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Labor laws are popularly known as employment laws. The genesis of the labor law in India is the constitution of India and the time to time policies framed as and when by the government of India. The specific laws framed at the central, center, Municipal levels have also contributed to the labor law in India. The agreements concerning the labors and judicial precedents also form the very important part of the labor laws.
Today, we shall study certain important Labour laws, however, there are around 38 laws pertaining to the labor laws.
The factories act pertains and covers the aspect of the providing the care and facilities regarding the safety, health, welfare, working environment, working hours, leave policy for the workers in a manufacturing set up.
This is a state act and is framed to regulate the payment of wages, terms of the services, holidays to be given, overtime related rules in hotels, societies, bakeries, education institutions, shops, and other commercial establishments etc.
The Relationship of the contract labor and the principal employer is regulated by this act and protection and duties of the involved parties are regulated by this act.
The crux of this act is the mandatory display of the terms and condition of the service of the workmen and obtains the certification from the authority. It applies to the all the factory set up having 100 or more than 100 workers.
As the name itself suggest it is for the benefit of the workers working in the building and construction activities. It regulates everything about the safety, health, welfare, related matters.
All kind of grievances of the employee and disputes between the employer and employee is regulated by this act. It regulates the strikes, layoffs, unfair labor practices, lockouts, and closure of establishments. Basically, the rights and of the employees and the procedure to settle, protest and regulate the disputes is prescribed in the act.
The Trade Unions Act, 1926 defines the law relating to registered Trade Unions and such formation. It regulates the mode of registration, application requisites for registration, provisions to adhere in the rules of a Trade Union, the minimum requirement for membership of a Trade Union, rights and liabilities of registered Trade Unions, etc
This act deals with the fixing of minimum rates of wages in certain prescribed employment. It is regulated by the by States through notifications in the State’s Gazette under the Minimum Wages Rules of the specific State.
The Minimum Wages is the wage which the employer is required to pay to every employee engaged in schedule employment wages at a rate not less than minimum rates of wages as fixed by a notification. Such wages are to be provided without any deduction except the prescribed deductions if any.
The Payment of Wages Act, 1936 (the Payment of Wages Act) regulates the payment of wages its mode, timely payment and other related concerns to certain classes of employed persons. The Act ensures that the employers make a timely payment of wages to the employees working under him/her and to keep a check on any kind of unauthorized deductions from the wages.
It is must condition that all wages shall be in current coin or currency notes or in both. The employer may, after obtaining the written authorization of the employed person can pay him the wages either by cheque or by crediting the wages in his bank account submitted for it.
It regulates the payment of bonus to employed ones. The bonus can be paid on the basis of profits or production or productivity. The act is applicable to every establishment in which 20 or more persons are employed and to all employees getting remuneration less than Rs 10,000.
However, in case, an employee has worked for less than thirty days, in that case, he/she is not eligible to receive a bonus under the Bonus Act.
The Bonus Act provides for the payment of bonus between 8.33% (minimum) to 20% (maximum). Note that in order to calculate the bonus, a maximum salary of Rs 3,500 is considered.
We cover almost all the aspects of the labor law and employment-related issues. We have an expert team comprising of charter accountants, Company secretaries, lawyers who shall frame out the list of applicable labor laws and the rules and regulation applicable to the establishment.
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