this Act.

Based on the distinctiveness, the government has classified the unorganised workforce
exclusively in four categories.

 In terms of employment like construction workers, waiver, fisheries, workers of the

paper mill, sawmill etc.
 The labourers which are most in exploited-Head and shoulder loaders, scavengers,
variety of labour works.
 Labourers who are providing service-Hotel boy, Midwives, Air Hostesses, barber,
masseur etc.

Apart from category described above handicrafts, artisans, cobblers, handloom weavers,
physically handicapped self-employed persons, lady tailors, a rickshaw puller, carpenters,
tannery labour, power loom workers and urban poor, Truck and Auto drivers also come under
the ambit of unorganised labour.

The government enacted much social security legislation for the welfare of unorganised workers
also formulated many schemes. Unorganised Workers Social Security Act 2008 is one of the
significant activities which is exclusively for the protection of unorganised workers.

The mechanism under the Act provides a three-tier system for the implementation of the law.

National social security board

The Union Government constitutes the National Social Security Board with the union
minister for Labour and Employment as Chairperson, members nominated by The Union
Government consisting of seven each representing workers and employers from unorganized
sector, an eminent person from civil society, two members from the House Of the People, one
member from the Rajya Sabha and also five each members representing Ministries from the
Central And the State Governments. It is multiple parties composition who performs the
following functions, as follows.

1. They give a recommendation to the Union Government about suitable schemes for the
unorganised workers.
2. Advise the Union Government on matters arising out of the administration of the act.
3. To monitor the social security schemes which are formulated for unorganised
workers.
4. Review the registration and issue identity cards to the unorganised workers.
5. Review the record of functions performed by the State Government at the state level.
6. Review the expenditure from the funds under various schemes.
7. Undertake another work as assigned by the central Government.

State social security board

The State Government at the state level is empowered to constitute the Social Security Board for
the objective of proper implementation of the Act. Function and Composition of State Social
Security are the same as the National Social Security Board.

The Social Security Boards, which are entrusted with the responsibility of implementation of the
act, are just advisory in nature and are not empowered to perform many functions except
monitoring and review.

The Boards are not empowered to take decisions on their own. It is up to the Government to
accept the recommendations of the board or not. For effective Implementation of any Act and
consistent delivery of social security rights to the workers, a well-defined administrative
mechanism is very essential, which is missing in the Unorganized Social Security Act itself.
Workers facilitation centres

The Act also provides for the constitution of “Workers Facilitation Centers” by the State
Governments to disseminate information social security schemes, assist unorganized workers for
the registration and facilitate the enrollment of the registered unorganized workers for social
security schemes, but the Act is silent about at which level these workers facilitation centres are
to be created.

Social security schemes

Subsection 1 of Section 3 of the Act states that Union Government and State Government shall
formulate schemes from time to time covering health and maternity relief, old age protection, life
and disability and another benefit which may be notified by the central government.

Conclusion

As many problems are faced by unorganised workers such as low wages, exploitation of
workers, cruel conditions of workers etc. so the legislative system of India protects the rights of
the unorganised workers with the help of various articles covered under the constitution of India.

The Government of India took a step by enacted a legislation ‘Unorganized Social Security Act,
2008’ for providing underlying social security to the unorganised workers who work in an
unorganised sector. In pursuance of this Act, the Government of India has implemented
numerous schemes such as Aam Admi Bima Yojana(Life Insurance), old age pension scheme,
Rashtriya Swasthya Bima Yojana (health insurance) etc.

The Central Government, under the requisite section and the State Government under the
specified section, have been empowered to make the rules for the smooth functioning.

The Central Government has power under section 11 to give direction to the State Government
and National Board for the proper implementation of the provisions of this Act.
 2. Define wages under the Payment of Wages Act,1936 and explain the permissible
deductions.

Various labour welfare legislations have been enacted to protect the employees’ rights
and prevent them from any injustice done by their employers. The Payment of Wages Act
1936 (PoW Act) was enacted to ensure timely payment of wages and to prevent
unauthorised deductions thereof by the employers. The provisions of PoW Act are
applicable to individuals employed in factories, railways and any other establishments
which the Central or State Government may specify in this regard.

The benefit and protection accorded by the provisions of the PoW Act is available only to
employees whose average monthly wage is less than Rs 24,000.

Definition of Wages
The PoW Act defines ‘wages’ to mean all remuneration expressed, or capable of being expressed
in terms of money, which would be payable to the employee if the terms of employment are
fulfilled, including:

 any remuneration payable in accordance with any award or settlement between the parties or an
order of a court;

 overtime wages or any other additional remuneration payable under

the terms of employment;

Permissible deductions from wages

From wages as defined above, an employer is permitted to make deductions only under the heads
as specified in Section 7 of the PoW Act, and not otherwise. The total amount of any such
deductions in any given wage period cannot exceed 50 percent of the wages. The deductions
allowed under the PoW Act are discussed below:

 Fines

An employer may impose fines on an employee only for such acts and omissions that are
previously approved by the appropriate government. Before imposing a fine on an employee, the
employee must be given an opportunity of being heard against the fine. The amount of fine
imposed cannot not exceed 3 percent of the wages in a particular wage-period.

 Deduction for absence from duty

 An employer is authorised to make a deduction from an employee’s wages when an employee is
absent from work on his own volition and without proper authorisation or if an employee is
present at the work place but refuses to work without proper reason. Such deduction must be
proportionate to the period of absence.

 Deduction for damage or loss of goods expressly entrusted to the employee

An employer can deduct the value or amount of damage or loss caused to the employer due to
neglect or default directly attributable to the employee. However, before making such
deductions, the employee must be afforded an opportunity of being heard against such a charge.

 Deduction for house accommodation, amenities and services supplied by employer

Where an employer or the government or a housing board set up by the government provides
house accommodation or any such amenity which is accepted by an employee, then the employer
can make proportionate deductions for providing such amenities.

Deduction for recovery of advances, loans and adjustment of overpayment of wages In case of
advances paid to the employee by the employer or loans given to the employee for building a
house or for any other purpose, the employer can recover such advances or loans together with
interest by way of deductions from the employee’s wages. Further, deductions can also be made
for adjustment of over-payment of wages.

 Deduction for payment to co-operative societies, social security contributions and insurance
schemes
Contributions to provident funds and payments to be made by an employee for government
approved co-operative societies, can be deducted from the employee’s wages. Further, with the
written authorisation of the employee, the employer can also deduct amounts paid as premium on
life insurance policies.

 Other Deductions

Other permissible deductions include, income-tax payable by the employee, deductions required
to be made by an order of court or other competent authority and deductions for payment of
insurance premium on fidelity guarantee bonds. With a written authorisation of the employee,
the employer can also deduct contributions to any labour welfare fund constituted by the
employer or registered trade union, fees for membership of any registered trade union and
contributions to the Prime Minister’s National Relief Fund.
Loss of wages not amounting to deductions

The PoW Act provides that any loss of wages resulting from (i) the withholding of increment or
promotion; (ii) the reduction to lower post or time scale or to a lower stage in scale; or (iii)
suspension, shall not be deemed to be deductions from wages, if such impositions are in
accordance with the requirements specified by the appropriate government in this behalf.

Conclusion
Section 7 of the PoW Act is one of the most important provisions of the Act which protects the
employees from any unauthorised deductions and provides an effective mechanism for the
employees to claim against such deductions.

3. Explain the development of child labour abolition and regulation legislations in India

After its independence from colonial rule, India has passed a number of constitutional
protections and laws on child labour. The Constitution of India in the Fundamental Rights and
the Directive Principles of State Policy prohibits child labour below the age of 14 years in any
factory or mine or engaged in any other hazardous employment (Article 24). The constitution
also envisioned that India shall, by 1960, provide infrastructure and resources for free and
compulsory education to all children of the age six to 14 years. (Article 21-A and Article 45).
India is a federal form of government, and child labour is a matter on which both the central
government and state governments can legislate, and have.

The major national legislative developments include the following:

The Factories Act of 1948: The Act prohibits the employment of children below the age of 14
years in any factory. The law also placed rules on who, when and how long can preadults aged
15-18 years be employed in any factory.

The Mines Act of 1952: The Act prohibits the employment of children below 18 years of age in
a mine.

The Child Labour (Prohibition and Regulation) Act of 1986: The Act prohibits the
employment of children below the age of 14 years in hazardous occupations identified in a list by
the law. The list was expanded in 2006, and again in 2008.

Bonded labour system abolition Act 1976: The act prohibits all forms of bonded labour
including children from any forced labour. It also considers a forced work under any
consideration, less than minimum wages labour as bonded labour as cognizable offence.

National Policy on Child Labour in 1987 India formulated a National Policy on Child Labour
in 1987. This Policy seeks to adopt a gradual & sequential approach with a focus on
rehabilitation of children working in hazardous occupations. It envisioned strict enforcement of
Indian laws on child labour combined with development programs to address the root causes of
child labour such as poverty.

Despite these efforts, child labour remains a major challenge for India. The Juvenile Justice
(Care and Protection) of Children Act of 2000: This law made it a crime, punishable with a
prison term, for anyone to procure or employ a child in any hazardous employment or in
bondage.

The Right of Children to Free and Compulsory Education Act of 2009: The 86th
Constitutional Amendment Act, 2002 provides for free and compulsory education to children in
the age group of 6 to 14 years. This legislation also mandated that 25 percent of seats in every
private school must be allocated for children from disadvantaged groups and physically
challenged children. Prior to the 86th Constitutional Amendment Act the Indian Constitution had
a mandated provision of free and compulsory education as a Principle Directive of State Policy.
Despite these provisions the country has not been able to achieve the target of universal
elementary education. The 86th Constitutional Amendment Act 2002 inserted a new Article
21(8) which provides for free and compulsory education to children of the age group of 6 to 14
years being a Right to Education. The same Amendment Act provides for amendment of the
Article 45 as Directive Principle of the State Policy to provide provision for early childhood care
and protection Bill upto the age of 6 years. It is also made a Fundamental Duty of parents and
guardians under New Article 51(a) to provide opportunities for education to children between the
age of 6 to 14 years.

India has also signed two SOUTH ASIAN ASSOCIATION FOR REGIONAL
COOPERATION (SAARC) Conventions in 2002 for combating trafficking in the region and
on child welfare. The provisions of these Conventions are being implemented. In addition to this
India is also signatory to a SAARC Social Charter for addressing all issues pertaining to the
social sector, including women and children, in the SAARC region.

NCPCR: The Government notified the Commissions for Protection of Child Rights Act 2005 in
the Gazette of India on 20th Jan., 2006. The Act envisages setting up a National Commission at
the National level and the State Commissions at the State level.

Major Constitutional Provisions Fundamental Rights

• Article 14: … shall not deny to any person equality before the law or the equal protection of the
laws within the territory of India.
• Article 15: … shall not discriminate against any citizen… (3) Nothing in this article shall
prevent the State from making special provision for women and children. (4) Nothing … shall
prevent the State from making any special provision for the advancement of any socially and
educationally backward classes of citizens or for the Scheduled Castes and the Scheduled Tribes.
• Article 19: (1) All citizens shall have the right – (a) to freedom of speech and expression; … (c)
to form associations or unions; (d) to move freely throughout the territory of India; (e) to reside
and settle in any part of the territory of India.
 • Article 21: No person shall be deprived of his life or personal liberty except according to
procedure established by law. • Article 21 A: … shall provide free and compulsory education to
all children of the age of six to fourteen years…
• Article 23: Traffic in human beings and begar and other similar forms of forced labour are
prohibited…
• Article 24: No child below the age of fourteen years shall be employed to work in any factory
or mine or engaged in any other hazardous employment.

Directive Principles of State Policy

• Article 39: … (e) … the tender age of children are not abused… and not forced by economic
necessity to enter avocations unsuited to their age or strength; (f) that children are given
opportunities and facilities to develop in a healthy manner and in conditions of freedom and
dignity and that childhood… protected against exploitation and against moral and material
abandonment.

• Article 46: …shall promote with special care the educational and economic interests of the
weaker sections of the people, and, in particular, of the Scheduled Castes and the Scheduled
Tribes,…
• Article 47: …raising of the level of nutrition and the standard of living of its people and the
improvement of public health…
• Article 51: The State shall endeavour to – … (c) foster respect for international law and treaty
obligations …
• Article 51A: … (k) … parent or guardian to provide opportunities for education to his child or,
as the case may be, ward between the age of six and fourteen years. India adopted a National
Policy for Children in 1974, declaring children to be nation’s most precious asset. In the wake of
the 1990 World Summit for Children, the Government of India adopted a National Plan of
Action for Children in 1992, with goals for the decade. In the year 1992 itself, it also ratified the
CRC and thereafter in its Periodic Country Reports submitted to the UN Committee on the
Rights of the Child has dwelled at length about the measures taken for ensuring children’s rights.
The 86th Amendment to the Constitution, on the Fundamental Right to Education for the 6 to 14
years age group, has also led to the inclusion of an additional clause under article 51A that
imposes a fundamental duty upon parents or guardians to provide opportunities for education of
their children/wards between the ages of 6 and 14 years.

Child Marriage Restraint Act, 1929 (CMRA) There is legal recognition of the fact that
children must not be married before they are physically and mentally ready for it. The Child
Marriage Restraint Act, 1929 (CMRA) prescribes a minimum age of 21 years for males and 18
years for females. It does little to protect children, who have been married off.

The Child Labour (Prohibition and Regulation) Act was enacted in 1986, to specifically address
the situation of child labour. However, this law is inadequate both in its understanding and the
framework that it provides for dealing with the problem of child labour.
CONCLUSION
"The parents of child labourers are often unemployed or underemployed, desperate for secure
employment and income. Yet it is their children - more powerless and paid less-who are offered
the jobs. In other words, says UNICEF, children are employed because they are easier to
exploit," according to the "Roots of Child Labour" in Unicef’s 1997 State of the World’s
Children Report. Children have the right to practice their constitutional rights, to obtain
education and live at par with others in the society, without facing any discrimination. The Right
to Education Act is a tool for a child to obtain his right to elementary education and is an
important medium to bring all children, who are still out on the roads, to school by the year
2013. The Act pays equal emphasis on good quality education.

4. Explain the registration procedure and authorities under the Karnataka Shops and
Commercial Establishments Act, 1961
The Karnataka Shops And Commercial Establishments Act, 1961 is one of the state labour laws enforced
by the Department of Labour. This act is valid all over the state of Karnataka from the date notified by the
state government. This act provides regulations and other guidelines for work and employment in Shops
and Commercial establishments inside the state of Karnataka.

How to register under the Act

It is mandatory for all new shops or commercial establishments in Karnataka – whether

employing more than one employee or not, to apply for registration under the Act within 30 days
of commencement of business.

The application can be made online on e-Karmika which is the state government portal that
provides an online facility for registration under the Act, and renewal or amendment of licenses.
Once the application is made, the inspection and granting of registration takes about 15 days.

 In case of a new registration, it should be registered within 30 days from the date of
commencement of business.

 In case of an existing organisation, it should be registered from the date on which this
Act comes into force.
 The registration certificate is valid for five years and it should be renewed before the
expiry date by paying fees and in the manner prescribed.
 The business owner should display the registration certificate in a place where
everyone can see inside the office premises.
 If you plan to change any information, such change should be notified in the
prescribed format to the registration authority.
  After closing the business establishment, the owner should submit the registration
certificate to the authority.

Documents required

For registration, the applicant must fill up details of the company in form-A, and submit it along
with the following supporting documents:

 Commercial address proof;

 Identity proof and permanent account number (PAN) card copy of proprietor, partners or
directors;
 PAN copy of the entity;
 Registration documents such as partnership deed or memorandum of association (MOA)
of the company; and
 Fee payment challans.

Exemptions from Registration

The organizations that are exempted from registration under this Act are:

 Offices of, or under the central or state Government, or local authorities, except
commercial undertaking.
 Any railway service, water transport service, postal, telegraph or telephone service, any
system of public conservation or sanitation or any industry, or services like water, power,
light to the public.
 Railway dining cars.
 Establishments for the treatment or care of the handicap or mentally unfit.
 Establishments of the food corporation of India.
 Offices of legal practitioners and medical practitioners in which not more than 3 persons
are employed.
 Offices of bank.

AUTHORITY TO IMPLIMENT THE ACT:

To enforce this act labour commissioner will be the “Chief Inspector”. It is notified that
Inspector/Senior Inspector as “Inspector” and all department level authorities as “Additional
Inspector”.

POWER DEVOLUTION:
Responsibilities are delegated among the department administration hierarchy.
1.Labour/Senior Labor Inspector: Authority for registration/Renewal of establishment.
2.Assistant Labour Commissioner: Appealing Authority to enquire the employee dismissal case.
3.Deputy Labour Commissioner: Authority for Weekly holiday exemption, Woman working
hour exemption.

5. Discuss briefly the various Labour Standards adopted by ILO for protection of
industrial workers. How far has India ratified such standards in its Labour
legislations?

ILO International Labour Standards (ILS) are legal instruments, drawn up by the ILO
constituents (governments, employers and workers), that set out basic principles and rights at
work. They are either Conventions, which are legally-binding international treaties that may be
ratified by ILO Member States, or Recommendations, which serve as non-binding guidelines. In
many cases, a Convention lays down the basic principles to be implemented by ratifying
countries, while a related Recommendation can also be autonomous (not linked to any
Convention).

Ratifying countries commit to applying the Convention in national law and practice and to
reporting its application at regular intervals to the ILO regular supervisory system.
Representation and complaint procedures can be initiated against countries for violations of a
Convention they have ratified.

ILO List of International Labor Standards

These are legal instruments created by governments, employers, and workers that set basic
principles and rights at work. They take the form of either conventions/protocols, which are
legally binding international treaties ratified by member states, or recommendations, which are
nonbinding guidelines. The former are created and adopted at the annual International Labour
Conference, after which they must be ratified by the governing bodies, such as a parliament or
congress, of member states. There are eight fundamental conventions

1. Freedom of Association and Protection of the Right to Organise Convention, 1948 (No.
87)
2. Right to Organise and Collective Bargaining Convention, 1949 (No. 98)
3. Forced Labour Convention, 1930 (No. 29) (and its 2014 Protocol )
4. Abolition of Forced Labour Convention, 1957 (No. 105)
5. Minimum Age Convention, 1973 (No. 138)
6. Worst Forms of Child Labour Convention, 1999 (No. 182)
7. Equal Remuneration Convention, 1951 (No. 100)
8. Discrimination (Employment and Occupation) Convention, 1958 (No. 111)

There are also four governance conventions, which are considered important for “the functioning
of the international labour standards system”:

1. Labour Inspection Convention, 1947 (No. 81)

2. Employment Policy Convention, 1964 (No. 122)
 3. Labour Inspection (Agriculture) Convention, 1969 (No. 129)
4. Tripartite Consultation (International Labour Standards) Convention, 1976 (No. 144)

India & ILO

India is a founder member of the International Labour Organization, which came into existence
in 1919. India has ratified 45 Conventions and one Protocol, of which 42 are in force . The
ratified Conventions include four fundamental Conventions, three governance Conventions and
38 technical Conventions. International labour standards in India play an important role in
creating a productive and equitable labour market and shaping national policy and development
initiatives. The inherent principles of ILO Conventions are increasingly reflected in policies and
regulations, and a number of national mechanisms are in place to support the implementation and
ratification of Conventions, including a tripartite Committee on Conventions.

Critical challenges to the application of ILS stem from the informal nature of the Indian labour
market. These include the need to strengthen labour law enforcement, payment of minimum
wages, increasing use of casual or contract labour, poor working conditions, and low social
security coverage.

The main focus of ILO’s work in India is on technical support related to the ratification of
Conventions - especially the four unratified fundamental Conventions (Freedom of Association
and Protection of the Right to Organise Convention, 1948 (No. 87), Right to Organise and
Collective Bargaining Convention, 1949 (No. 98), Minimum Age Convention, 1973 (No. 138)
and Worst Forms of Child Labour Convention, 1999 (No. 182) and promotion and application of
the principles underlying the ratified Conventions.

6. Explain the objectives of Child Labour (Prohibition and Regulation) Act, 1986.

Introduction

The Government of India had promulgated the legislation of The Child Labour (Prohibition and
Regulation) Act, 1986 to regulate provisions related to child labour practices in India. The
Government made substantial changes in the provisions of the Act in the year 2016 and from
thereon a complete prohibition has been imposed on the employment of children who are below
the age of 14 years. Many provisions have been made under the Act regarding the employment
for the children who are above the age of 14 years.

Child Labour - Prohibition and Regulation Act, 1986

Enacted on 23 December, 1986 by the Parliament of India and Ministry of Labour and
Employment, the Child and Adolescent Labor (Prohibition and Regulation) Act, 1986 prohibits
the government, private, or semi-government companies, organizations, civil departments or
child's family from employing a Child or Adolescent in various occupations or processes,
intended to aid his family or guardian. In case, an employer is caught doing such things in which
a child is being used as a Laborer, then it is regarded as a serious offensive crime.
Child Labour Act in India - Statement of Objects and Reasons
Child Labor Act prohibits the employment of children below 14 and 15 years in certain
employments with various objects as given below:
The Abolition of Child labor bill intends to:
(1) Ban the employment of children i.e. those who have not completed their 14th year
in specified occupations and processes.
(2) The bill lays down a procedure to decide modifications according to the Schedule
of banned occupations or processes.
(3) It helps regulate the conditions of work of children in various occupations where
they are not prohibited from working.
(4) The bill has mentioned the enhanced penalties, in case a child is employed
violating the provisions of this Act, and other Acts which forbid the employment
of children.
(5) Child labor Act prohibits the employment of children into various occupations
and processes that facilitate the enrolment in various schools.
(6) Child Labor Act 1986 prohibits the employment of children in all occupations and
processes for facilitating their enrolment in schools in view of the Right of
Children to Free and Compulsory Education Act, 2009.

Prohibition of employment of children in certain occupations and processes

The main objective of the Child Labour (Prohibition and Regulation) Act, 1986 is to address the
social concern and prohibit engagement of children who haven’t completed 14 years of age into
non - children friendly employment and regulate the conditions of work children in occupations
relating to: (i) Carpet weaving (ii) Bidi making (iii) Manufacturing of matches, explosives and
fire (iv) Transport of passengers, goods or mails by railways (v) Soap manufacture (vi) Wool
cleaning (vii) Building industry
According to Child Labour Act in India, the Government has also prohibited employment of
children in certain occupations like (i)Hazardous processes and dangerous operations (ii) Cashew
and cashewnut descaling and processing (iii) Soldering process (iv) Slaughter Houses (v)
Printing

Conclusion
The Act has played an important role in reducing hazardous employment for children in India. If
it is found that the employer is employing a child in contravention of the provisions of the Act
then, such employer will be liable for punishment which includes imprisonment or fine or both.
Although the Act has reduced the number of child labors, this evil is still lingering in our society
due to the socio-economic issues i.e. poverty and illiteracy and for overcoming the evil of child
labor, collective responsibility has to be taken up by the society at large as Justice Subba Rao,
the former Chief Justice of India rightly said that; “Social justice must start with the child. Until
and unless a tender plant is properly tended and nourished, it has a small chance of growing into
a strong and useful tree. So, the first preference in the plate of justice should be stated to the
well-being of children.”

7. Explain the various Central govt schemes provided to overcome the problems faced by
Unorganized Workers
Introduction

 To find welfare schemes for unorganized sector in India we must know how an entity is
considered to be unorganized. Some of the features which characterizes an entity to be
unorganized are:

1. If it a small-scale entity and has a local ownership.

2. If it does not have any legal status.
3. If it is flexible in fixation of prices.
4. If it does not have proper packaging and production.
5. Its entry and exit from the market are easy.
6. Employees of unorganized sector have lower security in job, and they are more
victimized by their employers in context of unfair practices like termination of job, less
wages, less no. of holidays and more work and discrimination in workplace etc.

 The government has taken some steps to protect the employees working in unorganized
sector and help them by promoting them through some welfare schemes such as:

Starting with the latest schemes we will find these two-scheme bought by the government
of India:

1. National Pension Scheme For Traders And The Self-employed Persons

 This scheme was made under Unorganized Workers Social Security Act, 2008 section
3(1) for Vyapari’s to protect them in their old age. This scheme’s objective is to provide
social security and old age protection to the shopkeepers/ traders/ self-employed people
called the vyapari’s between the age of 18-40 years who are not engaged in
EPFO/ESIC/PM-SYM. having annual turnover not more then 1.5 Crore in rupees. They
are the shopkeepers or owners who have petty or small shops, restaurants, hotels, real
estate brokers etc.
2. Pradhan Mantri Shram Yogi Maan-dhan Yojana

 The scheme PM-SYM was made to protect unorganized workers who perform work like
street vendors, agriculture related work, construction site workers, workers in industries
of leather, handloom, mid-day meal, rikshaw or auto wheelers, rag picking, carpenters,
Hamals, fisherman’s etc. the scheme aimed to give them social security who are not
engaged in EPFO/ESIC and who does not qualify to be taxpayer between the age of 18-
40 years.

3. Pradhan Mantri Rozgar Protsahan Yoajna

 This scheme was brought by the government to create employment for the unskilled or
semi-skilled workers by providing incentives to the employers. The government will fully
contribute to the employees’ provident scheme and the employees provident fund on
behalf of the employers, who have registered themselves in the employee’s provident
fund organization. To avail this, benefit the employees must have a UAN (Universal
Account Number).
 The government will contribute 12% in EPF for the employees for three years of their
job but conditional that they should be employed under the same employer for the
complete three years spam.

4. Aam Aadmi Bima Yoajna

 The scheme was brought by the GOI for the people whose family income falls below the
poverty line (BPL) or marginally above the BPL covered under vocational group and are
between the age of 18-59 years.
 This scheme acts as a social security scheme because it provides for insurance cover for
the people who are categorized under vocational groups or rural landless households such
as fisherman, rikshaw pullers, beedi workers, brick kiln workers, lady tailors, tannery
workers, papad workers, primary milk producers, tendu leaf collectors, forest workers
etc.
 The people benefited with this scheme can claim for insurance from the nodal agency
when some mishap occurs like permanent total disability, or death due to accident, loss of
one eye and one limb due to accident.

5. Atal Beemit Vyakti Kalyan Yojana

 Under this scheme the government will provide monetary support to those who will get
unemployed. This will be available to those who have worked for at least 2 years
preceding the date of unemployment. Only those persons who were insured and have
contributed for minimum of 78 days during previous four contribution periods.
 ESI Act 1948, section 2(9), covers those employees who are eligible for this scheme.
 The relief can be claimed for a period of 90 days of unemployment only .
  6. Central Sector Scheme For Rehabilitation Of Bonded Labourer, 2016

This scheme was first introduced in 1975 where it was the state government’s duty to
identify, rescue and rehabilitate the bonded labor and the central government would assist
them in financial terms on 50-50 basis. The scheme has been changed since then several
times and now in 2016.

Now after the revised guidelines of the scheme the state government does not need to pay
any financial assistance to the rehabilitation of bonded labors instead the ministry of
labor and employment will provide the assistance for their rehabilitation of up to 4.5
lakhs for each district. The amount they will receive will be deposited in the annuity
scheme making them the beneficiary for e.g. If it an adult male then 1 lakh, if it is some
women, children, or transgender then three-lakhs.

7. Grant In Aid Scheme To NGO’s For Welfare Of Women Labour

 This scheme was bought by the government to create awareness among women laborer’s
as we all know they are not much educated and aware about their rights so government
planned to provide them with knowledge of what they can have.
 The scheme was to give assistance in finance to the NGO’S or voluntary organization
which are formed for the welfare of the women, so government would provide the
organizations finance so that they can arrange campaigns and movements across different
places and spread the information related to different scheme and constitutional and other
provisional rights they have like remuneration, holidays, pay work and hours of working
and minimum wages etc.

8. Atal Pension Yojana

 This scheme aimed at providing social security to the employees of private sector or
those unorganized sectors who does not offer pension benefits to their employees on their
retirement. If someone want to vail themselves under this scheme, he/she should be an
Indian citizen and between the age of 18-40 years having bank account linked with
Aadhar.
 The contributor can on his choice attain a pension of 1000-5000 rupees, or he can also get
an accumulated sum of the pension after his death. The accumulated amount will be
given to the spouse or if the spouse is dead as well then to the nominee. The contributor
must have contributed for at least of 20 years of his employment. This scheme gives a
sense of social security to the person in case of accident, illness, or diseases etc.

9. Rashtriya Swasthya Bima Yojana

 This scheme is to provide socio-economic security to the BPL workers by providing them
with health insurances. A person who with a family of five members can enroll for this
scheme if he is categorized under BPL.
  The central government will contribute 75% of the amount and 25% will be contributed
by the state government. The beneficiaries only have to pay thirty rupees of registration
(per annum for all) as premium.
 The insurance sum will be of 30,000 rupees per annum for each family enrolled under the
scheme. Currently there are three crore persons enrolled to the scheme.
 The insured sum will cover expenses incurred in hospital, previous illness if any and any
common illness.

10. Revised Integrated Housing Scheme

 The scheme intends to help workers working in mines like iron, manganese, limestone,
mica etc. the workers for a minimum of one year period should be registered with labor
welfare organization. The applicant must not have any pucca house of his own or of his
house or anyone related to him in Indian territory. The applicant must not have availed
benefit of any other housing scheme previously. It is also required that the applicant must
have land for residential purpose either on owned or leased for 20 years which can be
extended.
 The scheme requires many requirements from a minor worker like the land should be
minimum 60 square feet which is for the general category and that the house must be
built within 18 months but along with it there are also many benefits for the beneficiaries
like they will get a subsidy of 1,50,000 for building the house in three installments into
the beneficiary’s bank account. The deposit does not have to deposit any sum of money
to withdraw the subsidy form the bank account deposited by the government.

11. Garib Kalyan Rozgar Yojana

 The scheme was bought by the government of India to promote employment

opportunities for migrant workers, in June 2020 with a budget of 50,000 crore rupees.
This scheme was bought because of COVID-19 during which many workers were shifted
from one place to another having huge loses in their livelihood because of loss of
employment during the lockdown period.
 For this scheme 25 types of working areas were identified such as, PM Kusum Works,
cattle sheds, poultry shed, goat sheds, shyama prasad Mukherjee RURBAN mission,
workers in national highways, in construction of wells etc. which made the tally of
migrated workers to 670,000.
 The scheme will give employment for one hundred and twenty-five days.

12. Mahatma Gandhi Bunkar Bima Yojana

 This scheme was introduced in 2005 for providing insurance benefits to the workers of
handloom industry, as we can see the scheme provides for insurance benefit to the
handloom industry workers if they happen any casualty which leads to death or disability
partial or full.
 Applicants of this scheme should be engaged with state handloom development
corporation, ranging between age of 18 to 59 years. If there is a natural death, then a sum
 of 60,000 rupees will be provided and 1,50,000 rupees in case of accidental death and full
disability.
 An annual premium of rupees 330 will be given whose breakage will be as follows, 150
rupees by government of India, one hundred rupees by life insurance corporation of India
the best part is the weaver does not need to pay any amount for premium.

13. Deen Dayal Updhyaya Antyodaya Yojana (Day)

 Ajeevika scheme was replaced by DAY, the purpose of DAY is to skill people to train
them in rural and in urban areas as well. Its target was to train half a million people from
urban area and one million people from rural are by the end of 2016 and 2017,
respectively.
 The scheme aims to create employment by providing training to people and make them
self-employed by enabling loans provisions so that they can set up small scale business or
self-help groups in urban areas.
 Scheme established SVEP which start-up village entrepreneurship program which acts
like sub-scheme of this scheme. The scheme aims to enhance skills and self-business by
financing and supporting the poor.

8. Objectives of Special Economic Zones Act, 2005

Introduction: Amidst WTO & GATS, Special Economic Zones have attained a centre stage.
The Central Government has enacted the SEZ Act with the major objective of generation of
additional economic activity, promotion of export of goods and services, investment from
domestic and foreign sources and creation of employment opportunities. This Act is unique as it
helps in backward and forward integration of the economy.
Until 2006, SEZs were functioning under the provisions of the Foreign Trade Policy and were
eligible for fiscal incentives as provided under the relevant statues. The SEZ Act, 2005, provides
the legal framework for establishment of SEZs and also for units operating in such zones.

SEZ Background
An SEZ Policy was announced for the very first time in 2000 in order to overcome the obstacles
businesses faced.

 There were multiple controls and many clearances to be obtained before starting a
venture.
 Infrastructure facilities were shoddy and well below world standards in India.
 The fiscal regime was unstable as well.
 In order to attract huge foreign investments into the country, the government announced
the Policy.
  The Parliament passed the Special Economic Zones Act in 2005 after many
consultations and deliberations.
 The Act came into force along with the SEZ Rules in 2006.
 However, SEZs were operational in India from 2000 to 2006 (under the Foreign Trade
Policy).

Special Economic Zones Act, 2005

“It is defined as an Act to provide for the establishment, development and management of the
Special Economic Zones for the promotion of exports and for matters connected therewith or
incidental thereto.”

The main objectives of the SEZ Act are:

 generation of additional economic activity

 promotion of exports of goods and services
 promotion of investment from domestic and foreign sources
 creation of employment opportunities
 development of infrastructure facilities

It is expected that this will trigger a large flow of foreign and domestic investment in SEZs, in
infrastructure and productive capacity, leading to generation of additional economic activity and
creation of employment opportunities.

Major Incentives and Facilities Available to SEZ:

o Duty free import/domestic procurement of goods for development, operation and

maintenance of SEZ units.
o Exemption from various taxes like Income Tax, minimum alternate tax, etc.
o External commercial borrowing by SEZ units upto US $ 500 million in a year
without any maturity restriction through recognized banking channels.
o Single window clearance for Central and State level approvals.

9. Duties of District Magistrate and Vigilance Committee under the Bonded Labour
System (Aboltion) Act, 1976

There is a hierarchy followed in implementing this Act from the State government to the officer
in charge of implementation. Placed at the top of the hierarchy is the State government who
confers the District Magistrate with the power to safeguard the provision of this Act. Further, the
District Magistrate delegates the powers to an officer who will have the implementing powers at
the local level.

Thereby, this acts as a three-tier system of implementation which enhances the efficiency of this
Act with better wings of administration.

The onus to ensure credit by District Magistrate and other (Section 11)

The District Magistrate appointed by the State government and the officer who is delegated with
powers by the magistrate has the right to protect and cushion the rights of bonded labourers. This
is done so that these labourers don’t get back to a situation where they are forced to work on
bonds by the creditors.

This includes promoting welfare schemes and measures in favour of the labour class and
developing their skills to face this accelerating world.

The onus of District Magistrate and officers authorised (Section 12)

It becomes the delegated duty of the District Magistrate and officers authorised by the District
Magistrate to check on whether after the commencement of this Act was there any act of bonded
labour committed anywhere within their local jurisdiction.

If there is a commission of any such forced or bonded labour, then the respective officers shall
take appropriate action to veto such an Act and also protect the rights and dignity of the bonded
labourers. Also, they shall promote welfare measures which would become torchbearers of the
right, dignity, and voice of the labourers.

Vigilance Committee

Functions of the Vigilance Committee

The State government is responsible for appointing a vigilance committee at every district and
sub-division as it may think fit through notifying in the Official Gazette. This is done to have a
proper and well-maintained surveillance system. These provisions are mentioned under Section
13 and Section 14.

The vigilance committee at the district level:

 Consists of a chairman who shall be a district magistrate or a person nominated by

him.
 There should be three members duly belonging to the scheduled caste or scheduled
tribe to mark representation from these spheres.
 Two social workers of the district, not more than three members representing an
official or non-official agency relating to rural development and a person marking
representation of a financial institution of the district are the other members
constituting the committee.

At the sub-division level:

1. The committee constitutes a chairman who is a sub-divisional magistrate or a person

nominated by him.
2. Three members duly belonging to the scheduled caste or scheduled tribe, two social
workers, not more than three members representing an official or non-official agency
relating to rural development nominated by district magistrate, a person marking
representation of a financial institution of the sub-division, an officer mentioned under
section 10 are the other members constituting the committee.

The district and sub-divisional magistrate shall provide the vigilance committee with procedural
and other assistance. The entire procedure of the vigilance committee cannot be held nullified
merely because there is any default in their constitution.

The main functions of the vigilance committee include advising the District Magistrate and other
officials concerning the various provisions of this Act and their implementation, further they
provide for the rehabilitation of bonded labour both socially and economically. They monitor
functions of various banks in their respective sectors, surveil and conduct surveys of cognizable
offences and defend suits instituted against any bonded labourers.

10. Explain the objectives of Equal Remuneration Act, 1976

Introduction-

The Equal Remuneration Act, 1976 provides for payment of equal remuneration to men and
women and help prevent gender discrimination. Article 39 of the Constitution envisages that the
States will have a policy for securing equal pay for equal work for both men and women. To give
effect to this constitutional provision the Equal Remuneration Act, 1976 was introduced.

An Act to provide for the payment of equal remuneration to men and women workers and for the
prevention of discrimination, on the ground of sex, against women in the matter of employment
and for the matters connected therewith or incidental thereto.

The purpose of this Act is to ensure that employers do not discriminate on the basis of gender, in
matters of fixing wages, transfers, training, promotion. It provides for payment of equal
remuneration to men and women workers, for the same work or work of similar nature and for
the prevention of discrimination against women in the matter of employment.

Objectives of the Act-

The Equal Remuneration Act, 1976 aims:

 To pay equal remuneration to men and women workers

 To prevent discrimination on the grounds of sex, against women in the matter of
employment.
 To promote equality and equal opportunities to women
 To set-up advisory committees to promote employment opportunities for women
 Appointment of officers for hearing the complaints.
 Appointment of inspector for investigation and administration of the Act.
Various provisions of the Act-
Every employer covered under this act shall pay the employees remuneration in cash/kind at a
rate which shall not be less favourable to the other gender if the work is the same or of similar
nature. Same work or work of similar nature would mean if the work is performed under similar
conditions either by a man or woman it would require the same skill, effort and responsibility. If
there are any differences in the skill, effort and responsibility required from a man when
compared to a woman the same is not important to the employment.
1.No employer shall be allowed to reduce the remuneration of any worker in order to comply
with the provisions of this act.
2. In case the remuneration payable before the commencement of this act was different due to
discrimination then going forward the higher (in case of two rates) or highest (in case of more
than two rates) rate shall be payable. However, the same shall not apply to the remuneration
payable for the services rendered before the commencement of the act
3. While employees are recruited for work which is the same or of similar nature no
discrimination shall be directed towards women unless any law prohibits the same. This
provision is also extended to activities after recruitment i.e promotion, training or transfer. The
reservations made towards Scheduled Castes or Scheduled Tribes, ex-servicemen, retrenched
employees or any other class or category of persons will not be affected by this provision.
4.An advisory committee shall be formed which shall consist of 10 members half of which shall
be women and the committee shall focus on providing its advice for increasing the employment
opportunities for women, hours of work, nature of work and such other matters.
5. Every employer is required to maintain registers and other documents in relation to the
workers employed by him.
6. The appropriate government shall appoint inspectors for the purpose of investigation of
compliance with the provisions of this act.
7. The Inspector shall have the power:
 To enter any building/premises/factory/vessel
 Require the production of documents
 Take evidence from any person to confirm compliance of the act
 Examine the employer/agent/servant

Case law

In M/s Mackinon Mackenzie & Co Ltd V. andrey D’Costa A female confidential

stenographer after the termination of her service filed a petition under equal remuneration
act complaining that during the period of the service she was paid remuneration at lesser
rates than those of male stenographers who were also performing same or similar work. It
 was held that in order to get relief under Section 4 of the act the employee should
establish that –
a. The remuneration paid by the employer whether payable in cash or kind.
b. Discrimination on the basis of sex for payment of wages.
c. for performing same work or work of a similar nature.

Whether the work is similar in nature as another work can be determined on three
considerations
1. The authority should take a broad view as also a broad approach should be adopted in
ascertaining whether any differences are of a practical nature.
2. Actual duties performed should be looked at and not those theoretically possible
3. Where both men and women work at inconvenient times there is no requirement that
all those who work at night shall be paid the same basic rate as those who work during
normal day shifts

It was urged on behalf of the management that difference between the remuneration of
male stenographers and confidential lady stenographers was on account of a settlement
arrived at after proper negotiation. It was that in view of section 3 of the act the
provisions of the Act shall have effect notwithstanding anything inconsistent therewith
contained in any other law in the terms of any award, agreement for a contract of service
whether made before or after the commencement of the act, or in any instrument having
effect under any law for the time being in force. Therefore the settlement must yield to
the provisions of the act.

It was also held that the Act does not permit the management to pay to a Section of it
employees doing the same work or work of a similar nature lesser pay because of its
financial position which does not permit payment of equal remuneration to all. The
applicability of the Act does not depend upon the financial ability of Management to pay
equal remuneration as provided by the Act.

Conclusion

The Equal Remuneration Act, 1976, helps in bridging the gap between unequal remuneration
faced by the women of our country. By the successful implementation of the Act, India is
moving closer to being a country, which treats its men and women equally.

11. Write a short note on International Labour Organization (ILO) Standards

ILO International Labour Standards (ILS) are legal instruments, drawn up by the ILO
constituents (governments, employers and workers), that set out basic principles and
rights at work. They are either Conventions, which are legally-binding international
treaties that may be ratified by ILO Member States, or Recommendations, which serve as
 non-binding guidelines. In many cases, a Convention lays down the basic principles to be
implemented by ratifying countries, while a related Recommendation can also be
autonomous (not linked to any Convention).

ILS are adopted at the International Labour Conference (ILC) and Member States are
required to submit them to their competent authority (normally the parliament) for
consideration. In the case of Conventions, this means consideration for ratification.
Ratifying countries commit to applying the Convention in national law and practice and to
reporting its application at regular intervals to the ILO regular supervisory system.
Representation and complaint procedures can be initiated against countries for violations of a
Convention they have ratified.

By the end of June 2018, the ILO had adopted 189 Conventions, 205 Recommendations and
6 Protocols covering a broad range of work issues. Areas covered by ILS include: basic
human rights, occupational safety and health, wages, working time, employment policy and
promotion, vocational guidance and training, skills development, specific categories of
workers, labour administration and inspection, maternity protection and social security,
indigenous and tribal people, and migrant workers.

The ILO Governing Body has identified the following eight Conventions as “fundamental”,

covering subjects that are considered as fundamental principles and rights at work:
Freedom of Association and Protection of the Right to Organise Convention, 1948 (No.
87); Right to Organise and Collective Bargaining Convention, 1949 (No. 98); Forced
Labour Convention, 1930 (No. 29); Abolition of Forced Labour Convention, 1957 (No.
105); Minimum Age Convention, 1973 (No. 138); Worst Forms of Child Labour
Convention, 1999 (No. 182); Equal Remuneration Convention, 1951 (No. 100); and
Discrimination (Employment and Occupation) Convention, 1958 (No. 111).

The principles of these Conventions are also covered in the ILO Declaration on
Fundamental Principles and Rights at Work (1998). In 1995, the ILO launched a
campaign to achieve universal ratification of these fundamental Conventions.

12. Explain the concept of Bonus. How is it calculated?

What is a bonus?
The bonus is a reward that is paid to an employee for his work dedication towards the
organization. The basic objective to give the bonus is to share the profit earned by the
organization amongst the employees and staff members.
What is Payment of Bonus Act?
In India, there is a principle law relating to the procedure of payment of bonus to the employees
and that law is named as Payment of Bonus Act, 1965.
The Payment of Bonus Act applies to every factory and establishment which employs not less
than 20 persons on any day during the accounting year. The establishments covered under the
Act shall continue to pay the bonus even if the no of employees falls below 20 subsequently.
Payment of bonus act applicability
The payment of bonus act applies to the whole of India. The Provision of this act applies to the
following factories/establishments / companies:-
 The factory defined under section 2 of the factories act 1948.
 Every establishment in which 20 or more persons employed on any day during an
accounting year.
 The act also applies to public sectors in some cases.
 Part-time employees also included.
When is the employee eligible for the bonus?
Section 8
Every employee will be entitled to be paid by his employer in an accounting year, bonus, in
accordance with the provisions of this Act, provided he has worked in the establishment for not
less than 30 working days in that year.
When an employee is not eligible for the statutory bonus but the company wants to share the
bonus, it can be given as ex-gratia.
It was held in Project Manager, Ahmedabad Project, O.N.G.C. Sabarmati v. Sham Kumar
Sahegal (Died) by his Legal Representatives, that when an employee is suspended, it cannot be
said that such an employee did not work for the establishment. The word “worked” in Section 8
of the Act should mean “ready and willing to work”. Therefore when an employee is prevented
from working by an overt act on the part of the employer is reinstated in service then the
reasonable inference is that the employees statutory eligibility for bonus within the meaning of
Section 8 of the Act cannot be said to have been lost. Nor can the employer refuse to accede to
the demand for such bonus if it is otherwise payable under the provisions of the Act

Section 9. Disqualification for bonus

Notwithstanding anything contained in this Act, an employee shall be disqualified from
receiving bonus under this Act, if he is dismissed from service for –
(a) fraud; or
(b) riotous or violent behaviour while on the premises of the establishment; or
(c) theft, misappropriation or sabotage of any property of the establishment.
In M/s.Sriram Bearings Ltd. V. The Presiding Officer, Labour Court, Ranchi & others, it was
held that the provisions of Section 9 of the Payment of Bonus Act cannot be given a restricted
meaning and the words “an employee shall be disqualified from receiving bonus under the Act”
cannot be read so as to mean that the employee shall be disqualified from receiving the bonus of
the accounting year only in which he is dismissed because such disqualification is dependent
only upon the order of dismissal from service. No such restriction in Section 9 has been put by
the Legislature. Therefore, if an employee is dismissed from services, he stands disqualified from
receiving any bonus under Act and not the bonus only of the accounting year.
Minimum Bonus
Previously, the maximum bonus payable was 20% of Rs 3500 per month. The minimum bonus
payment was capped at 8.33% of Rs 3500 per month or Rs 100, whichever is higher. The
calculation ceiling of Rs 3500 is currently doubled to Rs 7000 per month “or the minimum wage
for the scheduled employment, as fixed by the appropriate Government” (whichever is higher).
Therefore, the cost associated with bonus payments could be double, based on the organization’s
performance.
Calculation of Bonus as per Bonus Act (Amendment of 2015)
Section 12. Calculation of Bonus with respect to certain employees – Where the salary or wage
of an employee exceeds seven thousand rupees or the minimum wage of an employee exceeds
seven thousand rupees or the minimum wage for the scheduled employment, as fixed by the
appropriate Government, whichever is higher per mensem, the bonus payable to such employee
under Section 10 or, as the case may be, under section 11 shall be calculated as if his salary or
wages were seven thousand rupees or the minimum wage for the scheduled employment, as
fixed by the appropriate Government, whichever is higher per mensem.
If the gross earning of your employees is below Rs.21000 you are eligible to pay bonus.
Calculation of bonus will be as follows:
If Basic+DA is below Rs.7000 then the bonus will be calculated on the actual amount.
If Basic+DA is above Rs.7000 then the bonus will be calculated on Rs.7000.

13. Write essential features of contract labour (Abolition and Regulation) Act, 1970

Introduction-
The Contract Labour (Regulation and Abolition) Act has been enacted by the Indian Legislature
in the year 1970. The act intends to prohibit the employment of contract labour in certain
circumstances and to regulate the working conditions of contract labour during the employment.
The Act attempts to provide basic facilities to the employees and ensure they do enjoy certain
rights which are at par or equal to the benefits given directly to employees.
Purview and Extent of Contract Labour Act
The act is applicable to:

 every establishment in which twenty or more workmen are employed or were employed on
any day of the preceding twelve months as contract labour;
 every contractor who employs or who employed on any day of the preceding twelve months
twenty or more workmen.

Non- applicability:
 An establishment which performs an intermittent or casual nature of work. –
The appropriate Government shall decide upon the intermittent or casual nature of work after
consultation with the Central Board/ State Board.

Salient features-
Employees Entitlement

The Act covers every workman employed in or in association with any work of the
establishment. Irrespective of being hired by or through a contractor, with or without the
knowledge of the principal employer. However, It excludes any Individual employed in
managerial or administrative capacity, persons employed as supervisors and receiving wages
exceeding Rs 1600/- per month, and “out-workers” to whom materials are given for
manufacturing or processing at their own location.

Administrative Authority

The Act is administered by the Central and the State Governments in their respective
jurisdictions. Central and State Governments are required to setup Advisory Boards comprising
of representatives from the industry, contractor, workers and Government nominations. The
Advisory Board constituted by the respective Government advises on administration of the Act
along with performing other functions. Government also appoints Registration, Licensing and
Inspection Officer for implementation of the provisions under the Act.

Obligations of the Employers/Contractors: Contract Labour Act

Section 7 - Registration of certain establishments

Registration of Establishments

Employers should apply for the registration of the establishment with the Registration Officer, in
prescribed format along with the payment of registration fee. Certificate will be issued on
successful completion of the formalities.

Licensing of the Contractors

Section 12-14

Contractors need to apply for the License for employing Contract Labours, to the Licensing
Officer along with detailed description of the establishment location, nature of work, facilities
and amenities at work, etc. License will be issued on completion of investigation and payment of
License fee and Security Deposit as applicable.

License is required to be renewed from time to time.

Provisions At Work: Contract Labour Act

Contractor is required to extend following facilities to the Contract Labourers:

 Canteen facility wherein, more than 100 persons are employed as Contract Labours.
 Adequately ventilated rooms with sufficient lightings and proper resting environment, for
contract labourers who are required to stay overnight due to their nature of work.

 Elementary medical facilities should be available at workplace to handle any exigencies.

 Contractors are required to provide the facilities, in case the contractor fails to provide
then Principal Employer should provide the same and recover the expense from the
respective Contractor.

Payment of Wages: Contract Labour Act

Contractor is liable to make regular and timely payment of the wages to the hired labourers and
the principal employer should ensure that the payments are being made in accordance with the
laws. In case the Contractor fails to make the payment on time or makes short payment, the
Principal employer is liable to clear the outstanding payments and recover the same from the
contractor.

However, Principal Employer is not liable to pay the Gratuity and Bonus as it does not come
under the definition of Wages/Salary.
Maintenance of Records

Principal Employer and the Contractor should maintain the records of Contract Labour, nature of
work, wages paid, and other statutory details. The records should be produced by the
Establishment as well as Contractor whenever requested by the Registration or the Licensing
Officer. Workplace should clearly mention the hours of work, wage payment period in the
premises.

Rights of Employers/Contractors

 Employer/Contractor have the right to appeal against order passed by the

Registration/Licensing Officer to the Appellate Authority within 30 days.

 Right to be represented in the Central and State Advisory Boards.

Rights of Contract Labours

 Contract Labours have right to parity of pay, timely payments, basic amenities and proper
working conditions.

 Right to be represented in the Central and State Advisory Boards.

Offences and Penalties

Any violation of the provisions of the Act is punishable. The penalties range from fine to 3
months imprisonment, fine or both, depending on the level of offence.

14. Write a note on regulation of conditions of work of Children.

Introduction-

Children have been suffering from societal exploitation for a long time now. The increasing
rate of illiteracy, poverty, and lack of awareness in India is the main reason behind the same.
However, various social organizations have voiced their opinions time and again for
bringing necessary changes in the child labour act. These are expected to regulate the
working conditions of children.

Recommendations made by various committees such as the Gurupadaswamy Committee on

child labour, the National Commission on labour and Sarat Mehta Committee led to the
enactment of Child labour (Prohibition & Regulation) Act, 1986. This child labour
act brings the whole of India under its purview.

Child Labour Act

Part III of the Act containing Sections 6 to 13 deals with regulation of Conditions of work of
Children. The provisions of Part III shall apply to an establishment or class of establishments in
which none of the occupations or processes referred to Section 3 is carried on.

Section 7 – Period And Hours Of Work Under the Child Labour Act

 Children cannot be permitted to work in any establishment for more than what has been
prescribed for that class of establishment.

 They cannot be asked or permitted to work in between 7 p.m. and 8 a.m.

 Children need to take an hour rest before starting with three more hours of work.

 The child labour act has arranged the work period in such a manner that children won’t have
to spend more than six hours in the establishment comprising of his interval for rest.

 Children are not allowed to work overtime.

 Children cannot work in an establishment on a day when he had already worked in another
establishment.

Section 8 – Weekly Holidays

Children working in an establishment can enjoy a complete day off each week.

Section 13- Health & Safety

The appropriate government may issue a notification in the official gazette for making rules
pertaining to the safety and health of children who are employed in a particular establishment.

The above-mentioned rules might cover any one or all of the following matters:

 Disposal of effluents and waste

 Freedom from nuisance in the workplace

 Dust and fume

 Ventilation and temperature

 Lighting

 Latrine and urinals

 Artificial humidification
 Drinking water

 Work either at or near any machinery in motion

 Fencing of machinery

 Spittoons

 Device for cutting power supply

 Easing of new machinery

 Employing children for running dangerous machines

 Training and supervising children running dangerous machines

 Means of access like floor and stairs

 Self-acting machines

 Excessive weights

 Maintenance of buildings

 Protection of eyes

 Precautions on the occurrence of fire

 Sumps, pits, and floor openings

 Safety of buildings and machinery

 Inflammable dust, gas etc.

15. Write a note on the Advisory Boards under the Contract Labour (Regulation and
Abolition) Act, 1970

Sec 3: Central Advisory Board

 It shall consist of a chairman appointed by central government, the chief labour

commissioner and not more than 17 but not less than 11 members representing different
industries and contractors and workmen.
 The purpose of the board is will be to advise the central government on such matters
arising out of the administration of this act as the may be referred by the central
government to the central board.
 To carry out other functions assigned to it under the act
Section 4: State Advisory Board

It shall consist of a chairman appointed by the state government, the chief labour commissioner and
not more than 17 but not less than 11 members representing different industries and contractors and
workmen.

16. Define Contribution. Examine the law relating to contribution by the employer and
employees under the Employees Provident Fund Act, 1952.

“Contribution” means a contribution payable in respect of a member under a scheme or the

contribution payable in respect of an employee to whom the insurance Scheme applies – section 2
(c)

Contribution of Pf paid by employer & employee is 12% (basic pay + dearness allowance +
retaining allowance) Equal contribution is paid by the employer & employee. The establishment
which employees less than 20 people shall be restricted to contribute 10% for both employee &
employer contributions.
As per the rules, in EPF, employee whose pay is more than Rs 15000 per month at the time of
joining, is not eligible and is called non eligible employee. Employees drawing less than Rs
15000 per month have to mandatorily become members of the EPF.

• Contribution by employer and employee: the contribution paid by the employer is 12% of
basic wages plus dearness allowance plus retaining allowance. An equal contribution is payable
by the employee also.

Employees Provident Fund Act, 1952

Provident fund is a welfare scheme for the benefits of the employees. Under this scheme both the
employee & employer contribute their part but whole of the amount is deposited by the
employer. Employer deducted the employee share from the salary of the employee. The interest
earned on this investment is also credited in pf account of the employees. At the time of
retirement, the accumulated amount is given to the employees, if certain conditions are satisfied.

The object of the Employees' Provident Funds Act, is to provide for the institution of Provident
funds, Pension fund and deposit linked insurance funds for employees in factories and other
establishments. The principal duty is laid upon the employer to put the Provident Fund Scheme
into operation and to make contribution of both the employees' and employer's share to the fund
then and there and deduct the employees' share from their wages. The Act extends to the whole
of India. The Act and Scheme were enforced in the scheduled industries in November 1952.
There had been a persistent demand for extension of the Employees' Provident Funds Act to all
categories of industrial workers and the Planning Commission and Tripartite Consultative
Committees recommended for such extension. The Act was accordingly extended to many
additional industries so as to cover millions of employees.
Employees' Provident Funds (Amendment) Act, 1956 empowered the Government to extend the
Act to non-factory establishments. In view of the Amendment Act, 1976, this Act is now called
Employees' Provident Funds and Miscellaneous Provisions Act, 1952.

According to Section 1 (3) (a) this Act applies to every establishment which is a factory engaged
in any industry specified in Schedule I and in which twenty or more persons are employed.
According to Section 1 (3) (a) it shall also apply to any other establishment employing twenty or
more persons or class of such establishments which the Central Government may, by notification
in the Official Gazette, specify in this behalf.
In "Andhra University v. Regional Provident Fund Commissioner of Andhra Pradesh" AIR
1986 SC 463 it was observed that the Act is a beneficent piece of Social Welfare legislation
aimed at promoting and securing the well being of the employees and the Court will not adopt a
narrow interpretation which will have the effect of defeating the very object and purpose of the
Act. Once it is found that there is an establishment which is a `Factory' engaged in an `industry'
specified in Schedule I and employing 20 or more persons the provisions of the Act will get
attracted to the case and it makes no difference to this legal position that the establishment is run
by a larger organisation which may be carrying on other additional activities falling outside the
Act.

17. Discuss the mode of recovery of money due from the employer under the Employees
Provident Fund Act, 1952

Determination of money due

Section 7A vests the powers of determining the amount due from an employer under the
provisions of this Act and deciding the disputes regarding the applicability of this Act in the
Central Provident Fund Commissioner, Additional Provident Fund Commissioner, Deputy
Provident Fund Commissioner or Regional Provident Fund Commissioner. For this purpose,
he may conduct such inquiry as he may deem necessary.

The Central Government has already constituted Employees Provident Fund Appellate
Tribunal, consisting of a presiding officer who is qualified to be a High Court Judge or a
District Judge with effect from 1st July, 1997 in accordance with the provisions of Section
7D. The term service conditions and appointment of supporting staff are governed by
Sections 7E to 7H. Any person aggrieved by order/notification issued by Central
government/ Authority under sec 1(3), 1(4), 3, 7(A)(1), 7C, 14B or 7B (except an order
rejecting an application for review) may prefer an appeal. The tribunal shall prescribe its
own procedure and have all the powers vested in officers under section 7A.

The proceedings before the tribunal shall be deemed to be a judicial proceeding within the
meaning of Sections 193 and 228 and for Section 196 of the Indian Penal Code and Civil
 Procedure Code, 1908, it shall be deemed to be a Civil Court for all purposes of Section 195
and Chapter XXVI of Civil Procedure Code. The appellant can take assistance of legal
practitioner and the Government shall appoint a presenting officer to represent it. Any order
made by the tribunal finally disposing of the appeal cannot be questioned in any court.

Mode of recovery of money due from employers-

Sec 8 prescribes the mode of recovery of money due from employers by the Central Provident Fund
Commissioner or such officer as may be authorized by him by notification in the official Gazette in
this behalf in the same manner as an arrear of land revenue. Recovery of arrears of Provident Fund
cannot be affected from un-utilised part cash-credit of an industrial establishment.

Measures for recovery of amount due from an employer-

The authorized officer under this act shall issue a certificate for recovery of amount due from
employer to the recovery officer. The recovery officer has got the powers to attach/sell the property
of the employer call for arrest and detention of the employer, etc. for effecting recovery. The
employer cannot challenge the validity of the certificate. The authorized officer can grant time to the
employer to make the payment of dues.

The Central Provident Fund Commissioner may require any person, from whom the amount is due
to the employer, to pay directly to the Central Provident Fund Commissioner/Officer so authorized
and the same will be treated as discharge of his liability to the employer to the extent of the amount
so paid (Sec 8b to 8G)

Priority of payment of contributions over debts-

Sec 11 of the act provides that the contribution towards the Provident Fund shall rank prior to other
payments in the event of employer being adjudicated insolvent or where it is a company on which
order of winding up has been made. The amount shall include:

a) The amount due from the employer in relation to an establishment to which any scheme or
Insurance Scheme applies in respect of any contribution payable to the fund, or the
insurance, damages recoverable under sec 14B, accumulations required to be transferred
under sub-section (2) of Section 15 or any charges payable by him under any other
provisions of this Act or any provision under the Scheme or the insurance scheme; or

b) The amount due from employer in relation to an exempted establishment in respect of any
contribution to the Provident Fund or any insurance Fund or any contribution payable by
him towards the Pension fund under sub-section (6) of section 17, damages recoverable
 under section 13B or any charges payable by him to the appropriate govt under any
provisions of this act or under any of the conditions specified under section17.

Object and Scope of maternity benefit act ( case- AIR INDIA V NARGESH
MEERZA)

18. Define the important terms as per the provisions of the Unorganised Worker's
Sociai Security Act, 2008

Introduction-

In India, mostly all the social security legislations and the schemes fail to address unorganised
sector workers and thus exclude them and their problems. This is a harsh truth for the nation as
more than 90% of the total work force falls under unorganised sector. These unorganised sector
workers are compelled to spend out of their meagre incomes for all contingencies and remain
helpless in their old age. These workers face serious problems which range from the uncertainty
of employment to hazardous conditions at work. This led to the need for specific legislation of
social security for unorganised workers who are poor and vulnerable and are in dire need of
welfare programs.

In light of this, Unorganised Workers’ Social Security Act 2008 was enacted to provide social
security and welfare to unorganised sector. The act got President assent on 30 December 2008.
This act is crucial for India as it is the first time the term unorganized workers is defined thereby
identifying them in the eyes of law. The Act enlist various welfare schemes under which workers
can get some protection and allows for registration of unorganized workers and it empowers
Governments at Central and State levels for framing the rules.

The prime objective behind the Act was to provide social security and welfare of the
unorganized workers and all matters that is in connection with it. It defines unorganised worker
as –self- employed worker, home- based worker, or a wage worker in the unorganized sector and
also includes a worker in the organized sector who is not covered by any of the Acts mentioned
in Schedule II to this Act.

The Act defines ‘unorganised worker’ as a home-based worker, self-employed worker or wage
worker in the unorganised sector, and includes a worker in the organised sector not covered by
the Workmen’s Compensation Act, 1923, the Industrial Disputes Act, 1947, the Employee’s
State Insurance Act, 1948, the Employees’ Provident Funds and Miscellaneous Provisions Act,
1952, the Maternity Benefit Act, 1961, and the Payment of Gratuity Act, 1972. Thus, casual and
contract workers in the organised sector are excluded from the Act, as they are covered by
certain Acts specified in the Schedule.
Further, ‘home-based worker’ means a person engaged in the production of goods and services
for an employer in his own home or other premises, other than the workplace of the employer,
for remuneration, irrespective of whether or not the employer provides the equipment, materials
or other inputs.

‘Self-employed worker’ means any person not employed by an employer, but engaged in an
occupation in the unorganised sector subject to a monthly earning of an amount notified by the
Central or the State Government from time to time, or holds cultivable land subject to a ceiling
notified by the State Government.

‘Wage worker’ means a person engaged in the unorganised sector for remuneration, directly by
an employer or through a contractor, irrespective of the place of work, whether exclusively for
one employer or one or more

employers, whether as a home-based worker, or as a temporary or casual worker, or as a migrant

worker, or workers employed by households including domestic workers, with a monthly wage.

‘Unorganised sector’ means an enterprise owned by individuals or self-employed workers and

engaged in the production or sale of goods or providing service of any kind whatsoever, and
where the enterprise employs workers, the number of such workers is less than ten, implying that
workers employed in an entity employing ten or more workers are not entitled to benefits
available under the Act.

Conclusion

The act aims at imparting social security to unorganized workers and place them in a better
position turning away from all miseries and crisis. But, there is a dire need of removing the flaws
and ambiguities of the legislation as it is the principal law with regard to unorganised sector. The
terms Social Security and Family must be defined so that worker and his family can get benefits
that are covered by the ILO Convention on minimum standards .There is a need to spell out
legislative policy and intent of act.

19. Decent work agenda of ILO

20. Discuss the amendments brought through the Child Labour (Prohibition and
Regulation) Amendment Act, 2016

The central legislature of India had promulgated a legislation Child and Adolescent Labour
(Prohibition and Regulation) Act, 1986 ("CL Act") to regulate the child labour practices in India.

The central legislature has made substantial changes in the provisions of the CL Act in the year
2016 and the said amendments have been made effective from July 30, 2016.

Pursuant to the said amendment the name of the CL Act has been changed to 'Child and
Adolescent Labour (Prohibition and Regulation) Act, 1986'.
A complete prohibition has been imposed on employment of child labour (i.e. a person below the
age of 14 years) in any establishment whether hazardous or not.

A child is permitted to work only to help family, in family enterprise or as child artist after
school hours or during vacations.

The amendment has introduced the concept of adolescent labour for the first time. An adolescent
has been defined as a person between the ages of 14-18 years

The amendment permits employment of adolescent labour except in hazardous processes or

occupation. The number of hazardous occupations and processes has been reduced from 83 to
only 3.

The offences under the Act have now been made compoundable and cognizable notwithstanding
the provisions of the Criminal Procedure Code.

The CL Act provides for rehabilitation of children and adolescent who have been victims under
the provisions of the CL Act. It provides for setting up of the Child and Adolescent Labour
Rehabilitation Fund in which all the amounts of penalty have to be realised.

Liability has been affixed upon the parents and guardian of the affected child/children separately
from the employers.

The Act provides for increased penalty and imprisonment which shall not be less than 6 months
and may extend upto 2 years and fine which may vary between Rs.20,000 to Rs. 50,000.
Previously, the violations under the CL Act were punishable with imprisonment of not less than
three months which could extend to one year or/and with fine of ten thousand rupees which
could extend to twenty thousand rupees.

Conclusion-

While the new amendments appear to be progressive in nature but they have down side also. the
list of hazardous industries has been drastically decreased, this may allow the employers in
industries like chemical mixing units, cotton farms, battery recycling units, and brick kilns etc.
(which are actually hazardous) to employ adolescent labour, which they may even get at a much
cheaper price.

It is therefore more important now for the government to keep a check on the working conditions
for adolescent labour as well as the working conditions for children in family run businesses.

21. Objectives of Maternity Benefit Act, 1961 and its application

Objectives-
 The Act regulates employment of woman in certain establishments for a
certain period before and after child birth.
  To provide for maternity benefits including maternity leave, wages, bonus,
nursing breaks etc.

 To protect the dignity of motherhood and dignity of new person being born
by providing full and healthy maintenance of women and her child at this
important time when she is not working.

Applicability

Upon reading Section 2 along with Section 3 (e) of Maternity Benefits Act, 1961 (“Act”), it can
be safely concluded that the Act is applicable to establishments such as factories, (“factory” as
defined in the Factories Act, 1948), mines (“mine” as defined in the Mines Act, 1952) and
plantations (“plantation” means a plantation as defined in the Plantations Labour Act,1951).

The Maternity Benefit Act also applies to establishments belonging to Government and
establishments wherein persons are employed for the exhibition of equestrian, acrobatic and
other performances as per section 2(b).

The said Act is also applicable to every shop or establishment defined under law, wherein ten or
more persons are employed on a day during the preceding twelve months and which is applicable
in relation to shops and establishments in a particular state.

Further, as per the proviso of Section 2 of the Maternity Benefit Act, the State Government may,
subject to obtaining approval from the Central Government, declare that the provisions of Act be
applicable to any other establishment or class of establishments which are either carrying out
industrial, commercial or agricultural activities or otherwise any other activity.

It may be noted that the provisions contained in this Act, save as otherwise provided in sections
5A and 5B, shall not be attracted to any factory or other establishments to which the provisions
of the Employees’ State Insurance Act, 1948, as per Section 2(2) of the Act. Further, as
per Section 26 of the Act, the appropriate Government has the power to exempt through a
notification, an establishment, from the ambit of the Act subject to the conditions laid down in
Section 26.

Municipal Corporation of Delhi v. Female Workers[1]: It was held by the court that it is
unlawful to impel a women employee to do heavy work during her advanced pregnancy as it can
be deleterious for both the foetus and the mother.

Air India v. Nergesh Meerza[2] : Under the termination and retirement policy of Air India
Corporation (AIC) one of the mandatory conditions was that – on the first pregnancy the women
employee will be terminated which was held to be violative of Article 14,15 and 16 of the
Constitution Of India.
Shah vs. Presiding Officer, Labour Court, Coimbatore and others[3]: The question before the
court was that whether Sundays are to be included in calculating the maternity benefits of the
women. The court held that- In order to enable the woman worker to subsist during this period
and to preserve her health, the law makes a provision for maternity benefit so that the woman can
play her productive and reproductive roles efficiently.