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Purpose of Training

To improve the knowledge of Industrial laws applicable on Industrial


and Commercial Setup.

Objective
To create an excellent industrial climate which is essential to attain the
excellence in all areas of operations and performance.
To identify and co relate the incidents of indiscipline with Acts and
Omissions as defined under law.
Law is the command of the sovereign

Law is the right of one, obligation of other,


maintained by the law enforcing agencies.
Ignorance of Law is no excuse
What are Labour or Employment Laws ?

Labour Laws or Employment Laws, is the body of


Laws, administrative rulings and precedents which
addresses the rights and restrictions on working
people and organizations.
It mediates many aspects of industrial relationship
among Trade Unions, Employees and Employers.
Laws & Practices
Terms and Phrases
Occupier
CEO / Managing Director
Company Secretary
Manager
Agent
Employer
Workman
Inspector
Unfair Labour Practice
Collective Bargaining Agent
Workers Management Council
Important Industrial Laws
Punjab Environmental Protection Act 1997
Contract Act 1872
Industrial & Commercial Employment (standing Orders Ordinance)1968
Factories Act, 1934
Apprenticeship Ordinance, 1962
Industrial Relations Act, 2012
Workmens Compensation Act, 1923
Companies Profit (workers participation) Act, 1968
Employees Old-Age Benefit Act, 1976
Employees Social Security Ordinance, 1965
Disabled Persons (Employment and Rehabilitation) Ordinance, 1981
Protection against Harassment of women at the Workplace Act, 2010
Industrial & Commercial Employment (standing Orders
Ordinance)1968
Classification of Workmen

1. Permanent is a workman who has been engaged on work of


permanent nature likely to last more than nine months and has
satisfactorily completed a probationary period of three months in
the same or another occupation in the industrial or commercial
establishment, including breaks due to sickness, accident, leave,
lock-out, strike (not being an illegal lock-out or strike) or
involuntary closure of the establishment [and includes
a badli who has been employed for a continuous period of three
months or for one hundred and eighty-three days during any
period of twelve consecutive months.]
2. Probationer is a workman who is provisionally employed to fill a
permanent vacancy in a post and has not completed three months
service therein. If a permanent employee is employed as a
probationer in a higher post he may, at any time during the
probationary period of three months, be reverted to his old
permanent post.
Industrial & Commercial Employment (standing
Orders Ordinance)1968

3. Badli is a workman who is appointed in the post of a permanent


workman or probationer, who is temporarily absent.
4. Temporary workman is a workman who has been engaged for work
which is of an essentially temporary nature likely to be finished within a
period not exceeding nine months.
5. Apprentice is a person who is an apprentice within the meaning of
the Apprenticeship Ordinance, 1962 (LVI of 1962)].
6. Contract worker means a workman who works on contract basis for a
specific period of remuneration to be calculated on piece rate basis.
Industrial & Commercial Employment (standing
Orders Ordinance)1968
Tickets
Terms and conditions of service to be given in writing
Publication of working time
Publication of holidays and pay days
Publication of wage rates
Shift working
Attendances and late coming
Leave
Payment of wages
Compulsory Group Insurance
Payment of bonus
Industrial & Commercial Employment (standing
Orders Ordinance)1968
Stoppage of work
Closure of establishment
Termination of employment
Procedure for retrenchment
Re-employment of retrenched workmen
Special provisions for construction workers
Punishments
Eviction from residential accommodation.
Certificate of termination of service
Liability of employer
Disciplinary Proceedings
under

Industrial & Commercial Employment (Standing Orders)


Ordinance, 1968
DISCIPLINE
&
DISCIPLINARY ACTION
Misconducts

The following ACTS & OMISSIONS are misconduct under Law.

a. Willful insubordination or disobedience, whether alone or


in combination with others, to any lawful and reasonable
order of a superior;
b. Theft, fraud, or dishonesty in connection with the
employers business or property;
c. Willful damage to or loss of employers goods or property;
d. Taking or giving bribes or any illegal gratification;

Contd.
e. Habitual absence without leave or absence
without leave for more than ten days;
f. Habitual late attendance;
g. Habitual breach of any law applicable to the
establishment;
h. Riotous or disorderly behavior during working
hours at the establishment or any act
subversive of discipline;
i. Habitual negligence or neglect of work
j. Striking work or inciting others to strike in
contravention of the provisions of law.
k. Go - slow
Steps in Disciplinary Proceedings

1. Act or Omission
2. Incident report
3. Charge Sheet
4. Inquiry Notice
5. Inquiry Proceedings
6. Findings of Inquiry
7. Final Verdict
Final Verdict

1. Fine upto 3% of wage after approval from Chief


inspector Factories, Punjab
2. Withholding of Increment or Promotion for a period
not exceeding one year
3. Reduction to a lower post
4. Dismissal
Case Study
Factories Act, 1934

Notice of Occupation (Form A)

Name of Occupier
Name of Factory
Name of Manager for purposes of the Factories Act
Permanent Staff
All type of labour including contractors labour
Factories Act, 1934

The Inspecting Staff

Chief Inspector
Inspector
Powers
o To enter in a factory for examination of premises, plant,
registers and taking necessary evidence.

Inspection book (Form C)


Factories Act, 1934

Health and Safety

Disposal of Waste and Effluents


Ventilation and Temperature
Dust and Fume
Artificial Humidification
Overcrowding
Lighting
Drinking Water
Latrine and Urinals
Spittoons
Factories Act, 1934

Health and Safety

Precautions against Contagious Diseases


Compulsory Vaccination and Inoculation
Welfare Officer
First Aid Box
Precautions in Case of Fire
Fencing of Machinery
Work on or near Machinery in Motion
Striking Gear and Devices for Cutting off Power
Self-Acting Machine
Factories Act, 1934

Health and Safety

Casing of New Machinery


Cranes and other Lifting Machinery
Hoists and Lifts
Revolving Machinery
Pressure Plant
Floors, Stairs and Means of Access
Pits, Sumps, Opening in Floors
Excessive Weights
Protection of Eyes
Factories Act, 1934

Health and Safety

Safety of Building, Machinery and Manufacturing


Process
Precautions against Dangerous Fumes
Explosive or Inflammable Dust, Gas, etc
Notice of Certain Incidents
Certificate of Stability
Hazardous Operations
Factories Act, 1934

Working Hours and Holidays with Pay

Weekly Hours
Weekly Holiday
Leaves
Compensatory Holiday
Factories Act, 1934

Supplement

Display of factory notices

o Notice of Periods for Work


o Abstracts of this Act
o Conspicuous Place near the Main Entrance
o In English and Vernacular of the Majority of the
Workers.
Apprenticeship Ordinance, 1962

apprenticeship

A system of training in which an employer undertakes to employ a


person and to train him or have him trained systematically in an
apprenticeable trade.
Apprenticeship Ordinance, 1962

Hiring of apprentice
The apprentices shall normally to be taken once a year in the
month of June or December, or in case of individual employers
as indicated by the Competent Authority.

Procedure of hiring
1. The vacancies shall be advertised.
2. Intimation given to Employment Exchange.
3. A written test shall be held.
4. A viva voce for written qualified candidates.
5. An aptitude test, if competent authority deem feasible and practicable.
Apprenticeship Ordinance, 1962

Specification for hiring


Age: minimum fifteen and maximum twenty years.
Physical Status: every apprentice shall be physically fit at the time
of recruitment.
Qualification: may vary trade to trade.

Apprenticeship Contract
The employer and apprentice shall enter into written contract.
In case of the apprentice being minor, the contract shall be signed
by the parent/guardian as well as by such minor apprentice.
The contract shall be prepared in triplicate, after registration
original shall be sent to apprentice, a copy sent to employer and a
copy retained by competent authority.
Apprenticeship Ordinance, 1962

Monthly Stipend
Employer shall pay monthly stipend to apprentices at the
following rates.

1st year = 50% of the wages


2nd year = 60% of the wages
3rd year = 70% of the wages

If training exceeds three years the stipend shall be equal to


full wages of skilled workers.
Industrial Relations Act, 2012

To regulate formation of trade unions and trade


union activities, relations between employers and
workmen and the avoidance and settlement of any
differences or disputes arising between them and
ancillary matters.
Industrial Relations Act, 2012

Unfair Labour Practices on part of Employers


Discriminate or victimize any person for lawful trade union
activities
Recruit new workman during strike or strike notice except with
permission of Conciliator
Close down whole establishment in contravention of SO 11-A.
Unfair Labour Practices on part of Employees
Persuade a workman to join or refrain from joining a trade union
during working hours.
Compel or attempt to compel the employer to accept any demand
by using intimidation, coercion, pressure threat, confinement,
assault, physical injury or such other methods.
Go Slow
Industrial Relations Act, 2012

Settlement of Disputes
Individual
Grievance Notice

Collective
In writing Communication
Negotiations
Conciliator
Arbitrator
Strike and Lockout
Awards and Settlements
CollectiveBargainingAgreement
Industrial Relations Act, 2012

National Industrial Relations Commission (NIRC)


Functions
Benches
Additional Powers over other labour tribunals
Appeal
Industrial Relations Act, 2012

Breaches under IRA;


Unfair Labour Practice
Breach of Settlement
Failing to implement settlement
Discharging Officer of Trade Union in certain
circumstance
Embezzlement or misappropriation of funds
Obstructing inspector
Companies Profit (workers participation) Act,
1968

Purpose:

To Provide for participation of Workers in the Profits of


Companies.
Employers liability to deposit 5% of its profit with the
fund.
Establishment of Fund.
Management of Fund.
Investment of Workers Participation Fund.
Distribution & Disbursement of benefits to workers.
Companies Profit (workers participation)
Act, 1968
Categories

1. Workers drawing average monthly wages not exceeding Rs. 7,500.00


2. Workers drawing average monthly wages exceeding Rs. 7500.00 but
not exceeding Rs. 15,000.00
3. Workers drawing average monthly wages exceeding Rs. 15,000.00.

Law is affected by 18th amendment.


Workers Welfare Fund Ordinance, 1971

Contribution
Two percent of total income
Left over of 5%
Provincial Worker Welfare Boards
Utilization of Fund
Talent Scholarships
Marriage Grants
Death Grants
Housing
Schooling
Employees Old-Age Benefit Act, 1976

Applicability

It applied to every industry or establishment ;

Wherein five or more persons are employed by the


employer or through any other person during the
preceding twelve months.
Employees Old-Age Benefit Act, 1976

Contribution

By an employer at the rate of five percent of wages.


By an insured person at the rate of one percent of wages.
Employers Contribution = 400
Employees Contribution = 80
Total =480 per
month
Wage
Presently EOBI is being calculated on Rs 8,000/- pm wage

Formula of Pension
Monthly wages (8,000) X Number of years of service / 50 = Monthly payable pension
Employees Old-Age Benefit Act, 1976
Benefits
Old-Age pension
An insured person shall be entitled to monthly old-age
pension if he is over sixty years of age or fifty five years in
case of a woman, and
Contributions in respect of him were paid for not less than
fifteen years.

Old-Age Grant
A lump sum equal to his one months average monthly
wages for every completed year of service If ;
not otherwise entitled to old-age pension
after attaining the age of sixty years or fifty-five years in case of a
woman
Contribution paid for less than fifteen years
Employees Old-Age Benefit Act, 1976
Benefits
Survivors pension
In case of the death of an insured person surviving
spouse or minor or parents shall be entitled to
pension if insurable employee died;
in insurable employment and had completed thirty six
months of employment
not in insurable employment and had completed five
years of employment

Invalidity pension
If insured person sustain invalidity.
Employees Social Security Ordinance, 1965

Purpose
To provide benefits to certain employees or their dependents in the event
of Sickness, maternity, injury or death and for matters ancillary there to.

Applicability
It shall apply only to such areas, classes of persons, industries or
establishments from such date and with regard to the provision of such
benefits as Government may, by notification, specify in this behalf.
Employees Social Security Ordinance, 1965

Organization

a. Governing Body
b. Employees Social Security intuitions
c. employees social security fund

Contributions
Six percent of wage upto 18,000 is payable by
employer
Employees Social Security Ordinance, 1965

Benefits
OPD
Hospitalization
Leave with pay
Travelling
Death Grant/ Funeral
Pension
Protection against Harassment of women
at the Workplace Act, 2010

An Act to make provisions for the Protection Against


Harassment of Women at the Workplace.

harassment means any unwelcome sexual advance, request for sexual favors or
other verbal or written communication or physical conduct of a sexual nature or
sexually demeaning attitudes, causing interference with work performance or creating
an intimidating, hostile or offensive work environment, or the attempt to punish the
complainant for refusal to comply to such a request or is made a condition for
employment;
Protection against Harassment of women
at the Workplace Act, 2010

Employee means a regular or contractual employee whether employed on daily,


weekly, monthly or hourly basis, and includes an intern or an apprentice.

Accused means an employee or an employer of an organization against whom


complaint has been made.
Complainant means a man or woman who has made a complaint to Ombudsman or
to the Inquiry Committee on being aggrieved by an act of harassment.
Protection against Harassment of women
at the Workplace Act, 2010

Inquiry Committee
Management will appoint a three-member standing Inquiry Committee to handle
any complaints of sexual harassment.
At least one member should be a woman.

Procedure of Inquiry
Communication of Charges within three days
Written defense within seven days
Inquiry Report within thirty days
Penalty within one week
Protection against Harassment of women
at the Workplace Act, 2010

Penalties
Minor
a) Censure
b) Withholding of increment or promotion
c) Recovery of compensation

Major
a) Reduction to lower post
b) Compulsory retirement
c) Removal from Service
d) Dismissal from Service
e) Fine
Protection against Harassment of women
at the Workplace Act, 2010

Appeal to Ombudsman
Within thirty days

Representation to President or Governor


Within thirty days

Responsibility of Employer
Incorporate Code of Conduct
Constitute an Inquiry Committee
Case Study
Thank You

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