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Todays agenda
Importance Object of the Act Scope and Application Definitions Submission of Draft Standing Orders Certification of Standing Orders Appeal Interpretation of Standing Orders Penalty

Importa nce
No uniform practice governing the conditions of service of workers No clarity of rights and obligations of the employer In respect of terms of employment, friction/dispute between management and worker Demand for statutory service conditions raised by Bombay Cotton Textile workers in 1927-28 The Bombay Industrial Disputes Act of 1938 for the first time provided for statutory standing

Object of the Act

To require employers to define the conditions of work To bring about uniformity in terms and conditions of employment To minimize industrial conflicts To foster harmonious relations between employers and employees.

Scope & Application

Extends to the whole of India To every establishment wherein 100 workmen or more are employed Once applicable to the establishment then it continuous if the number of workmen employed are reduced to less than 100 The appropriate Govt. can exempt any establishment from any of the provisions of the Act

Scope & Application cont.

It applies to railways, factories, mines, quarries, oil-fields, tramways, motor services, docks, plantations, workshops, civil construction and maintenance works. The Act has 15 sections and a schedule. It applies to all the skilled or unskilled, manual, supervisory, technical, clerical work. The apprentices / trainees are also included. The persons employed mainly in a managerial/ administrative/ supervisory personnel are not

Definiti ons
Appellate authority: Authority appointed by the
government by notification in the official gazette to exercise the functions specified

Government: Government.




Means Labour Commissioner/Regional Labour Commissioner and includes any other officer appointed by the appropriate Government, by notification in the Official Gazette to perform such duties.


Industrial Establishment
A factory defined in Section-2 (m) of the Factories Act, 1948 A railway defined in Railways Act, 1939 Establishment defined in the Payment of Wages Act, 1936

Standing Orders
The term Standing Orders means rules relating to matters set out in the Schedule of

Schedu le
Classification of the workmen : temporary, casual / permanent, apprentices. Manner of intimating the required information to workmen [work hrs., pay days, etc.] Shift working Attendance and late coming Conditions of, procedure in applying for, and the authority which may grant leave and holidays Requirements to enter premises by certain gates and liability to search Closing and reopening of sections of the establishments, temporary stoppages Suspension or dismissal for misconduct

Submission of Draft Standing Orders

Once the staff strength of the establishment crosses 100, the firm is covered under this act naturally, hence within 6 months from the date on which this act becomes applicable, the employer shall submit 5 draft copies of the standing orders to the certifying officer Draft has to enclose the prescribed particulars of the workmen, the status and name of the trade unions. It has to take all matters set out in the

Procedure for Certification of Standing Orders

Copy of draft standing orders to be sent to trade union/workmen Opportunity of hearing to trade union/workmen to be provided Certification Certified standing orders have the force of law and the violation of any provision shall be taken action

Standing orders to be applicable to all present

Conditions for certification of Standing Orders

Must compile as per the Model Standing Orders

Fairness of the provisions shall be verified by the Certifying Officer

Any employer, workman, trade union aggrieved by the order of the certifying officer may, with in 30 days from the date on which copies of the proposed standing orders sent to the certifying authority for further amendments.

Date of Operation of the Act

On the expiry of 30 days of the certification given by certifying officer or after the expiry of 7 days of the decision given by


Register of standing order: A copy of standing orders certified shall be filed by the certified officer in a prescribed format.
Posting of standing order: the certified standing orders are to be posted in English as well as in a language understood by majority of employees


The finally certified standing orders will not be liable to modification until the expiry of 6 months from the date the standing orders or the last modifications there of came into operation

Payment of Subsistence Allowance

Payment of subsistence allowance by an employer to a workman who has been suspended by the employer and his investigation is pending The allowance shall be at the rate of 50% of the wage for the first 90 days of suspension

The allowance shall be 75% of the wage after 90 days if the investigation is delayed due to employer

Enforcement of the Act

Powers of certifying officers and appellate authorities: Shall have all the powers of a civil court for the purpose of
Receiving evidence
administering oaths enforcing the attendance of witnesses Compelling the discovery and production of documents

Enforcement of the Act Cont

Corrections in clerical and mathematical mistakes made by certifying officer can be done at any time
Changes in order is not accepted in oral Any questions arising with regard to application or interpretation of standing order can be taken to labor courts or appropriate government

Any employer fails to submit draft standing orders or modifies it, shall be punishable with fine which may extend to Rs. 5000/-. In case of continuance of the above offence, fine up to Rs.200/- per every day.
Any contravention of Standing Orders is punishable by Rs. 100/- fine .