Industrial Employment standimg Order Act Submission of draft standing orders.

(1) Within six months from the date on which this Act becomes applicable to an industrial establishment, the employer shall submit to the Certifying Officer five copies of the draft standing orders proposed by him for adoption in his industrial establishment. (2) Provision shall be made in such draft for every matter set out in the Schedule which may be applicable to the industrial establishment, and where model standing orders have been prescribed, shall be, so far as is practicable, in conformity with such model. (3) The draft standing orders submitted under this section shall be accompanied by a statement giving prescribed particulars of the workmen employed in the industrial establishment including the name of the trade union, if any, to which they belong. (4) Subject to such conditions as may be prescribed, a group of employers in similar industrial establishments may submit a joint draft of standing orders under this section.. 4. Conditions for certification of standing orders.- Standing orders shall be certifiable under this Act if-(a) provision is made therein for every matter set out in the Schedule which is applicable to the industrial establishment, and (b) the standing orders are otherwise in conformity with the provisions of this Act; and it 1*[shall be the function] of the Certifying Officer or appellate authority to adjudicate upon the fairness or reasonableness of the provisions of any standing orders. 5. Certification of standing orders.-(1) On receipt of the draft under section 3, the Certifying Officer shall forward a copy thereof to the trade union, if any, of the workmen, or where there is no such trade union, to the workmen in such manner as may be prescribed, together with a notice in the prescribed form requiring objections, if any, which the workmen may desire to make to the draft standing orders to be submitted to him within fifteen days from the receipt of the notice. (2) After giving the employer and the trade union or such other representatives of the workmen as may be prescribed an opportunity of being heard, the Certifying Officer shall decide whether or not any modification of or addition to the draft submitted by the employer is necessary to render the draft standing orders certifiable under this Act, and shall make an order in writing accordingly. (3) The Certifying Officer shall thereupon certify the draft standing orders, after making any modifications therein which his order under sub-section (2) may require, and shall

within seven days thereafter send copies of the certified standing orders authenticated in the prescribed manner and of his order under sub-section (2) to the employer and to the trade union or other prescribed representatives of the workmen.

Factories Act CHAPTER III.- Health

Section 11. Cleanliness.(1) Every factory shall be kept clean and free from effluvial arising from any drain, privy or other nuisance Section 12. Disposal of wastes and effluents.(1) Effective arrangements shall be made in every factory for the treatment of wastes and effluents due to the manufacturing process carried on therein, so as to render them innocuous, and for their disposal. Section 13. Ventilation and temperature.(a) adequate ventilation by the circulation of fresh air, and (b) such a temperature as will secure to workers therein reasonable conditions of comfort and prevent injury to health;. Section 14. Dust and fume.(1) In every factory in which, by reason of the manufacturing process carried on, there is given off any dust or fume or other impurity of such a nature and to such an extent as is likely to be injurious or offensive to the workers employed therein, or any dust in substantial quantities, effective measures shall be taken to prevent its inhalation and accumulation in any workroom, and if any exhaust appliance is necessary for this purpose, it shall be applied as near as possible to the point of origin of the dust, fume or other impurity, and such point shall be enclosed so far as possible. Section 15. Artificial humidification.-

(1) In respect of all factories in which the humidity of the air is artificially increased, the State Government may make rules,

(a) prescribing standards of humidification; (b) regulatingthe methods used for artificially increasing the humidity of the air; (c) directing prescribed tests for determining the humidityof the air to be correctly carried out and recorded; (d) prescribing methods to be adopted for securing adequate ventilation and cooling of the air in the workrooms.

Section 16. Overcrowding.No room in any factory shall be overcrowded to an extent injurious to the health of the workers employed therein. Section 17. Lighting.(1) In every part of a factory where workers are working or passing, there shall be provided and maintained sufficient and suitable lighting, natural or artificial, or both. (2) In every factory all glazed windows and skylights used for the lighting of the workroom shall be kept clean on both the inner and outer surfaces and, so far as compliance with the provisions of any rules made under sub-section (3) of section 13 will allow, free from obstruction. (. Section 18. Drinking water.(1) In every factory effective arrangements shall be made to provide and maintain at suitable points conveniently situated for all workers employed therein a sufficient supply of wholesome drinking water. Section 19. Latrines and urinals.(1) In every factory

(a) sufficient latrine and urinal accommodation of prescribed types shall be provided conveniently situated and accessible to workers at all times while they are at the factory;

(b) separate enclosed accommodation shall be provided for male and female workers;

20. Spittoons.(1) In every factory there shall be provided a sufficient number of spittoons in convenient places and they shall be maintained in a clean and hygienic condition.

CHAPTER V.- Welfare

Section 42. Washing facilities.(1) In every factory

(a) adequate and suitable facilities for washing shall be provided and maintained for use of the workers therein; (b) separate and adequately screened facilities shall be provided for the use of male and female workers; (c) such facilities shall be conveniently accessible and shall be kept clean.

(2) The State Government may, in respect of any factory or class or description of factories or of any manufacturing process, prescribe standards of adequate and suitable facilities for washing. Section 43. Facilities for storing and drying clothing.The State Government may, in respect of any factory or class or description of factories make rules requiring the provision therein of suitable place for keeping clothing not worn during working hours and for the drying of wet clothing. Section 44. Facilities for sitting.(1) In every factory suitable arrangements for sitting shall be provided and maintained for all workers obliged to work in a standing position, in order that they may take advantage of any opportunities for rest which may occur in the course of their work. (2) If, in the opinion of the Chief Inspector, the workers in any factory engaged in a particular manufacturing process or working in a

particular room, are able to do their work efficiently in a sitting position, he may, by order in writing, require the occupier of the factory to provide before a specified date such seating arrangements as may be practicable for all workers so engaged or working. (3) The State Government may, by notification in the Official Gazette, declare that the provisions of sub-section (1) shall not apply to any specified factory or class or description of factories or to any specified manufacturing process. Section 45. First-aid-appliances.(1) There shall, in every factory, be provided and maintained so as to be readily accessible during all working hours first-aid boxes or cupboards equipped with the prescribed contents, and the number of such boxes or cupboards to be provided and maintained shall not be less than one for every one hundred and fifty workers ordinarily employed at any one time in the factory. (2) Nothing except the prescribed contents shall be kept in a first-aid box or cupboard. (3) Each first-aid box or cupboard shall be kept in the charge of a separate responsible person, who holds a certificate in first-aid treatment recognized by the State Government and who shall always be readily available during the working hours of the factory. (4) In every factory wherein more than five hundred workers are ordinarily employed there shall be provided and maintained an ambulance room of the prescribed size, containing the prescribed equipment and in the charge of such medical and nursing staff as may be prescribed and those facilities shall always be made readily available during the working hours of the factory. Section 46. Canteens.(1) The State Government may make rules requiring that in any specified factory wherein more than two hundred and fifty workers are ordinarily employed, a canteen or canteens shall be provided and maintained by the occupier for the use of the workers. (2) Without prejudice in the generality of the foregoing power, such rules may provide for-

(a) the date by which such canteen shall be provided; (b) the standard in respect of construction, accommodation, furniture and other equipment of the canteen; (c) the foodstuffs to be served therein and the charges which may be made therefor; (d) the constitution of a managing committee for the canteen and representation of the workers in the management of the canteen; (dd) the items of expenditure in the running of the canteen which are not to be taken into account in fixing the cost of foodstuffs and which shall be borne by the employer ; (e) the delegation to Chief Inspector subject to such conditions as may be prescribed, of the power to make rules under clause (c).

Section 47. Shelters, rest-rooms and lunch-rooms.(1) In every factory wherein more than one hundred and fifty workers are ordinarily employed adequate and suitable shelters or rest-rooms and a suitable lunch-room, with provision for drinking water, where workers can eat meals brought by them, shall be provided and maintained for the use of the workers: Provided that any canteen maintained in accordance with the provisions of section 46 shall be regarded as part of the requirements of this sub-section: Provided further that where a lunch-room exists no worker shall eat any food in the work-room. (2) The shelters or rest-room or lunch-room to be provided under subsection (1) shall be sufficiently lighted and ventilated and shall be maintained in a cool and clean condition. (3) The State Government may

(a) prescribe the standards, in respect of construction accommodation, furniture and other equipment of shelters, restrooms and lunch-rooms to be provided under this section; (b) by notification in the Official Gazette, exempt any factory or class or description of factories from the requirements of this section.

Section 48. Creches -

(1) In every factory wherein more than thirty women workers are ordinarily employed there shall be provided and maintained a suitable room or rooms for the use of children under the age of six years of such women. (2) Such rooms shall provide adequate accommodation, shall be adequately lighted and ventilated, shall be maintained in a clean and sanitary condition and shall be under the charge of women trained in the care of children and infants. (3) The State Government may make rules

(a) prescribing the location and the standards in respect of construction, accommodation; furniture and other equipment of rooms to be provided, under this section; (b) requiring the provision in factories to which the section applies, of additional facilities for the care of children belonging to women workers, including suitable provision of facilities for washing and changing their clothing; (c) requiring the provision in any factory of free milk or refreshment or both for such children; (d) requiring that facilities shall be given in any factory for the mothers of such children to feed them at the necessary intervals.

Section 49. Welfare Officers. (1) In every factory wherein five hundred or more workers are ordinarily employed the occupier shall employ in the factory such number of welfare officers as may be prescribed. (2) The State Government may prescribe the duties, qualifications and conditions of service of officers employed under sub-section (1). 50. Power to make rules to supplement this Chapter. The State Government may make rules

(a) exempting, subject to compliance with such alternative arrangements for the welfare of workers as may be prescribed, any factory or class or description of factories from compliance with any of the provisions of this Chapter, (b) requiring in any factory or class or description of factories that representatives of the workers employed in the factories shall be associated with the management of the welfare arrangements of the workers.

CHAPTER V-A LAY OFF AND RETRENCHMENT

25-A Application of sections 25-C to 25-E. (1) Section 25-C to 25-E inclusive 1[shall not apply to industrial establishment to which Chapter V-B applies, or - ] (a) to industrial establishment in which less than fifty workmen on an average per working day have been employed in the preceding calendar month ; or (b) to industrial establishments which are of a seasonal character or in which work is performed only intermittently. (2) If a question arises whether an industrial establishment is of a seasonal character or whether work is performed therein only intermittently, the decision of the appropriate Government thereon shall be final. Explanation - In this section and in section 25-C, 25-D and 25-E `industrial establishment' means (i) a factory as defined in clause (m) of section 2 of the Factories Act, 1948 (63 of 1948) ; or (ii) a mine as defined in clause (j) of section 2 of the Mines Act, 1952, (35 of 1952) ; or (iii) a plantation as defined in clause (f) of section 2 of the Plantations Labour Act, 1951 (63 of 1951).

25-B Definitions of Continuous service. - For the purpose of this chapter (1) A workman shall be said to be a continuous service for a period if he is for that period in uninterrupted service, including service which may be interrupted on account of sickness or authorised leave or an accident or a strike which is not illegal, or a lock-out or cessation of work which is not due any fault on the part of the workman ; (2) Where a workman is not in continuous service within the meaning of clause (1) for a period of one year or six months, he shall be deemed to be in continuous service under an employer -

(a) for a period of one year, if the workman, during a period of twelve calendar months preceding the date with reference to which calculation is to be made, actually worked under the employer for not less than (i) One hundred and ninety days in the case of a work man employed below ground in a mine ; and (ii) Two hundred and forty days in any other case ; (b) for a period of six months, if the workman, during a period of six calendar months preceding the date with reference to which calculation is to be made, has actually worked under the employer for not less than (i) ninety five days, in the case of a workman employed below ground in a mine; an (ii) one hundred and twenty day, in any other case. Explanation. - For the purposes of clause (2) the number of days in which a workman has actually worked under an employer shall include the days on which (i) he has been laid-off under an agreement or as permitted by standing orders made under the industrial Employment (Standing Orders) Act, 1946 (20 of 1946), or under this Act or under any other law applicable to the industrial establishment ; (ii) he has been on leave with full wages, in the previous year ; (iii) he has been absent due to temporary disablement caused by accident arising out of and in the course of his employment ; and (iv) in the case of a female, she has been on maternity leave; so however that the total period of such maternity leave, does not exceed twelve weeks.

25-C Right of workman laid-off for compensation. (1) Whenever a workman (other than badli workman or a causal workman) whose name is borne on the muster-rolls of an industrial establishment and who has completed not less than one year of continuous service under an employer is laid-off, whether continuously or intermittently, he shall be paid by the employer for all days during which he is so laid-off, except for such weekly holidays as may intervene, compensation which shall be equal to fifty percent of the total of the basic wages and dearness allowance that would have been payable to him had he not been so laid-off :

Provided that if during any period of twelve months, a workman is so laid-off for more than forty-five days no such compensation shall be payable in respect of any period of the lay-off after the expiry of the first forty-five days, if there is an agreement to that effect between the workman and the employer : Provided further that it shall be lawful for the employer in any case falling within the foregoing proviso to retrench the workman in accordance with the provisions contained in section 25-F at the time after the expiry of first forty-five days of the lay-off and when he does so, any compensation paid to the workman for having been laid-off during the preceding twelve months may be set off against the compensation payable for retrenchment. Explanation. - "Badli Workman" means a workman who is employed in an industrial establishment in the place of another workman whose name is born on the muster-rolls of the establishment, but shall cease to be regarded as

such for the purpose of this section, if he has employed one year of continuous service in the establishment.

25-D. Duty of an employer to maintain muster-rolls of workmen Not withstanding that workman to any industrial establishment have been laid-off it shall be the duty of every employer to maintain for the purposes of this chapter, a muster roll, and to provide for the making of entries by workmen who may present themselves for work at the establishment at the appointed time during normal working hours.

25-E Workman not entitled to compensation in certain cases.- No compensation shall be paid to a workman who has been laid-off. (i) if he to accept any alternative employment in the same establishment from which he has been laid-off, or in any other establishment belonging to the same employer suitable in the same town or village or situate within a radius of five miles from the establishment to which he belongs, if , in the opinion of the employer, such alternative employment does not call for any special skill or previous experience and can be done by the workman : Provide that the wages which would normally have been paid to the workman are offered for the alternative employment also;

(ii) if he does not present himself for wok at the establishment at the appointed time during normal working hours at least once a day ; (iii) if such laying-off is due to a strike or showing down of production on the part of workmen in another part of the establishment.

25-F Conditions precedent to retrenchment of workmen. No workman employed in an industry who has been in continuous service for not less than one year under an employer shall be retrenched by that employer until (a) the workman has been given one months's notice in writing including the reasons for retrenchment and the period of notice has expired or the workman has been paid in lieu of such notice, wages for the period of the notice : 1[* * * * ] (b) the workman has been paid at the time of retrenchment, compensation which shall be equivalent fifteen days' average pay for every completed year of continuous service or any part thereof in excess of six months; and (c) notice in the prescribed manner is served on the appropriate Government, or such authority as any be specified by the appropriate Government by notification in the Official Gazette. NOTES - Workman when entitled to compensation in lieu of reinstatement : Sant Raj V. O. P. Singla, AIR 1985 SC 617.

25-FF Compensation to workmen in case of transfer of undertakings. - Where the ownership of management of an undertaking transferred whether by agreement or by operation of law, from the employer in relation to that undertaking to a new employer, every workman who has been in continuous service for not less than one year in that undertaking immediately before such transfer shall be entitled to notice and compensation in accordance with the provisions of section 25-FF as if the workman had been retrenched : Provided that nothing in this section shall apply to a workman in any case where there has been a change of employers by reason of transfer, if (a) the service of the workman has not been employed by such transfer;

(b) the terms and conditions of service applicable to the workman after such transfer are not in any way less favourable to the workman than those applicable to him immediately before the transfer ; and (c) the new employer is, under the terms of such transfer or otherwise legally liable to pay to the workman, in the event of his retrenchment, compensation on the basis that his service has been continuous and has not been interrupted by the transfer.

[25-FFA. Sixty days' notice to be given of intention to close down any undertaking.

(1) An employer who intends to close down an undertaking shall serve, at least sixty days before the date on which the intended closure is to become effective, a notice in the prescribed manner, on the appropriate Government stating clearly the reason for the intended closure of the undertaking : Provided that nothing in this section shall apply to (a) an undertaking in which (i) less than fifty workmen are employed, or (ii) less than fifty workmen were employed on an average per working day in the preceding twelve months. (b) an undertaking set up for the construction of buildings, bridges, roads, canals, dams or for other construction work or project. (2) Notwithstanding anything contained in sub-section(1), the appropriate Government may, if it is satisfied that owning to such exceptional circumstances as accident to the undertaking or death of the employer or the like it is necessary so to do, by order, direct the provisions of sub-section (1) shall not apply in relation to such undertaking for such period as may be specified in the order. 25-FFF Compensation to workmen is case of closing down of undertaking. (1) Where an undertaking is closed down for any reason whatsoever, every workman who has been in continuous service for not less than one year in that undertaking immediately before such closure shall, subject to the provisions of sub-section (2) be entitled to notice and compensation in accordance with the provisions of section 25-F as if the workman has been retrenched. Provided that where the undertaking is closed down on account of unavoidable circumstances beyond the control of the employer the compensation to be paid to the workman under clause (b) of section 25-F shall not exceed average pay for three months .

2[Explanation. - An undertaking which is closed down by reason merely of (i) financial difficulties including financial loss, or (ii) accumulation of undisposed off stocks; or (iii) the expiry of the period of the lease or licence granted to it ; or (iv) in a case where the undertaking is engaged in mining operations, exhaustion of the minerals in the area in which such operations are carried on, shall not be deemed to have been closed down on account of unavoidable circumstances beyond the control of the employer within the meaning of the proviso to this sub-sections.
1

[(1-A) Notwithstanding anything contained in sub-section (1) where an undertaking engaged in mining operations in closed down by reason merely of exhaustion of the minerals in the area in which such operations are carried on, no workman referred to in that sub-section shall be entitled to any notice or compensation in accordance with the provisions of section 25-F, if (a) the employer provides the workman with alternative employment with effect from the date of closure at the same remuneration as he was entitled to receive, and on the same terms and conditions of service as were applicable to him, immediately before the closure; (b) the service of the workman has not been interrupted by such alternative employment ; and (c) the employer is, under the terms of such alternative employment or otherwise, legally to be pay to the workman, in the event of his retrenchment, compensation on the basis that his service has been continuous and has not been interrupted by such alternative employment. (1-B) For the purpose of sub-sections (1) and (1-A), the expressions "minerals" and "mining operations" shall have the meaning respectively assigned to them in clauses (a) and (b) of section 3 of the Mines and Minerals (Regulation and Development) Act, 1957.] (2) Where any undertaking set up for the construction of building, bridges, canals, dams or other construction work is closed down on account of the completion of the work within two years from the date on which the undertaking had been set up, no workman employed therein shall be entitled to any compensation under clause (b) of section 25-F but if the construction work is not so completed within two years, he shall be entitled to notice and compensations under that section for every completed year of continuous service or any part thereof excess of six months.

NOTES .- Payment of retrenchment compensation is not a condition precedent in a case falling under section 24-FFF : Sunder Singh V. Beas Construction Board, (1973) 52 FJR 484 (PB) : AIR 1979 P & h 1 (FB). Closure of an undertaking means closure of a separate and distinct business or commercial or trading industrial activity : Avon Service Production Agencies V. Industrial Tribunal (1979) 1 SCC 1.

25-G Procedure for retrenchment. - Where any workman in an industrial establishment, who is a citizen of India, is to be retrenched and he belongs to a particular category of workmen in that establishment, in the absence of any agreement between the employer and the workman in this behalf, the employer shall ordinarily retrench the workman who was the last person to be employed in that category, unless for reasons to be recorded the employer retrenches any other workman.

25-H Re-employment of retrenched workman. - Where any workmen are retrenched, and the employer proposes to take into his employ any persons, he shall, in such manner as any be prescribed, give an opportunity to the retrenched workmen who are citizens of India to offer themselves for the employment and such retrenched workmen who offer themselves for re-employment shall have preference over other persons.

25-I [Omitted by the Industrial Dispute (Amendment) Act, 1956.]

25-J Effect of laws inconsistent with this Chapter. (1) The provisions of this Chapter shall have effect notwithstanding anything inconsistent therewith contained in any other law including standing orders made under the Industrial Employment (standing orders) Act, 1946 (XX of 1946) : Provided that where under the provisions of any other Act or rules, orders or notifications issued thereunder or under any standing orders or under any award, contract or service or otherwise, a workman is entitled to benefits in respect of any matter which are more favourable to him than those to which he would be entitled under this Act, the workman shall continue to be entitled to the more favourable benefits in respect of other matters under this Act.]

(2) For the removal of doubts, it is hereby declared that nothing contained in this Chapter shall be deemed to affect the provisions of any other law for the time being in force in any state in so far as that law provides for the settlement of industrial disputes but the rights and liabilities of employers and workmen in so far as they relate to lay-off and retrenchment shall be determined in accordance with the provisions of this Chapter. EPF Act Contributions and matters which may be provided for in the Scheme 39[* * *] The contribution which shall be paid by the employer to the Fund shall be 40[ten per cent] of the basic wages, 41[dearness allowance and retaining allowance (if any)], for the time being payable to each of the employees 26[(whether employed by him directly or by or through a contractor)] and the employees' contribution shall be equal to the contribution payable by the employer in respect of him and may, 42[if any employee so desires be an amount not exceeding 43[ten per cent] of his basic wages, dearness allowance and retaining allowance (if any), subject to the condition that the employer shall not be under an obligation to pay any contribution over and above his contribution payable under this section]: 44[PROVIDED that in its application to any establishment or class of establishments which the Central Government, after making such inquiry as it deems fit, may, by notification in the Official Gazette specify, this section shall be subject to the modification that for the words 40[ten per cent], at both the places where they occur, the words 43[twelve per cent] shall be substituted]: 45[PROVIDED FURTHER that] where the amount of any contribution payable under this Act involves a fraction of a rupee, the Scheme may provide for the rounding off of such fraction to the nearest rupee, half of a rupee or quarter of a rupee. Explanation 46[11 : For the purposes of this 47[section], dearness allowance shall be deemed to include also the cash value of any food concession allowed to the employee. 6[Explanation 2 : For the purposes of this 47[section], "retaining allowance" means an allowance payable for the time being to an employee of any factory or other establishment during any period in which the establishment is not working, for retaining his services Employees' Pension Scheme (1) The Central Government may, by notification in the Official Gazette, frame a scheme to be called the

Employees' Pension Scheme for the purpose of providing for: (a) superannuation pension, retiring pension or permanent total disablement pension to the employees of any establishment or class of establishments to which this Act applies; and (b) widow or widower's pension, children pension or orphan pension payable to the beneficiaries of such employees. (2) Notwithstanding anything contained in section 6, there shall be established, as soon as may be after framing of the Pension Scheme, a Pension Fund into which there shall be paid, from time to time, in respect of every employee who is a member of the Pension Scheme: (a) such sums from the employer's contribution under section 6, not exceeding eight and one-third per cent of the basic wages, dearness allowance and retaining allowance, if any, of the concerned employees, as may be specified in the Pension Scheme; (b) such sums as are payable by the employers of exempted establishments under sub-section (6) of section 17; (c) the net assets of the Employees' Family Pension Fund as on the date of the establishment of the Pension Fund; (d) such sums as the Central Government may, after due appropriation by Parliament by law in this behalf, specify. (3) On the establishment of the Pension Fund, the Family Pension Scheme (hereinafter referred to as the ceased scheme) shall cease to operate and all assets of the ceased scheme shall vest in and shall stand transferred to, and all liabilities under the ceased scheme shall be enforceable against, the Pension Fund and the beneficiaries under the ceased scheme shall be entitled to draw the benefits, not less than the benefits, they were entitled to under the ceased scheme, from the Pension Fund. (4) The Pension Fund shall vest in and be administered by the Central Board in such manner as may be specified in the Pension Scheme. (5) Subject to the provisions of this Act, the Pension Scheme may provide for all or any of the matters specified in Schedule III. (6) The Pension Scheme may provide that all or any of its provisions shall take effect either prospectively or retrospectively on such date as may be specified in that behalf in that Scheme. (7) A Pension Scheme, framed under sub-section (1) shall be laid, as soon as may be after it is made, before each

House of Parliament, while it is in session, for a total period of thirty days which may be comprised in one session or in two or more successive sessions, and if, before the expiry of the session immediately following the session or the successive sessions aforesaid, both Houses agree in making any modification in the scheme or both Houses agree that the scheme should not be made, the scheme shall thereafter have effect only in such modified form or be of no effect, as the case may be; so, however, that any such modification or annulment shall be without prejudice to the validity of anything previously done under that scheme. 6B. *** ] 11[6C. Employees' Deposit Linked insurance Scheme (1) The Central Government may, by notification in the Official Gazette, frame a Scheme to be called the Employees' Deposit-linked Insurance Scheme for the purpose of providing life insurance benefits to the employees of any establishment or class of establishments to which this Act applies. (2) There shall be established, as soon as may be after the framing of the Insurance Scheme, a Deposit-linked Insurance Fund into which shall be paid by the employer from time to time in respect of every such employee in relation to whom he is the employer, such amount, not being more than one per cent of the aggregate of the basic wages, dearness allowance and retaining allowance (if any) for the time being payable in relation to such employee as the Central Government may, by notification in the Official Gazette, specify. Explanation: For the purposes of this sub-section, the expressions "dearness allowance" and "retaining allowance" have the same meanings as in section 6. 49[(3) ***] (4)(a) The employer shall pay in to the Insurance Fund such further sums of money, not exceeding one-fourth of the contribution which he is required to make under sub-section (2), as the Central Government may, from time to time, determine to meet all the expenses in connection with administration of the Insurance Scheme other than the expenses towards the cost of any benefits provided by or under that Scheme. 49[(b) ***] (5) The Insurance Fund shall vest in the Central Board and be administered by it in such manner as may be specified in the Insurance Scheme.

(6) The Insurance Scheme may provide for all or any of the matters specified in Schedule IV. (7) The Insurance Scheme may provide that any of its provisions shall take effect either prospectively or retrospectively on such date as may be specified in this behalf in that Scheme.]