NAME: MEENAKSHI ROLL NO: 03413703912 MBA 3RD SEM

ASSIGNMENT DEC-2008 Question

Que8: Briefly discuss the present scenario of the Indian Industrial Legislation in promoting employees benefits. Ans: Labour legislation that is adapted to the economic and social challenges of the modern world of work fulfils three crucial roles: It establishes a legal system that facilitates productive individual and collective employment relationships, and therefore a productive economy; By providing a framework within which employers, workers and their representatives can interact with regard to work-related issues, it serves as an important vehicle for achieving harmonious industrial relations based on workplace democracy; It provides a clear and constant reminder and guarantee of fundamental principles and rights at work which have received broad social acceptance and establishes the processes through which these principles and rights can be implemented and enforced.

Various laws for promoting employees benefits are:1) Employee State Insurance Act, 1948 The Employee State Insurance Act, [ESIC] 1948, is a piece of social welfare legislation enacted primarily with the object of providing certain benefits to employees in case of sickness, maternity and employment injury and also to make provision for certain others matters incidental thereto. Objectives: The ESI Act is a social welfare legislation enacted with the object of providing certain benefits to employees in case of sickness, maternity and employment injury. Under the Act, employees will receive medical relief, cash benefits, maternity benefits, pension to dependents of deceased workers and compensation for fatal or other injuries and diseases. Benefits under the Scheme Employees covered under the scheme are entitled to medical facilities for self and dependants. They are also entitled to cash benefits in the event of specified contingencies resulting in loss of wages or earning capacity. The insured women are entitled to maternity benefit for confinement. Where death of an insured employee occurs due to employment injury or occupational disease, the dependants are entitled to family pension.

2) EMPLOYEES PROVIDENT FUND AND MISC. PROVISIONS

ACT, 1952

The act was amended in 1971 to provide for family pension and life assurance benefits also and it was renamed as The Employees Provident Funds and Family Pension Fund Act, 1952. The Act extends to the whole of India except the State of Jammu and Kashmir. Objective: In the preamble of the Act, the object of the Act is to provide for the institution of provident funds for employees in factories and other establishments. Applicability All factories and establishments in which 20 or more are employed Schemes under the Act Three beneficial schemes1. Employees Provident Fund Scheme 1952 2. Employees Pension Scheme 1995 3. Employees Deposit Linked Insurance 1976 3) THE FACTORIES ACT, 1948 The factories Act was passed in 1948 to regulate labour employment in the factories. The Act is an important legislation which is intendend for the benefits of workers. It came into force on April 1, 1949. It extend to the whole of India including the state of Jammu and Kashmir.

Objective of the Act To protect the labour employed in factories from unduly long hours of manual labour or bodily strain. To provide for healthy and sanitary conditions. To take precautions for the safety of workers. To maintain effective supervision by the state government by appointment of inspecting staff for factories.

5) INDUSTRIAL DISPUTES ACT, 1947 The Industrial Disputes Act, 1947 is an important piece of socioeconomic legislation. The act is primarily meant for (a) regulating the relations between employers and workmen, past, present and future; (b) encouraging collective bargaining; and (c) maintaining industrial peace by preventing illegal strikes and lock-outs and to provide for lay-off and retrenchment compensation. Objective of the Act 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 negotiations. The Act also lays down: (a) The provision for payment of compensation to the Workman on account of closure or lay off or retrenchment. (b) The procedure for prior permission of appropriate Government for laying off or retrenching the workers or closing down industrial establishments.

(c) Unfair labour practices on part of an employer or a trade union or workers. 6) THE PAYMENT OF BONUS ACT, 1965: The payment of Bonus Act provides for payment of bonus to persons employed in certain establishments of the basis of profits or on the basis of production or productivity and for matters connected therewith. It extends to the whole of India and is applicable to every factory and to every other establishment where 20 or more workmen are employed on any day during an accounting year. The objective of this Act is to provide for the payment of bonus to persons employed in certain establishments and for matters connected therewith. 7) THE WORKMEN'S COMPENSATION ACT, 1923 The Workmens 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. It provides for payment by certain classes of employers to their workmen compensation for injury by accident. The Act does not apply where workman covered under ESI Act - Since a workman is entitled to get compensation from Employees State Insurance Corporation, a workman covered under ESI Act is not entitled to get compensation under Workmens Compensation Act, as per section 53 of ESI Act, 1948.

8) THE PAYMENT OF WAGES ACT, 1936 The payment of wages Act was passed in 1936 and it came into force from 28th march, 1937. Thereafter , the Act was amended in 1937, 1940,1951,1957,1964,1970,1971,1977 and 1982. The payment of wages Act,1982 extended the application of the Act to cover persons whose average wages are below Rs. 1,600. Objective of the Act The preamble of the Act lays down its object as an Act to regulate the payment of wages to certain classes of persons employed in industry.

9) . THE MINIMUM WAGES ACT, 1948 The concept of Minimum Wages was first evolved by ILO in 1928 with reference to remuneration of workers in those industries where the, level of wages was substantially low and the labour was vulnerable to exploitation, being not well organised and having less effective bargaining power. The need for a legislation for fixation of minimum wages in India received boost after World War II when a draft bill was considered by the Indian Labour Conference in 1945. The Minimum Wages Bill was passed by the Indian Dominion Legislature and came into force on 15th March, 1948. Under the Act both State and Central Government are Appropriate Governments for fixation/revision of minimum rates of wages for employments covered by the Schedule to the Act. The minimum rates of wages also include Special Allowance (Variable Dearness Allowance) linked to Consumer Price Index Number which are revised twice a year effective from April and October. The rates of wages once fixed are revised at an interval not exceeding of five years. ***********