MS 28 IGNOU MBA Solved Assignment - Explain genesis, scope, coverage and definitions of the Workmen’s Compensation Act, 1923.

Explain genesis, scope, coverage and definitions of the Workmen’s Compensation Act, 1923. Discuss what are the circumstances under which the employer is not liable to pay compensation for injury to a workman? What are the various benefits payable under the Act?

Ans : Workmen's Compensation Act, 1923

1) This Act may be called the Workmen's Compensation Act, 1923.

(2) It extends to the whole of India.

(3) It shall come into force on the first day of July, 1924.

The Workmen's Compensation Act, aims to provide workmen and/or their dependents some relief in case of accidents arising out of and in the course of employment and causing either death or disablement of workmen.

This act is a central legislation which provides for payment of compensation for injuries suffered by a workman in the course of and arising out of his employment according to the nature of injuries suffered and disability incurred, where death results from the injury, the amount of compensation is payable to the dependants of the workmen.

WORKMAN

Workman means any person (other than a person whose employment is of a casual nature and who is employed otherwise than for the purposes of the employers trade or business) who is- a railway servant as defined in section 3 of the Indian Railways Act, 1890 not permanently employed in any administrative, district or sub-divisional office of a railway and not employed in any such capacity as is specified in Schedule II, or employed in any such capacity as is specified in Schedule II,

Whether the contract of employment was made before or after the passing of this Act and whether such contract is expressed or implied, oral or in writing.

The provisions of the Act have been extended to cooks employed in hotels, restaurants using power, liquefied petroleum gas or any other mechanical device in the process of cooking.

EMPLOYEES ENTITLED TO COMPENSATION

Every employee (including those employed through a contractor but excluding casual employees), who is engaged for the purposes of employers business and who suffers an injury in any accident arising out of and in the course of his employment, shall be entitled for compensation under the Act.

The employer of any establishment covered under this Act, is required to compensate an employee :

• Who has suffered an accident arising out of and in the course of his employment, resulting into (i) death, (ii) permanent total disablement, (iii) permanent partial disablement, or (iv) temporary disablement whether total or partial, or

• Who has contracted an occupational disease.

• At the time of injury workman must have been engaged in the business of the employer and must not be doing something for his personal benefit;

• That accident occurred at the place where he as performing his duties; and

• Injury must have resulted from some risk incidental to the duties of the service, or inherent in the nature condition of employment.

• There must be a casual connection between the injury and the accident and the work done in the course of employment;

• The onus is upon the applicant to show that it was the work and the resulting strain which contributed to or aggravated the injury;

• It is not necessary that the workman must be actually working at the time of his death or that death must occur while he was working or had just ceased to work; and

• Where the evidence is balanced, if the evidence shows a greater probability which satisfies a reasonable man that the work contributed to the causing of the personal injury it would be enough for the workman to succeed. But where the accident involved a risk common to all humanity and did not involve any peculiar or exceptional danger resulting from the nature of the employment or where the accident was the result of an added peril to which the workman by his own conduct exposed himself, which peril was not involved in the normal performance of the duties of his employment, then the employer will not be liable.

EMPLOYER'S LIABILITY FOR COMPENSATION. -

(1) If personal injury is caused to a workman by accident arising out of and in the course of his employment, his employer shall be liable to pay compensation in accordance with the provisions:

Provided that the employer shall not be so liable -

(a) In respect of any injury which does not result in the total or partial disablement of the workman for a period exceeding three days;

(b) In respect of any injury, not resulting in death or permanent total disablement, caused by an accident which is directly attributable to -

(i) The workman having been at the time thereof under the influence of drink or drugs, or

(ii) The willful disobedience of the workman to an order expressly given, or to a rule expressly framed, for the purpose of securing the safety of workmen, or

(iii) The willful removal or disregard by the workman of any safety guard or other device which he knew to have been provided for the purpose of securing the safety of workmen,

(2) If a workman employed in any employment specified in Part A of Schedule III contracts any disease specified therein as an occupational disease peculiar to that employment, or if a workman, whilst in the service of an employer in whose service he has been employed for a continuous period of not less than six months (which period shall not include a period of service under any other employer in the same kind of employment) in any employment specified in Part B of Schedule III, contracts any disease specified therein as an occupational disease peculiar to that employment, or if a workman whilst in the service of one or more employers in any employment specified in Part C of Schedule III, for such continuous period as the Central Government may specify in respect of each such employment, contracts any disease specified therein as an occupational disease peculiar to that employment, the contracting of the disease shall be deemed to be an injury by accident within the meaning of this section and, unless the contrary is proved, the accident shall be deemed to have arisen out of, and in the course of, the employment :

Provided that if it is proved, -

(a) That a workman whilst in the service of one or more employers in any employment specified in Part C of Schedule III has contracted a disease specified therein as an occupational disease peculiar to that employment during a continuous period which is less than the period specified under this sub-section for that employment, and

(b) That the disease has arisen out of and in the course of the employment; the contracting of such disease shall be deemed to be an injury by accident within the meaning of this section:

Provided further that if it is proved that a workman who having served under any employer in any employment specified in Part B of Schedule III or who having served under one or more employers in any employment specified in Part C of that Schedule, for a continuous period specified under this sub-section for that employment and he has after the cessation of such service contracted any disease specified in the said Part B or the said Part C, as the case may be, as an occupational disease peculiar to the employment and that such disease arose out of the employment, the contracting of the disease shall be deemed to be an injury by accident within the meaning of this section.

(2A) If a workman employed in any employment specified in Part C of Schedule III contracts any occupational disease peculiar to that employment, the contracting whereof is deemed to be an injury by accident within the meaning of this section, and such employment was under more than one employer, all such employers shall be liable for the payment of the compensation in such proportion as the Commissioner may, in the circumstances, deem just.

(3) The Central Government or the State Government, after giving, by notification in the Official Gazette, not less than three months' notice of its intention so to do, may, by a like notification, add any description of employment to the employments specified in Schedule III, and shall specify in the case of employments so added the diseases which shall be deemed for the purposes of this section to be occupational diseases peculiar to those employments respectively, and thereupon the provisions of sub-section (2) shall apply In the case of a notification by the Central Government, within the territories to which this Act extends or, in case of a notification by the State Government, within the State as if such diseases had been declared by this Act to be occupational diseases peculiar to those employments.

(4) Save as provided by Sub-sections (2), (2A) and (3), no compensation shall be payable to a workman in respect of any disease unless the disease is directly attributable to a specific injury by accident arising out of and in the course of his employment.

(5) Nothing herein contained shall be deemed to confer any right to compensation on a workman in respect of any injury if he has instituted in a Civil Court a suit for damages in respect of the injury against the employer or any other person; and no suit for damages shall be maintainable by a workman in any Court of law in respect of any injury -

(a) If he has instituted a claim to compensation in respect of the injury before a Commissioner; or

(b) If an agreement has been come to between the workman and his employer providing for the payment of compensation in respect of the injury in accordance with the provisions of this Act.

ACCIDENT ARISING OUT OF AND IN THE COURSE OF EMPLOYMENT

An accident arising out of employment implies a casual connection between the injury and the accident and the work done in the course of employment. Employment should be the distinctive and the proximate cause of the injury. The three tests for determining whether an accident arose out of employment are:

The general principles that are evolved are:

AMOUNT OF COMPENSATION. -

(1) Subject to the provisions of this Act, the amount of compensation shall be as follows, namely :-

(a) where death results an amount equal to fifty from the injury cent of the monthly wages of the deceased workman multiplied by the relevant factor; or an amount of fifty thousand rupees, whichever is more;

(b) Where permanent total an amount equal to disablement results from sixty the injury per cent of the monthly wages of the injured workman multiplied by the relevant factor, or an amount of sixty thousand rupees, whichever is more.

(c) where permanent partial disablement results from the injury

(i) in the case of an injury specified in Part II of Schedule I, such percentage of the compensation which would have been payable in the case of permanent total disablement as is specified therein as being the percentage of the loss of earning capacity caused by that injury, and

(ii) in the case of an injury not specified in Schedule I, such percentage of the compensation payable in the case of permanent total disablement as is proportionate to the loss of earning capacity (as assessed by the qualified medical practitioner) permanently caused by the injury;

(d) Where temporary a half monthly payment of the sum disablement, whether equivalent to twenty-five per cent of total or partial, results monthly wages of the workman, to from the injury be paid in accordance with the provisions of sub-section (2).

(2) The half-monthly payment referred to in clause (d) of sub-section (1) shall be payable on the sixteenth day -

(i) from the date of disablement where such disablement lasts for a period of twenty-eight days or more; or

(ii) after the expiry of a waiting period of three days from the date of disablement where such disablement lasts for a period of less than twenty-eight days; and thereafter half-monthly during the disablement or during a period of five years, whichever period is shorter :

Provided that -

(a) there shall be deducted 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; and

(b) no half-monthly payment shall in any case exceed the amount, if any, by which half the amount of the monthly wages of the workman before the accident exceeds half the amount of such wages which he is earning after the accident.

(3) On the ceasing of the disablement before the date on which any half-monthly payment falls due, there shall be payable in respect of that half-month a sum proportionate to the duration of the disablement in that half-month.

(4) If the injury of the workman results in his death, the employer shall, in addition to the compensation under sub-section (1), deposit with the Commissioner a sum of one thousand rupees for payment of the same to the eldest surviving dependant of the workman towards the expenditure of the funeral of such workman or where the workman did not have a dependant or was not living with his dependant at the time of his death to the person who actually incurred such expenditure.

METHOD OF CALCULATING WAGES

In this Act and for the purposes thereof the expression "monthly wages" means the amount of wages deemed to be payable for a month's service (whether the wages are payable by the month or by whatever other period or at piece rates), and calculated as follows, namely:-

(a) where the workman has, during a continuous period of not less than twelve months immediately preceding the accident, been in the service of the employer who is liable to pay compensation, the monthly wages of the workman shall be one-twelfth of the total wages which have fallen due for payment to him by the employer in the last twelve months of that period;

(b) where the whole of the continuous period of service immediately preceding the accident during which the workman was in the service of the employer who is liable to pay the compensation was less than one month, the monthly wages of the workman shall be the average monthly amount which, during the twelve months immediately preceding the accident, was being earned by a workman employed on the same work by the same employer, or, if there was no workman so employed, by a workman employed on similar work in the same locality;

(c) in other cases [including cases in which it is not possible for want of necessary information to calculate the monthly wages under clause (b), the monthly wages shall be thirty times the total wages earned in respect of the last continuous period of service immediately preceding the accident from the employer who is liable to pay compensation, divided by the number of days comprising such period.

MS 28 IGNOU MBA Solved Assignment - Explain the objective, scope and coverage of the Payment of Wages Act, 1936. Describe the rules for the Payment of Wages regarding the responsibility for payment

Explain the objective, scope and coverage of the Payment of Wages Act, 1936. Describe the rules for the Payment of Wages regarding the responsibility for payment. Does this Act create the legal right of workers to receive their earned wages?

Ans

Applicability

i) Every person employed in any factory, upon any railway or through subcontractor in a railway and a person employed in an industrial or other establishment. ii) The State Government may by notification extend the provisions to any class of person employed in any establishment or class of establishments. 
Every person who is employed in any of the above mentioned establishments and who is drawing less than Rs. 1,600 per month.
ii) Preventing unauthorised deductions being made from wages and arbitrary fines. 

                                                                                                                  

Eligibility

Benefits : the Act prescribes for

i) The regular and timely payment of wages (on or before 7th day or 10th day after last day of the wage period in respect of which the wages are payable)

Penal Provisions

Penalties are from Rs. 200-1000. Repeat offenses attract 1 to 6 months imprisonment and fine from Rs. 500-3000.

wage payments attract penalty of Rs. 100 per day of delay.

Purpose of the Act

The main objective of the Act is to avoid unnecessary delay in the payment of wages and to prevent unauthorized deductions from the wages. Every person employed in any factory, upon any railway or through sub-contractor in a railway and a person employed in an industrial or other establishment.The State Government may by notification extend the provisions to any class of persons employed in any establishment or class of establishment. The benefit of the Act prescribes for the regular and timely payment of wages (on or before 7th day or 10th day of after wage period is greater than 1000 workers) and Preventing unauthorized deductions being made from wages and arbitrary fines.

Salary statics

Wages are averaging less than Rs. 6500.00 per month only are covered or protected by the Act by the amendment in 2005 by {Section 1(6)}.Wages means contractual wages and not overtime wages. They are not to be taken into account for deciding the applicability of the Act in the context of section 1(6) of the Act. Wages must be paid in current coin or currency notes or in both and not in kind. It is, however, permissible for an employer to pay wages by cheque of by crediting them in the bank account if so authorized in writing by an employed person.

Summary of the provisions of the Act

The provisions of the Act regarding the imposition of fines on the employed person are as follows such as, The employer must exhibit on his premises a list of acts or omissions for which fines can be imposed, Before imposing a fine on an employed person he must be given an opportunity of showing cause against the fine, The amount of fine must not exceed 3 percent of the wages, A fine cannot be imposed on an employed person who is under the age of 15 years, A fine cannot be recovered by installments or after 90 days from the day of the act or omission for which it is imposed, The moneys realized from fines must be applied to purposes beneficial to employed persons.

Subsection 8(3), 10(1-A) & Rule 15} deals with Any person desiring to impose a fine on an employed person or to make a deduction for damage or loss shall explain personally or in writing to the said person the act or omission, or damage or loss in respect of which the fine or deduction is proposed to be imposed, and the amount of fine or deduction, which it is proposed to impose, and shall hear his explanation in the presence of at least one other person, or obtain it in writing.

The procedure and Competent authority which deals with employment matters

The procedure to employ a person has to follow for claiming deducted or delayed wages.If contrary to the provisions of the Act any deduction has been made from the wages of an employed person or any payment of wages has been delayed, he has to make an application for claiming the same to the Authority appointed under the Act.Such application can be made by the employed person himself or a legal practitioner or an official of a registered trade union.Such application has to be made within a period of 12 months from the date on which the date on which the deduction from the wages was made or from the date on which the payment of the wages was due to be made.

There is a competent Authority to entertain and decide an application for payment of subsistence allowance. The subsistence allowance payable to an employee placed under suspension pending Departmental Enquiry is covered within the definition of wages given under Section 2(6) of the Act and, therefore, the Authority is competent to entertain and decide an application for payment of subsistence allowance.

The Authority under the Payment of Wages Act is a Court of summary jurisdiction having powers to deal with the simple matter of delay in payment of wages or deduction from wages. It is not within the competence of the Authority to decide the question of the status of an employed person. The matter is a complicated question of law as also of fact. There is an agreement between an employer and his employees authorizing the deduction of union subscription from the salaries of the employer null and void under Section 23 of the Act, Such agreement being beneficial and advantageous to the employees is not null and void under Section 23 of the Act.

Employer's duty

Employer's required to display the abstracts of the Act in his factory or establishment. Every employer must display in his factory or establishment a notice containing the abstracts of the Act and the rules made thereunder in English and also in the language understood by the majority or the persons.

Conclusion

The Payment wages act is a regulation drawn up to protect the employee’s rights from being infringed by the employer. The employee should be paid on time and should not be harassed against anything during the employment. It has however given a lot of protections to employees and will continue to do so in the future as well.

MS 28 IGNOU MBA Solved Assignment - Explain the principal objectives, scope and coverage of the Industrial Disputes Act, 1947-1. Describe the various machineries for investigation and settlement of disputes under the Act.

Explain the principal objectives, scope and coverage of the Industrial Disputes Act, 1947-1. Describe the various machineries for investigation and settlement of disputes under the Act.

Ans :

• “DISPUTES ACT, 1947 1 77 the indian Constitution sets up a machinery to achieve the goal of economic democracy alongwith political democracy, forthelatterwould be meaningless without the _ fonner in a poor country like lndia."13 Therefore the need for state intervention permeates the Act in its broad lines, "which in a welfare State cannot afford to look askance at industrial unrest and industrial disputes."" Industrial Arbitration is the tool available in the Act to the parties to industrial dispute which can be compelled by the State, thus the elements of Welfare State Policy and Social justice are the integral part of the Act, being routed through collective- bargaining, conciliation, arbitration and in the event of failure of these measures, compulsory adjudication is the provision.15 Hence it is the purpose ofthe Act to promote social iustice and welfare state policy by resorting to welfare of its subiects which was expressed in Life Insurance Corporation of India v. D.J. Bhadur casem as under; "The personality of the whole statute has a welfare basis, it _ being a beneficial legislation which protects labour. promotes their contentment and regulates situations of crisis and tension where production may be imperiled by untenable strikes

• under: "Though social and economic justice is the ultimate ideal - of industrial adjudication, its immediate objective in an industrial dispute as to wage structure ls to settle the dispute by constituting such awage structure as would do justice to the interests of both labour and capital, would l bring harmony between them and lead to the genuine and whole hearted co-operation in the task of production." 'This is a classic example, says Justice Raina, where the competing claims ol justice to the employer and social justice to the workers are reconciled in order to maintain harmony between part ll and partlv aslater emphasised in Minerva Mills case’°B. The foregoing discussion makes it clear that the main objective oi the Industrial Disputes Act, 1947 was to formulate a law which can deal with employees and employers in the matter of industrial relations and condition of work etc. So thatthe interest of industry, industrial workers and the community as a whole is well protected. SCHEME OF THE ACT : A BRIEF REVIEW 11. The Industrial Disputes Act, 1947 is a Central Act. The Act has so far undergone several major and minor amendments by the Parllament.1g lt contains 40 sections

•  1. Short title, extent and commencement

• 2.Definitions

• 2A. Dismissal, etc., of an individual workman to be deemed to be an industrial dispute

• 3. Works Committee

• 4. Conciliation officers

• 5. Boards of Conciliation

• 6. Courts of Inquiry

• 7. Labour Courts

• 7A. Tribunals

• 7B. National Tribunals

• 7C. Disqualifications for the presiding officers of Labour Courts, Tribunals and National Tribunals

• 8. Filling of vacancies

• 9. Finality of orders constituting Boards, etc

• 9A. Notice of change

• 9B. Power of Government to exempt

• 10. Reference of dispute to Boards, Courts or Tribunals

• 10A. Voluntary reference of disputes to arbitration

• 11. Procedure and power of conciliation officers, Boards, Courts and Tribunals

• 11A. Powers of Labour Court, Tribunals and National Tribunals to give appropriate relief in case of discharge or dismissal of workmen

• 12. Duties of conciliation officers

• 13. Duties of Board

• 14. Duties of Courts

• 15. Duties of Labour Courts, Tribunals and National Tribunals

• 16. Form of report or award

• 17. Publication of reports and awards

• 17A. Commencement of the award

• 17B. Payment of full wages to workman pending proceedings in higher courts

• 18. Persons on whom settlements and awards are binding

• 19. Period of operation of settlements and awards

• 20. Commencement and conclusion of proceedings

• 21. Certain matters to be kept confidential

• 22. Prohibition of strikes and lock-outs

• 24.Illegal strikes and lock-outs

• 25. Prohibition of financial aid to illegal strikes and lock-outs

• 25A.Application of sections 25C to 25E

• 25B. Definition of continuous service

• 25C. Right of workmen laid-off for compensation

• 25D. Duty of an employer to maintain musters rolls of workmen

• 25E. Workmen not entitled to compensation in certain cases

• 25F. Conditions precedent to retrenchment of workmen

• 25FF. Compensation to workmen in case of transfer of undertakings

• 25FFA. Sixty days’ notice to be given of intention to close down any undertaking

• 25FFF. Compensation to workmen in case of closing down of undertakings

• 25G. Procedure for retrenchment

• 25H. Re-employment of retrenched workmen

• 25I. Recovery of moneys due from employers under this Chapter

• 25J. Effect of Laws inconsistent with this Chapter

• 25K. Application of Chapter VB

• 25L. Definitions

• 25M. Prohibition of lay-off

• 25N. Conditions precedent to retrenchment of workmen

• 25O. Procedure for closing down an undertaking

• 25P. Special provision as to restarting undertakings closed down before commencement of the Industrial Disputes (Amendment) Act, 1976

• 25Q. Penalty for lay-off and retrenchment without previous permission

• 25R. Penalty for closure

• 25S. Certain provisions of Chapter VA to apply to industrial establishment to which this Chapter applies

• 25T. Prohibition of unfair labour practice

• 25U. Penalty for committing unfair labour practices

• 26. Penalty for illegal strikes and lock-outs

• 27. Penalty for instigation, etc

• 28. Penalty forgiving financial aid to illegal strikes and lock-outs

• 29. Penalty for breach of settlement or award

• 30. Penalty for disclosing confidential information

• 30A. Penalty for closure without notice

• 31. Penalty for other offences

• 32. Offence by companies, etc

• 33. Conditions of service, etc., to remain unchanged under certain circumstances during pendency of proceedings

• 33A. Special provision for adjudication as to whether conditions of service, etc., changed during pendency of proceeding

• 33B. Power to transfer certain proceedings

• 33C. Recovery of Money Due from an Employer

• 34. Cognizance of offences

• 35. Protection of persons

• 36. Representation of parties

• 36A. Power to remove difficulties

• 36B. Power to exempt

• 37. Protection of action taken under the Act

• 38. Power to make rules

• 39. Delegation of powers

• 40. Power to amend Schedules

1. Transport (other than railways) for the carriage of passengers or goods by land or water.

1. Banking.

1. Cement.

1. Coal.

1. Cotton textiles.

1. Foodstuffs.

1. Iron and steel.

1. Defence establishments.

1. Service in hospitals and dispensaries.

1. Fire brigade service.

1. India Government Mints.

1. India Security Press.

1. Copper Mining.

1. Lead Mining.

1. Zinc Mining.

1. Iron Ore Mining.

1. Service in any oil field.

1. Omitted

1. Service in uranium industry.

1. Pyrites mining industry.

1. Security Paper Mill, Hoshangabad.

1. Services in Bank Note Press, Dewas.

1. Phosphorite mining.

1. Magnesite Mining.

1. Currency Note Press.

1. Manufacture or production of mineral oil (crude oil), motor and aviation spirit, diesel oil, kerosene oil, fuel oil, diverse hydrocarbon oils and their blends including synthetic fuels, lubricating oils and the like.

1. Service in the International Airports Authority of India.

INDUSTRIES WHICH MAY BE DECLARED TO BE PUBLIC UTILITY SERVICES UNDER SUB-CLAUSE (VI) OF CLAUSE (N) OF SECTION 2

Industrial establishments manufacturing or producing Nuclear Fuel and Components, Heavy Water and Allied Chemicals & Atomic Energy.

MS 28 IGNOU MBA Solved Assignment - Explain the scope and coverage of the Mines Act, 1952. Describe the enforcement of the Act. Discuss the provisions regarding working hours for adults under the Act.

Explain the scope and coverage of the Mines Act, 1952. Describe the enforcement of the Act. Discuss the provisions regarding working hours for adults under the Act.
Ans :The Mines Act, 1952 contains provisions for measures relating to the health, safety and welfare of workers in the coal, metalliferous and oil mines. According to the Act,the term ‘mine’ means “any excavation where any operation for the purpose of searching for or obtaining minerals has been or is being carried on and includes all borings, bore holes, oil wells and accessory crude conditioning plants, shafts, opencast workings, conveyors or aerial ropeways, planes, machinery works, railways, tramways , slidings, workshops, power stations, etc. or any premises connected with mining operations and near or in the mining area”.The Act prescribes the duties of the owner to manage mines and mining operation and the health and safety in mines. It also prescribes the number of working hours in mines, the minimum wage rates, and other related matters.The Act is administered by the Ministry of Labour and Employment through the Directorate General of Mines Safety (DGMS). DGMS is the Indian Government regulatory agency for safety in mines and oil-fields. It conducts inspections and inquiries, issues competency tests for the purpose of appointment to various posts in the mines, organises seminars/conferences on various aspects of safety of workers. The mission of DGMS is to reduce the risk of occupational diseases and injury to persons employed in mines and to continually improve safety and health standards, practices and performance in the mining industry.The history of safety legislation for Indian Mining Industry can be traced back as follows-The first concrete proposal for the inspection and regulation of mining operations in India came in 1890 from the Secretary of State Lord Cross and Mr. James Grundy was the first Inspector of Mines appointed by the Government of India. He worked within the organization of Geological Survey of India and his duty was to inspect mines and to make recommendations on the type of regulations needed. Mr. Grundy in his first report submitted to the then Director of Geological Survey of India stressed the need for passing mines regulations act which would amongst other things provide for the establishment of special rules having legal standing as the Act itself. Briefly the act was to provide for notices of opening etc. of mines and of accidents, minimum age for boys and girls employed underground, first aid, management and supervision and safety matters, special rules for coal and other minerals were to provide for additional safety matters including report of inspection of all parts of mines and machinery. In 1895 Government of India appointed a Committee to frame general rules applicable to mines or groups of mines and to specify the heads on which legislation was desirable and the provisions which were made under each of the heads. The Committee submitted its report in 1896. In 1897 a big disaster occurred in the Kolar Goldfield in which 52 persons were killed in a shaft accident. In 1899 in Khost Coal Mine in Baluchistan (now in Pakistan) a mine fire occurred which caused the death of 47 persons.The finalisation of the mining legislation was therefore expedited and the Mines Act was enacted in 1901 and also brought in force the same year. The Mines Act which came in force in 1901 covered all minerals worked up to the depth of over 6 m. The main features of this Act were-

• Inspectors were empowered to enter and inspect mines, and to enquire into accidents,

• The employment of competent managers in mines was required. Managers Competency Certificates were instituted,

• The Government was empowered to frame rules, etc. for regulating work in the mines,

• Penalties were prescribed for contravention of its various provisions.

The Act of 1901 was amended in 1910 and again in 1914.Further progress of mining technology called for newer safety legislations and development of newer mining technologies and safety legislations proceeded simultaneously.By 1922 it was felt necessary to re-enact the Mines Act and it was re-enacted in 1923. The Indian Mines Act, 1923, applied to British India only. There were 49 sections of this Act, six of which were concerned with the appointment, functions and powers of the Inspectorate. Four sections relate to the formation and activities of Mining Boards and Committees, while three sections refer to the duties and responsibilities of owners, agents and managers. The health and safety of workers were provided for in six sections of the Act and provision is made for hours of work and limitation of employment. The powers of the Central Government to make regulations and of the Provincial Governments to make rules were laid down and penalties and procedure were embodied in the Act.Indian Coal and Metalliferous Mines Regulations were formulated under Section 29 of the Indian Mines Act, 1923, and gazetted in the year 1926. These regulations were prescribed for the safe working of mines and for the submission of the various notices to the District Magistrate and the Chief Inspector of Mines.Rules for Coal and Metalliferous Mines were made under Section 30 of the Indian Mines Act by the various Provincial Governments. These rules provide for:-

• Sanitary and Health provisions;

• Ambulance, First-Aid and Rescue work;

• Registration of work-persons;

• Safety of surface ;

• Abandonment of mines;

• Inquiry in the case of accidents ;

• Certificates of fitness for employment underground of persons who have not completed 17 years of age.

Bye-laws made under section 32 of the Indian Mines Act were framed by the owner, agent or manager of a mine with the approval of the Chief Inspector of Mines or an Inspector for the control and guidance of the persons acting in the management of, or employed in, the mine, to prevent accidents and to provide for the safety, convenience and discipline of the persons employed in the mine.For the administration of the requirements of the Indian Mines Act the following staff were employed:-

• One – Chief Inspector of Mines.

• Three – Inspectors of Mines.

• Four – Junior Inspectors of Mines.

• One – Electric Inspector of Mines.

• One – Assistant Inspector of Mines.

Every mine was required to be under the supervision of a manager who had the prescribed qualifications, and who was held responsible for the control, management and direction of the mine, and the owner or agent of every mine was required to appoint himself or some other person having such qualifications to be manager of the mine.The owner, agent or manager of every mine was responsible that all operations carried on in connection therewith were conducted in accordance with the provisions of the Act and of the regulations, rules and bye-laws and of any orders made thereunderThe following mines were worked in British India and were regulated by the Indian Mines Act-1923 :-Coal, iron-ore, manganese ore, gold, chromite ore, copper ore, mica, salt, magnesite, steatite, slate, limestone, stone, sand-stone, fire- clay, china clay, clay, barytes, asbestos, ochre, kaolin, gypsum, beryl, graphite, bauxite, felspar, kyanite and tantalite.The Mines Act-1923 was amended successfully in 1925, 1927, 1928, 1931, 1935, 1936, 1937, 1940 and 1946. In spite of its several amendments, the Act of 1923 was deficient in many respects. Some of the deficiencies were as follows:-

1. Mine workshops were subject to the Factories Act-1948 which was administered by the State Government. Fitters, Electricians etc. employed in such workshops frequently worked for a part of the shift in the workings of the mine and when so employed, were logically governed by the Mines Act. Thus the same person at different times during the working shift were subject to two different Acts administered by two different authorities.

1. Labour welfare provisions in mines were found to be inadequate. Additional measures were called for to bring about an improvement in the standard of living of mine workers.

1. The Factories Act was amended in 1946 reducing the working hours. Therefore the Mines Act also had to be revised to bring it in conformity with the Factories Act.

1. Provisions regarding holidays with pay and monetary relief during sickness had to be incorporated.

To remove these defects and deficiencies the Mines Act was re-enacted in 1952 and was brought into force from 1 st July 1952. The Act was amended in 1959 and 1983 to bring in force some new provisions.

MS 28 IGNOU MBA Solved Assignment -explain the concept, origin and objectives of Labour Legislations. Describe the regulative protective and wage related labour legislations

Explain the concept, origin and objectives of Labour Legislations. Describe the regulative protective and wage related labour legislations which have been followed in an organisation you are familiar with. Briefly describe the organisation you are referring to.

Ans :

• 1. LABOR LEGISLATIONLabor Legislation : The term ‘Labor Legislation’ is usedto cover all the laws which have been enacted to dealwith employment and non-employment, wages, workingconditions, industrial relations, social security andwelfare of persons employed in industries. Thus ‘Labor Legislation’ refers to all laws of thegovernment to provide social and economic security tothe workers. These acts are aimed at reduction ofproduction losses due to industrial disputes and toensure timely payment wages and other minimumamenities to workers.

• 2. Nature of Labor LegislationProducts of Industrial Revolution Regards Individual as a worker Deals with problems of Labor It Is Role -RelationRegulates Conditions of Labor

• 3. • Products of Industrial Revolution : The Labor Legislations are the products of Industrial Revolution and they have come into being to take care of errors created by it due to specific circumstances.. They are different from common legislations.Thyerefore they are specific and not general in philosophy, concept and even in practice.II. Regards Individual as a worker : Labor Legislation regards the individual as a worker, whereas social legislation considers him as primarily as a citizen. Workers being the weaker class of the society, suffer at the hands of the employers. Therefore, these set of legislations are aimed at protecting and securing justice to them.

• 4. III. Deals with Problems of Labor : Labor Legislations seeks to deal with theproblems arising out of the occupationalstatus of individuals. Problems such as hoursof work, wages, working conditions, tradeunionism, industrial relations are the mainsubject matter of labor legislation.

• 5. IV. It is Role- Relation : Individuals have different role to performand different laws are designed for regulatingthe different roles. It is the role relation thatdetermines whether a particular legislationfalls under the category of labor legislation,social legislation or general legislation. Allthese legislations try to meet the specificobjectives that are:To provide subsistence (means).To aim at abundance (affluence).To encourage equality.To maintain security.

• 6. V. Regulates Conditions of Labor: Labor legislations are aimed at regulatingconditions of labor, hence they are required to berevised more frequently as compared to generallegislations. Unless labor legislation are subjectedto frequent revision and left to continue as theyare, they become absolete and irrelevant.

• 7. Need For Labor Legislation Weak Labor Organizations Occupational Insecurity Hazardous Working Conditions Law And OrderAchieving Socio – Economic Progress

• 8. The Need of Labor Legislation becomes important because of following reasons :• Weak Labor Organizations : Individual worker is economically very weak and is unable to bargain his terms with the employers. Even, Labor organizations are relatively weak and in most cases, they depend merely on the mercy employers. Now as the payment of wages, lay off, dismissal, retrenchments etc, are all governed by the legislations, economic insecurity of workers is removed to great extent.

• 9. • Occupational Insecurity : The workers in many organizations, did not get the amount in case of accidents, deaths etc. As a result, the workers faced occupational insecurity. Now, benefits such as Occupational Act, Employees State Insurance Act, etc have been statutorily given to the employees.• Hazardous Working Conditions: Workers health and safety is always in danger due to harmful working condition in some factories.The Factories Act, contains a numbere of provisions relating to health, safety and welfare of workers.

• 10. • Law And Order : Labor legislation is also necessary in order to maintain law and order situation and national security of the country.The idea of welfare state is emboided in the directive principles of the constitution and for that reason various labor laws have been enacted to protect the sections of the society.• Achieving Socio –economic Progress : Labor legislation is one of the most progressive and dynamic instruments for achieving socio – economic progress.

• To make statutory provision for the regulartrainings of a certain number of apprentices indifferent trades.ØTo improve and regulate the working conditionsof workers employed in different factories andestablishments.ØTo ensure that the service conditions should beclearly spelt out by the employer to theemployee.ØTo protect the workers from profit seekingexploiters.Ø11. Objectives of Labor Legislation :

• To maintain the dignity of employees in therorganizations.ØTo protect the interests of women and childerenworking in the factories.ØTo preserve the health, safety and welfare ofworkers.ØTo promote industrial relations and industrialpeace between employers and employees.ØTo ensure that the employees are paid their wageson fixed dates and there should be no deductionmade from the wages.Ø12.

• 13. Growth Of Labor Legislation in India :Labor legislation in India grew with the growth ofindustry.In the eighteenth century India was notonly a great agricultural country but a greatmanufacturing country too. Asian and Europeanmarkets were mainly fed by the looms supplied byIndia. but British government in India as a matter ofpolicy discouraged Indian manufacturers in order toencourage the rising manufacturers of England.Their policy was to make Indian people grow onlyraw materials. The British oppression in India continuedfor some time, which led to the growth of Indiannationalism. In twentieth century, the national movementtook a new turn and there was a common demand forIndian goods.

• 14. A non- cooperation movement, which is known asSwadeshi movement, was started , which urged uponthe people to use goods made in India and to boycottforeign goods. The non – cooperation movement synchronized withperiods o economic crisis gave impetus toindustrialization. Not only that, growth of Indian privatesector owes much to these popular movements. Indianeconomists not only advocated that the trade andcommerce should be free but they laid emphasis on thefree trade of local goods. An attempt was made to putforward a theory of economic development andplanning suited to conditions of our country. Afterthirtieth century planning was accepted by the nationalmovement as its economic ideology. Thus plannedIndustrialization became our main goal.

• 15. In India the plantation industry in Assam was the first to attract the legislative. A number of acts were passed from 1863 onwards to regulate the recruitments. These legislations protected more interests of the employers than safeguarding the interest of the workers.The Factories Act, was passed in 1881 and theMines Act in1901.But the most important act that was passed to protect the interest of the workers was the Workmen’s Compensation Act, 1923. Some of the other important social security legislations are :3. The Employees State insurance Act, 19484. The employees Provident Funds Act, 1952 and5. The Maternity Benefit Act, 1961

• 16. Laws were also made to regulate the labor management relations. Some of them are :2. The Industrial Disputes Act, 19473. The Trade Unions Act, 1926, and4. The Industrial Employment (Standing Orders ) Act, 1946. Labor legislations ensuring labor welfare and minimum standards were also enacted. Some of them are :6. The Factories Act, 19487. The Minimum Wages Act, 19488. The Payment of Wages Act, 1936, and9. The Payment of Bonus Act, 1965.

• 17. Impact Of ILO Labor class is indeed one of the classes most vulnerableto exploitation. Most of the labor legislations in India are pre- constitutional. The concept of fundamental rightswas introduced in the constitution. The success of these labor legislations must be attribute to the ILO, as the guidelines issued by the ILO formed the principle on which these legislations were drawn. The ILo did have a great impact on the labor laws in India. Many new laws were enacted to incorporate the guidelines of the ILO.

• 18. The Setting of ILO also saw the amendment of Factories Act, 1881. All these amended and enacted legislations make provisions for the general welfare and protection of interest of the labors in India.The positive influence of ILO was seen in the form of recognition of many new kinds of rights that were not available to the labor class, but were made available post creation of ILO. The impact of ILO on India is felt in the following fields :• Labor Legislation : Until 1919, there were no important labor legislations in India.But, with the establishment of ILO and Indians uninterrupted association with this organizations, coupled with trade union pressure in the country, has greatly influenced labor legislation.

• 19. • Technical Assistance :The ILO has been providing technical assistance in implementing various social security measures in programs designed to explore workers education, including vocational training and in improving employment service.• Social Security :The ILo assigned technical expertise to advise on the implementation of social security legislation such as Employees State Insurance Act of 1948.• Vocational Training : Technical assistance in the fields of vocational training began in 1950 and has since covered various aspects of the programs. During this period, ILo assisted in formulating suitable syllabuses for different grades of workers in different trades and thereby helped to improve the standars of vocational training in India.

• 20. 1) Training within the Industry : ILO experts helped in training large number of persons in India to ensure systematic introduction of the training within the program in interested mills.2) Employment Service : The ILo provided experts to assist the authorities to improve employment service. They assisted in organizing pilot projects for collecting exhaustive data on labor market and in classification of industrial occupation on the basis of ILo’s international standards classification for further research and analysis in India.

• 21. • Productivity : The ILo experts have been collaborating with their Indian counter parts in the study of the problems connected with productivity since 1952.The recommendations given by them led to the establishment of the national productivity center.

• 22. Impact of ILO on Labor Laws in India : With the growth and expansion of factories and industries new avenues for employment were created,resulting in to gradual migration of labor force from rural areas to urban areas.In the absence of any state control or organization of the workers, the employers were less concerned about the needs of the employees & their work hours. The wageswere much below the subsistence (survival )level and the working conditions were unsatisfactory. This situations led to the enactment of a number oflegislations beginning from the year 1881. These include The Factories Act (1881), Workmens Compensation Act(1923), Trade Unions Act (1926), The Payment of WagesACt,(1936), The Maternity Benefit Act (1939) and so on.

• 23. The Factories Act 1881, is the basis of all labor andindustrial laws of the country.It contained provisions foreven working hours for men and women, minimum agefor employment of children. After the formation of ILO in1919,this act was amended, which made provisions forsafety, health and hygiene of the workers. It also madespecial provision for women and juvenile workers (i.e.labor above the age of 16 but less than 18).It alsoprohibited child labor.

• 24. Under the Mines Act 1923, which applies to workersemployed in mines, the hours of work for the personsemployed on the surface are limited to ten per day andfifty four per week. The periods of work including restinterval should not be more than 12 hours in a day. Forthe workers working underground, the working hours perday is nine .The Act does not contain provisions forovertime. No worker is to work in a mine for more thansix days a week. The Act does not provide for wages forthe weekly rest day.

• 25. The Government of India set up an enquiry committee in1926 to ascertain the loophole for irregularity of payment ofwages to industrial workers. The Royal Commission on Laborconsidered the reports and suggestions and recommended forenactment relating to payment of wages. It aimed (a) Atdisbursement of actual wages to workers within the prescribedperiod and (b) To ensure that the employees get their fullwages without any deduction. The object of the Act obviouslywas to provide a cheap and speedy remedy for employees torecover the wages due to them. The Weekly holidays Act,1942 prescribes one paid holidaya week for persons employed in any shop, restaurant ortheater. The government is empowered to grant additional half-day holiday with pay in a week.

• 26. The Industrial Dispute Act, 1947 provided forestablishment of industrial tribunal by theappropriate government in British India. Itestablished a full- fledged industrial tribunal foradjudication of industrial disputes for the firsttime. The Industrial Employment (Standing Orders)Act, 1946, defined the terms of employment ofworkmen in the form of standing orders . The Merchant Shipping Act, 1923, provided foragreement between a seaman and the master ofthe ship regarding the terms of service.

• 27. Impact of ILO Conventions on Labor Laws Conventions are international treaties and areinstruments, which create legally binding obligations onthe countries that ratify (accept) them. Recommendationsare non- binding and set out guidelines orienting nationalpolicies and actions. The ILO was set up in the year 1919, with an aim toimprove the conditions of labors around the world. ILOthrough its conventions and recommendations helpsnations to draw their own set of labor laws for the bettertreatment of the working class and the preservation oftheir rights. India was the founding member of ILO. TheILO instruments have provided guidelines and usefulframework for the evolution of legislative andadministrative measures for the protection andadvancement of the interest of labor in India.

• 28. Ratification of a convention imposes legally bindingobligations on the country concerned, therefore Indiahas been very careful in ratifying conventions. India hasalways made it a practice to ratify conventions when itis fully satisfied that its laws and practices are inconformity with the relevant ILO convention. So far,India has ratified 39 conventions of the ILO. There are eight core conventions of the ILO (alsocalled fundamental / human rights conventions). Theyare as follows: The first four conventions have beenratified by India.

• Worst Forms of Child Labor Convention.(No.182)ØMinimum Age Convention.(No.138)ØRight to Organize and Collective BargainingConvention (No.98),ØFreedom of Association and Protection of Rightto Organized Convention (87),ØDiscrimination (Employment Occupation)Convention (No.111),Ø Equal Remuneration Convention. No. 100)ØAbolition of forced Labor Convention. (No.105)ØForced Labor Convention (No.29)Ø29.

• 30. Types Of Labor LegislationsProtective Labor LegislationRegulative Labor Legislation Social Security Legislations Welfare Legislations

• 31. I) Protective Labor Legislations :The legislations whose primary purpose is to protect minimum labor standards and improve working conditions are protective labor legislations. Legislations laying down the minimum labor standards in the areas of work, safety, employment of children and women and also the manner of wage payment come under this category. The Indian labor laws under this category are :3) The Factories Act, 1948,4) The Mines Act, 1952,5) The Plantation Labor Act, 1951,

• 32. 1) The Motor Transport Workers Act, 1961,3) The Shops and Establishment Act passed by various states,5) The Payment of Wages Act, 1936,7) The Minimum Wages Act, 1948,9) The Child Labor (Prohibition and regulation) Act, 1986 and11)Contract Labor (Regulation and Abolition) Act, 1970.

• 33. II )Regulative Legislations :The legislations whose primary purpose is to regulate the relations between employers and employees and to provide for methods and manners for settling industrial disputes are Regulative Legislations. This laws also regulate the relationships between workers and trade unions, the rights and obligations of the organizations of employers and workers, as well as their mutual relationships. The laws under this category are as follows :3) The Trade Unions Act, 1926,4) The Industrial Disputes Act, 1947, and5) The Industrial Employment (Standing Orders) Act, 1946

• 34. III) Social Security Legislations :The Legislations which intend to provide social security benefits to the workmen during certain contingencies of life are Social Security Legislations. Though this legislations may cover other classes of citizens also, their primary goal has been to protect the workers. The laws under this category are as follows:3) The Workmens Compensation Act, 1923,4) The Employees State Insurance Act, 1948,5) The Coal Mines Provident Fund and Miscellaneous Provisions Act, 1948,6) The Employees Provident Funds and Miscellaneous Provisions Act, 19527) The Maternity Benefit Act, 1961, and8) The Payment of Gratuity Act, 1972.

35. IV) Welfare Legislations:The legislations which aim at promoting the general welfare of the workers and improve their living conditions are Welfare legislations. Such laws carry the term “Welfare” in their titles. The Laws under this category are as follows :3) Mica Mines Labor Welfare Fund Act, 1946,4) Iron Ore Mines, Manganese Ore Mines and Chrome Ore Mines labor Welfare Fund Act, 1976 and5) Beedi Workers Welfare Fund Act, 1976.All of these laws provide for the funds which is spent on improving the general welfare of workers including housing, medical, educational and recreational facilities.