Employee Welfare

Employee welfare means “the efforts to make life worth living for workmen.” According to Todd

“employee welfare means anything done for the comfort and improvement, intellectual or social, of the employees over and above the wages paid

which is not a necessity of the industry.”

Features Of Employee Welfare* Employee welfare is a comprehensive term

including various services, facilities and amenities provided to employees for their betterment.

* The basic purpose in to improve the lot of the working class.

* Employee welfare is a dynamic concept.* Employee welfare measures are also known as

fringe benefits and services.* Welfare measures may be both voluntary and

statutory.

Objectives of Employee WelfareEmployee welfare is in the interest of the

employee, the employer and the society as a whole. The objectives of employee welfare are: -

* It helps to improve.* It improves the loyalty and morale of the

employees.* It reduces labor turnover and absenteeism.* Welfare measures help to improve the goodwill

and public image of the enterprise.* It helps to improve industrial relations and

industrial peace.* It helps to improve employee productivity

Agencies Of Employee Welfare 1. Central government: - The central government has made

elaborate provisions for the health, safety and welfare under Factories Act 1948, and Mines Act 1952. These acts provide for canteens, crèches, rest rooms, shelters etc.

2. State government: - Government in different states and Union Territories provide welfare facilities to workers. State government prescribes rules for the welfare of the workers and ensures compliance with the provisions under various labor laws.

3. Employers: - Employers in India in general looked upon welfare work as fruitless and barren though some of them indeed had done pioneering work.

4. Trade unions: - In India, trade unions have done little for the welfare of workers. But few sound and strong unions have been the pioneering in this respect. E.g. the Ahmedabad textiles labor association and the Mazdoor sabha, Kanpur.

5. Other agencies: - Some philanthropic, charitable d social service organizations like: - Seva Sadan society, Y.M.C.A., etc.

Types Of Welfare Services* Intramural: - These are provided within the

organization like:1. Canteen,

2. Rest rooms,3. Crèches,4. Uniform etc.

* Extramural: - These are provided outside the organization, like: -

1. Housing,2. Education,3. Child welfare,4. Leave travel facilities,5. Interest free loans,6. Workers cooperative stores,7. Vocational guidance etc.

LABOUR WELFARE IS ALSO DIVIDED AS:

> Statutory welfare work comprising the legal provisions in various pieces of labor legislation.

> Voluntary welfare work includes those activities which are undertaken by employers for their voluntary work.

Different ways of Social Security Provision in India 1. Social Insurance- common fund is established with periodical

contribution from workers out of which all benefits in terms of cash or kind are paid.The employers & state prove major portion of finances.Benifits shuch as PF, Group Insurance etc are offered.

2. Social Assistance- Benefits are offered to persons of small means by govt out of its general revenues. Eg- Old age pension

SOCIAL SECURITY IN INDIA - Medical care - Sickness benefit in cash - Old age pension or retirement benefit - Invalidity pension - Maternity benefit - Accident benefit - Survivor’s benefit

Art 41 0f Indian constitution says that “ the state shall within the limits of its economic capacity & develeopment, make effective provision for security , the right to work, to education & to public assistance in cases of unemployment, oldage, sickness & disablement & in other cases of undeserved want”

PHILOSOPHY OF LABOUR WELFARE ACTIVITIES The philosophy of labour welfare activities is

based on the theory that success of industrial development depends upon harmonious relations and co-operation between labour and management (employer ). The labour has a fund of knowledge and experience at his jobs. If rightly directed and fully used, it would make a good contribution to the prosperity of the organization this can be achieved only through the satisfaction of the labour.

THEORIES OF LABOUR WELFARE The Police Theory: This is based on the

contention that a minimum standard of welfare is necessary for labourers. Here the assumption is that without policing, that is, without compulsion, employers do not provide even the minimum facilities for workers

The Religious Theory: This is based on the concept that man is essentially "a religious animal."

The Philanthropic Theory: This theory is based on man's love for mankind. Philanthropy means "Loving mankind."

The Trusteeship TheoryThis is also called the Paternalistic Theory of

Labour Welfare. According to this the industrialist or employer holds the total industrial estate, properties, and profits accruing from them in a trust.

The Placating Theory:According to this theory, timely and

periodical acts of labour welfare can appease the workers. They are some kind of pacifiers which come with a friendly gesture

The Public Relation Theory: This theory provides the basis for an atmosphere of goodwill between labour and management, and also between management and the public, labour welfare programmes under this theory, work as a sort of an advertisement and help an organization to project its good image and build up and promote good and healthy public relations. The Functional TheoryThis is also called the Efficiency Theory. Here, welfare work is used as a means to secure, preserve and develop the efficiency and productivity of labour, It is obvious that if an employer takes good care of his workers, they will tend to become more efficient and will thereby step up production.

PRINCIPLES FOR SUCCESSFUL IMPLEMENTATION OF WELFARE ACTIVITIES Adequacy of Wages: Labour welfare measures

cannot be a substitute for wages.A combination of social welfare, emotional welfare and economic welfare together would achieve good results. Social Liability of Industry: Industry, according to this principle, has an obligation or duty towards its employees to look after their welfare

Impact on Efficiency: This plays an important role in welfare services, and is based on the relationship between welfare and efficiency, though it is difficult to measure this relationship.

Increase in Personality: The development of the human personality is given here as the goal of industrial welfare which, according to this principle, should counteract the baneful effects of the industrial system

Totality of Welfare: This emphasizes that the concept of labour welfare must spread throughout the hierarchy of an organization. Employees at all levels must accept this total concept of labour welfare programme will never really get off the ground.

Co-ordination or Integration: This plays an important role in the success of welfare services. From this angle, a co-ordinated approach will promote a healthy development of the worker in his work, home and community. This is essential for the sake of harmony and continuity in labour welfare services. Democratic Values: The co-operation of the worker is the basis of this principle. Consultation with, and the agreement of workers in, the formulation and implementation of labour welfare services are very necessary for their success.

Responsibility: This recognizes the fact that both employers and workers are responsible for labour welfare. Trade unions, too, are involved in these programmes in healthy manner, for basically labour welfare belongs to the domain of trade union activity

Accountability: This may also be called the Principle of Evaluation. Here, one responsible person gives an assessment or evaluation of existing welfare services on a periodical basis to a higher authority

Timely: The timeliness of any service helps in its success. To identify the labour problem and to discover what kind of help is necessary to solve it and when to provide this help are all very necessary in planning labour welfare programmes.

ROLE OF MANAGEMENT IN EMPLOYEE WELFARE Organizations provide welfare facilities to their employees to keep

their motivation levels high. The employee welfare schemes can be classified into two categories viz. statutory and non-statutory welfare schemes.

The statutory schemes are those schemes that are compulsory to provide by an organization as compliance to the laws governing employee health and safety. These include provisions provided in industrial acts like Factories Act 1948, Dock Workers Act (safety, health and welfare) 1986, Mines Act 1962.

The non statutory schemes differ from organization to organization and from industry to industry

STATUTORY WELFARE SCHEMES

The statutory welfare schemes include the following provisions:Drinking Water

Facilities for sitting First aid appliances Latrines and Urinals Canteen facilities Spittoons Lighting NON STATUTORY SCHEMES

Personal Health Care (Regular medical check-ups): Some of the companies provide the facility for extensive health check-up

Flexi-time: The main objective of the flextime policy is to provide opportunity to employees to work with flexible working schedules

Employee Assistance Programs: Various assistant programs are arranged like external counseling service so that employees or members of their immediate family can get counseling on various matters.

Harassment Policy: To protect an employee from harassments of any kind, guidelines are provided for proper action and also for protecting the aggrieved employee.

Maternity & Adoption Leave – Employees can avail maternity or adoption leaves. Paternity leave policies have also been introduced by various companies.

Medi-claim Insurance Scheme: This insurance scheme provides adequate insurance coverage of employees for expenses related to hospitalization due to illness, disease or injury or pregnancy.

Employee Referral Scheme: In several companies employee referral scheme is implemented to encourage employees to refer friends and relatives for employment in the organization.

ROLE OF TRADE UNIONS IN EMPLOYEE WELFARE 1.Service role

-Trade unions attempt to develop services which are valuable to their members as individuals, outside of the scope of collective bargaining. -In many instances, trade unions negotiate pensions for workers. -Trade unions have been able to offer professional, advisory and management services to assist in establishing businesses for the workers, and in some cases, trade unions have actually become shareholders in the business. -Trade unions also supply legal and medical services for their members.

2. Enhancement roleTrade unions provide the opportunity for workers to develop pride in themselves, to reach positions of leadership and to excel, where without this vehicle of mobility.

3. Welfare roleSome trade unions have actively engaged in providing welfare services for members and even for the wider community. Eg- the employment of those who have disabilities, the provision of family services including baby creches, as well as play and recreational centres in depressed areas.

IMPACT OF WELFARE ON LABOUR PRODUCTIVITY The welfare measures aim at integrating the socio-psychological

needs of employees, the unique requirements of a particular technology, the structure and processes of the organization and the existing socio-cultural environment.

It creates a culture of work commitment in organizations and society which ensure higher productivity and greater job satisfaction to the employees.

Due to the welfare measures, the employees feel that the management is interested in taking care of the employees that result in the sincerity, commitment and loyalty of the employees towards the organization.

The employees work with full enthusiasm and energetic behavior which results in the increase in production and ultimately the increased profit.

SOCIAL SECURITY Social security primarily refers to a social insurance program

providing social protection, or protection against socially recognized conditions, including poverty, old age, disability, unemployment and others. Social security may refer to:

social insurance, where people receive benefits or services in recognition of contributions to an insurance scheme. These services typically include provision for retirement pensions, disability insurance, survivor benefits and unemployment insurance.

income maintenance—mainly the distribution of cash in the event of interruption of employment, including retirement, disability and unemployment

ILO ILO was setup in 1919 as a part of League of Nations for the

promotion of universal peace through social justice. Important areas of ILO activities & field operations - Manpower orgn & vocational training - Migrant workers- need to promote equality of migrant workers

in all social & labour matters. -Women workers- protection - Child workers- against exploitation - Social Security -Conditions of work -Health , safety & welfare

ILO’S WELFARE WORK ILO has suggested welfare funds on a collective basis to finance

activities in small undertakings. It has adopted a number of convections & recommendations

regarding industrial accidents & occupational health. New dimension to welfare activities has been provided by ILO’s

contribution to family welfare & population education prog among industrial workers in organised sector in India

It has rendered exemplary service to all 3 elements composing it – govt, employees & workers.

It has greatly influenced labour legislation, labour welfare , trade unionism & Industrial Relations in India.

WORKMEN’S COMPENSATION ACT Object of the Act To impose an obligation upon employers to pay compensation to

workers for accidents arising out of & in course of employment. The scheme of the Act is not to compensate the workman in lieu of wages, but to pay compensation for the injury caused.

Applicability The act extends to whole of India and applies to any person who is

employed, otherwise than in clerical capacity, in railways, factories, mines, plantataions, mechanically propelled vehicles, loading and unloading work on a ship, construction, maintenance and repairs of roads and bridges, electricity generatin, cinemas, etc…

In order to be a “work man” within the meaning of Sec 2(1)(n) of the act, firstly a person should be employed, secondly his employment should not be of a casual nature, thirdly, he should be employed for the purposes of the employer’s trade or business, and lastly the capacity in which he works should not be one set out in Sch II of the Act.

Payment of Compensation The compensation has to be paid by employer to a workman for

any personal injury caused by an accident arising out of and in the cause of employment.(sec3)

In Sch 1 to the Act, the percentage loss of earning capacity or disablement caused by different types of injuries has been listed.

.However the employer will not be liable for pay compensation for any kind of disablement ( except death) which does not continue for more than 3 days , if the injury is caused when the workman was under the influence of drink, or drugs or willfully disobeyed a clear order or violated a rule expressly framed for the purpose of security of workmen or willfully removed or disregarded a safety device.

A workman is not entitled for compensation, if he does not present himself for medical examination when required or if he fails to take proper medical treatment which aggravates injury or device.

Incase it is not fatal, an employment injury may cause any injury resulting in (1) permanent total disablement.(2) permanent partial disablement 93) temporary disablement.

The rate of compensation in case of death is an amount equal to 50% of monthly wages of the deceased workman multiplied by the relevant factor or Rs 80,000 whichever is more.

While permanent total disablement results from the injury, the compensation will be an amount equal to 60 % of monthly wages of the injured workman multiplied by the relevant factor or Rs 90,000 whichever is more.

Where the monthly wages of a workman exceed Rs 4000, his monthly wages will be deemed to be Rs 4000 only.

The ceiling of maximum amount of compensation is Rs 4.56 lakh in the case of death & Rs 5.48 lakh for permanent total disablement.

Where partial disablement results from the injury, as specified by partII of

Sch I , such percentage of compensation which would have been payable in the case of permanent total disablement as is specified therein as being the percentage loss of earning capacity caused by that injury.

The percentage loss of earning cpacity depends on the loss of limbs and varies from 1 % to 90%. In case of an injury not specified in Sch I, such percentage of compensation payable in the case of permanent total disablement as proportionate to the loss of earning capacity permanently caused by the injury.

When more injuries than one are caused by the same accident, the amount of compensation payable under this head shall be aggregated but not so in any case as to exceed the mount which would have been payable if permanent total disablement had resulted from injuries.

In case of temporary disablement , a half-monthly payment of the sum equivalent to 25% of monthly wages of the workman has to be paid

In cases, where the disablement is 28 days or more, compensation is payable from the date of disablement.

In other cases , the same is payable after the expiry of a waiting period of 3 days.

There after, the compensation will be payable half-monthly during the disablement or during a period of 5 yrs which ever period is shorter.

There is also a provision for commutation of half-monthly payments to a lump sum amount by agreement between the parties or by an application by either party to the commissioner if the payment continue for not less than 6 months.

Deduction can be made from any lump sum or half-monthly payments to which the workman is entitled the amount of any payment or allowance which the workman has received from the employer by way of compensation during the period of disablement prior to the receipt of such lump sum or of the first half monthly payment, as the case may be.

It is provided that all cases of fatal accidents should be brought to the notice of the commissioner for workmen’s compensation and incase the employer admits the liability , the amount of compensation payable will be deposited with him.

Where the employer disclaims the liability for compensation to the extent claimed, he has to make provisional payment based on the extent of liability which he accepts & such payments must be deposited with the commissioner or to be paid to the workman as the case may be.

In such cases, the commissioner may, after such enquiry as he thinks fit, inform the dependants that it is open to them to prefer a claim & may give such other information as he thinks fit.

Advances by the employer’s against compensation are permitted to the extent of an amount equal to 3 months wages.

Commissioner is also empowered to deduct an amount not exceeding Rs 100 from the amount of compensation in order to identify the person who incurred funeral expenses.

Employer is also required to file annual return giving details of the compensation paid, number of injuries & other particulars.

Amount deposited with the commissioner for workmen’s compensation is payable to the dependents of the workmen.

For purposes of the act dependants are grouped as 1) those who are considered as dependants without any proof 2) those who must prove that they are dependants.

The first group includes a widow, minor legitimate son, an unmarried legitimate daughter or a widowed mother.

Following are included in the second group if they were wholly or partially dependant on the earnings of the worker at the time of his/her death.

A widower, a parent other than a widowed mother, a minor

illegitimate on, an unmarried illegitimate daughter etc….. If the employer is in default in paying the compensation within

one month from the date it fell due, the commissioner may direct for recovery of not only the amount of arrears but also a simple interest @ 6% per annum of the amount due.

If the workman gets any occupational disease peculiar to that employment , that would be deemed to be an injury by accident arising out of & in the cause of his employment for purposes of this act.

In the case of occupational diseases, the compensation will be payable only if the workman has been in the service of the employer for more than 6 months

ESI ACT -1948 Object of the act: To provide for certain benefits to employees in case of sickness,

maternity and injury during employment and to make provision for certain other matters in relation thereto

Applicability of the Act: All factories Shops employing 20 or more persons. Such other Govt. specified establishments.

Act does not apply to: Mines Railway running sheds Govt. factories or establishments and Indian naval, military, or

air force Other Govt. notified exempted establishments

ACT AUTHORISATION 1.  To Promote and measure for health and welfare of INSURED

EMPLOYEES (IE) 2.  Intervene for the rehabilitation and re-employment for

disabled / injured 3.   To appoint inspectors for purposed of the act 4.  To determine the amount of contribution and relevant

verification Standing committee empowered to-

1.  Shall administer the affair of the corporation 2.  Shall submit the consideration and decision of the corporations 3.  Have discretion on other issues of corporation

Medical Benefit Council 1.  Advise to administration on Medical Benefit, purpose of grants

and related matter 2.  Have power and duties of  INVESTIGATION on Empanelled

Medical practitioner, its treatment and attendance 3.  Perform other duties

Inspectors- Duties- Powers Duties  - 1.  Inquiring into the correctness in any return of contribution 2. Ascertaining Provision of the Act has been complied 3. Other authorized / specified duties by the corporation. Powers - 1. To collect require and relevant information of employer /

contractor or both 2. To enter org / contractor premises at reasonable time and

examined relevant account books and relevant documents, payment of wages etc.

3. To examine employer, contractor, his agent  / servant or IE in factory / office

4.  To  make copies of extracts from any registrar, account books and other books of maintenance of org.

Employer/ Employee’s Contribution It is the principle employer’s responsibility to deposit his own as

well as employee’s contribution in respect of all employees including the contract labour, into the E.S.I. Account. Non-availability of funds cannot be a ground for non-payment of contributions under the act. There is no provision to waive the contribution, damages and interest

The employer is required to contribute at the rate of 4.75% of the wages paid/ payable in respect of every wage period. The employees are also required to contribute at the rate of 1.75% of their wages except when the “average daily wages in a wage period” are equal to or less than Rs.40. Benefits available to insured employee

The purpose of the Employee State Insurance Act is to provide benefits as detailed in the Act particularly in section 46, to the insured persons or their dependants.

Sickness benefit Maternity benefit Disablement benefit Dependents benefit Medical benefit & Funeral expenses

Sickness benefit -Every insured employee is entitled to the cash benefit for the period of sickness certified by a duly appointed medical practitioner if the contributions in respect of him were payable for not less than 78 days in the corresponding contribution period. Cash benefit takes the form of periodical payment made to an

insured person which is payable for maximum numbers of 91 days in any two consecutive benefit periods. The benefit is not paid for the first two days of sickness which is treated as the waiting period.

Insured persons suffering from long term diseases like T.B., leprosy, mental, heart etc. and who have been continuous employment for two years are entitled to get sickness benefit period up to 309 days.

Maternity benefit -A periodical cash benefit is payable to an insured woman employee, in cash of confinement, miscarriage, medical termination of pregnancy, premature birth of a child or sickness arising from pregnancy etc. If the contributions in respect of her were payable for at least 70days in the two immediately preceding contribution periods

The benefit is payable of twice the standard benefit rate or Rs.20, whichever is higher for all days on which she does not work during the prescribed period

Disablement benefit - It is payable to an employee who is injured in the course of his

employment and is permanently or temporarily disabled or contacts any occupational disease.

A person who sustains temporary disablement for not less than 3days(excluding the day of accident) shall be entitled to periodical payment as may be prescribed by the central govt.

The benefit of temporary disablement is, however, not payable for any day on which the employee works, remains on lease, holiday or strike in respect of which he receives wages.

Dependents benefit If any employee dies during any period for which he is entitled

to a cash benefit, the amount of such benefit shall be payable up to & including the day of his death.

The amount of benefit shall be paid to the nominee or, where there is no nomination, to the heir or legal representative of the deceased employee.

Dependents benefit If any employee dies during any period for which he is entitled to

a cash benefit, the amount of such benefit shall be payable up to & including the day of his death. The amount of benefit shall be paid to the nominee or, where there is no nomination, to the heir or legal representative of the deceased employee.

Funeral Expenses If an insured employee dies, the eldest serving member of his

family is entitled to reimbursement of such expenditure subject to maximum of Rs.2500 (W.E.F. December,2000)

The claim for the funeral expenses should be submitted with prescribed document and form within three months of the death of the insured employee.

Adjudication of dispute & claims Employees Insurance Court Institutions of proceedings, etc. Powers of employees’ Insurance Court Reference to High Court Appeal >Stay of payment during pending of appeal

Offences and penalties Punishment for false statement :- In this case any false

statement or false representation, shall be punishable with imprisonment up to Rs.2000 or with both

Punishment for failure to pay contributions :- if any person fails to pay any contribution which under to this act he is liable to pay, he shall be punishable with imprisonment up to three years.

Punishment for other contravention :- in contraventions like dismisses, discharges, reduces or otherwise punishes an employee, shall be punishable with imprisonment up to one year or with fine up to Rs.4000 or with both

Power to recover damages :- If employer fails to pay the amount of contribution then corporation may recover from the employer by way of penalty.

Power of court to make orders :- If court makes order for employer- if employer is not able to make this order within period then employer shall be punishable with imprisonment in respect thereof U/S.85 and shall also be liable to pay fine up to Rs.1000 for everyday.

EMPLOYEES PROVIDENT FUND AND MISCALLANEOUS PROVISIONS ACT -1952

Applicability i) Every establishment which is a factory engaged in any industry specified in Schedule 1 and in which 20 or more persons areemployed and

ii) Any other establishment employing 20 or more persons whichCentral Government may, by notification, specify in this behalf.(Infancy period of 3 years has been withdrawn by ordinance w.e.f.22-9-97)

iii) any establishment employing even less than 20 persons can becovered voluntarily u/s 1(4) of the Act.

EligibilityAny person who is employed for work of an establishment or employed through contractor in or in connection with the work of an establishment

BenefitsEmployees covered enjoy a benefit of Social Security in the form of an unattachable, unwithdrawable (except employees and employers contribute equally throughout the covered persons employment. This sum is payable normally on retirement or death. Other Benefits include Employes’ Pension Scheme and Employee’s Deposit Linked insurance Fund.

Penal ProvisionsLiable to be arrested without warrant being a cognisable offense. Defaults by employer in paying contributions or inspection/ administration charges attract imprisonment up to 3 years and fines up to Rs. 10,000 (S.14.) For any retrospective application, all dues have to be paid by employer with damages up to 100% of arrears.

Benefits at a glance 1.   Advance for Purchase of Dwelling Site.

2.   Advance for Purchase of Dwelling House/flat.3.   Advance for Construction of a House.4.   Advance for Repayment of housing loan to State Govt. housing board or any other govt. recognised housing finance body.5.   Advance for IIIness viz. Hospitalisation for more than month, major surgical operations or suffering from TB, leprosy, paralysis, cancer, heart ailment etc.6.   Advance for Marriage of Self/Son/Daughter/Sister/Brother.7.   Advance for Post MatriculationEducation of Son/Daughter.8.   Advance for Damage to the property Due to Natural calamity (Flood Riot/Earthquake).9.   Advance for Member affected by cut in the supply of electricity.10. Advance for Member who is physically handicapped.

[ A member employee can also withdraw full amount standing to his credit.   in fund (para 69).....]

a) on Resignation.b) On Retirement from the service on attaining the age of 58 yrs.c) on Retirement on account for permanent or total incapacity to work.d) immediately before Migration from India for permanent settlement abroad or for taking up     employment abroad.e) on Termination due to voluntary retirement Scheme, retrenchment, closure of the factory/establishment.

MATERNITY BENEFIT ACT-1961 This Act applies to women who work in factories, mines, plantations,

performance establishments and shops with more than 10 employees, and provides 12 weeks paid maternity leave, and 6 weeks paid leave in relation to miscarriage or termination of pregnancy. It does not apply to employees covered by the ESI (see ss. 2, 3, 5(2) and 9.).

Maternity benefit is paid to employees who have been employed for not less than 80 days. It is paid at the average daily wage, calculated for the three months preceding absence on maternity leave, and is paid for a period of six weeks before delivery and six weeks after.

However, the employee also has the option of taking the full 12 weeks after delivery.

It is prohibited to employ female employees during the six weeks after delivery, miscarriage or termination of pregnancy.

Pregnant employees can request that they not perform arduous work or work which involves long hours of standing or which is likely to interfere with the pregnancy, the normal development of the foetus, adversely affect health or cause a miscarriage up to 10 weeks before the expected delivery

In addition, if the employer does not provide free facilities for pre- and post-natal care, the employee is entitled to a medical allowance. Maternity benefit can be paid in advance for the period preceding the expected delivery, upon proof of pregnancy (see ss. 4, 5, 8 and 9.).

Notice must be given before the employer is required to permit maternity leave, but failure to give notice does not disentitle the employee from receiving maternity benefits (see s. 6.).

One month of leave and benefits is available for women who are ill due to pregnancy, delivery, premature birth, miscarriage, termination of pregnancy and tubectomy if medical evidence is provided. This is in addition to the normal 12 weeks maternity leave and allowance (see s.10.).

Under s.11, in addition to other scheduled breaks, nursing breaks are to be provided twice daily until the child is 15 months old.

It is prohibited to dismiss, or issue a notice of dismissal for, an employee while they are absent on maternity leave, or to vary her conditions of service. Dismissal of a female employee during pregnancy does not deprive her of her right to maternity allowance or medical bonus allowance except in cases of gross misconduct. No deductions from wages can be made on account of maternity leave, the fact that lighter duties were performed before taking maternity leave or the taking of nursing breaks (see ss. 12 and 13.).

The Act is enforced by penalty provisions and there is provision for the appointment of an inspector with powers to inquire into complaints, enter premises, examine persons, require the production of information, take copies of documents and direct payment of monies. The later power is subject to appeal provisions (see ss. 14-23.).

PAYMENT OF GRATUITY ACT 1972 The Act provides for the payment of gratuity to workers employed

in every factory, shop & establishments or educational institution employing 10 or more persons on any day of the proceeding 12 months. A shop or establishment to which the Act has become applicable shall continue to be governed by the Act even if the number of persons employed falls bellow 10 at any subsequent stage.

All the employees irrespective of status or salary are entitled to the payment of gratuity on completion of 5 years of service. In case of death or disablement there is no minimum eligibility period. The amount of gratuity payable shall be at the rate of 17 days wages based on the rate of wages last drawn, for every completed year of service. The maximum amount of gratuity payable is Rs. 3,50,000/-.

Formula is - Last Wages *15*No. of services/26

Nomination Each employee is required to nominate one or more member of

his family, as defined in the Act, who will receive the gratuity in the event of the death of the employee.

PENALTY The Act provides that whoever makes false statement for the

purpose of avoiding any payment shall be punishable with imprisonment for a term which may extend to six months or with fine which may extend to ten thousand rupees or with both.

An employer who contravenes any provisions of the Act shall be liable for imprisonment for a term of not less than three months but which may extend to one year or with fine which shall not be less than ten thousand rupees but which may extend to twenty thousand rupees or with both.

Where the offence relates to non-payment of gratuity the employer can be punished with imprisonment for a term which is not less than six months.

PLANTATION LABOUR ACT -1951 The Plantations Labour Act, 1951 (PLA) applies to any land used or

intended to be used for growing tea, coffee, rubber, cinchona or cardamom or any other plant which measures 5 hectares or more and in which 15 or more workers are employed on any day of the preceding 12 months.

The State Governments can be notification apply this law to any other land too even if it measures less than 5 hectares and employ less than 15 workers.

Some definitions under PLA, 1951 [Section 2]: Adolescent: a person between the age of fourteen and Eighteen Child: a person who has not completed his 14 th year Employer: the person who has the ultimate control over the affairs of

the plantation and where the affairs of the plantation are entrusted to any other person, such other person shall be the employer in relation to that plantation. Family: means his or her spouse and the legitimate and adopted children of the worker dependent upon him or, who have not completed their eighteenth year, and includes, where the member is a male, his parents dependent upon him.

Plantation: any plantation to which this Act applies and includes offices, hospitals, dispensaries, schools and any other premises used for any purposes connected with such plantation.

Qualified medical practitioner: means a person holding a qualification granted by an authority specified under section 3 of the Indian Medical Degrees Act 1916 of under any provincial or State Medical Council Act.

Wages: as defined under clause (h) of section 2 of the Minimum Wages Act 1948 (11 of 1948).

Worker: means a person employed in a plantation for hire or reward, whether directly or through any agency, to do any work, skilled, unskilled, manual or clerical, having wages less than Rs. 750/- p.m., but does not include – medical officer, managerial staff and temporary workers employed in any work relating to construction, repair, maintena

nce of roads, bridge, etc.

Registration of Plantations: Section 3-B of the PLA, 1951 makes it compulsory for every employer of

a plantation to register it within sixty days of its coming into existence. Inspecting staff:  Under Section'4, the state government has the

power to appoint for the state a duly qualified person to be -the chief inspector of plantations and other persons to, be inspectors subordinate to the chief inspector.

Power and functions of Inspectors [Sections 5&6]: to examine and make inquiries to ascertain whether the provisions of

this Act are being observed in any plantation. can enter, inspect and examine with assistants any part of plantation at

any reasonable time and take statements on any person, provided that no person shall be compelled to answer any question or make any statement tending to incriminate himself.

Certifying surgeons. [Section 7]: The state government is responsible for appointing qualified medical practitioners to be certifying surgeons for within local limits of a plantation or class of plantations.

Duty of the certifying surgeon: the examination and certification of workers, the exercise of such medical supervision where adolescents and

children are or are to be employed in any work in any plantation which is likely to cause injury to their health.

HEALTH - Responsibilities of the Employers(Facilities to be provided in the Plantations)

Drinking Water: In every plantation effective arrangements shall be made by the employer to provide and maintain at convenient place a sufficient -supply of wholesome drinking water for all workers [Section 8].

Conservancy: There shall be a sufficient number of conveniently situated & accessible separate latrines and urinals for males and females in every plantation. All of these are to be maintained in a clean and sanitary condition [section g].

Medical facilities: Medical facilities for workers and their families (as prescribed by the state government) have to be maintained and made available by the Employer [Section 10].

In the absence of such prescribed medical facilities, the Chief Inspector can arrange for provision- and maintenance of medical facilities and recover the costs of these from the defaulting employer.  [Actual Recovery of such costs will be done by the Collector as arrear of Land Revenue on Chief Inspectors' certification].

WELFARE Canteens: Under Section 11, the State Government has been

empowered to ask Employers to open Canteen(s) in Plantations employing one hundred and fifty workers or more and to make rules for the working and maintenance of canteens.

There is also a provision for the constitution of a managing committee in which the workers are represented.

Creches: The employer must provide and maintain suitable rooms for children where the number of workers is more than fifty or the number of children of women workers is twenty or more [Section 12].

Creches are to be maintained in a clean, safe and sanitary conditions and are to be run by a woman trained n the care of children and infants as per the law.

Recreational facilities: every employer to make provision in the Plantation for recreational facilities for the workers and their children [Section 13].

Educational facilities: In every Plantation where the children- of the workers between the ages of six and twelve exceed the number twenty five, the employer is under obligation to provide educational facilities as may be specified by the State Government [Section 14].

Housing facilities: It is the duty of the employer to provide and maintain necessary housing accommodation for every worker and his family [Section 15].

Every worker (including his family) is entitled to a housing accommodation after six months of continuous service whether staying inside or outside a plantation and who has expressed a desire in writing to live in the plantation. The requirement of continuous service of six months will not apply to a worker who is the member of the family of a diseased worker who was residing in the plantation. Under Section 16, the-State Government has been empowered to make rules relating to standards of housing and constitution of an advisory board with representatives of workers and employers.

Liability of employer in case of accidents resulting from collapse of houses provided by him: If the house collapse is not solely or directly attributable to a fault on the part of the occupant or to a natural calamity, the employer shall be liable to pay compensation to the worker or his kin suffering injury or death. In order to claim this compensation, the worker or his next of kin or his authorised agent must write to Labour Commissioner within 6 months of the accident. The compensation would be paid under the Workmen's Compensation Act, 1923.

Other facilities: The State Government has the power to make rules requiring the plantation employer to provide the workers and umbrellas, blankets, rain coats or other like amenities for the protection of workers from rain or cold [Section 17].

Welfare Officers: In plantations that empl0y three hundred workers or more, the employer has to employ welfare officers as prescribed [Section 18].

The notice of period of work has to be displayed and correctly maintained in every plantation. An employer can refuse to employ a worker for any day on which he is more than half hour late from the time displayed on notice of period of work [Section 23].

No Night for women and children: Women and children can be employed only between the hours of 6am and 7pm unless permitted by the State Government [Section 25].

Non-adult workers to carry tokens: No child or adolescent will be allowed to work in the plantation unless the employer has a certificate of fitness from the Certifying Surgeon. The token that non adult worker is required to carry bears a reference to this fitness certificate valid for twelve months. The fee for the fitness certificate, if any, is to be paid by the employer and cannot be recovered from the young worker or his/ her guardian [Section 26 & 27).

Sickness and maternity benefits: Every worker is entitled to sickness allowance, provided this is certified by a qualified medical practitioner. Women workers are entitled to maternity allowance and benefits under the Maternity Benefit Act, 1961 [Section 32].

CONTRACT LABOUR (REGULATION AND ABOLOTION ACT) -1970

The Object of the Contract Labour Regulation and Abolition) Act, 1970 is to prevent exploitation of contract labour and also to introduce better conditions of work.

A workman is deemed to be employed as Contract Labour when he is hired in connection with the work of an establishment by or through a Contractor. Contract workmen are indirect employees. Contract Labour differs from Direct Labour in terms of employment relationship with the establishment and method of wage payment.

ContractLabour, by and large is not borne on pay roll nor is paid directly.

The Contract Workmen are hired, supervised and remunerated by the Contractor, who in turn, is remunerated by the Establishment hiring the services of the Contractor

Registration And LicensingThe Act applies to the Principal Employer of an Establishment and the Contractor where in 20 or more workmen are employed or were employed even for one day during preceding 12 months as Contract Labour.

This Act does not apply to the Establishments where work performed is of intermittent or seasonal nature.

If a Principal Employer or the Contractor falls within the vicinity of this Act then, such Principal Employer and the Contractor have to apply for Registration of the Establishment and License respectively.

The Act also provides for Temporary Registration in case the Contract Labour is hired for a period not more than 15 days.

Any change occurring in the particulars specified in the Registration or Licensing Certificate needs to be informed to the concerned Registering Officer within 30 days of such change.

From combined reading of Section 7 and Rules 17 & 18 of the Contract Labour (Regulation and Abolition) Central Rules, 1971, it appears that the Principal Employer has to apply for registration in respect of each establishment. Other important point to note is that a License issued for One Contract cannot be used for entirely different Contract work even though there is no change in the Establishment.

Penal ProvisionsSection 9 of the Act provides that the Principal Employer, to whom this Act is applicable, fails to get registered under the Act, then such Principal Employer cannot employ contract labour.

It also appears that if the Establishment is not registered or if the Contractor is not licensed then the contract labour shall be deemed to be the direct workmen and the Principal Employer or the Establishment shall be liable for the wages, services and facilities of the contract labour etc.

For contravention of the provisions of the Act or any rules made thereunder, the punishment is imprisonment for a maximum term upto 3 months and a fine upto a maximum of Rs.1000/-.

ResponsibilitiesThe Act enjoins Joint and Several responsibity on the Principal Employer and the Contractor. The Principal Employer should ensure that the Contractor does the following: a) Pays the wages as determined by the Government, if any, or;

b) Pays the wages as may be fixed by the Commissioner of Labour.

c) In their absence pays fair wages to contract labourer. d) Provides the following facilities:

i. Canteen (if employing 100 or more workmen in one place) and if the work is likely to last for 6 months or more.ii. Rest rooms where the workmen are required to halt at night and the work is likely to last for 3 months or more.iii. Requisite number of latrines and urinals - separate for men and women.iv. Drinking water. v. Washing.vi. First Aid.vii. Crche

e) Maintains various registers and records, displays notices, abstracts of the Acts, Rules etc.

f) Issues employment card to his workmen, etc.

Checklist For Principal Employer1. Registration of the Establishment.2. Display of the following notices rate of wages, hours of work, wage period, date of payment of wages, date of payment of unpaid wages and name and address of the inspector having jurisdiction. 3. Maintenance and Preservation of Register of Contractor.4. Filing of Return of Commencement and Completion of the Contract. 5. Filing of Annual Return. 6. Supervising the responsibilities of Contractor to avoid enjoining of the liabilities. 7. Ensure provision that facilities of Canteen, Drinking Water, Washing, Rest Room, Latrines and Urinals, First Aid, Crche are provided by the Contractor.

Checklist For Contractor1. Licensing.2. Renewal of the License.3. Maintenance and Preservation of Register of Persons employed, Muster Roll, Register of wages, Register of Fines, Register of Deductions for damages or loss, Register of advances, Register of overtime.

4. Display of Notice rate of wages, hours of work, wage period, date of payment of wages, date of payment of unpaid wages and name and address of the inspector having jurisdiction.5. Provide facilities of Canteen, Drinking Water, Washing, Rest Room, Latrines and Urinals, First Aid, Crche.6. Employment card.7. Service Certificates.8. Half yearly return.

THE KERALA SHOPS AND COMMERCIAL ESTABLISHMENTS ACT, 1960

I. OBJECT : To provide for the welfare of the employees employed in

the shops and commercial establishments and to regulate the conditions of their work and

employment II. APPLICABILITY : It extends to the whole state of kerala and

applies to all shopes and commercial establishments defined under the Act

III. REGISTRATION OF THE EASTABLISHMENT : The employer of every shopes and

commercial establishments shall apply for registration in Form B-I with prescribed fee to the

competent authority (Assistant labour officer-Grade III) within sixty days from thedate on which

the eatablishment commences its work

RENEWAL OF REGISTRATION: Every employer shall renew the registration every year at

least 30 days before the expiry of the registration for the previous year. The application for

renewal with the registration certificate and prescribed fee shall be submitted to the competent

authority within the period. The fee for registration and renewel shall be remmitted in the office of

the Asst. labour officer concerned or treasury remittence VI AMENDMENT OF REGISTRATION:Any employer who desires to

have his registration certificate amended shall give a notice in Form-B--III to the

competent authoritynwith copy to the inspector having jurisdiction over the area in which the

establishment is situated along with pre scribed fee for amendment of registration certificate

APPLICATION FOR DUPLICATE REGISTRATION CERTIFICATE :

If a registration certificate is lost, stolen or destroyed, the employer shall forth with report the

matter to the competent authority and make an application for the issue of a duplicate registration

certificate along with priscribed fee. 80 VIII APPEALS : Any aggrieved Person by an order of the

competnt authoprity refusing to grant or renew a registration certificate or cancelling or suspending the

same may within a period of sixty days of the recepit of the order appleal to the District Labour

Officers (E) on Payment of fees Prescribed.

CLOSING OF SHOPS : Every shops shall remain entirely closed on one day of the week and

a notice shall be permanently exhibited in the shop specifying the day of closure. This is not

applicable to shops excempted in the Act or excempted by the Govt.

HOURS OF WORK : No employee in any establishment shall be required to work for more

than eight hours in any day and 48 hours in any week. The number of hours of which including

overtime shall not exceed ten hours in any day except on stock taking etc. and the total number

of hours of over time shall not exceed fifty for any quarter.

EXTRAWAGES FOR OVERTIME WORK: Where an employee works in any establishment

for eight hours in any day or for more than forty eight hours in any week shall inrespect of such

overtime work be entitled to twice the ordinary rate of wages. XI WEEKLY HOLIDAYS : Every Person employed in shops or a

commercial establishments shall be allowed in each week a holiday of one whole day. XI A INTERVALS FOR REST:- No period of work of an employee in

an establishment shall be given rest for atleast one hour before work of four hours

Employees are eligible for leave in lien of: i. Annual leave for 12 days with wages to employees after

completion of 12 months continuous service. ii. Leave with wages not exceeding twelve days on the ground of

any sickness or accident sustained by him. iii. Casual leave with wages not exceeding twelve days. iv. Six days special casual leave for sterilisation operation in the

case of male employees and 14 days in the case of female employees, subject to the provision

of the Act.

XIII DISMISSAL : No employee shall be dismissed except on a reasonable cause and subject to

Section-18 of the Act. The aggrieved employee may file appeal within sixty days to the date of

delivery of the order terminating his services with the employer, to the appelllate authority

(Deputy labour Commissioner concerned) 84 Page 3 XIV REGISTERS AND RECORDS TO BE MAINTAINED BY

THE EMPLOYER : 1. Register of employment in Form A or B 2. Service record in Form-BB 3. A register of holidays and leave in Form-F 4. A visit book 5. Display a notice of hours of work in Form-D 6. A notice of weekly closure 7. A notice containg the extract of the Act and Rules

WORKER’S EDUCATION SCHEME A tripartite semi- autonomous body known as the Central Board for

worker’s Education, registered as a society, was set up under Ministry Of Lavour , GOI to formulate policies & programmes and to administer Worker’s Education Scheme.

The board has its representatives from Central, & State Govts , orgns of employers & workers & educational institutions.

Headquarters in Nagpur. Indian Institute of Worker’s Education was established by the

board in 1970 to conduct training programmes at national levels for its official and trade union leaders.

It conducts training programmes and refresher courses for education officers, courses for trade union functionaries and provides library and allied services.

OBJECTIVES 1.To equip all sections of workers , including rural workers for

intelligent participation in social and economic development of nation.

2.To develop among workers a greater understanding of problems of their social and economic environment

3.To develop leadership

4.To develop strong, united and more responsible trade unions through more enlightened members and better trained officials.

5. To strengthen democratic processes and traditions in trade union movement

6.To enable trade unions themselves to takeover ultimately the functions of worker’s education.

CENTRAL GOVERNMENT MACHINERY FOR LABOUR ADMINISTRATION

The Organisation of the Chief Labour Commissioner (C))known as Central Industrial Relations Machinery was set up in April, 1945 in pursuance of the recommendation of the Royal Commission on Labour in India and was then charged mainly with duties of prevention and settlement of industrial disputes, enforcement of labour laws and to promote welfare of workers in the undertakings falling within the sphere of the Central Government.

BROAD STRUCTURE OF THE ORGANISATION: CIRM is headed by the Chief Labour Commissioner (Central)

[ CLC (C) ]. It is entrusted with the task of maintaining good industrial

relations in the Central sphere. At the headquarters, CIRM has a complement of 25 officers who

perform line and staff functions. In the field, the machinery has a complement of 253 officers and

their establishments are spread over different parts of the country with zonal, regional and unit level formations as presented in the organogram

Objectives of the CLC(C) Organisation. 1. Promotion of peaceful and harmonious Industrial Relations in

the Central Sphere through prevention & settlement of I.ds. in the Industries for which Central Govt. is the appropriate Govt.

2. Verification of the Trade Union's Membership. 3. Enforcement of labour laws in central sphere. SPECIFIC FUNCTIONS OF CIRM The CIRM administers the Labour Laws in the industries for

which The Central Govt. is the `appropriate Government' under that Act, Its functions therefore are:

* Prevention and settlement of industrial disputes; * Enforcement of Labour Laws; * Enforcement of Awards and Settlements; * Conduct of inquiries into the breaches of Code of Discipline; * Promotion of Works Committees and Workers' Participation in

Management; * Collection of statistical information; * Defense of court cases and writ petitions arising out of Implementation of labour laws.

LABOUR ADMINISTRATION Labour administration is defined by ILO Convention No. 150 as

"public administration activities in the field of national labour policy." It is an essential tool at the disposal of governments in fulfilling their responsibilities towards social issues.

FUNCTIONS OF LABOUR ADMINISTRATION Labour protection Employment policy Study, research and statistics Labour relations

MINISTRY OF LABOUR AND EMPLOYMENT The main responsibility of the Ministry of Labour & Employment

is to protect and safeguard the interests of workers in general and those who constitute the poor, deprived and disadvantaged sections of the society, in particular, with due regard to creating a healthy work environment for higher production and productivity and to develop and coordinate vocational skill training and employment services

Objectives Labour Policy and legislation Safety, health and welfare of labour Social security of labour

Policy relating to special target groups such as women and child labour

Industrial relations and enforcement of labour laws in the Central sphere

Adjudication of industrial disputes through Central Government Industrial Tribunals cum Labour Courts and National Industrial Tribunals.

DIRECTORATE OF FACTORIES AND BOILERS The department of Factories and Boilers is the functionary of the

Labour Secretariat of Government of Karnataka. The main functions of the department is to enforce various Labour

and Environmental related legislations viz., Factories Act, Payment of Wages Act, Maternity Benefit Act, Indian Boiler Act and the Environment (Protection) Act.

The main aim and objective is to protect the interest of the workmen to ensure minimum basic amenities, prevent accidents, occupational diseases likely to occur in the course of employment, ensure conducive safe work place.

The department also conducts periodical inspection and certification of registered boilers.

More stress is being given in respect of high-pressure boilers and in particular the one installed at power generating units.

Scrutiny of design, erection of boilers and suggestions for repairs are also the prime works carried out to ensure boiler safety.

Regular examinations and certifications of personnel required to operate and maintain the boilers are being conducted in addition to imparting training.