LABOUR AND EMPLOYMENT DEPARTMENT

POLICY NOTE

DEMAND No.32

LABOUR, FACTORIES, EMPLOYMENT AND TRAINING

2012 2013

S.T. CHELLAPANDIAN Minister for Labour

Government of Tamil Nadu 2012

INDEX

SL. NO. CONTENTS

PAGE NO.

I. LABOUR DEPARTMENT

1 Labour Courts 4

2 Enforcement of Acts & Rules 5

3 Minimum Wages Act, 1948 15

4 Social Security 16

5 Welfare of Beedi Workers 21

6 Consumer Protection 23

7 Eradication of Child Labour 25

8 Tamil Nadu Labour Welfare Board 30

9 Unorganised Workers Welfare Boards 34

10 Tamil Nadu Institute of Labour Studies 43

II. INSPECTORATE OF FACTORIES

11 Regulatory Functions 48

12 Health, Safety, Training and Development 54

III. EMPLOYMENT AND TRAINING DEPARTMENT

13 Performance of the Employment Exchanges 62

14 Vocational Guidance Activities 64

15 Private Sector Placements 65

16 Special Cells for Differently Abled Persons 66

17 Coaching-cum-Guidance Centers for SC / ST Youth 67

18 Unemployment Assistance Scheme 69

19 Major Skill Development Training Programme 72

20 Craftsmen Training Scheme 72

21 Government Industrial Training Institutes 73

22 Apprenticeship Training Scheme 80

23 Upgradation of Government ITIs under PPP mode 83

24 Tamil Nadu Skill Development Mission 84

IV

OVERSEAS MANPOWER CORPORATION LIMITED 87

V

DIRECTORATE OF MEDICAL AND RURAL HEALTH SERVICES (ESIS) 89

VI

EMPLOYEES PROVIDENT FUND SCHEME (GOI) 100

VII PART-II SCHEMES, 2012-2013 103

1

I. LABOUR DEPARTMENT

Tamil Nadu is home to 38,379 factories,

3,15,572 shops and establishments and provides

employment to more than 2.79 crore of workers.

8% of this work force is in the organised sector and

92% in the unorganised sector. A progressive,

industrialised and investment friendly State has

a strong manufacturing base and a thriving tertiary

sector. The State has a well-developed labour

market that is characterised by cordial industrial

relations, a long history of trade unionism, collective

bargaining and effective labour administration.

Sustained economic growth, multiple

employment opportunities and reduced availability of

skilled labour characterise the Industrial relations

dynamics of the State today. Secondary and Tertiary

sectors have seen differential growth rates and have

impacted the Industrial relations scenario in different

ways.

2

The secondary sector has seen substantial

foreign direct investments in technology intensive

sectors like the automobile industry (automotive).

This has thrown up challenges of harmonizing

cross cultural differences and integrating global

management practices with local work contexts.

The phenomenal growth seen in the tertiary sector in

recent times has led to increasing demand for highly

qualified human resources. Rapidly changing

technological advances coupled with high rates of

employee attrition have changed the dynamics and

paradigms of employer-employee engagement like

never before.

Increased life expectancy and improved

quality of life have changed the demographic profile

of the labour force. The labour force is increasingly

becoming old and living longer. Provision of social

security and health facilities becomes important.

The labour department strives to keep abreast of

this rapidly changing scenario through effective

enforcement of various laws and timely delivery of

social security benefits to the employees.

3

The Labour Department enforces labour

legislations to protect the rights of workers and

to ensure their welfare. Eradication of child labour in

this State, enforcing Legal Metrology Act for

consumer protection and welfare and provision

of various social security measures through

Unorganised Workers Welfare Boards are some of

the important activities of the department.

Industrial Relations

Maintenance of industrial peace is essential for

achieving the objectives of growth and prosperity.

Progressive management and responsible labour

behaviour are the prerequisites for harmonious

industrial relations. Close collaboration at all levels

between the employer and the employees are

a prerequisite for increased productivity, quality

enhancement and cost effective production of goods

and services. The Labour department facilitates the

resolution of disputes and promotes harmonious

relations between the employers and employees for

achieving the objectives of economic growth and

4

prosperity. During the year 2011-12, the conciliation

officers of the department have resolved 4,348

disputes.

Some of the major disputes resolved are:-

1. Strike by nurses in leading hospitals in the Chennai.

2. Strike by 7,000 Power loom owners and

workers in Sankarankoil taluk of Tirunelveli district.

3. Strike by 1,00,000 Power loom owners and workers in Coimbatore and Tiruppur districts.

4. Wage revision for 1,00,000 hosiery workers in Tiruppur district.

5. 46 strikes and 9 lockouts in various industries.

Labour Courts

There are 12 Labour Courts in the State. They

are functioning at Chennai (4), Vellore (2), Salem,

Coimbatore, Cuddalore, Tiruchirappalli, Madurai and

Tirunelveli. Labour Courts adjudicate on matters

specified in the Second Schedule to the Industrial

Disputes Act, 1947.

5

The State Government have issued orders for

creating sufficient infrastructure for effective

implementation/enforcement of the awards passed

by the Labour Courts and the Industrial Tribunal.

Government have accorded sanction for 34 additional

posts for the creation of Nazareth establishment

to each of the eight units of Labour Courts

functioning in the State. Financial sanction has been

given for a sum of Rs.4.58 crore towards recurring

expenditure, furniture and computers.

Industrial Tribunal

In addition to the Labour Courts, an Industrial

Tribunal is functioning with its Headquarters at

Chennai. The Industrial Tribunal adjudicates on

matters specified in the Second and Third Schedule

to the Industrial Disputes Act, 1947.

Enforcement of Acts & Rules

Enforcement of labour legislations is an

important activity of the Labour Department.

The enforcement machinery in the department

6

regularly conducts inspections and periodically

organises special drives to ensure compliance of

statutory requirements of labour laws and the laws

relating to weights and measures. The primary duty

of the enforcement officials is to ensure that the

parties concerned comply with the objectives

envisaged in the statutes and also to prosecute them

for non-compliance, if any.

The following are some of the important labour legislations enforced by the Labour Department :-

The Tamil Nadu Shops and Establishments Act, 1947

The Act regulates the conditions of

employment of persons working in shops and

commercial establishments. It provides for the

opening and closing hours of Shops and

Establishments and provision of weekly holiday with

wages. There are 3,15,572 shops and establishments

in the State. 2,91,403 inspections were made by the

enforcement officers during the year 201112.

29,256 cases were compounded and a sum of

7

Rs.21.94 lakh was collected as compounding fee.

35 cases were disposed of by the Courts and a sum

of Rs.10,000/- was imposed as fine.

The Tamil Nadu Catering Establishments Act, 1958

The Act regulates the conditions of work in

catering establishments. It provides for weekly

holidays, periods of work, leave with wages,

overtime wage, etc.

There are 28,386 catering establishments in

the State. During 2011-2012, a sum of Rs.12.61 lakh

has been collected as registration and renewal fee

from the employers of catering establishments.

During the year 2011-2012, 43,404 inspections were

made, 3,947 cases were compounded and a sum of

Rs.4.55 lakh was collected as compounding fee.

The Courts have imposed fine, amounting to

Rs.3,900/- in 8 cases.

8

The Tamil Nadu Industrial Establishments (National and Festival Holidays) Act, 1958

The Act provides for grant of National and

Festival Holidays to persons employed in Industrial

establishments.

During the year 2011-2012, 1,33,456

inspections were made. Of these 5,469 cases were

compounded and a sum of Rs.17.38 lakh was

collected as compounding fee. 19 cases were

disposed of and Rs.14,150/- was imposed as fine,

by the Courts.

The Payment of Wages Act, 1936

The Act provides for prompt payment of wages

to the employees, bars unauthorised deductions from

wages by the employers and provides for the

expeditious disposal of claims.

The Regional Deputy Commissioners of Labour

have been notified as authorities to hear and decide

the claims under this Act. During the year

2011-2012, 144 claims were disposed of and a sum

9

of Rs.2.15 crore was ordered to be paid as wages to

the claimants. 30,487 inspections were made,

26 cases were disposed of by the Courts and a sum

of Rs.11,200/- was imposed as fine.

The Contract Labour (Regulation and Abolition) Act, 1970

The Act regulates the employment of contract

labour in certain establishments and abolishes this

system in certain circumstances and for the matters

concerned therewith. The Government of Tamil Nadu

have prohibited the employment of contract labour in

the following processes:-

1. Bagging process of cement and printing of gunny bags in Cement Industry.

2. 19 processes in the Tamil Nadu Electricity

Board.

During the year 2011-2012, 2,188 inspections

were made. 10 cases were disposed of by the Courts

and a sum of Rs.55,000/- was imposed as fine.

426 establishments were registered as principal

employers and 610 licenses were issued. A sum of

10

Rs.8.42 lakh was collected by way of registration and

license fees.

A State Advisory Contract Labour Board has

been constituted under the Chairmanship of the

Secretary to Government, Labour and Employment

Department, to advise the Government on the

administration of this Act.

The Inter-State Migrant Workmen (Regulation of Employment and Conditions of Service) Act, 1979

The Act regulates the employment of Inter

state migrant workers and their conditions of service.

During the year 2011-2012, 179 inspections were

made. 128 establishments were registered and

262 licenses were issued. A sum of Rs.91,795/- was

collected by way of registration and license fees.

11

The Tamil Nadu Industrial Establishments (Conferment of Permanent Status to Workmen) Act, 1981

The Act provides for conferment of permanent

status to workmen in an industrial establishment

who have been in continuous service for 480 days in

a period of 24 calendar months. During the year

2011-2012, 1,847 inspections were made and 86

applications were disposed.

The Motor Transport Workers Act, 1961

The Act regulates the welfare of motor

transport workers and conditions of their work.

The number of motor transport undertakings

registered is 2,313, consisting of 1,25,878 workers.

A sum of Rs.3.01 lakh was collected by way of

registration fee. During the year 2011-2012,

2,428 inspections were made. 791 cases were

compounded and a sum of Rs.2.12 lakh was

collected as compounding fee. 34 cases were

disposed of by the Courts and a sum of Rs.16,800/-

was imposed as fine.

12

The Working Journalists and Other Newspaper Employees (Conditions of Service and Miscellaneous Provisions) Act, 1955

The Act regulates the conditions of service of

working journalists and other persons employed in

newspaper establishments. The remuneration of

working journalists and other persons employed in

the newspaper establishments is fixed by the Wage

Board constituted by the Central Government.

During the year 2011-2012, 57 inspections were

carried out.

The Industrial Employment (Standing Orders) Act, 1946

The Act requires employers of industrial

establishments to define conditions of employment of

workers under certified Standing Orders. The Zonal

Joint Commissioners of Labour have been notified as

Certifying Officers under this Act. During the year

2011-2012, 298 standing orders of industrial

establishments were certified.

13

The Trade Unions Act, 1926

The Act provides for the registration of trade

unions and lays down the law relating to the

registration of trade unions.

The Regional Deputy Commissioners of Labour

have been notified as Additional Registrars of Trade

Unions to register the Trade Unions. The total

number of Trade Unions registered is 12,279.

During the year 2011-2012, 322 Trade Unions were

registered and a sum of Rs.46,500/- was collected as

registration fees and amendment fees.

The Plantations Labour Act, 1951

The Act provides for regulation of the

conditions of work in plantations. The Act is

applicable to any land used or intended to be used

for growing Tea, Coffee, Rubber, Cinchona and

Cardamom. It mandates registration of plantations

with an extent of 5 hectares or more and employing

15 or more persons.

14

There are 2,219 Plantations covering an area

of 61,604 hectares and employing 84,695 workers in

Tamil Nadu. 678 registered plantations cover an area

of 53,232 hectares and employ 77,040 workers.

1,541 unregistered plantations cover an area of

8,372 hectares and employ 7,655 workers.

Under this Act, employers are to provide

housing, medical care, protective clothing, drinking

water, etc. free of cost to the workers. The Act is

enforced by 10 Inspectors of Plantations and

2 Medical Officers in the cadre of Assistant Civil

Surgeon (Plantations) of this department.

The Inspectors of Plantations are based in Ooty,

Coonoor, Kothagiri, Gudalur, Pandhalur, Valparai,

Yercaud, Theni, Batlagundu and Nagercoil. The

Medical Officers in the cadre of Assistant Civil

Surgeon (Plantations) inspect the dispensaries and

hospitals maintained by the employers. They are

based in Ooty and Nagercoil.

The Plantation Labour Housing Advisory Board,

a Statutory Board has been constituted under the

15

Chairmanship of the Secretary to Government,

Labour and Employment Department. This Board

ensures provision of proper housing facilities to the

plantation labour.

The Plantation Labour Advisory Committee is a

tripartite committee headed by the Commissioner of

Labour. This committee enforces the various

provisions of the Plantation Labour Act and Rules.

During the year 2011-2012, 1,924 inspections

were made. 91 cases were disposed of by the

Courts and a sum of Rs.3.54 lakh was levied as fine.

THE MINIMUM WAGES ACT, 1948

The Minimum Wages Act, 1948 provides for

fixing minimum rates of wages in certain

employments. This Act seeks to ensure not only the

sustenance of life but also preservation of efficiency

of the worker. The Act applies to the employments

that are included in the Schedule to the Act.

In Tamil Nadu, 91 employments have been included

in the Schedule. Minimum wages have been fixed for

16

72 employments such as shops and establishments,

general engineering, construction, catering,

plantation, tanneries and leather manufacturing, etc.

The minimum wage is revised once in 4 years. While

fixing the minimum wages, variable Dearness

Allowance is added to neutralise the cost of living.

The Regional Deputy Commissioners of Labour

have been notified as authorities to hear the claims

under Section 20(1) of the Minimum Wages Act.

During the year 2011-2012, 1,56,054 inspections

were carried out and 60 prosecutions were launched.

1,030 claims were disposed of and Rs.2.38 crore was

ordered to be paid to the claimants.

SOCIAL SECURITY

The following Acts which provide social

security to workers are being enforced by the

Department:-

The Payment of Gratuity Act, 1972

The Act provides for the payment of gratuity

to the employees. Gratuity is paid to an employee on

17

superannuation/retirement or resignation, if he/she

has put in a continuous service for a period of not

less than five years. Gratuity is also paid on death

or disablement due to accident or disease.

The Assistant Commissioners of Labour in

the office of the Regional Deputy Commissioners

of Labour, have been notified as Controlling

Authorities and the Zonal Joint Commissioners of

Labour, as Appellate Authorities, under this Act.

During the year 2011-2012, 2,899 claims were

disposed of and a sum of Rs.2.87 crore was ordered

to be paid to the claimants.

The Payment of Bonus Act, 1965

The Act provides for the payment of bonus to

persons employed, on the basis of profit or

production or productivity. The Act provides for the

payment of bonus to persons employed by factories

and establishments, where 10 or more persons are

employed. This Act applies to establishments covered

under the Act and bonus is payable even if the

number of employees subsequently falls below 10.

18

A minimum bonus of 8.33% has to be paid,

irrespective of the financial condition of the

establishments. The Act prescribes a formula for

calculating the bonus when a company makes profit.

Every employee drawing wages not exceeding

Rs.10,000/- per month and has worked for at least

30 days in an accounting year, is eligible for bonus.

Maximum bonus payable under the Act is 20%.

The Maternity Benefit Act, 1961

The Act regulates the employment of women

for certain periods before and after childbirth and

provides for the payment of certain maternity

benefits.

This Act provides for 12 weeks leave with

wages for childbirth (6 weeks before delivery and

6 weeks after delivery), one-month medical leave on

medical certificate and 6 weeks leave for

miscarriage. It provides for the payment of medical

bonus of Rs.2,500/-, if no pre-natal and post-natal

care is provided by the employer free of cost. During

the year 2011-2012, 12,339 inspections were made.

19

The Equal Remuneration Act, 1976

The Act provides for the payment of equal

remuneration to men and women workers and for

the prevention of discrimination on the ground of sex

against women in the matter of employment.

The Government have constituted an Equal

Remuneration Advisory Committee (a Tripartite

Committee) headed by the Secretary to Government,

Labour and Employment Department, to advise the

Government on increasing employment opportunities

for women. During the year 2011-2012, 13,210

inspections were made.

The Tamil Nadu Payment of Subsistence Allowance Act, 1981

The Act provides for the payment of

subsistence allowance during the period of

suspension. The Assistant Commissioners of Labour

in the office of the Regional Deputy Commissioners

of Labour have been notified as Authorities and the

Regional Deputy Commissioners of Labour as

Appellate Authorities under this Act. During the year

20

2011-2012, 276 claims were disposed of and a sum

of Rs.58.50 lakh was ordered to be paid.

The Employees Compensation Act, 1923

The Act provides for compensation to workers

in the event of death or loss of earning capacity due

to accidents arising out of and in the course of their

employment. The Regional Deputy Commissioners of

Labour have been notified as Commissioners to hear

and decide on the claims under this Act.

The compensation amount awarded is to be

deposited by the employers/Insurance Companies.

In case of default in depositing the amount awarded,

the Deputy Commissioners of Labour initiate action

to recover the amount through District Collectors

under the Revenue Recovery Act. During the year

2011-2012, 2,985 cases were disposed of and a sum

of Rs.23.10 crore was ordered to be paid as

compensation.

21

WELFARE OF BEEDI WORKERS

The Beedi and Cigar Workers (Conditions of Employment) Act, 1966

The Act provides for the welfare of the workers

in beedi and cigar establishments and regulates

the conditions of their work. 2,37,029 beedi workers

(industrial and home workers) are engaged

in 1,548 beedi establishments in the State. 4,180

inspections were made by the department and 438

cases were disposed of by the Courts with a fine of

Rs.1.11 lakh. A sum of Rs.1.22 lakh has been

collected as license fee for registration and renewal

of beedi establishments.

Revised Integrated Housing Scheme for Beedi Workers

This scheme is intended to ameliorate the

housing shortage among the beedi workers.

All the Welfare Schemes, including the Housing

Scheme for Beedi Workers, are being implemented

by the Government of India directly under the Beedi

Workers Welfare Fund Act, 1976.

22

The Revised Integrated Housing Scheme, 2007

for beedi workers is being implemented through

the Welfare Commissioner under Labour Welfare

Organisation of the Union Ministry of Labour.

The unit cost of each dwelling unit is Rs.45,000/-.

The Government of India provides a subsidy of

Rs.40,000/- to the beneficiary. The beneficiary is

expected to contribute Rs.5000/- as his share.

In lieu of the workers contribution, the State

Government have ordered to provide a subsidy of

Rs.5,000/- per house, which is released to

the Welfare Commissioner, Hyderabad after the

administrative approval is granted.

Due to hike in cost of raw materials and labour

charges, most of the beedi workers are unable to

construct houses on their own at the unit cost of

Rs.45,000/- per house. The beneficiary has to own a

house site for being eligible to avail subsidy under

this scheme. Because of all these constraints, only

785 beneficiaries could avail benefit under the

scheme for the past 4 years.

23

Revision of unit cost and enhancement of subsidy

The State Government have examined the

matter in the light of various representations

received and the difficulties faced by the beedi

workers. The State Government have issued orders

increasing the unit cost for construction of the house

from Rs.45,000/- to Rs.1,00,000/- on par with the

unit cost of houses constructed under the Indira

Awas Yojana Scheme. The State Government have

enhanced the subsidy from Rs.5,000/- to

Rs.60,000/- per house. There by, the beedi workers

can avail Rs.1.00 lakh for construction of their

house.

CONSUMER PROTECTION

The Legal Metrology Act, 2009

The Legal Metrology Act, 2009 establishes and

enforces standards of weights and measures.

It regulates trade and commerce in weights,

measures and other goods which are sold or

distributed by weight, measure or number.

24

The Deputy Commissioner of Labour

(Inspections), Chennai has been notified as the

Controller of Legal Metrology for the entire State of

Tamil Nadu. The Controller of Legal Metrology and

his field officers enforce the Legal Metrology Act,

2009 and the Legal Metrology (Packaged

Commodities) Rules, 2011.

During the year 2011-2012, a sum of

Rs.72.92 lakh has been collected as license fee and

Rs.18.95 crore has been collected as stamping fee.

3,53,539 inspections were made. During the year

2011-2012, 8,658 cases were compounded and

Rs.63.51 lakh has been collected as compounding

fee. 10 cases were disposed of by the Courts and

Rs.9,600/- was imposed as fine.

The Legal Metrology (Packaged Commodities) Rules, 2011

During the year 2011-2012, a sum of

Rs.95,205/- has been collected as Registration fee

for issue of Registration certificates for packing of

commodities. 1,34,802 inspections were made.

25

3,879 cases were compounded and a sum of

Rs.30.92 lakh was collected by the Department.

Rs.30,600/- was imposed as fine in 18 cases by

court.

ERADICATION OF CHILD LABOUR

The State Government attaches great

importance to the eradication of child labour and has

taken various steps to eradicate this social evil. The

number of child labour in the State has decreased

from 4.19 lakh in 2001 to 13,446 in 2011. Strict and

Vigilant enforcement coupled with mainstreaming of

rescued Child Labour are the corner stones of this

approach.

Enforcement

Enforcement is one of the important strategies

of the action plan for eradication of Child Labour.

In order to strengthen enforcement and launch a

multi stakeholder attack on this practice, a District

Level Task Force has been constituted in all districts

under the chairmanship of the District Collector.

26

The following statutes, prohibiting employment

of children, are implemented by the Inspectors

of Labour and Inspectors of Factories:-

1. The Child Labour (Prohibition and Regulation) Act, 1986.

2. The Factories Act, 1948.

3. The Motor Transport Workers Act, 1961.

4. The Beedi and Cigar Workers (Conditions of Employment) Act, 1966.

5. The Tamil Nadu Shops and Establishments Act, 1947.

6. The Tamil Nadu Catering Establishments Act, 1958.

During the year 2011-2012, 1,26,264

establishments were inspected through regular,

special and surprise inspections, including the

raids conducted by the teams formed under the

District Level Task Force. 60 Violations noticed,

23 prosecutions lodged and child labour rescued and

rehabilitated. 26 cases (including previous pending)

ended in conviction and a fine of Rs.3.05 lakh has

been collected.

27

Awareness Generation

June 12th in every year is observed as

Anti Child Labour Day to create awareness among

the public. All districts have taken up various

activities for awareness creation like oath taking in

schools and Government offices, rallies, human

chains and awareness campaigns. At the state level

Anti Child Labour Day, message from the Honble

Chief Minister was published in various Tamil and

English dailies.

Honble Chief Minister awarded the shield to

the District Collector of Salem for the outstanding

performance in eradication of child labour for the

year 2009. The award was presented during the

Collectors Conference held on 14.11.2011.

Childrens day celebrations organised at the

State level, was attended by the Honble Minister for

Labour, Worshipful Mayor of Chennai Corporation

and other dignitaries. A large contingent of National

Child Labour Project school children and NGOs

working in the sector attended.

28

Mainstreamed students from National Child

Labour Project Special Schools who scored high

marks in 10th and 12th Standard Public

Examinations were given cash awards and the best

Special Training Centre teachers were felicitated for

their work.

National Child Labour Project

National Child Labour Project is being

implemented in the 16 districts of Chennai,

Coimbatore, Dindigul, Dharmapuri, Erode,

Krishnagiri, Kancheepuram, Namakkal, Thoothukudi,

Tirunelveli, Tiruvallur, Trichy, Tiruvannamalai,

Salem, Vellore and Virudhunagar.

12,920 rescued child labour are studying in

359 special training centres. 3,357 children were

mainstreamed during the academic year 2011-12.

A stipend of Rs.150/- p.m., educational materials

and Pre vocational training are provided to children

under the NCLP. Mid-day meal, free uniform, free

medical checkup and free bus pass are provided by

the State Government to all the NCLP Children.

29

A cash assistance of Rs.250/- per month was

provided to all mainstreamed child labour pursuing

higher studies. The State Government have now

issued orders enhancing the assistance to Rs.500/-.

This will be available for all child labour,

mainstreamed from NCLP and pursuing higher

studies in Arts colleges, Polytechnics and Professional

colleges and will be available to them till they

complete the course.

Integrated Child Protection Programme in Dharmapuri and Salem Districts

Integrated Child Protection Programme (ICPP)

is being implemented in collaboration with UNICEF

to improve the quality of life for children up to the

age of 14 years engaged in employment in cotton

seed and cotton farming in the Districts of

Dharmapuri and Salem.

150 Para Teachers and 30 Block Coordinators

appointed During the year 2010-2011, were provided

Activity Based Learning training. Village level child

rights committee meetings were conducted every

30

month and child friendly village planning exercises

were undertaken in 175 Village Panchayats.

Workshops were conducted for cotton seed farmers

and line Department officials in 50 Panchayats.

Water and sanitation surveys were completed

in all the Government schools. Concerned officials

have been requested for providing these facilities,

wherever absent. The Commissioner of Labour

monitors and reviews the progress of the project

every Quarter.

TAMIL NADU LABOUR WELFARE BOARD

The Tamil Nadu Labour Welfare Board was

constituted under the Tamil Nadu Labour Welfare

Fund Act, 1972 in the year 1975. It implements

various welfare schemes for the benefit of the

organised labour on a contributory basis. The Honble

Minister for Labour is the Chairman of the Board.

The Board has 5 Employees representatives,

5 Employers representatives, 4 Government

31

representatives, 3 Members of the Legislative

Assembly and 2 Women representatives.

In order to implement various labour welfare

schemes, the Tamil Nadu Labour Welfare Board

receives contributions from the employees

and employers of the Factories, Plantations,

Motor Transport Undertakings and Shops and

Catering Establishments. The employees of the

above establishments contribute Rs.7/- and the

employers contribute Rs.14/- per worker per year.

The Government of Tamil Nadu contributes Rs.7/-.

The Board also receives fine amount imposed by the

Courts and also compounding fees collected by the

Labour department against the employers for

violation of various Labour Acts and Rules.

Financial Assistance

The Board runs 71 welfare centers where

facilities like pre-school, reading room and tailoring

training facilities are made available. During the year

2011-2012, 25,424 workers and their wards have

availed assistance and an amount of Rs.1.05 crore

32

has been spent on various welfare schemes as

indicated below:-

Labour Welfare Schemes

1 Labour Welfare Centres

Have facilities like Tailoring Section, Pre-school and Reading Room.

2 Scholarships for various courses

Post Graduate Course - Rs.3,000/-, Graduate Course - Rs.2,400/-, Diploma Course - Rs.1,440/-, Higher Secondary Course - Rs.1,200/- I.T.I. Course - Rs.1,000/-.

3 Educational incentive

S.S.L.C. and Higher Secondary Course 1st Prize Rs.1,000/-, 2nd Prize Rs.500/- and 3rd Prize Rs.250/-in each Educational District

4 Book allowance Post-Graduate Course - Rs.750/-, Graduate Course - Rs.500/-, Diploma Course - Rs.250/- and Higher Secondary Course - Rs.180/-

5 Assistance for Basic Computer Training

Rs.1,000/- for five employees/ dependants in each district.

33

6 Marriage assistance

Rs.5,000 for female Rs.3,000/- for male workers and their wards.

7 Spectacles assistance

Up to Rs.500/-

8 Typewriting/ Shorthand assistance

Typewriting in Higher Rs.600/-, Typewriting in Lower Rs.1,000/-, Shorthand Inter High Speed Rs.750/-, Shorthand Lower and Higher Rs.1500/-

9 Funeral Expenses

Rs.2,000/- to the Legal Heir.

10 Hearing Aid, Artificial Limbs & Three Wheelers

Up to Rs.1,000/- for Hearing Aid, Govt. prescribed fee for artificial limbs and free supply of three wheelers.

11 T.B. Wards in various sanatoria

Tiruppur, Tambaram Sanatorium, Asaripallam (Kanyakumari), Austinpatti (Madurai) & Kizhpennathur (Tiruvannamalai District)

12 Holiday Homes for workers

Mamallapuram, Courtallam and Valparai.

13 Jeeva Illam, Chennai.

A rest house for Trade Union Representatives

34

Magazine for Workers

The Board brings out a monthly magazine

Uzhaippavar Ulagam, which consists of court

judgments, labour Acts, question and answers,

consumer price index for the benefit of the workers,

employers and also the public. At present,

5,462 members have subscribed to this magazine.

The price of the magazine is Rs.7/- per copy and

an annual subscription Rs.80/-; life subscription

Rs.750/-.

UNORGANISED WORKERS WELFARE BOARDS

The Tamil Nadu Manual Workers (Regulation

of Employment and Conditions of Work) Act, 1982

regulates the employment of manual workers, their

conditions of work, security of their employment and

provides for social security to manual workers

engaged in 69 employments included in the Schedule

to the Act. Tamil Nadu was one of the pioneer states

to promulgate such an Act. The State Government

have established 17 Unorganised Workers Welfare

Boards under the Act.

35

Tamil Nadu Construction Workers Welfare Board

Under section 6 of the Tamil Nadu Manual

Workers (Regulation of Employment and Conditions

of Work) Act, 1982, the State Government

established the Tamil Nadu Construction Workers

Welfare Board on 30.11.1994 and formulated the

Tamil Nadu Manual Workers (Construction Workers)

Welfare Scheme in 1994.

The scheme provides welfare measures for

manual workers engaged in construction or

maintenance of dams, bridges, roads or in any other

building operation. The financial resources for

implementing the scheme are drawn from the

Manual Workers General Welfare Fund. The State

Government have notified that all individuals or

agencies engaged in any construction work shall

pay 0.3% of the total estimated cost of the proposed

construction work towards the fund. The fund is

collected by local bodies while sanctioning the

building permit and remitted to the Tamil Nadu

Construction Workers Welfare Board.

36

Registration

A construction worker who has completed

eighteen years of age but has not completed sixty

years and is engaged in any of the thirty eight

classes of construction work (Annexure I to the

scheme) may register his name with the Board.

The registration is valid for two years and may be

renewed thereafter. No registration or renewal fee is

charged. The registered workers are issued identity

cards with registration numbers. 22,04,589 workers

have registered with the Board from its inception

till 31.03.2012.

Tamil Nadu Manual Workers Welfare Board and 15 other Boards

The Government further constituted the Tamil

Nadu Manual Workers Welfare Board on 17.03.1999

and formulated the Tamil Nadu Manual Workers

Social Security and Welfare Scheme, 2001. This was

later substituted by the Tamil Nadu Manual Workers

Social Security and Welfare Scheme, 2006.

37

Registration

A manual worker who has completed eighteen

years of age but has not completed sixty years and

is engaged in any of the sixty nine employments

specified in the schedule to the Tamil Nadu Manual

Workers (Regulation of Employment and Conditions

of Work) Act, 1982 may register his name with these

Boards. The registration is valid for two years and

may be renewed thereafter. No registration or

renewal fee is charged. The registered workers are

issued identity cards with registration numbers.

33,24,116 workers have registered with these

Boards from its inception, till 31.03.2012.

Assistance under Welfare Schemes

Financial assistances are provided to

registered manual workers in the Unorganised

Workers Welfare Boards as detailed below :-

38

Welfare Schemes of Unorganised Workers Welfare Boards

Sl. No. Type of Assistance

Amount (In Rupees)

Accident Relief Scheme

a) Accidental Death 1,00,000

1

b) Accidental Disability (based on extent of Disability)

up to 1,00,000

2 Natural Death Assistance 15,000

3 Funeral expenses Assistance 2,000

4 Educational Assistance

a) Girl Children studying 10th 1,000

b) 10th passed 1,000

c) Girl Children studying 11th 1,000

d) Girl Children studying 12th 1,500

e) 12th passed 1,500

f) Regular Degree Course with Hostel facility 1,500 1,750

g) Regular Post Graduate

Course with Hostel facility

2,000 3,000

39

h) Professional Degree

Course with Hostel facility

2,000 4,000

i) Professional P. G Course with Hostel facility 4,000 6,000

j) ITI or Polytechnic with Hostel facility 1,000 1,200

5

Marriage Assistance (a) For men (b) For women

3,000 5,000

6

Maternity Assistance Miscarriage / Medical Termination of Pregnancy

6,000

3,000

7

Reimbursement of cost of Spectacles up to 500

8 Pension 1,000 per month

9

Family Pension (applicable only to Tamil Nadu Construction Workers Welfare Board)

400 per month

40

Social Security offices in the districts

The functions of the Welfare Boards have been

decentralized by setting up Social Security offices

headed by a Labour Officer in all the Districts with

effect from 01.11.2008. Registration, Renewal,

Processing of Claim petitions and disbursement

of assistance to the manual workers registered in all

the 17 Welfare Boards are being done by this office.

The District monitoring committee, headed by

the District Collector, monitors and supervises the

administration of the Social Security Scheme.

Financial resources

The boards are provided funds for taking up

various schemes through collection of welfare cess /

Government grants.

Tamil Nadu Construction Workers Welfare Board

Every person who makes an application for

building permit to a local authority for any building /

construction work is liable to pay construction

41

workers welfare cess at such percentage of the total

estimated cost of the building or construction work

as fixed by the Government.

At present, the Government notified 0.3% of

the estimated cost of such work/construction as cess

under the act, which provides necessary finance to

Tamil Nadu Construction Workers Welfare Board.

This cess is collected by local authorities while

sanctioning building permit and remitted to Tamil

Nadu Construction Workers Welfare Board. In case of

construction works, in which building permit is not

necessary, this cess has to be remitted directly to

Tamil Nadu Construction Workers Welfare Board by

the person who undertakes such construction work.

During the period from 01.04.2011 to 31.03.2012,

a sum of Rs.94.78 crore was collected as cess.

Tamil Nadu Auto Rickshaw and Taxi Drivers Welfare Board

This Board functions on its own fund received

from the additional tax of 1% on Motor Vehicle Tax,

payable under the Tamil Nadu Motor Vehicle Taxation

Act. This is collected from motor transport employers

42

carrying passengers or goods on roads. During the

period from 01.04.2011 to 31.03.2012, a sum of

Rs.9.01 crore was collected as tax.

Tamil Nadu Manual Workers Welfare Board

The Government provides grants to Tamil

Nadu Manual Workers Welfare Board (TNMWWB) and

other 15 Welfare Boards for implementing welfare

schemes. Government have sanctioned a sum of

Rs.73.40 crore for the year 2011-2012.

Registration, Beneficiaries and Welfare assistance

During the year 2011-2012, in the Tamil Nadu

Construction Workers Welfare Board, 1,08,394

workers were registered and a sum of Rs.29.53 crore

has been disbursed to 1,20,243 beneficiaries

as welfare assistance. The Tamil Nadu Manual

Workers Welfare Board and 14 other welfare Boards

have registered 2,82,758 workers and a sum of

Rs.72 crores has been released to the

3,49,364 beneficiaries. The Tamil Nadu Auto

Rickshaw and Taxi Drivers Workers Welfare

43

Board have registered 12,478 workers and

10,060 beneficiaries have availed the assistance for

Rs.2.13 crores.

TAMILNADU INSTITUTE OF LABOUR STUDIES

Tamil Nadu Institute of Labour Studies was

established in 1973 by the Government of

Tamil Nadu. It was registered as a society under the

Tamil Nadu Societies Registration Act, 1975 on

08.10.1987. It started functioning as an autonomous

body with effect from 01.04.1988. The expenditure

needed for running the institute is provided as a

Grant-in-aid by the Government of Tamil Nadu.

The Governing Committee is chaired by the Honble

Minister for Labour. The main objectives of this

institute are:-

1. Conduct graduate, Post-graduate and Ph.D., programmes in Labour Management and award such degrees, diploma certificates.

2. To impart knowledge and skills to prospective and practicing managers, administrators and

44

office bearers of Trade Unions through teaching and training.

3. To organise training programmes, seminars on

laws on Weights and Measures for the benefit of the consumers and the inspectorate and to carry on surveys in that regard.

4. Carry out research into matters concerning

personnel management and labour welfare.

5. Co-operate and collaborate from time to time, with educational and other institutions both in India and abroad as existing or as may be founded in future by exchange of teachers and scholars and through joint programmes of research, training and consultancy generally in such manner as may be conducive to the furtherance of objects of the Society;

Academic courses

The Institute is conducting B.A. (Labour

Management) and M.A. (Labour Management)

course and is affiliated to the University of Madras.

The University of Madras has recognised the Institute

for conducting research and it conducts part time

45

and full time Ph.D. programmes on Labour

Management from 2001 onwards. A part time

(evening) one year Post Graduate Diploma in

Labour Administration (PGDLA) is offered by the

institute to cater to the needs of employed

personnel.

Capacity Building

The Institute periodically conducts Training

Programmes, Seminars, Refresher Courses,

Orientation Programmes, etc. to cater to the needs

of supervisory and managerial personnel of private

and public sector industries, trade unions, officials of

Labour and Factories Department. 30 seminars /

training programmes benefiting 2,316 persons have

been conducted, during the year 2011-2012.

46

Collaboration with V.V. Giri National Labour

Institute

Two Training Programmes were conducted in

collaboration with V.V. Giri National Labour Institute.

They are:-

1. Effective Enforcement of Labour Laws for the

officers of the Labour Department and the

Inspectorate of Factories;

2. Role of Conciliation and Quasi-Judicial

Officials of Labour Department for officers of

the Labour Department.

Certificate Course in Safety & Health

A one month Certificate Course in Safety &

Health for Supervisory Personnel working in

Hazardous Process was conducted for the benefit of

employees of various factories.

47

II. DEPARTMENT OF INSPECTORATE OF FACTORIES

The Department of Inspectorate of Factories is

effectively enforcing the Factories Act, 1948,

14 other Labour Legislations and two technical rules,

governing Occupational Health, Safety and Welfare,

in Factories registered under the Factories Act, so as

to protect the interests of the workers by ensuring

basic amenities, safe and conducive working

environment and to prevent Occupational Diseases

and control accidents.

The following two functions are broadly carried

out by the Inspectorate:-

I. Regulatory Functions

II. Health, Safety, Training and Development Functions

48

REGULATORY FUNCTIONS

Inspections

To ensure compliance of all statutory

requirements of various Legislations and welfare

measures, Inspections are carried out regularly by

the officials of this department as detailed below:-

(i) Factories certified as Small Scale Industries and not engaged in dangerous operations are inspected only once in a period of five years, provided, no complaints are received or there is no incidence of accidents.

(ii) Factories certified as Small Scale Industries but engaged in Dangerous Operations as stipulated under section 87 of Factories Act, 1948 and Non SSI units are inspected once in a period of six months.

(iii) Match and Fire Works Factories are inspected once in every three months because of the risk involved in the nature of work and to eradicate Child Labour employment.

(iv) In addition, special, holiday and check inspections are also undertaken for better

49

monitoring of the safety, health and welfare provisions.

As mentioned above, 31,283 Inspections have

been made from 01.04.2011 to 31.03.2012.

Registration of Factories

Small Factories unaware of the legalities do

not themselves come forward to register their

Factories and to function with license. These

Factories, by the special efforts of the Inspectorate

are being identified and brought under the purview

of Factories Act, 1948 thereby ensuring Safety,

Health and Welfare measures for the workers in

these Factories. From 01.04.2011 to 31.03.2012,

2111 new Factories have been brought under the

purview of the Factories Act, 1948.

Complaints

This Inspectorate takes immediate action to

sort out the grievances raised by the workers and

trade unions. From 01.04.2011 to 31.03.2012,

50

512 Complaints have been received and the

complaints have been enquired and disposed off.

Enforcement of Minimum Wages Act, 1948

The Minimum Wages Act, which provides for

the protection of the wage conditions of the workers

and raises their standard of living, is strictly enforced

by this Inspectorate to ensure payment of Minimum

Wages. During the year 2011-2012, 13 cases with

a claim of Rs.80.92 lakh benefiting 1,602 persons

have been settled under Section 20(1) of the

Minimum Wages Act. Moreover, 79 prosecutions

have also been launched and fine amount of

Rs.29,150/- have been realised.

The Tamil Nadu Industrial Establishments (Conferment of Permanent Status to Workmen) Act, 1981

The Tamil Nadu Industrial Establishments

(Conferment of Permanent Status to Workmen) Act,

1981 implemented by this Inspectorate, confers

permanent status to workmen who have put in

continuous service of 480 days within a period of

51

24 calendar months. Due to the intensive effort of

the officers of this Inspectorate, 39,026 workers

have been made permanent from 01.04.2011 to

31.03.2012.

Squad Inspections

a) Child Labour

Child Labour which is considered a Social

menace is given top priority and the provisions

prohibiting employment are strictly enforced by this

Department for total eradication of Child Labour by

conducting Squad Inspections every month along

with officials of the Department of Revenue, Police

and Members of National Child Labour Project.

From 01.04.2011 to 31.03.2012, 1,211 Squad

Inspections have been conducted. Further, 41 cases

have been launched wherein 24 cases have ended in

conviction and a fine amount of Rs.3.50 lakh have

been realised.

52

b) Firework Factories

Due to the risk involved in the nature of work

and to monitor the safe adherence of safety

provisions in the Fireworks manufacturing Factories,

particularly during the Deepavali season, when there

is a large scale activity, special squad inspections are

carried out every year along with officials of the

Departments of Revenue, Police, Fire, etc. During

the year 2011, 860 Squad Inspections were

conducted and appropriate action initiated against

the erring managements.

Site Appraisal Committee

Site Appraisal Committee has been constituted

under section 41A of the Factories Act, 1948 in this

Department for the purpose of advising the

Government to consider the application for grant of

permission for the initial location or expansion of the

Factories involving hazardous process has considered

69 applications from 01.04.2011 to 31.03.2012.

53

Hazardous Process Industries

In certain industries, the use of higher

quantity of raw materials or chemicals are likely to

cause material impairment, thereby safety and

health of the persons engaged in or connected therewith will be affected or may result in the

pollution of the general environment and such of

those industries are classified as Major Accident

Hazard Units. A Major Accident Hazard Control Cell

has been formed at Headquarters to recommend the

suitable safety measures to the Major Accident

Hazard Factories to prevent Industrial disasters and

also monitors the compliance of the suggestions

given by it. 29 processes have been listed as

hazardous process and from among them, 115 units

have been classified as Major Accident Hazard units

in the State. 108 Onsite Emergency plans have been

received upto March 2012, out of which 100 were

recorded subject to certain conditions. The plans in

respect of 8 industries are under consideration.

District Collectors have been nominated as the

District Emergency Authority in respect of

Off-site Emergency Plans and the Chief Inspector of

54

Factories as the authority for the On-site Emergency

Plans.

Further to assess and update the operational

efficiency in the event of real emergency, Mock Drills

are conducted periodically in these Factories under

the supervision of the officers of this Department.

HEALTH, SAFETY, TRAINING AND DEVELOPMENT FUNCTIONS

Pressure Vessel Testing

This Department, apart from regular

enforcement of Labour Laws conducts various tests

like External, Internal, Hydrostatic, and Ultrasonic

Examinations to ensure operational Safety of the

pressure vessels installed in the Factories which are

operated above atmospheric pressure but not

covered under Indian Boilers Act. 1,02,919 External,

1,377 Internal, 17,508 Hydrostatic and 5,080

Ultrasonic Examinations have been conducted from

01.04.2011 to 31.03.2012.

55

Occupational Health Monitoring

The Chief Medical Officer of the Medical Wing

functioning in this department conducts Health

Surveys and Industrial Hygiene Surveys in Factories

at periodical intervals and recommends suitable

remedial measures where Occupational Health

Hazards are noticed.

The Medical Officers at the district level

conduct periodical Medical Examinations to workers

engaged in Dangerous Operation and to workers in

canteen and issue fitness certificates. They also

certify the Adolescents working in Factories and

accompany the Child Labour squad to ascertain the

age of the child Labour, if identified.

State Safety Awards

Safety Awards are presented to the

managements every year based on their

performance in reducing accidents in their Factories.

With a view to encourage the Factory managements

to perform with better safety performance, the

56

existing State Safety Award value of 1st prize

awarded to 90 managements have been enhanced

from Rs.2500/- to Rs.5000/- for each shield and the

State Safety Award value of the II prize awarded to

90 managements have been enhanced from

Rs.1500/- to Rs.4000/- for each shield.

Shram Vir Awards

To encourage the workers, Shram Vir Awards

popularly styled as Tamilaga Arasin Uyarntha

Uzhaipalar Virudhu are presented every year to

those who make outstanding and useful suggestions

for the improvement in Safety standards, better

working environments and improvement in

productivity.

Special Safety Awards for Firework Factories

Special Safety Awards are presented annually

to the Firework Factory managements which perform

with better safety performance without any accident.

Under this Scheme, every year 3 first prizes (Silver

Shields) worth Rs.15,000/- each; 3 second Prizes

57

(Silver Shields) worth Rs.12,000/- each; and 3 third

prizes (Silver Shields) worth Rs.10,000/- each are

given to the Managements.

For selection of managements and workers for

such awards, the State Government have already

formed Committee headed by the Chief Inspector of

Factories, with experts in the respective fields as its

members.

Safety Propaganda Committee

To educate the managements and workers

about the safety precautions to be followed to avert

accidents and to review safety mechanisms in

Chemical Factories, Firework Factories, Tanneries

and Bleaching & Dyeing Units, the three Safety

Propaganda Committees constituted by this

department at Chennai, Madurai and Coimbatore

have conducted 79 safety awareness campaigns

from 01.04.2011 to 31.03.2012.

58

Group Personal Accident Insurance Scheme

Under the Group Personal Accident Insurance

Scheme, with coverage of Rs.50,000/- made

mandatory on the part of the employer, to render

relief in case of death, loss of limbs, loss of

eye-sight, etc., of the insured workers in Match and

Fireworks Factories in Tamil Nadu, 1,11,402 workers

have been covered during the period from

01.07.2011 to 31.03.2012. The payment of accident

insurance is also given to the injured on 24 hour

basis and is not confined to accidents arising out of

or in the course of the actual occupation alone.

Safety Training

To educate the workers and managements on

the importance of Safety, training classes are

conducted by the district level officers in Factory

premises itself in Tamil version at free of cost. From

01.04.2011 to 31.03.2012, 483 training classes

benefiting 22,852 persons have been conducted.

59

Building and Other Construction Workers Act and Rules

The officers of the Inspectorate of Factories

notified as Enforcement Officers under the Building

and Other Construction Workers Act and Rules are

inspecting and registering the establishments to

prevent accidents and to ensure welfare measures

for the workers in the construction industry. From

01.04.2011 to 31.03.2012, 965 Establishments have been registered and 282 cases have been launched

wherein 124 cases have ended in conviction and a fine amount of Rs.1.26 lakh have been realized.

Strengthening of Factory Inspectorate

For the effective implementation of various

Legislations and welfare measures for ensuring one

of the most important policies of the Government to

protect the interest of the workers, the activities of

the department are being modernized and

strengthened. During the year 2011-2012, budgetary

allotment of Rs.75.00 Lakh and Rs.2.80 Lakh

respectively was made for replacement of 14 old

vehicles with new vehicles and purchase of computer

accessories and equipments.

60

Additional Provisions relating to Safety in Fireworks Factories

To curtail the alarming increase in the

frequency of accidents and to achieve accident free

atmosphere in the Firework Factories, additional

provisions relating to safety have been incorporated

in the Schedule XXIV, under Rule 95 of the Tamil

Nadu Factories Rules, 1950.

61

III. DEPARTMENT OF EMPLOYMENT AND TRAINING

EMPLOYMENT WING

Employment Exchanges register candidates,

nominate them to employers and render vocational

guidance. Employment Exchanges also collect and

compile labour market information and prepare

youth for various competitive examinations.

Organizational Structure

There is an Employment Exchange in all the

32 Revenue Districts in the State. Apart from these

there is a Special Employment Office for Differently

Abled in Chennai to assist the Differently Abled

Registrants. There is also an exclusive office in

Chennai to cater to the needs of the Unskilled and

Technical Personnel. There are two Professional and

Executive Employment Offices functioning, one at

Chennai and the other at Madurai.

Five Coaching-cum-Guidance Centers function

exclusively for Scheduled Caste and Scheduled

62

Tribes at Tiruchirappalli, Cuddalore, Coimbatore,

Vellore and Tirunelveli, and also a Special Vocational

Guidance Centre for Tribal Population which functions

at Udhagamandalam.

There are four Regional Deputy Directors

(Employment) Offices functioning at Chennai,

Tiruchirappalli, Madurai and Coimbatore. There are

3 Joint Directors and 2 Deputy Directors functioning

at Headquarters at Chennai. The overall control of

the Department is vested with the Director of

Employment and training.

Performance of the Employment Exchanges

The Employment Exchanges are computerized.

They undertake registration, renewal, issuing of

identity card, nominating the registrants to various

employers as and when they notify the vacancies

etc. During the year 2011-2012, 10,65,164

candidates have registered with the Employment

Exchanges in the entire State. As on 31.03.2012,

there are 75,03,767 candidates waiting on the Live

Register of the Employment Exchanges in the State.

63

During 2011, 4,79,717 HSC and 7,02,962 SSLC

passed students were registered online at their

school premises using web enabled online

registration facility.

Implementation of the Employment Exchanges (Compulsory Notification of Vacancies) Act, 1959.

As per the Employment Exchanges

(Compulsory Notification of Vacancies) Act, 1959,

the number of establishments addressed and the

number of employees in the establishments covered

in respect of Public and Private Sectors for the period

upto 30.09.2011 are given below:-

For the period upto 30.09.2011

Sl. No.

Item

Public Sector

Private Sector

1

Number of Establishments addressed

12,299 14,168

2

Number of Establishments Responded

12,258 13,670

3 Total Employment 14,35,882 9,00,066

64

Vocational Guidance Activities

There are 17 Vocational Guidance Units in

Tamil Nadu. The youth are given information

on higher education, employment and

self-employment opportunities. Individual

information is given to job seekers; group

discussions are conducted and occupational and

apprenticeship information provided to the students.

These units also conduct career talks, contact

employers for information on Job opportunities,

conduct career guidance exhibitions and seminars in

educational institutions. Through these units, youth

are guided to take career decision on higher

education, employment and competitive

examinations.

In 2011-12, 29,894 candidates were sent for

apprenticeship training, 1,032 career talks were

given and 31 career exhibitions were conducted.

10,354 candidates were given counselling for

self-employment.

65

Study Circles

In order to train youth who appear for various

competitive examinations, study circles were

established in 30 Districts. In 2003, the Honble

Chief Minister ordered the extension of the Study

Circles to 385 Panchayat Unions in the State.

The Study Circles conduct coaching classes for

various competitive examinations. For this purpose,

suitable books, monthly and weekly magazines and

study material are provided to the youth. Every year

Rs.64.20 Lakh is spent under this scheme.

In 2011-12, 894 students benefitted from this

scheme.

Private Sector Placements

With the rapid industrial development of Tamil

Nadu, opportunities in the Private Sector have

increased tremendously. The Employment Exchanges

are taking several proactive initiatives for the benefit

of unemployed youth in getting Private Sector

66

Placement. In 2011-12, 10,701 persons were placed

in Private Sector.

Special Cells for Differently Abled Persons

There is an exclusive Special Employment

office for the Differently Abled Persons functioning at

Santhome, Chennai. Apart from this, there are

13 Special Cells in Coimbatore, Erode, Cuddalore,

Madurai, Nagercoil, Kancheepuram, Tiruchirappalli,

Salem, Tuticorin, Thanjavur, Udagamandalam,

Tirunelveli and Vellore. These offices identify

suitable placement opportunities for the Differently

Abled Registrants. There are 1,03,321 Differently

Abled Persons on the Live Register of Employment

Exchanges. This includes 82,410 Orthopedically

Handicapped; 10,888 visually impaired and

10,023 Hearing Impaired candidates. During the

year 2011-2012, 1,031 Differently Abled Persons

were placed.

67

Coaching-Cum-Guidance Centers for Scheduled Castes / Scheduled Tribes There are 5 Coaching-Cum-Guidance Centers

meant for Scheduled Castes/Scheduled Tribes youth

functioning at Coimbatore, Cuddalore, Tiruchirappali,

Tirunelveli and Vellore.

These centers provide vocational and career

guidance to youth from SC and ST communities.

They conduct confidence building programmes for

them. They arrange shorthand/typing training

facilities for Scheduled Castes and Scheduled Tribes

job seekers. These centres also co-ordinate with the

local Employment Exchanges for conducting Career

Guidance Programmes specially meant for Scheduled

Castes and Scheduled Tribes.

Apart from counseling services, these Centres

periodically organize pre-examination Training

Courses for the Scheduled Castes/Scheduled Tribes

youth appearing for various competitive

examinations. 6,333 Scheduled Castes and

Scheduled Tribes candidates benefitted during the

year 2011-2012. The Department organized

68

124 motivational programmes for Self Employment

and 241 career talks were given for the youth and

forwarded 2,468 applications to the nationalized

banks for financing self employment ventures.

Special Vocational Guidance Centre for Tribal Youth

There is a Special Vocational Guidance Centre

functioning at Udagamandalam. This Centre provides

guidance to students and job seekers belonging to

tribal community. They collect information on

training facilities and publish information brochures

for the benefit of tribal youth. The Vocational

Guidance Unit visits the educational institutions and

hostels run for the benefit of the Scheduled Tribes

and deliver career talks. They also provide the tribal

youth with information on higher education,

professional courses, training facilities, scholarships

and job opportunities.

69

This unit also does spot registration of

scheduled tribes applicants. In 2011-12,

428 applicants were given spot registration 438 tribal

youth were counseled and 416 applicants received

individual information. 45 career talks were

delivered by the District Employment Officer. The

District Employment Officer visited 40 Tribal Schools

and Hostels during this period for counseling the

students.

Unemployment Assistance Scheme

Unemployment Assistance is given to those

who are waiting on the Live Registers of Employment

Exchanges without a job for atleast 5 years. The

assistance is given every month for three years

subject to eligibility conditions like age limit and

annual income. An amount of Rs.100/- for S.S.L.C.

failed; Rs.150/- for S.S.L.C. passed; Rs.200/- for

H.S.C. passed and Rs.300/- for graduates per month

is paid to beneficiaries. During the year 2011-12, a

sum of Rs.27.47 Crore was distributed to 1,19,624

beneficiaries.

70

TRAINING WING

Skill and knowledge are the driving forces for

the economic growth and social development of any

country. Countries with higher and better levels of

skills adjust more effectively to the challenges and

opportunities of the world of work. The target group

for skill development comprises all those in the

labour force, including those entering the labour

market for the first time, those employed in

organized sector and those working in the

unorganized sector. As the proportion of working age

group of 15-59 years will be increasing steadily,

India has the advantage of the demographic

dividend. Harnessing the demographic dividend

through appropriate skill development efforts would

provide an opportunity to achieve inclusion and

productivity within the country and also a reduction

in the global skill shortages. Large scale skill

development is thus an imminent imperative. Major

challenges of skill development initiatives is also to

address the needs of huge population by providing

skills in order to make them employable and help

them secure decent work.

71

The Training Wing of this Department takes

the responsibility of producing workforce of our State

by implementing various skill training programmes

through a vast network of Government ITIs and

Private ITIs, through systematic training to ensure a

steady flow of skilled manpower in different trades to

the industries and to reduce the unemployment

problem among the educated youth.

Organisational Structure

The Directorate is located at Guindy Industrial

Estate. The Director of Employment and Training is

the Head of Department. He is assisted by two Joint

Directors in the State Headquarters and by Five

Regional Joint Directors, namely Chennai, Trichy,

Coimbatore, Madurai and Tirunelveli.

There are 62 Government ITIs functioning

across the State each with student strength from

100 to 1000. ITIs are headed by Principals in the

cadre of Training Officer/Assistant Director/Deputy

Director depending upon the trainee strength.

72

The Major Skill Development Training Programmes

1. Craftsmen Training Scheme

2. Apprenticeship Training Scheme

3. Industrial Schools

4. Skill Development Initiative - Modular

Employable Skills

5. Centres of Excellence

6. Upgradation of Govt. ITI under PPP mode.

7. Skilling Initiatives of Tamil Nadu Skill Development Mission (TNSDM)

Craftsmen Training Scheme

Craftsmen Training Scheme is the most

important scheme in the field of Vocational Training,

in shaping the Craftsmen to meet the existing as well

as future manpower requirement through vast

network of ITIs in the State.

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The Main Objectives of this Scheme are

1. Impart training to the less privileged school educated youth to acquire technical skill for gainful employment.

2. Ensure steady flow of skilled workmen in

different sectors to meet the manpower requirement of the Industry.

3. Establish close interaction with the Industries on

the issues relating to exchange of technical knowledge and experience for the mutual benefit of the Industrial Training Institute as well as Industry.

4. To introduce new courses in emerging areas and to create self- sustaining courses.

5. To provide sophisticated training opportunities for women in the field of Electronic and Information Technology for gainful employment.

Government Industrial Training Institutes

There are 62 Government ITIs with a total

seating capacity of 21,736 to impart Industrial

Training to both boys and girls in 39 Engineering

and 17 Non-Engineering trades. This includes

12 Government ITIs functioning exclusively for

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women, One ITI for Scheduled Castes and One for

Scheduled Tribes.

The training period ranges from 6 months to

3 years depending upon the trades. Students

between the age of 14 and 40 are admitted in

Industrial Training Institutes. There is no upper age

limit for girls admitted in women ITIs/ women wings.

Admission is made during the month of August every

year on merit basis following the rules of reservation

in force.

Need for starting new ITIs

Every year only 23,000 youth get admitted in

the existing Government ITIs, out of 51,000 youth

applying for admission into Government ITIs. With a

strong demand for skilled workforce in Tamil Nadu,

there is a need to start more ITIs. Therefore, the

Government have decided to open new ITIs every

year in the Unserviced Areas in a phased manner.

This Government have decided to set up 10 new

ITIs. Starting of these ITIs under Public Private

Partnership is being explored.

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Concessions Offered to Trainees

During the training period, monthly stipend is

given to the trainees to encourage their active

participation in the training programme. General

Candidates (all communities with income ceiling) are

given Rs.100/month, Denotified Community

Candidates are given Rs.140/- month, Scheduled

Caste Candidates are given Rs.150/- month,

Scheduled Tribes Candidates and Burma/Srilanka

Repatriate Candidates are given Rs.175/- month.

To help the poor and downtrodden youth,

Government have issued orders to supply two sets of

Uniform and a pair of Shoes at free of cost to each

trainee. Free training and free bus pass are also

offered in all Government ITIs.

Affiliated Private Industrial Training Institutes

To supplement the efforts of the State in

producing skilled manpower to the Industry, private

participation is encouraged. At present there are

627 Private affiliated ITIs in Tamil Nadu with a total

seating capacity of 60,320.

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All India Trade Test

Trade Test is conducted for the trainees of

Government ITIs and the Private affiliated ITIs by

NCVT during July every year and Supplementary

Trade Test is conducted during February.

The Valuation of answer papers is done by Central

Evaluation System in the 5 regions viz. Chennai,

Coimbatore, Trichy, Madurai and Tirunelveli. In July

2011, 31,831 trainees including the supplementary

candidates have appeared in the All India trade Test.

State and All India Skill Competition

To motivate the trainees, State skill competition

is conducted in 18 trades at the state level and the

best trainee in each trade is awarded Rs.25,000/-

and a merit certificate.

All India Skill Competition is conducted in

14 different trades every year with a view to foster

the spirit of healthy competition among the trainees

of Industrial Training Institutes of various States.

Successful trainee in each trade is given a cash

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award of Rs.50,000/- and a merit certificate by

Government of India.

Out of 47 All India Skill Competitions held so

far, Tamil Nadu alone has been declared the BEST

STATE 22 times.

These achievements bear testimony to the high

quality of training imparted in the Industrial Training

Institutes in Tamil Nadu and also to the efficiency of

the trainees.

Dr. Radhakrishnan Award

Dr. Radhakrishnan Award is given to the

Instructors who show exemplary performance in

training. Every year, 12 Best Teachers (Principal-2,

Training Officer-2, Assistant Training Officer-4 and

Junior Training Officer-4) of Government ITIs and

Private ITIs are given a cash award of Rs.10000/-

each in the form of Kisan Vikas Patra and a Merit

Certificate in order to motivate and encourage them.

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Welfare Scheme for Scheduled Castes/ Scheduled Tribes To assist the Scheduled Castes and Scheduled Tribes to improve their Socio-Economic conditions for

employability, Industrial training is given in different

trades. A Government Industrial Training Institute

with 3 trades and 96 seats is functioning at

Chidambaram in Cuddalore district exclusively for

Scheduled Castes.

A Government Industrial Training Institute at

Sankarapuram in Villupuram District is functioning

exclusively for Scheduled Tribes under Tribal

Sub-Plan with 4 trades and 104 seats.

Apart from this, 18% of the seats are reserved

for Scheduled Castes and 1% of the seats for

Scheduled Tribes in the admission in all other

Government Industrial Training Institutes.

Instructor Training

To keep pace with the rapid technological

development, Instructional staffs are deputed for

training to various institutions run by Government of

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India like Central Training Institutes and Advanced

Training Institutes. This training equips them with

the latest technology and skill. Subjects such as

Teaching Techniques, use of Audio Visual Aids in

teaching, Classroom Management etc., are covered

in the training.

Wireman Helper Competency Examination

Candidates with 21 years of age and having a

minimum work experience of 5 years with an

electrical contractor or in a recognized establishment

are eligible to appear for this examination.

The Examination is conducted once in 3 years by the

department. The last examination was held in

December 2009. 4,586 candidates had appeared for

the Wireman Helper Competency Examinations and

Certificates were issued to 2,521 successful

candidates by the Department.

Examination Cell

Every year, nearly 75,000 trainees are

appearing for the trade test / examination

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under Craftsmen Training Scheme, Apprenticeship

Training Scheme and Industrial School Pattern.

The examination system has been computerised and

computerised Provisional Certificates to the passed

out trainees are issued.

Apprenticeship Training Scheme

To acquire industrial skills, the ITI passed

trainees from Industrial Training Institutes/Private

ITIs are sponsored as apprentices to Industrial

establishments for training for a period ranging from

6 months to 2 years. In Tamil Nadu, Apprenticeship

Training is given in 111 Trades in 1,868 Industrial

Establishments. As of now 11,628 apprentices are

undergoing training. During Apprenticeship Training,

the apprentices are given stipend ranging from

Rs.1490/- to Rs.2220/- per month by the

establishments.

At the end of training, Trade Test at All India

level is conducted during the month of April and

October. The successful candidates are issued

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National Apprenticeship Certificate. Every year,

about 12,500 apprentices appear for the All India

Apprenticeship Trade Test.

Industrial Schools

Besides Government and affiliated Private

Industrial Training Institutes, there are 933 Private

Industrial Schools functioning in Tamil Nadu.

At present, approximately 29,900 candidates are

undergoing training. Training is offered in 110 trades

mainly in the areas like catering, tailoring, Computer

Software, beautician, Office Automation, etc.

Training period is from 45 days to 3 years.

Candidates with 8th pass qualification are admitted

for training. Eleven Industrial Schools are offering

Technical Teachers Training Certificate Course.

Examination is conducted at State Level and

Certificates are issued to the successful candidates

by the State Government. 45 Industrial Schools are

receiving maintenance grant from the Government.

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Skill Development Initiative - Modular Employable Skill (SDI-MES)

With an objective of enabling more number of

youth to acquire skill in a short span, short term

training modules have been introduced in

Government ITIs under the scheme of Skill

Development Initiative Modular Employable

Scheme. MES courses are minimum skill sets

required in each skill area which make the trainees

employable. This scheme is 100% funded by the

Central Government in the form of reimbursement of

training cost to the training providers. This scheme is

implemented with the help of 61 Government ITIs,

659 private bodies including private ITIs and

corporate bodies. Free training is given and courses

are offered to candidates having qualification 5th std.

pass and above.

In order to reduce the burden for the poor students, the State Government bears this cost on their behalf. For this Rs.8.00 Crore is allotted annually by the State Government. In the year 2011-12, through Government ITIs 35,599

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candidates were trained under the Modular Employable Skill (MES).

Centers of Excellence

Government of India launched this Scheme in 2005-06. Under domestic funding, Five Government ITIs were upgraded as Centers of Excellence with Rs.1.60 Crore each. World Bank funded this scheme from the year 2006-2007 at an outlay of Rs.3.50 Crore per centre. The expenditure is shared between Central Government and State Government in the ratio of 75:25. So far 17 Government ITIs have been taken up for up-gradation into CoE and training is offered in 10 sectors to produce World class multi skilled workforce. So far Rs.49.49 Crore have been received from Government, out of which a sum of Rs.41.08 Crore have been spent.

Upgradation of Government ITIs under Public Private Partnership mode

Government of India launched this scheme in the year 2007 to improve the ITI-Industry interaction and to motivate private participation in skill development activities. 32 Government ITIs are

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under up-gradation at a total cost of Rs.80.00 Crore with an interest free loan of Rs.2.50 Crore, to each ITI funded by Government of India to upgrade itself in terms of Civil works, purchase of tools and equipments and recruitment of instructors. An Institute Management Committee headed by an Industry Partner as Chairman and ITI Principal as Member Secretary has been formed for each ITI to draw up Institute Development Plan and to execute it.

Tamil Nadu Skill Development Mission (TNSDM)

To enhance skilled workforce in the State, quantitatively and qualitatively, a State Skill Development Mission has been formed to catalyze the skill development activities in the State. New strategy will be developed to provide employment opportunity to more number of unemployed youth in the State.

Government have given administrative

sanction for Rs.20.20 Crore for implementing various

Skill Development initiatives.

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World Class Vocational Training Institute

A world class training institute under PPP to

train youth in Hi-technology areas like Aircraft

maintenance, manufacturing etc., will be set up.

CII is identifying a consultant for preparation of Detailed Project report. Courses outside the purview

of DGCA will be conducted. There is good demand for

logistics, ground handling and air cargo services

which assist mainline services. Courses under the

purview of DGCA like Aircraft Maintenance

Engineering (AME) and Pilot Training Institutes etc.

are too sophisticated & require stiff qualification

parameters & benefit few students at high cost.

Courses will be run under MES pattern which has

1200 modules of varying duration.

e-Content & Simulator Based Training

For improving the knowledge base of the ITI

students e-module & simulator based training will be

introduced in ITI training. 10 trades have been

identified in consultation with industry. Industries

and ITIs are engaged in developing curriculum and

modules.

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Smart Card for Skilled Candidates

Smart Card will be issued to the Government

ITIs and Modular Employable skill pass out to instill a

sense of pride in skilled workforce. Technical Details

are being worked out with NIC. Faculty Development Institute

A Faculty Developing Institute will be set up to ensure continuous supply of quality instructors. A Detailed Project Report is under preparation by CII. Soft Skill Training for College Students

Soft skill training programme in all Government and Government aided Arts & Science Colleges will be launched. 265 hour curriculum has been approved by the Director of Collegiate Education. Modules are being prepared by CII in consultation with National Association for Software Services Companies (NASSCOM). It is planned to target final year