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    Labour LawConstruction Site survey

    Done: Delawar Barekzai

    DM's college Goa University

    6/9/2008

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    Labour Law SY BBA, DMs college 08-09 2

    Table of contents

    S# TopicPage

    no

    1Introduction 5

    2

    Interview with contract labourers 6--103

    Labourers Suggestions 10

    4Interview with Contractor and his Suggestions 10--11

    5Interview with CID officer and his suggestions 11

    6Comparison of Organized sector and non organized sector 11--13

    7Conclusion and our findings 13

    8Group members' observations/viewpoints 14

    * Delawar Barekzai's view points 14

    * Nikita Dhempo's view points 14

    * Chaturti Shirodkar view points 14--15

    * Apurva Rege's view points 15

    * Tania Shirokar view points 16

    * Utkarsh Naik 16

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    A project report submitted on

    (construction division) Mapusa--Goa, in the partial fulfillment of the

    requirement of subject Labour Law (Second year of Faculty of Bachelor of

    Business Administration) of Dnyanprassarak Mandals College of Arts,

    Science, Commerce & Management Studies, Assagao, Bardez, Goa, India.

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    In this study except those labourers who were busy at work and were

    not ready for interview all other labourers, contractor, and work

    supervisor were cooperative with us in providing information which was

    required for the study. There were no restriction and limitation at all to

    prevent gathering information and prepare our project report.

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    Acknowledgment

    I Delawar Barekzai, Studying Bachelor of Business administration in DMs college affiliated

    to Goa University, Goa, India. My successful completion of labour law assignment gave me

    an immense corporate exposure. In this research oriented study all ISANI &VIRANI

    PVT.LTD labourers, contractor and work supervisor assisted and supported me. I appreciate

    their perpetuate cooperation and I would like to express my heartfelt thanks to them. I would

    like to thank all labourers for their cooperation in providing the information that was required

    for the study. I would like to thank Mr. Mayur M. Sawant for arranging the construction site

    for me and I would also like to thank Mrs. Isha Sawant our Labour Law lecturer for teaching

    this subject and her guidance. During my research I have earned lots of information regarding

    the labourers life condition, their rights, their income, and their position in the society which

    is completely different from those employees who are working in organized sector. At the

    end I would like to thank all those who assisted me in this study and preparation of the final

    report.

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    The aim of this study was to conduct a survey to find out the application of labour law

    in real life especially when the contract labourer, their working condition, their income

    (wages, bonus, remunerationetc), their rights, their position in the society...etc are

    concern and whether they are aware of labour Law or not. It is a research oriented

    study and its report is to provide an understanding of the labour law in current scenario

    and its application in real life for its reader.

    Primary and Secondary data are used for information gathering primary data has

    collected through interviews with the labourers, contractor and work supervisor of

    ISANI &VIRANI PVT.LTD and a formal discussion with the CID officer Donapaula,

    panjim, Goa. Secondary data has been taken from Newspapers Times of India Goa

    edition, Nahvind Time and TV channels.

    The assignment report is consisted of four major sections. The section one describes the

    introduction of the report, back ground, purpose, scope the methodology and scheme of

    the report. The second section of the report includes the questionnaire and labourers

    responses, labour law related concepts applications, and labours suggestions.

    The third section of report purely polices actions regarding the cases which are filed

    against the contactor and their suggestion to contract labourers and people.

    The final section of report covers, the comparison of Non-organized sector with

    organized sector, conclusion and recommendation for Non-organized sector.

    ISANI & VIRANI Hotels PVT.LTD

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    This company established in the year 2005 and started with the hotels and resorts in Goa,

    Karwar, Mangalore, and Maharashtra. In the year 2006 they started construction activities

    and expanded to other cities of the country as well. In Goa it has one main branch which is

    located in Mapusa and other branches are located in Margao, Ponda, and Bicholem. Every

    branch has their own contractor and while taking a construction projects all the constructingresources are provided to the contractor. Inspite of that the labourers responsibility is belongs

    to the contractor and work supervisor, the branch also have a monitor and overtime they

    come and monitoring the work and ask the labourers if they have any problem and

    suggestions regarding their working condition, constructing resourcesetc. As it was a short

    discussion with the branch manager of the ISANI & VIRANI Hotels PVT.LTD Mapusa, we

    would not mention more about the background and history of this site. During this study we

    have been interviewed 10 labourers ( six women, and 4 men) and their contractor and work

    supervisor. The interviewed labourers list is as beneath:

    S# Name Gender Age Marital status No yearsworking

    Type of work Originality

    1Uma Koli Male 25 Single 15 Carpentry Karnataka

    2

    Balchandran Male 22 Single 5 Fitting UP

    3

    Nagesh Male 35 Married 20 Digging Karnataka

    4 Annopama

    Aadanam Male 33 Married 18 Carrying stone Karnataka

    5

    Shri Mohan Female 40 Married 21 Carpentry UP

    6

    Rama Devi Female 58 Married 25 Centering steel Maharashtra

    7

    Janatabi Female 28 Married 15 Carpentry Karnataka

    8

    Kushenbi Female 30 Married 18 Brick carrier Karnataka

    9

    Coseeshare loli Female 29 Married 15 Carpentry UP

    10

    Wataarana Female 33 Married 16 Brick carrier UP

    After their identification we asked the following questions;

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    Working hours per day

    7-8 hours

    8-9 hours

    9-10 hours

    Family size

    2-3 person

    3-5 person

    5-7 person

    62%25%

    13%

    Children involvement at work

    No Child is

    involved

    Partly

    involved

    fully

    involved

    20%

    20%50%

    10%

    Miminum Wages

    75-100

    Rupees

    100-150

    Rupees

    150-200

    Rupees

    1. How many hours you work per day?Answer: Out of ten labourers 3 of them were

    working from 9:00am to 4:30pm, 5 of them

    were working from 8:00am to 6:00pm and two

    of them were working from 8:00am to 7:00pm.

    2. What are your monthly or weekly holidays?Answer: Sundays are their holiday during every week which is declared, other holidays

    are festivals (such as Diwali, Ganesh etc). And they are paid differently, and if they are

    sick they also have leave for 3 days, and they are paid for those days as well.

    3. What is your family size?Answer: Two of them said that they are only

    two (their mom and themselves), six of them

    said that their family size is 3-5 and 2 of them

    said that their family size is 5-7 persons (out

    of these six some of them have 4 children,

    and some of them have 5 children both girls

    and boys) while among the female labourers

    two of them were pregnant.

    4. Are your children involved in work?Answer: Out of those labourers who were

    married 5 of them said that their children are

    small and not able to work therefore they are

    not involved, 2 of them said our children are

    partly involved and of them said I have one

    daughter and one son with the age of 11 and

    both of them are involved.

    5. What is the minimum wages you get?

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    55%36%

    9%

    How people treat labourers

    Not good

    Good

    Mutual Respect

    Answer: Out of ten labourers 2 of them said 90 Rupees per day, 2 of them said 130 Rupees per

    day, 5 of them said 200 Rupees per day, and 1 of them get 250 Rupees per day. This is paid based

    on the kind of work they do and this is paid daily, weekly, and monthly (As per the contract and

    request of the labourer). But infact it is negotiable.

    6. How much wages you are entitled and how much you get?Answer:They dont know how much is the actual wages and how much they are paid.

    They are not aware that how much wages per day are prescribed by the government but

    they said as per the market rate they expect the wages. Sometimes they take Rupees 1000

    in advance and the balance pay is paid at the end of the week.

    7. How is the behavior of the contractor and work supervisor with you, is there anyimbalance or any harassment?

    Answer: There is no harassment at all and the contractor threat them friendly, work

    supervisor supervise their work and incase of negligence of a labourer first of all

    supervisor point out their mistakes and will tell them during work or at the end of the day

    if a labourer continues the same for next day he will be fired. But as we observed

    psychologically they were not happy.

    8. How people treat you?Answer: Some of them said people

    treat us very well; they speak with

    them with respect. Some of them

    said as they cannot speak Konkani

    language some people dont like

    them and they behave with them

    very badly. Some of them said we

    dont bother who we are and why

    we are here, we are separate and

    they are separate and how much they are concern about ours that much we respect.

    9. Are you aware of Law?Answer: Majority of them are illiterate, they are not aware of their rights and they are not

    aware of any law or regulations.

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    89%

    11%0%

    0%

    Labourers' welfare facilities

    Not satisfied

    SatisfiedFully satisfied

    30%

    70%

    On time payment

    Wages are

    paid on time

    Wages are not

    paid on time

    10.Grievances?Answer: No grievances, everything is fine, the only problem is whatever is earned by one

    person is not sufficient for 6 people in the family. Besides as far as the health of the

    labourer is concern in case of sickness they dont have sufficient money for the treatment.

    11.What welfare facilities you are provided? If you are provided theses facilities areyou satisfied with that?

    Answer: As for welfare facilities are concern only sufficient supply of wholesome

    drinking water is provided. There are no

    latrines and urinals or any other washing

    facilities but some of them were satisfied but

    not fully satisfied as one lady told us that

    they are provided fuel and wood as well but

    not sufficient and expect the contractor to be

    more concern about these issues.

    12.In case of any unexpected injury are you provided with the firs-aid facilities?Answer: In case of a small injury there is first aid kit in the workplace itself and every

    labourer can use it. In case of a big injury contractor take them to hospital and the doctor

    fair and other expenses are paid by the contractor.

    13.Do you get your wages on time or the contractor postpones for some time?Answer: Out of ten labourers 5 of them

    said it is paid on time, 3 of them said it is

    postponed for some times, and two of

    them said it is depend on the situation

    when we expect to be paid. But some of

    them take some amount of money in

    advance and balance will be paid at the

    end of the week.

    14.Is there any offence in case of any contravention?Answer: Only shouting from contractor no payment of money by labourer. Butsometimes even fired by contractor or by principle employer.

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    60%

    40%

    Remuneration

    They are

    paid

    They are not

    paid

    60%

    40%

    Discrimination

    Yes

    No

    15.Does the contractor pay you remuneration?Answer: Some of them said Rupees 1000

    is paid during Diwali festival and some of

    them said it is not paid to them. But this is

    depending on the situation and contractor

    decides how much should give to which

    labourer.

    16.Do you think that contractor discriminate in the form of place, language,genderetc while employing the labourers?

    Answer: Out of ten four labourers said

    there is no discrimination and 6 of them

    said there is discrimination in the form of

    gender where women are paid less than

    men. Besides the contractor is not concern

    about women because sometimes they

    have health problem and cannot afford

    with heavy works.

    17.Does the contractor deduct any amount of money in case of your absence fromduty, in case of damages or lossetc?

    Answer: Three of them said yes if we not attending the work wages are deducted, others

    said it is conventional and based on the contract. But sometimes they inform the

    contractor in case of a serious sickness or other problem. That time the contractor

    considers them present but if the payment is on daily base then the contractor will not pay

    for that consider day.

    18.How the police treat you if you have any case against your contractor?Answer: They said till this time we didnt approach police for anything against our

    contractor but we are given cards which we record our working days and if the contractor

    dont pay for a single day, we can complain to police.

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    19.If a person dies or hardly injures in the workplace and loss an organ of his body,does the contractor pay any compensation to the concern, if not who else is

    responsible?

    Answer: They said yes compensation is paid but they didnt know about the exact

    amount of that and said that it is depend on the injury or loss but nothing has been

    happened yet.

    20.What bonuses are paid by the contractor?Answer: Out of ten employees 4 of them said they are paid 200 Rupees during Diwali

    festival, 2 of them said the contractor distributed sweets and cloths, and the remaining

    labourers denied they are paid nothing.

    21.Labourers suggestion:As the cost of food increases day by day majority of them were complaining that the wages

    paid to them are not sufficient and they ask the government and construction companies to do

    the needful regarding the issue. Besides provide them better welfare facilities and food at

    workplace itself, while some of them said that they bring their own food Tiffin to the

    workplace. They wanted free education for their children and ask the government to provide

    them free education. Out of the ladies interviewed only one said that her two children go to

    school. She said that it is free of cost and there is nobody to look after them at home. Only

    because of this she sends them to school. Most of them they said that there is no school of

    Hindi language nearby and they dont know Konkani and Marathi which is thought in the

    local primary schools and therefore they dont want to send their children to school and theyask the government to pay attention to this . At the end of the interview they were very

    thankful of us that we visit them and asked them about their life and their working condition.

    Besides we distributed chocolates and sweets to their children and thanked them that they

    allocated their precious working time for us to discuss.

    Contractor views regarding contract labours life and working condition:

    As we discussed these issues with Mr. Galgali the licensed contractor of this site, he said that

    it is very difficult to run and financially support a family with these minimum wages but as

    we see the business growth nowadays is also slow and the construction company are notready to provide high wages and even they want to control current wages as well. As far as

    welfare and health of contract labour is concern they are two first-aid kits in the workplace,

    latrine is not constructed because of the improper water supply but they can use other local

    latrines and toilets because this site is close to Mapusa market they dont need canteen as well

    because they can take food or other items from nearby shops. The involvement of children is

    not as per the request of the contractor but it is as per the request of labours so they can earn a

    little more, but he said we never recommend them for heavy work and always tell the labours

    to not allowed children for dangerous works, because he declared to them that if anything

    happened contractor is not responsible. The principle employer Manager of Mapusa

    branch said that we discuss each every issue and we cooperate together and as soon as

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    possible we solve the problem of contract labours. Principle employer said we try to inform

    them about the labour law and make them aware of their rights and principles of employment

    but it takes time, and the labours leave over a period of time therefore sometime

    inconsistencies happens. The muster roll is applicable and they maintain register and other

    records such as the hours of work, nature of duty, wages, deductions, overtime, fines,advance payment, and also wages slips and such other information which is prescribed.

    Contractor also said that they want to motivate labours by providing them remuneration and

    bonuses and also would like to provide them better health and welfare facilities.

    CID officer

    In a short discussion with CID officer crime department in Dunapuala, panjim, Gao we found

    that the police are cooperative with contract labourers and they said that sometimes even for a

    small problem the contract labourers approach police and ask them to take an action, and

    when they go to the area and ask the contractor they find that it is a misunderstandingbetween contractor and contract labourers and not worth of that the police take an action

    against them. Officer said, as for as the labour market is down and employment opportunities

    are less, labours nowadays are agree for even less wages but sometimes they are not paid the

    actual wages which they are entitled and these cases are increasing day by day. Besides

    sexual harassment cases are increased compare to last two or three years. He didnt mention

    about the exact number of the cases which are filed during 2007-2008 but he said that all

    companies whether organized sector or non-organized sector should observed and maintain

    the law and regulations, otherwise the consequences of these inadequacies and

    inconsistencies have bad impact in the future of the economy and other factors of the country.

    Comparison of Non-organized sector with organized sector:

    Organized sector is the sector which operates through institutions which feed figures into

    official statistics. This includes firms organized as companies, payments made via the

    banking system, incomes reported to the tax authorities, sales reported to the VAT

    authorities, and employment reported to the National Insurance authorities. These constitute

    the vast majority of total economic activity in advanced economies. In India, a major chunk

    of labor force is employed in the unorganized sector. The unorganized / informal employment

    consists of causal and contributing family workers; self employed persons in un-organizedsector and private households; and other employed in organized and unorganized enterprises

    that are not eligible either for paid, sick or annual leave or for any social security benefits

    given by the employer.

    In order to compare non-organized sector with organized sector, and see the working

    condition of a labour in non-organized sector and an employee in organized sector we would

    like to mention as beneath;

    1. Recruitment job specification: As for as organized sector is concern employeesare recruited based on interview and each and every employee are specified a joband they report to their immediate boss overtime, while in non-organized sector

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    labours are employed simply and sometimes even their jobs are not specified and

    there is no reporting.

    2. Working condition: employees in organized sector are provided good workingcondition (Separate office room, Telephone, computer, stationary, latrine and

    urinal facilities, wholesome drinking water, A/c etc), while labours in non-

    organized sector especially this site which we have visited only drinking water

    and a rest room is provided.

    3. Salary & Wages: As for as organized sector is concern they usually pay monthlysalary to their employees or sometime both salary and commission and salaries are

    quite enough to finance themselves and their family except some employees

    working in government offices but nowadays government salaries are also

    increasing, while in non-organized sector daily base wages are paid daily base or

    sometimes they are paid weekly but it is not sufficient to finance a family. In

    organized sector the employees compensation, remuneration and bonuses are

    paid based on his performance measures and sometimes it comes more than

    his/her salary but in non-organized sector only some amount of money are paid

    during festivals which will not exceed 1000Rupees.

    4. Insurance facilities: There is difference of insurance for employees in organizedsector and labours in non-organized sector. In organized sector employees

    insurance money are paid by the company itself or sometime if he/she insured

    him/her self will be paying by themselves but nowadays companies take the

    responsibility of their employees insurance as well. But in non-organized sectorthe insurance premiums and other monthly payment are paid by the labour only in

    the form of contribution. While in some construction sites even there is no ESI.

    5. Transport facilities: In organized sector the employees are provided transport topick up employees from home and drop them back if not, the transport fare is

    provided to them and calculate it with their monthly salary. But in non-organized

    sector there is no transport and or travel facilities for the labours

    6. Leave with pay: Employees in organized sector have different leaves like, annualleave, sick leave, paternity leave, maternity leaveetc, while in non -organizedsector labours have few days leave in Diwali festival, and other leaves are in

    negotiation and there is no annual leave especially when we visit this construction

    site labours were complaining from consequent work and low wages.

    7. Management: In organized the most important and main thing is management ofthe employees, teams, and cross functions but in non-organized sector each and

    every labour is individually employed for a job and no contribution in work.

    8. Scope for promotion: As for as the organized sector is concern employees aregiven promotion over a period of time based on his/her performance but in non-

    organized sector no promotion is given to the labourer. Beside in organized sector

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    the salary of the employee will increase with his promotion while in non-

    organized sector labourer wages remain the same.

    9. Training & development: In organized sector employees are given on job or outof job training over a period of time to improve the performance of the employee

    but in non-organized sector there is no training and development scope for

    labourers.

    At the end we can say that in organized sector the employees are often permanent and

    in non-organized sector labourers are often temporary.

    After conducting the survey and construction site analysis we would like to conclude our

    report;

    ISANI & VIRANI Hotels PVT.LTD (construction division) is one of the major construction

    companies which provide better constructing resources and have a steady contact with

    different contractors all over Goa. Labours working condition is good comparing to other

    construction companys but as per the labour law and regulations there are still

    inconsistencies.

    As far as contract labour Act 1970 is concern the contractor and principle employer exploit

    labourers rather than giving them their proper rights, labourers are not provided proper

    welfare facilities and benefits therefore lost of disputes are among contractor and principle

    employer with labourers, the same in the case ofequal remuneration Act, the remunerationsare not provided equally and there is often empathy and sympathy in the case of employing

    women and men. As far as payment of wages Act is concern some time the contractor

    postpone the payment, beside that there is no nominated representative duly authorized by

    principle employer to be present at the time of distribution of wages by contractor to

    labourers, also labourers dont get actual wages they are entitled with, but it is based on the

    hard work they do. In the case ofchild labour Actthe contractor doesnt have a register to

    maintain the record of the children employed or permitted to work. Government doesnt pay

    proper attention to the education of their children and they always complain for the same. As

    far as Employees State insurance Act is concern there is no such scheme for the same

    besides that labours dont know about it the contractor said these labours are not permanent

    and even some of them are daily base therefore it is difficult to consider ESI for them

    temporarily. As for as the minimum wages Act is concern labours are often paid as per the

    market rate but when we interviewed the labours they told us that they are not aware of how

    much minimum wages are prescribed by the government, also they said these wages are in

    negotiation and the type of work the labours do. As far as the Industrial disputes Act is

    concern if any issue arises first of all they try to solve and comprise upon that issue, if not

    usually contract labours approach police and complain against contractor or principle

    employer. Police often behave very empathetic with contract labours especially women are

    concern and always suggest them to inform police in case of harassment, insecurity, or lack

    of righteousness.

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    1. Delawar Barekzai: After conducting the survey by our group I come to know that thereasons for the ineffective implementation of labour law is the lack of adequate

    enforcement machinery, lack of political will, deliberate attempt of employers to floutthe legal provisions and so on.

    As far as child labour is concern the main reason is the lack of consciousness within

    the minds of parents themselves who obtain certificates from medical practitioners

    inflating the age of their children to enable them to work therefore they are deprived

    from education and their future become horrible, also the number of labour inspector

    is quite low to inspect the appropriate age of the child whether the eligible for work or

    not. Benefits and other rights are not properly observed and due to inadequacy of all

    these things labours are neglected. Therefore I suggest the government and all those

    companies or organizations especially non-organized sector, to pay attention to theseissues, because non-organized sector and these people who work labours play an

    effective role in the economy of the country, and if they are poor, several problems

    will arise such as food crisis, and also the crime rate will increase.

    2. Nikita Dhempo: Usually when we join any work or any job we are aware about thename of the organization for which we are working and we are entitled with, but these

    labours only knew what kind of work they do, and they dont have any idea about the

    organization or company they join and they are not aware of any rules and

    regulations. Whether it is government or private organization people employed waits

    for an opportunity of declaration of holiday, but these poor people feel that there

    should not be any kind of festival or any celebration. They are not provided any food

    and they dont get any payment if they are not on duty. Even during the sickness they

    have to work, also they know that the job market is very low if they dont work and

    not present at job they will be at loss. They dont work for future and their purpose is

    not to save but they work for present (food, clothing, and place).

    3. Chaturti Shirodkar: We as a group did the project on the laborers. This projecthelped us knowing the problems faced by the laborers and their relations with

    contractors, police, and local people. With this project we also came to know about

    their real practical world and with this we can compare it with what we learnt during

    our labor law session. These laborers really dont know about the rules and

    regulations made by the Goan Government for them and therefore they cannot take its

    benefit. They dont know about the different facilities offered for them by the

    government.

    When they were interviewed by us I came to know that they are really unaware of the

    facilities, schemes, rules, regulations and labor law. The ladies specially when

    interviewed refused to answer correctly whatever was asked to them. In one case one

    son of the lady did not allowed her to answer anything and told that she is very tiredand hence he will answer whatever4 to be answered. Some of the ladies were not

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    aware of the wages which are being paid to them as the contractor pays it directly to

    their husbands.

    Most of the ladies said that they are paid less compared to the men in spite of working

    equally or for equal work. They were paid almost double compared to women. None

    of the lady was ready to agree that they are being harassed at the workplace either by

    the contractor or by the others. There were no crashes provided for their children but

    the ladies had to keep them at home or have to make some arrangement for them. Not

    a single lady knew that there is some maternity law and they get some benefit out of

    that. They said their contractor never talked about this to them anytime nor their

    husbands know about this. One lady Uma told me about one death which was

    occurred at the workplace. One lady had fallen from the top and died. She had one

    daughter. The police came and looked after the matter. The contractor paid some

    thousands of money to her husband and said that he will look after her daughter, but

    her husband refused.

    These laborers have weekly holiday on Sundays and on the festivals. If they need

    holiday then they have to take prior permission from the contractor. During the

    holidays and their absence they are not paid as their wages are counted on daily bases.

    From all the interviews conducted and information gathered I came to know that the

    laborers are not aware of any labor laws which are beneficial for them. Even they

    dont want to know as they think that their contractor is correct and pay as per their

    work although I found that there is no other remuneration or bonuses paid to them.

    They dont know any laws and live a very different life from the organized sector.