01 introduction to labour laws

LABOR LEGISLATION
by
Dr Yogesh K Upadhyay

LABOR LEGISLATION
Part - i
Types and principles

LABOR LEGISLATION
 The term ‘Labor Legislation’ is used to cover all the laws which
have been enacted to deal with employment and non-
employment, wages, working conditions, industrial relations,
social security and welfare of persons employed in industries.
 Thus ‘Labor Legislation’ refers to all laws of the government to
provide social and economic security to the workers. These acts
are aimed at reduction of production losses due to industrial
disputes and to ensure timely payment wages and other minimum
amenities to workers.

Objectives of LABOR LEGISLATION
 Maintenance of Industrial Tranquility
 Preservation of healthy, safety and welfare of labour
 Maintenance of cordial Employee Relations
 Saving labour from profit seeking exploiters
 Promote harmony between employer
 Strengthen industrial relation
 Provide machinery to solving industrial disputes
 Protection of women and child in the factories.

Types of LABOR LEGISLATION
 Labor Legislation Related to Working Conditions
 Labor Legislation Related to Wages
 Labor Legislation Related to Employee Relations
 Labor Legislation Related to Social Security

Labor Legislation Related to
Working Conditions
 Purpose is to protect minimum labour standards and improve
working conditions.Minimum standards in the areas of Work,
Working Conditions, Safety, Employment of Children and
Women, Leave etc.
 The Indian labor laws under this category are :
 The Factories Act, 1948,
 The Mines Act, 1952,
 The Plantation Labor Act, 1951
 Shops and Establishment Act

wages
 Purpose is to regulate the wages of workers engaged in industrial
sector.
 Fixing and revision of wages.
 Payment of Wages, mode and time, over time etc
 The laws under this category are as follows : 1) The Payment of Wages
Act, 1936 2) The Minimum Wages Act, 1948, and 3) The Equal
Remuneration Act, 1976

Industrial Relations
 Purpose is to regulate the relations between employers and employees
and to provide for methods and manners for settling industrial disputes
are Regulative Legislations.
 These laws also regulate the relationships between workers and trade
unions, the rights and obligations of the organizations of employers
and workers, as well as their mutual relationships.
 The laws under this category are as follows : 1) The Trade Unions Act,
1926, 2) The Industrial Disputes Act, 1947, and 3) The Industrial
Employment (Standing Orders) Act, 1946

Social Security
 Aimed at promoting the general welfare of the workers and improve
their living conditions during and post employment.
 Special assistance during interruption in wages.
 The Laws under this category are as follows
 The Workers’ Compensation Act, 1926
 The PF and Miscellaneous Provisions Act, 1952
 The Payment of Gratuity Act, 1972
 Employees State Insurance Act, 1948

Principles of Labor Legislation
 Social Justice
 Social Equality or Welfare
 National Economy
 International Uniformity

Importance of Labor Legislation
 Create a framework of Minimum Standard of Welfare
 Protect and regulate wages
 Provide Social Security
 Maintains Industrial Tranquility
 Enhances Productivity
 Speedy Settlement of Industrial Disputes
 Promotes Trade and Business
 Protect Rights of Workers and Employers

LABOR LEGISLATION
Part - ii
Constitutional Provisions

Constitutional provisions
 Part III of the Constitution of India is the benchmark
for labor laws in India. Also, Part III (Article 12 to 35) of
the Constitution covers the fundamental rights of its
citizens which includes Equality before the law, Religion,
Sex, caste, place of birth, the abolition of untouchability,
freedom of speech and expression and prohibition of
employment of children in factories.

Article 14
Equality before the law which is interpreted in labor laws as “Equal
pay for Equal work”. It does not mean that article 14 is absolute.
There are a few exceptions in it regarding labor laws such as physical
ability, unskilled and skilled labors shall receive payment according
to their merit.
In the case of Randhir Singh vs Union of India, the Supreme Court said
that “Even though the principle of ‘Equal pay for Equal work’ is not
defined in the Constitution of India, it is a goal which is to be
achieved through Article 14,16 and 39 (c) of the Constitution of India.

Article 19 (1) (C)
Constitution guarantees citizens to form a union or association. The
Trade Union Act, 1926 works through this Article of the Constitution.
It allows workers to form trade unions.
Trade Unions provide the power to raise voice against atrocities done
to the workers. Unionization brings power to the laborers. Trade
Unions discuss various labor-related problems with the employers,
they conduct strikes, etc.

Article 23
Constitution prohibits forced labor. During Britishers rule forced labor
was prevalent. People were made to work against their will and
weren’t paid according to their work. The Government at that time
were infamous for forced labor and the landlords were also involved in
forced labor.
In current times, forced or bonded labor is an offense which is
punishable under the law. The Bonded Labor (Abolition) Act, 1976
prohibits all kinds of bonded labor and is declared illegal.

Article 24
Constitution prohibits all forms of child labor. Nobody can employ a
child under the age of 14 to work.
Child labor was a massive problem of our country in the earlier times
and it still is happening but at a lower scale.
The penalization of article 24 is severe.

Relevancy of Part IV (Article 36 – 51) on Labor Laws
Part IV of the Constitution of India, which is also known as
the “Directive Principles of State Policy” aims to work toward
the welfare of its citizens.
DPSP cannot be enforced in the court of law, but it provides a
guideline to the legislature for making labor laws in India.

Article 39 (a)
“The State shall, in particular, direct its policy towards securing; That
the citizens, men and women equally, have the right to an adequate
means of livelihood. It means that every citizen of the country has the
right to earn a livelihood without getting discriminated on the basis of
their sex.

Article 39 (d)
Constitution says that “The State shall, in particular, direct its policy
towards securing; that there is equal pay for equal work for both men
and women. Wages will not be determined on the basis of sex rather it
will be according to the amount of work done by the worker.

Article 41
Constitution provides “ Right to Work” which means that every citizen
of the country has the right to work and the state with the best of its
abilities will secure the right to work and education.

Article 42
Provides for the upliftment of the working conditions for workers. It
talks about creating a suitable and Humane workplace. This article
also talks about maternity relief, i.e leave provided to women when
they are pregnant.

Article 43
Talks about the “living wage” for its citizens. Living wage not only
includes the “bare necessities of life” but also the social and cultural
upliftment of the person. It also includes education and insurances for
a person.
The State shall constantly try to create opportunities in the fields of
Agriculture and Industries with special reference to cottage industries.

Conclusion
Constitution of India is the base for all laws in our country. The labor
laws are also made according to the constitution and any violation of
constitutional laws result in the abolition of that particular law. The
Directive Principles of the State policy play a major role in the making
of new labor laws in India.

List of major Labor law Acts in India
The Minimum Wages Act, 1948
The Payment of Wages Act, 1936
The Trade Unions Act, 1926
The Industrial Disputes Act, 1947
The Factories Act, 1948

Abbreviations
SG - State Government
CG - Central Government
AG - Appropriate Government
GOI - Government of India
CEO - Chief Executive Officer
OG - Official Gazette
HoD - Head of Department

01 introduction to labour laws

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