Industrial Relationship, Industrial Dispute Act, Trade Union Act, Worker Participation, Standing Order, Factories Act, Contract labor, Child Labor

UNIT- 1 Industrial Relation:

Concept of Industrial Relations

Broadly, the term "industrial relations" is used to denote the collective relationships between

management and the workers.

1. labour-management relations and

2. employer-employee relations

According to Tead and Metcalfe, "Industrial relations is the composite result of the attitudes and

approaches of employers and employees towards each other with regard to planning, supervision,

direction and coordination of the activities of an organisation with a minimum of human efforts and

frictions with an animating spirit of cooperation and with proper regard for the genuine well-being of all

members of the organisation."

Industrial Revolution

First in Great Britain in the latter half of the eighteen century, Around 1830 in France, Belgium and

USA, In Germany around 1850, In Sweden and Japan 1870, In Canada and the USSR 1890 and Other

countries of the world, including India, by the end of the century.

Importance of I.R.

1. Foster Industrial Peace:

3. Benefit to Workers:

5. Improve Productivity:

2. Promote Industrial Democracy:

4. Benefit to Management:

Scope & Aspects of IR

1. Labour relations, i.e. realations btw union & management

2. Employer-employee relations

3. Group relation,, (various group of workmen)

4. Community or public relations (btw industry and society)

Main aspects of IR are

1. Development of Healthy Labor-Management Relations

2. Maintenance of Industrial Peace

3. Development of Industrial Democracy

Factor affecting IR

1. Institutional 2. Economic 3. Social

4. Technological 5. Psychological 6. Political

7. Enterprise-related 8. Global

Approaches to IR

1. Psychological Approach to IR 2. Sociological Approach to IR

3. Human Relations Approach to IR 4. Socio-Ethical Approach to IR

5. Gandhian Approach to IR 6. System Approach to IR

Organisation for IR

1. Line Manager's IR Responsibility

2. The IR Officers/H.R. Manager Staff Responsibility

3. A Staff Role

Prerequisite for Successful IR Program

1. Top Management Support

2. Developing Sound HRM and IR Policies

3. Development of Effective HRM & IR Practice

4. Provision of Adequate Supervisory Training

5. Follow-up of Result

Evolution of IR In india

1. Agraian Economy Stage (relating to cultivated land or the cultivation of land)

2. Handicraft Stage

3. Cottage or Putting-out Stage (put out materials to rural producers who usually worked in their

homes but sometimes labored in workshops or in turn put out work to others)

4. Factory or the Industrial Capitalism Stage

UNIT- 2 Industrial Disputes Act, 1947

Introduction: The Industrial Disputes Act 1947 extends to the whole of India and regulates Indian

labour law so far as that concerns trade unions as well as Individual workman employed in

any Industry within the territory of Indian mainland. It came into force April 1, 1947.

Objectives: The objective of the Industrial Disputes Act is to secure industrial peace and harmony by

providing machinery and procedure for the investigation and settlement of industrial disputes by

conciliation, arbitration and adjudication machinery which is provided under the statute.

Promotion of measures for securing and preserving amity and good relation btw the employers and

workers

Investigation and settlement of Industrial Disputes

Prevention of illegal strikes and lock-outs

Relief to workmen in the matter of lay-offs or retrenchment

Promotion of collective Bargaining

Definition

According to Sec. 2 of the Industrial Dispute Act, 1947, “Industrial dispute means any dispute or

difference between employers and employers or between employers and workmen or between

workmen and workmen, which is connected with the employment or non-employment or the terms

of employment or with the conditions of labour of any person” Industrial disputes are of symptoms of

industrial unrest in the same way that boils are symptoms of a disordered body.

The following principles judge the nature of an industrial dispute:

dispute must affect a large number of workmen who have a community of interest

must be taken up either by the industry union or by a substantial number of workmen.

grievance turns from individual complaint into a general complaint.

There must be some nexus between the union and the dispute.

According to Section 2A of the Industrial Disputes Act, 1947, a workman has a right to raise an

industrial dispute with regard to termination, discharge, dismissal, or retrenchment of his or her

service, even though no other workman or any trade union of workman or any trade union of

workmen raises it or is a party to the dispute.

Supervisors drawing wages not exceeding Rs.10000/-p.m are coming within the definition of

workmen. (before amendment it is 1600 pm)

Definitions

(a) " appropriate Government" means--

in relation to any industrial dispute concerning any industry carried on by or under the authority of the

Central Government, or by a railway company or concerning any such controlled industry as may be

specified in this behalf by the Central Government] or in relation to an industrial dispute concerning

Award (2b)

Sec. 2(b) of the I.D.Act defines the term as follows “award” means an interim or final determination of

any industrial dispute or of any question relating thereto by any Labour Court, Industrial Tribunal or

National Industrial Tribunal and includes an arbitration award made under Sec. 10-A.”.

Industry (2j)

Sec.2 (j) of the Industrial Disputes Act, 1947 defines 'industry' as any business, trade, undertaking,

manufacture, or calling of employers and includes any calling, service, employment, handicraft

or industrial occupation or avocation of workmen”. ... With the cooperation between Employers and

employees

Is Municipality an Industry?

The Supreme Court held though municipal activity could not be regarded as “business or trade” it

would fall within the scope of the expression “undertaking” and it is an industry. ... Hence, the non-

profit undertakings of the municipality were included in the concept of an industry, even if there is no

private enterprise.

is hospital an industry?

Therefore, a charitable hospital run by a private trust, offering free services and employing a

permanent staff is an industry as there is a systematic activity, a co – operation between employer and

employees and rendering of services which satisfies human wants and wishes.

The court held-

1. Any activity will be industry if it fulfills the ‘triple test’, as under:

Systematic and organized activity

With the cooperation between Employers and employees

For the production and distribution of good and services whether or not capital has been invested

for this activity.

2. It is immaterial whether or not there is profit motive or whether or not there is capital.

3. If the organization is a trade or business it does not cease to be one because of philanthropy animating

the triple test, cannot be exempted from scope of definition of industry.

4. Dominant nature test – whether there is complex of activities, the test would be predominant nature

of services and integrated nature of departments. All departments integrated with industry will also be

industry.

5. The exceptions to industry are-

Casual activities (because they are not systematic).

Small clubs, co – operatives, research labs, gurukuls which have an essentially non employee character.

Single door lawyer taking help from clerk (because there is no organized labour).

Selfless charitable activities carried on through volunteers e.g. free legal or medical service.

Sovereign functions – strictly understood, i.e., maintenance of law and order, legislative functions and

judicial function.

Charitable Institutions

These fall into three categories –

(a) Those that yield profit, but the profits are not siphoned off for altruistic purposes;

(b) Those that make no profit but hire the service of employees as in any other business, but the goods/

services which are the output, are made available at a low or no cost to the indigent poor; and

(c) Those that are oriented on a humane mission fulfilled by men who work, not because they are paid

wages, but because they share the passion for the cause and derive job satisfaction.

Therefore, a charitable hospital run by a private trust, offering free services and employing a permanent

staff is an industry as there is a systematic activity, a co – operation between employer and employees

and rendering of services which satisfies human wants and wishes. Further, the services of employees

are hired as in any other business.

is educational institution an industry?

School or educational institution is an industry. The education industrycomprises all types of

schools and education services pertaining to the provision of training and instruction on a wide range

of subjects. ... It is true for all schools andeducational institutions

what is triple test for industry?

The triple test provides that a) systematic activities b) organized by cooperation between employer

and employees c) for the production of goods and services calculated to satisfy human wants and

wishes would constitute industry.

who can raise a dispute?

Any person who is a workman employed in an industry can raise an industrial dispute.

A workman includes any person (including an apprentice) employed in an industry to do manual,

unskilled, skilled, technical, operational, clerical or supervisory work for hire or reward.

Authorities under the act

Main object of the ID Act is the investigation of and management of ID.

Various methods and machinery under ID Act can be classified as following:

1) Conciliation

a) Works committee

b) Conciliation officer

c) Board of conciliation

2) Arbitration

a) Court of inquiry

3) Adjudication

a) Labor court

b) Industrial tribunal

c) National tribunal

procedure of industrial dispute

Responsible labour leaders and employers are increasingly settling their differences around the

conference table rather than through industrial warfare. The process ofbargaining the settlement of

disputes is often facilitated through outside assistance in the form of conciliation, mediation, or

arbitration.

Procedure and powers of conciliation officers, Board, courts and Tribunals and National

Tribunals

Subject to any rules that may be made in this behalf, an arbitrator, a Board, court, Labor Court, Tribunal

or National Tribunal shall follow such procedure as the arbitrator or other authority concerned may think

fit.]

(2) A conciliation officer or a member of a board may for the purpose of inquiry into any existing or

apprehended industrial dispute, after giving reasonable notice, enter the premises occupied by any

establishment to which the dispute relates.

(3) Every Board, court, shall have the same powers as are vested in a Civil Court under the Code of

Civil Procedure, 1908 (5 or 1908), when trying a suit, in respect of the following matters, namely:-

(a) enforcing the attendance of any person and examining him on oath;

(b) compelling the production of documents and material objects;

(c) issuing commissions for the examination of witnesses;

(d) in respect of such other matters as may be prescribed, and every inquiry or investigation by a

Board, court.

(4) A conciliation officer and inspect any document which he has ground for considering to be relevant

to the industrial dispute

(5) A court, Labor Court, Tribunal or National Tribunal may, if it so thinks fit, appoint one or more

persons having special knowledge of the matter under consideration as an assessor or assessors to advise

it in the proceeding before it.

(6) All conciliation officers, members of a Board or court and the presiding officers of a Labor Court,

Tribunal or National Tribunal shall be deemed to be public servants within the meaning of section 21 of

the Indian Penal Code (45 of 1860).

(7) Subject to any rules made under this Act the costs of, and incidental to, any proceeding before a

Labor Court, Tribunal or National Tribunal shall be in the discretion of that Labor Court, Tribunal or

National Tribunal, and the Labor Court, Tribunal or National Tribunal, as the case may be, shall have

full power to determine by and to whom and to what extent and.

what is unfair labor practice?

Unfair labor practices are actions taken by employers or unions that are illegal under the

National Labor Relations Act (NLRA) and other labor laws. Some of these rules apply to the

interactions between the employer and the union; others protect individual workers

from unfair treatment by an employer or union.

UNIT- 3 Trade Union Act, 1926 & Worker's Participation in Management:

Introduction:

The Indian Trade Union Act 1926 was passed to provide for the registration of trade unions with a

view to render lawful association of workers. The act also defined law relating to registered trade

unions and provided certain privileges and protection to the registered trade unions.

Trade union Act was brought into operation from 1st june, 1927, by notification in the Official Gazette

by the Central Gov. and amended in 1947, 1960 and 1962. A comprehensive Trade Union (Amendment)

Act was passed in 1982 another in the years 2001.

“A trade union is a combination of persons. Whether temporary or permanent, primarily for the

purpose of regulating the relations between workers and employers or between workers for imposing

restrictive conditions on the conduct of any trade or business and includes the federations of two or more

trade unions as per Sec. 2 (6) Trade Unions Act, 1926.

“A Trade Union is an organisation of workers, acting collectively, who seek to protect and promote their

mutual interests through collective bargaining”.

Objectives:

1. Ensure Security of Workers

2. Obtain Better Economic Returns

3. Secure Power To Influence Management

4. Secure Power To Influence Government

Functions of a Trade Union:

basic functions of unions listed by National Commission on labour are:

(i) To secure fair wages to workers.

(ii) To safeguard security of tenure and improve conditions of service.

(iii) To enlarge opportunities for promotion and training.

(iv) To improve working and living conditions.

(v) To provide for educational, cultural and recreational facilities.

(vi) To co-operate in and facilitate technological advance by broadening the understanding of workers

on its underlying issues.

(vii) To promote identity of interests of workers with their industry.

(viii) To offer responsive co-operation in improving levels of production and productivity, discipline and

high standards of quality and

(ix) To promote individual and collective welfare.

Trade Union as an Organisation:

Most of the workers are members of any one of the trade unions.

There are many reasons of membership and some of which are given below:

(a) Security of employment and protection against calamity of accident, death and secure social security

cover after retirement.

(b) Meeting companionship and affiliation need and improve one’s influence with management.

(c) To get a common platform—to air one’s views, aims ideas and feelings and obtain recognition and

status among fellow workers.

(d) Make use of the “principle of unity” for the purpose of securing good working conditions, high

economic compensations, better career prospects and welfare needs.

(e) Restrict management actions which are against the interest of workers.

Formation and Registration of Trade Union:

Appointment of Registrars: The appropriate government shall appoint a person to be the registrar of

trade unions for each state.

(b) (i) Mode of Registration:

Any seven or more members of a trade union may, by subscribing their names to the rules of the trade

union and by otherwise complying with the provision of this Act with respect to registration, apply for

registration of the trade union under this Act.

(c) Application for Registration:

(i) Every application for registration of a trade union shall be made to the registrar and shall be

accompanied by a copy of the rules of the trade union and a statement of the following particulars,

namely—

1. The names, occupations and addresses of the members making application.

2. The name of the trade union and the address of its head office.

3. The titles, names, age, addresses and occupations of the office bearers of the trade union.

(ii) Where a trade union has been in existence for more than one year before the making of an

application for its registration, these shall be delivered to the registrar, together with the application, a

general statement of the assets and liabilities of the trade union prepared in such form and containing

such particulars as may be prescribed.

(d) Provisions to Be Contained In the Rules of a Trade Union:

A trade union shall not be entitled to registration under this Act, unless the executive thereof is

constituted in accordance with the provisions of this Act.

(e) Power to Call For Further Particulars and To Require Alterations of Names:

(i) The registrar may call for further information or the purpose of satisfying himself that any application

complies with the provisions of Section 5, or that the trade union is entitled to registration under Section

6, and may refuse to register the trade union until such information is supplied.

(ii) If the name under which a trade union is proposed to be registered is identical with that by which any

other existing trade union has been registered or, in the opinion of the registrar, so nearly resembles such

name as to be likely to deceive the public or the members of either trade union, the registrar shall require

the persons applying for registration to alter the name of the trade union stated in the application, and

shall refuse to register the union until such alteration has been made.

(f) Registration:

The registrar, on being satisfied that the trade union has complied with all the requirements of the Act in

regard to registration shall register the trade union by entering in a register, to be maintained in such

form as may be prescribed, the particulars relating to the trade union contained in the statement

accompanying the application for registration.

(g) Certificate of Registration:

The registrar, on registering a trade union under section and, shall issue a certificate of registration in the

prescribed form which shall be conclusive evidence that the trade union has been duly registered under

this Act.

(h) Cancellation of Registration:

A certificate of registration of a trade union may be withdrawn or cancelled by the registrar on the

application of the trade union to be verified in such manner as may be prescribed in if the registrar is

satisfied that the certificate has been obtained by fraud or mistake or that the trade union has ceased to

exist.

It has to provide not less than two months’ previous notice in writing specifying the ground on which it

is proposed to withdraw or cancel the certificate shall be given by the registrar to the trade union before

the certificate is withdrawn or cancelled otherwise than on the application of the trade union.

(i) Registered Office:

All communications and notices to a registered trade union may be addressed to its registered office.

Notice of any change in the address of the head office shall be given within fourteen days of such

change to the registrar in writing, and the changed address shall be recorded in the register referred to in

Section-8 of the Companies Act.

(j) Incorporation of Registered Trade Union:

Every registered trade union shall be a body corporate by the name under which it is registered and shall

have perpetual succession and a common seal with power to acquire and hold both movable and

immovable property and to contract, and shall by the said name sue and be sued.

Rights and Liabilities of Registered Trade Unions:

1. Objects on Which General Funds May Be Spent:

The general funds of a registered trade union shall not be spent on any other objects than the payment of

salaries, allowances and expenses to the office bearers of the trade unions

2. Constitution of a Separate Fund for Political Purposes:

A registered trade union may constitute a separate fund, from contributions separately levied for or made

to that fund, from which payments may be made for the promotion of the civic and political interests of

its members

3. Criminal Conspiracy in Trade Disputes:

No office bearer or member of a registered trade union shall be liable to punishment under sub-section

(2) of Section 120 B of the Indian Penal Code, 1860.

4. Immunity from Civil Suit in Certain Cases:

(i) No suit or other legal proceeding shall be maintainable in any civil court against any registered trade

union or any office bearer or member thereof in respect of any act done in contemplation or furtherance

of a trade dispute.

5. Enforceability of Agreements:

Notwithstanding anything contained in any other law for the time being in force, an agreement between

the members of a registered trade union shall not be void or voidable merely by reason of the fact that

any to the subjects of the agreement are in restraint of the trade.

6. Right to Inspect Books of Trade Unions:

The account books of a registered trade union and the list of members thereof shall be open to inspection

by an office bearer or member of the trade union at such times as may be provided for in the rules of the

trade union.

7. Right of Minors to Membership of Trade Unions:

Any person who has attained the age of 18 years may be a member of a registered trade union subject to

any rules of the trade union to the contrary, and may subject as aforesaid, enjoy all the rights of a

member and execute all instruments and give all acquittances necessary to be executed or given under

the rules.

8. Effects of Change of Name and of Amalgamation:

The change in the name of a registered trade union shall not affect any rights or obligations of the trade

union or render defective any legal proceeding by or against the trade union. An amalgamation of 2 or

more registered trade unions shall not prejudice any right of any of such trade unions or any right of a

creditor of any of them.

Shortcomings of Trade Unions:

Trade union movement in our country suffers from the following weaknesses:

1. Uneven Growth

2. Small Size

3. Weak Financial Position

4. Political Leadership

5. Multiplicity of Unions

6. Problem of Recognition:

7. Absence of Paid Office-Bearers:

Union officers lack adequate knowledge and skill due to lack of proper training, weak financial position

and political leadership are the main reasons for this state of affairs.

8. Apathy of Members:

Majority of workers do not take keen interest in union activities. The attendance at the general meetings

of unions is very poor.

9. Opposition from Employers:

10. Inter-Union Rivalry:

Employer’s Organisations:

Under the trade union Act the term trade unions also includes employer’s organisations. But strictly

speaking, an employer’s association means formal body of employers only.

According to Mr. Naval Tata, the objectives of an employer’s association are:

(i) To promote collective bargaining.

(ii) To develop healthy and stable industrial relations.

(iii) To bring employer’s viewpoint to the notice of the Govt, and

There are at present more than 800 registered associations of employers in India.

Dissolution of a trade union

A registered trade union can be dissolved in accordance with the rules of the union. A notice of

dissolution signed by any seven members and the secretary of the union should be sent to the registrar

within 14 days of the dissolution. On being satisfied the registrar shall register the notice and the union

shall stand dissolved from the date. The funds of the union shall be divided by the Registrar amongst its

members in the manner prescribed under the rules of the union or as laid down by the government.

Amalgamation of trade unions

Any registered trade union may amalgamate with any other union(s), provided that at least 50% of the

members of each such union record their votes and at least 60% of the votes so recorded are in favor of

amalgamation. A notice of amalgamation signed by the secretary and at least 7 members of each

amalgamating union, should be sent to the registrar, and the amalgamation shall be in operation after the

Registrar registers the notice.

objectives of workers’ participation in management

(i) To raise productivity, production and efficiency of workers.

(ii) To improve morale of workers.

(iii) To satisfy the desire of workers for self- expression.

(iv) To promote industrial peace in the concern.

(v) To have better industrial relations and establish harmonious relations between the workers and

management.

(vi) To evoke the fullest collaboration of the employees.

(vii) To encourage social education which promotes solidarity in the working class?

4 Levels of Workers Participation in Management

1. Informative and associative participation

2. Consultative participation

3. Administrative participation

4. Decision participation

6 Forms of Worker Participation in Management

1. Co-Ownership (shareholders by allotting those shares in the company)

2. Seat On Board Of Directors

3. Works Committee

4. Joint Management Councils

5. Profit Sharing

6. Suggestion Scheme

UNIT- 4 The Industrial Employment Standing Order act 1946 & Labor Welfare

Introduction & Definition

To avoid friction amongst the employers and workmen employed in an industry is the principal aim of

Indian Legislation in India.

• It was considered that the society had a vital interest in the settlement of terms of employment of

Industrial Labor and also settlement of Labor problems.

• Therefore, the steps were taken by the Central Government to enact Industrial Employment (Standing

Orders) Act, 1946 with a view to afford protection to the workmen with regard to conditions of

employment.

“Standing Orders” mean rules relating to matters set out in the Schedule to the Act [Sec.2(g)] to be

covered and in respect of which the employer has to draft for submission to the Certifying Officer, are

matters specified in the Schedule.

Objective of the Act

1. The purpose of having Standing Orders at the plant level and other commercial establishments is to

regulate industrial relations.

2. This Orders regulate the conditions of employment, grievances, misconduct etc. of the workers

employed in industrial undertakings.

3. Unsolved grievances can become industrial disputes.

Model Standing Orders

• Classification of Workers

• Shift Working

• Attendance and Late Coming

• Leave and Holidays

• Casual Leave

• Payment of Wages

• Stoppage of Work

• Termination of Employment

• Disciplinary Action for Misconduct

• Suspension

• Dismissal

• Complaints

• Publication of Work Time, Holidays, Pay Days and Wage Rates

Certifying Officer

The “certifying officer” under standing order act means Regional Labor Commissioner, Labor

Commissioner or other officer appointed by the appropriate government by the notification in the

Official Gazette, to perform all or any of the functions of certifying officer under Act.

Powers of Certifying Officer:-

1. Receiving Evidence,

2. Administering oaths,

3. Enforcing the attendance of witness, and

4. Compelling the discovery and production of documents.

Payment of Subsistence Allowance

• Where any workmen is suspended by the employer pending investigation or inquiry into complaints or

charge of misconduct against him, the employer shall pay to such workmen subsistence allowance:

a) At the rate of 50% of the wages which the employer is entitled to immediately preceding the date of

such suspension, for the 90 days of suspension; and

b) At the rate of 70% of such wages for the remaining period of suspension.

Labor Welfare officer

The general duties of welfare officer is to advise and assist factory management in

providing welfare facilities, to promote good relations between the factory management and workers, to

watch industrial relations with a view to using his influence to prevent a dispute arising between the

factory management and workers.

Qualification

(ii) Bachelor's Degree in Law from a recognized University/Institute; (iii) Two years' experience

of Labour Welfare work/Industrial Relations/ Personnel. Management in an organization under

Central/State Government/UTs or in any PSU/Autonomous or Statutory organization

Functions

1. Supervision

2. Advice

3. Liaison

4. Counselling

UNIT- 5 Factories Act, 1948

Objectives: The main objective of the Act is not only to ensure adequate safety measures but also to

promote health and welfare of the workers employed in factories as well as to prevent haphazard

growth of factories.

Definiton

According to the Factories Act, 1948, a 'factory' means "any premises including the precincts thereof -

(i) whereon ten or more workers are working, or were working on any day of the preceding twelve

months, and in any part of which a manufacturing process is being carried on with the aid of power,

or is ordinarily so carried on, or

(ii) whereon twenty or more workers are working, or were working on any day of the preceding

twelve months, and in any part of which a manufacturing process is being carried on without the aid of

power, or is ordinarily so carried on; but this does not include a mine subject to the operation of

the Mines Act, 1952 , or a mobile unit belonging to the armed forces of the union, a railway running

shed or a hotel, restaurant or eating place."

UNIT- 6 Contract Labor (Regulation & Abolition) Act, 1970 & The Child Labor (Prohibition and

Regulation) Act, 1986 :

Child Labor:

One third of the world population comprises children. So, they deserve to be cared and protected to keep

up and improve posterity. They are important component of the social structure and the potential future

career of culture.

Objectives of Child Labor Act:

To Prohibit the engagement of children in certain employment's

To regulate the conditions of work of children in certain other employments.

1) To ban the employment of children

2) To lay down a procedure to decide modification to the schedule of banne occupations or

processes

3) To regulate the conditions of work of children in employments where they are not prohibited

from working

4) To lay down enhance penalties for employment of children in violation of provisions of this act.

Child : means a person who has not completed his 14 year of age.

Establishment : includes a shop, commercial establishment, work-shop, farm, residential hotel,

restaurant, eating-house, theatre or other place of public amusement or entertainment.

workshop : any premises wherein any industrial process in carried on.

Occupier: the person who has the ultimate control over the establishment or workshop.

Penalty

OFFENCE CHILD LABOUR ACT

PENALTY

Employment of a child or permitting a child to work in any occupation or process in

contravention to the statute

Imprisonment: 3 - 12 months Fine: Rs.10,000 (approx. USD 150) - Rs. 20,000

(approx. USD 300) OR both Offences:

The Child and Adolescent 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. Further, adolescents between 14–18 years will not be allowed to work in hazardous industries and

processes.

The Contract Labour (Regulation & Abolition) Act, 1970.

Contract : Agreement between two parties which is enforceable by law.

Objectives:

- Regulate the condition of employment

- Abolition in certain circumstances.

Reason to give work in contract

- Direct Supervision

- Focus on core Activity

- Cheaper with lesser liability

- Cost Control

Why Act can be regulated:

- Lack of Job Security

- Poor economic condition

- Exploitation of worker

- To fulfil Basic Amenities

Applicable : Sub sec. (4) of Sec. 1

To every establishment in which twenty or more workmen are employed or were employed on any day

of the preceding twelve month as contract labor.

Control (Appropriate Gov.)

State Gov.

Central Gov.

Contract Labour

normally refers to workers who are hired for a specific task and a finite period.

Employer is a principle employer

Contractor

Employee Labour

Effect of Non-registered

i) in the case of an establishment required to be registered under section 7, but which has not

been registered within the time fixed for the purpose under that section,

ii) in the case of an establishment the registration in respect of which has been revoked under

section 8,

employ contract labour in the establishment after the expiry of the period referred to in clause (a) or

after the revocation of registration referred to in clause (b).

Service which can be providing by contractor

Cantine facility

Where Act applies, Work continue for such period as may be prescribed, contract labour numbering

one hundred or more.

Rest Room - (Where labour is required to halt at night)

Other facilities- (Sufficient supply of drinking water, sufficient number of latrines and urinals,

Washing facilities)

First Aid Facilities

If contract labor not providing such facilities then principle employer should provided.

Pay a Wages / Payment

1000 or less employees - before 7

1000 or more then - before 10

2) Abolition:

Sec. 3 Advisory Board

Gov. can decide what to do if abolition can be happened.

Contract Labour (Body can be rejected to contract labour)

if, 1) Whether linked with core activity

2) Whether it is a pararell in nature

3) Other Company has given regular work or permanent worker for that same work in same industry.

Member of Board in Advisory

1) Chairman

2) Chief level commissioner (Ex officio- who holding & working in office)

3) 9-11 member for State Gov. and 11-17 member for Central Gov. working