Tuesday, February 14, 2017

Indian Polity

Making Of The Indian Constitution:

The idea of constitutional assembly for making the constituent was first mooted by M N Roy in 1934.

The Indian National Congress Officially demanded the formation of Constituent assembly in 1935.
1. First Meeting of Constituent Assembly was held on Dec 9, 1946.
2. Muslim League boycotted the constituent assembly.

Dr.Sachidanand Sinha, the Senior most member of the assembly was elected as the temporary president of assembly.

Provisions relating to citizenship, elections, provisional parliament and temporary provision became effective from 26 Nov, 1949.

Important committees:
1)Drafting Committee : Dr. B R Ambedkar
2) Flag Committee: J B Kirplani
3) Union Constitution: Jawahar Lal Nehru
4 )Provisional Committee:Sadar Vallabh Bhai Patel 
5)Union Power: Jawahar Lal Nehru
6)Fundamental Right and Minorities Committee:Sardar Vallabh Bhai Patel


Salient Feature of Constitution:
1. It is the longest written constitution in the world. It has 395 Article and 12 Schedules.
2. It proclaims India a Sovereign Democratic Republic. 
3. Fundamental Rights are guaranteed to all citizens of India. 
4. Directive Principles of State Policy are incorporated.
5. It established the parliamentary system of government, i.e., the President of the Union is the               constitutional head, the Council of Ministers or the Union Cabinet is the real executive and is             responsible to the Lok Sabha. 
 6. It is federal in form (in normal times) but unitary in spirit (in emergencies).
 7. It is neither too rigid (as some provisions can be amended by a simple majority) nor flexible (as          some provisions require special majority for amendment). 
 8. It declares India a secular state. 
 9. It guarantees single citizenship to all citizens. 
10. It introduced adult franchise, i.e., every adult above 18 years has the right to vote and the system        of joint electorates. 
11. It established an independent judiciary; the Supreme Court acts as a guardian of the Constitution in place of the Privy Council. 

Important Note; A Number of Amendments (about 96) passed since its enforcement in 1950, have also become a part of the Constitution.
          

Sources of Indian Constitution:
  • Government of India Act: Federal Scheme, Declarations Of Emergency Powers (Germany), Admistrations at the Centre and State Level (Canada)
  • United Kingdom: Parliamentary System, single citizenship, writ Jurisdiction of Courts.
  • USA: Fundamental Rights, Supreme Court
  • USSR: fundamental Duties
  • Ireland:Concept of the Directive Principle of state
Indian Constitution is both rigid and flexible. A written constitution implies rigidity.Parliamentary sovereignty implies flexibility

Preamble of the Constitution is not enforceable but serves two purposes:
1.Indicates the source of Constitutional assembly.
2.Statement of objects which the constitutions seeks to establish.

The word "socialist" and "secular" has been added to the preamble by the 42nd Amendment Act.


Structure Of Constitution

The Constitution, in its current form, consists of a preamble, 22 parts containing 448 articles, 12 schedules, 2 appendices and 97 amendments to date (latest being related to co-operative societies in 2012). 

The Preamble: The draft of the Preamble was prepared by Jawaharlal Nehru and is based on the American model. The 42nd Amendment added the words ``Secular and Socialist'' and now the preamble reads as follows. “We the People of India, having solemnly resolved to constitute India into a Sovereign Socialist Secular Democratic Republic and to secure to all its citizens:
Justice; social, economic and political; 
Liberty; of thought, expression, belief, faith and worship; 
Equality; of status and of opportunity; and to promote among them all; 
Fraternity; assuring the dignity of the individual and the unity and integrity of the nation; 

In our Constituent Assembly, November 26, 1949, do hereby adopt, enact and give to ourselves this constitution”. 

The Preamble is, technically, not a part of the Constitution (and this has been confirmed by the SC also), but it contains the basic philosophy of the whole Constitution and the ideals of the constitution-makers. It can be used by the Courts to help them in interpretation of the Constitution in certain matters where the Constitution itself is silent. 

The individual Articles of the Constitution are grouped together into the following Parts: 
  1. Part I – Union and its Territory 
  2. Part II– Citizenship. 
  3. Part III – Fundamental Rights. 
  4. Part IV – Directive Principles of State Policy 
  5. Part IVA – Fundamental Duties. 
  6. Part V – The Union. 
  7. Part VI – The States. 
  8. Part VII – States in the B part of the First schedule(Repealed). 
  9. Part VIII– The Union Territories 
  10. Part IX – The Panchayats. 
  11. Part IXA – The Municipalities. 
  12. Part IXB – The Cooperative Societies 
  13. Part X – The scheduled and Tribal Areas 
  14. Part XI – Relations between the Union and the States. 
  15. Part XII – Finance, Property, Contracts and Suits 
  16. Part XIII – Trade and Commerce within the territory of India 
  17. Part XIV – Services Under the Union, the States. 
  18. Part XIVA – Tribunals. 
  19. Part XV – Elections 
  20. Part XVI – Special Provisions Relating to certain Classes. 
  21. Part XVII – Languages 
  22. Part XVIII – Emergency Provisions 
  23. Part XIX – Miscellaneous 
  24. Part XX – Amendment of the Constitution 
  25. Part XXI – Temporary, Transitional and Special Provisions 
  26. Part XXII – Short title, date of commencement, Authoritative text in Hindi and Repeals



Articles Of the Constitution:
  1. Part I Articles 1-4 Territory of India,, admission,, establishment or formation of new states 
  2. Part II Articles 5-11 Citizenship 
  3. Part III Articles 12-35 Fundamental Rights 
  4. Part IV Articles 36-51 Directive Principles of State Policy 
  5. Part IV A: Article 51-A Duties of a citizen of India. It was added by the 42nd Amendment in 1976 Part V Articles 52-151 Government at the Union level 
  6. Part VI Articles 152-237 Government at the State level 
  7. Part VII Article 238 Deals with states in Part B of the First Schedule. It was repealed by 7th Amendment in 1956 
  8. Part VIII Articles 239-241 Administration of Union Territories 
  9. Part IX Article 242-243 Territories in Part D of the First Schedule and other territories. It was repealed by 7th Amendment in 1956 
  10. Part X Articles 244-244 A Scheduled and tribal areas 
  11. Part XI Articles 245-263 Relations between the Union and States 
  12. Part XII Articles 264-300 Finance,, property,, contracts and suits 
  13. Part XIII Articles 301-307 Trade,, commerce and travel within the territory of India 
  14. Part XIV Articles 308-323 Services under the Union and States 
  15. Part XIV-A Articles 323A-323B Added by the 42nd Amendment in 1976 and deals with administrative tribunals to hear disputes and other complaints 
  16. Part XV Articles 324-329 Election and Election Commission 
  17. Part XVI Articles 330-342 Special provision to certain classes ST/SC and Anglo-Indians 
  18. Part XVII Articles 343-351 Official languages 
  19. Part XVIII Articles 352-360 Emergency provisions 
  20. Part XIX Articles 361-367 Miscellaneous provision regarding exemption of the President and governors from criminal proceedings 
  21. Part XX Article 368 Amendment of Constitution 
  22. Part XXI Articles 369-392 Temporary,, transitional and special provisions 
  23. Part XXII Articles 393-395 Short title, commencement and repeal of the Constitution 
Schedules: Schedules are lists in the Constitution that categorize and tabulate bureaucratic activity and policy of the Government. 
  • First Schedule (Articles 1 and 4)- This lists the states and territories of India, lists any changes to their borders and the laws used to make that change. 
  • Second Schedule (Articles 59, 65, 75, 97, 125, 148, 158, 164, 186 and 221)- – This lists the salaries of officials holding public office, judges, and Comptroller and Auditor-General of India. 
  • Third Schedule (Articles 75, 99, 124, 148, 164, 188 and 219)—Forms of Oaths – This lists the oaths of offices for elected officials and judges. 
  • Fourth Schedule (Articles 4 and 80) – This details the allocation of seats in the Rajya Sabha (the upper house of Parliament) per State or Union Territory. 
  • Fifth Schedule (Article 244) – This provides for the administration and control of Scheduled Areas and Scheduled Tribes (areas and tribes needing special protection due to disadvantageous conditions). 
  • Sixth Schedule (Articles 244 and 275)— Provisions for the administration of tribal areas in Assam, Meghalaya, Tripura, and Mizoram. 
  • Seventh Schedule (Article 246)—The union (central government), state, and concurrent lists of responsibilities. 
  • Eighth Schedule (Articles 344 and 351)—The official languages. 
  • Ninth Schedule (Article 31-B) – Originally Articles mentioned here were immune from judicial review on the ground that they violated fundamental rights. but in a landmark judgement in 2007, the Supreme Court of India held in I.R. Coelho v. State of Tamil Nadu and others that laws included in the 9th schedule can be subject to judicial review if they voilated the fundamental rights guaranteed under Article 14, 15, 19, 21 or the basic structure of the Constitutuion 
  • Tenth Schedule (Articles 102 and 191)—"Anti-defection" provisions for Members of Parliament and Members of the State Legislatures. 
  • Eleventh Schedule (Article 243-G)—Panchayat Raj (rural local government) 
  • Twelfth Schedule (Article 243-W)—Municipalities (urban local government). 

  1.  What’s Labour Law ??? 

  2. 1.Labour Law is the “Body of Laws, Administrative Rulings, & Precedents” which address the Relationship between & among “Employers, Employees & Labour Organizations”, often dealing with issues of Public Law. The terms Labour Laws & Employment Laws, are often interchanged in the usage. This has led to a big confusion as to their meanings. Labour Laws are different from Employment laws which deal only with employment contracts and issues regarding employment and workplace discrimination & other Private Law issues. “Labour Laws” harmonize many angles of the Relationship between “Trade Unions, Employers & Employees”. In some countries (like Canada), Employment Laws Related to Unionised workplaces are different from those relating to particular Individuals. In most countries however, no such distinction is made. The “Final Goal” of Labour Laws is to bring both “Employer & Employee” on the same Level, thereby mitigating the differences between the two ever- warring groups.

  3. 2. Origins of Labour Laws “Labour Laws” emerged when the Employers tried to Restrict the Powers of Worker’s Organisations & keep Labour Costs Low. The Workers began Demanding better Conditions & the Right to Organise so as, to improve their Standard of Living. Employer’s costs increased due to workers demand. This led to a chaotic situation which required the Intervention of Government. In order to put an end, the “Government” enacted many Labour Laws in the Country. The History of Labour Legislation in India can be traced back to the History of British Colonialism. In the beginning, it was difficult to get enough Regular Indian workers to run “British Establishments” & hence Laws for chartering workers became necessary. This was obviously Labour Legislation in order to protect the interests of British employers. The “Factories Act” was first introduced in 1883 because of the pressure brought on the British Parliament by the textile moguls of Manchester and Lancashire. Thus we Received the First Stipulation of Eight (08) Hours of work, the abolition of Child Labour, & the Restriction of Women in Night employment, and the introduction of “Overtime Wages” for work beyond Eight Hours. “India” has Various Labour Laws, such as Resolution of Industrial Disputes, Working Conditions, Labour Compensation, Insurance, Child Labour, Equal Remuneration etc.

  4. 3. Individual Labour Law “Contract of Employment & At-will Employment” The Basic Feature of “Labour Law” in almost Every Country is that the “Rights & Obligations” of the “Employee & Employer” between One-another are mediated through the “Contract of Employment” between them. This has been the case since the collapse of feudalism & is the core reality of Modern Economic Relations. Many terms & conditions of the contract are however implied by Legislation or Common Law, in such a way as to restrict the freedom of people to agree to certain things to protect employees and facilitate a fluid Labour Market. In the “United State of America” for example, Majority of State Laws allow for Employment to be “At Will“ meaning the Employer can Terminate an Employee from a Position for any Reason, so long as the Reason is not an “Illegal Reason”, including a Termination in Violation of Public Policy. In Many Countries, it’s Employer’s Duty to Provide Written Particulars (Contract) of Employment to an Employee. This aims to allow the Employee to know concretely what to expect and is expected; in terms of “Wages, Holiday Rights, Notice in the event of Dismissal, Job Description” and so on. An Employee may not, for instance, agree to a contract which allows an Employer to dismiss them unfairly.

  5. 4. Labour Policy in India “Labour Policy in India” has been evolving in response to specific needs of the situation to suit requirements of planned “Economic Development & Social Justice” has two-fold Objectives, viz., Labour Policies are devised to maintain Economic Development, Social Justice, Industrial Harmony & Welfare of Labour in the country. 

  6. Highlights of Labour Policy:- Creative Measures to attract Public & Private Investment. Creating New Jobs with New Social Security Schemes for workers. Unified and Beneficial Management of funds of Welfare Boards. Model Employee – Employer Relationships with Long Term Settlements. Vital Industries & Establishments declared as “Public Utilities”. Special conciliation mechanism for projects with investments of Rs. 150 cr or more. Industrial Relations committees in more sectors. Labour Law Reforms with Times. Empowered body of experts to suggest required changes. Statutory amendments for expediting & streamlining the mechanism of Labour Judiciary.

  7. 5.Efficient functioning of Labour Department, More labour sectors under Min. Wages Act. Modern Medical Facilities for workers. Rehabilitation packages for displaced workers. Restructuring the functioning of Employment Exchanges with modern Technology. Revamping of Curriculum & Course content in Industrial Training. Joint Cell of Labour & Industries Department to study changes in Laws & Rules.

  8. The Apprentices Act - 1961
  9.  The Payment of Wages Act -1936 
  10. The Workmens’ Compensation Act -1923 
  11. The Factories Act -1948 
  12. The Industrial Disputes Act - 1947 
  13. The Employees PF & MP Act - 1952
  14.  The Employees State Insurance Act - 1948 
  15. The Maternity Benefit Act - 1961
  16. The Payment of Bonus Act - 1965 
  17. The Payment of Gratuity Act - 1972

  18. 6. The Apprentices Act - 1961 Object of the Act:- The Main Objectives of Apprentices Act, 1961 is “Promotion of New Manpower at skills”. Improvement / Refinement of Old Skills through Theoretical & Practical Training in number of “Trades & Occupation”. The Scheme is also extended to Engineers & Diploma Holders. In India the “Apprentices Act” came into force in 1961 and was amended by the Act 41 of 1986. It’s also a “Statutory Obligation” on the part of every Employer covered under the Act. Applicability of the Act :- The “Apprentices Act” applies to all Areas & Industries as notified by Central Government. [Sec-1(4)]. The Act extends to “Across all over the India”. It shall come into force on such date as the Central Government may, by notification in the Official Gazette, appoint; and different dates may be appointed for different States. The Act shall also “Not Apply” to any Area or Industry as per the notification by the Govt.

  19. 7. Guidelines @ Apprentice Act “Apprentice” means a Person who is undergoing “Apprenticeship Training” in pursuance of a Contract of Apprenticeship. “Apprenticeship Training” means a Course of Training in any Industry or Establishment undergone in pursuance of a Contract of Apprenticeship & under prescribed Terms & Conditions which may be different for different categories of Apprentices. Eligibility & Duities of Apprentice: Qualifications: A Person shall not be Qualified for being engaged as an Apprentice to undergo Apprenticeship Training in any designated trade, unless he or she, The “Candidate” is not Less than Fourteen (14) Yrs of age, & has to Satisfies such Standards of “Education & Physical Fitness” as may be prescribed. Duration of Training:- Duration of Apprenticeship may be from “06 Mths to 04 Yrs” depending on the Trade, as prescribed in Rules. The “Apprentice” has to Learn his Trade Concientiously & Diligently. Also attend Practical & Theoretical clasess Regularly. Has to carry out all Lawful Orders of Employer with Contractual Obligations. The Apprentice has to work 42 to 48 Hours in a week, but not allowed to work between 10 pm to 06 am unless approved by “Apprenticeship Advisor”.

  20. 8. Guidelines @ Apprentice Act Duties of Employer under the Act: Contract with Apprentice :- The Apprentice appointed has to execute a Contract of Apprenticeship with the Employer. The Contract has to be Registered with Apprenticeship Adviser. If Apprentice is Minor, Agreement should be signed by his Guardian. [Sec 4(1)] . Leaves for Apprentice :- An Apprentice is entitled to Casual Leave of 12 days, Medical Leave of 15 days & Extraordinary Leave of 10 days in a year. The “Employer” has to provide Apprentice the Training in his Trade, & ensure that the Person duly Qualified is placeed as In-charge . To Carry out all Legal Contractual Obligations. Payment to Apprentice :- The Minimum Rates of Stipend prescribed under the Rules as follows. (Revised Rate w.e.f. 23rd Mar 2011). # Graduate Apprentices @ Rs:- 3560/- p.m. , # Sandwich Course (Students from Degree Inst.) @ Rs:- 2530/- p.m., # Technician Apprentices @ Rs:- 2530/- p.m., # Sandwich course (Students from Diploma Inst.) @ Rs:- 2070/- p.m., # Technician (Vocational) Apprentices @ Rs:- 1970/- p.m.

  21. 9. Payment of Wages Act – 1936 Objective of the Act:- The “Payment of Wages Act 1936” regulates payment of wages to Employees (Direct & Indirect). The Act is intended to be a remedy against unauthorized deductions made by the “Employer” or unjustified delay in payment of wages. All Employees are covered under the Act, those are drawing Average wages Rs:- 10000/- per month. Applicability of the Act: - The “Payment of Wages Act 1936” is Applicable to All Factories, Industrial Establishment, Tramway Service, or Motor Transport Service engaged in carrying Passengers or Goods both by road for hire or reward. Air Transport Service, Dock, Wharf or Jettly, Inland Vessel, Machinically propelled, Mines, Quarry or Oil-Field, Plantation, Workshop or other Establishement, etc.. Meaning of Wages:- “Wages” means all Remuneration expressed in terms of Money and include Remuneration payable under any Award or Settlement, Overtime Wages, Wages for Holiday & any sum payable on Termination of Employment. However, it does not include “Bonus” which does not form part of Remuneration payable, value of House Accommodation, Contribution to PF & ESI, Traveling Allowance, or Payment of Gratuity. [section 2(vi)]

  22. 10. Guidelines @ Wages Act Time of Wages Payment : If the Employee strength is Less then “1000” in any Organization, then Wages shall be paid before the expiry of the 07th Day of the following month. If the Employee strength is More then “1000” in any Organization, then Wages shall be paid before the expiry of the 10th Day of the following month. In the case of “Termination” of Employee by the Employer the wages shall be paid before the expiry of the Second working day from the Date of Termination “DOT”. Deduction from Wages: - The Maximum Deduction can be 50% of Monthly wages, However, maximum deduction upto 75% is permissible if deduction is partly made for payment to Co-operative Society. [section 7]. Deduction on Account of Absence of Duty, Fines, House Accommodation if provided by Organization, Recovery of Advance, Loans given, Income Tax, PF, ESI contribution, LIC premium, amenities provided, deduction by order of Court etc. is permitted. Deduction of Fines: - The Maximum deduction as Fines from Wages should not exceed 03% during the same wage period. It should be recovered within 90 days from the date it was imposed. Records of Fines should be maintain in Fine Register (Form-II).

  23. 11. Guidelines @ Wages Act Mode of Wages Payment: All wages shall be paid in Current Coins or Currency Notes or in both. Employer Can also pay the Wages either by cheque or by crediting the Wages in Employee’s Bank Account with Employee’s Authorization in written. Wages can be paid on Daily, Weekly, Fortnightly or Monthly basis, but wage period cannot be more than a month. Most Organisation preferred Monthly Payment basis. Records Maintainance: The Employer has to maintain Various Register under the Act i.e. Register of Fines (Form-II), Register of Deductions (Form-III), Register of Advance (IX), Register of Wages (Form- IV & V), Muster Roll-cum-Register of Wages (Form –VI) & Annual Return (for Air Transport Services). All the above mentioned Register & Records shall be maintained up-to-date. The attendance of the employee shall be marked not later than one hour after employee starts work for the day. Penalty to Employer: On Conviction for any Offence & Again Guilty of Contravention of same provision Imprisonment not less than one month Extendable up to six months and fine not less than Rs.2000, Extendable up to Rs.15000.

  24. 12. Workmens’ Compensation Act -1923 Object of the Act: - This is an Act to provide for the payment by certain classes of Employers to their workmen (Employee) of compensation for injury by accident during the course of Employment. The Act is applicable all over the India & came into force w.e.f. 01st July 1924. Coverage of Employees :- All Employees of Any Categories / Capacity Irrespective of their Status or Salaries either Directly or hired through Contractor or a person recruited to work abroad for the Orgazition. Employer’s Liability @ Compensation: In case of Death or Personal injury resulting into Total or Partial Disablment or Occupational Disease caused to a workman / Employee by accident arising out of and during the course of his employment, his Employer shall be liable to pay compensation under the Act.

  25. 13. Guidelines @ Compensation Act Employer Shall not be so Liable: In Respect of Any Injury which does not Result in the Total or Partial Disablement of the Workman for a Period Exceeding Three (03) days. In Respect of Any injury, not resulting in Death or Permanent Total Disablement (PTD), caused by an Accident which is directly attributable to; (i) The Workman having been at the time thereof under the Influence of Drink or Drugs. (ii) The Wilful Disobedience of Workman to an order expressly given or avoiding safety guidelines. (iii) The Wilful Removal or Disregard by the workman of any safety guard during On-Duty. Payment of Compensation Amount: In Case of Death of a Workman Results from the Injury during the Employment. Minimum Compensation for Death under the Act is Rs:- 120000/- or an amount equal to 50% (Fifty per cent) of the Monthly wages of the Workman’s multiplied by the relevant factor, whichever is higher. (Subject to Max. Rs:- 8000/- per month w.e.f. 31st May 2010 or as per the Minimum Rates of wages of the State.). In Case of Permanent Total Disablement (PTD) of a Workman Results from the Injury. Minimum Compensation for PTD under the Act is Rs:- 140000/- or an amount equal to 60% (Sixty per cent) of the Monthly wages of the Injured workman’s multiplied by the relevant factor, whichever is higher.

  1. 14. Guidelines @ Compensation Act Calculation @ Compensation Amount :- Completely Depends on the Age :- Higher the Age – Lower the Compensation Amount. Find out the Relevant factor specified in Schedule IV giving slabs depending upon the age of the concerned workman. 
  2. Example : In case of Death. Monthly Wages @ Rs:- 7700/-, Age of Workman:- 35 Yrs., Relevant Factor is:- 197.06, Then Compensation Amt Rs:- (50% of Rs:- 7700/- * 197.06) = Rs:- 758681/- As its higher then Min. Compensation Rs:- 120000/-, so Compensation Amt. Rs:- 758681/-. In case of Total Disablement (PTD) = (60% of Rs:- 7700/- * 197.06) = Rs:- 910417/- Permanent Partial Disablement = (% as per Schedule II of 7700/- * Relevant Factor) Temporary Disablement = A Half Monthly Payment, equal to 25% of Monthly wages. Funeral Expenses :- Employer shall Deposit Rs:- 2500/- to the Commissioner for the payment to Eldest Dependant of the Workman. Report of Accident under Rule 11 Form EE - Report of Fatal Accident and Serious Injury within 7 days to the Commissioner (not application when ESI Act applies). {Sec-10B} Penalty to Employer:- In case of Employer found defaulter then Employer has to pay 50% of the Compensation Amount + Interest to the Workman or his Dependents as the case may be. {Sec-4A}


  1. 15. The Factories Act -1948 Applicability of the Act: 
  2. Any premises whereon Ten (10) or more persons with the Aid of Power or Twenty (20) or more Workers were working without Aid of Power on any day preceding 12 months, wherein Manufacturing process is being carried on. It extends to whole of India and Covers all Manufacturing processes & Establishments falling within the definition of “Factory” Sec.2 (ii). Objective of the Act: This Act has been come into force to Consolidate and Amend the Law Regulating the Workers working in the factories. To ensure the Safeguard the interest of workers and Protect them from exploitation, the Act prescribes certain standards with regard to Safety, Welfare and Working Hours of workers, apart from other provisions. History of Factory Act: The Factories Act 1948 was an “Act of Parliament” passed in the “United Kingdom” by the Labour Government of Clement Attlee. It was passed with the intention of safeguarding the health of workers. It extended the age limits for the medical examination of persons entering factory employment, while also including male workers in the regulations for providing seats and issuing extensive new building regulations.

  3. 16. Duties of Employer under the Act: 
  4. The Factory should be kept Clean always. [Section 11]. 
  5. All Machinery should be properly Fenced to protect Workers when Machinery is in Motion. [Sec- 21 to 27]. 
  6. There should be proper arrangement to Dispose of Wastes and effluents.
  7.  [Section 12].
  8.  Hoists and Lifts should be in good condition & tested Periodically. [Sec- 28 & 29]. 
  9. Reasonable Temperature for Comfort of employees should be Maintained. [Section 13]. 
  10. Pressure of plants should be check as per rules. [Sec-31].
  11.  Dust & Fumes should be controlled below permissible limits. [Section 14]. 
  12. Floor, Stairs & Means of access should be of sound construction & free form obstructions. [Sec - 32].
  13.  Artificial Humidification should be at prescribed standard level. [Section 15]. 
  14. Safety appliances for Eyes, Dangerous Dusts, Gas, Fumes should be provided. [Sec - 35 & 36]. Overcrowding should be avoided. [Section 16]. 
  15. Worker should not Misuse any appliance, Convenience or Other things provided. [Sec - 111]. Adequate Lighting, Drinking Water, Latrines, Urinals & Spittoons should be provided. [Sections 17 to 19]. 
  16. In Case of Hazardous substances, Additional Safety Measures have been prescribed. [Sec - 41A to 41H]. Adequate Spittoons should be provided. [Section 20]. Adequate Fire Fighting Equipment should be available. [Section 38]. Proper Vantilation for Air & Light inside the Factory Building Safety Officer should be appointed if number of workers in factory are 1,000 or more. [Sec - 40B].

  17. 17. Duties of Employer under the Act: Welfare of Employee: Adequate Facilities for Washing, Sitting, Storing of cloths during Off Working hours. [Sec - 42]. 
  18. If a worker has to work in Standing Position, Sitting Arrangement to take Short Rests. [Sec - 44]. Adequate First Aid Boxes shall be provided & Maintained with all required medicines. [Sec - 45]. Facilities for Large Factories: Ambulance Room if 500 or More Workers are Employed in the Factory. Canteen if 250 or More workers are employed. [Sec - 46].
  19. Rest Rooms / Shelters with Drinking Water when 150 or More workmen are Employed. [Sec - 47] Crèches if 30 or More Women workers are employed. [Sec - 48] 
  20. Full-time “Welfare Officer” if factory Employs 500 or More workers [Sec - 49] 
  21. Working Hours under the Act: The Maximum Working hours can’t be more then 48 Hours in a week. [Sec - 51]. 
  22. The Maximum Daily Working Hours can’t be more then 09 Hours. [Sec - 54].
  23.  One Weekly Holiday is Compulsory which is Sunday. If Employee works on Sunday, then he should Compenste with any Other day of the Week. [Sec - 52(1)].
  24.  At least Half an hour Rest should be provided after 5 hours of work. [Sec - 55]. 
  25. Total period of work inclusive of rest interval cannot be more than 10.5 hours. [Sec - 56]. 
  26. A Worker should be given a Weekly Holiday. Overlapping of Shifts is not Permitted. [Sec - 58]. Notice of Period of Work should be displayed. [Sec - 61].

  27. 18. Guidelines @ Factories Act Overtime Wages under the Act :- 
  28. If a Worker works beyond 09 hours a day or 48 hours a week, Overtime Wages are Double the Rate of Wages are payable. [Sec - 59(1)]. A Workman cannot work in two factories. There is Restriction on Double Employment. [Sec - 60]. However, Overtime Wages are not Payable when the Worker is on Tour. Total Working Hours including Overtime should not exceed 60 Hours in a week and Total Overtime Hours in a quarter should not exceed 50 Hours. Register of overtime should be maintained. Employment of Young Persons: - Any Child below age of 14 Yrs can’t be employed. [Section 67]. Child above 14 but below 15 years of age can be employed only for 4.5 hours per day. [Section 71]. He should be certified fit by a certifying surgeon. [Section 68]. He cannot be employed during night between 10 pm to 6 am. [Sec-71]. Annual Leave :- A Worker having worked for 240 days @ One Day Leave for every 20 days & for a Child One Day Leave for working of 15 days. Accumulation of leave for 30 days. [Section – 79] Display on Notice Board:- A Notice Containing Abstract of the Factories Act & the Rules made thereunder, with Name & Address of Factories Inspector & Certifying Surgeon in English & Regional Language should be displayed on Notice Board. [Sec - 108(1)].

  29. 19. Guidelines @ Factories Act Notice of Accidents, Diseases Etc.,:- Notice of Any Accident causing Disablement of more than 48 hours, Dangerous Occurrences & any worker contacting Occupational Disease should be informed to Factories Inspector. [Sec - 88]. 
  30. Notice of Dangerous Occurrences & Specified Diseases should be given. [Sec - 88A & 89]. 
  31. Obligation Regarding Hazardous Processes:- Information about hazardous substances / processes should be given. Workers and General Public in vicinity should be informed about Dangers & Health Hazards. Safety Measures & Emergency plan should be ready. Safety Committee should be appointed. Penalties to the Employer:- If there is Any Contravention of any of the Provisions of this Act or any Rules, “Employer & Manager” will be Punishable with Imprisonment upto 2 years or fine upto Rs:- 1,00,000 or both. (Section – 92). 

  32. Please check the Penalties Chart for various contravention under the Act.

  33. 20. The Industrial Disputes Act - 1947 Objective of the Act :- The Main Objective of the Act to make Provision for the Investigation & Settlement of “Industrial Disputes” between Employer & Employee, and for certain other purposes. This Act extends to the whole of India, w.e.f. 01st April, 1947. Defination of the Following: 
  34. Industry :- Has attained wider Meaning than Defined except for Domestic Employment, covers from Barber shops to Big Steel companies. [Sec - 02 (I)].
  35.  Works Committee :- Joint Committee with equal number of Employers & Employees’ Representatives for discussion of certain common problems. [Sec - 03] 
  36. Conciliation :- Is an attempt by a Third Party in helping to settle the disputes. [Sec - 04] 
  37. Adjudication:- Labour Court, Industrial or National Tribunal to Hear & Decide Dispute. [Sec 7,7A & 7B]. 
  38. Power of Labour Court to give Appropriate Relief  :- Labour Court / Industrial Tribunal can Modify the Punishment of Dismissal or Discharge of Workmen & give Appropriate Relief including Reinstatement. [Sec. -11A] Right of a Workman during Pendency of Proceedings in High Court:- Employer has to Pay last drawn Wages to Reinstated workman when proceedings challenging the award of his Reinstatement are pending in the Higher Courts. [Sec -17B]
  39. 21. Guidelines @ IndusGtrial Disputes Act Persons Bound by Settlement:- When in the Course of Conciliation proceedings etc., all Persons Working or Joining subsequently. Otherwise than in Course of Settlement upon the parties to the Settlement. [Sec -18]
  40. Period of Operation of Settlements & Awards :- A Settlement for a period as Agreed by the Parties, or Period of Six Months on signing of Settlement. An award for one year after its enforcement. [Sec -19] Lay off & Payment of Compensation - Failure, Refusal or Inability of an Employer to Provide work Due to :- Shortage of Coal, Power or Raw Material, Accumulation of Stocks, Breakdown of Machinery & Natural Calamity. [Sec.25-C].
  41. Notice of Change:- In case of any change about the Conditions of Service the Employer has to give 21 days prior Notice to the Employee, as provided in IV Schedule. [Sec.9A]. Prior Permission for Lay off  :- When there are more than 100 workmen during proceeding 12 months. [Sec.25-M]
  42. 22. Guidelines @ Industrail Disputes Act Prohibition of Strikes & Lock Outs: Without Giving to the Employer Notice of Strike, within Six weeks before Striking. Within Fourteen days of giving such notice. Before the Expiry of the Date of Strike specified in any such Notice as aforesaid. During the Pendency of any Conciliation Proceedings before a Conciliation Officer & Seven days after the conclusion of such proceedings. During the Pendency of Conciliation Proceedings before a Board & Seven days after the Conclusion of such Proceedings. During the Pendency of Proceedings before a Labour Court, Industrail or National Tribunal. During the Pendency of Arbitration Proceedings before an Arbitrator and Two Months after the Conclusion of such Proceedings, where a Notification has been issued under Sub-Section(3A) of section 10A. During any period in which a Settlement or Award is in Operation, in Respect of any of the Matters covered by the Settlement or Award. [Sec – 22 & 23] Retrenchment of Workmen Compensation & Conditions: Workman must have worked for 240 days. Retrenchment Compensation @ 15 days’ wages for every year. One Month’s Notice or Wages in lieu thereof. Reasons for Retrenchment. Complying with Principle of “Last come First go”. Sending Form P to Labour Authorities.

  1. 23. Employees PF & MP Act, 1952 ??? 


  1. Obejectives & Mission Statement:- The Mission of EPFO, is to Extend the Reach and quality of publicly managed Old-age Income Security programs through consistent and ever-improving standards of compliance and benefit delivery in a manner that wins the approval and confidence of Indians. The EPF & MP Act, 1952 was enacted by Parliament and came into force w.e.f. 04th March, 1952. Presently, the following three schemes are in operation under the Act: Employees’ Provident Fund Scheme, 1952., Employees’ Deposit Linked Insurance Scheme, 1976. Employees’ Pension Scheme, 1995. (replacing the Family Pension Scheme, 1971). **The Employees' Provident Fund Organization, India, is one of the largest provident fund institutions in the world in terms of members and volume of financial transactions that it has been carrying on. Applicability of the Act:- Under Section-1(3), Every Factories or Establishments Employing 20 (Twenty) or More Persons from the Date of its Setup are covered under the Act. Cinema Theatres employing 05 (Five) or more Persons are covered under the Act. “Government of India” after giving two-months notice may apply the provisions of this Act to Establishments where less than 20 (Twenty) persons are employed. This Act applies to the whole India, (except Jammu & Kashmir). Any establishment employing even less than 20 persons can be covered voluntarily u/s 1(4) of the Act. ** The Current Wages Ceiling Limit for coverage under the Act is ₹: 15,000/- (Basic + DA) p/m month w.e.f: Sep’ 2014, (Earlier it was ₹ : 6,500/- w. e. f.: June, 2001, & before that it was ₹ : 5000/- p/m).

  2. 24. Guidelines @ EPF & MP Act “Employee’s Deposit Linked Insurance” is basically an “Life Insurance” for all covered employees under EPF & MP Act, 1952, Since Aug 01, 1976. Here deposit means Average Deposit in EPF A/c. When an employee dies while in service, his or her family will get some Compensation based on deposit in EPF Account. (Which will be Maximum 20 months wages or ₹: 3.0 Lacs & along with the admissible increase of 20% under newly introduced sub para (4) of para 22. Hence the total amount would be ₹: 3.6 Lacs w.e.f: Sep 2014, earlier it was 1.3 Lacs, w.e.f. May 2010). PF Contribution Submission: PF Total Amount of Monthly Contribution of (Employee’s & Employer’s share) is to be deposited through Online Generated Combined Challan in respective Ac.: 01, 2, 10, 21 & 22 from EPFO website, w.e.f. April 01, 2012. Payment of total Contribution will only via Online Payment (Retail / Corporate Banking) with 56 Banks of India w.e.f. May 01, 2015. Online payment of PF contribution make the process so simple to pay the dues to the EPFO in few minutes. Web-link: https://www.onlinesbi.com/prelogin/epfoinputdisplay.htm Benefits of EPF Scheme 1952:- Retirement, Medical Care, Housing, Family Obligations, Education of Children & Financing of Insurance Policy Benefits of Pension Scheme 1995:- Monthly Member’s Pension Scheme, Widow & Children Pension, Orphan Pension, Reduced Pension & Disablement Pension. Penalties under the Act: Less then 2 months :- @ 17% p.a. on total due Contribution. 02 months & above, but less then upto 04 months:- @ 22% p.a. 04 months & above, but less then upto 06 months:- @ 27% p.a. 06 months & above :- @ 37 % p.a. on total due contribution.

  3. 25. Employee’s Share (to EPF Fund) AC: 01 Employer’s Share (to EPF & Pen. fund) Ac : 01 & 10 @ 12 % of Basic + DA (Ac: 01) @ 8.33% of Basic + DA or Max ₹ 1250/- (Ac: 10) @ 3.67% of Basic + DA or (12% - ₹ 1250) (Ac: 01) EPF Total in Ac. 01: @ 15.67% or ( @ 12% + (12% - ₹ : 1250/-) EPS Total in Ac. 10: @ 8.33% or Max ₹ : 1250/- Total Contribution to EPF & Pension Fund , Ac: 01 & 10 ( @ 15.67 + 8.33 ) = 24 % PF Administrative Charges in Ac: 02 ( @ 0.85 % of Basic + DA) (Minimum ₹ : 500/- functional & ₹ : 75/- for non functional Org.) Contribution to EDLI, Ac: 21 @ 0.5 % of Basic & DA or Max upto on ₹ : 15000/- EDLI Relocation Charges, Ac: 22 @ 0.01% of Basic & DA or Max upto on ₹ : 15000/- (Minimum ₹ : 200/- functional & ₹ : 25/- for non functional Org.) Total Monthly Contribution w.e.f: Jan 2015: (12%+12%+0.50%+0.85%+0.01%) = @ 25.36 % For EDLI Exempted Org. (EDLI Inspection Charge @ 0.005% of Basic & DA or Max upto on ₹ : 15000/-) PF Calculation Account-wise

  4. 26. Forms for Employer “Performa Registration Form” to Register the Organization under the EPF Act ( Online process is applicable to get the EPF Code). 
  5. Form - 5A, for details of “Directors / Proprietors” of the Organization. (Online Update is Required). 
  6. Form - 9, for all Covered Employee Details at the time of Registration. 
  7. Form - 11 (New), Declaration Form to find the PF Eligibility & old UAN of New Joinees. 
  8. Form - 2, Nomination Form with details of Employees, Nominee & PF A/c No. “Combined Online Generated Challan” for Submission of PF Contribution. In Online process there is No Need to file Monthly & Annual Return to EPFO. 
  9. Forms for Employee Form - 19 :- Withdrawal Form for Provident Fund Amount. 
  10. Form -10 C:- Withdrawal Form for Pension Scheme Amount. 
  11. Form -13:- Form for Transfer of Provident Fund / Pension Scheme in New PF Account. 
  12. From - 31:- Form for Application of Advance from Provident Fund.
  13. Form - 20:- Application Form for Provident Fund ( In case of Employee’s Death). 
  14. Form - 10 D:- Application Form for Pension to Nominee. (In case of Employee’s Death). 
  15. Form - 5 (IF) :- EDIL Claim Amount Form. ( In case of Employee’s Death). 
  16. Form - 8:- For Change the Nominee.
  17.  Form - ASR:- To Receive the Claim cheques again of Settle Account. (In case of first cheque Rejected by Bank to EPFO)

  18. 27. Employees State Insurance Act - 1948 Mission Statement :- To Provide for Certain Benefits to Employees in case of Sickness, Maternity and Employment Injury & to make the Provisions for Related Matters. Objective of the Act:- The ESI Scheme is an Integrated Measure of “Social Insurance” come to the Life through the “Employees' State Insurance Act – 1948”, and is Designed to complete the task of Protecting ‘Employees' as defined in the ESI Act – 1948, against the Hazards of Sickness, Maternity, Disablement or Death due to Employment Injury & to provide full Medical Care to Insured Persons (IP) & their Families. The ESI Act is applicable across the length and breadth of the India. Applicability of the Act : Under Section - 2(12) of The Act, ESI is applicable to the all Factories employing 10 (Ten) or More Persons irrespective of whether Power is used in process of Manufacturing or not. Under Section - 1(5) of The Act, the Scheme has been Extended to Shops, Hotels, Restaurants, Cinemas including Preview Theatre, Road Motor Transport undertakings & Newspaper Establishment employing 20 (Twenty) or More persons. Further, Under Section - 1(5) of the Act, the Scheme has been Extended to Private Medical & Educational Institutions employing 20 (Twenty) or More persons in certain States . The Existing Wage-Limit for Coverage under the Act, is Rs. 15,000/- per month. (Excluding Remuneration for Overtime) w. e. f:- May 01, 2010. “At an Average the ESI Corporation makes 40 Lacs Individual Payments each year Amounting to about Rs. 300 crores through its wide spread network of branch Offices in the implemented areas”.

  19. 28. ESI Contribution Employer's contribution (4.75% of gross salary) Employee's contibution (1.75% of gross salary) Total Esi contribution (6.5% of gross salary) Due Date, Contribution & Benefit Period The Contribution’s Amount (Employee’s & Employer’s Share) is to be Deposited at State Bank of India through Online Generated Challan from ESIC Website via Employer’s ID, on or before 21st day of following month. “Employers” covered under the ESI Act, are required to Pay Contribution towards the scheme on a Monthly basis. There are Two Contribution Periods each of Six Months and Two Corresponding Benefit Periods also of Six Months duration linked with each other. Contribution Period Benefit Period 1st April to 30th Sep. 1st Jan to 30th June (of the following year) 1st Oct to 31st Mar. 1st July to 31st Dec. IP & his family will receive the Medical & Others Benefits of ESI as per his Contribution during the Contribution Period with total contribution days required for Specific Benefits.

  20. 29. Guidelines @ ESI Act Benefits of ESI :- Medical Benefit, Sickness Benefit, Maternity Benefit, Disablement Benefit, Dependents Benefit, Funeral Expenses & Others Benefits. Obligation of the Employers : Deducate & Deposit the ESI Contribution with Own Share Monthly. Generated the TIC & Handover to Employee for Smart Card. Submit the Accident Report in Form – 16 within 24 hours of the Accident. Grant Leave to Insured Employees on the basis of Sickness Certificates. Records Maintenance : Maintain the Register of Employees in Form -6 (under Reg.:- 32). Maintain the Accident Book in Form - 11 (under Reg.:- 66). Maintain the Inspection Book (under Reg.:- 102A). Maintain the Form – 32 of Contribution Details of Employees. File all the copies of Return of Contribution, Challans, etc. File all the General Correspondence & Copies of Accident Reports. Delay in Contribution Payment Rate of Damages on Due Amount i). Up to less than 2 months 05 % ii). 2 months and above but less than 4 months 10% iii). 4 months and above but less than 6 months 15% iv). 6 months and above 25%

  1. 30. The Maternity Benefit Act - 1961

  2. An act to Regulate the Employment of Women in certain Establishment for certain period before and after Child-Birth & to provide for Maternity Benefit & Certain other benefits”. Objective of the Act:- The Maternity Leave & Benefit Act is to Protect the Dignity of Motherhood by providing the Complete & Healthy Care to the Women & Her Child, when she is not able to perform her duty due to her health condition. In the morden world, as the participation of Women Employees is growing in Every Industry, so the need of the Maternity Leave & other Benefits are becoming increasingly common. Applicability of the Act:- The Act extends to whole of India. In the first instance, to every establishment being a Factory, Mine or Plantation in which 10 or More persons are or were employed on any day of the preceding (12) Twelve months. (including any such establishment belonging to Government & to every establishment wherein persons are employed for the exhibition of equestrian, acrobatic and other performances. except employees covered under the “ESI Act 1948”. Right of Maternity Benefit:- Every Pregnant working women in any Establishment are Eligible for Maternity Benefit, provided they have Served in the Establishment for at least 80 days in (12) Twelve months before the expected date of delivery. However, if a woman is earning less than Rs:- 15,000/- she may be offered ESI scheme by her employer & she will receive the Maternity Bebefit under ESI Scheme.


  1. 31. Guidelines @ Maternity Act Notice to the Employer:- Ten (10) weeks before the date of her expected delivery, she may ask the Employer to give her light work for a Month. She should give written Notice to the Employer about Seven (07) weeks before the date of her delivery that she will be on Maternity Leave for Six weeks before & after her delivery. Benefits under the Act:- Leave with Average Pay for Twelve Weeks (84 Days), 06 weeks Before & After the delivery. She can take the Pay for the first Six (06) weeks before start of Maternity leave. She will get Pay for the Six (06) weeks after child-birth within 48 hours of Request. A Medical Bonus of Rs. 3,500/-, if the Employer does not provide free Medical Care. An Additional leave with pay up to One month if the woman shows Proof of Illness. In case of Miscarriage, Six (06) weeks leave with average pay w.e.f :- Date of Miscarriage. For Tubectomy Operation : Leave with wages @ of maternity benefit for a period of 2 weeks. No deduction from Normal & Usual Daily wages of a woman entitled to maternity benefit. Light work for Ten (10) weeks before the date of her expected delivery, if she asks for it. Two Nursing breaks until the child will became (15) fifteen months old. No Discharge or Dismissal while she is on Maternity Leave. (Section 5) No charge to her Disadvantage in any conditions of her employment.

  2. 32. Guidelines @ Maternity Act Under this Act, “No Employer” can knowingly employ a woman in his establishment during the Six weeks following the day of her delivery or her miscarriage. Dismissal during Absence of Pregnancy:- When a woman absents herself from work in accordance with the provisions of this Act, it shall be unlawful for her Employer to “Discharge or Dismiss” her during or on account of such absence. Forfeiture of Maternity Benefit:- In case of Gross Misconduct the Employer in written can communicate about depriving such benefit. Within 60 days from date of deprivation of maternity benefit, Women can appeal to the authority prescribed by law. Abstract of Act & Rules:- An Abstract of the Provisions of this Act & Rules made thereunder in the language or languages of the locality shall be exhibited in a conspicuous place by the Employer in Establishment in which women are employed. Records Managment:- Every employer shall prepare and maintain such registers, records and muster-rolls and in such manner as may be prescribed under the Maternity Act. Penalty for Contravention of Act:- If any Employer fails to pay any amount of maternity benefit to a woman entitled under this Act or discharges or dismisses such woman during or on account of her absence from work in accordance with the provisions of this Act, the employer shall be punishable with imprisonment which shall not be less than (03) three months but which may extend to (01) one year and with fine which shall not be less than Rs:- 2000/-, which may extend to Rs:- 5000/-.

  3. 33. Payment of Bonus Act – 1965 Objective of the Act:- An Act to Provide for the “Payment of Bonus” to Persons employed in certain Establishments on the basis of Profits or on the basis of Production or Productivity & for matters connected therewith. History of Bonus:- “Bonus” is really a Reward for Good work or Share of Profit of the unit where the Employee is working. The practice of Paying Bonus in India appears to have Originated during 1st World War when certain textile mills granted 10% of wages as War Bonus to their workers in 1917. In certain cases of Industrial Disputes Demand for Payment of Bonus was also included. In 1950, the Full Bench of the Labour Appellate evolved a formula for determination of bonus. Applicability of the Act: - The Act is applicable to any Factory employing 10 or More persons where any processing is carried out with Aid of Power & also to Other Establishments (established for purpose of profit) employing 20 or More persons. This Act extends to the whole of India, w.e.f – 1965. Eligibility for Bonus:- Every Employees drawing wages upto Rs:-10000/-, shall be entitled for Bonus with minimum 30 (Thirty) Days worked performed by Employee during the Accounting period. {Sec – 08}.

  4. 34. Guidelines @ Bonus Act Disqualification for Bonus:- An Employee shall be Disqualified from Receiving the Bonus under this Act, if he is Dismissed from service for “Fraud, Riotous or Violent Behaviour” while on the Premises of the Establishment; or Theft, Misappropriation or Sabotage of any Property of the Establishment. Payment Rate & Calculation of Bonus: Payment Rate @ Bonus : Minimum 8.33% & Maximum upto 20% of the salary or Rs.100 (on completion of 5 years after 1st Accounting year even if there is No profit). {Sec. 10.} For Calculation purposes Rs:- 3500/- per month maximum will be taken even if an Employee is drawing upto Rs:- 3500/- per month. (Sec. 12) Time Limit for Payment of Bonus: Within 08 Months from the Close of Accounting year. Mostly Organization paid the Bonus before the Diwali (Sec. 19) Computation of gross profits : For banking company, as per Schedule - I. Others, as per Second - II Set-off and Set-on : As per Schedule IV. Sec. 15 Submission of Return : In Form D to the inspector within 30 days of the expiry of time limit under Section 19. Rule 5

  5. 35. Guidelines @ Bonus Act Maintenance of Registers: Maintain a Register showing the computation of the allocable Surplus referred to in clause (4) of section 2, in Form A. Maintain a Register showing the Set-on & Set-off of the allocable Surplus, under section 15, in Form B. Maintain a Register showing the Details of the Amount of Bonus due to each of the Employees, the deductions under section 17 & 18 and the amount actually disbursed, in Form C. Sec.26, Rule 4 Rights of Employee: Right to Claim Bonus Payable under the Act & to make an Application to the Government, for the recovery of Bonus due & unpaid by Employer, within one year. Employee has the Right to refer any Dispute to the Labour Court / Tribunal. Right to Seek Clarification & Obtain information from accounts of the Establishment. The Bonus Act is “Not Applicable” to certain Employees of LIC, General Insurance, Dock Yards, Red Cross, Universities & Educational Institutions, Chambers of Commerce, Social Welfare Institutions & Building Contractors, etc. {Sec.32}. Penalty under the Act:- For Contravention of the provisions of the Act or Rules the Penalty is Imprisonment upto 6 months, or fine up to Rs:- 1000, or both. For Failure to Comply with the directions or requisitions made the penalty is Imprisonment upto 6 months, or fine up to Rs:- 1000, or both.

  6. 36. Payment of Gratuity Act - 1972 Objective of the Act:- An act to Provide for a Scheme for the Payment of Gratuity to Employees engaged in “Factories, Mines, Oilfields, Plantations, Ports, Railway Companies, Shops or Other Establishments” and for matters connected therewith or incidental thereto, so far as it Relates to “Ports & Plantations” it does not apply to the State of Jammu and Kashmir. This Act Extends to the whole of India. Applicability of the Act:- The Act shall apply to Every “Factory, Mine, Oilfield, Plantation, Port, Railway Companies, Every Shop or Establishment within the Meaning of any Law for the time being in force in Relation to Shops & Establishments in a State, in which Ten (10) or More persons are employed, or were employed, on any day of the preceding 01 year. The Act is applicable to “All Employees”, irrespective of the salary. Meaning of Gratuity:- The “Payment of Gratuity Act 1972” is a Social Security enactment. It is derived from the word “Gratuitous” which means ‘Gift’ or ‘Present’. “The Gratuity” is a Lump Sum Payment to Employee when he / she Retires or Leaves the Service. It is Basically a “Retirement Benefit” to an Employee so, that he / she can Live Life Comfortably after Retirement. However, under the “Gratuity Act”, gratuity is payable even to an employee who Resigns after completing at least “5 years” of service. In case uninterrupted continuous service of ‘04 years & 240 days’ also be consider for Gratuity Payment.

  7. 37. Guidelines @ Gratuity Act Employees Eligible for Gratuity:- “Employee” means any Person (other than Apprentice) employed on wages in any Establishment, Factory, Mine, Oilfield, Plantation, Port, Railway Company or Shop, to do any Skilled, Semi-skilled or Unskilled, Manual, Supervisory, Technical or Clerical work, whether terms of such Employment are express or implied, and whether such Person is Employed in a Managerial or Administrative capacity. Time of Gratuity Payment:- Gratuity is Payable to a Person on (a) Resignation (b) Termination on account of Death or Disablement due to Accident or Disease (c) Retirement (d) Death. Normally, Gratuity is payable only after an Employee completes Five Years of Continuous service. “In case of Death and Disablement, the condition of minimum 5 years’ service is not applicable”. [Section 4(1)]. Amount of Gratuity Payable:- Gratuity is Payable @ 15 days wages for Every year of Completed service. In the last year of service, if the employee has completed more than 6 months, it will be treated as full year for purpose of gratuity. “In case of seasonal Establishment, Gratuity is Payable @ 7 days wages for each season.” [Section 4(2)]. “Wages” shall consist of Basic plus D.A, as per Last drawn salary. However, allowances like Bonus, Commission, HRA, Overtime etc. are not to be considered for calculations of Gratuity Payable Amount. [Section 2(s)].

  8. 38. Guidelines @ Gratuity Act Maximum Gratuity:- The Maximum Gratuity Limit as per Section 4(3) has been raised from “3.5 lakhs to 10 lakhs”. This will give advantage to both Private & Public sector employees. Compulsory Insurance for Gratuity Liability:- Every Employer has to Obtain an Insurance in the manner prescribed, for his Liability for payment towards the Gratuity under this Act, from the Life Insurance Corporation of India established under the LIC of India Act, 1956 (31 of 1956) or any Other prescribed Insurer of the Country. Nomination under the Act:- Each Employee who has completed one year of service is required to make a nomination for the purposes of gratuity in case of his death. There can be more than one nominee in – “Form F”. Nominees may be changed at any time by the employee, by giving a written notice to the employer. (Form H). Payment @ Gratuity:- Last Drawn Basic Salary + DA * 15 * Total Service Period 26 Days Forfeiture of Gratuity:- Gratuity can be forfeited {Sec 4(6)} where an employee has been terminated: (A) For any act, willful omission or negligence causing any damage or loss to or destruction of any property belonging to the employer. (B) For riotous or disorderly conduct or any act of violence on his part. (C) For any act which constitutes an offence involving moral turpitude, provided the offence has been committed by him in the course of his employment.

Friday, February 10, 2017

POVERTY IS NOTHING

Poverty - it is everybody's problem.  Everybody in a sense that boy or girl, young or old, even rich or poor, that is one of their problems.  The rich ones are affected for the fact that they are irritated by the poor ones, isn't it true?

Almost all of the Filipinos are considered poor.  And it is so hard to accept the fact that the innocent children are the one who are affected too much.  At their very young age, they are taught how to earn for a living, just for their own selves and for their family as well.  At their very young age, they are already prone to accidents or diseases which can kill them and their future.  No play, no childhood, no education  -   no progression.

As a student and one of the youths, poverty is a serious problem to deal with.  If you are poor, your future is not secured.  You have to pay first to have a security of your future, which is not present to the poor ones.  Your education seems to be endangered when you are poor.  There are instances that you have to be absent because your money is not enough.  And of course, your grade will be affected.  When a student is poor, his seems to be miserable.  He cannot pay the obliged school fees for his money is only enough for personal necessities, but sometimes, it is not even enough.  He cannot avail the required projects.  Even a single peso is very important. Every single peso is his future.  That is what a typical poor student is experiencing.

Financial problem is the hardest thing faced by the poor people.  Without money, no future.  But, there is always a hope.  Poverty is not a hindrance to ones' success.  If you will work very hard, nothing is impossible. Determination-that is the word.   One word that could change ones' life.  One word that can defeat poverty.  If everybody is determined and working hard, no one is poor, no one is begging for help.

As what was mentioned, poverty is the greatest obstacle of ones' education.  But, let us just treat poverty as a challenge.  When you are poor, that does not mean that you don't have the right to dream big.  When you are poor, that does not mean that you will never succeed.  When you are poor, and you don't have anything to pay for your education, make an action.  Prove to them that they are wrong.  You can escape from poverty because you are striving hard.  You can beat the odds because you have enough determination.

There are many people who proved that there is nothing impossible even when you are poor.  There are many people who were once poor, and now they are one of the elite people.  They are now owning those tall skyscrapers out there   -    from rags to riches.  Yes, they didn't have enough money when they were still poor, but they had the character which is the best armor in a battle.  That is why they are now enjoying life, opposite on what they had experienced in the past.

Poverty is a big problem of the society.  But, even how big is the effect it is making to us, let us not focus too much on that problem.  Yes, poverty acts as an obstacle to our education, but it will not last forever.  Let us just make an action to beat it.  Find a solution.  Don't rely too much on others.  Work hard.  It is important to develop ourselves holistically.  Study well and focus on your spiritual life-there must be a balance of everything.  Love what you do, motivate yourself to keep working hard.  Then it's up to us to make our own choices and live by these choices.  After all, our future is still in our hands.  Don't take problems very seriously.  Follow what was written and you will see.  Time will come and you cannot even notice that you had already escaped from poverty.

Furthermore, as a student and one of the mostly affected by poverty, I can say that "No Guts, No Glory".   In dealing with poverty, you have to take risks.  If you have the guts, you can do what you want to.  You can really gain glory if you will take risks.  Swim against the current  -  beat the odds.  If you will not move, nothing will happen.  Yes, you must focus on it too much, but you must take an action.  Don't be too lazy.  See what is happening to people who are not working for their selves.  Of course, they are just relying on others.  They are looking pathetic.

If you want to progress, strive for more.  Start making a progression on your own self.  Don't settle for good, go for the better and if possible, for the best.  But despite of striving for more, be contented.  Never ask for something which you don't have if you are already hurting others' feelings.  Always remember that if you have the freedom, there are also limitations.  Never invade others rights.  You must always mind not only your own feelings, but also others'.

Your education is the most important thing to be successful.  It is the key to ones' achievement in their dreams.   It will be the nicest gift for your own, especially when you worked hard for it.  So, never let anyone, or anything stop you in achieving such things.  Grab each opportunity that comes your way, if you think it would help you.  This is the only thing that would change your life.

Nothing is impossible in this vast world.  Even if there are problems that would come your way, you can still beat them and be successful.  Always remember that poverty will never become a hindrance to success, if you want it. Be determined and work hard.  Take risks.  Be spiritually complete.  Balance everything.
We can change not only ourselves, but also the whole world if we can beat poverty.  Dream big and believe in your own self, and it's up to us on how to develop it.   After all, success will come on your way.

Award-winning essay by B. R., 3rd year high school Scholar, Cebu


What main obstacles have you experienced in getting your education? How did you deal with them and what did you learn in doing so?

 My school is far from our place.  It is located at the city of our province almost 100 Kilometers from our hometown.  Only few students from our place able to study in college because it is more expensive to live in the City where most of the University and colleges located.  Aside from school obligation, we have high cost of living and space for us to live.  The prices of groceries are increasing. Some students went home once a month because of expensive bus fare.  Because of this given situation I decided to be a working student so that I’ll be getting free of board and lodging that student also spent aside from tuition fees.

 Being a working student our common problem is the time.  We always run out of time in working and studying.  It is hard to keep our journey going just to get especially college education.  Everyday, before the sun shines, we’re out from our bed and start working my daily chores.  I tried to finish it early so that I will not be late in the school.  If we happen not to wake up early, we might miss the class for that day. Even though when we got sick, still we work for our daily house assignment and accomplish them all. 
 
Sometimes, I missed my meals just to be there before the class starts.  We are not able to concentrate because of hunger and tired.  Sometimes, when our master gets mad to us because of our mistakes, we can’t escape his anger.  At the start was a big adjustment in my part to cope up the situation.  However, this problem was minimized when I taught myself a time management and discipline.  I make a weekly schedule.  I finished all the works I supposed to do each day.  The heavy works which requires enough time like cleaning the garden was usually scheduled at the weekend. 

 I am both time pressured at my house work and school.  At dawn, I have to study my lesson.  It is nice and good to study anyway if you used to it already.  No one can disturb me.  I can concentrate well and easily understand.  When I’m studying, I should not think about my routine work which can normally disturb me.  On other hand, I just set aside my lesson when doing other house work and give all attention on it.  I spend an hour to fix myself to be completely ready to go to school.  In my situation, I learned how to consume and manage time and its importance.  I must not waste time.  If I waste it, it might be complicated afterwards.
 I may consider obstacles to be some of my teachers in my class.  There were two teachers that I considered problem in school.  They are opposite to each other in attitude and the way they handle discussions.  The first teacher is our Physics 1 instructor.  A very strict and terror instructor.  Although he is good in discussion, we disagree with his attitude.  His voice is the rule and must be followed.  He always demanded a good performance from us.  In examination, we are given a very difficult problem. The topics were not substantially tackled and he will then discuss later after the examination.  Almost all failed.  In one session, while I’m writing, he looked at my paper.  He scolded me about my penmanship and advised me to transfer to other course.  It was one of the insults that I experienced being with a teacher like him.  It hurts me a lot.  After all the discouragement I accept it, I still controlled myself.  I considered it as a challenge and inspiration to continue my hard work.  I knew it was common to meet a teachers like him.  My goal is to deal with him with passion and perseverance.  We follow his rules and are humble unto him by serving like a servant.  We didn’t react his preachings.  We just listen until he stops.  We do always our counterpart as a student by doing our project that fits his criteria

The second teacher was our Physics 2 teacher.  By looking at her, she seems okay.  She is kind, friendly and approachable.  Almost all students in her class were friends.  One thing that I complain was that the way she teaches.  She lacks of experience enough to share with us.  Sometimes, she can’t answer our question.  We are confused if she can’t solve a problem.  Her subject is one of the foundations for higher subjects.  We needed to be knowledgeable on this subject.  Our bonding was a way that remedied solves our problem.  In our vacant time, some of us together with our teacher stayed in the library and study the topics which we didn’t understand.  Sometimes, we just ask the topic and we just do research about it.  After all, I realized how important the teachers are though they also limitations that they need our cooperation.  Teachers are our second parents and they assumed our parents’ responsibility. Discipline was their purpose to build each of us.  They train us to be good and responsible someday. 

 One of the main obstacles to get education is our payment in our entire school obligation.  Sometimes we got shortage to pay especially during examinations not allowing us to take if we have still balance for the period.  Sad to note when failed to pay the balance there will be score deduction.  So, I just find ways to approach my teacher about it and asking a favor to take the examination.  With this, I learned to discussed things with my teacher and I am able to conquer my shyness.
 One Sunday morning, while attending a mass, my attention was caught by the homily of a pastor about our journey in life.  It also deals about obstacles.  The priest said that life is like a dish and obstacles and problems are the spices.  It makes our journey more exciting.  Every problem we conquer teaches us a lesson and be able us to be ready and aware if we encounter it again.  Our life is boring if there’s no problem and conflict that challenges us.  Be thankful to have a problem.  You may have an unforgettable moment in this world.  Don’t be afraid that it may not be solve.  Never stop fighting and play the game of life.  Always think, “God is with us and always behind us”.  We can conquer all the problems and obstacles and get the reward of success and joy.

Award-winning essay by J. D., Bohol college Scholar





Making Heaven on Earth


In my own thoughts, heaven is a place where everyone is happy.  It is where no one is hungry and there is no problem.  Heaven is a very peaceful place where the people there are always singing and dancing.  Everyone is always helping each other and heaven is so clean because the people there are not throwing garbage anywhere and are keeping the surroundings clean.  Everyone there are friends.

While earth for me, is a place where people are always quarreling.  It is a place where there are parts of it that there is no peace. Here on earth, sometimes people are happy and sometimes sad.  The air is also dirty because of the pollution from the cars and trucks which are smoke belching.  The surroundings here on earth are also dirty because the people here are always throwing garbage anywhere.  There are also lots of problems encountered by the people here on earth because of different circumstances we cannot control.

There are many things that we can do to change and things we should work on to make our world a better place.  One is that we should help each other so that the people on earth will be happy.  To make people around us happy, we should show them also that we are happy. In showing others that we are happy, we can influence others to be happy also. We should also be responsible in keeping the surroundings clean by sweeping the floor, cutting the tall grasses, plant more trees and water the flowers. We should also make sure to throw the garbage in the proper places. We must also segregate the garbage properly in the designated places where they should be placed. We also need friends so that if we have a problem we will have someone to ask for help. Friends also make us feel happy and beautiful.  When we feel happy, our friends are also happy. When we feel sad, our sadness is lessened because our friends are there.  Everyone should be more understanding with each other so that there will be no quarrels and fights.  All of us should also be respectful in order for everyone to be at peace with each other. Respect is an important character that we should have. It helps in making everyone appreciate other people more.

The two most important things that we can do to change the world are to keep the surroundings clean and help each other. Our surroundings are very important because it provides us with everything that we need. Plants in our surroundings provide us with foods like fruits. We are also provided with oxygen by the plants. We also get our materials for clothing and shelter from plants and trees that’s why it’s important to keep our surroundings clean. Without trees and plants, it would be very hard for us to survive because the things we get from the trees and plants are important for us to live in this earth.

The second most important thing we can do is to help each other. It is important that we do this so that the people around us will not have difficulties in the things that they do. Helping and supporting each other is good for the people because it will make their life easier.  If we help each other the world will be peaceful and united.

By helping each other we become better people.  It will help us to be more concerned with our surroundings and the people around us. If everybody will help each other in the problems and trials that are encountered   in our everyday life, all the people will be happier and contented with their lives. Happiness is essential in making the world a better place because when people are happy, they do good things to people around them.   If people are happy, it is like heaven on earth.

In order for heaven to be felt here on earth there are also things that I can do to make that happen. I will plant some trees and plants to make our surroundings beautiful and clean. This will help in making our surroundings beautiful and clean. The trees in our surroundings should also be taken cared of because the trees are important for us and our surroundings. I also have to help keep our surroundings clean and neat. Some of the things I can do to make this happen are to sweep the surroundings and not throwing garbage anywhere. So that there will be less garbage in our surroundings, I will also practice recycling. Recycling is one thing that people around us should practice because it can lessen garbage and trash in the environment. There are also other benefits that we can get from recycling like new things from the used garbage that can be used again. We can get the following from recycling; bags made from plastic juice packaging and decorations for our home from old newspapers and magazines.  In our home, we practice recycling.  We have some decorations in the house that made our place beautiful.  We also have a compost pit where we throw the wastes from the kitchen like peels from vegetables and fruits.  We can use the compost as fertilizer.  We have a very small space to plant in our place.  But my mother planted many kinds of plants and trees around our home.  Every morning we can hear the birds on the trees singing.   Another thing that I can do to make the people happy is by helping them. I can help my friends and classmates by listening to them and giving advice if I can, if they have a problem. I can also help by being good to my friends and be nice to them always. I will not quarrel them and always make sure that if we quarrel, we will immediately be friends after.

There are many things we can do to make our world a better place. We should start small in our own ways and show to others that changes can happen if we do it all the time. Being a good example is good so that others will follow us and help us in making our world like heaven.  We should also follow the good example shown to us by those who are older than us and follow what our parents say. We should do our best to make heaven on earth possible.



First Place, High School Essay, 2012   S. G.  Bohol





An ideal concept of theologians to have “Heaven on Earth” is excellent one yet not that easy to realize, so this call for essays will be of great assistance by providing valuable information to come up into a good decision on what are the best things to do to make this concept a reality.

First we must differentiate Heaven from Earth. We knew already that GOD created the Earth in a way that is perfect for all his creations to live in; we can read this in the Book of Genesis Chapter 1 Verse 1-31. And according to the Bible also in the book of Revelation Chapter 21 Verse 4 which described the new Heaven states that “And GOD will wipe away every tear from their eyes; there shall be no more death, nor sorrow, nor crying. There shall be no more pain, for the former things have passed away”.

As we observed the Earth now, it is so disgusting to view that what GOD had created before was now changed in such a way that is not pleasing to see. We can think what might cause these changes? Probably because of the following reasons: Because of early marriage and rapid increase of population , many people will experience shortage in terms on their basic needs, other tend to do illegal things to survive like committingcrimes; people became wise in holding the  funds of government and corruption is very rampant nowadays; thedrug abuse done by human specially youth; the poverty suffered by many because of lack of support from government and underemployment; also the improper waste disposal method adapted by most businesses especially manufacturing type of organization and unconcern citizen that would cause pollution to air and water, which in turn causing the extinction of our marine resources and destroy the ozone layer; and thepolitics problem. Those underlined words are the things which I believe that people could possibly change to make this world a better place to dwell in.

I propose that early marriage and rapid increase of population must be the priority number one. The molding of one’s physical, moral, and spiritual aspect is done at home. Every parent has a responsibility to make their children good citizen. The problem started when their kids become many, the lack of time to oversee their offspring, the scarcity of food and other basic needs, and the financial difficulties causes them and their children to do immoral things. Other will commit crimes and abuse drugs since they are hopeless and frustrated of the life they had. If every couple will do family planning, the result would be the decrease in birth rate and if this will be followed by generation to generation, surely the problems relating to overpopulation will diminish gradually. Making people aware the awful effect of overpopulation and the importance of birth control will be of great help to solve this existing problem. This can be done through conducting seminars and orientation, educating them on how to use birth control method effectively and teaching them on how to be a good and responsible parent. Other country like China had a policy concerning birth control.

Priority number two will be the corruption. Corruption causes also numerous problems which everyone has experiencing now like poverty, poor public assistance and etc. Too much love of money can make someone do bribery. The solution of this problem will commence within one’s heart. Learning on how to be in command of yourself will make you a well rounded individual. Another possible solution will be implementing an effective internal control on the funds of government. If the assets of government will be guarded perfectly, proper allocation of funds will be attained. If that so, many projects can be extended to different areas and surely the government can give jobs to those who are unemployed, grant quality education to students, support the poor, build public hospitals, allocate a specific dumping place for waste and garbage and help everyone alleviate its economic status.

It is true that changes can be started through the actions of only few people acting together. Changes could be achieved if there is teamwork. As a student, I can persuade the Barangay Health Worker Association of each Barangay in our municipality to conduct the seminar regarding family planning, the different methods involving it and its proper usage.  And so the head of BHW in our municipality will get in touch with her colleague in another municipality to do the same, little by little the changes would be made if every married couple will understand by heart the rationale of the orientation and will cooperate.

With regards to corruption, the possible way to lessen if not eliminate this problem can be done prior to election of officials. As I observed during election, the running candidate who had more money will win. People will choose him/her not because he has a good personality and capable enough to manage his constituents but because of money, undue influence and fear. This bad practice lead to corruption in the since that the candidates who spend too much will surely do fraud to cover up his expenses during the election. If all voters will use their conscience in casting their votes, so that the right officials will win then corruption can be reduced. One more potential solution is having a law which will forbid the use of money during election and letting people choose the candidate whom they think the right one.

Above are the problems which I consider encumbrance towards the realization of “having heaven on earth”, and its corresponding proposed solutions. Everything would be useless without application so it is a must that everybody will give his/her utmost support for this matter. Let’s begin this by evaluating ourselves, how dedicated we are to commit the changes we’ve wanted? “Trust in the LORD with all your heart and lean not on your understanding. In all your ways acknowledge HIM and HE shall direct your path” proverbs 3:5-6.


First Place, College, 2012    D.G.  Bohol