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Prepared by, T. Siva Kumar Compiled from: Elements of Mercantile Law by N.D.Kapoor (2007), Various postings in

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Presentation on theme: "Prepared by, T. Siva Kumar Compiled from: Elements of Mercantile Law by N.D.Kapoor (2007), Various postings in"— Presentation transcript:

1 Prepared by, T. Siva Kumar Compiled from: Elements of Mercantile Law by N.D.Kapoor (2007), http://labour.nic.in/act/welcome.html Various postings in www.citehr.com

2 Law What is law? Law includes all the rules & principles which regulate our relations with other individuals & with the state. Object of law? To establish socio-economic justice and remove the existing imbalance in the socio-economic structure. Need for the knowledge of law? Ignorance of law is no excuse.

3 Mercantile/Business/Commercial Law What is it mean? It deals with contractual situations and the right & obligations arising out of mercantile transactions between mercantile persons. Sources of Business Law? English Mercantile law Statute Law Judicial decisions or the system of precedents Customs & usages

4 Indian Contract Act, 1872 Workmen’s Compensation Act, 1923 Trade Unions Act, 1926 Partnership Act, 1932 Payment of Wages Act, 1936 Industrial Employment (Standing Orders) Act, 1946 Industrial Disputes Act, 1947 Factories Act, 1948 Employees’ State Insurance Act, 1948 Minimum Wages Act, 1948 Employees’ PF & Miscellaneous Provisions Act, 1952 Company Act, 1956 Employment Exchanges Act, 1959 Apprentices Act, 1961 Maternity Benefits Act, 1961 Payment of Bonus Act, 1965 Contract Labour Act, 1970 Payment of Gratuity Act, 1972 Equal Remuneration Act, 1976 Professional Tax Act, 1976 Interstate Migrant Workmen Act, 1979 Child Labour Act, 1986 Unorganized workers social security Act, 2008

5 The Indian Contract Act, 1872 Object? Branch of law which determines the circumstances in which promises made by the parties to a contract shall be legally binding on them. Contract = Agreement + Enforceablility by law (Legal obligation not a Social obligation) Agreement = Offer + Acceptance (In genuine consent)

6 Essentials of valid contract 1. Offer and acceptance - 2 parties – one party making the offer, other party accepting the offer, terms of offer must be definite and the acceptance must also be according to the mode prescribed and must be communicated to the offeror. 2. Intention to create legal relationship 3. Lawful consideration - something in return 4. Capacity of parties - competent, major, sound mind, not disqualified from contracting by any law

7 Essentials of valid contract 5. Free and genuine consent – same mind on all the material terms of the contract 6. Lawful object – legal, moral, not opposed to public policy 7. Agreement not declared is void 8. Certainty and possibility of performance – not vague or indefinite 9. Legal formalities – contract should be in writing

8 Workmen’s Compensation Act, 1923 First step towards social security of workmen The theory behind this act is that “the cost of product should bear the blood of the workmen” Object? To provide for the payment of compensation by certain classes of employers to their workmen for injury by accident. Note: Workmen who are covered under ESI Act, 1948 are not entitled to compensation under this Act as disablement and dependants’ benefit is available to workmen under the former act.

9 Disablement? Disablement means loss of capacity to work or to move It may result in loss or reduction of his/her earning capacity. Disablement may be Partial Total Further it may be Permanent Temporary

10 Employer’s liability for compensation 1. Personal injury 2. Occupational Disease Compensation forCalculationMinimum amount Death50% of monthly wages * relevant age factor Eg: Age 16 factor = 228.54, Age 65 factor = 99.37 Rs. 80,000 Permanent total disablement 60% of monthly wages * relevant age factorRs. 90,000 Permanent partial disablement % loss of earning capacity * relevant age factor Temporary disablement (total & partial) 25% of monthly wages shall be payable every half month till the disablement lasts Note: Where the monthly wages of workman exceed Rs. 4000, his monthly wages shall be deemed to be Rs.4000 only.

11 Trade Unions Act, 1926 Trade Union – “An association of workers in a particular craft or industry” and now it symbolize Workers’ right to organize Their right to press their demands collectively and to go on strike if their demands are not accepted Object? To regulate the conditions governing the registration of trade unions Obligations imposed upon a registered trade union and Rights & liabilities of registered trade unions

12 Indian Partnership Act, 1932 A contract of uberrimae fidei- “utmost good faith” i.e partnership contract must run with mutual trust and confidence Min: 2 competent persons Max: on banking business should not exceed 10, any other business not exceeding 20 Profit must be distributed in “agreed ratio” Documents which contains the agreement is called “Partnership Deed” and it contains nature of business, principal place of business, name and address of the partners, management, accounts Deed must be duly stamped as required by the Indian Stamp Act, 1889

13 Payment of Wages Act, 1936 Object? To avoid with holding wages, delays in paying wages & making unreasonable deductions out of wages. This Act is applicable to persons whose wages does not exceed Rs. 6500 per month (2005) or such other higher sum which, on the basis of figures of the Consumer Expenditure Survey published by the National Sample Survey Organisation, the Central Government may, after every five years, by notification in the Official Gazette. Wage period – shall not exceed 1 month Time of payment of wages <1000 persons – before the expiry of the 7 th day of the following wage period >1000 persons - before the expiry of the 10 th day of the following wage period Termination of employment – before 2 nd working day from the terminated day Wages to be paid on a working day

14 Deductions from wages Medium of payment of wages – current coin or currency notes or both, after obtaining written authorization of the employed person, payment can be made either by cheque or by crediting the wages in bank account Deductions from wages Fines (shall not exceed 3% of wages payable to him in that wage period) Absence of duty Services like house accommodation, amenities etc Recovery of advances Recovery of loans Payments to co-operative societies & insurance schemes Other deductions such as income tax, PM’s Relief fund etc

15 Maintenance of registers & records Every employer shall maintain registers & records giving the following particulars of the persons employed by him: the work performed by them the wages paid to them the deductions made from their wages the receipts given by them

16 The Industrial Employment (Standing Orders) Act, 1946 Object? To require employers in industrial establishments to define with sufficient precision the conditions of employment under them & to make the said conditions known to workmen employed by them.

17 Matters to be provided in Standing Orders Classification of workmen Manner of intimating to workmen about periods & hours of work, holidays, pay days & wage rates Shift working Attendance & late coming Conditions of procedure in applying for, and the authority which may grant leave & holidays Requirement to enter premises by certain gates, & liability to search Closing & reopening of sections in Industrial Establishment, temporary stoppages of work & the rights & liabilities of workmen & employer arising therefrom. Termination of employment & respective notice Suspension or dismissal for misconduct & related actions Redress mechanism against unfair treatment

18 Procedure for Certification of Standing orders Certify & send copies to employer, workmen & trade unions within 7 days Opportunity of hearing to trade union/workmen to be provided Certifying Officer shall send a copy of draft standing orders to be sent to trade union or workmen Within 6 months of the application of the Act to an industrial establishment (100 or more workmen), the employer shall submit 5 copies of the draft standing orders to the Certifying Officer (Labor Commissioner or a Regional Labor Commissioner etc)

19 The Industrial Disputes Act, 1947 Object? To secure industrial peace By preventing & settling industrial disputes between the employers & workmen By securing & preserving amity & good relations between the employers & workmen through an internal Works Committee By promoting good relations through an external machinery of conciliation, Courts of Inquiry, Labor Courts, Industrial Tribunals & National Tribunals To improve the condition of workmen in industry By redressal of grievances of workmen through a statutory machinery By improving job security

20 What is Industrial dispute? It means any dispute or difference between employers & employers employers & workmen workmen & workmen, which is connected with a) The employment or non-employment b) The terms of employment c) The conditions of labor of any person It includes both individual & collective disputes

21 Important Terms Lay off – Failure/Refusal/Inability of an employer to give employment to a workman due to Shortage of coal, power or raw material. Accumulation of stocks. Breakdown of machinery. Natural calamity. Lock out – Temporary closing of a place of employment or suspension of work or refusal by employer (Employer’s weapon) Closure – Closing the business due to actual loss or apprehended loss Retrenchment – Employees terminated on account of surplus labor Strike – Cessation of work by workmen Unfair labor practices

22 Conciliation Machinery Work committees Conciliation Officer Board of Conciliation Courts of Inquiry Adjudication Machinery Labor Courts Industrial Tribunal National Tribunal

23 Factories Act, 1948 Factory means any premises where in a manufacturing process 10 or more persons are engaged if power is used or 20 or more persons are engaged if power is not used Object? To protect children & to provide for some health & safety measures.

24 State Government / Chief Inspector 1. Site Approval for a factory before it is constructed 2. Submission of plans of Factories 3. Registration & Licensing of Factories 4. Appeal to State/Central Govt within 30 days if permission is refused by Chief Inspector/State Govt respectively 5. Notice by the occupier Name & address of the factory, owner & occupier Address for communication Nature of manufacturing process Total rated horsepower Name of the manager No. of workers likely to be employed etc

25 Health of workers Cleanliness Disposal of wastes & effluents Ventilation & Temperature Dust & fume Artificial humidification Overcrowding Lighting Drinking water Latrines & Urinals Spittoons

26 Safety of workers Fencing of machinery Work on near machinery in motion Employment of young persons on dangerous machine Striking gear & devices for cutting off power Self acting machines Casting of new machinery Prohibition of employment of women & children near cotton opener Hoists & Lifts Lifting machine, chains, ropes & lifting tackles Revolving machinery

27 Safety of workers Pressure plant Floors, stairs and means of access Pits, sumps, openings in floors etc Excessive weights Protection of eyes Precautions against dangerous fumes Precautions regarding the use of portable electric light Precautions against explosive or inflammable dust, gas, fire etc. Power to require specifications of defective parts or tests of stability Safety of building & machinery Maintenance of building Safety officers

28 Welfare of workers Washing facilities Facilities for storing & drying clothes Facilities for sitting First aid appliances Canteens Shelter, rest rooms & lunch rooms Creches (>30 women workers) Welfare officers (>500 workers)

29 Working hours Not more than 48hours per week or 9 hours per day Intervals of rest – fixed by factory Women employees – 6AM to 7PM Ordinary rate of wages = Basic wage + Allowances Extra wages for overtime – wages at twice the ordinary rate Annual leave with wages 1 day for every 20/15 days of work performed in case of adult/child Application for leave – atleast 15 days before for private, 30 days for public utility service Maternity leave not exceeding 12 weeks

30 Employees’ State Insurance Act, 1948 Object? The Act is a piece of social security legislation conceived as a means of extinction of the evils of the society, namely, want, disease, dirt, ignorance and indigence Applicability of the Act for employees is Rs. 10000/- per month (Gross Salary). Benefits? Sickness benefit Maternity benefit Disablement benefit Dependants’ benefit Medical benefit Funeral expenses

31 Employee? Any person employed for wages in or in connection with the work of a factory or establishment Directly employed by the principal employer Employed through an intermediate employer Contract employees Apprentice, not being an apprentice engaged under the Apprentices Act, 1961 or under Standing Orders Wages? All remuneration paid in cash to an employee except employer contribution to pension & provident funds, travelling allowance, special expenses paid and gratuity payable on discharge

32 Contribution? Contribution – Sum of money payable to ESI Corporation by the principal employer & employee Contribution period – Must not exceed 6 consecutive months Employee Contribution is exemption for employees whose wages are < Rs.50 per day Default in payment of contribution – to pay simple interest at 12% or more per annum, till the date of its actual payment All disputes arising out of this are resolved by Employees’ Insurance Court Contribution byRate of Contribution EmployerA sum equal to 4.75% of the total wage bill of all employees rounded to the next higher rupee + 1.16% Admin charges EmployeeA sum equal to 1.75% of his/her wages rounded to next higher rupee

33 Minimum Wages Act, 1948 Object? To secure the welfare of the workers in a competitive market by fixing the minimum rates of wages in certain employments Scheduled employment – Workers in mines, plantation, transport, mills etc Appropriate State Government shall fix minimum rate of wages for time work minimum rate of wages for piece work guaranteed time rate overtime rate

34 Fixation & Revision of wages Fixation & revision of minimum wages are done by appropriate Government through either of the 2 methods 1. Appointment of committees & sub-committees as it considers necessary to hold inquiries 2. Publication of proposals in the Official Gazette Appropriate Government shall consult with Advisory Boards before fixing/revising minimum wages

35 Employees’ Provident Fund & Miscellaneous Provisions Act, 1952 Object? It is a social security measure meant to induce employees to save a portion from their present earnings for a rainy day Authorized Officer? Central PF Commissioner Additional Central PF Commissioner Deputy PF Commissioner Regional PF Commissioner Contribution is made to Employees’ Provident Fund Scheme Employees’ Pension Scheme & Fund Employees’ Deposit Linked Insurance Scheme (EDLI) & Fund

36 Contribution ESI is covered to employees whose wages are upto Rs.10,000 per month Basic Salary = Basic Wages + Dearness Allowance including cash value of any food concession + Retaining Allowance Employee ContributionEmployer’s Contribution 12% of Basic Salary12% of Basic Salary + 1.61% Pension Fund: 8.33% of Basic Salary or Rs.541 whichever is lesser Provident Fund: 3.67% of Basic Salary Administrative charges1.10%of Basic Salary EDLI Fund0.50% of Basic Salary Administrative charges for EDLI Scheme0.01%of Basic Salary

37 Company Act, 1956 Company - “ an association of many persons who contribute money or money’s worth to a common stock and employ it in some common trade or business(for common purpose) and who share the profit or loss arising there from”

38 Characteristics of the company 1. Separate legal entity 2. Limited liability 3. –limited by shares 4. –limited by guarantee 5. Perpetual succession 6. Common seal 7. Transferability of shares 8. Separate property 9. Capacity to sue

39 Company Vs Partnership Company Partnership Regulated under Companies Act 1956 Partnership Act 1932 Exits after registration under Co.Act 1956 Registration not mandatory Managed by Directors, Board of Directors Every partner should take part in the management Property and rights is nontransferable to shareholders Transferable to any or all partners

40 Shares are transferable when the transferee becomes the member Shares cannot be transferred without the concern of all partners Shareholders is not the agent…has no power Each partner is an agent…has power Min-2 Max- banking 10 others 20 Bound by law and audited annuallyNo statutory provisions Only it can be dissolved (Wound by provisions of companies Act 1956) Dissolved by death/ insolvency of partner or wound if it is for fixed period. MembersPublicPvt Min72 MaxNo limit50 Company Vs Partnership

41 Public Co. Vs Private Co. Public Co.Private Co. Min members- 7Min- 2 Max members - no limitMax - 50 File with registrar to act as DirectorNo restriction Invites public to subscribe for shares / issues No public invitation Quorum members –52 Managerial remuneration cannot exceed 11% of NP No restrictions No privilegesSpecial priviliges

42 Documents to be filed with Registrar for getting Certificate of Incorporation Memorandum of Association signed by the subscribers Fundamental document Lays down the area of operation Regulates the external affairs of the co in relation to outsiders Articles of Association if any(public limited co limited by shares need not have its own AOA Rules and regulations and bye-laws for the internal management of the affairs of a company. Agreement between the Co and the individual for the appointment of whole time Director or Manager List of directors agreed to act as director with their written consent Declaration relating to companies act and formalities related to registration

43 Employment Exchanges (Compulsory Notification of Vacancies) Act, 1959 Object? To provide for the compulsory notification of vacancies to employment exchanges. Act is applicable to vacancies in posts of a technical and scientific nature carrying a basic pay ≥ Rs.210 per month occurring in establishments or to be circulated to the Employment Exchanges outside the State or Union Territory Act is not applicable to any employment in agriculture, horticulture etc domestic service, the total duration of which is less than three months, to do unskilled office work, connected with the staff of Parliament.

44 Form and manner of notification of vacancies (1) Name and address of the employer ; (2) Telephone number of the employer, if any ; (3) Nature of vacancy :- (a) Type of workers required (Designation) ; (b) Description of duties ; (c) Qualifications required - (i) Essential, (ii) Desirable (d) Age-limits if any ; (e) Whether women are eligible ? (4) Number of vacancies - (a) Regular, (b) Temporary (5) Pay and allowances (6) Place of work (name of town/village and district in which it is situated). (7) Probable date by which the vacancy will be filled (8) Particulars regarding interview/test of applicant - (a) Date, Time & Place of interview/test (b) Designation and address of the person to whom applicants should report (9) Whether there is any obligation or arrangement for giving preference to any category of persons such as Scheduled Castes, Scheduled Tribes, ex-Servicemen and physically handicapped persons in filling up the vacancies, and if so, the number of vacancies to be filled by such categories of persons. (10) Any other relevant information

45 Time limit for notification of vacancies & selection Atleast 15 days before the applicants will be interviewed or tested. Employer to furnish the result of selection within 15 days. Submission of Returns Quarterly in Form ER-I - Within 30 days by 30 th June, 31 st March, 30 th September & 31 st December BIENNIAL Return Form ER-II – Within 30 days of the due date as notified in the Official Gazette

46 Apprentices Act, 1961 “An apprentice is bound to obey his master in all his lawful commands, take care of his property and promote his interest, endeavor to learn his trade or business, & perform all the conditions of his contract not contrary to law. He must not leave his master’s service during the term of his apprenticeship” Object? To provide for the regulation & control of training of apprentices

47 Types Technician (Vocational) Apprentice Undergo training for 2 years inorder to hold a certificate in vocational course after completing secondary stage of school education, recognized by All India Council of Technical Education Trade Apprentice Undergo apprenticeship training in any trade or business Qualifications for being an apprentice 14 years of age or above satisfies the standard of education & physical fitness as prescribed for apprenticeship training

48 Total number of hours/week = 42 to 48 (6AM to 10PM) Employer shall look after Offer & Acceptance of employment Practical & basic training of apprentices & related instructions Health, Safety & Welfare of apprentices Leave / Overtime hours Payment of stipend Compensating for injury during training Holding test & granting certificate Records, settlement of disputes Employer’s responsibilities

49 Maternity Benefits Act, 1961 Object? To regulate the employment of women in certain establishments for certain periods before & after child birth & to provide for maternity benefit & other certain benefits Wage? Remuneration in cash + Cash Allowances including DA & HRA + Incentives + Money value of food grains Maternity benefit is a payment to a women (should have worked atleast 80 days in the 12 months immediately proceeding the date of her expected delivery ) at a rate of the average daily wage for the period of her actual absence Maternity benefit is given for a maximum period of 12 weeks, of which not more than 6 weeks shall precede the date of her expected delivery

50 Liabilities of Employer Pregnant women are prohibited to work in establishments during a period of 6 weeks immediately following the day of her delivery or her miscarriage Employer is liable to pay maternity benefit to her nominee or that woman even in case of death of that woman/child respectively 2 nursing breaks per day shall be allowed until the child attains the age of 15 months 6 weeks leave shall be allowed for miscarriage on production of the prescribed proof

51 Payment of Bonus Act, 1965 Bonus – “gratuity to workmen beyond their wages” Object? To maintain peace & harmony between labor & capital by allowing the employees, in recognition of their right, to share in the prosperity of the establishment reflected by the contributions made by capital, management & labor A minimum bonus of 8.33% of the (Salary + DA) or Rs. 100 whichever is higher - paid to all employees whose salary is up to Rs.3500 per month & worked for not less than 30 days for that year Bonus is no longer linked with production & profitability and so it is a statutory liability for an employer on completion of 5 years after 1 st Accounting year even if there is no profit 60 or 67% of available surplus is allocated for bonus

52 Contract Labour (Regulation & Abolition) Act, 1970 Object? To regulate the employment of contract labour in certain establishments and to provide for its abolition in certain circumstances and for matters connected therewith. Liability of Principal Employer To ensure provision for canteen, restrooms, sufficient supply of drinking water, latrines and urinals, washing facilities. Principal employer entitled to recover from the contractor for providing such amenities or to make deductions from amount payable Every contractor shall maintain Muster Roll, Register of wages, Register of Deductions, Register of Overtime, Register of Fines, Register of Advances, Wage slip & display the abstract 0f rules & Act in English & regional language.

53 Registration of Establishment Principal employer employing 20 or more workers through the contractor or the contractor(s) on deposit of required fee in Form 1 as given below. If the number of workmen proposed to be employed on contract on any days- Prohibition of Employment of Contract Labour Only by the appropriate Government through issue of notification after consultation with the Board (and not Courts) can order the prohibition of employment of contract labour. (a) is 20Rs.60 (b) exceed 20 but does not exceed 50Rs.150 (c) exceed 50 but does not exceed 100Rs.300 (d) exceed 100 but does not exceed 200Rs.600 (e) exceed 200 but does not exceed 400Rs.1200 (f) exceeds 400Rs.1500

54 Licensing of Contractor Engaging 20 or more than 20 workers and on deposit of required fee in Form IV as given below. If the number of workmen employed by the contractor on any day- It is valid for specified period. (a) is 20Rs.15.00 (b) exceed 20 but does not exceed 50Rs.37.50 (c) exceed 50 but does not exceed 100Rs.75.00 (d) exceed 100 but does not exceed 200Rs.150 (e) exceed 200 but does not exceed 400Rs.300.00 (f) exceed 400Rs.375.00

55 Payment of Gratuity Act, 1972 Principle? By faithful service over a long period, the employee is entitled to claim a certain amount as a retirement benefit Gratuity is paid out at the time of superannuation (if you retire at the age of 58), when you retire (at any other age) or resignation, and in the event of your death or being rendered disable because of an accident or illness. You need to have at least 5 full years of service with an employer to qualify for gratuity. Rate of Gratuity Every completed years of service * 15 days wages Gratuity = {(Monthly Basic + DA) /26} * 15 days 15 days wages = (based on last salary drawn) Shall not exceed Rs. 3,50,000 as per Act & it is not taxable Maximum gratuity

56 Application for gratuity An employee or his/her nominee shall write to the employer within 30 days from the date the gratuity become payable or shall be applied before 30 days if date of superannuation is known If it is not paid by the employer within 30 days, then he shall pay simple interest as prescribed by Central Government The grievances are redressed by controlling authority and the collector shall recover the gratuity amount + compound interest from the employer

57 Equal Remuneration Act, 1976 Object? To provide for the payment of equal remuneration to men and women workers and for the prevention of discrimination, on the ground of sex, against women in the matter of employment and for matters connected therewith or incidental thereto Duties of employer To pay equal remuneration to men and women workers for same work or work of a similar nature No discrimination to be made while recruiting [or promoting/training /transferring] men and women workers except where the employment of women in such work is prohibited or restricted by any law and it shall not affect any reservations for SC, ST, Ex-Servicemen etc. The appropriate Government shall constitute one or more Advisory Committees to increase employment opportunities for women

58 Penalties If an employer – Omits or fails to produce any register, muster-roll, any information or other document relating to the employment of workers - he shall be punishable with simple imprisonment for a term which may extend to 1 month or with fine which may extend to Rs.10,000 or with both Makes any recruitment or discrimination in wages in contravention of the provisions of this Act - he shall be punishable with fine of Rs.10,000 to Rs.20,000 or with imprisonment for a term of 3 months to 1 year or with both for the first offence, and with imprisonment which may extend to 2 years for the second and subsequent offences If any person being required so to do, omits or refuses to produce to an Inspector any register or other document or to give any information, he shall be punishable with fine, which may extend to Rs.5000

59 Professional Tax Act, 1976 Object? To provide for the levy & collection of tax on professionals, trade callings & employment in the state. The set of professional tax slabs in India are different for all the 28 states in India and some of the states have formulated different professional tax slabs for men, women, and the senior citizens of the respective states. Eg: Tamil Nadu's Tax Slabs: Half yearly basis Date of payment 15th of succeeding month + additional 5 days grace Half yearly IncomeMonthly Professional Tax Less than Rs.21000Nil Between Rs.21001-Rs.30000Rs.75 Between Rs.30001-Rs.45000Rs.188 Between Rs.45001- Rs.60000Rs.390 Between Rs.60001- Rs.75000Rs.585 Beyond Rs.75001Rs.810

60 Inter-state Migrant Workmen (Regulation of Employment & Conditions of Service ) Act, 1979 Object? To regulate the employment of inter-State migrant workmen and to provide for their conditions of service and for matters connected therewith. Inter-State migrant workman Any person who is recruited by or through a contractor in one State under an agreement or other arrangement for employment in an establishment in another State, whether with or without the knowledge of the principal employer in relation to such establishment;

61 Duties of Contractors To furnish prescribed particulars to the specified authority in State from which an inter- State migrant workman is recruited and in the State in which such workman is employed, within 15 days from the date of recruitment and also to intimate if there are any changes in employment To issue to every inter-State migrant workman, a pass–book affixed with a passport size photograph of the workman and indicating in Hindi/Regional and English languages - (i) the name and place of the establishment wherein the workman is employed; (ii) the period of employment; (iii) the proposed rates and modes of payment of wages; (iv) the displacement allowance payable; (v) the return fare payable to the workman on the expiry of the period of his employment and in such contingencies as may be prescribed and in such other contingencies as may be specified in the contract of employment; (vi) deductions made; and others.

62 Wages, Welfare & other facilities The wage rates, holidays, hours of work and other conditions of service of an inter-State migrant workman shall remain the same as any other workman in that establishment and Minimum Wages Act, 1948 is also applicable to them Non-refundable displacement allowance = 50% of the monthly wages payable to him or Rs.75 whichever is higher Journey allowance ≥ the fare from the place of residence of the inter-State migrant workman in his State to the place of work in the other State Other facilities such as suitable conditions of work, residential accommodation, prescribed medical facilities (free of charge), protective clothing are also applicable To ensure regular payment of wages, equal pay for equal work irrespective of sex, in case of fatal accident or serious bodily injury to any such workman to report to the specified authorities of both the States and also the next-of-kin of the workman

63 Child Labour (Prohibition and Regulation) Act, 1986 Object? To prohibit the engagement of children in certain employments and to regulate the conditions of work or children in certain other employments. Child means a person who has not completed his fourteen years of age. Penalties Violations under Section-3 shall be punishable with imprisonment - 3 months to 1 year or with fine of Rs.10,000 to Rs.20,000 or with both. Continuing offence shall be punishable with imprisonment for a term of 6 months to 2 years.

64 Unorganized Workers Social Security Act, 2008 Object? To provide for the social security and welfare of unorganised workers and for other matters connected therewith or incidental thereto. Unorganized workers means a home based worker, self employed 0r a wage worker in the unorganized sector & includes a worker in the organized sector who is not covered under

65 The Central Government formulated schemes for different sections of unorganized workers on matters relating to life and disability cover; health and maternity benefits; old age protection any other benefit as may be determined by the Central Government The State Government formulated schemes for unorganized workers relating to provident fund, employment injury benefits, housing, educational schemes for children, skill upgradation, funeral assistance and old-age homes

66 Write your comments to priyadharshini.nallaswamy@gmail.com


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