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Session 23

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Ambiguous

Doubtful; uncertain; open to more than one

interpretation

The contract was so ambiguous that thelawyer had to struggle to make a clear case.

The rules of the contest were ambiguous sothere was a lot of argument amongcontestants.

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Labour Unrest at Maruti Suzuki Ltd.

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1 35 pm to 4 40 pm

Presentations should be approx 4 to 5minutes

No powerpoint

Clear explanation of findings and learnings

needs to be presented

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Intention to protect workmen with regard to

conditions of employment

Define with precision the conditions of

employment of workers

Make the conditions known to the

workmen

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Certified Standing Orders framed inaccordance with the Act have the source oflaw like any other Statutory instrument

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Situation prior to the Act

Individual contracts of employment express orimplied

Conditions riddled with doubt and ambiguity

Workers were confused about what wasexpected of them and what procedures were tobe followed

Management arbitrarily changed terms andconditions

Workers took undue advantage of the ambiguity

Led to strained relationships

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Obligatory for all establishments coveredunder the Act to define precisely theconditions of employment which will governrelations between employer and employee

Make the conditions known to the workmen

Uniformity of terms of employment in respectof all employees belonging to the same

category and discharging the same or similarfunctions

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Maintain proper discipline, harmoniousworking conditions

Provide for redressal of grievances

Specify duties and responsibilities ofemployer and employees

Provide statutory sanctity and importance tothe Standing Orders

Certification to avoid disputes

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Central Act; applies to the whole of India Every industrial establishment where >100

workmen are employed or

Where > 100 workmen are employed on anyday in the preceding 12 months and

Establishment of a contractor who employsworkmen to fulfil his contract with an

industrial establishment

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Meanings

Industrial Establishment as defined in

Payment of Wages Act 1936

Factory as defined in Factories Act, 1948

Workman as defined in Industrial Disputes Act

1947

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Appellate

Having the power to hear court appeals andreview court decisions

Unhappy with the verdict, the Union decidesto approach the Appellate authority

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Excluded Establishments

Workmen employed by industries coveredunder:

Fundamental and Supplementary Rules

Civil Service Classification, Control and AppealRules

Civil Services Temporary Service Rules Civilians in Defence Service Rules

Revised Leave Rules

Railway Establishment Code

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Industry to which the provisions of ChapterVII of Bombay Industrial Relations Act 1946apply

Industrial establishment to which provisionsof MP Industrial Employment Standing OrdersAct 1961 apply

Appropriate government may extend therules to apply to establishments with

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Sec 2: Definitions Sec 3: Drafting of SO

Sec 4: SO Certification

Sec 5: Procedure for SO certification

Sec 6: Appeal against decision of certifyingofficer

Sec 7: Date from which SO are binding

Sec 8: Maintenance of register of all SO whichare certified

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Sec 9: Details on notice board and languagesto be used

Sec 10: duration of SO and modification

Sec 11: Certifying officers and appellate

authorities Sec 12: No oral evidences to be admitted

Sec 13: Penalties and procedures

Sec 14: Acts for which employer may takedisciplinary action

Sec 15: power to appropriate Government

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Employer: owner of an establishment Includes: manager of the factory

Any person responsible for supervision andcontrol of the establishment

Head of the department where no authority isappointed in any establishment

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Standing Orders:

Rules relating to matters set out in Schedule

to the Act [ Sec 2 ( g) ]

Certifying Officer: Labour Commissioner,Regional Labour Commissioner, any otherofficer appointed by the appropriategovernment

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Wages: as per the definition in the ID Act:

All remuneration capable of being expressed

in terms of money, express or implied,including:

Allowances, incl dearness allowance

Value of house accommodation, supply of

light, water, medical ,concessional supply offoodgrain or any other article

Travelling concession

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Bonus Contribution paid or payable by employer to

provident fund, or any other fund

Gratuity payable on end of service

Commission on sales

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Provisions of the Act

1. Submission of Draft Standing Orders byEmployer (Sec 3) i.e. rules which areproposed to be adopted for workmen.

Classification of employees: permanent,probationer, temporary, apprentice, casual,badli

Workmens ticket and register Manner of notification to employees of

periods and hours of work, holidays, paydays, wage rates

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Shift working

Attendance and late coming

Conditions of procedure in applying for leaveand the authority which may grant leave andholidays

Requirement to enter premises by certaingates, liability to search

Closing and reopening of sections of theestablishment / entire establishment and

temporary stoppages of work and rights andliabilities of employees arising therefrom

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Termination of employment and notice to begiven by the employer to the employee

Suspension or dismissal for misconduct and actsor omissions which constitute misconduct

Means of redress for employees against unfairtreatment or wrongful exaction on the part of the

employer or his agent Any other matter found fit to be included

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Draft must be in conformity with ModelStanding Orders; need not use the samewords

Must be in conformity with any other lawapplicable to the establishment

Must be attached with details of workmenemployed: number, designations, total

number in each designation, name to Unionto which they belong

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Draft SO must be submitted within 6 months

of commencement of business to the

certifying officer

Joint draft standing order can be submittedin case of more than one establishment of

similar nature

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The certifying officer can refuse to certify theDraft SO if he finds that they are not fair

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Certifying Officer receives the draft SO

Sends a copy to the Union/workmen, inviting

objections, within 15 days

Both parties are given reasonableopportunity to be heard

Certifying Officer can adjudicate on the

fairness of the SO

Can certify with or without modifications

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Once officially certified, the SO are binding onthe employer and employees

Govt sanction has to be obtained before anemployer can be punished for violation of SO

Labour Courts may nullify actions taken inviolation of SO by employers

SO serve as guidelines for Labour Courts and

Tribunals in settlement of disputes

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To the Appellate Authority appointed by the

government by a notification in the OfficialGazette

Power of the Appellate Authority: Can confirmor amend the certified SO; cannot set aside

The decision of the Appellate Authority is finaland cannot be challenged in a Civil CourtAppellate Authority has to send copies of his

order to the employer, Unions within 7 daysunless there is no change in the certified SO

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Come into force 30 days from the date onwhich copies are sent

In case of appeal, 7 days from the date onwhich copies of the appellate order are sent

Employer and employees cannot get into anagreement which goes against the SO

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Copy of the Certified SO can be obtained fromthe Certifying Officer

It is a statutory obligation for the employer to

display a copy of the Certified SO in Englishand the language known to the majority of theworkers near an entrance that is widely used toenter the establishment

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Cannot be modified without prior agreementof Union and employer; six months need toelapse from the last modification

Party wanting the modification has to apply to

certifying officer

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Regional Labour Commissioner, LabourCommissioner or other officer appointed bythe appropriate Govt. by a notification in theofficial gazette

Certifying officer and appellate authority havethe powers of a civil court for receivingevidence, compelling the discovery andproduction of documents

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Prescribed by the appropriate govt will beapplicable till the establishments SO getcertified

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Fines are payable for: not submitting draft SO

Contravening the certified SO

No prosecution is permissible without thesanction of the govt.

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In case of a dispute, either side may

approach a Labour Court

Right to move the labour court is granted to

workmen and not to UnionsDismissed or discharged workman does not

fall under purview of act as workman, hence

he cannot appeal under this Act

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Machinery for Implementation

Certifying Officer

Appellate Authority

Regional Labour Commissioner Chief Labour Officer is the Appellate Authority

for the Central sphere

Appellate authority in the State is the IndustrialCourt or any authority appointed by thegovernment

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Chapter 19, Mamoria