dba 1748 industrial relations and labour welfare

MBA(DISTANCE MODE)

DBA 1748

INDUSTRIAL RELATIONS ANDLABOUR WELFARE

IV SEMESTER

COURSE MATERIAL

Centre for Distance EducationAnna University Chennai

Chennai – 600 025

Author

Reviewer

DrDrDrDrDr.T.T.T.T.T.V.V.V.V.V.Geetha.Geetha.Geetha.Geetha.GeethaProfessor

Department of Computer Science and EngineeringAnna University Chennai

Chennai - 600 025

DrDrDrDrDr.H.P.H.P.H.P.H.P.H.Peereereereereeru Mohamedu Mohamedu Mohamedu Mohamedu MohamedProfessor

Department of Management StudiesAnna University Chennai

Chennai - 600 025

DrDrDrDrDr.C.C.C.C.C. Chella. Chella. Chella. Chella. ChellappanppanppanppanppanProfessor


Chennai - 600 025

DrDrDrDrDr.A.K.A.K.A.K.A.K.A.KannanannanannanannanannanProfessor


Chennai - 600 025

Copyrights Reserved(For Private Circulation only)

Editorial Board

ii

DrDrDrDrDr. Joe Christy N. Joe Christy N. Joe Christy N. Joe Christy N. Joe Christy NAssistant Professor

Department of Management StudiesBSA Cresent Engineering College

VandalurChennai - 600 048

DrDrDrDrDr. R. K. R. K. R. K. R. K. R. KesanesanesanesanesanAssistant Professor

Department of ProductionMadras Institute of Technology

Anna University ChennaiChennai - 600 044

ACKNOWLEDGEMENT

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The author has drawn inputs from several sources for the preparation of this course material, to meet the

requirements of the syllabus. The author gratefully acknowledges the following sources:

• www. Indian Labour Statistics.com

• Mamoria C.B. and Sathish Mamoria, “Dynamics of Industrial Relations”, Himalaya Publishing House,

New Delhi, 2004

• Ratna Sen, “Industrial Relations in India” , Macmillan India Ltd., New Delhi, 2003

• Srivatsava, “Industrial Relations and Labour Welfare” Vikas 4th Edition, 2000

Inspite of utmost care taken to prepare the list of references any omission in the list is only accidental and not

purposeful.

Dr. Joe Christy N

Author

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DBA 1748 INDUSTRIAL RELATIONS AND LABOUR WELFARE

UNIT I - INDUSTRIAL RELATIONS

Concepts – Importance - Industrial Relations Problems in the Public Sector- Growth of Trade Unions- Codes of

conduct.

UNIT II - INDUSTRIAL CONFLICTS

Disputes – Impact – Causes – Strikes - Prevention – Industrial Peace –Government Machinery- Conciliation

– Arbitration – Adjudication.

UNIT III - LABOUR WELFARE

Concept –Objectives – Scope – Need- Voluntary Welfare Measures – Statutory Welfare Measures- Labour-

Walfare Funds- Education and Training Schemes.

UNIT IV - INDUSTRIAL SAFETY

Causes of Accidents – Prevention –Safety – Provisions – Industrial Health and Hygiene-Importance – Problems-

Occupational Hazards- Diseases – Psychological problems- counseling- statutory provisions.

UNIT V - WELFARE OF SPECIAL CATEGORIES OF LABOUR

Child Labour – Female Labour- Contact Labour – Construction Labour –Agricultural labour – Disabled –

Welfare of knowledge – Social Assistance – Social Security- Implications.

REFERENCES

1. Mamoria C.B. and Sathish Mamoria , ‘Dynamics of Industrial Relations’, Himalaya Publishing House,

New Delhi 1998.

2. Dwivedi . R.S. ‘Human Relations & Organisational Behaviour’, Macmillan India Ltd., New Delhi,

1997.

3. Ratna Sen , ‘Industrial Relations in India’, Shifting Paradigms, Macmillan India Ltd., New Delhi,

2003.

4. Srivastava, ‘Industrial Relations and Labour laws’, Vikas 4 th edition , 2000.

5. C.S.Venkata Ratnam, ‘Globalisation and Labour Management Relations’, Response Books, 2001.

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CONTENTS

UNIT IINDUSTRIAL RELATIONS

1.1 INTRODUCTION 1

1.2 CONCEPT OF INDUSTRIAL RELATIONS 1

1.3 TRADE UNION AND ITS IMPORTANCE 13

1.4 TREND IN NUMBER OF REPORTING

FACTORIES – EMPLOYMENT 13

1.5 TRADE UNION – CONCEPT 15

1.5.1 A few commonly cited definitions trade union are 15

1.5.2 General Features of Trade Unions 16

1.5.3 Functions of Trade Unions 19

1.6 GROWTH AND DEVELOPMENT OF THE

TRADE UNION MOVEMENT 20

1.6.1 Social Welfare period, from 1875 to 1918 21

1.6.2 Early Trade Union period, from 1918 to 1924 22

1.6.3 Left-wing Trade Unionism period, from 1924 to 1934 23

1.6.4 Trade Unions’ Unity period - 1935 to 1938 23

1.6.5 Second World War period - 1939 to 1945 23

1.6.6 Post – independence period - 1947 to 2000 24

1.7 FUNCTIONS OF TRADE UNIONS 25

1.8 FUNCTIONS OF TRADE UNIONS IN INDIA 26

1.9 TYPES AND STRUCTURE OF TRADE UNIONS 29

1.9.1 The Union Classified According to Purpose 29

1.9.2 Union Classified on the Basis of Membership Structure 31

1.10 CRAFTS VERSUS INDUSTRIAL UNIONS 33

1.11 ALL INDIA CENTRAL COUNCIL OF TRADE UNIONS (AICCTU) 34

1.11.1 Aims and Objectives 35

1.12 CODES OF CONDUCT – TRADE UNIONS 36

1.12.1 Labour conditions in India 37

1.12.2 The possible effects of CCC 38

1.12.3 General conclusions 39

1.12.4 About every meeting some distinct remarks were made 39

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1.13 THE INDIA COMMITTEE OF THE NETHERLANDS (ICN) 42

1.13.1 Organisation 42

1.13.2 Awareness Raising 43

1.13.3 Campaigns 43

1.13.4 Social labels and codes of conduct 43

1.13.5 Co-operation 44

1.14 CONCLUSION 44

UNIT IIINDUSTRIAL CONFLICTS

2.1 INTRODUCTION 45

2.2 INDUSTRIAL DISPUTE 45

2.3 CERTAIN ASPECTS OF INDUSTRIAL DISPUTES

ARE DISCUSSED AS BELOW 46

2.4 GOVERNMENT MACHINERY TO RESOLVE

INDUSTRIAL DISPUTES 48

2.4.1 Introduction 48

2.4.2 A. Conciliation 50

2.4.3 B. Arbitration 54

2.4.4 C. Adjudication 55

2.5 MEDIATION 59

2.5.1 Kinds of Mediator 59

2.6 CONCILIATION 60

2.6.1 Qualities of Conciliator 61

2.6.2 Role of the Conciliator 62

2.6.3 Sequential Pattern of Conciliation 64

2.7 ARBITRATION 66

2.7.1 Concept 66

2.7.2 Types of Arbitration 67

2.8 REFERENCE OF DISPUTE TO ARBITRATION UNDER

INDUSTRIAL DISPUTES ACT, 1947 68

2.8.1 Qualification of Arbitrators 69

2.8.2 Procedure for Investigation 69

2.8.3 Submission of Award 70

2.8.4 Criticism of Compulsory Arbitration 70

2.8.5 National Arbitration Promotion Board 71

2.9 ADJUDICATION 71

2.9.1 Types of Adjudication 71

2.10 INDUSTRIAL TRIBUNALS 73

2.10.1 Constitution 74

2.10.2 Jurisdiction 74

2.10.3 National Tribunals 75

2.11 MODEL PRINCIPLES FOR REFERENCE OF DISPUTES

TO ADJUDICATION 75

2.12 COMMENCEMENT AND CONCLUSION OF

PROCEEDINGS 76

2.13 Central Industrial Relations Machinery in India 76

UNIT IIILABOUR WELFARE

3.1 INTRODUCTION 79

3.2 WELFARE AND WORKING CONDITIONS 80

3.3 IMPORTANCE OF LABOUR WELFARE 80

3.3.1 A – Labour 81

3.3.2 B –Training 82

3.3.3 C – Employment 88

3.3.4 D - Special Employment Scheme 88

3.4 WELFARE MEASURES – VOLUNTARY 88

3.5 STATUATORY WELFARE MEASURES 90

3.6 NON-STATUTORY WELFARE MEASURES 94

3.6.1 Non-statutory Welfare in Indian Industry: Some Examples 94

3.6.2 Comments on Non-Statutory Welfare 94

3.6.3 Non-Statutory Welfare: A Model 95

3.7 WORK ENVIRONMENT 98

3.7.1 Arousal Hypothesis 100

3.8 LABOUR WELFARE FUNDS 101

3.8.1 Tripartite Labour Welfare Fund Advisory Committee 101

3.8.2 Conclusion 103

3.9 WORKER’S EDUCATION AND TRAINING SCHEMES 104

3.9.1 Worker’s Education: Concept 104

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3.9.2 Objective of Workers’ Education 105

3.9.3 Techniques of Workers Education 106

3.9.4 Workers’ Education in India 106

3.9.5 The Scheme for Workers’ Education 107

3.9.6 Three Levels of Workers’ Education 108

3.9.7 Special Category Programmes 109

3.10 WORKERS’ TRAINING: CONCEPT 111

3.10.1 Training Schemes of DGET 112

3.11 EVALUATION OF THE TRAINING SCHEMES 116

UNIT – IVINDUSTRIAL SAFETY

4.1 INTRODUCTION 119

4.2 FEATURES OF SAFETY ORGANIZATION 120

4.3 SAFETY COMMITTEES 120

4.4 ACCIDENT PREVENTION PROGRAMME 121

4.5 ROLE OF SAFETY DIRECTOR 121

4.6 STATUTORY SAFETY PROVISIONS 121

4.7 WORKERS’ HEALTH 131

4.7.1 Statutory Health Measures 131

4.8 HAZARDOUS PROCESSES 136

4.9 STATUTORY REQUIREMENTS FOR HAZARDOUS

MANUFACTURING PROCESS 141

4.10 OCCUPATIONAL HAZARDS 145

4.10.1 Match and firecracker industry in Sivakasi, Tamilnadu 146

4.11 OCCUPATIONAL HEALTH PROBLEMS 146

4.11.1 Gem polishing Industry, Jaipur, Rajshtan 146

4.11.2 Hand made Carpet Weaving Industry, Mirzapur &

Bhadoi, Uttarpradesh 147

4.12 MENTAL HEALTH PROBLEMS 148

4.12.1 Slate - Stone Mines and Industry 148

4.13 NOTIFIABLE DISEASES 149

4.14 PSYCHOLOGICAL COUNSELLING 152

4.14.1 Councelling Methodology 153

4.14.2 Employment settings 154

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UNIT – VWELFARE OF SPECIAL CATEGORIES

OF LABOUR

5.1 CHILD LABOUR 155

5.1.1 Constitutional Rights of a Child 155

5.2 THE CHILD LABOUR (PROHIBITION AND REGULATION)

ACT, 1986 156

5.3 INITIATIVES TOWARDS ELIMINATION OF CHILD

LABOUR – ACTION PLAN AND PRESENT STRATEGY 159

5.4 FOCUSING OF GENERAL DEVELOPMENTAL PROGRAMMES

FOR BENEFITING CHILD LABOUR 159

5.5 THE COVERAGE OF THE NCLP SCHEME HAS INCREASED

FROM 12 DISTRICTS IN 1988 TO 100 DISTRICTS IN THE

9TH PLAN TO 250 DISTRICTS DURING THE 10TH PLAN. 160

5.6 THE CONTRACT LABOUR

(REGULATION AND ABOLITION) ACT, 1970 161

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NOTES

1 ANNA UNIVERSITY CHENNAI

INDUSTRIAL RELATIONS AND LABOUR WELFARE

UNIT I

INDUSTRIAL RELATIONSLearning Objectives

After going though this unit you should be in a position to explain the following terminologies:

••••• Concept of Industrial Relations

••••• Importance of IR

••••• Labour Turnover

••••• Absenteeism

••••• Trade Union

••••• Codes of Conduct

1.1 INTRODUCTION

Industrial relations has become one of the most delicate and complex problems ofmodern industrial society. Industrial progress is impossible without cooperation of laboursand harmonious relationships. Therefore, it is in the interest of all to create and maintaingood relations between employees (labour) and employers (management).

1.2 CONCEPT OF INDUSTRIAL RELATIONS

The term ‘Industrial Relations’ comprises of two terms: ‘Industry’ and ‘Relations’.“Industry” refers to “any productive activity in which an individual (or a group of individuals)is (are) engaged”. By “relations” we mean “the relationships that exist within the industrybetween the employer and his workmen.”

The term industrial relations explain the relationship between employees andmanagement which stem directly or indirectly from union-employer relationship.

Industrial relations are the relationships between employees and employers within theorganizational settings. The field of industrial relations looks at the relationship betweenmanagement and workers, particularly groups of workers represented by a union. Industrialrelations are basically the interactions between employers, employees and the government,and the institutions and associations through which such interactions are mediated.

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The term industrial relations have a broad as well as a narrow outlook. Originally,industrial relations were broadly defined to include the relationships and interactions betweenemployers and employees. From this perspective, industrial relations covers all aspects ofthe employment relationship, including human resource management, employee relations,and union-management (or labour) relations. Now its meaning has become more specificand restricted. Accordingly, industrial relations pertains to the study and practice of collectivebargaining, trade unionism, and labour-management relations, while human resourcemanagement is a separate, largely distinct field that deals with nonunion employmentrelationships and the personnel practices and policies of employers.

The relationships which arise at and out of the workplace generally include therelationships between individual workers, the relationships between workers and theiremployer, the relationships between employers, the relationships employers and workershave with the organizations formed to promote their respective interests, and the relationsbetween those organizations, at all levels. Industrial Relations also includes the processesthrough which these relationships are expressed (such as, collective bargaining, workers’participation in decision-making, and grievance and dispute settlement), and the managementof conflict between employers, workers and trade unions, when it arises.

The industrial situation as reflected in the statement of mandays lost on account ofstrikes and lockouts has shown improvement in recent years. Despite increase in the numberof strikes and lockouts in 1997 compared to 1996, the mandays lost due to these agitationshave actually declined. The total number of strikes and lockouts increased from 1166 in1996 to 1305 in 1997, but the mandays lost on account of these strikes and lockoutsdeclined from 20.3 million in 1996 to 17 million in 1997 (Table 1.1). Among the states,Andhra pradesh, Tamil Nadu, Gujarat and West Bengal recorded most of the agitations.Cotton textiles, engineering and jute hemp and Mesta textiles were the industrial groupswhich witnessed maximum loss of mandays on account of strikes and lockouts.

Wage and wage related issues, personnel issues, retrenchment and indiscipline havebeen identified as major reasons behind strikes and lockouts. Protests against privatizationand entries of multinationals are issues that have gained importance in recent years. Thesteady improvement in industrial relations has been possible mainly because of theGovernment’s proactive role through timely and effective conciliation of industrial disputesand involvement of the social partners at various bipartite-tripartite fora for the formulationof labour and industrial policies. One important issue, which needs to be addressed, is theextant labour laws especially Industrial Disputes Act (IDA) 1947, which governs lay off,retrenchment and closure. Central and State Governments have often been inhibited ingranting necessary permissions for closure, even when economic compulsions justifiedgranting of such permissions. It has often been observed that the present legal provisionsand procedures restrict labour market flexibility and thereby discourage growth ofemployment. A thorough review of the provisions of the IDA and other labour legislations

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is called for to impart greater flexibility to the labour market and thereby encourage moreemployment.

Considering the radical changes that have taken place in the domestic industrial scenarioand the labour market, the Government has decided to set up the Second NationalCommission on Labour to suggest among others, rationalization of the existing laws in theorganized sector so as to make them more relevant and appropriate in the changing contextof globalization and opening up of the Indian economy.

MEANING AND DEFINITION OF INDUSTRIAL RELATION

The relationship between Employer and employee or trade unions is called IndustrialRelation. Harmonious relationship is necessary for both employers and employees tosafeguard the interests of the both the parties of the production. In order to maintain goodrelationship with the employees, the main functions of every organization should avoid anydispute with them or settle it as early as possible so as to ensure industrial peace and higherproductivity. Personnel management is mainly concerned with the human relation in industrybecause the main theme of personnel management is to get the work done by the humanpower and it fails in its objectives if good industrial relation is maintained. In other wordsgood Industrial Relation means industrial peace which is necessary for better and higherproductions.

Other commonly referred definitions:

i. Industrial Relation is that part of management which is concerned with the manpowerof the enterprise – whether machine operator, skilled worker or manager.

ii. Industrial Relation is a relation between employer and employees, employees andemployees and employees and trade unions. - Industrial dispute Act 1947

iii. While moving from jungle of the definitions, here, Industrial Relation is viewed asthe “process by which people and their organizations interact at the place of workto

Establish the terms and conditions of employment.”

The Industrial Relation relations also called as labor - management, employee-employersrelations.

A few notable features pertaining to Industrial Relations are as under:

1. Industrial Relation do not emerge in vacuum they are born of employment relationshipin an industrial setting. Without the existence of the two parties, i.e., labour andmanagement, this relationship cannot exist. It is the industry, which provides theenvironment for industrial relations.

2. Industrial Relation are characterized by both conflict and co-operations. This isthe basis of adverse relationship. So the focus of Industrial Relations in on thestudy of the attitudes, relationships, practices and procedure developed by thecontending parties to resolve or at least minimize conflicts.

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3. As the labor and management do not operate in isolations but are parts of largesystem, so the study of Industrial Relation also includes vital environment issueslike technology of the workplace, country’s socio-economic and politicalenvironment, nation’s labor policy, attitude of trade unions workers and employers.

4. Industrial Relation also involve the study of conditions conductive to the labor,managements co-operations as well as the practices and procedures required toelicit the desired co-operation from both the parties.

5. Industrial Relations also study the laws, rules regulations agreements, awards ofcourts, customs and traditions, as well as policy framework laid down by thegovernments for eliciting co-operations between labor and management. Besidesthis, it makes an in-depth analysis of the interference patterns of the executive andjudiciary in the regulations of labor–managements relations.

In fact the concepts of Industrial Relations are very broad-based, drawing heavilyfrom a variety of discipline like social sciences, humanities, behavioral sciences, lawsetc.

Industrial Relation encompasses all such factors that influence behavior of people atwork. A few such important factors are details below:

1. Institution: It includes government, employers, trade unions, unions’ federations orassociations, government bodies, labor courts, tribunals and other organizationswhich have direct or indirect impact on the industrial relations systems.

2. Characters : It aims to study the role of workers unions and employers’ federationsofficials, shop stewards, industrial relations officers/ manager, mediator/conciliators/ arbitrator, judges of labor court, tribunal etc.

3. Methods : Focus on collective bargaining, workers’ participation in the IndustrialRelation schemes, discipline procedure, grievance re-dressal machinery, disputesettlements machinery working of closed shops, union reorganization, organizationsof protests through methods like revisions of existing rules, regulations, policies,procedures, hearing of labor courts, tribunals etc.

4. Contents : Includes matter pertaining to employment conditions like pay, hours ofworks, leave with wages, health, and safety disciplinary actions, lay-off, dismissalsretirements etc., laws relating to such activities, regulations governing labor welfare,social security, industrial relations, issues concerning with workers’ participation inmanagement, collective bargaining, etc.,

Objectives of Industrial Relation:

A. To safeguard the interest of labor and management by securing the highest level ofmutual understanding and good-will among all those sections in the industry whichparticipate in the process of production.

B. To avoid industrial conflict or strife and develop harmonious relations, which arean essential factor in the productivity of workers and the industrial progress of acountry.

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C. To raise productivity to a higher level in an era of full employment by lessening thetendency to high turnover and frequency absenteeism.

D. To establish and nurse the growth of an Industrial Democracy based on laborpartnership in the sharing of profits and of managerial decisions, so that banindividuals personality may grow its full stature for the benefit of the industry andof the country as well.

E. To eliminate, as far as is possible and practicable, strikes, lockouts and gheraos byproviding reasonable wages, improved living and working conditions, said fringebenefits.

F. To establish government control of such plants and units as are running at a loss orin which productions has to be regulated in the public interest.

G. Improvements in the economic conditions of workers in the existing state of industrialmanagements and political government.

H. Control exercised by the state over industrial undertaking with a view to regulatingproduction and promoting harmonious industrial relations.

I. Socializations or rationalization of industries by making he state itself a majoremployer

J. Vesting of a proprietary interest of the workers in the industries in which they areemployed.

The main aspects of Industrial Relations are:-

i. Labor Relations, i.e. relations between union and management

ii. Employer-employees relations, i.e. relations between management and employees

iii. Group relations, i.e. relations between various groups of workmen

iv. Community or Public relations, i.e. relations between industry and society.

v. Promotions and development of healthy labor-managements relations.

vi. Maintenance of industrial peace and avoidance of industrial strife

vii. Development of true industrial Democracy

Effects of poor Industrial Relations

Poor Industrial Relation produces highly disquieting effects on the economic life ofthe country. We may enumerate the ill-effects of poor Industrial Relations as under:

1. Multiplier effects:

Modern industry and for that matter modern economy are interdependent. Hencealthough the direct loss caused due to industrial conflict in any one plant may not bevery great, the total loss caused due to its multipliers effect on the total economy isalways very great.

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2. Fall in normal tempo:

Poor Industrial Relations adversely effect the normal tempo of work so that work arbelow the optimum level. Costs build up. Absenteeism and labor turnover increase.Plants discipline breaks down and both the quality and quality of production suffer.

3. Resistance of change:

Dynamic industrial situation calls for change more or less continuously. Methods haveto be improved. Economics have to be introduced. New products have to be designed,produced and put in the market. Each of these tasks involves a whole chain of changesand this is resisted bitterly if these are industrial conflict.

4. Frustration and social cost:

Every man comes to the work place not only to earn a living. He wants to satisfy hissocial and egoistic needs also. When he finds difficulty in satisfying these needs hefeels frustrated. Poor Industrial Relations take a heavy toll in terms of human frustration.They reduce cordiality and aggravate social tension.

Suggestions to Improve Industrial Relation

a. Both management and unions should develop constructive attitudes towards eachother

b. All basic policies and procedures relating to Industrial Relation should be clear toeverybody in the organization and to the union leader. The personnel managermust make certain that line people will understand and agree with these policies.

c. The personnel manager should remove any distrust by convincing the union of thecompany’s integrity and his own sincerity and honesty. Suspicious, rumors anddoubts should all be put to rest.

d. The personnel manager should not vie with the union to gain workers’ loyal to boththe organization. Several research studies also confirm the idea of dual allegiance.There is strong evidence to discard the belief that one can owe allegiance to onegroup only.

e. Management should encourage right kind of union leadership. While it is not forthe management to interfere with union activities, or choose the union leadership,its action and attitude will go a long way towards developing the right kind of unionleadership. “Management gets the union it deserves” is not just an empty phrase.Managements

IMPORTANCE OF INDUSTRIAL RELATIONS:

The healthy industrial relations are key to the progress. Their significance may bediscussed as under –

1. Uninterrupted Production

The most important benefit of industrial relations is that this ensures continuity ofproduction. This means, continuous employment for all from manager to workers.The resources are fully utilized, resulting in the maximum possible production. There

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is uninterrupted flow of income for all. Smooth running of an industry is of vitalimportance for several other industries; to other industries if the products areintermediaries or inputs; to exporters if these are export goods; to consumers andworkers, if these are goods of mass consumption.

2. Reduction in Industrial Disputes

Good industrial relation reduces the industrial disputes. Disputes are reflections of thefailure of basic human urges or motivations to secure adequate satisfaction or expressionwhich are fully cured by good industrial relations. Strikes, lockouts, go-slow tactics,gherao and grievances are some of the reflections of industrial unrest which do notspring up in an atmosphere of industrial peace. It helps promoting co-operation andincreasing production.

3. High moraleGood industrial relations improve the morale of the employees. Employees workwith great zeal with the feeling in mind that the interest of employer and employees isone and the same, i.e. to increase production. Every worker feels that he is a co-owner of the gains of industry. The employer in his turn must realize that the gains ofindustry are not for him along but they should be shared equally and generously withhis workers. In other words, complete unity of thought and action is the mainachievement of industrial peace. It increases the place of workers in the society andtheir ego is satisfied. It naturally affects production because mighty co-operative effortsalone can produce great results.

4. Mental RevolutionThe main object of industrial relation is a complete mental revolution of workers andemployees. The industrial peace lies ultimately in a transformed outlook on the part ofboth. It is the business of leadership in the ranks of workers, employees and Governmentto work out a new relationship in consonance with a spirit of true democracy. Bothshould think themselves as partners of the industry and the role of workers in such apartnership should be recognized. On the other hand, workers must recognizeemployer’s authority. It will naturally have impact on production because they recognizethe interest of each other.

5. New ProgrammesNew programmes for workers development are introduced in an atmosphere of peacesuch as training facilities, labor welfare facilities etc. It increases the efficiency ofworkers resulting in higher and better production at lower costs.

6. Reduced WastageGood industrial relations are maintained on the basis of cooperation and recognitionof each other. It will help increase production. Wastages of man, material and machinesare reduced to the minimum and thus national interest is protected.

Thus, from the above discussion, it is evident that good industrial relation is the basisof higher production with minimum cost and higher profits. It also results in increasedefficiency of workers. New and new projects may be introduced for the welfare of theworkers and to promote the morale of the people at work.

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An economy organized for planned production and distribution, aiming at the realizationof social justice and welfare of the massage can function effectively only in an atmosphereof industrial peace. If the twin objectives of rapid national development and increasedsocial justice are to be achieved, there must be harmonious relationship between managementand labor.

DIFFERENCE BETWEEN INDUSTRIAL RELATIONS AND HUMANRELATIONS:

The term “Industrial Relations” is different from “Human Relations”. Industrial relationsrefer to the relations between the employees and the employer in an industry. Humanrelations refer to a personnel-management policy to be adopted in industrial organizationsto develop a sense of belongingness in the workers improves their efficiency and treatthem as human beings and make a partner in industry.

Industrial relations cover the matters regulated by law or by collective agreementbetween employees and employers. On the other hand, problems of human relations arepersonal in character and are related to the behavior of worker where morale and socialelements predominated. Human relations approach is personnel philosophy which can beapplied by the management of an undertaking. The problem of industrial relations is usuallydealt with a three levels – the level of undertaking, the industry and at the national level. Tosum up the term “Industrial Relations” is more wide and comprehensive and the term“Human Relations” is a part of it.

Determining factors of industrial relations

Good industrial relations depend on a great variety of factors. Some of the moreobvious ones are listed below:

1. History of industrial relations

No enterprise can escape its good and bad history of industrial relations. A goodhistory is marked by harmonious relationship between management and workers. Abad history by contrast is characterized by militant strikes and lockouts. Both typesof history have a tendency to perpetuate themselves. Once militancy is established asa mode of operations there is a tendency for militancy to continue. Or once harmoniousrelationship is established there is a tendency for harmony to continue.

2. Economic satisfaction of workers

Psychologists recognize that human needs have a certain priority. Need number oneis the basic survival need. Much of men conducted are dominated by this need. Manworks because he wants to survive. This is all the more for underdeveloped countrieswhere workers are still living under subsistence conditions. Hence economic satisfactionof workers is another important prerequisite for good industrial relations.

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3. Social and Psychological satisfaction

Identifying the social and psychological urges of workers is a very important steps inthe direction of building good industrial relations. A man does not live by bread alone.He has several other needs besides his physical needs which should also be given dueattention by the employer. An organization is a joint venture involving a climate ofhuman and social relationships wherein each participant feels that he is fulfilling hisneeds and contributing to the needs of others. This supportive climate requireseconomic rewards as well as social and psychological rewards such as workers’participation in management, job enrichment, suggestion schemes, re-dressal ofgrievances etc.

4. Off-the-Job Conditions

An employer employs a whole person rather than certain separate characteristics. Aperson’s traits are all part of one system making up a whole man. His home life is notseparable from his work life and his emotional condition is not separate from hisphysical condition. Hence for good industrial relations it is not enough that the worker’sfactory life alone should be taken care of his off-the-job conditions should also beimproved to make the industrial relations better.

5. Enlightened Trade Unions

The most important condition necessary for good industrial relations is a strong andenlightened labor movement which may help to promote the status of labor withoutharming the interests of management, Unions should talk of employee contributionand responsibility. Unions should exhort workers to produce more, persuademanagement to pay more, mobilize public opinion on vital labor issues and helpGovernment to enact progressive labor laws.

6. Negotiating skills and attitudes of management and workers

Both management and workers’ representation in the area of industrial relations comefrom a great variety of backgrounds in terms of training, education, experience andattitudes. These varying backgrounds play a major role in shaping the character ofindustrial relations. Generally speaking, well-trained and experienced negotiators whoare motivated by a desire for industrial peace create a bargaining atmosphere conduciveto the writing of a just and equitable collective agreement. On the other hand, ignorant,inexperienced and ill-trained persons fail because they do not recognize that collectivebargaining is a difficult human activity which deals as much in the emotions of peopleas in their economic interests. It requires careful preparation and top –notch executivecompetence. It is not usually accomplished by some easy trick or gimmick. Partiesmust have trust and confidence in each other. They must possess empathy, i.e. theyshould be able to perceive a problem from the opposite angle with an open mind.They should put themselves in the shoes of the other party and then diagnose theproblem. Other factors which help to create mutual trust are respect for the law andbreadth of the vision. Both parties should show full respect for legal and voluntaryobligations and should avoid the tendency to make a mountain of a mole hill.

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7. Public policy and legislation

When Government, regulates employee relations, it becomes a third major forcedetermining industrial relations the first two being the employer and the union. Humanbehavior is then further complicated as all three forces interact in a single employeerelation situation. Nonetheless, government in all countries intervenes in management– union relationship by enforcing labor laws and by insisting that the goals of wholesociety shall take precedence over those of either of the parties. Governmentintervention helps in three different ways 1) it helps in catching and solving problemsbefore they become serious. Almost every one agrees that it is better to prevent firesthem to try stopping them after they start; 2) It provides a formalized means to theworkers and employers to give emotional release to their dissatisfaction; and 3) Itacts as a check and balance upon arbitrary and capricious management action.

8. Better education

With rising skills and workers’ education expectations in respect of rewards increases.It is a common knowledge that the industrial worker in India is generally illiterate andis misled by outside trade union leaders who have their own axe to grind. Betterworkers’ education can be a solution to this problem. This alone can provide workerwith a proper sense of responsibility, which they owe to the organization in particular,and to the community in general.

9. Nature of industry

In those industries where the costs constitute a major proportion of the total cast,lowering down the labor costs become important when the product is not a necessityand therefore, there is a little possibility to pass additional costs on to consumer. Suchperiods, level of employment and wages rise in decline in employment and wages.This makes workers unhappy and destroys good industrial relations.

INDUSTRIAL RELATIONS PROGRAMME

Today’s professional industrial relations director, or by whatever title he is designated,no longer views his job as personalizing management, or that of a social worker in afactory, or a union buster, he looks upon his department as an adjunct to managementsupervision at all levels; he keeps other executives informed about new discoveries,programme trends and needs. At the same time, he provides efficient service in the operationof several centralized services

A successful industrial relations programme reflects the personnel viewpoint, which isinfluenced by three main considerations:

a. Individual thinking

b. Policy awareness and

c. Expected group reaction

Individualized thinking makes if imperative for the administrator to consider the entiresituation in which the affected individual is placed. Policy awareness underscores the idea

NOTES



of the consistency of treatment and the precedent value of any decision which a managementtakes; while expected group reaction balances what we know of human nature in groupsagainst an individual’s situation in the light of the policy that has been formulated andimplemented. In all these different circumstances, reality demands that all the three aspectsof the personnel viewpoint should be considered at once in terms of the past, the presentand the future. This viewpoint is held at all the levels of management from the top to thebottom, from the top executives and staff to the line and supervisory personnel.

SCOPE OF INDUSTRIAL RELATIONS WORK:

The staff employed in the industrial relations department should know the limitationswithin which it has to function. The industrial relations director generally has several assistantswho help him to perform his functions effectively, and he usually reports directly to thepresident or chairman of the board of directors of an organization.

The functions of the industrial relations staff are –

1. Administration, including overall organization, supervision and co-ordination of industrialrelations policies and programmes.

2. Liaison with outside groups and personnel departments as well as with various cadresof the management staff.

3. The drafting of regulations, rules, laws or orders and their construction and interpretation.

4. Position classification, including overall direction of job analysis, salary and wageadministration, wage survey and pay schedules.

5. Recruitment and employment of workers and other staff.

6. Employment testing, including intelligence tests, mechanical aptitude tests andachievement tests.

7. Placement, including induction and assignment.

8. Training of apprentices, production workers, foremen and executives.

9. Employee counseling on all types of personnel problems-educational, vocational, healthor behavior problems.

10. Medical and health services.

11. Safety services, including first aid training

12. Group activities, including group health insurance, housing, cafeterial programmes andsocial clubs.

13. Suggestion plans and their uses in labor, management and production committees.

14. Employee relations, especially collective bargaining with representatives and settlinggrievances.

15. Public relations.

16. Research in occupational trends and employee attitudes, and analysis of labor turnover.

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17. Employee records for all purposes.

18. Control of operation surveys, fiscal research and analysis.

19. Benefit, retirement and pension programmes.

FUNCTIONAL REQUIREMENTS OF A SUCCESSFUL INDUSTRIALRELATIONS PROGRAMME

The basic requirements on which a successful industrial relations programme is basedare:-

a) Top Management Support:

Since industrial relations is a functional staff service, it must necessarily derive itsauthority from the line organization. This is ensured by providing that the industrialrelations director should report to a top line authority to the president, chairman orvice president of an organization.

b) Sound Personnel Policies:

These constitute the business philosophy of an organization and guide it in arriving atits human relations decisions. The purpose of such policies is to decide, before anyemergency arises, what shall be done about the large number of problems which cropup every day during the working of an organization. Policies can be successful onlywhen they are followed at all the level of an enterprise, from top to bottom.

c) Adequate Practices should be developed by professionals:

In the field to assist in the implementation of the policies of an organization, a systemof procedures is essential if intention is to be properly translated into action. Theprocedures and practices of an industrial relations department are the “tool ofmanagement” which enables a supervisor to keep ahead of his job that of the time-keeper, rate adjuster, grievance reporter and merit rater.

d) Detailed Supervisory Training:

To ensure the organizational policies and practices are properly implemented andcarried into effect by the industrial relations staff, job supervisors should be trainedthoroughly, so that they may convey to the employees the significance of those policiesand practices. They should, moreover, be trained in leadership and in communications.

e) Follow-up of Results:

A constant review of an industrial relations programme is essential, so that existingpractices may be properly evaluated and a check may be exercised on certainundesirable tendencies, should they manifest themselves. A follow up of turnover,absenteeism, departmental morale, employee grievances and suggestion; wageadministration, etc. should be supplemented by continuous research to ensure thatthe policies that have been pursued are best fitted to company needs and employeesatisfaction. Hints of problem areas may be found in exit interviews, in trade uniondemands and in management meetings, as well as in formal social sciences research.

NOTES



1.3 TRADE UNION AND ITS IMPORTANCE

The existence of a strong and recognized trade union is a pre-requisite to industrialpeace. Decisions taken through the process of collective bargaining and negotiationsbetween employer and unions are more influential. Trade unions play an important role andare helpful in effective communication between the workers and the management. Theyprovide the advice and support to ensure that the differences of opinion do not turn intomajor conflicts. The central function of a trade union is to represent people at work. Butthey also have a wider role in protecting their interests. They also play an importanteducational role, organizing courses for their members on a wide range of matters. Seekinga healthy and safe working environment is also prominent feature of union activity.

Trade unions help in accelerated pace of economic development in many ways asfollows:

• by helping in the recruitment and selection of workers.

• by inculcating discipline among the workforce

• by enabling settlement of industrial disputes in a rational manner

• by helping social adjustments. Workers have to adjust themselves to the newworking conditions, the new rules and policies. Workers coming from differentbackgrounds may become disorganized, unsatisfied and frustrated. Unions helpthem in such adjustment.

Trade unions are a part of society and as such, have to take into consideration thenational integration as well. Some important social responsibilities of trade unions include:

• promoting and maintaining national integration by reducing the number of industrialdisputes

• incorporating a sense of corporate social responsibility in workers

• achieving industrial peace

1.4 TREND IN NUMBER OF REPORTING FACTORIES –EMPLOYMENT

Absenteeism & Labour Turnover, Average Labour Cost and Average Wages/Salaries ofEmployees

Sl. No. Parameters Year —————————————————

2000 – 01 2001-02 2002-03 2003-04 2004-05

—————————————————————————————————

1. No. of Reporting Factories 128339 125834 125834 125844 136356

2. Average Daily Employment

a. All Employees 7988233 7751095 7935948 7870081 8453624

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b. All Workers 6135675 5958492 6161493 6086908 6599298

c. Male Workers 4000370 3771435 3809037 3695860 3863691

d. Female Workers 881171 889292 929745 894992 987497

e. Child Workers 666 306 557 385 45

f. Contract Workers 1253468 1297458 1422155 1495671 1748065

3. Absenteeism Rate (%) @ 10.08 9.44 9.61 10.01 8.96

4. Labour Turnover

a. Accession Rate (%) @ 15.97 15.26 15.44 16.79 18.45

b. Separation Rate (%) @ 17.16 17.43 16.57 18.11 16.94

5. Labour Cost on Employees

per Manday Worked (Rs.) 256.45 271.96 285.05 305.89 307.76

6. Percentage of Labour Cost to

Total Cost of Production 7.78 4.35 7.15 6.82 5.81

7. Percentage of Components of Labour Cost to Total Labour Cost

a. Wages/Salaries 77.55 76.29 76.59 76.40 77.95

b. Bonus 4.44 4.19 4.12 4.11 4.29

c. Provident Fund 10.75 12.30 11.93 12.12 10.31

d. Welfare Expenses 7.25 7.22 7.36 7.36 7.45

8. Wages/Salaries per Man-day Worked (Rs.) by

a. All Employees 198.88 207.47 218.31 233.71 239.91

b. All Workers 148.86 152.38 158.75 165.55 168.58

c. Male Workers 180.02 187.84 197.85 207.72 212.30

d. Female Workers 78.45 79.13 82.17 87.33 91.00

e. Child Workers 55.63 38.78 61.87 51.57 28.86

f. Contract Workers 90.10 90.95 96.68 100.96 109.71

——————————————————————————————————————— @ Among Directly Employed Regular Workers during the calendar year.

NB: 1. Workers are defined to include all persons employed directly or through anyagency, whether for wages or not, in any manufacturing process or in cleaning any part ofmachinery or premises used for manufacturing process or in any other kind of work,incidental to, or connected with the manufacturing process or the subject of manufacturingprocess. Labour engaged in repair and maintenance or production of fixed assets forfactory’s own use or labour employed for generating electricity, etc. is also included.

NOTES



2. Employees include all workers and persons receiving wage/salary and holdingsupervisory or managerial positions engaged in administrative office, store keepingand welfare sections, sales department as also those engaged in purchase of rawmaterials, etc or purchase of fixed assets for the factory and watch and ward staff.

1.5 TRADE UNION – CONCEPT

The classic definition of trade union was given by Sidney and Beatrice Webb statesthat it is “a continuous association of wage earners for the purpose of maintaining andimproving conditions of their working lives.” In their time, the brand to trade unionorganizations that existed was small and local representating a specific skill or trade. Thedefinition refers to a “permanent organization” of workers rather than one which is createdfor a particular purpose and died later on. The term “wage earner” in its purview includes“salary –earns.” The objectives of such association is to maintain and improve the workingconditions of its members

1.5.1 A few commonly cited definitions trade union are

Dale Yoder, “A trade union is a continuous association of wage-earners for the purposemaintaining of improving the conditions of their working lives.”

S.D. Puneker, A trade union is a monopolistic combination of wage-earners who asindividual producers are complementary to one another but who stand to employers in arelation of dependence for the sale of their labour and production, and that the generalpurpose of association is in view of that dependence to strengthen their power to bargainwith the employers of bargaining collectively.

However, for the sake of discussion, these definitions may sound good, but a legalisticdefinition of trade union is desirable in understanding its concept as prevalent in a particularsociety. This is because in the case of industrial dispute or on all union matter, on has to goby what the letter of laws says and not by what people perceive the union to be.

The British Trade Union Act views it thus, “A trade union is a combination with themain objective of regulating the relation between workmen and masters or betweenworkmen and workmen or between masters and masters for imposing of restrictiveconditions on the conduct of any trade or business and also provision of benefits to members

In the words of India Trade Union Act, 1926, “A trade union is any combination,whether temporary or permanent, formed primarily for the purpose of regulating the relationsbetween workmen and employers, or between workmen and workmen, between employeesand employers, or for imposing restrictive conditions on the conduct of any trade or business,and includes any federation of two or more trade unions.”

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This definition is defective because it allows even non-workers to form a trade union;also it is narrow and vague about the aims and purpose of forming such a union. Yet thedefinition with a clear and legal wording is certainly important in relation to getting a tradeunion registered with the Registrar of Trade Unions and when legal interpretation of tradeunion is required in the case of industrial disputes etc.

The characteristic which define a trade union includes

i) A Statement that the organization is a trade union.

ii) A Statement of its principal objectives, clearly specifying the fact that the organizationformed is for the betterment of its members, i.e workers.

iii) Registration with the Registrar of Trade Unions having jurisdiction on the areawhere Trade Union functions

iv) Independence from the employer, which may be evident form the certificate issuedby the Registrar of Trade Unions.

v) Affiliation with the central trade union organization

All the trade unions do not necessarily shown these characteristics, yet many of thelarge trade unions do.

1.5.2 General Features of Trade Unions

Coming out of a vast array of literature on the subject, here a few general featurestrade unions are detailed out:

(1) The trade union is an association either of employers or employees or of independentworkers. Accordingly, in India such unions may consist of

i. Merchant’s or employers’ associations (like the Employers’ Federation of India,the All-India Manufacturers’ Organisations, the All India Organisation of IndustrialEmployers, the Tea Planters’ Association of North India, the United Planters’Association of South India, the Indian Jute Mills Association, the Indian SugarMills Association the Bombsy Mill Owners’ Association, and the Indian PaperMills Association;

ii. The general labour unions

iii. The friendly societies and

iv. Combination of intellectual labour like (the All-India Teachers’ Association; theAll-India Bank Employees’ Association; the All-India Medical Doctors’Association; the Railway men’s Federation; National Federation of Posts andTelegraphs Workers; the All-India Mine Workers’ Federation etc.)

On the other hand, in England, the term “trade union” also refers to the associationsof professional persons such as artists’ federations, musicians’ union etc.

In China, they refer to the trade union as an association of members of manual wage-earners in enterprises, institutions schools and also working class engaged in irregularemployments.

NOTES



In the erstwhile USSR, they were a mass non-party public organization which unitson a voluntary basis, the workers and other employees of all occupations. They are reallythe masses of workers and others employees around the party which are mobilized for thestruggle to build a communist society.”

In USA, theses organizations are combinations of all persons in a given trade with thepurpose of demanding and securing for each and all of them a definite minimum standardof wages, hours and conditions of works.

It may , however , be noted that all similar organizations cannot truly be regarded astrade unions, because the associations of employers are concerned with influencing theterms of purchase of services in favour of their members which they need for performingparticular tasks. The associations of professional persons, too cannot be regarded as truetrade unions because their main objectives are to improve the training and education oftheir members. Further, such associations include the self-employed as well as the employees.The trade union should, therefore, be regarded as an association only of workers oremployees.

Thinkers like the Webbs, Cunnison and others do not recognize the employers’associations and professional bodies as trade unions because they differ fundamentallyfrom the workers’ organizations. They are of the view that if professional associations aretreated as trade unions, a similar problem may arise for associations of sellers of services,like traveling and commission agents, bankers, insurance and property brokers and hotel-owners, and to include them within the fold of the trade unions would be cumbersome andundesirable.

Sometimes, workers allow their employers to join their unions and vice versa. Suchorganization may be called trade combinations or mixed combinations as provided in thestatutory provisions in Chile, France, Hungary and Romania. In India, such organizationshave been referred to as quasi-unions.

(2) Labour unions are relatively permanent association of workers and are not temporaryor casual: They persist throughout the years and conceive of their purpose as onwhich is not merely immediate but continues. They do not expect to attain theirobjectives in a day because they anticipate and contemplate continuing stream ofadditional objectives to be adopted from time to time. The most frequently usedtechniques by trade union is collective bargaining by which is meant the subordinationof individual employer-employee relationships, in so far as the latter involvedetermination of wages and other conditions of employment-agreements affectingall workers in a group, arrived at by means of bargaining carried on not by workersthemselves but by their union representatives.

(3) A Trade union is an association of workers who are engaged in securing economicbenefits for its members: In other words it is essentially “a cooperative labourmarketing association.” Its purpose is to secure control of the supply of labour in

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one or more markets and to maintain that control as a means of fixing the price oflabour as well as the conditions under which it works. But this does not mean thatthe advancement of the economic interests of its members is the sole purpose of atrade union. As they also try to advance the social political and cultural complex coeconomic, legal, ethical and social problems, which can be understood and metonly by knowing the facts and genesis of the viewpoint of organized labour in all itsdiversity, contradictions and shifting character and by considering this viewpoint inrelation to developing social contradictions and social traditions. The trade unionsof to-day are plurist in character and by so slowly changing environment. Thetraditional concept of trade union functions which was to defend the workers’rights and interests against the employers and the state has now changed and beenreplaced by a new approach to its functions, namely:

(i) Protection of workers and provision for their security;

(ii) Improving the wages, conditions of work and standards of living;

(iii) Raising the status of the workers as a part of industry and citizen of society;and

(iv) Contributing in nation’s socio-economic development

(4) The character of trade unions has been constantly changing: The changes intechnology and system of production create fresh problems. Trade unions changetheir methods and their working to adjust themselves to changing circumstances.Therefore, there has been no finality about trade unions their working and theirmethods. They have gradually evolved and have now come to occupy an importantplace in modern industrial order. “From criminal and illegal associations, they havenow become legalized and recognized institutions; from institutions which wereonly very small bodies, they have how become gigantic associations; form institutionsthat were primarily interested in the advancement of the cause of their ownmembership, they have now become institutions which are interested in the social,cultural and political development of the country”. The trade unions, thus, havemade remarkable progress since their inception

(5) The origin and growth of trade unions have been i8nfluenced by a number ofideologies: The socio economic and even political movements have influencedtrade unions in one or the other way. The Marx and Engles’ Theory of Class Warinfluenced trade unionism in a number of ways. Their theory of class-conflict anddialectical materialism created a class of trade unionists who regarded labourorganization as “absolutely essential for bringing about a revolutionary andfundamental change in the social order.” The proletariat must overthrow the presentbourgeois class, capture state power and usher in a classless society because thecapitalistic class has long defensive, namely, to fight for the maintenance of theexisting wages, to demand (relatively) higher wages, and the betterment of theconditions of work.

The socialists, followed by the Webbs, consider trade unionism to be an extension ofthe “principle of democracy” in the sphere of industry. They require trade unions to be

NOTES



institutions for overcoming managerial dictatorship to strengthen individual labourers andto give them a voice in the determination of the conditions under which they have to work.The Webbs observed: “If the democratic State is to attain its fullest and finest development,it is essential that the actual needs and desires of the human agents concerned should bethe main consideration in determining the conditions of employment.” Here, then, we findthe special function of the trade union in the administration of industry.

India, too has accepted “the creation of industry democracy as a prerequisite of theestablishment of a socialist society. Lenin characterized the trade union as “an educationalorganization, a school administration, a school of economic management, a school ofcommunism.” In all socialist countries, it has been accepted that the trade unions have totake an active part in preparing laws concerning labour, production, the way of life, cultureand the implementation of these laws. There is no doubt there is a class conflict, but it issought to be met through equality and collective agreements and joint consultations. Thestate recognizes the rights of the people to work, rest and leisure and maintenance in oldage, sickness and disability, education and equal pay of equal work. The workers andmanagers have the same common purpose, namely, to promote the interests of the socialiststate with which their own interest are bound up.

Prof. Ghosh observers, Although modern unions’ interest is the production problemof the industry or their concern with the broader social affairs like employment of pricestabilization, may be explained as derivations from their primary interest-maintaining orimproving or improving the conditions of their members’ working lives it cannot explain thekeenness with which many of the modern trade unions in different countries demand notonly the right to be consulted in production problems and workers’ welfare arrangementsby the management, but also a direct share in the management itself. Demand for industrialdemocracy has always influenced a section of the working class, but, in the fifties of the20th century the demand has gained particular intensity in the trade union circles of a largenumbers of countries, including some underdeveloped ones.

In fine, it can be said that the modern trade union retains four characteristics from itsearly origins:

(i) It is economically –oriented

(ii) It is an instrument of defense.

(iii) It implies class distinction

(iv) It is an outcome of an individualistic society.

1.5.3 Functions of Trade Unions

The functions of modern trade unions are wide and more comprehensive than thoseof their forerunners. Generally speaking, these functions have been termed as – (i) militantof protection functions, and (ii) fraternal, ministrant of positive functions. The former functions

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aim at securing better conditions of work and employment for members through militantactivities such as strikes, gherao, etc. if there is failure of collective bargaining. The latterfunctions provide benefits to their members and support to them during strikes/lockouts orduring periods so temporary unemployment by giving them financial support out of thefunds raised with their contributions.

One author has categorized the functions of trade union as intra-mural and extra-mural functions. The former include the welfare schemes of the unions within factory premisesto improve workers’ conditions of employment; regulation of hours of work, and provisionof rest intervals, adequate wages, sanitation, safety and security; continuity of employment,etc. For performing theses functions, collective bargaining, negotiations and resort to astrike/lockout may be adopted. The latter include welfare schemes carried on with a viewto help workers when in need of such assistance (medical of financial) during casualties,provision of education, recreational and housing facilities; provision of social and religiousbenefits, including payment of expenses of funeral or religious ceremonies for the deceasedmembers of their dependants. All theses measures are designed to inculcate the spirit ofcooperation among the workers.

According to Samuel Gompers, “Trade unions were born of the necessity of workersto protect and defend themselves from encroachment, injustice, and protect the workersin their inalienable right to higher and better life; to protect them, not only as equal beforethe law, but also in their rights to the product of labour, to protect their lives, their limbs,their health, the homes, their firesides, their liberties as men, as workers, as citizens, toovercome and conquer prejudice and antagonism, to secure them the fight to life, and theopportunity to maintain the result of their brain and brawn, and the civilization of whichthey are the founders and the mainstay.

Before we give a consolidate picture of the functions/objectives of a trade union, itwould be useful to glance at their functions in some countries

1.6 GROWTH AND DEVELOPMENT OF THE TRADE UNION MOVEMENT

The growth and development of the labour movement, and for that part of the tradeunions, in India, can be divided into following periods, each of them revealing differenttendencies that mark it from others.

1. Social Welfare period, from 1875 to 1918

2. Early Trade Union period, from 1918 to 1924

3. Left-wing Trade Unionism period, from 1924 to 1934

4. Trade Unions’ Unity period from 1935 to 1938

5. Second World War period from 1939 to 1945

6. Post – independence period from 1947 to date

NOTES



1.6.1 Social Welfare period, from 1875 to 1918

The development of industries led to large scale production on the one hand andsocial evils like employment and exploitation of women and child labour and the deplorableworking conditions, the government’s attitude of complete indifference in respect ofprotection of labour from such evils, on the other. Some of the worst features of industrialismmarket the history of early factory system in India. In certain respects, conditions of labourin India factories were worse than in the early factories in England. Unfortunately therewas no effective public opinion part villagers endeavoring to improve their position by atemporary alliance to industry were submissive and unorganized; and if conditions becometoo distasteful, the natural remedy was not a strike but abandonment by individuals of themill or of industry generally or they migrated to other industrial centers or want back totheir villages. There was no attempt at collective bargaining or at obtaining redress throughconcerted action. It was at this juncture that the Indian humanitarians, like Sorabjee ShapurjiBengali (1875) and N.M Lokhanday (in 1884) who themselves were factory workers,drew attention of the government towards the unhappy working conditions of the labourersand demeaned an early legislation to protect their interests. At the same time , the Lancashireinterests also forced the British government to British the employment of women and childlabour in India industries, not on any humanitarian ground, but on the was passed in 1881,and then amended in 1891 and 1911, respectively. Theses Acts introduced someimprovements in regard to shorter hours, and conditions of work for children and womenlabour.

The most noticeable features of the period, 1875-1918, were:

(1) Complete absence of radicalism in the labour movement. The methods used bythe workers were “characterized by a tendency to petition, memorials and seekredress of grievances by mild pressure.”

These methods reflect the influence of leaders like Naryan Meghajee Lokhanday,Shapurjee Bengali, S.N.Banerjee, and others who were all political moderates and lawabiding persons. They were rather social workers desirous to serve the society throughamelioration. “With theses characteristics,” writes Punekar, “the labour movement couldhardly tackle such problems as excessive hours of work, few holiday, irregular payment ofwages, incompetency of mill managers, inadequate fencing of machinery and the ill-ventilatedand filthy sate of many work places.”

(2) The movement depended greatly on external philanthropy. “Philanthropic agitationwas the fore-runner of labour movement in India and having originated inphilanthropy its motive force was sympathy rather than justice…. Born ofphilanthropy, it was a movement for the workers rather than by the workers.”

(3) Most of the organizations were unstable and of loose type, as they lacked definiteaims and constitution. Once the particular grievance was settled the associationwould disband.

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(4) There was little conception of permanent trade union membership, the paymentof dues or organized collective bargaining. About the Bombay mill hands’Association, Dutt observed, “The Association has no existence as an organizedbody, having no roll or membership, no funds no rule…

(5) The movement developed mostly among the educated class of workers such asthe postal clerks and railway employees. It, however, did not make much progressin organized industries like textiles, mining and plantations.

(6) The early leadership was provided by three types of persons. First, intellectualssuch as lawyers, reformers, editors, teachers and preachers, who readily cameforwarded to organize and lead the workers. Second, the careerists, who saw inthe needs of workers opportunities for furthering their own ends, jumped inmasquerading as labour leaders. The third group from M.Vardarajulu Naidu,B.Shiv Rao, Annie Basant and B.G.Talak, N.M.Joshi.

1.6.2 Early Trade Union period, from 1918 to 1924

The year 1918 was an important one for the Indian trade union movement. “It marketthe start of a new era, an era of growth and one in which the leadership of the trade unionswas to pass from the hands of the social workers into the hands of the politicians. Themovement could take permanent roots in the Indian soil only after the close of World WarI. This situation was due to : (i) The industrial unrest that few up as a result of graveeconomic difficulties created by war. The rising cost of leaving prompted the workers todemand reasonable wages for which purpose they united to take resort to collective action.(ii) The Swaraj movement intensified the movement, widened the gulf between the employeesand te employees and brought about a mass awakening among the workers demandingracial equality with their British employers. The new consciousness produced restlessness,discontent, a spirit of defiance as well as new ideal and aspirations. (iii) the success of theRussian Revolution of 1971 created a revolutionary wave of ideas and a new self-respectand enlightenment, and added momentum to the feeling of class-consciousness amonglabourers. (iv) The establishment of the I.L.O., in 1919, gave dignity to the working classand also an opportunity to send a delegation to the annual conference of this body. It iswas from this body that labour movement in various countries derived their inspiration,help and guidance. (v) Immediately after the war many Indian soldiers (who previouslybelonged to the working class) in the British army were demobilized and forced into thelabour market. Theses ex-soldiers who had seen workers and the working conditions inEurope found that Western workers enjoyed better conditions of living because of theirgreater solidarity and of more opportunities available to them but Indian workers weredenied these opportunities. By 1920, a large class of genuine proletariat developed. Hence,theses were new opportunities for the creation of trade unions. (vi) The non-co-operativemovement of Gandhiji during 1920-21 and his support to the demand of industrial labouralso greatly influenced the working class movement.

NOTES



1.6.3 Left-wing Trade Unionism period , from 1924 to 1934

In 1924, a violent and long-draw-out strike by unions led to the arrest, prosecution,conviction and imprisonment of many communist leaders. The AITUC emerged as therepresentative of the Indian working class. By 1927 it united 57 unions with a membershipof 150,555. the rapid growth of the trade unionism was facilitated by several factors, suchas: (i) the growth anti-imperialist national movement; (ii) the brutal violence and repressivemeasures let loose by the British government, particularly the Jallianwala Bagh massacre,Rowlatt Act, indiscriminate arrest and imprisonment of national leaders and Satyagrahis;(iii) the phenomenal profits earned by the capitalist in the face of falling real ages during thepost-war period.

1.6.4 Trade Unions’ Unity period - 1935 to 1938

In mid-thirties of the 20th century the state of divided labour movement was naturalthought undesirable and soon after the first split, attempts at trade union unity began to bemade through the efforts of the Roy Group on the basis of ‘a platform of unity’. Theimitative taken by All-India Railwaymen’s Federation (s neutral body) had shown fruitfulresults. This Federation in its conference at Bombay, formed a Trade Union Unity committeein 1932. The Committee adopted the following “platform of unity”. “A trade union is anorange of class-struggle; its basis task is to organize the workers for advancing and defendingtheir rights and interests. Negotiation, representations and other methods of collectivebargaining must remain an integral part of the trade union activates.”

It also laid down certain broad conclusions agreeable to both wings of labour-theAITUF and the INTUC. The final decision was taken in Delhi in 1933, when NationalFederation of Labour (NFL) was formed to facilitate the attempt towards unity. The AITUFand the railway unions amalgamated themselves with NFL under the name of the NationalTrade Union Federation (NTUF). The AITUC and the RTUC, however, remained alooffrom theses efforts.

1.6.5 Second World War period - 1939 to 1945

The Second World War, which broke out in September 1939, created new strains inthe united trade union movement. These strains arose because of the different politicalfactions in the AITUC related in different ways to the role of India as a protagonist in thewar. A large group of trade unionists led by the members of the Radical Democratic Party(such as M.N.Roy, J.Mehra, Miss Maniben Kera and V.B.Karnik) was of the opinion thatthe AITUC should support and participate in the anti-fascist war irrespective of the acts ofomission and commission of the British government. An equally large number (supportedby S.C. Bose, and others) were opposed to that view on the ground that it was an imperialistwar of Great Britain with which Indian had no unions with a membership of 3,00,000 andformed a new central federation known as the Indian Federation of Labour. In 1942, his

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Federation was recognized by the government as an organ representing Indian labourclass. The IFL called : (i) for mobilization of Indian labour for conscious for securing for theworkers bare minimum of wages and amenities which the wartime conditions effort if wasaided by the Government of India, by providing large funds at the rate of Rs. 13,000 permonth. The IFL grew very rapidly and by 1944, it claimed 222 unions with a membershipof 407,773 workers.

1.6.6 Post – independence period - 1947 to 2000

As pointed out earlier, when attempts to restructure the AITUC failed, those believingin the aims and ideals other than those of the AITUC separated from the organization andestablished the Indian National Trade Union Congress (INTUC) in May, 1947. the reasonfor forming a new union was expressed in the communication of G.L. Nada (the Secretaryof the H.M.S.S.) addressed to all the congress-minded trade unionists. It reads:“Congressmen in general and particularly those working in the field of labour, have foundit very difficult to co-operate any longer with the AITUC which has repeatedly been adoptinga course completely disregarding, or even in opposition to the declared policy and adviceof the Indian National Congress.”

The Hindustan Mazdoor Sevak Sangh convened a conference in New Delhi on May3 and 4, 1947. a resolution was adopted to set up another central organization. OnSeptember 25, 1947, the Working Committee of the Indian National Congressrecommended to all “Congressmen to get those unions, which they organized and of whichthey were the members, affiliated to the newly formed Indian National Trade Union.” OnJanuary 20, 1984, Sardar Vallabhbhai Patel, while addressing a labour rally at Bombay,exhorted the workers to do away with the destructive leadership of the leftists who hadbeen exploiting them for their own political ends and asked them to join the INTUC. TheCreation of the INTUC was a confession both of the failure to create favorable conditionsin the AITUC, and of the government and Congress party impatient with the leadership ofthe AITUC which had come completely under the domination of the communists.

The INTUC was formed by Hindustan Mazdoor Sevak Sangh, a creation of thePro-Gandhi wing in the Congress, who were associated with the Textile Labour Associationof Ahmedabad. The ATLA became the guiding and driving force behind the INTUC. Italso supplied 55,000 of the INTUC’s intial membership of 575,000. the long experienceof the ATLA in trade union affairs also resulted in a large proportion of the INTUC leaderscoming from Ahmedabad. As Oranti puts it, “Ideologically as well as administratively thebloodstream of the INTUC flows from Ahmedabad. Here the ATLA provides it with astrong membership nucleus, a rich treasury, and a cadre with a long experience in labourwork. The INTUC itself joined the International Confederation of Free Trade Unions(ICFTU) as an affiliate. The INTUC had at the time of its inception 200 unions affiliatedwith it with a membership of 575,000. it grew rapidly in strength and it had the claim of

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being recognized as “the most representative central organization of organized labour inIndia.” The AITUC, which for nearly 30 years had been considered as the “Voice ofIndian Labour.” Thus lost ist premier position. According to its sponsors, “the INTUCrepresented an attempt to go to the working class with a new and fresh approach to thesolution of the problems.

The INTUC was founded for establishing “an order of society which is free fromhindrances to al-round development of its individual members which fosters the growth ofhuman personality in all its aspects and which goes to the utmost limit in progressivelyeliminating social, political and economic exploitation and inequality, the profit motive andeconomic activity and organization of society and the anti-social concentration of power inany form.”

Since the beginning the INTUC shared and supported the political outlook of theIndian National Congress its popular image was identified with that of the Congress, andhence, its policies are subject to directives of the Congress party. The constitution of theINTUC emphasizes democratic and peaceful methods, which are in harmony with thetradition, culture and aspirations of the people.

1.7 FUNCTIONS OF TRADE UNIONS

The functions of modern trade unions are wide and more comprehensive than thoseof their forerunners. Generally speaking, these functions have been termed as –(i) militantor protection function, and (ii) fraternal, ministrant or positive functions. The former functionsaim at securing better conditions of work and employment for members through militantactivities such as strikes, gherao, etc. if there is a failure of collective bargaining. The latterfunctions provide benefits to their members and support to them during strikes/lockouts orduring periods of temporary unemployment by giving them financial support out of thefunds raised with their contributions.

One author has categorized the functions of trade union as intra-mural and extra-mural functions. The former include the welfare schemes of the unions within factorypremised to improve workers’ conditions of employment; regulation of hours of work, andprovision of rest intervals, adequate wages, sanitation, safety and security; continuity ofemployment, etc. For performing these functions, collective bargaining, negotiations andresort to a strike/lockout may be adopted. The latter include welfare schemes carried onwith a view to help workers when in need of such assistance (medical or financial) duringcasualties, provision of education, recreational and housing facilities; provision of socialand religious benefits, including payment of expenses of funeral or religious ceremonies forthe deceased members or their dependents. 9 All these measures are designed to inculcatethe spirit of cooperation among the workers.

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According to Samuel Gompers, “Trade unions were born of the necessity of workersto protect and defend themselves from encroachment, injustice, and protect the workersin their inalienable right to higher and better life; to protect them, not only as equal beforethe law, but also in their rights to the product of labour, to protect their lives, their limbs,their health, their homes, their firesides, their liberties as men, as workers, as citizen, toovercome and conquer prejudice and antagonism, to secure them the right to life, and theopportunity to maintain that result of their brain and brawn, and the civilization of whichthey are the founders and the mainstay. 10

Before we give a consolidated picture of the functions/objectives of a trade union, itwould be useful to glance at their functions in some countries.

1.8 FUNCTIONS OF TRADE UNIONS IN INDIA

As per the Indian Trade Union Act, 1926, the primary functions of a trade union areto protect and promote the interests of the workers and the conditions of their employment.They can also have other objectives, which are not inconsistent with this primary purposeor opposed to any law. In India, trade unions generally undertake the following functions:

(i) To achieve higher wages and better working and living conditions for the members.

(ii) To acquire control over industry by workers.

(iii) To minimize the helplessness of the individual workers by making them stand-upunitedly and increasing their resistance power through collective bargaining;protecting the members against victimization and injustice by employers.

(iv) To raise the status of the workers as partners in industry and citizens of society bydemanding an increasing share for them in the management of industrial enterprises.

(v) To generate self-confidence among the workers.

(vi) To encourage sincerity and discipline among workers.

(vii) To take up welfare measures for improving the morale of the workers.

The National Commission on Labour has underscored certain basic functions to whichtrade unions have to pay greater attention such as:

i. To secure fair wages for workers.

ii. To safeguard the security or tenure and improve conditions of service.

iii. To enlarge opportunities for promotion and training.

iv. To improve working and living conditions.

v. To provide for educational, cultural and recreational facilities.

vi. To cooperate and facilitate technological advancement by broadening theunderstanding of workers in the issues involved in their jobs.

vii. To promote identity of interests of the workers with their industry.

viii. To offer responsive cooperation in improving levels of production and productivity,discipline and high standards of quality.

ix. To promote individual and collective welfare.

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Besides these basic functions of trade unions, the Commission enjoined the followingresponsibilities upon the unions:

(i) Promotion of national integration.

(ii) Generally, influencing the socio-economic policies of the community throughthe active participation in their formulation at various levels.

(iii) Instilling in their members a sense of responsibility to industry and the community.

The First Five-Year-Plan while spelling our the role of trade unions emphasized thatthey should:

(a) Present plans to workers so as to create enthusiasm among them for the plans.

(b) Exercise the utmost restraint in regard to work stoppage.

(c) formulate wage demands which are attuned to the requirements of economicdevelopment and are in keeping with considerations of social justice.

(d) Assume greater responsibility for the success of the productive effort. 20

A responsible trade union should cooperate in all crucial areas so that the tempo ofgrowth, particularly in the industrial sector, can be speeded up. Thus, trade unions shouldmaintain:

(A) A reasonable degree of peace in industry: These conditions by promoting anuninterrupted flow of industrial output, adds to the national income and createsthe needed investment climate. A responsible union balances the short-termworker’s gain with their long-run gain originating from a stable growth of theindustry where they are employed.

(B) Supporting technological change, i.e: to cooperate in the introduction of newtechnology, new processes, new managerial techniques etc. These technologicalchanges by promoting an increase in the productivity of the concern also boost itsefficiency and effectiveness.

(C) Accept a growth-oriented wage payment system: The adoption of growth-oriented wage system enables the management to utilize workers untappedpotential.

By extending co-operation in the above areas, the trade unions will be able to promoteindustrial growth, in particular and economic growth, in general. The improved productivitybrought about by the promotion of technological changes and better utilization of labourwould generate higher profits which can be ploughed back into industry.

In fine, we can say that the role and functions of trade unions varies from country tocountry depending on its socio-economic development, political system, extent of tradeunionism, extent of wage employment etc. In capitalist countries, they are defensive incharacter. There is generally some antagonism between the workers and the employers onbasic issues relating to wage participation. In democratic countries, besides being defensive,the trade unions also assist the Government in executing their plans for the well-being of

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the working class. In erstwhile communist countries, they were dependent on the state fortheir functioning.

The trade unions in countries like France and the Netherlands are statutorily requiredto be consulted on any draft legislation dealing with economic and social issues. In Sweden,unions participated at the highest level of planning. They are responsible for theimplementation of labour and social security legislation. In Germany and Yugoslavia, tradeunions take part in management under “co-determination”. In the USA and Australia, theunions are not very formal with the Government. In Britain, the role of the trade union as apartner in social control is played in an informal manner.

Here the main point is to emphasize the fact that trade unions change their outlook,functions and practices to suit the prevailing conditions.

That is why it has been said: “The trade unions of to-day are not content with protectingand improving wages and conditions of labour; they concern themselves with all mattersby which the workers are likely to be affected, whether as producers or consumers, whetheras units of industrial manpower or as citizens. 21

In India, the role of trade unions has been perceived differently by the different nationalunions. For instance, according to the All India Trade Union Congress (AITUC), “a tradeunion is an organization of the working class in its struggle against the all-pervading powerof the capitalist class. It has to struggle with employers … in order to secure better livingand working conditions and to serve the interests of the working class in the given capitalistsociety, to mitigate the burden of exploitation. In its struggle, it used economic, political,moral and ideological means to attain its demands and objectives. The ultimate aim of thetrade union movement is to abolish capitalism and wage slavery and establish socialism inwhich not only the working class but all layers of society are freed from exploitation.”22

The Indian National Trade Union Congress (INTUC) is of the view that union should:

(i) Serve their members and cater to the many-sided requirements of workers asresponsible citizens.

(ii) Plan for sustaining the interests of their members during times of industrialpeace by organizing intellectual, social, cultural and recreational activities,consumer cooperatives, credit cooperatives and co-operative housing societies.

(iii) Educate the rank and file so that the traditional agitational role should graduallybe transformed into one of understanding. The unions should be given aneffective role in the affairs of the industry.”23

The Hind Mazdoor Sabha (HMS) has pointed out that “if trade unions allow themselvesto be diverted from their traditional role in the name of requirements of economicdevelopment, the weaker and exploited sections of the working class will find themselvesterrorized and deprived of safeguards to an even greater extent.”24

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The principal function of the trade union is the regulation of relations between theemployers (management) and employees (workmen), and also the provision of benefit toits members. In this vein, it carries out the following objectives:

(1) To organization of all eligible members under one platform.

(2) To represent the workers to management in cases of disputes or differences.

(3) To enter in the collective bargaining and other agreement on behalf of workers.

(4) To represent workers on various participative forums.

(5) To undertake various activities for the welfare of its members.

(6) To provide benefit to members in case of sickness, old age, trade disputes,unemployment, litigation and also to provide funeral expenses.

(7) Furtherance of political objectives.

(8) To participate in the work of any association that furthers the activities of tradeunions and its members.

(9) To arrange the necessary activities for the social and moral upliftment of workers.

(10) To arrange for printing or publishing facilities for the benefit of workers.

It is to be noted that the functions undertaken by the trade unions are not static butchanges with the changes in the economic and social set up of the country. The institutionalset-up of the society in which they operate also determine the functions of the unions. Inthe initial stages, they undertake functions which are primarily concerned with safeguardingthe member’s interests but with the passage of time and the pace of industrialization, changein technology and the system of production create new complex problems, the functionshave been widened to meet the changing circumstances. According to Daker, “Unions aimat securing economic security and betterment, industrial and social status, and the role aspolitical institution.”

1.9 TYPES AND STRUCTURE OF TRADE UNIONS

Ever since the dawn of industrialization there has emerged a wide variety of unionsacross the globe. These are classed under two heads.

1.9.1 The purpose for which unions are formed.

1.9.2 Trade Unions based on their membership structure

A brief discussion of different types of unions is given below.

1.9.1 The Union Classified According to Purpose

Under this heads, normally two types of union exist. They are;

(1) Reformist (2) Revolutionary.

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1.9.1.1. Reformist Unions

These unions are those which aim at the preservation of the capitalist society and themaintenance of the usual employer-employee relationship, elimination of competitive systemof production.

They neither seek comprehensive change nor wish to destroy the existing social,economic or political structure of the State. They desire only to modify these in accordancewith what their members consider to be current modes in society. For example, they maywish to increase labour’s share in the increased production or they may aim at improvingworking conditions by enforcing safety measures. They may try to generate increasedpurchasing power by providing for workers’ various cooperative ventures, insuranceassociations and educational programmes. They generally seek to dignify labour by forcingupon the public and its leaders a recognition of the importance of labour in modern society.All these objectives, they believe, can be attained without any extensive change in thepresent economic, social and political institutions. In the USA, the unions affiliated withA.F.L. (American Federation of Labour) and the C.I.O. (Congress for IndustrialOrganization) are predominantly of this type.

They reformist unions have been sub-divided by Hoxie according to the objectives,into Business Unionism and Uplift Unionism 71 which are discussed here.

a. Business Unionism is that form of labour cooperation in which employees enterthe successful business relationships with employers. In other words, businessunions are those that are maintained primarily to represent workers in collectivebargaining with their employers. They have generally been craft-conscious ratherthan class-conscious. They are distinctively reformist which try to bring economicadvantages to their members, including increased wages and improved workingconditions. They use peaceful means to attain these ends and depend primarilyupon collective bargaining for this purpose. Such unions favour voluntary arbitration,deprecate strikes and avoid political action, but when they serve their interests,they may use the weapon of strike and resort to political action also.

b. Friendly or Uplift Unionism is idealistic in nature and aspires to elevate the moral,intellectual and social life of workers and advocates idealistic plans for socialregeneration. It emphasizes such other considerations as education, health,insurance and benefits. It is not craft-conscious but interest conscious of theworkers. It is conservative and law-abiding and employs the method of collectivebargaining, but emphasizes the need of mutual insurance and “drifts easily intopolitical action, advocacy of cooperative enterprises, profit-sharing and otheridealistic plans.”

1.9.1.2 Revolutionary Unions

hese unions aim at destroying the present structure completely and replacing it withnew and different institutions according to the ideals that are regarded as preferable. The

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revolutionary labour unionism generally seeks to destroy capitalist industry, to abolish thewage system and private property, to put and end to society based primarily upon competitionand individual rights, and to substitute some other system, generally socialist and communist.It is extremely class-conscious rather than trade-conscious. In the USA, the most commonexample of this type of unionism is the Industrial workers of the World (I.W.W.).

The revolutionary unionism is also of two types, namely, anarchist and political.

(i) Anarchist Unions are those unions which try to destroy the existing economicsystem by revolutionary means.

(ii) Political Unions are those which gain power through political action, the enactmentof laws eliminating the power of capital and capitalists, redistributing wealth andgiving effective power to workers.

Dr. Hoxie also enumerates a third type of union, namely, the predatory union, and theguerrilla union. Both these he had referred to as labour racketeering.

(iii) Predatory unionism does not subscribe to any ideology. It can adopt any methodwhich will deliver the goods and it sticks at nothing. Its distinguishing characteristicis the ruthless pursuit of the matter in hand by whatever means seem mostappropriate at the time, regardless of ethical and legal codes or the affect uponthose outside its own membership. It is dominated by gangsters and is “a tool forthe enrichment of its leaders. “ It may employ business, friendly or revolutionarymethods for the achievement of its goals.

(a) A hold-up union represents a combination of unscrupulous business agents of a labourorganization with equally unscrupulous employers to thrust exorbitant prices uponcustomers. When a craft is sufficiently organized so as virtually to control the localmarket, the bosses in an agreement with employers set excessive prices for the servicesthey render to the public. The workers generally receive only a small part of the increasein charges, for their bosses and employers retain the larger portion.

(b) A guerrilla union does not believe in cooperation with employers. It aims at exploitingwhatever and whatsoever it can. It is generally not democratic but boss-ridden. Itsleaders are unscrupulous, ruthless and irresponsible, and they frequently make use ofall sorts of violence in their programmes of exploitation. This type of unionism mostlyresorts to terrorism in its efforts to enforce its demands.

A fourth type of union has also been added by the followers of Prof. Hoxie, namely,the dependent union. The existence of this type of union is dependent wholly or party onthe other unions or the employees.

1.9.2 Union Classified on the Basis of Membership Structure

The unions have also been classified according to variations in the composition oftheir members. On this basis, four types of unions have been recognized, namely, craftunions, staff unions, industrial unions, and general unions.

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1.9.2.1. Craft Union

It is an organization of workers employed in a particular craft or trade or in a single ortwo or three related trades/crafts/occupations. Such organizations link together thoseworkers who have similar skills, craft training and specialization. “Historically speaking, itwere the craft unions that lent stability to the trade union movement because of their relativestability in employment and higher earnings.” the craft unions are mostly found amongstnon-manual employees and professional workers. The Ahmedabad Weavers’ Union, theKanpur Suti Mill Mazdoor Sabha, the International Wood Carvers’ Association and theIndian Pilots’ Guild are the outstanding examples of such unions. Others are the tradeunions of employees in the commercial and banking industry, government establishments,and of the journalists, teachers, engineers, actors, barbers, doctors, mechanics, etc.

Their members are generally craft-conscious rather than class-conscious. They derivetheir strength from the strategic position of their workers. Such unions are horizontal incharacter, for they enroll workers engaged in one or a single group of processes, such asspinning, weaving, warping, watch and ward; or carpenters, joiners, frame-makers.

These unions aim at safeguarding the interests of the members against the onslaughtsof employers. They may try to exploit the workers. Such unions provide only the “barestminimum of associative integration.”

1.9.2.2 Staff Union

The term “staff union” is popularly used to refer both craft and industrial unions. It isan organization or rather a form of organization based on the sense of 72 common statusand common need for help. It implies communality of outlook and presupposes somesolidarity between workers of different trades. The staff union seeks to recruit membersfrom of non-manual sectors including clerks, supervisors, draughtsmen, computerists,operators, technicians, managers etc. As the teritiary sector emerges on the economicplatform, the number of employees working in such a sector (like health, services, localservices etc) also increases, the persons working therein join such unions. Yet anther factorthat leads to its popularity is the increasing participation of women in such unions. Theseunions tend to adopt more sophisticated bargaining than other types of unions.

1.9.2.3 Industrial Union

It is an organization of workers which links all craftsmen and skilled workers in anyone industry (such as coal, engineering, plantation, textiles) regardless of the differences incraft, skill, grade, position or sex. The common bond here is the industry in which theworkers are employed. It is organized upon an industry-wise rather than a craft-wisebasis. The membership is large; and it makes workers class-conscious and increases thefeeling of solidarity among them. The Textile Labour Association of Ahmedabad, theRashtriya Mill Mazdoor Sangh, Bombay, the Engineering Mazdoor Sabha, Bombay, theLabour Mines Mazdoor Sangh, Udaipur, are important examples.

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Such organizations are vertical in character because they enroll all types of workerswho are engaged in preparing raw materials for consumption.

1.9.2.4 General Union

It is that organization which covers various industries and labourers having differenttypes of skills. The objectives of these unions are all embarrassing in character. They havenumerical superiority, for they are open to all classes of workers; and this is the source oftheir strength. From the point of view of solidarity, this type is ideal. The JamshedpurLabour Union, Jamshedpur, the National Union of Municipal and General workers, theTransport and General Workers’ Union in the UK are examples of this type of unions.

1.10 CRAFTS VERSUS INDUSTRIAL UNIONS

There has been a controversy regarding the union type – whether craft unions orindustrial unions should be developed.

In the early days of the trade union movement, craft unions in the UK (New ModelUnion) and the IFL in the USA were developed, for in that period of instability, theseprovided a firmer basis. The crafts are compact groups; long training and apprenticeshipdevelop cohesiveness in attitude, outlook and perception of problems. These unions enjoymany advantages. Some of these are:

(i) “It may give the most stable relationship; it may give the best service in securingdesirable jobs; it is most likely to provide the needed training through apprenticeshipand to control supply of labour.”

(ii) Such a union, comprising skilled workers, has a great striking power and therefore,a strong bargaining power; and consequently enjoys many advantages. e.g., helpwage-earners to achieve a higher status and easier recognition.

On the other hand, a craft union suffers from certain weaknesses. These are:

(a) It can be easily broken by employers’ joint action because of different agreementsexpiring at different times. The employers may play one union against the other.

(b) With rapidly expanding technology, the craft unions are being gradually displaced.

(c) A craft union keeps a majority of the unskilled workers out of the main stream ofthe union movement.

The Royal Commission of Trade Unions and Employers’ Associations (1965-1968)of the UK considered the merits and demerits of craft unions and concluded: “The presentcraft system can be very prejudicial to efficiency and to the needs and aspirations of theworkers outside the craft. The gathering speed of technological change will make it stillmore obsolete.”

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Thus, in the UK and the USA, where modern industry started early, the craft/occupational trade became the organization. In the USSR and in India, industrial unionismhas been the rule, partly for political and partly for industrial reasons. The craft unions cutacross skill and craft distinction of the workers employed in an industry and attempt tosolidify them into one union. It is easy for the workers, believing in class-conflict, to fight asingle employer or a group of employers through industrial unions. The national Commissionon Labour mentions these advantages of industry wise unions.”73

(i) The facility that they afford for collective bargaining;

(ii) Introduction of a measure of uniformity in the principle governing all aspects ofworking conditions; and

(iii) Reconciliation of sectional claims of different levels of workers within anindustry.

1.11 ALL INDIA CENTRAL COUNCIL OF TRADE UNIONS (AICCTU)

All India Central Council of Trade Unions (AICCTU) is a fighting trade union centreof the Indian working class.

Its founding conference was held in Chennai in May 1989. The second and third all-India conferences were held respectively in Calcutta (May 1992) and Patna (September1995). Now the Fourth All India Conference was held in Delhi from September 22 to 24.This was preceded by an all-India workers’ rally in the capital on September 21. The1990s has been the most challenging decade for the Indian trade union movement. Farfrom reversing the course of India’s economic stagnation and decline, the New Economicand Industrial Policies being followed since July 1991 seem only to have aggravated thesituation. And for the working class, the new policies have led to large-scale disappearanceof jobs, extensive erosion of wages and working conditions and severe curtailment ofbasic trade union rights.

Through its own affiliates and as a consistent constituent of the sponsoring Committeeof Indian Trade Unions, it has been AICCTU’s sincere effort to enable the trade unionmovement in India to face this growing threat to India’s economic sovereignty and to thebasic rights and interests of our workers.

AICCTU’s motto of organizing the unorganized and unionizing the ununionised hasestablished it as a trusted trade union centre among large sections of the most exploitedand oppressed workers in different corners of India. From the small and medium factoryworkers in Chennai to the jute mill workers around Calcutta, from the textile workers inKanpur and Ahmedabad to the transport workers of Delhi, from the power loom andbeedi workers of Tamil Nadu to the tea plantation workers of Assam, from the coal minersof Bihar to the contract labourers and quarry workers of Chhattishgarh, from the low-paidmigrant labourers in Ludhiana to the construction workers in Jaipur, AICCTU has beensteadily expanding its fighting network.

NOTES



With its growing profile as an emerging centre of revolutionary trade unionism inIndia, AICCTU has also established solidarity links with the trade union movements inother parts of the world. They are altogether nearly a thousand leading activists, men aswell as women, from different industries/occupations in different parts of the country. Tradeunion leaders from some foreign countries are also expected to participate.

1.11.1 Aims and Objectives

(1) AICCTU stands for a resolute resistance to the offensive of capital against the Indianworking class and the trade union movement. It is determined to put up a consistentfight in defense and for the extension of the rights and dignity of all workers and strivefor the establishment of a socialist order in the country through the completedemocratization of political, economic and socio-cultural life.

(2) Thorough democratization of economic life entails:

(a) encouragement of rapid and balanced development of the Indian economythrough unleashing the productive energies of the working people, utilising thefull potential of other productive resources, extending the control of the directproducers over the means of production and enhancing the say of the workingpeople in economic decision-making at every level.

(b) Checking the indiscriminate entry of foreign capital and breaking the hold ofbig business houses over joint stock companies.

(c) Reinvigorating and restructuring the state sectors with particular emphasis ondemocratic management comprising the representatives of workers,technocrats and professionals.

(d) Confiscation of all illegal assets and black money in the country and abroad.

(e) Thorough growing land reforms and infrastructure development in rural areas;

(f) Ensuring minimum wages, round the year employment opportunities

(g) The coming September Conference in Delhi is expected to bring and sufficientlandholdings for housing and sideline production to be provided for eachagrarian labourer household.

(3) AICCTU will rally the Indian working class to fight for the overthrow of the dominationof the Indian economy by multinational capital and its domestic allies.

(4) AICCTU fights against all fundamentalist-obscurantist ideas and organisations andstrives to develop a scientific outlook and modern cultural values among the workingclass.

(5) AICCTU fights

(a) for full democratic rights of the Indian people particularly of the rural poor,oppressed nationalities, women, national minorities and dalits.

(b) for enforcing the right to work and provision of social insurance for the old, weakand disabled.

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(c) for a needs-based minimum wage leading to the formulation of a uniform nationalwage policy and for implementation of the principle of equal pay for equal work.

(d) for proper education, housing and health care services.

(e) for introducing a six-hour working day with overall improvement in workingconditions.

(f) for greater participation of women in organized production, the eradication ofgender discrimination and sexual harassment in the workplace, and for securingequal rights and full maternity benefits to all women workers.

(g) for abolition of child labour and all forms of bonded labour.

(h) Against the contract labour and all forms of bonded labour.

(i) against industrial pollution, environmental degradation and industrial health hazardsand for adequate safety measures to prevent industrial accidents

(j) for abolition of all occupations which go against basic human dignity and fullprovision of alternative employment for the affected workers.

(6) AICCTU strives to build up solidarity with working class movements in other countries,particularly in the Asia-Pacific region, against imperialist plunder and domination andto promote class unity among workers of South Asian countries against the regionalhegemonism of Indian ruling classes.

1.12 CODES OF CONDUCT – TRADE UNIONS

Corporate codes of conduct on workers rights and labour standards hold out a thirdway to promote labour rights in the global economy. Advocates argue that codes of conductcan harness the market power of informed consumers to halt abuses against workers indeveloping countries. Many supporters see such codes as a civil society alternative to“first way” government regulation or “second way” trade union organizing and collectivebargaining to protect workers rights.

Governments cannot possibly inspect every workplace and catch every lawbreaker,goes the argument. And trade unions face a worldwide crisis of organizing and bargaining,especially in sweatshop industries. Codes of conduct offer a new option through privatesector self-regulation using civil society vigilance. And like cereal boxes on a supermarketaisle, a daunting variety of worker rights codes of conduct have entered the public policymarketplace in just the past two years ñ the Fair Labour Association (FLA), the WorkersRights Consortium (WRC), Social Accountability 8000 (SA8000), the Ethical TradingInitiative (ETI), the Clean Clothes Campaign (CCC) and more.

In the year 2001, the Clean Clothes Campaign has conducted an extensive evaluationand strategic discussion. During a conference, in Barcelona, Spain, a common agenda forthe different spheres of action was developed with international partners of the CCC network.High on the list of priorities for the years to come is the improvement and clarification of therelationship between active organisations, both NGOs and trade unions, in Western Europeand partners in producing countries.

NOTES



Within Asia, India is both in size and in its share of international garment production animportant player. Until now, contacts between the CCC and Indian trade unions and NGOshave been fragmented and were mainly related to specific projects. Besides, there is relativelylittle co-operation between these organizations at the national level. Large differences existbetween trade unions and NGOs as well as between different Indian regions.

As a result of the Barcelona conference, CEC (Centre for Education andCommunication, based in New Delhi) offered to facilitate meetings in Delhi, Mumbai andTirupur in which the CCC, Indian trade unions and NGOs could participate. The aim ofthe meetings was to stimulate interaction, increase understanding of each others work andto exchange ideas.

CEC is working on a big research project on working conditions in the garmentindustry in India within the changing global context. A major development for India is thephase out of the Agreement on Textiles and Clothing (MFA). The research is conducted inthree areas, Delhi, Mumbai and Tirupur and will provide input for a multi-stakeholderdialogue to be organised by CEC in the three cities at the beginning of 2002. CEC felt thatan exchange with the CCC would also benefit this process.

The meetings facilitated by CEC, each lasting half a day, took place in the last twoweeks of October and the first week of November 2001. On the CCC side Ms JantienMeijer from the India Committee of the Netherlands, coalition partner of the CCC and MsIneke Zeldenrust from the CCC International secretariat were present. CEC sent a teamof two to each meeting: In Tirupur, the T-shirt town in Tamil Nadu, a fourth strategy meetingwas organised by SAVE, an NGO that has been a long term partner of the CCC. Thismeeting took place at the beginning of November 2001. About twenty NGOs from theregion participated and the meeting led to the establishment of the CCC Tamil NaduTaskforce.

1.12.1 Labour conditions in India

In India over 90% of the workforce is employed in the informal sector. Also a largeshare of the workers in the garment industry form part of the informal sector. One definitionof the informal sector refers to the activities of the working poor who are not recognized,recorded, protected or regulated by the public authorities. An example of informal sectorworkers are so-called self-employed workers who run their own micro-enterprise orhomeworkers. Another example of the informal sector are small workshops where peopleconsider themselves as working for a boss but where workers have no contract. One ofthe consequences is that these workers cannot prove that an employer-employee relationshipexists, and subsequently can’t make any claims related to job security, social benefits, orother legal claims. If they try to organise or demand improvements in their labour situationthey can easily be dismissed. In general it can be said that informal sector workers are in avulnerable position.

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Living and working conditions of garment workers in general are bad. In the meetingsseveral problems concerning labour conditions were mentioned; wages are low and oftenbased on a piece rate system, workers have to work long hours in order to make a living.The government violates its own statutes by not enforcing the labour act in FTZ’s.

Complex chains of subcontracting are present within the country and the sector ischaracterized by a high number of small units. Even in larger factories minimum wages arenot paid. The large majority of garment workers in India is not organised in trade unions.The industry is organised along layers of middlemen and sub-contracting chains. Often thereal owner is not known to the trade unions. Any intervention by the trade unions, forexample if they try to organise the workers, in any of those layers is followed by thecollapse of the entire chain. As a result the workers lose their jobs. The fact that mostworkers work in the informal sector hampers the formation of trade unions.

In every meeting it was mentioned that India has to export in large volumes, maintainquality and offer competitive prices if it wants to stay in business. Cheap labour has alwaysbeen India’s competitive advantage. Trade union representatives felt that this point can notbe disregarded.

1.12.2 The possible effects of CCC

Several times the question was raised as to what the effect of an international campaignlike the CCC, which is focussed on companies with global supply chains, is on companieswhich produce for the local market and consequently for workers in these facilities. Theresponse of CCC was that the campaign aims to improve working conditions in the garmentindustry by supporting local organisations. One of the central demands of the campaign isthe right to organise and collective bargaining. It is up to the labour movement to commandrespect for worker rights from employers and the government on behalf of the workerswho they represent.

The strategy of international pressure is of course most effective when workers in theexport sector are concerned. There are however strategies of international solidarity, forexample when governments are addressed with demands to implement the labour law,which can also affect the situation of those workers who produce for the domestic market.

Besides, in the experience of the CCC, often the division between facilities that producefor the local market and those producing for export is less clear than is assumed. Companiescan produce partly for the domestic market and partly for export, directly or via a contractor.At the same time, we have seen examples of big foreign brands producing and selling inIndia. The products are sold in India for huge prices that don’t have any relation to theproduction costs in India, while profits leave the country. One can really question the localcharacter of the domestic market.

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Many representatives of trade unions and NGOs fear that international campaignssingle out a specific region or country as violating labour standards, which may cause evenmore business to go elsewhere because their image may be damaged. A way to avoid thisis to focus on one retailer or brand, while the information about labour rights violations thatis made public in such a case describes the situation in several countries simultaneously. Insuch a way it can be shown that labour rights violations are central to the dynamics of thegarment industry rather than a characteristic of a country or region.

1.12.3 General conclusions

Some common conclusions can be drawn from the meetings in Delhi, Mumbai andTirupur. In the next section some specific outcomes per meeting will be described.

In the global organisation of industry, the local market may not be local anymore,therefore the globalized industry needs global intervention through international laboursolidarity. Many of the participants in the meetings felt the need for international solidaritywork and appreciated the work done by CCC. It was felt that more co-operation betweenIndian trade unions, NGOs and CCC is needed. A majority found the work on a voluntarycode of conduct for industry acceptable, though some felt the need to discuss this strategymore elaborately. Several participants wanted to start the interaction with the CCC by anexchange of information.

Due to particular local circumstances and power dynamics a successful campaignstrategy can only be developed locally. Many participants felt for instance that in India fora labour rights campaign to be effective it will be key to raise awareness among employersas part of a larger strategy.

Because large brands are making a clear effort to conquer the Indian market andbecause there is a large Indian middle class there seems to be ground for awareness raisingactivities in India. By making these consumers aware political support for worker rightscould be generated.

1.12.4 About every meeting some distinct remarks were made

Delhi

In Delhi the secretaries of the national trade union federations came to the meeting,which meant that we had the chance to discuss the work of CCC with high levelrepresentatives. They responded positively to the work of the campaign. It was the firstmeeting between trade union representatives at this level and a foreign campaign.

A major point of discussion in Delhi was the question whether the CCC highlights thelink between trade and labour standards, and what the consequences of such a strategyare. It was explained that promoting a linkage between labour standards and tradeagreements is not part of the CCC strategy. Instead, CCC focuses on the responsibility ofcorporations; garment retailers and producers (brands) who operate internationally, because

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it is these corporations who control the international supply chain of garments and who setthe standards of production. Such a strategy has enabled trade unions and NGO’s inWestern Europe to co-operate without getting caught up in the ‘social clause divide’ (manyNGO’s in Western Europe oppose the social clause, while many Western European tradeunions are in favour of the social clause).The outcome of this meeting was the willingnessof both trade unions and CCC to ensure information exchange in the future.

Mumbai

At this meeting both representatives from trade unions and NGO’s were present.Several of the participants had quite some understanding about the CCC already. Theresult was a lively group discussion, leading to several suggestions for local activities whichcould be supported by the international CCC network.

The garment industry in Mumbai is characterized by many small scale units, supplyingbuying houses or traders, both for export and for the domestic market. Garment workersin Mumbai are hardly organized. The trade unions have traditionally focussed on textiles,while the mills are closing down or have closed already. Unemployment rates are high andcreate great problems for the laid off workers. Some of them have managed to shift to thegarment industry. Attempts to organize garment workers are usually met by an immediateshift of production to a different unit. The factory owners constantly pass on the messagethat the sector is in trouble, that therefore they can’t improve the situation for workers andthat the situation will deteriorate after the phase out of the MFA in 2005.

One suggestion made in the meeting was to start a broad based local campaign on aspecific issue, for example on social security or the demand for a sectoral minimum wage.To prevent that factory owners in response to these demands shift production to anotherfacility and dismiss the workers, the campaign should not target on one company but onthe sector as a whole. Neither should such a campaign address industry alone but also thelocal- or state government. It could benefit from international support, pressuring governmentand industry organizations via the large buyers.

Existing local regulation concerning head loaders provides an example of regulationthat has allowed for recognition of the so-called ‘self-employed’ as workers. A specialgovernment board oversees the implementation of the head loaders act while local bodiespool workers and divide the work.

Certification systems were mentioned as another possibility for improving conditions,if a genuine system would be developed whereby those companies that do provide goodconditions and space to organize would receive such a certificate, and buyers would committo preferring these, this would definitely be a benefit. Some criticism was raised regardingexisting certifying initiatives such as for example Rugmark. Participants felt that this initiativefailed because it does not sufficiently involve trade unions and civil society.

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A third suggestion was to make sure that a good code of conduct is included in thecontract between buyer and supplier, thereby making observance of the standards outlinedin the code part of the national law. If trade unions and NGOs in India know in whichfactories this is the case, they can monitor certain suppliers and the companies concernedcan be taken to court also internationally. Contract law is very strong, and can be a valuabletool for trade unions and NGOs in India to use and would also focus more on the legalobligations of companies and less on voluntary initiatives, with their inherent risks.

The outcome of this meeting is that trade union representatives and NGO’s came upwith some inspiring strategies to improve the situation of garment workers in Mumbai.

Trade union meeting in Tirupur

A major point that was raised in Tirupur was the very low level of organisation in thearea called the ‘T-shirt belt’, which is Tirupur and surrounding towns. The problem of thisvery low organisation rate was recognized by all present in the meeting.

The main worry for those working on behalf of workers in Tirupur is the process ofrelocation, both within the region as well as abroad, leading to job losses and insecurity ofemployment. Consequences of the WTO entry of China plus phase-out of MFA areconsidered to be extremely important developments.

Obviously the CCC cannot stop the process of constant relocation. What it can do israise the issue of cut & run at all levels, and address it as one of the major causes of badlabour conditions in the garment industry. The risk of campaigning is that it can single outTirupur as violating labour standards, giving it a bad reputation and leading to morerelocation. A way to prevent this is to always present the situation in Tirupur within thenational and international context and by giving information about several regionssimultaneously. In that way it can be shown that Tirupur is not an exceptional case but thatpoor working conditions are a central dynamic of the garment industry.

The outcome of this meeting was the agreement to ensure information exchange in thefuture.

NGO meeting in Tirupur

SAVE invited a broad group of NGO representatives from the region for a strategymeeting in Tirupur. The NGOs who participated in the meeting work on issues like childlabour, development and human rights. Because the textile and garment industry is shiftingfrom Tirupur to other towns in the region and because the participants are frequentlyconfronted with problems of the workers in these sectors they feel the importance for jointaction.

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Different NGO representatives feel that if a relationship with trade unions could bedeveloped a strong movement could exist. They see the work done in Europe as an exampleof how trade unions and NGO’s can work on shared issues. The problems between tradeunions and NGO’s in Tirupur can partly be explained by the fact that employers activelydrive a wedge between them. NGOs should consider the question how this gap can befilled and how a new campaign can be started.

As a result of this meeting, 19 non-governmental organizations from the state of TamilNadu launched a network to work for the interest of workers in the garment- and alliedindustries. The network will work in tandem with the Clean Clothes Campaign. A taskforcewas created to consolidate this Clean Clothes Campaign network in Tamil Nadu. Thetaskforce has planned the following activities:

• Publish a poster and a calendar for the year 2002, highlighting the concepts ofCCC among trade unions, non-governmental organizations, labour agencies,consumer groups and other networks in order to attract more membership.

• Organise a two-day workshop on labour standards in garment and allied industrieswith 50 participants from non-governmental organizations, trade unions, consumerorganizations and governmental institutions from Tamil Nadu, New Delhi andMumbai. Representatives from regional ILO office, state labour officials, labourresearchers, Asian CCC network partners and International CCC will be invitedto address the workshop.

• Launch a network for worker education involving all NGOs and trade unionsworking in the textile and garment manufacturing region in Tamil Nadu to mobilisewomen workers and home based workers.

1.13 THE INDIA COMMITTEE OF THE NETHERLANDS (ICN)

1.13.1 Organisation

The ICN is an association of people who share their involvement in India and itspeople. The association works with a small paid staff and with a number of volunteers.ICN’s activities are financed by membership contributions, private donations and subsidies.

The ICN carries out research, owns a public library, publishes and distributes books,booklets and a bimonthly magazine ‘India Nu” (India Today). The ICN also lends outvideo tapes, slide shows, and organizes seminars, exhibitions, conferences, informationand discussion meetings and other educational activities for and with a wide variety ofindividuals and groups.

The India Committee of the Netherlands (ICN) is an independent NGO (non-governmental organization). The ICN informs the public in the Netherlands about Indiaand how social, economic and political developments in the West influence the daily livesof millions of Indians. The ICN is based on solidarity with deprived groups in Indiansociety: the poor, dalits (the so-called ‘untouchables’), child labourers, victims of

NOTES



environmental degradation, landless people and countless women and girls. The ICNsupports their struggle against poverty, oppression, unequal treatment and degradation oftheir environment.

1.13.2 Awareness raising

The ICN’s main strategy is to influence public opinion and political decision-makingprocesses in the Netherlands and Europe. The ICN does this through lobbying, generatingpublicity in the media, and organising public meetings and campaigns. The committee workswith a wide variety of target groups, ranging from teachers, company managers to studentsand housewives. The ICN does not provide direct financial support to development projects.Being a small-scale and low-budget organisation, it does not have the means to do this.

The ICN takes the position that the disadvantaged groups in India should benefitfrom development co-operation initiatives. It therefore exposes the sometimes harmfuleffects of development aid on the living conditions of the poor, and argues in favour of alarger share of development aid to be dedicated to sectors such as primary education andhealth care.

In addition, the ICN alerts western consumers and companies about the effects oftheir behaviour. In these days of globalisation, the social and environmental conditions indeveloping countries such as India are increasingly the responsibility of every citizen in theworld. The ICN finds it of paramount importance to inform consumers and companies inthe Netherlands and Europe about these conditions and the measures that can be taken toimprove them.

1.13.3 Campaigns

In the past, the ICN has successfully campaigned against large-scale European dairyaid to India as part of the so-called ‘Operation Flood’, and the delivery of big fisherytrawlers and fertiliser shipments funded by Dutch development aid. These types of aid hadproven harmful rather than beneficial to small peasants and local fishermen.

The ICN has also supported the national campaign for the right to work staged byIndian organisations of agricultural labourers. With the slogan ‘Work Against Poverty’, theICN urged the Dutch government and the European Union to support employment guaranteeprograms. Women’s rights and Adivasis’ rights, and the consequences of the Bhopal disasterare other examples of issues taken up by the ICN in its campaign work.

At present, the ICN is campaigning against child labour, and in favour of decentprimary education for all children. The committee is campaigning for socially responsiblebusiness and fair trade, for women’s rights and for human rights for Dalits.

1.13.4 Social labels and codes of conduct

Under the impact of globalisation, governments are increasingly inclined to allowmarkets to regulate themselves. At the same time, trade and investment by multinational

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companies are increasingly affecting labour standards and environmental conditionsworldwide. Governments compete to attract trade and investment, and in doing so oftenlower standards. The ICN takes the position that governments, international organisationsand business are responsible for maintaining and improving social and environmentalconditions.

The ICN is promoting social labels and codes of conduct to help improve labourconditions in India and elsewhere. Of course, voluntary labels and codes of conduct areno substitute for legislation and binding international agreements. However, they can behelpful in promoting fundamental labour and human rights all over the world. One crucialcondition is that independent monitoring should be in place, in order to determine if thestandards set by the social label or code of conduct are being met in practice.

Among other things the ICN is promoting Rugmark, a social label for carpets producedin India and Nepal without child labour. The ICN is also campaigning with other NGOsand unions in favour of a so-called ‘Fair Trade Charter for Garments’. This charter is acombination of a social label and a code of conduct. It guarantees ‘clean clothes’ for theconsumer: garments produced in line with internationally accepted fundamental labourstandards.

1.13.5 Co-operation

The input of Indian partners is essential for the ICN. Consequently, the ICN co-operates with various organisations all over India. In the Netherlands, and Europe in general,the ICN co-operates with many social organisations, NGOs and trade unions. A broadsocial basis makes or breaks campaigns. Broad coalitions are therefore needed in India,the Netherlands and Europe.

1.14 CONCLUSION

The Unit lucidly describes the concept and importance of Trade Unions with particularreference to India. The specific problems faced by the public sector organizations in Indiahave also been discussed. The concepts of trade union, the history and growth of Tradeunions have also been elaborated to give a first hand feeling of the formation and functioningof trade unions. Finally the unit concludes with the Codes of Conduct for the effectiveworking of Trade Unions that has been formulated and audited.

Questions for Discussion

1. What do you understand by ‘Industrial Relations’?

2. Discuss the concept of ‘Industrial Relations’

3. What is the need and importance of ‘Industrial Relations’

4. Trace the history and growth of trade unions in India

5. What is Clean Clothing Campaign (CCC) and its audit report in India

6. List the functions of Indian Committee of Netherlands(ICN)

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UNIT II

INDUSTRIAL CONFLICTSLearning Objectives

After going though this unit you should be in a position to explain the following terminologies

• Industrial Dispute

• Mediation

• Conciliation

• Arbitration

• Adjudication

• Labour Court

• Industrial Tribunal

• National Tribunal

• Government Machinery to resolve Industrial Disputes

• National Arbitration Promotion Boar

• Central Industrial Relations Machinery in India

2.1 INTRODUCTION

This unit discusses in detail the meaning and definition of Industrial disputes and thegovernment machinery to resolve the issues of the disputes.

2.2 INDUSTRIAL DISPUTE

Industrial Dispute has been defined as “any dispute or difference between employersand employers or between employers and workmen or between and workmen which isconnected with the employment of non-employment, or the terms of employment or theconditions of labour, of any person.(Sec.2(k), Indian Trade Unions Act, 1926)

The definition very wide and takes within its fold many disputes between an employerand a workman. A dispute is an industrial dispute provided it satisfies these conditions,

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(a) There should be an industry, employer and workman. There must be a “collectivewill of substantial or appreciable number of workmen taking up the cause of theaggrieved workman. It must be in a position to redress the grievance.

(b) There should be a real and substantial dispute or difference and should be one inwhich the workman is substantially interested, i.e., there must be ‘community ofinterest’.

(c) The dispute should be between the employer and his workman, between employersand employers or between workman and workmen.

(d) The dispute must be connected with: (i) the employment or (ii) non – employment,or (iii) terms of employment or with conditions of labour. Non – employmentincludes retrenchment and refusal to reinstate.

(e) There should be a contractual relationship between the employer and the workman.The former following a trade, business and manufacture and the latter followingany calling, service, or employment in aid of employers enterprise.

(f) The dispute should relate to existing industry, and not a dead on one which is noteven in existence.

(g) An individual dispute could assume the character of an industrial dispute providedit is sponsored either by the trade union or by a number of workmen.

Collective support by the workmen is essential for making an individual dispute anindustrial dispute, i.e., the workman as a body or a considerable section of them makecommon cause with the individual workman.

For any industrial dispute it is not necessary that there must be any undertaking witha profit motive or trade or business in a commercial sense. However, for a dispute, it isnecessary that a demand must be raised by the employees or their unions and rejected bythe employer.

In fact the term industrial dispute denotes a real and substantial difference havingsome elements of persistence and continuity till resolved and likely, if not adjusted, toendanger the industrial peace of the undertaking or the community.

2.3 CERTAIN ASPECTS OF INDUSTRIAL DISPUTES ARE DISCUSSED ASBELOW

(a)Employment and non employment: Besides employment, conditions relating tonon employment also constitute a dispute. The term non employment includesretrenchment as well as refusal to reinstate.

(b)Individual dispute and industrial dispute: Before introduction of the Section2-A of the Act an individual dispute could not attain the status of dispute unlessraised by the trade union or a number of workmen. However, Section 2- A has itsown limitation. If fact all individual disputes cannot be termed as industrial dispute.The disputes connected with the discharge, dismissal retrenchment or terminationcannot be termed as industrial dispute. These disputes connected with other matterswill have to satisfy the basic conditions of industrial dispute.

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(c)Disputes regarding facilities: For any industrial dispute the tribunals and courthas adequate jurisdiction to pass proper and reasonable order. But the facilitieslike housing, education and medical are the responsibilities of the state. Therefore,such obligations cannot be imposed on the employer. Hence any dispute pertainingto the facilities cannot be termed as industrial disputes.

(d)Withdrawal of privilege of trade union leader: In case where any privilege isgiven to a trade union leader and its withdrawn by the management it cannot froma subject matter of dispute. As such granting of privilege is management’sdiscretionary right and it cannot be treated as part of the service condition. Sowhenever any concession or privilege is to be withdrawn the beneficiate cannotraise a dispute.

(e)Dispute relating to workmen employed by the contractor: The questionwhether the disputes relating to workmen employed by the contractor, can beregarded as dispute is quite controversial. In this context the case of VacuumRefining Company, is leading one. The company in question used to give annualcontract for maintenance of plants and premises. In the year 1970 it employed 67workers whereas in the next year only 40 workers were employed. The workersemployed on a contract basis raised a dispute demanding abolishing of the contractsystem. It was observed by the Supreme Court, that there is an industrial disputebetween the company and the workmen, on the question of employment of contractlabour, for the work of the company.

The very fact that the workmen are employed by the contractor would not alter thenature of dispute as long as party raising a dispute has a direct interest in the subject matterof dispute.

(f) Lay off (Section 2 kkk): It means “the failure, refusal or inability of an employeron account of shortage of coal, power or raw material of the accumulation ofstocks of the breakdown of machinery; natural calamity or for any other connectedreasons to give employment to a workman whose name is borne on the musterrolls of his industrial establishment and who has not been retrenched.

Every workman whose name is borne on the muster rolls of the industrial establishmentand who present himself for work at the establishment at the time appointed for the purposeduring normal working hours on any day and is not given employment by the employerwithin 2 hours of his so presenting himself shall be deemed to have been laid off within themeaning of the clause. But where a workman after attendance at the commencement ofany shift for day, is asked to present himself for the purpose of second half that shift, and isgiven employment, the workman shall be deemed to have laid off only for one half of thatday. When after presenting himself for the second half of the shift the employee is not givenemployment he shall be deemed to have been laid for the day and not for the second halfof the shift of that day. In such circumstances, the laid off workman shall be entitled to fullbasic wages and dearness allowance for the part of the day.

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Lay off is not a right conferred but an obligation imposed on the employer for thebenefit of workmen. The very genesis of the lay off is that it is break in the service of theemployee and within a reasonable time, the employer expects that, the business or industrywould restore its normal situation and the laid off persons would be reinstated. A leadingcase in this context is of Nutan Mills Ltd., v S.I.C the question came for the considerationwas in case of laid off employee whether relation of master and servant continue. It washeld by the Bombay High Court that during period of lay off the relationship betweenmaster and servant is suspended and the employee is entitled for wages.

(g) Lockout (Section 21) : Lockout means “the temporary closing of place ofemployment, or the suspension of work, or temporary refusal by an employer tocontinue to employ any number of person employed by him.

In cash of a lay-off, owing to the reasons specified in the definition, the employer isunable to give employment to one or more persons. But in case of lockout the employercloses the place of business and locks out the whole body of workmen for reasons whichhave no relevance, to causes specified in the definition of lay-off.

In case of closure, the employer does not merely close down the place of businessbut he also closes the business itself.

Lockout is often used by an employer as a weapon in his armory to compel theworkmen to accept his proposals just as a strike is a weapon in the armory of the workmento compel the employer to accept their demands.

Lockout has been described by the Supreme Court as the anti thesis of strike. TheMadras High Court is of opinion that whatever be the circumstances in which the employerfind himself placed and whatever be the strength of the agencies which forced on him thesteps and however impotent he may be to avoid the result if an employer closes the placeof employment or suspends work on his premises, a lockout would come into existence.

2.4 GOVERNMENT MACHINERY TO RESOLVE INDUSTRIAL DISPUTES

The main object of the Industrial Disputes Act is the investigation of and managementof industrial disputes.

2.4.1 Introduction

One of the principal aims of the Industrial Disputes Act is to harmonise the conflictinginterest of employers and employees engaged in industrial establishments as defined in theAct. The advent of the doctrine of welfare has cast responsibilities on the State to participateactively in the prevention and settlement of industrial conflicts which are of commonoccurrence under the present economic set-up. The old doctrine of laissez faire has becomeabsolute in the present socio-economic context mainly due to the reason that activeparticipation of the State in necessary in order to protect the interest of the weaker section

NOTES



of the society who always look upon the State as their benefactor. The traditional theory ofhire and fire as well as the theory of supply and demand are outmoded concepts in thepresent socio-economic context. In the present context the goal is to achieve social andeconomic justice in the community. One of the methods for achieving this goal is to evolvea system of industrial adjudication and arbitration whereby industrial disputes can be settledpeaceably, justly and as far as possible uniformly.

Industry adjudication needs different philosophy, outlook, attitude and behavior onthe part of the authorities associated in the task to harmonies the conflicting interest ofcapital and labour as compared to settling civil disputes where set rules of law govern thejustice. Whereas prevent, as far as possible, and if they fail in this fask than to solve thedisputes to the satisfaction of both the parties involved in the dispute by narrowing downthe differences to the minimum possible in the ever changing complex of social needs andnecessities by using his own sense of justice, equity and good conscience. The law asalready evolved in the labour field is also subject to stress and strains of the changes inoutlook of the employers and employers and employees. In certain fields of conflicts thereis no codified law of rights and liabilities of the disputants and, therefore, the personsvested with the authority to adjudicate the industrial disputes are to depend upon thereasoning of common sense suited best under the prevailing circumstances. The industrialadjudication requires a pragmatic approach rather a dogmatic approach to the problemswhich vitally affect the entire social structure of the society.

The various methods and machinery under the industrial disputes act can be classifiedas under the following heads:

(I) Conciliation

a. Works committee

b. Conciliation officer

c. Board of conciliation

(II) Arbitration

d. Court of inquiry

(III) Adjudication

e. Labour court

f. Industrial tribunal and

g. National tribunal

Of these settlement machineries the first one can be described as “quasi-administrativemachinery”, because it is governed and guided mainly by administrative principles andpolicy. Further, the persons constituting these machineries are generally chosen from thosehaving administrative experience or qualities. They apply normally administrative mind toresolve an industrial dispute. On the other hand, the last two are “quasi-judicial machineries”for these are mainly governed and guided by judicial principles. The persons constitutingtheses machineries are chosen from those having judicial background.

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2.4.2 A. Conciliation

Conciliation is an important method for the settlement of industrial disputes throughthird party intervention. It is an attempt to reconcile the views of disputants, to bring themto an agreement. Conciliation is generally understood as the friendly intervention of a neutralperson, in a dispute, to help the parties to settle their differences peacefully.

Conciliation may be described as “The practice by which the services of neutral thirdparty are used in a dispute as a means of helping the disputing parties to reduce the extendof their differences and to arrive at an amicable settlement or agreed solution. It is a processof rational and orderly discussion of differences between the parties to a dispute under theguidance of a conciliator.

As a process of peace-making in industrial relations, conciliation aims to bring aboutthe speedy settlement of disputes without resorting to strikes or lock-outs, and to hastenthe termination of work-stoppages when these have occurred. Its function is to assist theparties towards a mutually acceptable compromise or solution. For this he relies on reasoningand persuasion.

The conciliator is a natural party, who without using force, seeks to find some middlecourse for mutual agreement between the disputants so that the deadlock is brought to anend at the earliest possible moment and normal peace restored.

Various methods of conciliation are discussed below:

(a) Works committee (Section 3): the following are the objectives of the workscommittee:

(1) To promote measure for securing and preserving good relations between employerand employees.

(2) To strive for minimizing the difference of opinion in regard to matters of mutualinterest between the employees and the employer. It is meant to create a sense ofpartnership or comradeship between the employers and workmen.

The decision of works committee is neither agreement nor compromise. Further it isneither binding on the parties nor enforceable under the act. It may however by noted thatthe works committee is entitled to:

(a) Discuss grievances arising out of the disciplinary action, or

(b) Take up such matters which fall under the purview of Standing orders, or

(c) Enter into agreement with the employer on changes in conditions of service, or

(d) Supplant or supersede the unions for the purpose, of collective bargaining.

(e) To compose difference by making recommendations, the final decision restswith the union and the employer.

NOTES



It task is only to smooth away friction that might arise between the workmen and themanagement in day to day work.

The Act requires that a works committee shall be constituted in every establishmentwhere 100 or more workmen are employed or have been employed on any day in thepreceding 12 months; to “promoted measures for securing and preserving amity and goodrelations between the employers and workmen and to comment upon such matters ofcommon interest or concern and endeavour to compose any material difference of opinionon such matters.” It shall consist of any equal number of representatives of employers andalso elected representatives of workmen ( the total number not to exceed 20 ), therepresentatives of the employer are to be nominated by the employers and those of workmenby registered trade unions of by non-members, if there is no trade union. The tenure ofoffice of the representatives is for two years, and they lose membership, if they fail toattend three consecutive meetings. The committee may meet as often as possible but notless than once in 3 months.

The committee shall represent various categories, groups and classes of workmenengaged in different sections, shops or departments of the establishment. It shall haveamong its office bearers a Chairman, a Vice – Chairman, a Secretary. If a vacancy occursfor membership, the newly elected member will continue in office of the residual term inwhose place he has been elected. The employers are required to provide accommodationfor holding meetings of the committee.

The works Committee is set up with a definite objective, limited power and scope butwithout any defined subjects over which it can exercise jurisdiction. For this reason, inmany cases they have mere instruments without teeth or sharpness, and a large number ofthem have proved to be ineffective in practice.

(b) Conciliation Officer (Section 4): Under the act, the appropriate government isempowered to appoint desired number of conciliation officers, by notification inthe Official Gazette, for the settlement of industrial disputes.

The number of Conciliation Officers to be appointed, is determined by the appropriategovernment, taking into account the volume of work and the quality of industrial disputesthat actually exist or may arise. A Conciliation Office may be appointed for a specified areaor for specified industries of for one or more specified industries and either permanently orfor a specified area or for specified industries or for one or more specified industries andeither permanently of for a limited time.

His duty is to induce the parties to come to a fair and amicable decision on matters indispute. He is an independent person who investigates the dispute and all matters affectingthereto. He is not an adjudication body but is merely a suggesting body. He goes fromcamp to camp and finds out the greatest common measures of agreement. He is chargedwith the duty of mediating in and promoting settlement of industrial disputes.

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Duties of the Conciliation Officer: The Act provides (under Sec.12) that (i) if anindustrial dispute exist or is apprehended in a public utility industry, the Conciliation Officershall hold conciliation proceedings: and (ii) in case of other industry, his power is discretionary,i.e he may or may not hold such proceedings.

The Conciliation Officer has wide powers of making investigation without delay, intoan industrial dispute and all matters affecting the merits and rights of settlement thereof andmay do all such things as he thinks fit, to induce the parties to come to a fair and amicablesettlement of the dispute. The Conciliation Office can send only report but has no authorityto pass a final order. Any order passed by him requiring the parties to act in particularmanner is without jurisdiction and therefore, illegal and imperative.

If a settlement is arrived at in the course of conciliation proceedings, the conciliationofficer must submit its report within 14 days or within such short period as may be fixed bythe appropriate government duly signed by the parties to dispute. A conciliation proceedingis deemed to have commenced on the date on which a notice of strike or lock-out isreceived by the conciliation officer. In the other cases, it is deemed to have commencedfrom the date when conciliation officer holds proceedings. A settlement brought throughthe conciliation officer is an administrative act and not a quasi judicial one.

If no settlement is reached at, then the conciliation office is required to immediatelysend to the appropriate government, a full report setting forth the steps taken by him forascertaining the facts and circumstances relating to the dispute and for bringing about asettlement thereof and the probable reasons for failure.

A conciliation proceeding is not concluded and its deemed to be pending until any ofthe following conditions are fulfilled:

(a)where a settlement is arrived, at a memorandum of the settlement is signed by theparties of the dispute;

(b)where no settlement is arrived at, the report of conciliation officer is received bythe appropriate government; and

(c)a reference is made to the Court of Inquiry, labour court, tribunal or national tribunal,during the pendency of the conciliation proceedings. The time of submission ofthe report may be extended by such period as may be agreed upon in wiring bythe parties to the dispute, subject to the approval of the conciliation officer.

If, on consideration of the report submitted by the conciliation officer, appropriategovernment is satisfied that there is a case for reference to any authority under the Act, itmay make such reference. Where the appropriate government chooses not to make sucha reference, it shall record and communicate the reasons recorded for not referring thedispute to the contending parties.

Thus , a wide discretion has been conferred on the government either to refer or notto refer in industrial dispute. But in exercise of its discretion three thing must be satisfied:

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(a) The exercise of the discretion must be bona fide;

(b) It must be inconsideration of relevant and material facts; and

(c) The reasons must be of such a character as will show that the question was carefullyand properly considered by the government

(c) Board of conciliation (Section 5): A board of conciliation is constituted as an adhocbody by the appropriate government. Its purpose is to medicate and to induce the partiesto come to a fair and amicable settlement, so the appropriate government is not empoweredto constitute a Board for the purpose of referring criminal proceedings. The board cannotenforce an award. It also cannot thrust upon the contending parties its own terms andconditions of settlement. It can take action only when a dispute has been refereed to it bythe government.

The board may be constituted by the appropriate government by notification in theOfficial Gazette. It shall consist of a chairman (who shall be an “independent person: i.e notconnected with the dispute or with any industry directly affected by such dispute) and twoor four members, as the government thinks fit, who shall be appointed to represent theparty. If any party fails to recommend any name within the prescribed time, the appropriategovernment shall appoint such persons as it thinks fit to represent to party. The act requiresthat the appointment of board of conciliation together with the names of persons constitutingit, shall be notified in the Official Gazette. The notice to the employer shall be sent to himpersonally or if the employer is an incorporated body to the agent, manager or the principleofficer of such corporation. The notice of workmen shall be sent:

(1) to the president or secretary of the trade union if the workers are members oftrade union and

(2) in case the workmen who are not members of trade union to any five representativesof the workers who have attested the application.

A board, having the prescribed quorum may act notwithstanding the absence of thechairman or any of its members or any vacancy in its number.

Duties of the Board

(1) A conciliation Board cannot admit a dispute in conciliation on its own; the boardhas more powers than those enjoyed by a conciliation officer.

(2) The board shall endeavour to bring settlement between the parties; and for thispurpose it shall, without delay, investigate the dispute and all matters affecting themerits and rights of settlement and shall do all such things as it thinks fit for thepurpose of inducing the parties to come to a fair and amicable settlement of thedispute.

(3) If a settlement is arrived at in the course of the conciliation proceedings, the Boardshall send a report thereof to the appropriate government with a memorandum ofsettlement signed by the parties.

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(4) If no settlement is arrived at the board shall, as soon as practicable after the closeof the investigation, send a report to the appropriate government stating the factsand circumstances, the steps taken, the reasons why no settlement was arrived at,and its recommendations for the determination of the dispute.

(5) A board of must submit its report within 2 months of the data (on which thedispute was referred to it) or with such shorter time as the government may fix.The time may be extended by the government up 2 months, with the consent ofboth the parties in writing.

The report must be signed by all the members. Any member can submit a dissentingminute. Every report together with the minute of dissent must be published by the appropriategovernment within 3 days from its receipt.

In case no settlement is arrived at, the government may refer the matter to the labourcourt, tribunal or national tribunal. If it does not do so, it shall record and communicate theparties concerned it reasons therefore.

Every board has the same powers as are vested in a civil court (under the code ofcivil Procedure, 1980) when trying a suit, in respect of the following matters:

(1) enforcing the attendance of any person and examining him on oath;

(2) compelling the production of documents and material objects;

(3) issuing commissions for the examination of any witness

(4) in respect of such other matters as may be prescribed

2.4.3 B. Arbitration

(A) Court of Inquiry (section 6): A court of inquiry is constituted, as an ad hocbody as the occasion may arise, by the appropriate government. It can inquire into anymatter connected with or relevant to industrial dispute; but not into the dispute itself. Theconstitution of the court has to notified in the Official Gazette. It may consist of oneindependence person or such number of independent persons as the appropriategovernment thinks fit. If there are more than two persons, one of them shall be appointedas the chairman. The appointment of court together with the names of persons constitutingit requires to be notified in the official gazette. A court having the prescribed quorum, mayact notwithstanding the absence of the chairman or any of its members of any vacancy in itsnumber. The court of inquiry is not required to make any recommendations for resolvingdisputes. It is seldom appointed, as it is a superfluous and ad hoc body. It has no power toimpose any settlement upon the parties. It’s merely a fact finding machinery.

Its duty is to inquire into the matter referred to it by the appropriate government andto make a report on it on the inquiry held on matters refereed to it within a period of sixmonths from the commencement of the enquiry. It must be signed by all the members. Amember can submit a government within 30 days from its receipt.

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The section 22,23 and 33 lays down that during the pendency of the proceedingbefore a court of inquiry, the following rights of works remain unaffected viz.

(1) The right of the worker to go on strike:

(2) The right of employer to resort to lockout and

(3) The right of employer to dismiss or otherwise to punish the worker in certain casesunder section 33.

2.4.4 C. Adjudication

The ultimate legal remedy for the settlement of an unresolved dispute is its referenceto adjudication by the government. The adjudication involves intervention in the dispute bya third party appointed by the government for the purpose of deciding the nature of finalsettlement.

On getting a report for the failure of conciliation, the government has to decide whetherit would be appropriate to refer the dispute to adjudication. The rational behind this is thatthe developing countries can ill-afford to suffer from loss of production due to long-drawstrikes and lockouts. Further, the trade union movement is yet not storing and matureenough to adopt and rely on only collective bargaining for protecting the interest of theworkers. Therefore, the necessity for intervention by the government is felt. Thus, thegovernment does by making references of the dispute to the adjudication machinery.

The importance of adjudication has been emphasized by the Supreme Court and hasbeen considered at par with decisions on fundamental rights under the Constitution in thefollowing words.

As in the decision of the Constitutional question of this kind, so in adjudication it isalways a matte of making reasonable adjustments between the two competing claims. Thefundamental right of the individual citizen is guaranteed and its reasonable restriction ispermissible in the interest of general public, so the claims of the interest of general publichave to be weighed and balanced against the claims of the individual citizens in regard tohis fundamental right. So too in the case of adjudication, the case of adjudication, theclaims of the employer based on the freedom of contract have be adjusted with the claimsof industrial employees for social justice.”

Accordingly, the adjudication machinery has to consider not only the demands ofsocial justice but also the claims of national economy required that attempts should bemade to secure to workmen a fair share of the national income. On the other hand, theadjudication machinery has to take care to see that the attempt at a fair distribution doesnot tend to dry up the source of national income itself.

Here the various methods of adjudication are discussed:

(a) Labour Court (Section 7) : One or more labour curt may be constituted by theappropriate government by notification in the Official Gazette, for adjudication on industrial

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disputes relating to any matter specified in the Second Schedule of the Act, and forperforming such other functions as may be assigned to them.

A labour court shall consist of one person only, to be appointed by the appropriategovernment. Such a person should have been, for a period of not less than 3 years, adistrict judge or an additional district judge or has held any judicial office in India for notless than 7 years; or has been a presiding officer of a lobour court for not less than 5 years.No person shall be appointed or continue in the office of the labour court if he is not anindependent person, or he has attained the age of 65 years.

The duties of the labour courts are (i) to hold adjudication proceedings expeditiously,and (ii) submit the award to the appropriate government as soon as practicable on theconclusion of the proceedings. The labour court usually deals with matters which arise inday-to-day working.

The matters specified in the Second Schedule are:

(1) The propriety or legality an employer to pass an order under the Standing Orders;

(2) The application and interpretation of Standing Orders;

(3) Discharge or dismissal or termination of services including reinstatement of or grantof relief to employees wrong fully dismissed;

(4) Withdrawal of any customary concession or privilege;

(5) Illegality or otherwise of a strike or lockout;

(6) All matters other than those specified in the Third Schedule which fall within thejurisdiction of Industrial Tribunal. It shall perform such other functions as may beassigned to it under the Industrial Disputes Act.

The labour court has no power whatsoever except those which can be traced toStatute, to a statutory rule or a statutory instrument. It has no supervisory jurisdiction i.e. itcannot act as the guardian of an industrial establishment.

The jurisdiction of the labour court is very much circumscribed. It does not sit as anappellate court to weigh the pros and cons and apply its mind to find our if a differentconclusion is possible. Its duty is to see whether the enquiry satisfies the principles ofnatural justice and whether there was material for the management to act in the mannerthey did and whether their act was not favour of any malpractices as victimization. In theabsence of such an indication the labour court normally approves the decision of the domesticenquiry and grants the permission asked. But if there is no domestic enquire the proceedingsare vitiated, the labour court has the jurisdiction to undertake an inquiry, accept freshevidence, re-appraise the same and render a new decision there on. Commenting upon thejurisdiction of the labour court, the Supreme Court in Anand Bazar Patrika.v. Its Employees,held that if the termination of an industrial employee’s service has been preceded by aproper domestic enquiry perverse the tribunal is not entitled to consider proprietary of the

NOTES



said conclusion. If one the other hand in terminating the service of the employee themanagement has acted maliciously or vindictively or has been actuated by a desire topunish the employee for the trade union activities, the tribunal would be entitled to giveadequate protection to the employee by ordering his reinstatement.

(D) Industrial Tribunal (section 7 A) : The appropriate government may appoint one ormore Industrial Tribunals for the adjudication of industrial disputes relating to any matterwhether specified in the Second Schedule of the Third Schedule. The matters which are inthe form of new demands and give rise to industrial disputes, which affect the working of acompany or industry, are usually referred to an industrial tribunal.

An industrial tribunal may be appointed for a limited period on an ad hoc basic orpermanently.

The matters specified in the third Schedule are:

1. Wages, including the period and mode of payment:

2. Compensatory and other allowances

3. Hours of Work and rest intervals

4. Leave with wages and holidays

5. Bones, profit sharing, provident fund and gratuity

6. Shift working otherwise than in accordance with standing orders

7. Classification of grades

8. Rules of discipline

9. Rationalization

10. Retrenchment of workmen and closure of an establishment or undertaking

11. Any other matter that may be assigned to them under Act.

The tribunal shall consist of one person only, who shall be appointed by the appropriategovernment. He should be an independent person and below the age of 65 years; he is orhas been, the judge of a High Court, or has for a period of not less than 3 years, been aDistrict Judge; or he has held the office of the chairman or as any other member of thelabour appellate tribunal or any tribunal, for a period of not less than 2 years, unless he isor has been a Judge of a High Court.

The appropriate government may, if it so thinks fit, appoint two persons as assessors,to advise the tribunal in the proceeding before it. Its duty is to hold adjudication proceedingsexpeditiously, and to submit award to the appropriate government as soon as practicable,on the conclusion of the proceedings. The award shall be in writing and shall be signed byits presiding officer.

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On reference of an industrial dispute to a tribunal, government can interfere, subjectto the provisions of the Act, on four grounds: (i) there is want of good faith; (ii) there isvictimization or unfair labour practice; (iii) the management has been guilty of violation ofprinciple of natural justice; or (iv) the finding is completely baseless and perverse.

The functions of the industrial tribunal are essentially quasi – judicial and as such, aresubject to the overriding jurisdiction of the Supreme Court. The powers of the tribunalsare derived from the statue that creates them and they have to function within the limitimposed thereon and to act according to its provisions.

Power of Industrial Tribunal: The tribunal is a judicial body or at least a quasi-judicialbody. Therefore, it must serve notice serve notice to the parties by name. Any award madewithout serving of proper notice is basically wrong.

It is obvious from the act that tribunals are constituted when an industrial disputearises and normally functions as long as dispute is not settled. Whenever a new tribunal isappointed, it is required to start hearing a fresh, specially when it is felt that any prejudiceis likely to be caused to any party. The tribunals are supposed to decide the case withoutany bias.

In the Lipton Ltd. Case, the award of the Industrial Tribunal, Delhi, was confirmed bythe Labour Appellate Tribunal. However, when a similar dispute between the same companyand their workmen of madras arose, the company contended that the award of Delhitribunal is not binding on the employee, working in madras. The madras high court heldthat Delhi’s tribunal decision is certainly not enforceable on the workman.

In this context, it is desirable to know, whether any objection pertaining to jurisdictionof a tribunal, be raised before the high court or the tribunal itself. In fact, the difficulty ofjurisdiction actually arises where the question of jurisdiction is mixed up with laws andfacts. The proceedings before the tribunal, come to end if it finds that is has no jurisdictionover it. If the tribunal finds that the matter falls well within its jurisdiction, it may take up thecase. However, the decision the tribunal can be set aside by the courts, if it is found thattribunal has acted without jurisdiction.

(c) National Tribunal (Section 7 B): The Central Government may, by notification inthe official gazette, constitute one or more national tribunals for adjudication of industrialdisputes: (i) involving questions of national importance; or (ii) which are of such a naturethat idsutries in more than one state are likely to be interested in, or affected by such,disputes.

It consists of one person only, who is an independent person and below 65 years ofage. He should be or has been judge of a high court or held the office of chairman or anyother member of the Labour Appellate tribunal for a period of not less than 2 years.

NOTES



The Central Government may, if it thinks fit, appoint two persons as assessors toadvise the National Tribunal Duties of a national tribunal are to hold proceedings of anindustrial disputes referred to it by the Central Government expeditiously, and to submitthe award to the referred on the conclusion thereof.

When a national tribunal has been referred to, no Labour Court or Industrial tribunalshall have any jurisdiction to adjudicate upon such a matter

2.5 MEDIATION

Mediation’ is the ancient art of the peace-maker. It has been practiced in a number ofareas when people disagree. It is an ancient and honorable process for the settlement ofdisputes – disputes between two warring nations, disputes between litigants, disputesbetween labour and management, and in general, disputes between people. It has beenmost usefully employed to smooth out serious disagreements which threaten the rupture ofestablished relations, such as those between husbands and wives, among associates andfriends, and among partners in common endeavors.

As a formalized activity, its justification lies in the danger that the consequences ofdisagreement will have an adverse effect on bystanders, whether as individuals or as acommunity. Warren (a former Director of the United States Conciliation Service) has stated.“Despite the fact that other forms of settlement of labour disputes are more dramatic andhave captured the headlines more often, the process of mediation has proved successful inreaching settlement in the great majority of those cases in which agreement had not beenreached by direct negotiation between the parties.”

2.5.1 Kinds of Mediator

There are three kinds of mediators, according to Prof. Pigou, namely

(i) The eminent outsider;

(ii) The non-governmental board; and

(iii) The board connected with some part of the government system of the country.

Theses are not mutually incompatible but can be advantageously used to supplementone another. For a certain class of disputes, the eminent outsider cannot be dispensedwith, provided that his services are available as and when needed. The non-governmentalboard has the advantage over the eminent outsider that, on being constituted as an ad hocbody, it is more readily brought into play and has a better chance of making its voice heardin that breathing space before a strike or lockout actually beings. There are variousadvantages inaccessible to non-governmental boards but which are readily available to theboards attached with governmental machinery of the country, because:

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(i) They Possess exceptional facilities for ascertaining the existence of difference atthe earliest possible moment through administrative officers;

(ii) They are endowed with greater intellectual and financial resources and can usethem more liberally ; and

(iii) When mediators are sent out, they are likely to wield a modicum of power whichmay enable them to work well.

Different types of these mediators are valuable in their own spheres. But they aresometimes dangerous. The development of a pace-promoting machinery within separateindustries may be checked by the actions of the intervening body.

2.6 CONCILIATION

Conciliation is the most important method for the prevention and settlement of industrialdisputes through third party intervention. It is an attempt to reconcile the views of thedisputants and bring them to an agreement. Conciliation is generally understood as thefriendly intervention of a neutral person in a dispute to help the parties to settle theirdifferences peacefully.

Conciliation may be described as “the practice by which the services of a neutral thirdparty are used in a dispute as a means of helping the disputing parties to reduce the extentof their differences and to arrive at an amicable settlement or agreed solution. It is a processof rational and orderly discussion of difference between the parties to a dispute under theguidance of a conciliator.”

It is a process by which representatives of workers and employers are brought togetherbefore a third person or a group of persons with a view to persuading them to arrive at anagreement by mutual discussion between them.

As a process of peace-making in industrial relations, conciliation tends to bring abouta speedy settlement of disputes without resort to strikes or lockouts, and to hasten thetermination of work-stoppages when these have accrued. Its function is to assist the partiesto move towards a mutually acceptable compromise or solution. For this purpose , theconciliator relies on reasoning and persuasion.

The conciliator is a neutral party who, without using force, seeks to find some middlecourse for mutual agreement between the disputants so that the deadlock us brought to anend at the earliest possible moment and normal peace restored. “He tries to bridge the gulfbetween the two contending parties; and if he does not succeed, he at least tries to reducethe differences, as far as possible, by tendering advice to the parties and bring them closeto a settlement. Thus m he is a mere go between; the catalytic agent who creates anopportunity for the parties to meet face – to – face- to - resolve their difference amicably.His duty is not to suggest solutions for the dispute, but to make suggestion for alternativesolutions. He tries to persuade the parties to have a fresh viewpoint and different outlook.

NOTES



He supposed to act as a catalyst to the process of reaching an agreement. The element ofcompromise, of give and take is still present.” He persuades rather than orders or forcesthe party to accept his viewpoint. He never gives his judgment on the issues. The conciliatorsubstitutes his judgment for that of the parties with regard to the desirable terms of settlement.He may suggest possible lines of solution, or himself purpose terms of settlement if such acourse is in accordance with national practice; but it is for the parties to accept or not toaccept his suggestion or proposals; he cannot impose terms of settlement upon them.

A unique and essential characteristic of the conciliation process is its flexibility,informality and simplicity which sets it apart from other methods of settling industrial disputes.A conciliator generally does not follow the same procedure in every case; he adjusts hisapproaches, strategy and techniques to the circumstances of each dispute. Probably forthis reason in has sometimes been said that, “conciliation is an art and the conciliator is asolitary artist recognizing, at most, a few guiding stars and depending mainly on his personalpower of divination.”

2.6.1 Qualities of Conciliator

There are certain basic characteristics which are essential to the work of conciliation.A conciliator must have these if he is to win the trust and confidence of the parties.

(i) Independence and impartiality are the two attributes which every conciliator shouldpossess. It is essential that he should not only possess these qualities but be alsoseen to possess them. He must be above suspicion; and both parties must haveconfidence in his integrity and neutrality. He should be independent enough not tobe swayed or influenced by others. He should be able to resist undue pressures ofpersuasion from powerful employees or unions.

(ii) Since conciliation, in certain cases, involves arduous work, a conciliator should bephysically and psychologically fit for the rigours of his task. He must have a strongand deeply held conviction of importance and usefulness of conciliation. It hasbeen noted that “conviction is an expression of one of the highest virtues whichcan be praised the desire to understand and be just to one another. Each time thatone attempts to the resolve a conflict without force, one renders to men an enormousservice and lead them along the path of wisdom and of respect for themselves andfor each other.”

(iii) A conciliator should never allow conciliation proceedings before him to constitutea mere formality or a step on the road to arbitration. He must be able to offer tothe parties inducements that will persuade them to prefer a settlement with hisassistance, and to make serious efforts to reach an agreement.

(iv) Because of the nature of his work, a conciliator must have the ability to get alongwell with people. He must be, to a certain extent, a specialist in human relations, inthe relations between the parties when they come face-to-face, and in his ownrelations with them. He must be honest, polite, tactful, self-confident, even-temperedand patient in trying to achieve results. He should have powers of persuasion,

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including a good command of language and a facility for expression, and should beable to communicate with the parties in the language they understand.

(v) Since a conciliator has to deal with different persons and has to preside over theirmeetings in conciliation proceedings, he does not only have to have tact and abilityto guide and control their joint discussions, but must also give an impression ofresponsibility, clear-headedness and mature judgment. He must be able to showothers that he possesses enough common sense and practical mindedness.

(vi) A conciliator should have a friendly personality, a sense of humour, and have a giftfor relieving tensions at joint discussion. A nimbleness of mind will enable him tograsp quickly and analyze rapidly the main elements of controversy.

(vii)A conciliator should be well acquainted with law and regulations concerning industrialrelations and the settlement of industrial disputes. He should be familiar with theindustrial relations system, e.g., the development and structure of trade union andemployers’ associations; the development and structure of trade union andprocedures and practices; the operation of agreed negotiation bodies set up bythe parties; the main causes and patterns of disputes; knowledge of human resourcemanagement, functioning of trade unions within undertakings grievance anddisciplinary procedures and joint consultancy machinery.

(viii)He should be well-trained in different aspect of the management process. Heshould have some knowledge of products and services, the production methods,practices, etc. knowledge about wage rates and other financial matters, incentiveschemes; and an understanding of traditional outlooks and cultural peculiarities,and of the way in which they after labour relations.

(ix) He must have the ability and versatility to form judgments. He should, therefore,acquire knowledge from personal experience and observation; besides gettingknowledge of social sciences, psychology, social institutions, group behavior andcultural changes.

2.6.2 Role of the Conciliator

The role of a conciliator may be discussed under following heads:

(a) As a Discussion Leader

As a discussion leader, the conciliator reduces irrationality and antagonism betweenthe parties. He guides them towards a problem-solving approach to their dispute; he ensuresthat they discuss their difference in as friendly a manner as possible he helps them toanalyze their problem always striving to keep the analysis on a rational plane; he identifiesthe elements of the problem, both for the parties, benefit and for his own

(b) As a Safety Valve

The conciliator places him in the position of an alternative target when he feels that theparties are in an aggressive mood. By setting a substitute target, the parties can achieve anemotional release without direct and immediate damage to the negotiations.

NOTES



(c) As a Communication Link

The conciliator fulfils an important function as a communication link between the parties:serving as a communication link may either constitute his main conciliatory effort or be acontribution to it. He not only works as a conduit through which messages are relayedfrom one side to the other, but he also provides a through explanation and interprets theintentions of either party.

(d) As an Innovator

The conciliator acts as an invaluable source of new information and new thoughts,particularly in providing the parties with different views of the issues, with possible alternativesolutions and possibly an entirely new approach.

(e) As a Sounding Board

He is often described as a “flying ambulance squad” appearing whenever or wherevera collision or conflict, which threatens to disturb harmonious relations, occurs or isapprehended to occur between the interests of the parties. He may indicate the partieswhich of their own arguments, defenses and supports cannot stand under a rational searchingenquiry.

(f) As a Protector

The conciliator plays a protecting role, for he readies the parties for collective bargainingpositions by exploring alternative solutions during separate meetings.

(g) As a Fail-Safe Device

The conciliator often assists a party which has overstated its position to the extent ofbluff or exaggeration of its reaction to some move on the part of the other, or taken aclearly untenable stance to withdraw gracefully under the banner of reason.

(h) As a Stimulator

Sensing the need for positive action, the conciliator can provide the necessary impulseto a settlement; he makes a concise statement, supplies some data, gives a hint or suggestion.He moment and giving such ideas a concrete form.

(i) As an Adviser

The conciliator tires to remove misunderstandings regarding the other’s positions andcapabilities. He tries to see that misinterpretations do not occur and that each side thoroughlyunderstands the other’s point of view obtains a picture of the opponent’s strength andrealizes

(j) As a Face Saver

The conciliator often functions as a face saver. When a party knows at the outset orrealizes during the course of proceedings that it has a week case and can hope for title

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success in pursuing the dispute. The people concerned are often reluctant to admit defeat,because they feel that this will involve them in a loss of face, or prestige, with their membersor with the public. In such situations, the conciliator may devise a form of announcingsettlement, which apparently makes some small concession to party concerned but whichin reality gives it little or nothing.

As a Promoter of Collective Bargaining

While intervening in a dispute, he not only concerned with promoting a settlement,but often assists in collective bargaining and guides the parties in the development of theirrelationship.

Thus, a conciliator has to play a wide variety of roles. When a strike or lock-out isthreatened, it is his duty to advise the party concerned on the legality of the proposedaction and to use all his powers of persuasion so that the action may be postponed whileconciliation is going on. He makes efforts to persuade the parties against violent or disorderlybehaviour in carrying out the proposed action which might lead to bitterness. He also triesto bring the parties together to the negotiating table before the factory is shut down or anydamage to equipment or property is done. And he ensures that work is immediately resumedwhen the strike or lockout is terminated.

2.6.3 Sequential Pattern of Conciliation

The process of conciliation generally follows a sequence consisting of three majorphases:

(i) The Hard Posture Phase: The parties come to conciliation as adversaries in anopenly declared dispute. They come with hardened attitudes, which may beindicated in many ways – inflexibility, adamant defense of position, efforts todiscredit the other side, out-of-hand rejection of opposing views. During this phase,each party invariably takes the stand that is wholly right and the other side whollyunreasonable or wrong; neither party can see or will admit any merit in any argumentor proposition put forward by the other side. There may not only be antagonism inany argument or proposition put forward by the other side. There may not only beantagonism but open hostility between the parties. Instead of verbal assaults orexpressive gestures, there may be coolness or stiffness in one party’s attitude tothe other. During this phase, the conciliator acquires information of the parties’position and of the gap which separates them; and on that basis, he begins hisefforts.

(ii) Search for Accommodation: In this phase, each party is primarily concernedwith protecting its own bargaining position. Neither party normally takes the initiativein adopting an accommodation attitude. The conciliator’s objective is to inducethem to adopt a more flexible attitude and to move closer towards each other.Here, he is concerned with preventing the discussion from developing into astalemate which will spell the failure for his efforts.

NOTES



(iii) Emergence of Appropriate Mood for Settlement of Compromise: Duringthis phase, the conciliator prods, encourages, and assists the parties to makemodified proposals and counter-proposals. The symptoms, which might indicatethe areas of agreement within reach, are the acknowledgement, by one side that itunderstands the views expressed by the opposite side. A friendlier tone may bethere, i.e. there might be a direct exchange of comments, which was formerlyentirely absent; or a partial or fragmentary acceptance of the proposal

Conciliation is an art, which includes the art of listening, the art of asking question, theart of timing, and the art of persuasion. To use this art, various techniques are employed.These techniques are as varied as the personalities of conciliators. As such many conciliatorsrely upon a strength forward approach to the parties; others prefer to work in a subtle andcalculated manner. There may be conciliators who may be forcefully active in taking initiatives;and others who play a relatively passive or less aggressive role.

The techniques most frequently used are:

(i) Listening attentively to the parties so that information/facts be gathered;

(ii) Asking questions to obtain information;

(iii) Persuading the parties to overcome their differences and agree upon a compromiseby bringing reason and objectivity to bear on the discussion; by winning theirconfidence through such qualities as impartiality, trustworthiness and expertise;and by inducing either party to abandon a position, or by convincing a party toaccept a certain point of view, suggestions or proposal, or to agree to proposedterms of settlement,

In any dispute, the parties are usually subjected to a multiple reaction of differentpressures some of which are inherent in industrial, disputes; others are created by theconciliator himself. Such pressures are:

(a) Personal

(b) Social and political

(c) Economic

(a) Personal pressure from the conciliator:

It is based on his personal relationship with the parties. “Personal relationship andpressures are generally considered the mainstay of conciliation statement of facts to adetailed reasoning and exposition; from appeal to reason to coaxing, wheedling, flattery,cajolery, and ,at times, criticism, from holding a short meeting to keeping the negotiation incontinuous sessions.

(b) Social and political pressure:

This includes the opinions of outsiders whose views are important, and environmentalinfluences. The parties to a dispute may be influenced by the views of other employers ortrade unions, or of employers’ organizations. Public opinion tends to be important in disputes

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effecting the supply of essential goods and services to the community. In some situationssuch as national emergencies, or when inflation running wild, there is a greater public concernover the way disputes are settled and wage claims dealt with.

(c) Economic pressure:

This relates to market conditions and the parties’ bargaining strength. This is the pressurewhich parties themselves seek to exert on each other. Pressure for a particular type ofsettlement will be generated by the factual situation – rise in living costs, wage increasesgranted by comparable firms, wages rates paid by competitors, comparative productivitylevels. Economic pressure is more generally associated with the resort to a strike or lockout.

2.7 ARBITRATION2.7.1 Concept

Arbitration is a means of securing an award on a conflict issue by reference to a thirdparty. It is process in which a dispute is submitted to an impartial outsider who makes adecision which is usually binding on both the parties. It is a process where there is a hearingand a determination of a cause between parties in controversy by a person or personschosen by them, or appointed under a statutory provision. The parties submit their disputes/issues and are bound by the award of an arbitrator in relation to the matter which is indispute between them.

Arbitration is to be distinguished from conciliation not only by the fact that its decisionis binding on the parties but also by its different approach and spirit. 1 The main objectiveof arbitration is adjudication and, hence, there is no place for compromise in awards thoughthe parties are at liberty to do so. While the conciliator has to reconcile the recommendationsof the parties, sometimes against his own discretion, as long as he brings about an agreementbetween the contending parties, the arbitrator enforces his own point of view on thecontending parties and the opinions of the disputants are not given any predominance.Moreover, arbitration is more judicial in character than conciliation.

Arbitration is also to be distinguished from mediation. Arbitration is a judicial process,while mediation has a legislative tinge. The award of the arbitrator rests on equity andjustice, i.e., there is no scope for compromise, while compromise is the very essence ofmediation. The arbitrator’s award is binding while that of the mediator is not. Arbitrationoften leads to the termination of the dispute, but mediator may or may not bring about thistermination. Arbitration is best suited for the settlement of contractual rights, whereasmediation is suited to the adjustment of disputes over interests.

(i) Approaches to Arbitration

(ii) Arguments for and Advantages of Arbitration

(iii) Evils of Arbitration

NOTES



2.7.2 Types of Arbitration

Arbitration may be ‘voluntary’ or ‘compulsory’.

Voluntary arbitration implies that the two contending parties, unable to compose theirdifferences by themselves or with the help of the mediator or conciliator, agree to submitthe conflict/dispute to an impartial authority, whose decision they are ready to accept. Inother works, under voluntary arbitration, the parties to the dispute can and do themselvesrefer voluntarily any dispute to arbitration before it is referred for adjudication. This type ofreference is known as a “voluntary reference”, for the parties themselves volunteer tocome to a settlement through arbitration machinery.

The essential elements in voluntary arbitration are:

The voluntary submission of dispute to an arbitrator

The subsequent attendance of witnesses and investigations;

The enforcement of an award may not be necessary and binding because there is nocompulsion. But, generally, the acceptance of arbitration implies the acceptance of itsaward-be it favorable or unfavorable; and

Voluntary arbitration may be specially needed for disputes arising under agreements.

Compulsory arbitration, on the other hand, is one where the parties are required toaccept arbitration without any willingness on their part. When one of the parties to anindustrial dispute feels aggrieved by an act of the other, it may apply to the appropriategovernment to refer the dispute to adjudication machinery. Such reference of a dispute isknown as ‘compulsory’ or ‘involuntary’ reference, because reference in such circumstancesdoes not depend on the sweet will of both the contending parties or any party to thedispute. It is entirely the discretion of the appropriate government based on the question ofexisting dispute, or on the apprehension that an industrial dispute will emerge in a particularestablishment.

Under compulsory arbitration, the parties are forced to arbitration by the state when:

(i) The parties fail to arrive at a settlement by a voluntary method; or

(ii) When there is a national emergency which requires that the wheels of productionshould not be obstructed by frequent work-stoppages; or

(iii) The country is passing through grave economic crisis; or

(iv) There is a grave public dissatisfaction with the existing industrial relations; or

(v) Industries of strategic importance are involved; or

(vi) Parties are ill balanced, i.e., where the unions are weak, ill-organised, and powerlessand the means of production are in the hands of the capitalists who are well-organised and powerful; or

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(vii)Public interest and the working conditions have to be safeguarded and regulatedby the state.

Compulsory arbitration leaves no scope for strikes and lockouts; it deprives both theparties of their very important and fundamental rights.

The government considers whether an industrial dispute exists or is apprehended inan industrial establishment; and if it is satisfied, it may, at any time, by an order in writing,refer the dispute to a Board of Conciliation or a Court of Inquiry, or a labour court or atribunal. The dispute is said to be referred at any time when it commences with the issue ofdemand notice or with any legal steps by which the proceedings are instituted for makinga reference and terminates with an order of the appropriate government in writing. Sometimesthe government may make a reference for any valid reason.

Where any industrial dispute exists or is apprehended and the management and workersagree, under a written agreement, to refer the dispute to arbitration, they may do so. Sincethe parties to the agreement are the trade union and the employer, either of them wouldordinarily be responsible for initiating proceedings to settle differences through arbitration.Where arbitration is voluntary, only the issues that have been agreed upon by the parties asarbitrable can be submitted to arbitration under the agreement. Conceivably the partiesmight agree to a coverage so broad as to embrace any and all disputes between theparties. The agreement may specify questions that shall not be subject to arbitration (suchas certain management prerogatives); or it may otherwise limit the scope of the arbitrator’sauthority. The arbitrator, then, shall have no power to add to, subtract from, alter or otherwisechange or modify the terms and conditions of agreement.

2.8 REFERENCE OF DISPUTE TO ARBITRATION UNDER INDUSTRIALDISPUTES ACT, 1947

Under the Industrial Disputes Act, 1947, a dispute may be referred to arbitrationunder the following conditions:

(a) An industrial dispute exists or is apprehended in an establishment;

(b) The employer and the workers agree, in writing, to refer the dispute to arbitration;

(c) The arbitration agreement is in the prescribed form and signed by the parties to itin the prescribed manner;

(d) The agreement must be accompanied by the consent, in writing, of the arbitratoror arbitrators;

(e) The dispute must be referred to arbitration at any time before it has been referredto a labour court or tribunal or a national tribunal;

(f) The reference must be to the person or persons specified in the arbitration agreementto act as arbitrator/arbitrators;

NOTES



(g) The arbitration agreement must set forth the issue/issues to be decided by thearbitration procedure and a copy of the agreement is forwarded to the governmentand the conciliation officer.

2.8.1 Qualification of Arbitrators

If arbitration is to be successful, the arbitrators must have the qualifications to ensurethat the parties entrust them with the responsibilities for making decisions on the questionsat issue. They should have the following qualifications;

(i) an understanding of the complexities of the labour-management relationship;

(ii) a knowledge of collective bargaining and the operation of arbitration procedures,as well as skill and experience in the interpretation of collective agreements; andfamiliarity with personnel policies, industrial discipline and human relations;

(iii) high integrity, that is, they should be non-partisan persons with a deep sense ofimpartiality, which requires that they should be free from any commitment to, orprejudice in favour of, one side or the other;

(iv) they must be committed to the maintenance of harmonious labour managementrelations and have a strong belief in the importance of successful arbitration;

(v) They must be acceptable to the parties.

2.8.2 Procedure for Investigation

After the dispute has been referred to the arbitrator, he will hear both the parties.Hearing involves mastery of the facts of a particular dispute as well as the relevant provisionsof the collective agreement and of the past practices of the parties in relation to mattersrelevant to the dispute. An investigation of the facts and circumstances of the dispute is ofgreat importance. The investigation should aim at ascertaining who and what are involvedin the dispute. The arbitrator may call witnesses, get evidence and relevant records anddocuments, current and the past agreements; ordinances, court decisions, statutes (bearingon the case) and arbitration decisions by other arbitrators in similar cases, that may suggesta line of reasoning. When an important witness is unable to attend, sworn affidavit is oftenused.

After the collection of facts and supporting materials, arguments take place. Certainprinciples are followed by an arbitrator while dealing with a particular dispute, namely:

(i) Fair hearing, which demands that an opportunity should be given to both the partiesto be heard and cross-examined.

(ii) Principle of natural justice requires that a party should have due notice ofproceedings, and it must know what are the issues involved and what part it has toplay.

(iii) The party should be free to give any evidence which is relevant to the enquiry andon which it relies for its arguments. The evidence given by one party should betaken in the presence of the other party so that the other party may rebut andplace counter evidence, if necessary.

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(iv) The arbitrator should not rely on any document which is not shown and explainedto the other party and to which a reply has not been received. He has to becompletely impartial without any bias or prejudice against anybody.

2.8.3 Submission of Award

The arbitrator, after investigating the dispute, has to submit his award to the government.The award will have the same legal force as the judgment of a labour court or tribunal. Theaward must be signed by the arbitrator.

While writing his award, the arbitrator has to ensure that:

(i) The award is in line with the terms of reference and that it does not go beyond itsjurisdiction;

(ii) It must be precise and definite, that is, it must be clear, unambiguous and withoutany, vagueness, and that it is not in any way capable of being misunderstood ormisinterpreted;

(iii) It should be capable of being enforced or implemented; in other words, it shouldnot contain directives or provision which apparently seem impossible ofenforcement;

(iv) The award should contain a date or a specific period for its implementation;

(v) The award should not violate any provision of any existing law or settlement legallyarrived at, or one which is binding on parties;

(vi) The award should contain sufficient justification or reasons for the settlement arrivedat by the arbitrator.

2.8.4 Criticism of Compulsory Arbitration

The system of compulsory arbitration has been tried in Australia, New Zealand andAmerica; but, in the last country, it has now been inoperative because of severe oppositionby workers, who consider compulsory arbitration equivalent to involuntary servitude anddenial of civil liberty and loss of personnel freedom.

The American labour movement is opposed to compulsory arbitration because;

(i) Resort to compulsory arbitration promotes and prolongs industrial disputes;

(ii) Compulsory arbitration undermines self-government in industry, i.e it hampers thedevelopment of industrial democracy;

(iii) It takes away from the employers and unions the responsibility of working outtheir mutual problems and transfers it to government-created tribunals;

(iv) It kills collective bargaining and replaces it with litigation; it allows the parties toavoid unpleasant confrontation of their difficulties, creating a dependency uponpublic authority;

(v) By requiring even an air of compulsory labour, it subjects workers to involuntaryservitude;

NOTES



(vi) It exposes workers to arbitrary restraints and penalties before trail and correction;

(vii)It denies the working people the right to protect themselves and resist a wrong,and to strive peacefully for improvement in their conditions;

(viii)Decisions handed down through arbitration might be coloured by politicalexpediency. Thus, both employers and the unions would become deeply involvedin political pressures and efforts to win favors;

(ix) It means loss of personal freedom, loss of mobility, loss of power of initiative, lossof hope and aspiration for self-betterment;

(x) The prohibition of strikes is not readily enforceable; lower productive efficiency,and shuts of all productive possibilities.

2.8.5 National Arbitration Promotion Board

To make voluntary arbitration more acceptable to the parties and to co-ordinateefforts for its promotion, the government appointed, in July 1967, a National ArbitrationPromotion Board with a tripartite composition. The functions of the Board are:

(i) to review the position periodically;

(ii) to examine the factors inhibiting a wider acceptance of this procedure and suggestmeasures to make it more popular;

(iii) to compile and maintain up-to-date panels of suitable arbitrators for different areasand industries and to lay down their fees;

(iv) to evolve principles, norms and procedures for the guidance of the arbitrator andthe parties;

(v) to advise parties, in important cases, to accept arbitration for resolving disputes sothat litigation in courts may be avoided;

(vi) to look into the cause or causes of delay and expedite arbitration proceedings,wherever necessary;

(vii)to specify, from time to time, the types of disputes which would normally be settledby arbitration in tripartite decisions.

2.9 ADJUDICATION

Adjudication involves intervention in the dispute by a third party appointed by thegovernment for the purpose of deciding the nature of final settlement.

2.9.1 Types of Adjudication

When the government gets a report of the failure of conciliation proceedings, it has todecide whether it would be appropriate to refer the dispute to arbitration. The reference ofdispute to adjudicating is at the discretion of the government

When both parties, at their own accord, agree to refer the dispute to adjudication, itis obligatory on the part of the government to make a reference. When a reference toadjudication is made by the parties, it is called Voluntary Adjudication.

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On the other hand, when reference is made to adjudication by the government withoutthe consent of either or both the parties to the dispute, it is known as CompulsoryAdjudication.

Three-Tier System of Adjudication

The Industrial Disputes Act, 1947 provides for a three-tier system of adjudication

(1) Labour Courts;

(2) Industrial Tribunals; and

(3) National Tribunals.

These are the adjudication bodies which decide the disputes refereed to them by theappropriate government and pass their awards.

The Labour Courts adjudicate upon disputes listed in Schedule II of the Act.

The Industrial Tribunals adjudicate upon disputes which are of national importance,or when the dispute is of such a nature as to effect industrial establishment situated in morethan one state.

LABOUR COURTS

One or more labour courts may be constituted by the appropriate government foradjudicating on industrial disputes relating to any matter specified in the second scheduleto the Act, and for performing such other functions as may be assigned to them.

Constitution

A labour court shall consist of one person only, who:

(a) Is or has been a judge of a High Court; or

(b) Has been, for a period of not less than 3 years, a District Judge; or

(c) Has held any judicial office in India for not less than 7 years.

No person shall be appointed or continue in the office of the labour curt if he is not anindependent person, or if he has attained the age of 65.

The duties of the labour court are:

(i) To hold adjudication proceeding expeditiously; and

(ii) Submit its award to the appropriate government as soon as practicable on theconclusion of the proceedings.

The labour court usually deals with matters which arise out of the day-to-day workingof an undertaking.

NOTES



Jurisdiction

The jurisdiction of labour courts extends to the adjudication of the following disputesrelating to matters specified in the Second Schedule:

(1) The propriety or legality of an order passed by an employer under the StandingOrders.

(2) The application and interpretation of Standing Orders.

(3) Discharge or dismissal or workers, including reinstatement of, or grant of relief to,workers wrongfully dismissed.

(4) Withdrawal of any customary concession or privilege.

(5) Illegality or otherwise of a strike or lockout.

(6) All maters other than those specified in the Third Schedule of the Act (i.e., thosematters which are within the jurisdiction of industrial tribunals).

The labour court has no power whatever except those powers which can be tracedto a Statue, to a statutory rule or a statutory instrument. It has no supervisory jurisdiction,i.e., it cannot act as a guardian of an industrial establishment.

Further, though the labour court does not have jurisdiction over the matters specifiedin the Third Schedule, where the dispute relates to any matter specified in the Third Scheduleand is not likely to effect more than 100 workers, the appropriate government may, if itthinks fit, refer the dispute to a labour court.

The jurisdiction of the labour court is circumscribed. It does not sit as an AppellateCourt to weigh the pros and cons and apply its mind to find out if a different conclusion ispossible. Its duty is to see whether the enquiry satisfies the principles of natural justice;whether there was material for the managements to act in the manner they did and whethertheir act was savoured of any malpractice or victimization. In the absence of such anindication ex facie in the proceedings of the enquiry officer, the labour court is normallyexpected to approve the decision of the domestic enquiry and grant the permission askedfor.

Only in cases where there was no domestic enquiry or the proceedings at the domesticenquiry were in any way vitiated would the labour court have jurisdiction to undertake are-enquiry accept fresh evidence, re-appraise the same and render a new decision thereon.

2.10 INDUSTRIAL TRIBUNALS

The appropriate government may appoint one or more industry tribunals for theadjudication of industrial disputes relating to any matter, whether specified in the SecondScheduler or the Third Schedule. The matters which are in the form of new demands andgive rise to industrial disputes which affect the working of a company or industry areusually refereed to an industrial tribunal. The industrial tribunal may be appointed for alimited period on an ad hoc basis or permanently.

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2.10.1 Constitution

A tribunal shall consist of one or more persons, such as

(a) Are or have been judge(s) of High Court

(b) Are or have been District Judge(s) for a period of not less than 3 years;

(c) Hold or have held the office of the chairman or any other member of labourappellate tribunal or any tribunal for a period of not less than 2 years.

The government may, if it thinks fit, also appoint two persons as assessors to advisethe tribunal in the proceedings before it.

The functions and duties of the industrial tribunal are very similar to those of a bodydischarging judicial functions. Although it is not a court, it has all the necessary attributes ofa court of justice. It may create new obligations or modify contracts in the interest ofindustrial peace; protect legitimate trade union activities and prevent unfair practices andvictimization. The tribunals are required to give awards based on circumstances peculiar toeach dispute; and they are, to a large extent, free from restrictions of technical considerationor rules oe evidence imposed on courts.

2.10.2 Jurisdiction

An industrial tribunal has a wider jurisdiction than labour courts. It has jurisdictionover any matter specified in the Second Schedule or Third Schedule. The jurisdictioncovers the promoting of social justice, that is, fairness in the adjudication proceedings to allconcerned parties.

The matters specified in the Third Schedule are:

(1) Wages, including the period and mode of payment

(2) Compensatory and other allowances

(3) Hours of work and rest intervals.

(4) Leave with wages and holidays.

(5) Bonus, profit-sharing, provident fund and gratuity.

(6) Shift working, otherwise than in accordance with the standing orders.

(7) Classification of grades.

(8) Rules of discipline.

(9) Rationalization

(10)Retrenchment of workman and closure of an establishment

(11)Any other matter than may be prescribed.

The industrial tribunal has to hold judicial proceedings expeditiously and submit itsaward to the appropriate government as soon as practicable on the conclusion of theproceedings.

NOTES



In the country there are twelve Central Government Industrial Tribunals-cum-LabourCourts, two of each of which are located at Dhanbad and Bombay and one each atAsansol, Calcutta, Jabalpur, New Delhi, Jipur, Chandigarh, Kanpur and Bangalore. TheIndustrial Tribunals and Labour Courts are set up by the State Government and U.Tadministration are also utilized by the Central Government for the adjudication of disputes,if the need arises.

2.10.3 National Tribunals

The Central Government may, by Notification in the Official Gazette, constitute oneor more national tribunals for the adjudication of industrial disputes which, in the opinion ofthe Central Government, involve questions of national importance or are of such naturethat industrial establishment situated in more than one state are likely to be interested in, oraffected by, such disputes.

Constitution

A national tribunal shall consist of one person only to be appointed by the CentralGovernment, who: (a) is or has been a judge of a High Court or (b) has held the office ofthe Chairman or any other member of the Labour Appellate Tribunal for a period of notless than 2 years.

If the Central Government thinks fit, it may appoint two persons as assessors toadvise the national tribunal on the proceedings before it.

2.11 MODEL PRINCIPLES FOR REFERENCE OF DISPUTES TO ADJUDICATION

The Indian Labour Conference (held in Madras in July 1959) evolved a set of modelprinciples for reference of disputes to adjudication, according to which the central industrialrelations machinery is to take these principles into consideration before recommendingadjudication, and the government it required to consider them before referring toadjudication. These principles were:

(1) All Duties ordinarily be refereed to adjudication on request.

(2) Disputes may, not, however, be ordinarily referred to adjudication:

(a) Unless efforts at conciliation have failed and there us no further scope for conciliationand the parties are not agreeable to arbitration;

(b) If there is a strike or lockout declared illegal by a court, or a strike or lockoutresorted to without seeking settlement by means provided by law and withoutproper notice or in breach of the Code of Discipline as determined by the machineryset up for the purpose, unless such a strike or lockout, as the case may be, iscalled off;

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(c) If the issues involved are such as have been the subject matter of recent judicialdecisions or in respect of which an unduly long time has elapsed since the origin ofthe cause of action; and

(d) If, in respect of demands, other legal remedies are available, that is, matters coveredby the Factories Act, Workmen’s Compensation Act, payment of wages Act, etc:

(3) Industrial disputes raised in regard to individual cases, that is, cases of dismissal,discharge or any other action of management on disciplinary grounds, may bereferred for adjudication when the legality or propriety of such action is questioned,and in particular:

Whenever an industrial dispute exists, or even where there is a mere apprehensionthat it will arise, the government may make a reference of the dispute for adjudication.

2.12 COMMENCEMENT AND CONCLUSION OF PROCEEDINGS

The proceeding before a labour court, tribunal or national tribunal is deemed to havecommenced on the date of the reference of the dispute for adjudication.

The proceedings before the labour court, tribunal or national tribunal are deemed tohave concluded on the date on which the award becomes enforceable.

The Act provides that any information obtained by the labour court, tribunal or nationaltribunal is not to be included in nay report or award.

(i) in the course of any investigation or enquiry as to a trade union or as to any otherindividual business:

(ii) if such information is not available otherwise than through evidence before suchofficer or court or tribunal.

(iii) If the trade union, person, firm or company in question has made a request inwriting to the authority concerned that such information shall be treated asconfidential.

Neither the authority nor any person present at or concerned in the proceedings isallowed to disclose any information, or contents of any document claimed to be confidential,without the consent in writing of the secretary of the trade union or other person, firm orcompany , as the case may be.

2.13 CENTRAL INDUSTRIAL RELATIONS MACHINERY IN INDIA

The Central Industrial Relations Machinery was set up in 1945, with the Chief LabourCommissioner as Head of the Department. The purpose was to give effect to the variousprovision of the Industrial Disputes Act – for the prevention, investigation and settlement ofdisputes in the industries in the Central sphere and the enforcement of awards, settlementof other labour laws of which the responsibility is vested in the Central Government. Thespecific functions of C.I.R.M are as under.

NOTES



(1) “Prevention and settlement of industrial disputes in industries located in the centralsphere (for which the Central Government is “appropriate government” under theIndustrial Disputes Act, 1947)

(2) “Enforcement of labour laws in industries and establishments located in the centralsphere ((for which the Central Government is “appropriate government” underthe relevant labour laws).

(3) “Verification of Membership of trade unions in nationalized banks for identificationof the representative union to facilitate the appointment of workers director on theboard of directors.

(4) “ad hoc verification of membership of trade unions in major prots.

(5) “Verification of membership of registered trade unions affiliated to the CentralTrade Union Organisations (CTUOs) to determine the strength of CTUOs for thepurpose of giving representation to CTUOs on national and international force.

(6) “Enforcement of awards and settlements.

(7) “Conduct of enquiries into the breaches of code of discipline.

(8) “Promotion of Works Committees and workers’ participation in management

(9) “Collection of statistical information in the central sphere pertaining to industrialdisputes, work stoppages ages, labour situation and labour regulation.

(10)“Defence of Court cases and writ petitions arising out of implementation of labourlaws”

The C.I.R.M is located at Delhi, headed by the Chief Labour Commissioner (Central)(C/L/C (C)). He is assisted by 31 officers who perform line and staff functions. In the fieldset-up, C.L.C had 18 (RLC), 70 Assistant Labour Commissioners and 160 LabourEnforcement Officers. So it can be said that C.I.R.M. is well spread in different parts ofcountry with zonal, regional and unit level formation as depicted in the organ gram.

The central machinery operates in 18 regions each headed by Regional Commissionerwith headquarters at Ajmer, Ahmedabad, Asansol, Bombay , Bangalore, Bhubaneshwar,Chandigarh, Calcutta, Cochin, Dhanbad, Guwahati, Hyderabad, jabalpur, Kanpur, Madras,New Delhi, Nagpur and Patna.

The central machinery also includes Courts of Enquiry, labour courts, Indistrial andNational tribunal and the State Arbitration Board.

The CIRM with a view to check the exploitation of unorganized workers undertakesinspection of the establishments with specific reference to enforcement of labour laws.

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Industrial Disputes – A Statiscal Report

( P ) = Provisional

N.B.: Only those work stoppages which are on account of industrial disputes and whichinvolves 10 or more workers, whether directly and /or indirectly are included in the statisticsof Industrial disputes.


1) What constitutes an ‘Industrial Dispute’ ?

2) What is ‘Mediation’? Who are the different kinds of mediator?

3) List the qualities necessary for a Conciliator

4) What are the different facets / role played by a conciliator ?

5) Explain the sequential pattern of Conciliation

6) Explain the TWO different types of ‘Arbitration’

7) List a few of the instances where a dispute can be referred to arbitration under theID Act of 1947

8) What is National Arbitration Promotion Board’ ?

9) Explain the THREE-TIER system of Adjudication

10) Explain the role played by the Central Industrial Relations Machinery in India

Item Description

2002 2003 2004 2005 2006 (P)

No. of Strikes 295 255 236 227 246 No. of Workers Involved

900,386 1,010,976 1,903,054 2,722,784 1,701,891

No. of Mandays lost

9,664,537 3,205,950 4,828,737 10,800,686 5,581,705

No. of Lockouts

284 297 241 229 214

No. of Workers Involved

179,048 804,969 169,167 190,817 107,533

No. of Mandays lost

16,921,382 2,70,49,961 19,037,630 18,864,313 16,592,163

NOTES



UNIT III

LABOUR WELFARELearning Objectives


• Concept of Labour welfare

• Welfare Measures – voluntary & non-voluntary

• Statutory welfare measures

• Welfare Funds

• Workers’ Education

• Training Schemes

3.1 INTRODUCTION

Industrial progress of country depends on its committed labour force. In this regardthe importance of labour welfare was recognized as early as 1931, when the RoyalCommission on Labour stated that the benefits which go under this nomenclature are ofgreat importance to the worker who is unable to secure by himself. The schemes of labourwelfare may be regarded as “a wise investment” which should and usually does bring aprofitable return in the form of greater efficiency. Twenty years later, the Planning commissionrealized the importance of labour welfare, when it observed that “In order to get the bestout of a worker in the matter of production, working conditions require to be improved toa large extent. The worker should at least have the means and facilities to keep himself ina state of health and efficiency. This is primarily a question of adequate nutrition and suitablehousing conditions. The working condition should be such as to safeguard his health andprotect him against occupational hazards. The work place should provide reasonableamenities for his essential needs. The worker should be quipped with the necessary technicaltraining and certain level of general education.

Labour and Labour Welfare sub-sector consists of six main programmes viz. LabourAdministration, Rehabilitation of bonded labour, Assistance to Labour Cooperatives,Craftsmen training programme, Apprenticeship training programme, Employment Servicesand Sanjay Gandhi Swavalamban Yojana.

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3.2 WELFARE AND WORKING CONDITIONS

The Encyclopedia of Social Science (Vol. XV, 1935) defines labour welfare as “Thevoluntary efforts of the employers to establish within the existing industrial system, workingand sometimes living and cultural conditions of the employees beyond that which is requiredby law, the custom of the industry and the conditions of the market

The report of the Committee on Labour Welfare set up the Government of India in1969 refers to welfare as a broad concept, a condition of well-being. It speaks of measureswhich promote “the physical, psychological and general well-being of the workingpopulation”. Welfare covers the families of workers, especially in India, well-beingencompasses that of their families.

Labour welfare implies providing better work conditions, such as proper lighting,heat control, cleanliness, low noise level, toilet and drinking-water facilities, canteen andrest rooms, health and safety measures reasonable hours of work and holidays, and welfareservices, such as housing, education, recreation, transportation, and counseling.

3.3 IMPORTANCE OF LABOUR WELFARE

In India, welfare is of the statutory and the non-statutory kinds. Though statutorywelfare ensures a bare minimum of facilities and reasonably good working conditions,employers are free to provide, or not to provide, non-statutory welfare. However, practicallyall organizations in India provide non-statutory measures in varying degrees. Why aresuch organizations involved in extensive welfare measures? These questions can be viewedfrom the point of view of the workers, the unions and the employers.

From the viewpoint of workers, welfare measures must eliminate risk and insecurity.This is to ensure their personal safety and provide them with equipment and atmosphereneeded to draw a fair day’s wage without any feeling of guilt. Given the workers’ economicconstraints, probably due to large families, organizations should provide facilities such astransport, medical aid, crèches, and subsidized food required by worker.

Unions would like to secure several benefits to maintain their image. The role ofunions in welfare has also been influenced by the sociopolitical and legal environment andthe economy. Their role in labour welfare stems economy. Their role in labour welfareservices apart from those available to them as citizens and members of the community.Therefore, unions feel that such services apart from those available to them as citizens andmembers of community. Therefore, unions feel that such services ought to be providedeither by the Government or the employers. However, much depends on the initiative ofthe unions, their bargaining strength and the priority given by the to the rights of the workers.In organizations where unions have been assertive, welfare activities have been considerable,while in unorganized sectors workers have not been able to derive sufficient benefit fromtheir employers.

NOTES



Employers provide amenities to discharge their social responsibility, raise theemployees’ morale, use the work force more effectively and reduce turnover andabsenteeism. Benefits such as bonuses, etc., are bound by length of service, thus ensuringthat an employee will remain for a certain minimum period at least. Though paternalismmay be out-modelled, many managers feel, while others are convinced, that welfare benefitsnot only raise employee morale but make it easier for employers to attract and hire competentpersonnel. Welfare helps build a positive image of the organization and facilitates dealingswith the union.

3.3.1 A – Labour

Labour Administration

A brief description of the important schemes under the Labour Administration Sub-Sector is given below. During Tenth Five Year Plan, 2002-2007 outlay of Rs. 568.00 lakhis provided and Rs.40.00 lakhs is provided for Annual Plan 2002-2003.

(1) Training & Research Programme

It is proposed to train officers of the Labour Department in connection with variousLabour Laws implemented in the State. A provision of Rs.1.00 lakh is provided in2002-2003 and outlay for Tenth Five Year Plan 2002-2007 is Rs.10.00 lakh.

(2) Scheme for wide Publicity to various Labour Laws.

It is proposed under this Scheme to regulate service conditions of workers and togive publicity to various labour laws through the media like television, radio, shortdocumentaries, display of slides in rural theatres, video films, posters, folders andnewspapers etc. An outlay of Rs. 10.00 lakh is provided for Tenth Five Year Plan2002-2007, and Rs.1.00 lakh for 2002-2003.

(3) Strengthening of Medical wing of the Directorate of Industrial Safetyand

Health

There are different types of industries in Maharashtra like heavy and light engineering,heavy and light chemical industries, petrochemicals, pesticides, fertilizers, textile andElectronic Industries. All these pose their own potential hazards, which may causeacute And chronic side effects on the health of the workers. In Maharashtra, thechemical factories which include heavy chemical complexes or small chemical factorieswhich may produce acute effects on the health of the workers to such an extent thatit may result in death. Pesticides spilled on the body of the workers are equallydangerous. An outlay for Tenth Five Year Plan 2002-2007 Rs.200.00 lakh, out ofthat an outlay Rs.5.00 lakh is provided in the Annual Plan 2002-2003.

(4) Improvement of communications, mobility of Factory Inspectors

For the quick transmission of messages relating to factory accidents, gas leaks, firesand

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Disasters in the area a broad network of office/ residential telephones is an essentialPre-requisite for the Factory Inspector, the concerned Dy.Chief Inspector of Factories,the Chief Inspector and from C.I.F.to higher authorities. Quick transmission of such messagesto the area Factory Inspector and others not only facilitates a prompt inquiry into themishap and its causes but also enables the concerned authorities to bring into action thevarious control measures in the case of disaster. An outlay for Tenth Five Year Plan 2002-2007 is Rs.150.00 lakh. Out of that an outlay Rs.5.00 lakh is provided for Annual Plan2002-2003.

Rehabilitation of Bonded Labour

The Bonded Labour System (Abolition) Act, 1976 which came into force with effectfrom 25th October 1975.

The work pertaining to rehabilitation of bonded labour is entrusted to Revenue andForests Department. The Collectors have been instructed to take suitable action forrehabilitation. The bonded labourers freed from bondage are to be rehabilitated in theongoing works of Government like IRDP, EGS etc. The Government of India has enhancedthe subsidy to Rs.6250. This scheme is a part of 20 Point Programme. 50% Centralassistance is admissible for this scheme.

At the end of March, 1998, 1364 bonded labourers were identified, 1287 wererehabilitated and 77 were not required to be rehabilitated for some or the other reasons.As on today not a single identified bonded labour remains to be rehabilitated. An outlay forTenth Five Year Plan 2002-2007 is Rs.20.00 lakh. Out of that an outlay Rs.4.00 lakh isprovided for Annual Plan 2002-2003.

Assistance to Labour Cooperatives

There are 4,422 Labour Contract Societies in the State with a total membership of2,20,000. The membership of labour contract societies are mainly from weaker sectioncommunity. These societies organize scattered and unorganized labourers together andprovide them gainful employment in various works obtained on contract from GovernmentDepartments and other agencies. This system has eliminated the exploitation of labourersfrom private contractors. An outlay for Tenth Five Year Plan 2002-2007 is Rs.5.00 lakh.Out of that an outlay Rs.1.36 lakh is provided for Annual Plan 2002-2003.

3.3.2 B –Training

CRAFTSMEN TRAINING PROGRAMME (Industrial Training Institutes)

The Craftsmen Training Programme is controlled by the Directorate General ofEmployment and Training (DGET), Ministry of Labour, Government of India and thecurriculum in various vocations is executed as per directives received from it. Thus thetraining programme is chalked out on National basis and at State level, it is administeredon the basis of norms and guidelines laid down by National Council for Vocational Training

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(NCVT). This programme mainly deals with the training of craftsmen in various engineeringand non-engineering trades.

The syllabi for the various trade courses which are introduced in ITI’s are preparedby NCVT. The courses are of one or two year’s duration. Some of the trade courses arestarted under the aegis of State Council for Vocational Training (SCVT) to meet the localneeds. Accordingly at present training is being imparted in 58 different trades out of which28 are of two years duration and remaining 30 are of one year duration. Out of these 58trades, 41 are Engineering trades while remaining 17 are non-engineering trades. At present,out of 58 trades, 4 are covered under the aegis of SCVT and remaining are as per syllabilaid down by NCVT. The training in It’s is aimed at equipping the trainees with adequatepractical and theoretical knowledge of the concerned trades and to develop them intosemi-skilled craftsmen suitable for Industrial Employment or as an apprentice in thedesignated trades under the Apprenticeship Act or to undertake self-employment ventures.

At present, there are 347 Government I.T.Is. and 269 non Government ITIs, withintake capacity of 65704 and 30724 respectively. Government ITIs includes 15 ITIs forwomen with intake of 3648 Women. There are 56 Government ITIs in tribal sub-plan areawith an intake capacity of 8692 trainees. 75% of the available seats in these ITIs arereserved for scheduled tribes. In the ITIs in the general plan area 25% of seats in eachtrade are reserved for women. Thus the total Number of ITIs in the State is 616 withintake capacity of 94656. In order to extend the feasibility for vocational training to thepeople, the State Government has taken a decision to set up in phased manner, oneGovernment I.T.I. in every taluka where no I.T.I. exists at present. In view of this out of326 total talukas, all talukas are already covered by establishing mini ITIs.

Main Thrust Areas

(i) Modernisation of Existing Trades,

(ii) Maximum utilisation of Existing Infrastructure,

(iii) Creating facilities for Training of Instructors,

(iv) Creation of Post of Training and Placement Officer to facilitate placement of ITIpass-outs and to promote better interaction with industries.

(v) Implementation of Government decision to established ITIs at each Taluka andpromote women’s Participation in C.T.S. training.

(vi) Creation of additional Training facilities in the popular trades under Apprenticeship Act, 1961.

(vii)Creation of INTERNET facilities to develop better MIS.

The Training imparted in ITIs is skill oriented and in order to avoid any mismatchbetween what is taught and what is needed, a systematic plan to improve upon the existingtraining system was required to be evolved. Government of India in collaboration with

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World Bank has undertaken “Vocational Training Project” Phase II for skill developmentin ITIs and Maharashtra is participating in this project. Every care is therefore, taken tofund adequately every activity covered under this programme.

Replacement of deficient equipments in Existing ITI’s

The ITIs’ training is need-based and unless it is constantly updated, the same cannotbe of any use to the Industrial world. Updating of curriculum results in new requirement oftools and gadgets, shop outfits and machineries. Further normal usage of such tools lead totheir wear and tear which ultimately results in the need for new tools. Thus, technologicaladvance, revision of syllabi and normal wear and tear results in deficiency of tools andequipment. Outlay for Tenth Five Year Plan 2002-2007 is Rs.3082.00 lakhs, outlay forAnnual Plan 2002-2003 is Rs.786.26 lakhs.

Removal of deficiency of staff in existing ITIs.

Staff is created in ITI’s as per the norms laid down by DGE T in its training manual.The requirements of staff in ITIs are related to its strength and additional staff is required tobe created with the increase in intake. However, the required staff is not provided at thetime of establishing new ITIs as well as introduction of additional seats. A review of staffposition has revealed that teaching as well as non-teaching posts are required to be createdimmediately. Further to facilitate placement of ITI pass-outs and to promote their betterinteraction with industries, posts of Training and Placement Officer in each ITI in the Stateis created. Outlay for Tenth Five Year Plan 2002-2007 and Annual Plan 2002-2003 is Rs.200.00 lakhs and Rs.10.21 lakhs respectively.

Acquisition of Land

In order to acquire land for the construction of ITI buildings, an outlay of Rs.100.00is provided in Tenth Five Year Plan 2002-2007. The outlay for Annual Plan 2002-2003 isRs.17.06 lakhs.

Construction of workshops and Administrative buildings

At present, there are 347 Government ITIs out of which 95 institutes have their ownbuildings and workshops. An outlay of Rs.9273.00 lakhs is provided for Tenth Five YearPlan 2002-2007 and an outlay for Annual Plan 2002-2003 is Rs.4173.59 lakhs.

Construction of Staff Quarters

As per norms laid down by NCVT 50 percent of the staff is required to be providedwith residential facility. The provision of such facility is particularly essential because costlyequipment is installed in ITI workshops hence presence of some responsible staff membersis essential on the premises. Further ITIs normally work in two shifts and for maintainingpunctuality, provision of quarters for some essential staff is of utmost importance. An outlay

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of Rs.100.00 lakhs is provided for Tenth Five Year Plan 2002-2007. An outlay for AnnualPlan 2002-2003 is Rs.19.49 lakhs.

Construction of Hostel Buildings for Trainees

The Trainees of ITIs come generally from economically lower strata of the Society.

Many of the trainees come from their villages to undertake ITI training and do not findsuitable place to reside. NCTVT has also fixed norms according to which 20 percent ofthe trainees are to be provided with hostel facilities. An outlay of Rs.400.00 lakhs is providedfor Tenth Five Year Plan 2002-2007. An outlay for Annual Plan 2002-2003 is Rs.40.79lakhs.

Introduction of additional seats in existing ITI’s

In order to take proper care of certain skill areas in the context of technologicaladvancement as well as development in other sectors viz: Electronic Industry, creation ofTV transmission centres, Refrigeration and Air Conditioning, development of petro-chemicalcomplexes, Plastic technology as also to train manpower in the field of Electronics withparticular reference to Computer Service etc., about 50,000 additional seats are to beprovided for. An outlay for Tenth Five Year Plan 2002-2007 is Rs. 6735.00 lakhs. Anoutlay for Annual Plan 2002-2003 is Rs.403.36 lakhs.

Establishment of New ITIs

In order to reduce flow of unemployed youth to big cities, Government of Maharashtrahas decided to provide Vocational Education at Taluka level by establishment of ITI ateach Taluka level and to motivate them to start their employment/self-employment ventureincommensurate with local needs in rural area with the concept of disposal of industries tocope-up with the local needs and promote self-employment in each sector. An outlay inTenth Five Year Plan 2002-2007 is Rs.2498.10 lakhs. An outlay for Annual Plan 2002-2003 is Rs.275.75 lakhs.

Introduction of trade of more demand in lieu of trades of less demand

For arranging need based training programme and to establish a strong linkage betweentraining and employment opportunities, review of the training courses in different ITIsparticularly old ITIs, for starting new trades becomes essential. For introducing popularand upcoming trades in place of trades having less demand an outlay for Tenth Five YearPlan 2002-2007 is Rs.3911.00 lakhs and an outlay for Annual Plan 2002-2003 is Rs.120.87lakhs.

Expansion of Evening Classes for Industrial Workers

The scheme for imparting part-time training to industrial workers (evening classes)was initially introduced in the year 1950 in order to improve the theoretical knowledge ofthe industrial workers who could not get benefit of systematic institutional training. The

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training under this scheme is arranged in the evening and there are 12 such centres. Anoutlay of Rs.1.50 lakh is provided for Tenth Five Year Plan 2002-2007.

Opening of Book Banks

Outlay for Tenth Five Year Plan 2002-2007 is Rs.275.00 lakhs. Outlay for AnnualPlan 2002-2003 is Rs.52.80 lakhs.

Removal of Backlog

With a view to remove the remaining financial backlog for construction of AdministrativeBuildings and workshops under backlog programme, outlay provided for 2002-2003 isRs.3622.00 lakhs.

Apprenticeship Training Programme

The Apprenticeship Training Programme is implemented under Apprenticeship Act,1961 enacted by the Government of India under which training facilities in industrialestablishments and manufacturing process are to be utilised for the purpose of trainingcandidates in the skilled and semi-skilled areas. Govt. of India has already designated 128trades in the various areas such as Engineering, Chemical, Food, Agriculture, Electronics,

Textiles, etc. The training programme is divided in 3 phases (1) Basic Training (2)Shop floor Training and (3) Related Instructions. There are 48 Government and 64 privateBasic Training and Related Instructions Centres set up so far. The intake capacity of BasicTraining is 5921 and Related Instructions is 21,259. In Maharashtra State, 29000 seatsare located in 2288 industries and 20900 apprentices are undergoing training at present, invarious trades. Large number of chemical industries is coming up in the State and the BasicTraining and Related Instruction Centres where the Training is imparted in these trades arenot having sufficient tools and equipment for the purpose so also there is deficiency inequipment in printing trade. Facilities in the existing Basic Training and Related InstructionsCentres are inadequate. Outlay for Tenth Five Year Plan 2002-2007 is Rs.117.50 lakhs.Outlay for Annual Plan 2002-2003 is Rs.12.14 lakhs.

Direction and Administration (State Level) Strengthening of the Directorate ofVocational Education Training, Six Regional Offices, Establishment of Project Managementunit in the Directorate.

Training activities related to Craftsmen Training and Apprenticeship, etc. have increasedtremendously since last 2-3 decades. However, the Directorate is not adequatelystrengthened. For smooth and effective functioning of the organisation at State Level,continuous evaluation and monitoring is essential, to know any defects in the process andthe feed back which enable to take corrective action for maintaining both effectiveness andefficiency. For this purpose the offices of the Director and Regional Deputy Directors arerequired to be strengthened adequately. An outlay for Tenth Five Year Plan 2002-2007 isRs.55.00 lakh. An outlay of Rs.11.00 lakh is provided for Annual Plan 2002-2003 isRs.11.00 lakhs.

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Replacement of Worn-out Machine Tools and Modernisation of Equipment inexisting ITIs.

The machinery which is in use in ITIs, established prior to 1965, has gone old and haslost its accuracy due to normal wear and tear and is not keeping pace with the technologicaladvances which have taken place in last two decades. It is also affecting the training adverselyand the training imparted is not as per needs of industrial world. It has, therefore, becomea pressing need to undertake programme of replacement of machine tools and equipmentand its modernisation. A study undertaken in this regard has revealed that an amount ofRs.1351.40 lakhs will be needed to replace and modernise the machine tools and otherequipment in the 32 ITIs established prior to 1969. The programme of modernisation hasalready been initiated. Outlays for Tenth Five Year Plan 2002-2007 and 2002-2003 isRs.2187.90 lakhs and238.00 lakhs respectively.

Discretionary grants for Minor Works

Outlay for Tenth Five Year Plan 2002-2007 is Rs.250.00 and outlay for Annual Plan2002-2003 is Rs.40.00 lakhs.

Instructors Training Programme

In the field of Vocational Training updating of skills and knowledge is highly essentialto meet the challenge of changing technology and production techniques. Further, in orderto develop teaching skill training is essential to teachers. Therefore, one year durationTrade Instructors Training is given through Advanced Training Institutes. Refresher trainingprogramme in AVTS/AVIS Centres, special training programme arranged by CSTARICalcutta, Machine Maintenance Training etc. It is proposed to expose at least 400 instructorsevery year for short duration (6 to 12 weeks) Programmes.

Establishment of Research and Development Cell

As far as I.T.I. training is concerned, due to diversified nature of trades, the workrelated to development of training material, analysis of syllabii preparation of training aidsetc. being vast that separate cells for research and development activities and trade testingare essential. Many technical issues and problems arise in daily working. Such issues andproblems can be properly tackled through Research and Development Cells.

The outlay for ITI in Tenth Five Year Plan 2002-2007 is Rs.30651.00 lakhs and2002- 2003 is Rs.8913.16 lakhs.. This includes Rs.816.08 lakhs under TSP, Rs.56.66lakh under

SCP & Rs.3622.00 lakh for removal of backlog.

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3.3.3 C – Employment

Employment Services

The Employment Organization deals with rendering of Employment assistance toemployment seekers and collection of employment market information which is very usefulfor manpower planning like starting of training and technical education programme. Theoutlay in the Tenth Five Year Plan is Rs. 2498.00 lakh and the outlay for 2002-2003 isRs.212.07 lakh. The important schemes are discussed below:

Setting up of Employment Coaching-cum-Guidance Centres in Tribal Areas:-

At present, in 8 tribal districts such centres are functioning. An outlay of Rs.0.25 lakhis provided for 2001-2002 and Rs.7.26 lakh for Annual Plan 2002-2003 and the outlayfor Tenth Five Year Plan 2002-2007 is Rs.282.80 lakh.

3.3.4 D- Special Employment Scheme

Sanjay Gandhi Swavalamban Yojana

This scheme is in operation since 2nd October 1980 and it gives coverage to botheducated and uneducated, unemployed/underemployed persons who are not able to getfinancial assistance from Banks or other financial institutions because of their inability toprovide adequate security or margin for loans. The scheme envisages grant of interest freesmall loans not exceeding Rs. 2500 to the needy persons so as to enable them to have againful employment/ self-employment by setting up their own ventures in small trade /business/ services/ tiny industry etc. An outlay of Rs.1362.00 lakh is provided for TenthFive Year Plan 2002-2007, out of which Rs.284.57 lakh is for the Annual Plan 2002-2003.

Tribal Sub Plan

Under the Labour & Labour Welfare Sector, total Tribal Sub Plan outlay providedfor 2002-2003 was Rs.836.41 lakhs and Rs.37.24 lakhs for Annual Plan 2002-2003.

Special Component Plan

Under the Labour & Labour Welfare Sector, Special Component Plan outlay providedfor 2002-2003 was Rs. 156.86 lakhs and Rs.155.16 lakhs for Annual Plan 2002-2003.

3.4 WELFARE MEASURES – VOLUNTARY

ALL INDIA ORGANIZATION OF EMPLOYERS AWARD

All India Organization of Employers, an allied body of FICCI has been serving thecause of Indian enterprises by promoting sound industrial relations and better understandingbetween employers and workers on the mutuality of interests, for about 75 years AIOE,

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which celebrated its Golden Jubilee in 1983, had instituted an award for outstandingcontribution in the field of industrial relations. The Award, which is open to companies, willbe given for innovative work done in the field of industrial relations. The concept ofOutstanding Organisation - Industrial Relations will include innovative approaches to fosterharmonious industrial relations through bipartite mechanism, reducing conflicts and Mandayslost and promoting employers’ welfare and development avenues, contributing to highermotivation, morale and productivity improvement. The quality of industrial relations climateor environment in the place or area in which an establishment operates, will also be adeciding factor while judging the performance. Eligibility for Award, criteria and generalguidelines, will be the same as given for FICCI awards. The Award is a plaque withsuitable citation.

AWARD SPECIFIC INFORMATION

OUTSTANDING ORGANISATION - INDUSTRIAL RELATIONS

Besides the General Information of the organization, the following Award SpecificInformation should also be submitted:

• Nature of Activity-manufacturing, trading, investment, etc.

• Number of establishments

• Information about history of the organisation, various stages of its developmentand evaluation of industrial relations practice over last 10 years.

• Whether resort is taken to bipartite collective bargaining with properly recognizedunions.

• Number of unions & unionised workforce.

• No. of Strikes & lockouts and their intensity – mandays / manhours lost &production loss during last five years

• Copy of agreements to indicate whether industrial peace is bought or there is agive & take.

• Productivity improvement initiatives and result achieved.

• Latest agreement that the nominee might have entered into with their recognizedunions may also be furnished.

• Welfare measures and training initiatives taken by the company for employee’sdevelopment.

• Stresses and strains, if any, through which industrial relations have gone at anyperiod during the running of the company.

• Number of Industrial Disputes pending

• Information about grievance machinery set up by the management at various levelsfor redressal of genuine grievances of workers.

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• Whether Works Committees have been set up: if so, details about their composition,functioning and settlement of issues referred to it.

• State of industrial relations in the place/area in which the industrial establishmentsof the applicant are situated and impact thereof if any, on the industrial relationssituation of the company.

• Voluntary welfare measures initiated by the company.

• Whether the company has initiated steps towards involving workers’ in variousdecision making process.

• Formal as well as informal forums & number of committees.

• The system of communication adopted with employees & its relevance in theindustrial relations.

• Record of the company with reference to various clauses of standing orders.

PAST AWARD WINNERS

2004-05 The Arvind Mills Ltd, Ahmedabad

2005-06 Gujarat Alkalies & Chemicals Ltd, P. O. Petrochemicals, Dist:Vadodara, Gujarat

2006-07 T V Sundaram Iyengar & Sons Ltd, Madurai, Tamil Nadu

STATUATORY WELFARE MEASURES

Introduction

3.5 STATUTORY WELFARE

After Independence the Government of India passed several acts, e.g., the FactoriesAct, the Employees State Insurance Act, the Minimum wages Act, the Payment of WageAct, and the Industrial Dispute Act, to ensure fair deal employees in various aspects oftheir jobs. We will concern ourselves with the Factories Act and Employees State InsuranceAct. An attempt will be made to briefly describe them and then comment on them.

The Factories Act 1948

The Factories 1948, was conceived in 1881 when legislation was enacted to protectchildren and to provide health and safety measures. In 1911, the hours of work wereregulated and incorporated in the act. In 1934, following the recommendations of theRoyal Commission of Labour, the act was amended. A more comprehensive legislation toregulate working conditions replaced the act in 1948.

The 1948 amendment lays down basic minimum requirements for the safety, healthand welfare of factory workers. In is applicable to industries and factories in India employing10 or more persons and using power. Industries and factories not using power but employing20 or more persons on any day of the preceding 12 months are covered by the act. Mined

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and plantations are excluded because they have their own legislations. Although the act isa central legislation, state governments administer and enforce it through their inspectorates.

The Factories Act, 1948 comprises 11 chapters and 120 sections with a schedulelisting notifiable diseases. Sections 42 to 50 of the Factories Act, 1948 list the statutorywelfare measures to be provided for the welfare of its workers. They are as follows: Thenumber mentioned in the left extreme are the actual section number as found in the Act.

Section 42. WASHING FACILITIES

1) In every factory

(a) adequate and suitable facilities for washing shall be provided and maintained forthe use of the workers therein;

(b) separate and adequately screened facilities shall be provided for the use of maleand 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 factoriesor of any manufacturing process, prescribe standards of adequate and suitable facilitiesfor 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 places for keeping clothing not wornduring 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 maintainedfor all workers obliged to work in a standing position, in order that they may takeadvantage of any opportunities for rest which may occur in the course of theirwork.

2) If, in the opinion of the Chief Inspector, the workers in any factory engaged in aparticular manufacturing process or working in a particular room are able to dotheir work efficiently in a sitting position, he may, by order in writing, require theoccupier of the factory to provide before a specified date such seating arrangementsas may be practicable for all workers so engaged or working.

3) The State Government may, by notification in the Official Gazette, declare that theprovisions of sub-section (1) shall not apply to any specified factory or class ordescription of factories or to any specified manufacturing process.

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Section 45. FIRST AID APPLIANCES

1) There shall in every factory be provided and maintained so as to be readily accessibleduring all working hours first-aid boxes or cupboards equipped with the prescribedcontents, and the number of such boxes or cupboards to be provided andmaintained shall not be less than one for every one hundred and fifty workersordinarily 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 responsibleperson who holds a certificate in first-aid treatment recognized by State Governmentand 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 employedthere shall be provided and maintained an ambulance room of the prescribed size,containing the prescribed equipment and in the charge of such medical and nursingstaff as may be prescribed and those facilities shall always be made readily availableduring the working hours of the factory.

Section 46. CANTEENS

1) The State Government may make rules requiring that in any specified factory whereinmore than two hundred and, fifty workers are ordinarily employed, a canteen orcanteens shall be provided and maintained by the occupier for the use of theworkers.

2) Without prejudice to the generality of the foregoing power, such rules may providefor –

(a) the date by which such canteen shall be provided;

(b) the standards in respect of construction, accommodation, furniture and otherequipment 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 theworkers in the management of the canteen;

(e) the items of expenditure in the running of the canteen which are not to be taken intoaccount in fixing the cost of foodstuffs and which shall be borne by the employer;

(f) the delegation to the Chief Inspector, subject to such conditions as may beprescribed, 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 ordinarilyemployed, 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 anycanteen maintained in accordance with the provisions of section 46 shall beregarded as part of the requirements of this sub-section : Provided further thatwhere a lunch room exists no workers shall eat any food in the work room.

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(2) The shelters or rest rooms or lunch rooms to be provided under sub-section (1)shall be sufficiently lighted and ventilated and shall be maintained in a cool andclean condition.

(3) The State Government may –

(a) prescribe the standards in respect of construction, accommodation, furnitureand other equipment of shelters, rest rooms and lunch rooms to be providedunder this section;

(b) by notification in the Official Gazette, exempt any factory or class or descriptionof factories from the requirements of this section.

Section 48. CRECHES

1) In every factory wherein more than thirty women workers are ordinarily employedthere shall be provided and maintained a suitable room or rooms for the use ofchildren under the age of six years of such women.

2) Such rooms shall provide adequate accommodation, shall be adequately lightedand ventilated, shall be maintained in a clean and sanitary condition and shall beunder 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 this section applies of additionalfacilities for the care of children belonging to women workers, including suitableprovision of facilities for washing and changing their clothing;

(c) requiring the provision in any factory of free milk or refreshment or both forsuch children;

(d) requiring that facilities shall be given in any factory for the mothers of suchchildren to feed them at the necessary intervals.

Section 49. WELFARE OFFICERS

1) In every factory wherein five hundred or more workers are ordinarily employedthe occupier shall employ in the factory such number of Welfare officers as maybe prescribed.

2) The State Government may prescribe the duties, qualifications and Conditions ofservice of officers employed under sub-section (1)

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Section 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 welfareof workers as may be prescribed, any factory or class or description of factoriesfrom compliance with any of the provisions of this Chapter;

(b) requiring in any factory or class or description of factories that representatives ofthe workers employed in the factory shall be associated with the management ofthe welfare arrangements of the workers.

3.6 NON-STATUTORY WELFARE MEASURES

As earlier stated, welfare in India can be classified as statutory. Statutory welfarecomprises those provisions whose observance is binding on employers by law. Theserelate to certain essential working conditions and standards of health. Non - statutorywelfare, on the other hand, concerns those activities which are undertaken voluntarily byemployers, e.g., housing, education, recreation, transportation and cooperatives.

3.6.1 Non-statutory Welfare in Indian Industry: Some Examples

Although the variety of non-statutory welfare activities sis large, their effectiveness inachieving productivity is not very well established. Most organizations in India either havecontributed money to these activities or have recycled the contributions of workers tomaximize welfare programmes for them. We will present examples from them. We willpresent examples from three organizations-one each from the public sector, the privatesector, and a multinational-to indicate the extent of non-statutory welfare provided.

Bhilai Steel Plant Non-statutory welfare programmes in the Bhilai steel Plant (BSP)initially emerged because of its geographic location. Housing was the main problem. ThoughBSP undertook extensive construction programmes, it also provided loans to its employeesto construct their own houses. Medical and educational facilities followed.

BSP now has a 520-bed hospital with the most modern facilities. Persons sufferingfrom cancer or requiring artificial limbs are sent out to other hospitals with an escort andthe expenses are reimbursed. BSP spends Rs 3 crores annually on this operation. Thereare 40,000 children receiving free education with 1,800 teachers on the roll. Care, scooter,and cycle loans are easily available with long-term interest –free payment plans. BSP alsosupports and Bhilai Cooperatives. It has also initiated a village adaptation scheme.

3.6.2 Comments on Non-Statutory Welfare

Although many non-statutory welfare activities either started as paternalism or onaccount of the aggressiveness of unions in India, the workers and unions today take themvery seriously as an important compensation for their work. In some cases they havealmost become property rights and any hint of eliminating them causes serious concern andfrustration among the workers, often leading to go-slows, gheraos, and strikes. Themanagement, thus, has to be concerned with the efficacy and cost of non-statutory benefits.

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Non-statutory welfare activities are more difficult to budget than salary. They oftenturn out to be more expensive than had been visualized. Under such circumstances, themanagement becomes extremely critical of this activity.

3.6.3 Non-Statutory Welfare: A Model

A new model is suggested to orient non-statutory welfare activities from a differentperspective. The purpose is to make such activities more meaningful for organizationalproductivity. It should be clarified at the outset that management is concerned withproductivity and not job satisfaction. A general fallacy is that job satisfaction and productivityare synonymous, or that high job satisfaction will lead to high productivity. Evidence, infact, points to the contrary. The two are very different and one does not necessarilydetermine the other. In fact, even the conditions that determine the two are very differentand one does not necessarily determine the two are very different.

1. Personal adjustment of worker.

2. Nature of work.

3. Relationship with other workers.

4. Nature of supervision.

5. Company’s set –up and its relationship with unions.

6. The social status of his job in the community.

Productivity, on the other hand, has been found to be determined largely by thequality of be determined largely by the quality of machines and raw materials, R&D, industrialrelations, institutional set-up, ability and skills of work force, incentive systems, etc.

Individuals are motivated to achieve certain goals which result in satisfaction.Productivity is seldom a goal itself but is more a means to goal attainment. In most cases,productivity and job satisfaction are unrelated except when productivity is perceived as apath to certain important goals. Thus job satisfaction is more broad-based and encompassesvarious conditions and situations and sometimes productivity it also included in it. However,the bulk of the evidence suggests no relationship between job satisfaction and productivity.Since productivity is of prime concern to an organization, we will deal here with productivityand not with job satisfaction.

Publications on non-statutory welfare in Indian industry are meager, hence not mushis known of the expenditure incurred by industries. Most of the data available are anamalgam of the expenses of both statutory and non-statutory welfare activities. The reportof the Committee on Labour Welfare cites some figures on the expenditure incurred byvarious steel plants and railways on non-statutory welfare activities.

The major welfare activities of railways are housing, education, co-operatives, andco-operative credit and store. In addition, health resorts and holiday houses are provided.

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Over the last 15 years, starting 1951, the average expenditure on staff welfare has increasedfrom Rs 34 per employee in 1950-51 to Rs 148 per employee in 1966-67. In 1966 - 67.It constituted approximately 0.6 per cent or the total cost of staff for as many as 13.6 lakhemployees. In other words, an expenditure of about Rs. 20 crores on non-statutorywelfare.

Why has such heavy expenditure been incurred on something not directly related toproductivity? Goyal suggests that these are investment in men which are expected to bringa change in their attitude, which may in turn be reflected in turnover and absenteeism.They are compensations, or a price to reduce the worker’s alienation from work.

The model that is followed for non-statutory welfare is represented below:

Company satisfaction is a state of positive feeling towards the company, a feelingexpressed in loyalty, faith and an attitude that the company is concerned with the welfare ofits employees. This maintains that welfare activities will generate company loyalties, andassumes that such allegiance will lead to productivity. It is a paternalistic approach. Thenon-statutory welfare provisions, thus, are made to generate a pride and satisfaction withthe organization, an organization which is generous enough to be concerned with the “careand well-being of its employees.

Although increased productivity is one of the objectives of non-statutory welfare inIndian industry by and large, the motivation for such measures has been philanthropic; afeeling that workers suffer from poverty and need to be cared for. It is felt that if theyare properly looked after they will be loyal to the company.

Thus, non-statutory welfare has been perceived to being allegiance to the organizationto being allegiance the organization that has bestowed facilities to the employees. Theassumption generally has been that increased allegiance and loyalty to the organization willresult in high productivity. Even if we assume that there is a high positive correlationbetween company satisfaction and productivity is not all that obvious.

Is satisfaction with the company or company loyalty and allegiance a passport to highproductivity? The answer is not very clear cut. Several surveys and studies on therelationship between company satisfaction and productivity have given very inconsistentbetween the two while others have found some indication of a positive relationship mediatedthrough moderator variables.

Thus, in the existing model, through it may be true that non-statutory welfare canlead to high company satisfaction; it is doubtful if high company satisfaction will necessarily

Non-statutory Welfare

Company Satisfaction

Productivity

NOTES



lead to high productivity. Hence, if the concern is with increasing productivity, the existingmodel has to be modified. The model suggested here reverses the position of productivityand company satisfaction. The new model is represented below:

This model suggests that non-statutory welfare will directly influence productivity.Once this relationship is established, high productivity may lead to high satisfaction.

Non-statutory welfare, in addition to providing the usual social benefits, should belinked with such concepts as workers’ participation and job enrichment. This call for ashift in emphasis. Let an increase in productivity be not the indirect function of welfare buta direct outcome of this measure. The concept of welfare has to be delinked from socialservice. It has to be broad based to include job contents. Most welfare measures havebeen concerned with job context activities. If organizations are genuinely interested in theworkers’ welfare, they have to provide meaning in their jobs by increased participationand greater discretion and variety.

Despite variations in the interpretation of workers’ participation, there is consensusthat participation means sharing an appropriate manner, the decision-making power withthe lower ranks of the organizations. Such a process will elicit greater “we feeling” andinvolvement in the work. Thus the worker will be encouraged and be able to contribute tothe overall effectiveness of the organization. There are indications of the viability of such aproposition. In a cross cultural study, Holter has reported industrial experiments in USA,UK, and India (Engineering, Coal Mining and Textile Industries, respectively) showingthat the democratic sharing of power at the lower grades of industrial, workers can bestable and effective because it furthers the ends of both employees and employers.

Job enrichment as a process of making a job more meaningful has caught the attentionof a large number of industrial organizations. Job enrichment has the potential to enhanceproductivity and employee satisfaction if changes in jobs are perceived as opportunitiesrather than as demands. As a process of making a job more interesting and providingopportunities for achievement and growth, it concerns discretion and contents of the job.Increase in both leads to variety, les, boredom, and less alienation. Experience with thisprocess in both Indian and foreign industries have been very encouraging6. It has showna definite increase in productivity and employee morale.

If the concept of welfare is to be extended to include job content orientations, itsviability for increased productivity will be enhanced manifold. On the other hand, its purposeof decreasing alienation – both physical and psychological – and increasing the generalwell – being of the working population can be more meaningfully achieved.

Productivity

Non-statutory welfare

Company satisfaction

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3.7 WORK ENVIRONMENT

Two important factors have potential to affect the performance of a job: provision ofappropriate working conditions and the physical environment? A word of caution isnecessary here. When changes are brought about, tow things might happen: there is achanged environment: and there is a response to change in general. The second is oftenalso called “the Hawthorne effect”. This means that a change in physical working environmentbrings about a temporary improvement in morale leading to increased productivity. This isa response to change in general and should not take as a response to specific changes.Hence a manager has to be careful in generalizing from the temporary increasing inproductivity.

An interesting example is seen in the classical Hawthorne experiments conducted inthe 1930’s in the Western Electric Plant by Roethlisberger and others. One of the twoequated groups of workers worked under three different illumination intensities (24; 46and 70 foot candles), while the other group (control group) worked under a more or lessconstant illumination level of 16 – 28 foot candles. The test resulted in very appreciableproduction increases almost identical in magnitude in both groups. The differences in theefficacy of the two groups were negligible. This was explained in terms of the fact thecontrol group preformed as well as the experimental group because it perceive itself to bethe chosen group and the one in which the management was interested. This interpretationwas responsible for the development of a favorable attitude and the consequent desire toperform at maximum capacity even in low illumination.

Various features of physical environment have been manipulated in both field andlaboratory experiences to understand their effect on output. Such physical features asillumination, noise, vibration, colour and music have been experimented with extensively.We will discuss illumination and noise to give an idea of their impact. The discussion willtake into account research generalization without going into details of methodology.

Illumination daylights is the best illumination for work. In absence of daylight, artificiallight is needed. However, if this artificial light does not approximate daylight it might put asevere strain on the eyes.

Two characteristics of light have been found to be important-intensity and distribution.The intensity of light should vary according to the nature of the task.

Tasks requiring precise manipulation require more intense illumination than tasksinvolving the manipulation of large objects. Distribution of light is equally important. Asituation where illumination covers the total work environment rather than concentrating asingle aspect of the work area is better. In the case of the latter, whenever the visual fieldis shifted to a poorly illuminated surrounding, it dilates the pupils. Excessive papillaryactivity causes fatigue and eye strain.

NOTES



Noise is generally considered a destructor. When the noise level is high an employeehas to concentrate more or exert greater efforts to perform. Similarly, if the noise isintermittent greater efforts are required unlike in a situation where it is constant. In fact, theconstancy of noise reduces its distracting characteristic and the person adapts himself to itmore easily. In such cases sudden silence may become more distractive than continuousnoise. However, if noise is part of the work it does not affect workers as much as it doeswhen it is extraneous. A typist, for example, may not find the clatter of the typewriterdistracting unlike the person sitting next to him. In addition to illumination and noise, suchfactors as colours, vibrations and music have also been found to affect performance.Whether it is noise or bad illumination, the maintenance of productivity is at the expense ofthe worker. He must exert additional efforts to maintain his output. Noise and badillumination, for example, lead to increased muscle tension and metabolic rate. Thephysiological change brings about accumulation of waste products and depletion ofcarbohydrate reserves leading to fatigue with a consequent effect on output.

The following section will look briefly at fatigue and boredom as effects of increasedillumination, noise, vibration, etc.

Fatigue and boredom both fatigue and boredom is important phenomena because oftheir affect on industry. Their effect often becomes apparent in increased spoilage anddecreased output in addition to a greater possibility of accidents and high absenteeism.

Fatigue is rather complex to understand, particularly because muscular fatigue, whichis an effect of prolonged muscular activity, may not correspond with the subjective feelingof fatigue. Thus a person fatigued physiologically may not feel tired and may continue towork and maintain his normal level of productivity because of his strong motivation anddesire to complete his work. Conversely, a poorly motivated person may get a subjectivefeeling of fatigue and his out put may reduce. An age-old method to measure the effect offatigue is to plot the output curve every half an hour. The curve every half an hour. Thecurve will show an initial “warm up” period rising to peak performance and then a steadydecline in output suggesting that finally fatigue is setting in. This method is useful whereoutput can be plotted as in piece-rate jobs with countable units. White collar, secretarial,and other jobs do not lend themselves to this analysis. Therefore, the existence of fatiguehas to be verified differently.

The physiological component of fatigue is usually measured by a device called anergo graph which consists of a recording system with a cord for suspending weight. Teweight, which can be increased or decreased, is pulled by the individual using one finger.The recording called an ergogram shows the changes in performance.

The reduction of fatigue is of extreme practical importance to industry. Several methodshave been tested and operated to alleviate fatigue. Since people have different fatiguelevels, efforts are made when selecting and place individuals, to minimize fatigue by reducing

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the length of work periods, introducing several rest pauses, job rotation, job enrichmentand work teams. Boredom, sometimes referred as “mental fatigue” refers to the subjectiveaspect of fatigue.

It results when an activity is perceived to be boring, monotonous, repetitive, and notrequiring much attention. Boredom is highly specific, unlike fatigue. Fatigue is generalized.A physically tired person will not be able to carry out any other work effectively while abored person may show tremendous increase in output because of a change of job. Thecharacter of the work determines, to a large extent, the feeling of boredom. Less challengingjobs demotivate the individual induce boredom.

Some of the measures to reduce boredom have been limited by varied factors suchas the level of intelligence, complexity of the task, and the personality of the employee.Extroverts tend to experience boredom more easily because of their dependence on outsidestimulation, while older employees and those who prefer regularity in their activities areless bored doing repetitive work. Work that does not provide job satisfaction in mostcases has been found to cause boredom. Again, job enrichment, worker’ participation,job enlargement, etc., are some of the ways to increase both job satisfaction and productivity.

3.7.1 Arousal Hypothesis

Variations in performance because of variations in the elements of the work environment,subjective feeling of the work environment, subjective feelings of fatigue and boredom areoften explained in terms of an individual’s need for stimulation. All living organisms arestimulus-seeking. At the lower levels this tendency is characterized by the desire to reproducewhile at the higher levels in the phylogenic scale, it shows no maintenance function. Yetnovelty, complexity, change, etc., catch our attention and could our behaviour.

Several research studies have shown that living organ isms brought up in enriched, ascompared to impoverished environments, show marked changes in abilities and skills. Forexample, a longitudinal study conducted on the intellectual development of adopted orphansin Beirut showed that while in the orphanage their I.Q. remained at approximately 50(showing a very show growth rate of intelligence), on adoption by families their intelligencedeveloped at a normal rate. The stimulation by way of attention in adopted homes wasfound to explain the normal growth of intelligence.

In our day-to-day life we find several examples of stimulus-seeking behavior amongindividuals such as changing the physical arrangements in the house or office, the hippieculture, smoking, and movie-going. An important aspect of this behaviour is that individualsshould maintain stimulation or tension within a certain range to function at an optimal level.This range varies from person to person. Some stimulation is necessary but an excess ofit causes pain, distraction, demotivation, and a drop in performance. This is shown in thefollowing figure.

NOTES



As shown in the figure, increasing stimulation leads to increased output, out only up toa point. Beyond this, increase in stimulation lead to decrease in performance. Thus therelationship between performance and stimulation is curvilinear. Changes in workingenvironment can bring about an increase in output if these are carried to an extreme theycan influence output negatively. Some illumination, noise, colour, etc., may be good foroutput but an excess of the same can be good for output but in excess the same canproduce negative effects. The explanation is simple. Man wants to control his environmentsand also the degree of stimulation he is exposed to – in this case his work environment,e.g., when this control is out of his hands it is illumination, noise flow of raw material, etc.hardly a source of enjoyment.

3.8 LABOUR WELFARE FUNDS

3.8.1 Tripartite Labour Welfare Fund Advisory Committee

With a view to catalyze labour welfare activities, a separate tripartite advisory committeehas been constituted by the government both at the Central and State level under eachlabour welfare fund scheme. At the central level, the scheme is looked after by the unionministry of labour. The state advisory/committee is headed by the concerned State LabourMinister. Most of the welfare activities are organized directly by labour welfare organizationsfor undertaking welfare work, adequate financial assistance is made available to them andthe employers through subsidies

Level of assistance

The central Government has taken several steps to streamline the various welfareactivities with a view to increase their “welfare Content” and extend their coverage. Thereport of the task force appointed by the government for looking into the problems oflabour welfare was examined by a high level empowered committee. It look a series ofdecisions for enhancing the scope of welfare activities. One of the importantrecommendations of the Committee was that the various welfare schemes undertakenagainst different welfare funds need to be adequately financed by the government.

Labour Welfare Facilities under Welfare Funds

The annual reports of Ministry of labour have given a detailed account of variouslabour welfare facilities made available to workers under different welfare funds. A gist ofwhich is discussed here in somewhat detail.

(a) Assistance of Medical Facilities: There exist a elaborate system under whicha variety of medical facilities are provided to mine workers.

(b) Assistance for Educational Facilities: The worker’s education and trainingbeen recognized as one of the key areas of labour welfare. In the changed socio-economic milieu, in the recent past, the need for effective educational programmesfor working class in general and that of women, ST/SC workers in particular, hasincreased manifold. It is heartening to note that the government has well – respondedto this need of workers, which obvious from the fact that during 1993 – 94 as

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much as Rs. 455.99 lakhs were incurred on this head from the labour welfarefund. As a result of this, 1,38,427 beedi, mine and cine workers were benefited.

(c) Assistance for Recreational Facilities: With a view to cater recreationalrequirement of workers, the labour welfare organization provides a variety ofrecreational and cultural facilities to them through a Multipurpose Institute (MPI)and Development Multipurpose Institute (DMPI) and Welfare Centers. The labourwelfare activities undertaken by these institutes include:

(1) Education of children and adults.

(2) Sports and games for adult and children.

(3) Motivation or workers.

(4) Mid-day meals to children.

(5) Training for female dependants of miners in tailoring and embroidery

For the recreation miners and beedi workers during 1922 – 93, a sum of Rs.11.89lakhs was incurred on various recreational activities.

(d) Assistance for Housing Facility: Under the various welfare programmes, toppriority is accorded to housing facilities. Towards this end, the financial assistanceis given to workers under all the housing schemes. Besides this, and additionalsubsidy of Rs. 1700/- is also made available to workers under “Build your ownhouse” scheme for beedi and mine workers. The workers who have adopted aplanned family aso enjoy a corresponding reduction in the loan liability.

ILO/UNFPA Assisted Project on Family Welfare Education

An ILO/UNFPA assisted project on family welfare education for Beedi workers isunder implementation in the major beedi producing, states namely Madhya Pradesh, UttarPradesh, Orissa and the West Bengal since February 1992. The main features of projectas specified by the annual report of Ministry of Labour 1944 – 95 are as under.

(a) “The abject of the project is to educate, motivate and provide health and familywelfare services to the Beedi workers and their families through the 58 dispensariesbeing run in these States under the Beedi Workers’ Fund. The target is to bringabut improvement in couple protection rate by 25% of the level existing at the startof project and to meet the national goal of 60% protection and net reproduction ofone by 2000 AD.

(b) Field workers numbering 390, have been selected from amongst the Beedi Workerstrained and deployed under the project. Refreshing training has also been impartedto them. Further, 900 TBAS (Training Birth Attendants) have been identified andare being trained. Dispensable delivery kits are being procured from DWACRA(Development of Women and Children in Rural Areas) groups fro supplying to theTBAS have also been trained under the project; health camps are also beingorganized at the dispensaries. Fifty – four Mahila Mandals have been formed at allstatic and static – cum – mobile dispensaries. The workers are holding monthlymotivational meeting. Along with stress on also been included in the project.”

NOTES



State Welfare fund Scheme

Certain state governments have created welfare funds for the benefits of differentcategories or workers.

Group Insurance Scheme of LIC for Unorganized Labour

The Life Insurance Corporation of India has implemented a social security schemefor unorganized workers in Twenty – three occupations, by creating a social security fundfrom its contribution and that of Government of India. The occupations which are coveredunder the scheme are:

(1) Beedi Workers

(2) Brick – Kiln Workers

(3) Carpenters

(4) Cobblers

(5) Fishermen

(6) Hemals

(7) Handicraft Artisans

(8) Handloom Weavers

(9) Handloom and Khadi Weavers

(10)Lady Tailors

(11)Leather and Tannery Workers

(12)Physically Handicapped Self-employed Persons

(13)Primary Milk Producers

(14)Risckshaw Pullers/Auto Drivers.

(15)Safai Karmacharis

(16)Salt Growers

(17)Tendu Leaf Collectors

(18)The Urban Poor

(19)Forest Workers

(20)Sericulture

(21)Toddy Tappers

(22)Powerloom Workers

3.8.2 Conclusion

Prof. Krakaldy observed, “The whole field of welfare is one in which much can bedone to combat the sense of frustration of the industrial worker, relieve him of personaland family worries, to improve his health, to afford him a means of self-expression, to offer

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him some sphere in which he can excel all others. If within the field of welfare and particularlythat part of which comprises sports and games a large measure of self-government can beleft to the workers, even in the management of facilities provided by the employer , a senseof responsibility, imitative and co-operation can be fosterd and often among those whosedaily tasks afford them the least opportunity of developing characteristics so essential toindustrial enterprise and wise citizen.

Labour welfare has tremendous potentialities for fostering good industrial relations inIndia. Hence, we knight use scientific procedures for labour welfare and organization andthe labour force must be directed in right channels in our fast developing technologicalmachinery.

“Ignorance, ill-health and dirt are the three giants” labour warfare ahs to fight in thehome life, personal life, work life and community life of the workers. They have to befought our steadily on all sides. In the coming years, the labourers shall be made mightierthan the machine with which he works, more fruitful than the dust on which he treads andricher that the earth into which the digs.

Decent wages, adequate perquisites, and safe and clean work environment are basicto all other actives in the area of human welfare, and therefore, the enterprises whichreduce the wages bill on these counts are sure to lose the goodwill of employees.

3.9 WORKER’S EDUCATION AND TRAINING SCHEMES

3.9.1 Worker’s Education: Concept

“Workers; education” connotes different meanings for different countries on accountof developmental, cultural and historical reasons. For instance, in the United States ofAmerica, workers’ education is considered as synonymous with training in trade unionleadership whereas “the U.K., it covers trade unionism, in general, adult education, andvocational education. In many Western European countries, the term, “workers’ education”refers to education in citizenship (folk schools in Denmark, Laven schools in Germany). Indeveloping countries like India, the term, “workers’ education” is used in its widerconnotation and aims at making the worker a better operative, a better union member anda better citizen.”

In the words of William Flayed, “workers’ education” is an attempt on the part oforganized labour to educate its own members under an educational system in which theworkers prescribe the courses of instructions, select the teachers and in a considerablemeasure, furnish the finance.”

In this context, Florence Peterson observed: “The term workers’ education, ascommonly used, is not a generic term but has specific connotation. It is a special kind ofadult education designed to give workers a better understanding of their status problems,rights and responsibilities as workers, as union members, as consumers and as citizens.”

NOTES



On the basis of analysis of various conflicting concepts of workers’ education, someof its notable features that have been identified are as under:

i. The scope of workers’ education is much wider than that of trade union educationbut is narrower than that of adult education.

ii. The workers’ education is designed to create trade union consciousness amongworkers, besides making them good citizens and training them to understand theirstatus, rights and responsibilities.

iii. In workers’ education, the workers themselves prescribe the curriculum and selectthe teachers who have full sympathy with the working class.

iv. The institutions providing workers’ education are owned, financed and managedby the workers.

v. It is aimed at increasing the bargaining power of trade unions and making theworking class more sensible and cooperative.

vi. It differs from vocational and professional education, for its main aim is to train aworker for his group advancement and increasing individual creativity, whereasvocational and professional education aims at individual development.

vii. The approach in workers’ education is psychological and philosophical.

viii. It includes general education, vocational education, technical education, socialeducation and training in trade unionism.

3.9.2 Objective of Workers’ Education

The basic objective of workers’ education is to make the worker an efficient individual,disciplined trade union member and an intelligent corporate citizen, so that he plays a vitalrole in the socio-economic development of the country. Traditionally, workers’ educationprogramme can be viewed as one which intends to strive for objectives like:

(i) To foster workers” loyalty towards the union and imparting the necessary trainingto them for intelligent and efficient participation in union activities. Besides teachingthem trade union dynamics, history etc., which they need to know as trade unionmembers.

(ii) To develop the worker for good and respectable civic life.

(iii) To promote among workers a greater understanding of the problem of the country’seconomic environment and their privileges, rights and obligations as union membersand citizens.

(iv) To develop trade union leadership from among the rank and file thereby keepingthe union away from the clutches of politicians, leading to democratization of tradeunion administration.

(v) To familiarize the workers with the capitalist culture and philosophy this is the soulof modern industrial system.

(vi) To inculcate among workers a better understanding of their duties responsibilitiesand intricacies of work, so that they can effectively carry out their jobs.

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(vii)To enable the worker to realize the purpose of human life and raise him to theheight of achievement.

(viii)To equip organized labour to take its place in a democratic society so that it playsa dominant role in the process of economic development and fulfils effectively itssocial and economic functions and responsibilities.

In the view of National Commission on Labour, workers’ education should make aworker.

(a) A responsibly committed and disciplined operative;

(b) To understand the basic economic and technical aspects of the industry and theplant where he is employed so that he can take an intelligent interest in its affairs;

(c) Aware of his rights and obligations;

(d) To understand the organization and functioning of the union as well as developqualities of leadership, loyalty and devotion to trade unionism, so that he mayintelligently participate in the affairs of his union;

(e) To lead a clean and healthy life based on a firm ethical foundation; and

(f) To make the worker responsible and alert citizen.

3.9.3 Techniques of Workers Education

The workers’ education programmes may be organized in the industry premises itself.The workers may also be given practical training in the field. The extension work too, mayform a part of the programme of workers’ education.

The techniques employed in imparting workers’ education are:

(i) General lectures, delivered in simple, direct and unambiguous language;

(ii) Discussions on the topics/issues involved;

(iii) Organization of study groups; and

(iv) Correspondence course.

Besides, these modern teaching methods are also deployed and for this purpose, anumber of educational aids can be used-video tapes, films, film strips, recordings, pictorialcharts, flash cards, posters, graphs, maps and diagrams, wall newspapers, etc.

The demonstrations, talks, tests, seminars, debates, role-playing, symposia, case studiesand two-way communication methods are also encouraged. The educational visits andstudy tours of the trainees to union offices, factories and multipurpose projects are importantaspects of workers’ education.

3.9.4 Workers’ Education in India

In India, where the level of general education is low and trade unions suffer from anumber of maladies, the scope for workers’ education is very great. The maintenance of

NOTES



industrial peace and harmony, the development of healthy labour management relations,quality of citizenship, awareness of one’s rights and responsibilities, and the need for thedevelopment of solidarity among workers – these call for a varied programme of workers’education which the resources at the disposal of the trade unions cannot undertake.

These qualities on the part of the workers would be forthcoming more easily if theyare made better workers and better citizens through a programme of workers’ education.

The Royal Commission on Labour remarked thus; “In India, nearly the whole massof industrial labour is illiterate, a state of affairs which is unknown in any other country ofindustrial importance. It is almost impossible to overestimate the consequences of thisdisability, which are obvious in wages, in health, in productivity, in organization and inseveral other directions. Modern machine industry depends in a peculiar degree oneducation, and the attempt to build it up with an illiterate body of workers must be difficultand perilous. We would emphasize the fact that precisely because of this; the education ofindustrial labour should receive special attention.”

3.9.5 The Scheme for Workers’ Education

The Workers’ Education Scheme was launched in 1958 by the Central Board ofWorkers’ Education (CBWE). The Board is a tripartite body registered under the SocietiesRegistration Act, 1860, which consists of a Chairman (nominated by the Government),representatives of the Central and State Governments, representatives of the Central TradeUnions and the employers organizations, representatives of University Grants CommissionIndian adult education association and one independent trade unionist nominated by theMinistry of Labour and Employment. The total number of members does not exceed 20.At present, the board consist of one Chairman, one ex-office secretary and 14 members.

The board has a network of 48 regional centers located in for zones, with offices atBombay, Calcutta, Delhi and Madras, and 14 sub-regional centers located in differentparts of the country. For each regional centre, a regional advisory committee has beenconstituted to review the progress of the scheme in the region to suggest measures for theproper implementation of the programme and to guide the centre.

The board aims at:

(i) Inculcating among all sections of workers a sense of patriotism, national integrity,secularism and pride in being an Indian;

(ii) Equipping them for their intelligent participation in social and economic development:

(iii) Developing among them the “Nation First” approach; and

(iv) Instilling in them greater understanding of the problem of their social and economicenvironment, their rights and obligations as citizens, as workers in industry andresponsibility towards family members. The board also aims at developing amongworkers a sense of responsibility so that they can shoulder responsibility of tradeunion leadership.

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3.9.6 Three Levels of Workers’ Education

The workers’ education programme operates at three level:

1. The National Level: It is the top most level of workers’ education. At this level,Education Officers are trained. The participants for the programme are selectedby C.B.W.E. and are trained at a central place by the Board officials.

2. The Regional Level: The regional level programmes are aimed at impartingnecessary training to selected workers. The workers so educated are known asworkers’ teacher.

3. The Unit/Village Level: This is the final stage of the programme. The workers’teachers on completion of their training return to their work place and conductsprogramme for rank and file of workers at their respective units.

(1) The National Level

It is the most important level of the workers’ education programme, as it aims at theeducation of members of central trade union organizations and federations, pre-employment training of educational officers (also known as teacher administrators)and refresher courses for board officials. The prospective educational officers aredirectly selected from the open market. Generally, persons with the masters’ degreein economics, commerce or education with three years of work experience in thefield of human resources management, are chosen for the task. They are given sixmonths’ intensive training before being placed on the job in different regional centres.The training staff includes union leaders, employers’ representatives, educationists,administrators and the like. These officials in turn after the successful completion oftheir training courses are posted at regional centres on the basis of their regionallinguistic proficiency. With each batch of education officers, to be trained, generallyits board’s practice to include a fair number of trade union workers from centralorganizations, so that the trainers may be acquainted with trade union problems. Theunion problems. The union nominees also get the facilities to widen their interests andadd theoretical knowledge to their practical background.

(2) The Regional Level

The board through a network of 48 regional centres and 14 sub-regional centresconducts this programme. At the regional level worker teachers are trained, who inturn educate the rank and file worker at the unit/village level. The regional level activitiesare monitored by the four zonal offices located at Delhi, Calcutta, Madras, andBombay. For each regional centre, there is an advisory committee which reviews itsprogress of the scheme and recommends measures for its effective working. Theworker-teachers form a very strong link between the education officers and workersat the unit level. The education officers, on completion of their training, are posted todifferent centres and are entrusted with the training of prospective teachers from

NOTES



among the workers in a full-time training course of three months’ duration in batchesof about 25-30 persons. These selected workers are known as “worker-teachers”.they are selected by the local committee and by the director of regional centres fromvarious industrial units and workshops in the region and are sponsored by theirrespective employers or trade unions. These selected workers deputed for trainingby the employers are considered to be on duty and are paid their usual wages andallowance.

(3) The Unit Level

The third level in the programme of the workers’ education scheme relates to thetraining of rank-and-file workers by the specially trained worker-teachers at the unitlevel. The workers so trained at the regional level revert to their places of employmentand conduct programmes at the unit level, largely after working hours. The regionalcentres closely supervise the work at different units and assist and guide workerteachers in conducting their classes efficiently and smoothly.

Since no hard and fast rules have been framed for the selection of workers for classesat the unit level, worker-teachers have to exercise their discretion while selecting the workers.As most of the workers are illiterate, there is no hard and fast rule for their selection for thecourse. Generally, preference is given to workers having some educational background.Further, workers in the age group of 24-45 years of age are given priority. The selection ofthe workers for the course is exclusively prerogative of worker-teachers as they haveclose association with the units of workers.

The worker-teachers conduct three months part-time course for workers at the unitlevel, besides three weeks’ full-time course in those units which deputes workers for thecourse. The syllabus for the course is trade union-oriented and covers subjects; workersand trade unions, workers and industry, worker, his family and his country etc. Thehonorarium for the worker-teachers are decided and revised by the board.

At the unit level, the management usually provides facilities of accommodations,furniture, etc. Some of the organizations also give 45 minutes time-off to workers to enablethem to attend classes. Every trainee at the unit level who puts in more than 90 per centattendance and takes keen interest in training is awarded a certificate by the regional centreafter the successful completion of training.

3.9.7 Special Category Programmes

Besides the aforesaid three levels of workers’ education, a host of special educationalprogrammes are also organized for the benefit of workers. Against of such programmes isdiscussed here in some detail:

3.9.7.1 Programme for Women Workers

With the Government’s increased emphasis on the betterment of women workers,the board has started a separate programme for them. During 1986-1987, “62 womenworker-teachers, 448 women workers at the unit level, 29 women worker teachers in

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refresher courses, 24,616 in rural programmes, 4, 350 in the unorganized sector and 156stone quarry workers have been trained. A special cell, for the training of women workerswas set up at the Indian Institute of Workers’ Education (Bombay) in November 1991.For the training of women workers, a modular syllabus for advanced training and specialtraining material has been prepared. During 1993-94, under the programme, 70, 004women workers have been trained.

3.9.7.2 Programme for Unorganized Workers

For the education of unorganized workers, a programme was started way back onOctober 1, 1979. This programme is basically meant for the workers of handlooms, powerlooms, khadi and village industries, industrial estates, SSI, sericulture, coir and beediindustries. The programme is generally of five days’ duration and is conducted at the regional/sub-regional or semi-urban areas. During the period between January and December,1994, the board conducted 244 five-day programmes in which 9,675 women workersparticipated.

3.9.7.3 Programme for Rural Workers

In 1977-78, the board launched a pilot project for the education of rural workers. Itintends to create awareness among rural workers about their soci-economic environmentthe need for developing their organization and the benefit available under the various creditschemes. The C.B.W.E has developed this programme keeping in view the needs ofworkers, especially in the field of industrial health, safety and environment. Theseprogrammes cover landless labour, agricultural workers, rural artisans, forest workers andunemployed workers in rural areas. As a part of nation’s effort to increase the literacy ofworkers, especially among women and persons belonging to ST/SC and other educationallybackward classes. The programme includes.

(1) One month’s training course for rural educators.

(2) Five-day training programme for rural volunteers.

(3) Two-day non-residential awareness camps at the village level.

In the programme, selected workers are trained at the regional and sub-regionalcentres by worker-teachers in full-time continuous training courses of three months’ duration.These worker-teachers conduct classes for the workers at the unit level.

During the period between January and December 1994, the board trained 241 ruraleducators in 12 courses, 8,322 rural volunteers in 248 camps and 1, 00, 999 workers in2,579 awareness camps.

3.9.7.4 Functional Adult Literacy Programme

The C.B.W.E. also conducts special programmes of functional literacy for workersengaged in plantation and mines, where the level of literacy level is exceptionally low,During January, December 1994 in 385 sessions, 9,098 workers were trained.

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3.9.7.5 Training for Workers of Weaker Sections

This programme is aimed at the training workers of weaker sections. For the purpose,the board organizes five-day tailor-made programme for the functional and educationalneeds of special categories of workers such as women workers, handicapped workers,young workers, rickshaw drivers, hand/load drivers, construction and civil and sanitationworkers. Between January/December 1994 in 62 five/day camps, 2,433 workers weretrained.

3.9.7.6 Leadership Development Courses

The board also organizes leadership development courses to equip the trade unionactivities with the necessary knowledge, understanding and skills of leadership to enablethem to function effectively and also to participate in different programmes at communityand enterprise levels. This scheme was started during Sixth Plan between January /October1993, in 112 programmes organized in which were 2,433 workers participated.

3.10 WORKERS’ TRAINING: CONCEPT

In India, there is an acute shortage of skilled and trained workers for a number ofindustrial occupations and a majority of workers suffer from low efficiency, which necessarilymeans that the rate of skill formulation has been low. Besides, factors like social attitude toindustrial work, differentials between the income of skilled and unskilled workers, and thetraining and educational facilities available in the country, the educational system has beenresponsible for this state of affairs. To bring about any change in these is an uphill task. Butfor rapid industrial development, the provision of training facilities for workers is the needof hour. This training pre/supposes a sound bases of universal literacy, proper planning andutilization of trained personnel, and properly and designed training programmes. Needlessto say, training leads to efficiency and increased productivity, less waste, reducedsupervision, higher employee earnings, reduced accidents, increased organizational stabilityand flexibility, heightened moral and vertical job mobility.

Various schemes of vocational training and apprentice ship were in operation such as:

(a) The apprenticeship and higher training in railway workshops, a technical schooland the staff college for the railways;

(b) The well/defined apprenticeship schemes in Sone Valley Portland CementCompany; the Assam Oil Company; the Tata Oil Mills Co., the Tata iron andSteel Company, the Tinplate Company of India and some engineering works inBombay, Bengal, U.P. and Punjab.

(c) The training was also organized in the dockyards at Bombay and Calcutta PortTrusts, and port workshops at Calcutta, Madras and Vishakapatnam and somemunicipalities; and

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(d) In several unorganized industries, such as carpet weaving, bidi and cigar-making,and mica-splitting, training was provided to working children in the process ofgetting help from them.

On the basis of the recommendations of the Committee, the government constitutedin 1957 the National Council for Training in Vocational Trades (NCTVT), consisting ofrepresentatives of employers, employees, technical institutions, representatives of the Centraland State Governments and labour, and sought advice on all aspects of vocational trainingand correlating training facilities with the requirements of industry. The NCTVT is assistedby a member of trade committees, separately for each of the 40 engineering and 27 non-engineering trades. These committees advise the NCTVT on matters relating to the standardof teaching the quality of instruction and on the problems relating to each specific trade.

3.10.1 Training Schemes of DGET

To build up the career of young persons and to supply a constant stream of trainedpersonnel to industries, the Director-General of Employment and Training (DGET) hasdesigned a number of training programmes.

A few important programmes are:

(1) Craftsmen’s Training Programme.

(2) Craft Instructor’s Training.

(3) Advanced Vocational Training.

(4) Foreman’s Training.

(5) Apprenticeship Training Scheme.

(6) Part-Time Training for Industrial Workers, and

(7) Vocational Training Programme for Women.

3.10.1.1 Craftsmen’s Training

The DGET has set up industrial Training Institutes and Centres (ITI’s/ITC’s) to providetraining to those young men and women who are in the age group of 14 to 25 years. ByOct, 1993 there were 2,651 such institutes with an intake capacity of 3.98 lakh workerswhich are permanently or provisionally affiliated to the National Council for VocationalTraining (NCVT) that impart training in 41 engineering and 22 non-engineering trades. Themodular ITI’s (MITI’s) at Haldwani (U.P.), Calicut (Kerala), Jodhpur (Rajasthan) andChoudwar (Orissa) have been setup by the Government to organize craftsmen training ona modular basis. Besides the courses in these trades, shot-term courses are also conductedby ITI’s in some States and Union Territories. There are six modular training institute. Theyalso advise Government on the standards and norms of training, prescribe curriculum,trade testing and certification. The period of training varies from one to two years. Theentry qualifications vary from VIII standard pass to XII standard depending on trade. The

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training is provided either free or on a nominal tuition fee. Every trainee is provided astipend of Rs. 40 per month besides free workshop clothing’s, hostel accommodation andmedical facilities. Up to July 31, 1992, the total number of ITI’s where such training isprovided were 1,028 with an intake capacity of 3,97,716.

3.10.1 2 Craft Instructor’s Training

Six training institutes, each located at Bombay, Calcutta, Hyderabad, Kanpur, Ludhianaand Central Training Institute at madras train craft instructors required by it is and apprentice-training establishments. In 1982 these were upgraded to Advanced Training Institute (ATI),which impart one-year comprehensive training both in skill development and principles oftraining. The modular pattern of training for craft instructors is being imparted at C.T.I.,Madras and A.T.I., Hyderabad. The trades in which training is imparted is like this, forprinting trades ATI, Kanpur. Farm mechanics at ATI, Ludhiana, millwright trade at ATI,Kanpur, Howrah and Ludhiana and at ATI, Bombay, chemicals and weaving. As on October93, the total intake capacity of all these centres is 1,115. During period expired on October,there was full utilization of capacity.

3.10.1 3 Advanced Vocational Training

This scheme was started in October 1977 to provide training to highly-skilled workersand technicians in a variety of advanced and sophisticated skills not available under thevocational training programme. This scheme was undertaken with the assistance of UNDP/I.L.O. under which six ATI’s of State Governments were modernized. The advanced skilltraining courses are offered at 6 ATIs located at Bombay, Kanpur, Calcutta, Hyderabad,Ludhiana and Madras and at 16 selected it is located at Ambattar, Bangalore, Vadodara,Dhanbad, Durgapur, Faridabad, Gauhati, Jabalpur, Jammu, Jodhpur, Kalamassery, Meerut,Patiala, Pune, Rai Bareilly and Vishakhapatnam under 15 State Governments. Theseinstitutes were modernized to conduct various advanced courses under the scheme. About10,000 workers are trained every year. The Advanced Training Institute at Madras servesas an apex institute. In 1974, an advanced training institute for electronics and processinstrumentation was established in Hyderabad to train highly skilled technicians in suchfields as consumer/industrial/medical electronics.

Since 1981, two advanced training institutes have been working in the field of electronicsand process instrumentation at Dehradun and Hyderabad. In order to meet the requirementsof technical workers in hitech areas, a NC/CNC training centre was established at ATI,Madras, with the assistance of UNDP/ILO. Looking to the success of ATI, Madras, onecentre each at Bombay and Kanpur is being set up. under the World Bank vocationalTraining Project, 33 it is of different States and UTs have been covered. Till September1993, in 6 ATIs, as many as 59,600 industrial workers/ technicians have been trained.

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Evolution of Vocational Training Scheme

1941 War Technician Training Scheme. Training Institutes for Women at Mumbai and Bangalore

1945 Training Scheme for Ex-Servicemen. 1981 Model Industrial Training Institute at Haldwani and Calicut; Advanced Training Institute for Electronics and Process Instrumentation, Dehradun.

1948 Training Scheme for Craft Instructors

1982 Foremen Training Institute at Jamshedpur, Model Industrial Training Institute at Jodhpur and Chowdwar.

1950 Craftsmen Training Scheme. 1983 Regional Vocational Training Institute for Women, Trivandrum; Regional Directorate of Apprenticeship Training. Hyderabad.

1958 Evening Classes for Industrial Workers.

1985 Regional Directorate of Apprenticeship Training at Fariadbad.

1959 national Apprenticeship Scheme (Voluntary now discontinued)

1986 Apprentices (Amendment) Bill, 1986, (passed by both Houses of Parliament) for 10+2

1961 Apprentices Act, 1961 (passed by Parliament).

Vocational Stream Students as Technician (Vocational) Apprentices.

1963 Implementation of the Apprentices Act.

1987 Apprentices Amendment Act 1986 for 10+2 Vocational Stream came into force on 16.12.1987.

1965 Mine mechanization Training Scheme Supervisory Training Scheme.

1987 RVTIs for Women at Hissar, Calcutta, Tura, (Meghalaya).

1967 Part-time Training of Industrial Workers (Modified).

1987 Central Instructional Media Institute at Madras.

1968 Central Staff Training and Research Institute, Howrah; Advanced Training Institute, Madras, All India Skill Competition for Apprentices.

1988 Central Population Education Cell at DGE & T Headquarters.

1971 Diversification of Training Programmes, Training in the trades of Chemical and Hotel Catering; Part time Training of Industrial Workers

1989 Central Project Implementation Unit at D.G.E. & T. Headquarters for Vocational Training

NOTES



3.10.1 4 Supervisors/Foremen’s Training

The supervisors/foremen are the frontline managers, hence, they are of paramountimportance due to their unique position in the organizational hierarchy. In India, for thetraining of foremen, two institutes are functioning, one at Bangalore (1971) and another atJamshedpur (1986). Here training is provided to existing and potential foremen in technicaland managerial skills, besides routine matters pertaining to manpower management. In theprogramme both tailor-made and general programmes of both short and long term durationare organized. Generally, industries sponsor their candidates for the long courses on themodular pattern. The short-term courses are of one to twelve weeks’ duration, whereaslong-term courses are of two years duration, which are of three types:

(i) Diploma in foremanship for NAC/NTC candidates.

(ii) Post-Diploma in foremanship for fresh diploma-holders and

(iii) Post diploma in foremanship (maintenance, engineering) for fresh diploma holders.Since its inception to October 1993, about 15,202 foremen have been trained inlong-term and shout-term courses.

3.10.1 5 Apprenticeship Training Scheme

Under the apprentices Act, 1961, it is obligatory on the part of the employer toengage apprentices in certain trades. The apprentice training consists of basic training inthe specific filed, followed by shop-floor training. The training of graduates and diploma-holders in engineering/technology as graduate technical apprentices was brought under thepurview of the amended Apprenticeship Act of 1973. The scheme is implemented byD.G.E.T. with the assistance of six regional directorates of apprenticeship training (RDAT’s)located at Calcutta, Bombay, Madras, Kanpur, Hyderabad and Faridabad. The State

1972 Apprentices (Amendment) Bill 1971 (passed by Rajya Sabha); Pre-release training of other ranks in Indian Army in Industrial Training Institutes.

1992 Regional Vocational Training Institute for Women at Indore & Allahabad.

1974 Advanced Training Institute for Electronics and Process Instrumentation. Hyderabad, Apprentices Act as amended came into force w.e.f.01.12.1974

1992 Apex Hi-Tech Institute at Bangalore.

1977 Advanced Vocational Training Scheme; National Vocational Training Institute Women, New Delhi; and Regional Vocational Training Institutes for Women at Bombay and Bangalore.

1993 RVTI Vadodara; Sanctioned RVTI Jaipur.

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Governments and UT administrators are responsible for implementing the scheme in therespective departments, P.S.Us and private undertakings. The duration of training for tradeapprentices varies from six months to four years, depending on the requirements of trade.The educational qualifications for apprentices vary from 8th pass or equivalent to highersecondary, P.U.C. or equivalent. Till October 1993, the numbers of trades covered underthe Act were 147, the number of industries having the scheme was 6,158, the seats locatedwere 43,100 and the numbers of seats utilized were 20,976 only. The syllabi for trainingunder the Apprenticeship Act, 1961 are periodically reviewed by the trade committeeskeeping in view the technological requirement of industry. The apprentices receive a stipendvarying between Rs. 460 and Rs. 1,120/- per month, depending on their skill and programmeundertaken.

As on 30th June, 1993, there were 20,976 graduates and technician apprenticesundergoing training, out of which 5,114 belonged to weaker sections of society, namely,SC-1217, ST-258, minorities 1,270, women 2,317 and physically-handicapped 52.

3.10.1 6 Part-Time Training for Industrial Workers

The scheme for imparting part-time training was introduced in 1958 with a view toimprove knowledge and skill of workers who did not have the benefit of systematic trainingin institutes. Under the scheme, the workers, irrespective of their age but with two years ofwork experience, are sponsored by their employers for the course. The duration of trainingis of two years and it is organized during evening hours. The training programme is conductedat the Central Training Institute of Madras, 5 ATIs and various ITIs.

3.10.1.7 Vocational Training Programme for Women

A special project for the development of women workers was undertaken by theGovernment in 1977 with the assistance the Swedish International Development Authority(SIDA) and Implemented through the ILO. The basic objectives of this project is to assessthe training needs of women workers, both in urban and rural areas and to upgrade theCentral Training Institute for Women Instructors, New Delhi into the National VocationalTraining Institute (NVTI) for women.

3.11 EVALUATION OF THE TRAINING SCHEMES

The study group of the National Commission on Labour has made many observationson the working of the various training schemes for workers. Some of the important onesare:

(a) Substantial training capacities have remained unutilized.

(b) No new trades have been added.

(c) The training programmes do not take into account local and regional needs.

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(d) Three has not been adequate expansion in some trades in which there has been apersistent shortage.

(e) The selection of trainees is made by inexperienced and non-technical persons andconsiderations other than the suitability of the candidates become important.

(f) Many instructors do not have any experience of working conditions and productiontechniques in industry.

(g) The quality of training is poor, which may be due to lack of counseling arrangements.

(h) The training provided does not conform to the needs of industries and the rapidexpansion of the training programme.

QUESTIONS FOR DISCUSSION

1. Explain the concept of Labour Welfare

2. What are the thrust areas of Labour training ?

3. List a few of the special welfare schemes for Labour initiated by the Governmentof India

4. Explain the statutory welfare measures which an Industry is bound to provide tolabour under the Factories Act, 1948

5. What are the Labour Welfare Facilities under Welfare Funds ?

6. What are the objectives and techniques of labour education ?

7. Enumerate some special category programmes for the workers’ of India

8. Explain the training schemes offered to labour under the Director-General ofEmployment and Training (DGET)

9. What is the commentary given by the study group of the National Commission ofLabour (NCL) on the Evaluation of the training schemes ?

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UNIT IV

INDUSTRIAL SAFETYLearning Objectives


• Industrial Safety

• Safety Organization

• Safety Committees

• Statutory Safety Provisions

• Statutory Health Measures

• Hazardous Processes

• Hazardous Occupations

• Appraisal Committees

• Occupational Health

• Notifiable Diseases

• Psychological Counselling

Industrial Safety

4.1 INTRODUCTION

Industrial accidents are mainly due to human failure – somewhere in the claim ofcircumstances which lead to injury, we find the human factor. Specialist sections ofmanagement – engineers, electricians, designers, work study officers – are often lacking inan appreciation of the need to apply the principles of accident prevention to their work.“Unsafe” method accounts for a very high proportion of accidents. Therefore safety mustbe an integral part of any industrial undertaking; it must be built in at the design stage, inproduction planning and in operator training. The challenge of true of mind by efficient andregular safety training for all levels of management and worker. The aim must be to makeevery individual in industry have more regard not only for his own personal safety, but alsofor the safety of others.

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4.2 FEATURES OF SAFETY ORGANIZATION

Many persons influence safety directly. The chief executive, production managers,maintenance personnel or industrial relations employees. The plant physician the supervisorand production employee can affect safety qualitatively. Factors that govern plant safetyeffectiveness included choice of equipment, procedures and materials; budgets, the selectionof personnel, the kind of leadership provided, and the work habits of the individual. Whena safety specialist is employed to direct the plant safety programme his function usually isto assist line managers to control the safety of their operations. Ordinarily he does notassure any management prerogative but, develops information and materials which enablemanagers to optimize the chemical Industry are:

A. Management participation safety programme. (Declaration of company safetypolicy)

B. Supervisory responsibility for employee safety. (Each member of the supervisorystaff is held responsible for safety).

C. Assignment of staff functions to safety personnel.

a. Safety department, safety engineer of other designated personnel given recognitionand responsibility

b. Duties include correlation of accident – prevention activities, promoting the safetyprogramme.

D. Provision for safe working conditions, building and equipment

c. Establishment of engineering standards.

d. Review of plans for new processes or equipment from safety and fie protectionengineering point of view.

e. Industrial hygiene surveys to evaluation potential chemical exposure hazards. Safetyeducation and safety training

f. Education of supervisory personnel to assist them in carrying out their assignedsafety responsibilities.

g. Employee education (New employee safety induction programmes)

h. Development of safety consciousness in all employees (use of bulletins, posters,films, and other visual aids).

Safety department should have a reasonable “Central Location” near the dispensaryif possible, and with sufficient space available to provide for group meetings. Facilitiesmust be available for strong and displaying samples of safety equipment, posters, safe-practice references, equipment catalogs and for the necessary records, files and charts ofthe department.

4.3 SAFETY COMMITTEES

A safety committee or group of plant committees is common to many plant safetyorganizations. They are subject to the usual problems of committee operation. When safety

NOTES



committees are established they require executive initiative. The committee size should bekept small for effective work but large enough to include all involved in plaint’s operation.Co-ordination of the committee activities, encouragement of their effectiveness, and provisionof assistance in their studies are leading functions of chief executive of safety.

4.4 ACCIDENT PREVENTION PROGRAMME

Basic steps in safety Programme

In industries, many plans, some of them far reaching, have been formulated for theprevention of accidents. Some of the useful plans are based on fundamental principleswhich start with simple steps undertaken usually in the following order.

(1) Obtain co-operation of plant manager: The manager’s desire for safetyachievement must be clearly visible through his action to achieve it.

(2) Obtain co-operation of other Heads of Departments: The other heads ofdepartments must make safety an integral part of the operating organization.

(3) Analyze Accident records: Accident reports for the past year or two should beanalyzed to earn, if possible, the how, who, where, when and why of each accident.

(4) Hold meetings of Operation Executives: All supervisors, sectional heads andoperating heads should than be summoned to a general meeting presided by chiefof safety.

(5) Organize Education Work” Formulate a programme to maintain interest and supplyinformation on safety to management supervisors and workers.

4.5 ROLE OF SAFETY DIRECTOR

One man must be responsible for development and codification of safety information,counseling managers on safety implementation methods, and developing progressmeasurement data in every plant regardless of its size or the type of safety organization. Hemay be called safety engineer, safety specialist, safety inspector, safety manger of safetydirector. The chief operating executive in effect directs the plant safety effort. A safetydirector’s actual position in the plant organization varies with the general organization ofthe individual plant. The following are general functions performed by the safety directorwhether he is a line executive or head of a separate department.

4.6 STATUTORY SAFETY PROVISIONS

The statutory safety provisions as applicable to factories in India are found in sections21 through 40 of the Factories Act, 1948. A detailed version of each of these sections arelisted below. The number mentioned in the right hand extreme refers to the actual numberof section as found in the Act.

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Section 21. FENCING OF MACHINERY

(1) In every factory the following, namely,

(i) every moving part of a prime mover and every flywheel connected to a primemover, whether the prime mover or flywheel is in the engine house or not;

(ii) the headrace and tailrace of every water-wheel and water turbine;

(iii) any part of a stock-bar which projects beyond the head stock of a lathe; and

(iv) unless they are in such position or of such construction as to be safe to everyperson employed in the factory as they would be if they were securely fenced, thefollowing, namely

a. every part of an electric generator, a motor or rotary converter;

b. every part of transmission machinery; and

c. every dangerous part of any other machinery shall be securely fenced bysafeguards of substantial construction which shall be constantly maintainedand kept in position while the parts of machinery they are fencing are inmotion or in use:

Provided that for the purpose of determining whether any part of machinery is in suchposition or is of such construction as to be safe as aforesaid, account shall not be taken ofany occasion when

(i) it is necessary to make an examination of any part of the machinery aforesaid while itis in motion or, as a result of such examination, to carry out lubrication or other adjustingoperation while the machinery is in motion, being an examination or operation which itis necessary to be carried out while that part of the machinery is in motion, or

(ii) in the case of any part of a transmission machinery used in such process as may beprescribed (being a process of a continuous nature the carrying on of which shall be,or is likely to be, substantially interfered with by the stoppage of that part of themachinery), it is necessary to make an examination of such part of the machinery whileit is in motion or, as a result of such examination, to carry out any mounting or shippingof belts or lubrication or other adjusting operation while the machinery is in motion,and such examination or operation is made or carried out in accordance with theprovisions of sub-section (1) of section 22.

2. The State Government may by rules prescribe such further precautions as it mayconsider necessary in respect of any particular machinery or part thereof, or exempt,subject to such condition as may be prescribed, for securing the safety of the workers,any particular machinery or part thereof from the provisions of this section.

Section 22. WORK ON OR NEAR MACHINERY IN MOTION

1. Where in any factory it becomes necessary to examine any part of machinery referredto in section 21, while the machinery is in motion, or, as a result of such examination, tocarry out

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a. in a case referred to in clause (i) of the proviso to sub-section (1) of section 21,lubrication or other adjusting operation; or

b. in a case referred to in clause (ii) of the proviso aforesaid, any mounting or shippingof belts or lubrication or other adjusting operation, while the machinery is in motionsuch examination or operation shall be made or carried out only by a speciallytrained adult male worker wearing tight fitting clothing (which shall be supplied bythe occupier) whose name has been recorded in the register prescribed in thisbehalf and who has been furnished with a certificate of his appointment, and whilehe is so engaged, - (a) such worker shall not handle a belt at a moving pulley unless–

(i) the belt is not more than fifteen centimeters in width;

(ii) the pulley is normally for the purpose of drive and not merely a fly-wheel or balancewheel (in which case a belt is not permissible);

(iii) the belt joint is either laced or flush with the belt;

(iv) the belt, including the joint and the pulley rim, are in good repair;

(v) there is reasonable clearance between the pulley and any fixed plant or structure;

(vi) secure foothold and, where necessary, secure handhold, are provided for theoperator; and

(vii)any ladder in use for carrying out any examination or operation aforesaid is securelyfixed or lashed or is firmly held by a second person.

b. without prejudice to any other provision of this Act relating to the fencing ofmachinery, every set screw, bolt and key on any revolving shaft, spindle, wheelor pinion, and all spur, worm and other toothed or friction gearing in motion withwhich such worker would otherwise be liable to come into contact, shall besecurely fenced to prevent such contact.

2. No woman or young person shall be allowed to clean, lubricate or adjust any part ofa prime mover or of any transmission machinery while the prime mover or transmissionmachinery is in motion, or to clean, lubricate or adjust any part of any machine if thecleaning, lubrication or adjustment thereof would expose the woman or young personto risk of injury from any moving part either of that machine or of any adjacent machinery.

3. The State Government may, by notification in the official. Gazette, prohibit, in anyspecified factory or class or description of factories, the cleaning, lubricating or adjustingby any person of specified parts of machinery when those parts are in motion.

Section 23. EMPLOYMENT OF YOUNG PERSONS ON DANGEROUS MACHINES

1. No young person shall be required or allowed to work at any machine to which thissection applies, unless he has been fully instructed as to the dangers arising in connectionwith the machine and the precautions to be observed and

a. has received sufficient training in work at the machine, or

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b. is under adequate supervision by a person who has a thorough knowledge andexperience of the machine. (2) Sub-section (1) shall apply to such machines asmay be prescribed by the State Government, being machines which in its opinionare of such a dangerous character that young persons ought not to work at themunless the foregoing requirements are complied with.

Section 24. SELF-ACTING MACHINES

No traversing part of a self-acting machine in any factory and no material carriedthereon shall, if the space over which it runs is a space over which any person is liable topass, whether in the course of his employment or otherwise, be allowed to run on itsoutward or inward traverse within a distance of forty-five centimeters from any fixed structurewhich is not part of the machine:

Provided that the Chief Inspector may permit the continued use of a machine installedbefore the commencement of this Act which does not comply with the requirements of thissection on such conditions for ensuring safety as he may think fit to impose.

Section 25. CASING OF NEW MACHINERY

1. In all machinery driven by power and installed in any factory after the commencementof this Act,

a. every set screw, bolt or key on any revolving shaft, spindle, wheel pinion shall beso sunk, encased or otherwise effectively guarded as to prevent danger;

b. all spur, worm and other toothed or friction gearing which does not require frequentadjustment while in motion shall be completely encased, unless it is so situated asto be as safe as it would be if it were completely encased.

2. Whoever sells or lets on hire or, as agent of a seller or hirer, causes or procures to besold on let or hire, for use in a factory any machinery driven by power which does notcomply with the provisions of Sub-section (1) or any rules made under sub-section(3), shall be punishable with imprisonment for a term which may extend to three monthsor with fine which may extend to five hundred rupees or with both.

3. The State Government may make rules specifying further safeguards to be provided inrespect of any other dangerous part of any particular machine or class or descriptionof machines.

Section 26. PROHIBITION OF EMPLOYMENT OF WOMEN AND CHILDREN NEAR COTTON-OPENERS

No woman or child shall be employed in any part of a factory for pressing cotton inwhich a cotton-opener is at work.

Provided that if the feed-end of a cotton-opener is in a room separated from thedelivery end by a partition extending to the roof or to such height as the Inspector may inany particular case specify in writing, women and children may be employed on the side ofthe partition where the feed-end is situated.

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Section 27. HOISTS AND LIFTS

(1) In every factory

(a) every hoist and lift shall be –

(i) of good mechanical construction, sound material and adequate strength;

(ii) properly maintained, and shall be thoroughly examined by a competent personat least once in every period of six months, and a register shall be kept containingthe prescribed particulars of every such examination;

b. every hoist way and lift way shall be sufficiently protected by an enclosure fittedwith gates, and the hoist or lift and every such enclosure shall be so constructed asto prevent any person or thing from being trapped between any part of the hoist orlift and any fixed structure or moving part;

c. the maximum safe working load shall be plainly marked on every hoist or lift, andno load greater than such load shall be carried thereon;

d. the cage of every hoist or lift used for carrying persons shall be fitted with a gateon each side from which access is afforded to a landing;

e. every gate referred to in clause (b) or clause (a) shall be fitted with interlocking orother efficient device to secure that the gate cannot be opened except when thecage is at the landing and that the cage cannot be moved unless the gate is closed.

(2) The following additional requirements shall apply to hoists and lifts used for carryingpersons and installed or reconstructed in a factory after the commencement of thisAct, namely : (a) where the cage is supported by rope or chain, there shall be at leasttwo ropes or chains separately connected with the cage and balance weight, and eachrope or chain with its attachments shall be capable of carrying the whole weight of thecage together with its maximum load;

b. efficient devices shall be provided and maintained capable of supporting the cagetogether with its maximum load in the event of breakage of the ropes, chains orattachments;

c. an efficient automatic device shall be provided and maintained to prevent the cagefrom over-running.

3. The Chief Inspector may permit the continued use of a hoist or lift installed in a factorybefore the commencement of this Act which does not fully comply with the provisionsof sub-section (1) upon such conditions for ensuring safety as he may think fit toimpose.

4. The State Government may, if in respect of any class or description of hoist or lift, it isof opinion that it would be unreasonable to enforce any requirement of sub-sections.(1) and (2), by order direct that such requirement shall not apply to such class ordescription of hoist or lift.

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Explanation : For the purposes of this section, no lifting machine or appliance shall bedeemed to be a hoist or lift unless it has a platform or cage, the direction or movement ofwhich is restricted by a guide or guides.

Section 28. LIFTING MACHINES, CHAINS, ROPES AND LIFTING TACKLES

1. In any factory the following provisions shall be complied with in respect of every liftingmachine (other than a hoist and lift) and every chain, rope and lifting tackle for thepurpose of raising or lowering persons, goods or materials :-

b. all parts, including the working gear, whether fixed or movable, of every liftingmachine and every chain, rope or lifting tackle shall be –

(i) of good construction, sound material and adequate strength and free rom defects;

(ii) properly maintained; and

(iii) thoroughly examined by a competent person at least once in every period of twelvemonths, or at such intervals as the Chief Inspector may specify in writing, and a registershall be kept containing the prescribed particulars of every such examination;

b. no lifting machine and no chain, rope or lifting tackle shall, except for the purposeof test, be loaded beyond the safe working load which shall be plainly markedthereon together with an identification mark and duly entered in the prescribedregister, and where this is not practicable, a table showing the safe working loadsof every kind and size of lifting machine or, chain, rope or lifting tackle in use shallbe displayed in prominent positions on the premises;

c. while any person is employed or working on or near the wheel track of a travellingcrane in any place where he would be liable to be struck by the crane, effectivemeasures shall be taken to ensure that the crane does not approach within [lra-66six metres lra-66 ] of that place.

2. The State Government may make rules in respect of any lifting machine or any chain,rope or lifting tackle used in factories –

a. prescribing further requirements to be complied with in addition to those set out inthis section;

b. providing for exemption from compliance with all or any of the requirements ofthis section, where in its opinion, such compliance is unnecessary or impracticable.

3. For the purposes of this section a lifting machine or a chain, rope or lifting tackle shallbe deemed to have been thoroughly examined if a visual examination supplemented, ifnecessary, by other means and by the dismantling of parts of the gear, has been carriedout as carefully as the conditions permit in order to arrive at a reliable conclusion as tothe safety of the parts examined. Explanation : In this section,

a. “lifting machine” means a crane, crab, winch, toggle, pulley block, gin wheel,transporter or runway;

b. “lifting tackle” means any chain, sling, rope sling, hook, shackle, swivel, coupling,socket, clamp, tray or similar appliance, whether fixed or movable, used inconnection with the raising or lowering of persons, or loads by use of liftingmachines.

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Section 29. REVOLVING MACHINERY

1. In every factory in which the process of grinding is carried on there shall bepermanently affixed to or placed near each machine in use a notice indicating themaximum safe working peripheral speed of every grindstone or abrasive wheel,the speed of the shaft or spindle upon which the wheel is mounted, and the diameterof the pulley upon such shaft or spindle necessary to secure such safe workingperipheral speed.

2. The speeds indicated in notices under sub-section (1) shall not be exceeded.

3. Effective measures shall be taken in every factory to ensure that the safe workingperipheral speed of every revolving vessel, cage, basket, flywheel, pulley, disc orsimilar appliance driven by power is not exceeded.

Section 30. PRESSURE PLANT

1. If in any factory, any plant or machinery or any part thereof is operated at apressure above atmospheric pressure, effective measures shall be taken to ensurethat the safe working pressure of such plant or machinery or part is not exceeded.

2. The State Government may make rules providing for the examination and testingof any plant or machinery such as is referred to in sub-section (1) and prescribingsuch other safety measures in relation thereto as may in its opinion be necessary inany factory or class or description of factories.

3. The State Government may, by rules, exempt, subject to such conditions as maybe specified therein, any part of any plant or machinery referred to in sub-section(1) from the provisions of this section

Section 31. FLOORS, STAIRS AND MEANS OF ACCESS

In every factory –

i. all floors, steps, stairs, passages and gangways shall be of sound construction andproperly maintained and shall be kept free from obstructions and substances likelyto cause persons to slip, and where it is necessary to ensure safety, steps, stairs,passages and gangways shall be provided with substantial handrails;

ii. there shall, so far as is reasonably practicable, be provided and maintained safemeans of access to every place at which any person is at any time required towork.

iii. when any person has to work at a height from where he is likely to fall, provisionshall be made, so far as is reasonably practicable, by fencing or otherwise, toensure the safety of the person so working.

Section 32. PITS, SUMPS, OPENINGS IN FLOORS, ETC.

1. In every factory fixed vessel, sump, tank, pit or opening in the ground or in a floorwhich, by reasons of its depth, situation, construction or contents, is or may be asource of danger, shall be either securely covered or securely fenced.

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2. The State Government may, by order in writing, exempt, subject to such conditions asmay be prescribed, any factory or class or description of factories in respect of anyvessel, sump, tank, pit or opening from compliance with the provisions of this section.

Section 33. EXCESSIVE WEIGHTS

1. No person shall be employed in any factory to lift, carry or move any load so heavy asto be likely to cause him injury.

2. The State Government may make rules prescribing the maximum weights which maybe lifted, carried or moved by adult men, adult women, adolescents and childrenemployed in factories or in any class or description of factories or in carrying on anyspecified process.

Section 34. PROTECTION OF EYES

In respect of any such manufacturing process carried on in any factory as may beprescribed, being a process which involves –

a. risk of injury to the eyes from particles or fragments thrown off in the course ofthe process, or

b. risk to the eyes by reason of exposure to excessive light, the State Governmentmay by rules require that effective screens or suitable goggles shall be providedfor the protection of persons employed on, or in the immediate vicinity of, theprocess.

Section 35. PRECAUTIONS AGAINST DANGEROUS FUMES, GASES, ETC.

1. No person shall be required or allowed to enter any chamber, tank, vat, pit, pipe,flue or other confined space in any factory in which any gas, fume, vapour or dustis likely to be present to such an extent as to involve risk to persons being overcomethereby, unless it is provided with a manhole of adequate size or other effectivemeans of egress.

2. No person shall be required or allowed to enter any confined space as is referredto in sub-section (1), until all practicable measures have been taken to removeany gas, fume, vapour or dust, which may be present so as to bring its level withinthe permissible limits and to prevent any ingress of such gas, fume, vapour or dustand unless –

a. a certificate in writing has been given by a competent person, based on a testcarried out by himself that the space is reasonably free from dangerous gas,fume, vapour or dust; or

b. such person is wearing suitable breathing apparatus and a belt securely attachedto a rope the free end of which is held by a person outside the confined space.

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Section 36 A. PRECAUTIONS REGARDING THE USE OF PORTABLE ELECTRIC LIGHT

In any factory –

a. no portable electric light or any other electric appliance of voltage exceedingtwenty-four volts shall be permitted for use inside any chamber, tank, vat, pit,pipe, flue or other confined space unless adequate safety devices are provided;and

b. if any inflammable gas, fume or dust is likely to be present in such chamber, tank,vat, pit, pipe, flue or other confined space, no lamp or light other than that offlame-proof construction shall be permitted to be used therein.

Section 37. EXPLOSIVE OR INFLAMMABLE DUST, GAS, ETC

1. Where in any factory any manufacturing process produces dust, gas, fume or vapourof such character and to such extent as to be likely to explode to ignition, all practicablemeasures shall be taken to prevent any such explosion by –

a. effective enclosure of the plant or machinery used in the process;

b. removal or prevention of the accumulation of such dust, gas, fume or vapour;

c. exclusion or effective enclosure of all possible sources of ignition.

2. Where in any factory the plant or machinery used in a process such as is referred to insub-section (1) is not so constructed as to withstand the probable pressure which suchan explosion as aforesaid would produce, all practicable measures shall be taken torestrict the spread and effects of the explosion by the provisions in the plant or machineryof chokes, baffles, vents or other effective appliances.

3. Where any part of the plant or machinery in a factory contains any explosive orinflammable gas or vapour under pressure greater than atmospheric pressure, that partshall not be opened except in accordance with the following provisions, namely :-

a. before the fastening of any joint of any pipe connected with the part of the fasteningof the cover of any opening into the part is loosened, any flow of the gas orvapour into the part of any such pipe shall be effectively stopped by a stop valveor other means;

b. before any such fastening as aforesaid is removed, all practicable measures shallbe taken to reduce the pressure of the gas or vapour in the part or pipe toatmospheric pressure;

c. where any such fastening as aforesaid has been loosened or removed effectivemeasures shall be taken to prevent any explosive or inflammable gas or vapourfrom entering the part of pipe until the fastening has been secured, or, as the casemay be, securely replaced : Provided that the provisions of this sub-section shallnot apply in the case of plant or machinery installed in the open air.

4. No plant, tank or vessel which contains or has contained any explosive or inflammablesubstance shall be subjected in any factory to any welding, brazing, soldering or cutting

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operation which involves the application of heat unless adequate measures have firstbeen taken to remove such substance and any fumes arising therefrom or to rendersuch substance and fumes non-explosive or non-inflammable, and no such substanceshall be allowed to enter such plant, tank or vessel after any such operation until themetal has cooled sufficiently to prevent any risk of igniting the substance.

5. The State Government may by rules exempt, subject to such conditions as may beprescribed, any factory or class or description of factories from compliance with all orany of the provisions of this section.

Section 38. PRECAUTIONS IN CASE OF FIRE

(1) In every factory, all practicable measures shall be taken to prevent outbreak of fire andits spread, both internally and externally, and to provide and maintain –

a. safe means of escape for all persons in the event of a fire,

b. the necessary equipment and facilities for extinguishing fire.

(2) Effective measures shall be taken to ensure that in every factory all the workers arefamiliar with the means of escape in case of fire and have been adequately trained inthe routine to be followed in such cases.

(3) The State Government may make rules, in respect of any factory or class or descriptionof factories, requiring the measures to be adopted to give effect to the provisions ofsub-sections (1) and (2).

(4) Notwithstanding anything contained in clause (a) of sub-section (1) or sub-section (2),if the Chief Inspector, having regard to the nature of the work carried on in any factory,the construction of such factory, special risk to life or safety, or any other circumstances,is of the opinion that the measures provided in the factory, whether as prescribed ornot, for the purposes of clause (a) of sub-section (1) or sub-section (2), are inadequate,he may, by, order in writing, require that such additional measures as he may considerreasonable and necessary, be provided in the factory before such date as is specifiedin the order.

Section 39. POWER TO REQUIRE SPECIFICATIONS OF DEFECTIVE PARTS OR TESTS OF STABILITY

If it appears to the Inspector that any building or part of a building or any part of theways, machinery or plant in a factory is in such a condition that it may be dangerous tohuman life or safety, he may serve on the occupier or manager or both of the factory anorder in writing requiring him before a specified date –

a. to furnish such drawings, specifications and other particulars as may be necessaryto determine whether such building, ways, machinery or plant can be used withsafety, or

b. to carry out such test in such manner as may be specified in the order, and toinform the Inspector of the results thereof.

NOTES



Section 40. SAFETY OF BUILDINGS AND MACHINERY

(1) If it appears to the Inspector that any building or part of a building or any part ofthe ways, machinery or plant in a factory is in such a condition that it is dangerousto human life or safety, he may serve on the occupier or manager or both of thefactory an order in writing specifying the measures which in his opinion should beadopted, and requiring them to be carried out before a specified date.

(2) If it appears to the Inspector that the use of any building or part of a building orany part of the ways, machinery or plant in a factory involves imminent danger tohuman life or safety, he may serve on the occupier or manager or both of thefactory an order in writing prohibiting its use until it has been properly repaired oraltered.

Section 40 A. MAINTENANCE OF BUILDINGS

If it appears to the Inspector that any building or part of a building in a factory is insuch a state of disrepair as is likely to lead to conditions detrimental to the health andwelfare of the workers, he may serve on the occupier or manager or both of the factory anorder in writing specifying the measures which in his opinion should be taken and requiringthe same to be carried out before such date as is specified in the order.

Section 40 B. SAFETY OFFICERS

(1) In every factory, -

(i) wherein one thousand or more workers are ordinarily employed, or

(ii) wherein, in the opinion of the State Government, any manufacturing process oroperation is carried on, which process or operation involves any risk of bodilyinjury, poisoning or disease, or any other hazard to health, to the persons employedin the factory, the occupier shall, if so required by the State Government bynotification in the Official Gazette, employ such number of Safety Officers as maybe specified in that notification.

(2) The duties, qualifications and conditions of service of Safety Officers shall be suchas may be prescribed by the State Government.

Section 41. POWERS TO MAKE RULE TO SUPPLEMENT THIS CHAPTER

The State Government may make rules requiring the provision in any factory or in anyclass or description of factories of such further devices and measures for securing thesafety of persons employed therein as it may deem necessary.

4.7 WORKERS’ HEALTH

4.7.1 Statutory Health Measures

The Factories Act, 1948 comprises 11 chapters and 120 sections with a schedulelisting notifiable diseases. Sections 11 to 20 of The Factories Act, 1948 list the StatutoryHealth measures to be provided for its workers. They are as follows: The number mentionedin the left extreme are the actual section number as found in the Act.

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Section 11. CLEANLINESS

(2) Every factory shall be kept clean and free from effluvia arising from any drain,privy or other, nuisance, and in particular –

a. accumulations of dirt and refuse shall be removed daily by sweeping or by anyother effective method from the floors and benches of workrooms and fromstaircases and passages, and disposed of in a suitable manner;

b. the floor of every workroom shall be cleaned at least once in every week bywashing, using disinfectant, where necessary, or by some other effective method;

c. where a floor is liable to become wet in the course of any manufacturing processto such extent as is capable of being drained, effective means of drainage shall beprovided and maintained;

d. all inside walls and partitions, all ceilings or tops of rooms and all walls, sides andtops of passages and staircases shall - (i) where they are painted otherwise thanwith washable water-paint or varnished, be repainted or revarnished least once inevery period of five years;

e. where they are painted with washable water paint, be repainted with at least onecoat of such paint at least once in every period of three years and washed at leastonce in every period of six months;

(ii) where they are painted or varnished or where they have smooth impervious surfaces,be cleaned at least once in every period of fourteen months by such method as may beprescribed;

(iii) in any other case, be kept whitewashed or colourwashed, and the whitewashing orcolourwashing shall be carried out at least once in every period of fourteen months;

(dd) all doors and window frames and other wooden or metallic frame work andshutters shall be kept painted or varnished and the painting or varnishing shall be carriedout at least once in every period of five years;

(e) the dates on which the processes required by clause (d) are carried out shall beentered in the prescribed register.

(2) If, in view of the nature of the operations carried on in a factory or class or descriptionof factories or any part of a factory or class or description of factories, it is notpossible for the occupier to comply with all or any of the provisions of sub-section (1),the State Government may by order exempt such factory or class or description offactories or part from any of the provisions of that sub-section and specify alternativemethods for keeping the factory in a clean state.

Section 12. DISPOSAL OF WASTES AND EFFLUENTS

(1) Effective arrangements shall be made in every factory for the treatment of wastesand effluents due to the manufacturing process carried on therein, so as to renderthem innocuous, and for their disposal.

NOTES



(2) The State Government may make rules prescribing the arrangements to be madeunder sub-section (1) or requiring that the arrangements made in accordance withsub-section (1) shall be approved by such authority as may be prescribed

Section 13. VENTILATION AND TEMPERATURE

Effective and suitable provision shall be made in every factory for securing andmaintaining in every workroom –

(a) adequate ventilation by the circulation of fresh air, and

(b) such a temperature as will secure to workers therein reasonable conditions ofcomfort and prevent injury to health; and in particular, -

(ii) walls and roofs shall be of such material and so designed that such temperatureshall not be exceeded but kept as low as practicable;

(iii) where the nature of the work carried on in the factory involves, or is likely toinvolve, the production of excessively high temperatures such adequate measuresas are practicable shall be taken to protect the workers therefrom, by separatingthe process which produces such temperatures from the workroom, by insulatingthe hot parts or by other effective means.

(2) The State Government may prescribe a standard of adequate ventilation and reasonabletemperature for any factory or class or description of factories or parts thereof anddirect that [ lra-48 proper measuring instruments, at such places and in such positionas may be specified, shall be provided and such records, as may be prescribed, shallbe maintained;

(3) If it appears to the Chief Inspector that excessively high temperatures in any factorycan be reduced by the adoption of suitable measures, he may, without prejudice to therules made under sub-section (2), serve on the occupier, an order in writing specifyingthe measures which, in his opinion, should be adopted, and requiring them to be carriedout before a specified date.

Section 14. DUST AND FUME

(1) In every factory in which, by reason of the manufacturing process carried on, there isgiven off any dust or fume or other impurity of such a nature and to such an extent asis likely to be injurious or offensive to the workers employed therein, or any dust insubstantial quantities, effective measures shall be taken to prevent its inhalation andaccumulation in any workroom, and if any exhaust appliance is necessary for thispurpose, it shall be applied as near as possible to the point of origin of the dust, fumeor other impurity, and such point shall be enclosed so far as possible.

(2) In any factory no stationary internal combustion engine shall be operated unless theexhaust is conducted into the open air, and no other internal combustion engine shallbe operated in any room unless effective measures have been taken to prevent suchaccumulation of fumes therefrom as are likely to be injurious to workers employed inthe room.

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Section 15. ARTIFICIAL HUMIDIFICATION

In respect of all factories in which the humidity of the air is artificially increased, theState Government may make rules, -

(a) prescribing standards of humidification;

(b) regulating the methods used for artificially increasing the humidity of the air,

(c) directing prescribed tests for determining the humidity of the air to be correctlycarried out and recorded;

(d) prescribing methods to be adopted for securing adequate ventilation and coolingof the air in the workrooms.

(2) In any factory in which the humidity of the air is artificially increased, the water used forthe purpose shall be taken from a public supply, or other source of drinking water, orshall be effectively purified before it is so used.

(3) If it appears to an Inspector that the water used in a factory for increasing humiditywhich is required to be effectively purified under sub-section (2) is not effectivelypurified he may serve on the manager of the factory an order in writing, specifying themeasures which in his opinion should be adopted, and requiring them to be carried outbefore specified date.

Section 16. OVERCROWDING

(1) No room in any factory shall be overcrowded to an extent injurious to the health of theworkers employed therein.

(2) Without prejudice to the generality of sub-section (1), there shall be in every workroomof a factory in existence on the date of the commencement of this Act at least 9.9 cubicmetres and of a factory built after the commencement of this Act at least 14.2 cubicmetres or space for every worker employed therein, and for the purposes of this sub-section no account shall be taken of any space which is more than 4.2 metres abovethe level of the floor of the room.

(3) If the Chief Inspector by order in writing so requires, there shall be posted in eachworkroom of a factory a notice specifying the maximum number of workers who may,in compliance with the provisions of this section, be employed in the room.

(4) The Chief Inspector may by order in writing exempt, subject to such conditions, if any,as he may think fit to impose, any workroom from the provisions of this section, if heis satisfied that compliance therewith in respect of the room is unnecessary in theinterest of 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 providedand maintained sufficient and suitable lighting, natural or artificial, or both.

NOTES



(2) In every factory all glazed windows and skylights used for the lighting of the workroomshall be kept clean on both the inner and outer surfaces and, so far as compliance withthe provisions of any rules made, under sub-section (3) of section 13 will allow, freefrom obstruction.

(3) In every factory effective provision shall, so far as is practicable, be made for theprevention of –

(a) glare, either directly from a source of light or by reflection from a smooth orpolished surface;

(b) b) the formation of shadows to such an extent as to cause eye-strain or the risk ofaccident to any worker.

(4) The State Government may prescribe standards of sufficient and suitable lighting forfactories or for any class or description of factories or for any manufacturing process.

Section 18. DRINKING WATER

(1) In every factory effective arrangements shall be made to provide and maintain at suitablepoints conveniently situated for all workers employed therein a sufficient supply ofwholesome drinking water.

(2) All such points shall be legibly marked “drinking water” in a language understood by amajority of the workers employed in the factory, and no such point shall be situatedwithin six metres of any washing place, urinal, latrine, spittoon, open drain carryingsullage or effluent or any other source of contamination unless a shorter distance isapproved in writing by the Chief Inspector.

(3) In every factory wherein more than two hundred and fifty workers are ordinarilyemployed, provisions shall be made for cooling drinking water during hot weather byeffective means and for distribution thereof.

(4) In respect of all factories or any class or description of factories the State Governmentmay make rules for securing compliance with the provisions of sub-sections (1), (2)and (3) and for the examination by prescribed authorities of the supply and distributionof drinking water in factories.

Section 19. LATRINES AND URINALS

(1) In every factory

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

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

(c) such accommodation shall be adequately lighted and ventilated, and no latrine orurinal shall, unless specially exempted in writing by the Chief Inspector, communicatewith any workroom except through an intervening open space or ventilated passage;

(d) all such accommodation shall be maintained in a clean and sanitary condition at alltimes;

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(e) sweepers shall be employed whose primary duty it would be to keep clean latrines,urinals and washing places.

(2) In every factory wherein more than two hundred and fifty workers are ordinarilyemployed –

(a) all latrine and urinal accommodation shall be of prescribed sanitary types;

(b) the floors and internal walls, up to a height of ninety centimeters, of the latrines andurinals and the sanitary blocks shall be laid in glazed titles or otherwise finished toprovide a smooth polished impervious surface;

(c) without prejudice to the provisions of clauses (d) and (e) of sub-section (1), thefloors, portions of the walls and blocks so laid or finished and the sanitary pans oflatrines and urinals shall be thoroughly washed and cleaned at least once in everyseven days with suitable detergents or disinfectants or with both.

(3) The State Government may prescribe the number of latrines and urinals to be providedin any factory in proportion to the numbers of male and female workers ordinarilyemployed therein, and provide for such further matters in respect of sanitation in factories,including the obligation of workers in this regard, as it considers necessary in the interestof the health of the workers employed therein.

Section 20. SPITTOONS

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

(2) The State Government may make rules prescribing the type and the number ofspittoons to be provided and their location in any factory and provide for suchfurther matters relating to their maintenance in a clean and hygienic condition.

(3) No person shall spit within the premises of a factory except in the spittoons providedfor the purpose and a notice containing this provision and the penalty for its violationshall be prominently displayed at suitable places in the premises.

(4) Whoever spits in contravention of sub-section (3) shall be punishable with fine notexceeding five rupees.

4.8 HAZARDOUS PROCESSES

The constitution of Hazardous process is given in The Schedule which forms part ofthe Factories Act, 1948. This schedule is divided into two parts, namely Part A and PartB which are given below:

THE SCHEDULEPART AHazardous Occupations

Any occupation concerned with: -

1. Transport of passengers, goods or mails by railways;

NOTES



2. Cinder picking, clearing of an ash pit or building operation in the railway premises;

3. Work in a catering establishment at a railway station, involving the movement of avendor or any other employee of the establishment from the one platform to anotheror in to or out of a moving train;

4. Work relating to the construction of a railway station or with any other workwhere such work is done in close proximity to or between the railway lines;

5. A port authority within the limits of any port;

6. Work relating to selling of crackers and fireworks in shops with temporary licenses;

7. Abattoirs/Slaughter House;

8. Automobile workshops and garages;

9. Foundries;

10. Handling of toxic or inflammable substances or explosives;

11. Handloom and power loom industry;

12. Mines (underground and under water) and collieries;

13. Plastic units and fiberglass workshops;

14. Domestic workers or servants and

15. Dhabas (roadside eateries), restaurants, hotels, motels, tea shops, resorts, spas orother recreational centers.

PART B

INDUSTRIES WHEREIN THE MANUFACTURING PROCESS AREHAZARDOUS

1. Beedi - making.

2. Carpet - weaving.

3. Cement manufacture, including bagging of cement.

4. Cloth printing, dyeing and weaving.

5. Manufacture of matches, explosives and fireworks.

6. Mica - cutting and splitting.

7. Shellac manufacture.

8. Soap manufacture.

9. Tanning.

10. Wool - cleaning.

11. Building and construction industry.

12. Manufacture of slate pencils (including packing).

13. Manufacture of products from agate.

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14. Manufacturing processes using toxic metals and substances such as lead, mercury,manganese, chromium, cadmium, benzene, pesticides and asbestos.

15. “ hazardous Process” as defined in section 2 (cb) and “ dangerous Operations” asnoticed in rules made under section 87 of the Factories Act, 1948 (63 of 1948)

16. Printing as defined in Section 2(k)(vi) of the Factories Act, 1948 (63 of 1948)

17. Cashew and cashew nut descaling and processing.

18. Soldering processes in electronic industries.

19. 19.‘Aggarbatti’ manufacturing.

20. Automobile repairs and maintenance including processes incidental

21. thereto namely, welding, lathe work, dent beating and painting.

22. Brick kilns and Roof tiles units.

23. Cotton ginning and processing and production of hosiery goods.

24. Detergent manufacturing.

25. Fabrication workshops (ferrous and non ferrous)

26. Gem cutting and polishing.

27. Handling of chromite and manganese ores.

28. Jute textile manufacture and coir making.

29. Lime Kilns and Manufacture of Lime.

30. Lock Making.

31. Manufacturing processes having exposure to lead such as primary and secondarysmelting, welding and cutting of lead-painted metal constructions, welding ofgalvanized or zinc silicate, polyvinyl chloride, mixing (by hand) of crystal glassmass, sanding or scraping of lead paint, burning of lead in enameling workshops,lead mining, plumbing, cable making, wiring patenting, lead casting, type foundingin printing shops. Store type setting, assembling of cars, shot making and leadglass blowing.

32. Manufacture of cement pipes, cement products and other related work.

33. Manufacture of glass, glass ware including bangles, florescent tubes, bulbs andother similar glass products.

34. Manufacture of dyes and dye stuff.

35. Manufacturing or handling of pesticides and insecticides.

36. Manufacturing or processing and handling of corrosive and toxic substances, metalcleaning and photo engraving and soldering processes in electronic industry.

37. Manufacturing of burning coal and coal briquettes.

38. Manufacturing of sports goods involving exposure to synthetic materials, chemicalsand leather.

39. Moulding and processing of fiberglass and plastic.

NOTES



40. Oil expelling and refinery.

41. Paper making.

42. Potteries and ceramic industry.

43. Polishing, moulding, cutting, welding and manufacturing of brass goods in all forms.

44. Processes in agriculture where tractors, threshing and harvesting machines areused and chaff cutting.

45. Saw mill – all processes.

46. Sericulture processing.

47. Skinning, dyeing and processes for manufacturing of leather and leather products.

48. Stone breaking and stone crushing.

49. Tobacco processing including manufacturing of tobacco, tobacco paste and handlingof tobacco in any form.

50. Tyre making, repairing, re-treading and graphite benefaction.

51. Utensils making, polishing and metal buffing.

52. ‘Zari’ making (all processes)’.

53. Electroplating;

54. Graphite powdering and incidental processing;

55. Grinding or glazing of metals;

56. Diamond cutting and polishing;

57. Extraction of slate from mines;

58. Rag picking and scavenging.

List of Industries involving hazardous processes as defined u/s 2(cb)

Of the Factories Act, 1948

1. Ferrous Metallurgical Industries

1.1. Integrated Iron and Steel

1.2 Ferrow-alloys

1.3 Special Steels

2. Non-ferrous metallurgical Industries

2.1 Primary Metallurgical Industries, namely, zinc, lead, copper, manganese

and aluminium

3. Foundries (ferrous and non-ferrous)

3.1 Castings and forging including cleaning or smoothening/roughening by sandand shot blasting

4. Coal (including coke) industries

4.1 Coal, Lignite, Coke, etc.

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4.2 Fuel Gases (including Coal Gas, Producer Gas, Water Gas)

5. Power Generating Industries

6. Pulp and paper (including paper products) industries

7. Fertilizer Industries

7.1 Nitrogenous

7.2 Phosphatic

7.3 Mixed

8. Cement Industries

8.1 Portland Cement (including slag cement, puzzolona cement and their products)

9. Petroleum Industries

9.1 Oil Refining

9.2 Lubricating Oils and Greases

10 Petro-chemical Industries

11 Drugs and Pharmaceutical Industries

11.1 Narcotics, Drugs and Pharmaceuticals

12 Fermentation Industries (Distilleries and Breweries)

13 Rubber (Synthetic) Industries

14 Paints and Pigment Industries

15 Leather Tanning Industries

16 Electro-plating Industries

17 Chemical Industries

17.1 Coke Oven by-products and Coaltar Distillation products

17.2 Industrial Gases (nitrogen, oxygen, acetylene, argon, carbon dioxide,

hydrogen, sulphur dioxide, nitrous oxide, halogenated hydrocarbon,

ozone, etc.)

17.3 Industrial Carbon

17.4 Alkalies and Acids

17.5 Chromates and dichromates

17.6 Leads and its compounds

17.7 Electrochemicals (metallic sodium, potassium and magnesium,

chlorates, perchlorates and peroxides)

17.8 Electrothermal produces (artificial abrasive, calcium carbide)

17.9 Nitrogenous compounds (cyanides, cyanamides and other nitrogenous

compounds)

17.10Phosphorous and its compounds

NOTES



17.11 Halogens and Halogenated compounds (Chlorine, Flourine,

Bromine and Iodine

17.12 Explosives (including industrial explosives and detonators and fuses)

18 Insecticides, Fungicides, Herbicides and other Pesticides Industries

19 Synthetic Resin and plastics

20 Man-made Fibre (Cellulosic and non-cellulosic) Industry

21 Manufacture and repair of electrical accumulators

22 Glass and Ceramics

23 Grinding or glaxing of metals

24 Manufacture, handling and processing of asbestos and its products

25 Extraction of oils and fats from vegetable and animal sources

26 Manufacture, handling and use of benzene and substances containing benzene

27 Manufacturing processes and operations involving carbon disulphide

28 Dyes and Dyestuff including their intermediates

29 Highly flammable liquids and gases

4.9 STATUTORY REQUIREMENTS FOR HAZARDOUS MANUFACTURINGPROCESS

Where in a factory a manufacturing process of hazardous nature is carried on, thefactory shall compulsorily comply with sections 41A through 41H of the Factories Act,1948. These sections are as follows:

Section 41A. CONSTITUTION OF SITE APPRAISAL COMMITTEES

(1) The State Government may, for purposes of advising it to consider applications forgrant of permission for the initial location of a factory involving a hazardous process orfor the expansion of any such factory, appoint a Site Appraisal Committee consistingof –

(a) the Chief Inspector of the State who shall be its Chairman;

(b) a representative of the Central Board for the Prevention and Control of WaterPollution appointed by the Central Government under section 3 of the Water(Prevention and Control of Pollution) Act, 1974 (6 of 1974);

(c) a representative of the Central Board for the Prevention and Control of Air Pollutionreferred to in section 3 of the Air (Prevention and Control of Pollution) Act, 1981(14 of 1981);

(d) a representative of the State Board appointed under section 4 of the Water(Prevention and Control of Pollution) Act, 1974 (6 of 1974);

(e) a representative of the State Board for the Prevention and Control of Air Pollutionreferred to in section 5 of the Air (Prevention and Control of Pollution) Act, 1981(14 of 1981);

(f) a representative of the Department of Environment in the State;

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(g) a representative of the Meteorological Department of the Government of India;

(h) an expert in the field of occupational health; and

(i) a representative of the Town Planning Department of the State Government, andnot more than five other members who may be co-opted by the State Governmentwho shall be - (i) a scientist having specialised knowledge of the hazardous processwhich will be involved in the factory,

(ii) a representative of the local authority within whose jurisdiction the factory is to beestablished, and (iii) not more than three other persons as deemed fit by the StateGovernment.

(2) The Site Appraisal Committee shall examine an application for the establishment of afactory involving hazardous process and make its recommendation to the StateGovernment within a period of ninety days of the receipt of such applications in theprescribed form.

(3) Where any process relates to a factory owned or controlled by the Central Governmentor to a corporation or a company owned or controlled by the Central Government,the State Government shall co-opt in the Site Appraisal Committee a representativenominated by the Central Government as a member of that Committee.

(4) The Site Appraisal Committee shall have power to call for any information from theperson making an application for the establishment or expansion of a factory involvinga hazardous process.

(5) Where the State Government has granted approval to an application for the establishmentor expansion of a factory involving hazardous process, it shall not be necessary for anapplicant to obtain a further approval from the Central Board or the State Boardestablished under the Water (Prevention and Control of Pollution) Act 1974 (6 of1974) and the Air (Prevention and Control of Pollution) Act, 1981 (14 of 1981).

Section 41 B. COMPULSORY DISCLOSURE OF INFORMATION BY THE OCCUPIER

(1) The occupier of every factory involving a hazardous process shall disclose in the mannerprescribed all information regarding dangers, including health hazards and the measuresto overcome such hazards arising from the exposure to or handling of the materials orsubstances in the manufacture, transportation, storage and other processes, to theworkers employed in the factory, the Chief Inspector, the local authority within whosejurisdiction the factory is situate and the general public in the vicinity.

(2) The occupier shall, at the time of registering the factory involving a hazardous process,lay down a detailed policy with respect to the health and safety of the workers employedtherein and intimate such policy to the Chief Inspector and the local authority and,thereafter, at such intervals as may be prescribed, inform the Chief Inspector and thelocal authority of any change made in the said policy.

(3) The information furnished under sub-section (1) shall include accurate information asto the quantity, specifications and other characteristics of wastes and the manner oftheir disposal.

NOTES



(4) Every occupier shall, with the approval of the Chief Inspector, draw up an on-siteemergency plan and detailed disaster control measures for his factory and make knownto the workers employed therein and to the general public living in the vicinity of thefactory the safety measures required to be taken in the event of an accident takingplace.

(5) Every occupier of a factory shall, - (a) if such factory engaged in a hazardous processon the commencement of the Factories (Amendment) Act, 1987 (2 of 1987), within aperiod of thirty days of such commencement; and (b) if such factory proposes toengage in a hazardous process at any time after such commencement, within a periodof thirty days before the commencement of such process, inform the Chief Inspectorof the nature and details of the process in such form and in such manner as may beprescribed.

(6) Where any occupier of a factory contravenes the provisions of sub-section (5), thelicense issued under section 6 to such factory shall, notwithstanding any penalty towhich the occupier of factory shall be subjected to under the provisions of this Act, beliable for cancellation.

(7) The occupier of a factory involving a hazardous process shall, with the previousapproval of the Chief Inspector, lay down measures for the handling, usage,transportation and storage of hazardous substances inside the factory premises andthe disposal of such substances outside the factory premises and publicize them in themanner prescribed among the workers and the general public living in the vicinity.

Section 41C. SPECIFIC RESPONSIBILITY OF THE OCCUPIER IN RELATION TO HAZARDOUS PROCESSES

Every occupier of a factory involving any hazardous process shall - (a) maintainaccurate and up-to-date health records or, as the case may be, medical records, of theworkers in the factory who are exposed to any chemical, toxic or any other harmfulsubstances which are manufactured, stored, handled or transported and such records shallbe accessible to the workers subject to such conditions as may be prescribed;

(b) appoint persons who possess qualifications and experience in handling hazardoussubstances and are competent to supervise such handling within the factory and toprovide at the working place all the necessary facilities for protecting the workers inthe manner prescribed : Provided that where any question arises as to the qualificationsand experience of a person so appointed, the decision of the Chief Inspector shall befinal;

(c) provide for medical examination of every worker –

(i) before such worker is assigned to a job involving the handling of, or working with,a hazardous substance, and

(ii) while continuing in such job, and after he has ceased to work in such job, atintervals not exceeding twelve months, in such manner as may be prescribed.

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Section 41D. POWER OF CENTRAL GOVERNMENT TO APPOINTINQUIRY COMMITTEE

(1) The Central Government may, in the event of the occurrence of an extraordinary situationinvolving a factory engaged in a hazardous process, appoint an Inquiry Committee toinquire into the standards of health and safety observed in the factory with a view tofinding out the causes of any failure or neglect in the adoption of any measures orstandards prescribed for the health and safety of the workers employed in the factoryor the general public affected, or likely to be affected, due to such failure or neglectand for the prevention and recurrence of such extraordinary situations in future in suchfactory or elsewhere.

(2) The Committee appointed under sub-section (1) shall consist of a chairman and twoother members and the terms of reference of the Committee and the tenure of office ofits members shall be such as may be determined by the Central Government accordingto the requirements of the situation.

(3) The recommendations of the Committee shall be advisory in nature

Section 41E. EMERGENCY STANDARDS

(1) Where the Central Government is satisfied that no standards of safety have beenprescribed in respect of a hazardous process or class of hazardous processes, orwhere the standards so prescribed are inadequate, it may direct the Director-Generalof Factory Advice Service and Labour Institutes or any institution specialised in mattersrelating to standards of safety in hazardous processes, to lay down emergency standardsfor enforcement of suitable standards in respect of such hazardous processes.

(2) The emergency standards laid down under sub-section (1) shall, until they areincorporated in the rules made under this Act, be enforceable and have the same effectas if they had been incorporated in the rules made under this Act.

Section 41F. PERMISSIBLE LIMITS OF EXPOSURE OF CHEMICAL AND

TOXIC SUBSTANCES(1) The maximum permissible threshold limits of exposure of chemical and toxic substances

in manufacturing processes (whether hazardous or otherwise) in any factory shall be ofthe value indicated in the Second Schedule.

(2) The Central Government may, at any time, for the purpose of giving effect to anyscientific proof obtained from specialised institutions or experts in the field,, by notificationin the Official Gazette, make suitable changes in the said Schedule.

Section 41G. WORKERS’ PARTICIPATION IN SAFETY MANAGEMENT

(1) The occupier shall, in every factory where a hazardous process takes place, or wherehazardous substances are used or handled, set up a Safety Committee consisting ofequal number of representatives of workers and management to promote cooperationbetween the workers and the management in maintaining proper safety and health atwork and to review periodically the measures taken in that behalf : Provided that the

NOTES



State Government may, by order in writing and for reasons to be recorded, exemptthe occupier of any factory or class of factories from setting up such committee.

(2) The composition of the Safety Committee, the tenure of office of its members and theirrights and duties shall be such as may be prescribed.

Section 41H. RIGHT OF WORKERS TO WARN ABOUT IMMINENTDANGER

(1) Where the workers employed in any factory engaged in a hazardous process havereasonable apprehension that there is a likelihood of imminent danger to their lives orhealth due to any accident, they may bring the same to the notice of the occupier,agent, manager or any other person who is in charge of the factory or the processconcerned directly or through their representatives in the Safety Committee andsimultaneously bring the same to the notice of the Inspector.

(2) It shall be the duty of such occupier, agent, manager or the person in charge of thefactory or process to take immediate remedial action if he is satisfied about the existenceof such imminent danger and send a report forthwith of the action taken to the nearestInspector.

(3) If the occupier, agent, manager or the person in charge referred to in sub-section (2) isnot satisfied about the existence of any imminent danger as apprehended by the workers,he shall, nevertheless, refer the matter forthwith to the nearest Inspector whose decisionon the question of the existence of such imminent danger shall be final.

4.10 OCCUPATIONAL HAZARDS

Every occupation has its own hazards. One should take adequate and properprecautions to save him/her. Workers of mine and other chemical companies face acuteproblems of occupational hazards. Companies should look into the safety of their workersbeforehand. To have proper safety and precautionary measures against occupational hazardsis the fundamental right of all workers. The constitution of India gives immense priority tothe occupational hazards and its safety.

The constitution of India, as a part of the fundamental rights, has laid down that theState shall direct its policy towards protection of childhood and youth against exploitationand shall not be employed to work in any factory or mine or engaged in any hazardousemployment. The official statistics of 1983 based on a sample survey taken there arenearly 17 million children employed in various industries below the age of 15 years. Childrenare to be found in almost all sectors of urban and rural economies. Children are engaged inalmost all sectors in cities, towns and the fringe areas in the hotel industries, constructionand chemical workshops, automobile repairing and fuel stations, slate pencil industries,slate industries, glass industries, carpet industries, gem polishing, lock making industries,etc. This list of the industries where children are employed is very long and it is not possibleto cover all the occupations.. However, it can be said that in almost of the sectors of urbaneconomy children are employed. Many of the occupations listed above are hazardous in

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nature and not suitable to these children .As such many of them are detrimental to thephysical and mental health of the children. So there is a serious concern of the Governmentand society about those children who are working in such hazardous occupations.

The Occupational hazards that workers or children employed in s few of theseIndustries are discussed below:

4.10.1 A. Match and firecracker industry in Sivakasi, Tamilnadu:

In and around, Sivakasi, Tamilnadu, there are approximately. 2700 Match worksand 200 fire factories employing more than 2 lakh workers. According to UNICEF (1986),there are 45,269 children working in this industry. This particular estimate does not coverhome based match work in and around Sivakasi town as well as nearby areas. If they arealso covered in the present statistic then there are 1,25,000 children working in this industry.Out of this total working children population, 80% are girls and remaining are boys. Theprocess of match making is labour intensive. Children are employed in various processesof match making. Major processes are frame filling,, wax dipping, head filling, drying, boxfarming & filling , side painting, band rolling, dozen packing and chemical grinding section.They are exposed to physical, chemical and ergonomic hazards. Physical hazards includeexcessive heat superadded by poor ventilation. They are also exposed to high volumemusic being played by the employer so those children cannot communicate with eachother and have to be involved fully in the work. They are exposed various chemical hazardsmainly potassium chlorate, commercial sulphur, glue, black & red manganese, redphosphorus, antimony glass powder etc.

4.11 OCCUPATIONAL HEALTH PROBLEMS

In the long run, due to synergistic effect of above mentioned chemicals in the presenceof excessive heat and lack of ventilation, and improper ergonomic condition, the majoroccupational health problems which can be expected are many. Common acute occupationalillnesses observed are allergic skin diseases, allergic lung disorders, and irritation of eyeswith lacrimation, photophobia & conjunctivitis. Long working hours, exposure to excessiveheat, low illumination, improper posture, overcrowded working space, continuous sittingin one posture can cause health problems like pain in joints, body ache, fatigue and othermuscle-skeletal problems, resulting in stunted physical growth &development etc. overand above many work induced psychological problems can’t be ruled out.

4.11.1 B. Gem polishing Industry, Jaipur, Rajshtan

Gem polishing industry is located mainly in Jaipur, the capital of Rajsthan where thereare 60,000 persons are employed in this industry. Out of total workforce nearly 20 %(13,000) are children. The process gem making is labour intensive. Normally in the gemindustry, the child labour is being used for making of precious gems, polishing of gems andgiving them a shape. The child labour is used only for polishingthe precious stone by oxides(usually by Chromic Oxide). Due to this there is no chance of damage to the final product.

NOTES



The workers / children engaged in this industry complain of body ache, pain in kneeand shoulder joints. This can be due to long working hours, continuous sitting in one particularposture, improper working posture, lack of space, improper tools, improper way of carryingout the work and lack of training. Many of the children complain frequent injuries, fissuresand cracks of their hands and fingers, especially tip of the finger. Due to very precise andminute job, frequent complains of eyestrain can’t be ruled out. This can be further aggravatedby low illumination and vitamin A deficiency. There is a exposure of chromic oxide andother oxides being used for shining the gems. This list of the industries where children areemployed is very long and it is not possible to cover all the occupations.. However, it canbe said that in almost of the sectors of urban economy children are employed. Many of theoccupations listed above are hazardous in nature and not suitable to these children .Assuch many of them are detrimental to the physical and mental health of the children. Sothere is a serious concerns of the Govt. and society about those children who are workingin such hazardous occupations.

4.11.2 C. Hand made Carpet Weaving Industry, Mirzapur & Bhadoi, Uttarpradesh

The art of carpet making has spread from Kashmir to the Southern tip of India. It isnot possible to give exact statistics of workers working in these particular industries asmost of the looms are in small shades employing less than 20 children/workers. These arenot registered under shops and establishment act or factory act and technically there areno rules and laws are being applied. But by approximation, out of total workers 80%,15%, 5% are in Uttar Pradesh (96,000 children out of 2,40,000 total employees) Rajasthan(12,000 children out of total 30,000 employees) Jammu & Kashmir(6,000 out of 15,000employees) respectively. Out of total production in India, 95% is exported. Weavers aremostly Muslims or belong to Scheduled Castes such as Khatik, Koli, Raigar, Chamar, etc.Seventy percent of the children are boys between the ages of 6-14 years, working from8.00 am to 6.00 pm with an hour break for lunch. They are paid very low wages. Childrenhaving looms in the own houses are working or more than 12 hours per day.

Workers/Children are subjected to skeletal deformities, ergonomic problems, eyesight problems and health problems due to exposure to toxic chemicals: Skeletal deformities:The squatting position that the child must occupy on the old type of loom causes veryserious occupational health problems. If a worker is employed from a young age, the legsmay become deformed (genu valgum) or serious crippling arthritis of the knee may develop.The deformation on the pelvis often in a restricted form, some times occur. The constanttying of knots and the threading of the weft yarn through the warp may result in swollenfinger joints, arthritis, neuralgia, causing permanent deformities of the fingers, eye sightdisorders. The constant close attention that the weaver must give to the point of weavingor knotting may cause considerable eye strain particularly if the lightning is inadequate.

Problem is worsened when there is vitamin A deficiency.

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4.12 MENTAL HEALTH PROBLEMS

The very fine work requiring a high degree of skill and constant attention leads insome cases to nervous illness manifesting itself in hand trembling and some times mentaltroubles.

4.12.1 Slate - Stone Mines and Industry

The slate stone mines are hard stone mines located in the Markapur, northern part ofAndhra Pradesh. These mines are open, wide and deep. The stones are mined from theseareas and taken to the nearby villages in small pieces. These small pieces are again reshapedin various rectangle sizes of slates.

In the above-mentioned industry, workers / children are exposed almost to each andevery process i.e. from mining of the stone to the final touch of the slate. In mining they arelikely to get minor and major accident injuries resulting in high mortality and morbidity.Where the stones are cut in various shapes and sizes the children are exposed to dust,which can cause not only respiratory health problems but also serious disease like silicosis.While coloring the slate either black or red children are also exposed to the unknownchemicals. Similarly, while making the wooden frame children might get minor and majorinjuries. They are also involved in the fixing of slate with wooden frame where there arechances of minor injuries to the hands and tip of the finger.

Environmental & Occupational Health Exposure Chart Chart No. - 1

NOTES



4.13 NOTIFIABLE DISEASES

The Factories Act further declares certain diseases which are particularly attributableto such industry or the manufacturing process carried out in that particular industry. Sections89 and 90 of the Act specify them as follows:

Section 89. NOTICE OF CERTAIN DISEASES

(1) Where any worker in a factory contracts any disease specified in the Third Schedule,the manager of the factory shall send notice thereof to such authorities, and in suchform and within such time as may be prescribed.

(2) If any medical practitioner attends on a person who is or has been employed in afactory, and who is, or is believed by the medical practitioner to be, suffering from anydisease, specified in the Third Schedule the medical practitioner shall without delaysend a report in writing to the office of the Chief Inspector stating –

(a) the name and full postal address of the patient,

(b) the disease from which he believes the patient to be suffering, and

(c) the name and address of the factory in which the patient is, or was last, employed.

(3) Where the report under sub-section (2) is confirmed to the satisfaction of the ChiefInspector, by the certificate of a certifying surgeon or otherwise, that the person issuffering from a disease specified in the Third Schedule, he shall pay to the medicalpractitioner such fee as may be prescribed, and the fee so paid shall be recoverable asan arrear of land revenue from the occupier of the factory in which the person contractedthe disease.

(4) If any medical practitioner fails to comply with the provisions of sub-section (2), heshall be punishable with fine which may extend to one thousand rupees.

(5) The Central Government may, by notification in the Official Gazette, add to or alter theThird Schedule and any such addition or alteration shall have effect as if it had beenmade by this Act.

Section 90. POWER TO DIRECT ENQUIRY INTO CASES OF ACCIDENT OR DISEASE

(1) The State Government may, if it considers it expedient so to do, appoint a competentperson to inquire into the causes of any accident occurring in a factory or into any casewhere a disease specified in the Third Schedule has been, or is suspected to havebeen, contracted in a factory, and may also appoint one or more persons possessinglegal or special knowledge to act as assessors in such inquiry.

(2) The person appointed to hold an inquiry under this section shall have all the powers ofa Civil Court under the Code of Civil Procedure, 1908 (5 of 1908), for the purposesof enforcing the attendance of witnesses and compelling the production of documentsand material objects, and may also, so far as may be necessary for the purposes of theinquiry, exercise any of the powers of an Inspector under this Act; and every personrequired by the person making the inquiry to furnish any information shall be deemedto be legally bound so to do within the meaning of section 176 of the Indian PenalCode, 1860 (45 of 1860).

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(3) The person holding an inquiry under this section shall make a report to the StateGovernment stating the causes of the accident, or as the case may be, disease, and anyattendant circumstances, and adding any observations which he or any of the assessorsmay think fit to make.

(4) The State Government may, if it thinks fit, cause to be published any report madeunder this section or any extracts therefrom.

(5) The State Government may make rules for regulating the procedure as Inquiries underthis section.

Section 91. POWER TO TAKE SAMPLES

(1) An Inspector may at any time during the normal working hours of a factory, afterinforming the occupier or manager of the factory or other person for the time beingpurporting to be in charge of the factory, take in the manner hereinafter provided asufficient sample of any substance used or intended to be used in the factory, such usebeing –

(a) in the belief of the Inspector in contravention of any of the provisions of thisAct or the rules made thereunder, or

(b) in the opinion of the Inspector likely to cause bodily injury to, or injury to thehealth of, workers in the factory.

(2) Where the Inspector takes a sample under sub-section (1), he shall, in the presence ofthe person informed under that sub-section unless such person wilfully absents himself,divide the sample into three portions and effectively seal and suitably mark them, andshall permit such person to add his own seal and mark thereto.

(3) The person informed as aforesaid shall, if the Inspector so requires, provide theappliances for dividing, sealing and marking the sample taken under this section.

(4) The Inspector shall –

(a) forthwith give one portion of the sample to the person informed under sub-section(1);

(b) forthwith send the second portion to a Government Analyst for analysis and reportthereon;

(c) retain the third portion for production to the Court before which proceedings, ifany, are instituted in respect of the substance.

(5) Any document purporting to be a report under the hand of any Government Analystupon any substance submitted to him for analysis and report under this section, may beused as evidence in any proceedings instituted in respect of the substance.

Section 91A. SAFETY AND OCCUPATIONAL HEALTH SURVEYS

(1) The Chief Inspector, or the Director General of Factory Advice Service and LabourInstitutes, or the Director General of Health Services, to the Government of India, orsuch other officer as may be authorised in this behalf by the State Government or theChief Inspector or the Director General of Factory Advice Service and Labour Institutes

NOTES



or the Director General of Health Services may, at any time during the normal workinghours of a factory, or at any other time as is found by him to be necessary, after givingnotice in writing to the occupier or manager of the factory or any other person who forthe time being purports to be in charge of the factory, undertake safety and occupationalhealth surveys and such occupier or manager or other person shall afford all facilitiesfor such survey, including facilities for the examination and testing of plant and machineryand collection of samples and other data relevant to the survey.

(2) For the purpose of facilitating surveys under sub-section (1) every worker shall, if sorequired by the person conducting the survey, present himself to undergo such medicalexamination as may be considered necessary by such person and furnish all informationin his possession and relevant to the survey.

(3) Any time spent by a worker for undergoing medical examination or furnishing informationunder sub-section (2) shall, for the purpose of calculating wages and extra wages forovertime work, be deemed to be time during which such worker worked in the factory.

Explanation : For the purposes of this section, the report, if any, submitted to theState Government by the person conducting the survey under sub-section (1) shall bedeemed to be a report submitted by an Inspector under this Act.

The Third schedule of the Act lists the following dieses as notifiable diseases

THE THIRD SCHEDULE

( Sections 89 and 90)

LIST OF NOTIFIABLE DISEASES

1. Lead poisoning, including poisoning by any preparation or compound of lead ortheir sequelae.

2. Lead tetra-ethyl poisoning

3. Phosphorus poisoning or its sequelae.

4. Mercury poisoning or its sequelae.

5. Manganese poisoning or its sequelae.

6. Arsenic poisoning or its sequelae.

7. Poisoning by nitrous fumes.

8. Carbon disulphide poisoning.

9. Benzene poisoning, including poisoning by any of its homologues, their nitro oramido derivatives or its sequelae.

10. Chrome ulceration or its sequelae.

11. Anthrax.

12. Silicosis.

13. Poisoning by halogens or halogen derivatives of the hydrocarbons of the aliphaticseries.

14. Pathological manifestations due to

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15. radium or other radio-active substances.

16. X-rays.

17. Primary epitheliomatous cancer of skin.

18. Toxic anemia.

19. Toxic jaundice due to poisonous substances.

20. Oil acne or dermatitis due to mineral oils and compounds containing mineral oilbase.

21. Byssionosis.

22. Asbestosis.

23. Occupational or contract dermatitis caused by direct contract with chemicals andpaints. These are of two types, that is primary irritants and allergic sensitizers.

24. Noise induced hearing loss (exposure to high noise levels).

25. Beriyllium poisoning.

26. Carbon monoxide

27. Coal miners’ pneumoconiosis.

28. Phosgene poisoning.

29. Occupational cancer.

30. Isocyanates poisoning.

31. Toxic nephirits.

4.14 PSYCHOLOGICAL COUNSELLING

Psychological Counseling as a psychological specialty is about usually one-on-oneengagement between a trained counsellor, and a client. In terms of its formal instantiation,its remit may involve facilitatating personal and interpersonal functioning across the lifespan with a focus on emotional, social, vocational, educational, health-related,developmental, and organizational concerns. Through the integration of theory, research,and practice, and with sensitivity to multicultural issues, this specialty encompasses a broadrange of practices that help people improve their well-being, alleviate distress andmaladjustment, resolve crises, and increase their ability to live more highly functioninglives.

A key distinction to draw is between counselling psychology, and the modern versionsof psycho-dynamic counselling. Though closely related to clinical psychology, counselingpsychology differs from that field in a several subtle ways. First, counseling psychologiststypically focus on less severe psychopathology (e.g., depression and anxiety), while clinicalpsychologists deal with more seriously disturbed individuals (e.g., those with schizophreniaor personality disorders). In the UK, however, there is less distinction between the typesof cases that clinical and counseling psychologists work with. The difference is emphasizedmore in how they work with an individual. Second, counseling psychologists are more

NOTES



likely than clinical psychologists to assume a client-centered or humanistic theoreticalapproach. Finally, counseling psychology is unique in its attention both to normaldevelopmental issues as well as the problems associated with physical, emotional, andmental disorders. Despite these differences, counseling and clinical psychology are becomingincreasingly indistinguishable, leading some to suggest that these fields be combined.

Populations served by counseling psychologists include persons of all ages and culturalbackgrounds. Examples of those populations would include late adolescents or adults withcareer/educational concerns and children or adults facing severe personal difficulties.Counseling psychologists also consult with organizations seeking to enhance theireffectiveness or the well-being of their members.

Counseling psychologists adhere to the standards and ethics established by thePsychological Association of their respective countries and the Counseling Association ofsuch a country. Each professional or trade association has its preferred qualification andpractitioner standards, and also suggest other requirements.

4.14.1 Councelling Methodology

Counseling psychologists participate in a range of activities including teaching, research,psychotherapeutic and counseling practice, career development, assessment, supervision,and consultation. They employ a variety of methods closely tied to theory and research tohelp individuals, groups and organizations function optimally as well as to mediatedysfunction/issues. Interventions may be either brief or long-term; they are often problem-specific and goal-directed. These activities are guided by a philosophy that values individualdifferences and diversity and a focus on prevention, development, and adjustment acrossthe life-span which includes vocational concerns. Counseling Psychology is a psychologicalspecialty facilitates personal and interpersonal functioning across the life span with a focuson emotional, social, vocational, educational, health-related, developmental, andorganizational concerns. Through the integration of theory, research, and practice, andwith a sensitivity to multicultural issues, this specialty encompasses a broad range of practicesthat help people improve their well-being, alleviate distress and maladjustment, resolvecrises, and increase their ability to live more highly functioning lives. Though closely relatedto clinical psychology, counseling psychology differs from that field in a several subtleways. First, counseling psychologists typically focus on less severe psychopathology (e.g.,depression and anxiety), while clinical psychologists deal with more seriously disturbedindividuals (e.g., those with schizophrenia or personality disorders). The difference isemphasized more in how they work with an individual. Second, counseling psychologistsare more likely than clinical psychologists to assume a client-centered or humanistic theoreticalapproach. Finally, counseling psychology is unique in its attention both to normaldevelopmental issues as well as the problems associated with physical, emotional, andmental disorders. Despite these differences, counseling and clinical psychology are becoming

DBA 1748

NOTES


increasingly indistinguishable, leading some to suggest that these fields be combined.Populations served by counseling psychologists include persons of all ages and culturalbackgrounds. Examples of those populations would include late adolescents or adults withcareer/educational concerns and children or adults facing severe personal difficulties.Counseling psychologists also consult with organizations seeking to enhance theireffectiveness or the well-being of their members.

4.14.2 Employment settings

Counseling psychologists are employed in a variety of settings depending on theservices they provide and the client populations they serve. Some are employed in collegesand universities as teachers, supervisors, researchers, and service providers. Others areemployed in independent practice providing counseling, psychotherapy, assessment, andconsultation services to individuals, couples/families, groups, and organizations. Additionalsettings in which counseling psychologists practice include community mental health centers,Veterans Administration Medical Centers and other facilities, family services, healthmaintenance organizations, rehabilitation agencies, business and industrial organizationsand consulting within firms.

QUESTIONS FOR DISCUSSION

1. What are the features of a safety organization ?

2. List some of the statutory safety provisions

3. Discuss the statutory health provisions under the factories act, 1948

4. List a few of the industries which are scheduled as to include hazardous processes

5. What is the constitution of site appraisal committee and in which of the industriesthis is mandatory ?

6. What are occupational hazards ?

7. What are notifiable diseases? List a few of such diseases.

8. “Safety in Industries often take a back seat” Do you agree or disagree to thestatement ? Elaborate

9. If you are appointed as a safety Director of a factory what precautions would youinsist upon your management?

10. What is Psychological Councelling? What are your personal interests if you preferto take up such a career?

NOTES



UNIT V

WELFARE OF SPECIAL CATEGORIES OFLABOUR

Learning Objectives


• Child labour – Constitutional Rights

• Child Labour Technical Advisory committee

• National Child Labour Project

• Contract Labour

5.1 CHILD LABOUR

Introduction

The rights of a child are protected under various legislations including a mention ofthem in the Constitution of India.

5.1.1. Constitutional Rights of a Child

Article 21 A of The Constitution of India, 1950

Right to Education

The State shall provide free and compulsory education to all children of the age of 6to 14 years in such manner as the State, by law, may determine

Article 24

Prohibition of employment of children in factories, etc.

No child below the age fourteen years shall be employed in work in any factory ormine or engaged in any other hazardous employment

Article 39

The State shall, in particular, direct its policy towards securing:-

DBA 1748

NOTES


that the health and strength of workers, men and women, and the tender age ofchildren are not abused and that citizens are not forced by economic necessity to enteravocations unsuited to their age or strength

Laws pertaining to the prohibition of Child Labour

1. Children (Pledging of Labour] Act (1933)

2. Employment of Children Act (1938)

3. The Bombay Shop and Establishments Act (1948)

4. Child Labour (Prohibition and Regulation Act) 1986

5. The Indian Factories Act (1948)

6. Plantations Labour Act (1951)

7. The Mines Act (1952)

8. Merchant Shipping Act (1958)

9. The Apprentice Act (1961)

10. The Motor Transport Workers Act (1961)

11. The Atomic Energy Act (1962)

12. Bidi and Cigar Workers (Condition of Employment) Act (1966)

13. State Shops and Establishments Act

5.2 THE CHILD LABOUR (PROHIBITION AND REGULATION) ACT, 1986

The Act came into force from 23rd December 1986. Its main objectives are to prohibitthe employment of children in certain categories of industries and to regulate the conditionsof work of children in certain industries. It was amended in 1988.

(1) Scope

The Act is applicable to all establishments such as workshop, farm, residential hotels,restaurants, eating houses, theatre or other places of public amusement where childlabour is largely employed. The Act extends to the whole of India.

Important Definitions under the Act: “Workshop” means any premises (including theprecincts thereof) wherein any industrial process is carried on, but does not include anypremises to which the provisions of Factories Act 1948 applies.

“Occupier” in relation to an establishment, an occupier means the person who hasultimate control over the affaires of the establishment or workshop.

“Appropriate government” means in relation to an establishment under the control ofthe Central Government or a railway administration or a major port or a mine or oilfield,the Central Government, and in all other cases the State Governments

NOTES



“Child” means a person who had not completed fourteen years of age.

(2) Main Provisions of the Act

(1) Prohibition of employment of children in certain occupations and processes:

(2) No child can be employed, or permitted to work in nay of the occupations setforth in Part A of the Schedule or in any workshop wherein any of the processesset forth in Part B of the schedule is carried on.

(3) Hours and period of work:

(a) No child shall be allowed to work in any establishment in excess of such numberof hours as many be prescribed for such establishment or class establishment;

(b) The daily hours or work shall be so fixed that no child shall be allowed to work formore than three hours without prior interval of an hour:

(c) The hours of work shall be so arranged that inclusive of rest interval, time spreadand the time spend in waiting for the work shall not exceed six hours a day;

(d) No child shall be allowed to work between 7. P.M and 8 P.M

(e) No child shall be allowed to work overtime; and

(f) No child shall be permitted to work in nay establishment on any day on which hehas already worked in some other establishment

(3) Weekly Holiday

Every child employed in any establishment shall be given one weekly holiday of 24hours.

(4) Healthy and Safety

(i) The appropriate government by notification in the Official Gazette, can make rulesfor health and safety of children employed or permitted to work in any establishmentor class of establishment.

(ii) Without any prejudice to the generality of the foregoing provisions, the rules forhealth and safety may provided for all or any of the following matters namely;

1. Cleanliness in the place of work and its freedom from nuisance

2. Disposal of wastes and effluents

3. Ventilation and temperature

4. Dust and fumes

5. Lighting

6. Drinking water

7. Artificial humidification

8. Latrine and urinal

9. Spittoons

10. (10) Fencing of machines

DBA 1748

NOTES


11. Work at or near machinery in motion

12. Employment of children on dangerous machines

13. Instructions training and supervision in relation to employment of childrenon dangerous machines

14. Device for cutting off power

15. Self-acting machines

16. Casing of new machinery

17. Floor, stairs and means of access

18. Pits, sumps, opening in floors etc.

19. Excessive weights

20. Protection eyes

21. Explosive or inflammable dist gas etc

22. Precaution in case of fire; maintenance of buildings; and safety of buildingsand machinery.

(5) Child Labour Technical Advisory committee

The Central Government by notification in the Official Gazette may constitute a ChildLabour Technical Adivisory Committee to advise government for the purpose of occupationand processes to be include in the Schedule. The committee shall consists of a chairmanand such other members not exceeding ten. It can meet as often as it likes to carry on itsbusiness. The committee is empowered constitute one or more sub-committees for generalor any specific function.

(6) Power to Make Rules

The appropriate government by notification in the Official Gazette can make rules forthe proper enforcement of the Act. Such rules may provide for all or any of the followingmatters namely:

(a) The term of office and the manner or filling casual vacancies of and the allowancespayable to the chairman and members of the cild labour technical advisorycommittee.

(b) Number of hours for which a child worker may be required to work.

(c) Grant of certificate of age in respect of young persons in employment or seekingemployment, the medical authorities which may issue such certificate, the form ofsuch certificate, the charges which are required to be made in this respect and themanner of issuance of such certificates.

(7) Appointment of Inspectors

The appropriate government may appoint inspectors for the purpose of securingcompliance of this Act.

NOTES



Penalties: Whosoever employs any child or permits any child to work in contraventionof the provision of Act shall be punishable with imprisonment of a term of not less thanthree months but can be extended months but can be extended to one year or with a finewhich shall not be less than ten thousand rupees, however, it can extend to twenty thousandrupees or with both.

5.3 INITIATIVES TOWARDS ELIMINATION OF CHILD LABOUR – ACTIONPLAN AND PRESENT STRATEGY

The problem of child labour continues to pose a challenge before the nation. Government has been taking various pro-active measures to tackle this problem. However,considering the magnitude and extent of the problem and that it is essentially a socio-economic problem inextricably linked to poverty and illiteracy, it requires concerted effortsfrom all sections of the society to make a dent in the problem. In 1979, the Governmentformed the first committee called Gurupadswamy Committee to study the issue of childlabour and to suggest measures to tackle it. The Committee examined the problem in detailand made some far-reaching recommendations. It observed that as long as poverty continued,it would be difficult to totally eliminate child labour and hence, any attempt to abolish itthrough legal recourse would not be a practical proposition. The Committee felt that in thecircumstances, the only alternative left was to ban child labour in hazardous areas and toregulate and ameliorate the conditions of work in other areas. It recommended that amultiple policy approach was required in dealing with the problems of working children.

Based on the recommendations of Gurupadaswamy Committee, the Child Labour(Prohibition & Regulation) Act was enacted in 1986. The Act prohibits employment ofchildren in certain specified hazardous occupations and processes and regulates the workingconditions in others. The list of hazardous occupations and processes is progressivelybeing expanded on the recommendation of Child Labour Technical Advisory Committeeconstituted under the Act.

In consonance with the above approach, a National Policy on Child Labour wasformulated in 1987. The Policy seeks to adopt a gradual & sequential approach with afocus on rehabilitation of children working in hazardous occupations & processes in thefirst instance. The Action Plan outlined in the Policy for tackling this problem is as follows:

Legislative Action Plan for strict enforcement of Child Labour Act and other labourlaws to ensure that children are not employed in hazardous employments, and that theworking conditions of children working in non-hazardous areas are regulated in accordancewith the provisions of the Child Labour Act. It also entails further identification of additionaloccupations and processes, which are detrimental to the health and safety of the children.

5.4 FOCUSING OF GENERAL DEVELOPMENTAL PROGRAMMES FOR BENEFITING CHILD LABOUR

As poverty is the root cause of child labour, the action plan emphasizes the need tocover these children and their families also under various poverty alleviation and employmentgeneration schemes of the government.

DBA 1748

NOTES


Project Based Plan of Action envisages starting of projects in areas of high concentrationof child labour. Pursuant to this, in 1988, the National Child Labour Project (NCLP)Scheme was launched in 9 districts of high child labour endemicity in the country. TheScheme envisages running of special schools for child labour withdrawn from work. In thespecial schools, these children are provided formal/non-formal education along withvocational training, a stipend of Rs.100 per month; supplementary nutrition and regularhealth check ups so as to prepare them to join regular mainstream schools. Under theScheme, funds are given to the District Collectors for running special schools for childlabour. Most of these schools are run by the NGOs in the district.

Government has accordingly been taking proactive steps to tackle this problem throughstrict enforcement of legislative provisions along with simultaneous rehabilitative measures.State Governments, which are the appropriate implementing authorities, have beenconducting regular inspections and raids to detect cases of violations. Since poverty is theroot cause of this problem, and enforcement alone cannot help solve it, Government hasbeen laying a lot of emphasis on the rehabilitation of these children and on improving theeconomic conditions of their families.

5.5 THE COVERAGE OF THE NCLP SCHEME HAS INCREASED FROM 12DISTRICTS IN 1988 TO 100 DISTRICTS IN THE 9TH PLAN TO 250DISTRICTS DURING THE 10TH PLAN.

Strategy for the elimination of child labour under the 10th Plan

An evaluation of the Scheme was carried out by independent agencies in coordinationwith V.V. Giri National Labour Institute in 2001. Based on the recommendations of theevaluation and experience of implementing the scheme since 1988, the strategy forimplementing the scheme during the 10th Plan was devised. It aimed at greater convergencewith the other developmental schemes and bringing qualitative changes in the Scheme.Some of the salient points of the 10th Plan Strategy are as follows:

Focused and reinforced action to eliminate child labour in the Hazardous occupationsby the end of the Plan period.

Expansion of National Child Labour Projects to additional 150 districts.

Linking the child labour elimination efforts with the Scheme of Sarva Shiksha Abhiyanof Ministry of Human Resource Development to ensure that children in the age group of 5-8 years get directly admitted to regular schools and that the older working children aremainstreamed to the formal education system through special schools functioning underthe NCLP Scheme. Convergence with other Schemes of the Departments of Education,Rural Development, Health and Women and Child Development for the ultimate attainmentof the objective in a time bound manner.

NOTES



The Government and the Ministry of Labour & Employment in particular, are ratherserious in their efforts to fight and succeed in this direction. The number of districts coveredunder the NCLP Scheme has been increased from 100 to 250, as mentioned above in thisnote. In addition, 21 districts have been covered under INDUS, a similar Scheme forrehabilitation of child labour in cooperation with US Department of Labour. Implementationof this Project was recently reviewed during the visit of Mr. Steven Law, Deputy Secretaryof State, from the USA. For the Districts not covered under these two Schemes, Governmentis also providing funds directly to the NGOs under the Ministry’s Grants-in-aid Schemefor running Special Schools for rehabilitation of child labour, thereby providing for a greaterrole and cooperation of the civil society in combating this menace.

Elimination of child labour is the single largest programme in this Ministry’s activities.Apart from a major increase in the number of districts covered under the scheme, thepriority of the Government in this direction is evident in the quantum jump in budgetaryallocation during the 10th Plan. Government has allocated Rs. 602 crores for the Schemeduring the 10th Plan, as against an expenditure of Rs. 178 crores in the 9th Plan. Theresources set aside for combating this evil in the Ministry is around 50 per cent of its totalannual budget.

The implementation of NCLP and INDUS Schemes is being closely monitored throughperiodical reports, frequent visits and meetings with the District and State Governmentofficials. The Government’s commitment to achieve tangible results in this direction in atime bound manner is also evident from the fact that in the recent Regional Level Conferencesof District Collectors held in Hyderabad, Pune, Mussoorie and Kolkata district-wise reviewof the Scheme was conducted at the level of Secretary. These Conferences provided anexcellent opportunity to have one-to-one interaction with the Collectors, who play a pivotalrole in the implementation of these Schemes in the District. Besides, these Conferencesalso helped in a big way in early operationalisation of Scheme in the newly selected 150districts.

The Government is committed to eliminate child labour in all its forms and is moving inthis direction in a targeted manner. The multipronged strategy being followed by theGovernment to achieve this objective also found its echo during the recent discussions heldin the Parliament on the Private Member’s Bill tabled by Shri Iqbal Ahmed Saradgi. It wasunanimously recognized therein that the problem of child labour, being inextricably linkedwith poverty and illiteracy, cannot be solved by legislation alone, and that a holistic,multipronged and concerted effort to tackle this problem will bring in the desired results.

5.6 THE CONTRACT LABOUR (REGULATION AND ABOLITION) ACT, 1970

Scope and Coverage

The Act came into force from 10th February 1971. It extends to the whole of Indiaand applies to every establishment in which twenty or more workmen are or were, employedon any day during the preceding twelve months as contract labour, and to every contractor

DBA 1748

NOTES


who employs or employed on any day during the preceding twelve months more thantwenty workmen. Both the Central and State Governments which administer this legislationhave the powers to apply the provision of the Act to any establishment or contractoremploying even less than workmen after giving at least two months’ notice of their intentionto do so.

The Act does not apply to establishments where work is of a casual (irregular oroccasional or intermittent (interrupted or non-continues) nature. The work performed inan establishment is not considered to be of an intermittent nature:

(i) If it is performed for more than one hundred and twenty days in the precedingtwelve months;

(ii) It is not of seasonal character if it is performed for more than sixty days in a year.

The Act also does not cover persons employed mainly in managerial and administrativecapacities, persons employed as supervisors, drawing wages exceeding five hundred rupeesper month, and out-workers who are given materials or articles for processing ofmanufacturing in their own homes, or in the premises which are not under the control andmanagement of the principal employer. Under this Act, a workman is considered to beemployed as “control labour” in or in connection with the work of an establishment whenhe is hired for this work by or through a contactor with or without the knowledge of theprincipal employer. The “contractors” covered by the Act are “persons” who undertake toproduce a given result of an establishment, and include sub-contractors. The Act does notregard persons as contractors who only supply goods or articles of manufacture to anestablishment.

Administration of the Act

Through the Act is a Central legislation, yet it is administered both by the Central andState Governments. The Central Government administers the Act in regarded to railways,Cantonment Boards major ports, mines and oil fields, banking and insurance companiesand other establishment which are carrying an industry by the Central Government.Establishments other than those mentioned above are the concern of State Governments(Section 2 (1))

THE MAIN PROVISIONS OF THE ACT

The Act provides for the following

(1) Setting Up of Advisory Boards

The Act requires that the Central and State Advisory Boards are to be set up by theCentral and State Governments, respectively to advise them on such matters arising out ofthe administration of the Act as may be refereed to them, and carry out any other functions

NOTES



assigned to them under the Act. Besides, the government nominees, the Boards havemembers representing industry, contractors, workers, and any other interest that thegovernment may consider should be represented on the Boards. The number of nomineesof the workers is to be equal to that of industry and contractors, both on the State and theCentral Boards (section 3,4)

(2) Registration of Establishment

Every principal employer who wishes to employ contract labour has to get theestablishment is accepted for registration. the registration officer issues a registrationcertificate if the establishment is accepted for registration. This certificate can be cancelledif it has been obtained by misrepresentation or suppression of any material fact, or if theregistration has become useless or ineffective or requires to be revoked.

The contract labour cannot be employed so long as the registration certificate has notbeen issued or after it is revoked. The employer has to play a registration fee of twentyrupees to five hundred rupees depending on the number of workers to be employed (Section6, 7, 8, 9)

(3) Prohibition of employment of Contract Labour

Both the Central and State Governments can prohibit the employment of contractlabour in any process, operation or other work in any establishment after consulting theirAdvisory Boards, and consider the conditions of work and benefits provided for contractlabour in the establishment. The employment of contract labour may not be permitted forany process, operation and other work if it is:

(a) incidental to or necessary for the industry, trade, business, manufacture or occupationthat is carried on in the establishment;

(b) of perennial or perpetual nature or of a sufficient duration

(c) done ordinarily through regular workmen in that establishment or an similar thereto:

(d) capable of employing considerable number of wholetime workmen.

If a question arise whether any process, operation or other work is of perpetual orperennial nature, the decision of the government concerned is to be final.

Some of the important processes, operations and other works for which contractlabour may be employed are loading and unloading stacking and unshackling, constructionand maintenance of buildings and roads, and seasonal works, if theses may satisfy one ofthe other above-mentioned conditions for the employment of contract labour

(4) Licensing of Contractors

Every contractor has to obtain a licensing for employing contract labour from thelicensing officer appointed by the government for this purpose. In this application for alicensing he has to mention the location of his establishment, the nature of the operation or

DBA 1748

NOTES


the work for which contract labour is to be employed, and such other particulars as maybe required by the licensing officer. He is charged a licence fee, which may vary from fiverupees to one hundred and twenty five rupees, depending on the number of workers to beemployed

The licence may prescribe such conditions as hours or work, fixation of wages andessential amenities in respect of contract labour which the contractor may be required tocomply with while employing contract labour. For ensuring compliance with thesesconditions, the contractor has to deposit a security of the amount required by the licensingofficer.

The license is issued for a specified period, on the expiry of which it has to be renewed.It can be revoked or suspended after giving to the holder of the license an opportunity toshow cause if it is found that it has been obtained by misrepresentation, or suppression ofmaterial facts or any conditions of the license or any provision of the Act, and if the rulesfarmed there under have not been compiled with. The licensing officer may also declarethe whole or a part of the security deposits to be a forfeit (Section 11 to 14)

(5) Welfare and Health of Contract Labour

A contractors are required to provide and maintain:

(e) A Sufficient supply of wholesome drinking water at convenient places;

(f) A sufficient number of latrines and urinals of the prescribed type conveniently situatedand accessible.

(g) Washing facilities;

(h) A first –aid box equipped with prescribed contents at every place where contractlabour is employed;

(i) One or more canteens if the work is to continue for more than 6 months and 100or more workers are employed. The number of canteens, the standard of theirconstruction, furniture and equipment, and the type of food to be supplied will beas prescribed under the rules framed by the government

If the contractor fails to provides theses facilities, the principal employer will have toprovide the same and recover the expenses involved from the contractor.

(6) Responsibility for payment of Wages

The contractor is also to be responsible for making regular and timely payment ofwages to his workers. The payment is to be made in the presence of the authorizedrepresentative of the principal employer. If the contractor does not make payment, theprincipal employer will do the same and recover the amount so paid from the contractor(Section 16 to 21)

NOTES



(7) Penalties

The Act provides for imprisonment for a term of three months of fine ranging from fivehundred rupees to one thousand rupees or both for contravention of various provision ofthe Act and other offences. Additional fine is also provided for continuing offences andcontraventions (Sections 22, 23, 24)

(8) Inspectors and Rules

The Act provides for the appointment of inspectors and defines their powers andjurisdiction. There is also a provision for making rules by Central and State Governmentsfor carrying out the purposes of the Act (Section 28, 35)

Obligations of Principal employers and Contractors: Every principal employer andcontractor who wants to employ contract labour has to:

(j) Get his establishment registered with the registering officer appointed by thegovernment (Section 7);

(k) Obtain a license from the licensing officer for employing contract labour and complywith the terms and conditions of the grant of the license (Section 12);

(l) Not to employ contract labour without obtaining a registration certificate and license,or after the registration certificate and license are revoked or suspended (Section9, 12, 1);

(m)Provide welfare and health facilities as required under the Act and its rules (Section16, 19);

(n) Pay wages to workers before the expiry of the wages period (Section 21);

(o) Co-operate with the inspectors in the inspection of premises, documents and recordsand examining any person to determine if the provisions of the Act and the rulesframed there under are being complied with (Section 28);

(p) Maintain the registers and records with such particulars of contract labour, asnature of work performed, rates of wages and other information specified in Rules74 and 78 of the Act (Section 29);

(q) Exhibit in the premises of the establishment where contract labour is employed anotice showing hours of work, rates of wages, wage periods, dates of payment ofwages, nature of duties and other particulars as mentioned in Rule 81 of the Act(Section 29 (2)); and

(r) Send a half-yearly return to the licensing officer and yearly return to the registrationofficer, and to supply such information and statistics as may be required by thegovernment from time to time.

Rights of Principal Employers and Contractors: The principal employers andcontractors have the right to:

DBA 1748

NOTES


(a) Appeal to the appellate officer against the order of the Registration officer and thelicensing officer, either for refusing or revoking registration or license within thirtydays of receiving such orders (Section 4);

(b) Be represented by their representatives on the Central and State Advisory Boards(Section 4);

(9) Rights of Contract Labour

The contract labour has the right to:

(a) Claim such working conditions, facilities and other benefits as are provided forunder the Act and the rules framed there under (Section 16 to 22); and

(b) They can be represented by their representatives on the Central and State AdvisoryBoards (Section 4)


1. Explain the Constitutional rights guaranteed to a child under the provisions of theIndian Constitutional Act

2. Explain the office and working of the Child Labour Technical Advisory committee

3. Explain a few of the initiatives taken by the Government of India to eliminate childlabour in India

4. What is licensing of contractors ?

5. Give a brief overview of the Contract labour (Abolition & Prohibition) Act, 1970

NOTES



Table 1.1Unorganized Sector

SOCIO-ECONOMIC CONDITIONS OF LICENSED RAILWAY PORTERS ATFIVE SELECTED CENTRES

Educ

atio

nal

Stan

dard

Seco

ndar

y &

Abov

e

Aver

age

Mon

thly

Earn

ings

Sl.

No.

Nam

e of

the

Cent

re

Tota

l No.

of

Sam

pled

Porte

rs

Tota

l

No.

of

Mig

rant

Porte

rs

Aver

age

Size

of

the

Fam

ily

Aver

age

No.

of

Earn

ers

Tota

l No.

of F

amily

mem

bers

Mal

e Fe

mal

eEarn

ers

Dep

ende

ncy

Rat

io

Perc

enta

ge

of F

amilie

s

Stay

ing

at

Plac

e of

Wor

k M

in

Max

Aver

age

Fam

ily

Mon

thly

Inco

me

(in R

s.)

No.

of

Fam

ilies

Rep

orte

d

Inde

bted

ness

Perc

enta

ge

of L

oan

Cas

es b

y

Purp

ose

of

Loan

–

Hou

seho

ld

Sick

ness

/

Mar

riage

Sour

ce o

f

Loan

Perc

enta

ge

of L

oan

Con

tract

ed

from

Mon

ey

Lend

er

1 2

3 4

5 6

7 8

9 10

11

12

13

14

15

17

18

1 C

henn

ai

160

1 4.

8 1.

19

764

11.2

6.

4 2.

8 53

.8

2650

35

55

3594

16

.9

66.6

32

.1

2 B

anga

lore

12

0 14

5.

5 1.

26

657

3.2

1.5

3.1

92.5

31

24

4101

43

02

11.7

92

.8

85.7

3 D

elhi

16

0 15

7 6.

7 1.

17

1078

6.

5 1.

2 4.

2 8.

1 32

73

4444

51

39

46.3

82

.5

87.7

4 K

olka

ta

160

159

6.5

1.05

10

33

6.8

0.4

4.9

2.5

2363

29

26

3135

21

.9

88.6

82

.9

5 M

umba

i 16

0 6

6.1

1.16

98

3 12

.7

3.6

3.9

21.3

25

67

3181

38

16

55.6

68

.5

3.3

6

All C

entr

es

760

337

5.9

1.16

45

15

8.2

2.4

3.8

32.7

27

78

3617

39

81

31.4

76

.9

50.0

DBA 1748

NOTES


Table 1.2

Unorganized Surveys in different Industries

%ag

e N

o.of

Wor

kers

Empl

oyed

thro

ugh

Sl

No.

Nam

e of

Rep

ort &

Yea

r*

* Lat

est a

vaila

ble

figur

es o

f the

Indi

an L

abor

Sta

tistic

s Bu

reau

,

2008

Sam

pled

Uni

ts

Sam

pled

Wor

kers

Dire

ctly

O

ther

s

Aver

age

Mon

thly

Inco

me

Mig

ratio

n

in (%

)

Aver

age

Size

of

Fam

ily

Aver

age

no. o

f

Earn

ers

in a

fam

ily

% a

ge N

o.

of

Dw

ellin

gs

(Sel

f

Ow

ned)

% F

amilie

s

Rep

orte

d

Inde

bted

ness

Rea

sons

of

Inde

bted

ness

in (

% a

ge )

(Hou

seho

ld

Expe

nse,

Sick

ness

,

Mar

riage

)

1 2

3 4

5 6

7 8

9 10

11

12

13

1 Be

edi r

ollin

g in

Indi

a (1

995)

27

8 10

23

94.3

5.

7 14

42.3

3.

1 5.

2 2.

1 70

.8

14.1

69

.7

2 M

an-m

ade

Fibe

r Tex

tile

Indu

stry

(199

6)

253

330

99.5

0.

5 24

17

31.5

4.

0 1.

5 40

.3

19.1

74

.3

3 M

arin

e Fi

shin

g In

dust

ry in

Indi

a

(199

7)

226

516

38.2

61

.8

2751

1.

0 5.

2 1.

8 84

.1

17.2

44

.7

4 Ar

tistic

M

etal

war

e in

dust

ry

in

Indi

a (1

999)

20

0 21

3 62

38

30

90

1.4

5.3

1.8

65.7

29

.1

78.5

NOTES



Table 1.3

Working and Living Conditions of Workers in Artistic Metalware Industry inIndia (1999)

S.No. Item Description Value 1. Percentage of Workers

A. Directly Employed

i) Male ii) Female iii) Children iv) Time Rated v) Piece Rated

B) Through Contractor

C) House Hold Workers

i) Male ii) Female iii) Children

93.4 6.6

- 32.0 68.0

-

70.5 17.8 11.7

2. Average Size of Family 5.3 3. Average Number of earners per family 1.8 4. Average monthly income per family Rs. 3,090/- 5. Average monthly expenditure per family

(including savings/investments) Rs. 3,090/-

6. Literacy level rate in percentage 67.1 7. Number of Migrant Workers 3 8. Percentage of Indebted families 29.1

DBA 1748

NOTES


NOTES

dba 1748 industrial relations and labour welfare

Documents

anna university

ad hoc body

himalaya publishing

site appraisal

excessively

artistic metalware

humanistic

normal peace