Chapter II

Conditions of Employment and Services

3. Condition of Service:
1) Every establishment shall regulate in accordance with the provisions of this chapter.
Company may have their own regulation but at least this provisions must be followed and
can add others for the benefit of the workers.
2) Service rule of the company shall be submitted to chief inspector and he will make
sure that is fit or not within 90 days.
3) No approval by Chief Inspector no apply of service rule,
4) Any person disagree with Chief Inspector decision may appeal to Govt. within 30 days
and Govt. will dispose the appeal within 45 days, it is final.
5) Sub sec 2 will not applicable for Govt. office.
[3A.1) No contract agency can operate without registration to the govt.
2) Existing contracting agency shall be required to get registration within 6 months.
3) Workers supplied by agency shall be treated as their worker and will be under this act
4) Registration procedure under this section shall be prescribed by rules.]

4) Classification of workers and probation period thereof

1) Different types of worker according to nature and condition of work
a) Apprentice
b) Substitute
c) Casual
d) Temporary
e) Probationer
f) Permanent
g) Seasonal worker
2) Apprentice: Training period with allowances
3) Substitute: Employed in post of a permanent or a probationary worker during their
temporary absence.
4) Casual: Ad-hoc basis worker for casual work in nature
5) Temporary worker: Employed for a limited time job.
6) Probationer: Shall be employed in permanent post but not completed probation period
yet.
7) Permanent worker: Employed as permanent worker and has completed probation
period.
 8) Clerical worker 6 month probation period, others 3 months. In case of skilled worker it
may further 3 month.
No confirmation letter or further 3 months’ probation period, worker shall be deemed to
permanent worker.
9) Any worker terminated during probation period and further employed in same position
by same employer within 3 years, he shall be appointed as permanent or probationer but
his previous probation period shall be counted.
10) A permanent worker employed in another position as probationer, he may reverted to
his previous post.
11) Seasonal worker is a worker who is employed for a seasonal work and remain
employed till the season ends.
12) In case of employment in sugar mills, chatals mills etc. as seasonal worker, previous
worker shall be given preference.

6) Service Book
1) Employer shall at his own cost maintain a service book.
2) Service book shall be kept in employer’s custody.
3) Before employing a worker, an employee may require his previous service book.
4) In this case, worker will submit it to new employer and employer shall keep it in his
won custody providing the worker a receipt.
5) No service book, service book shall be given under sub sec 1
6) If the worker wants to keep a copy of service book, he may do it at his own cost.
7) Employer shall hand over the service book at the time of termination of the worker.
8) Worker losses his service book or copy thereof, the employer shall provide another but
at cost of the worker.
9) Nothing of this sec shall apply to an apprentice, substitute or casual worker.

7) Form of a service book

1) Service book size may be prescribed by rules. A photo of worker shall be affixed.
2) Service book shall contain:
a) Name of worker, name of parents or spouse and address.
b) Date of birth
c) Special particulars for identification
cc) Designation
 ccc) Department or section
cccc) Ticket or card
d) If available, previous employer information
e) Period of employment
f) Occupation or designation
g) Wages and allowance
h) Leave availed
i) Conduct of worker

9) Register of workers and supply of tickets and cards

1) Employer shall make a register and keep it avail for inspector for inspection during the
working time.
2) Register will contain:
a) Name, date of birth of every worker
aa) Names of parents of worker
b) Date of appointment
c) Nature of work
cc) Designation
ccc) Department of section
cccc) Ticket or card
d) Working hour fixed for him
e) Interval for rest and meal
f) Day of rest
g) Group, if he is included
h) Group, shifts, delay
i) Other particulars as may be prescribed
3) If employer maintain a master and the information of the register are also kept in
master roll, the inspector may by written order, declare it as register of worker.
4) Govt. may prescribe the rules of maintain and the period for which it shall be
preserved.
 5) The employer shall provide card or tickets in the following manner namely:
a) Permanent worker permanent departmental ticket
b) Every substitute worker shall provide with a substitute card in which the days
he worked shall be entered and it shall be surrendered if and when he gets
permanent employment.
c) Temporary worker temporary card and return it in case of permanent
employment
d) Casual worker, casual card
e) Apprentice worker, apprentice card and return it in case of leaving from
training or permanent employment.

10) Procedure for leave

1) Worker who desires leave shall apply to his employer and state the address during his
Leave.
2) Employer shall order within 7 days of receipt or 2 days prior to the commencement of
Leave. Provided that, urgent reason, leave start from the day of application.
3) Leave granted, leave pass shall be issued for him.
4) If leave is not granted, it shall be communicated with the worker and record in register.
5) If the worker wants extension he must apply via registered post and the employer shall
confirm him if extension is granted or not.

12) Stoppage of work

1) Employer may stop of his establishment partly or wholly at any time for any reason of
fire, sudden catastrophe, breakdown of machinery, stoppage of power supply, riot, and
any other cause beyond his control until the problem solved.
2) Stoppage occurs after the working hour, a notice shall be hung in a conspicuous place.
3) The notice shall contain the time of resume of work or when the worker shall remain
present in their section of work.
4) If the stoppage occurs during the work the employer shall notify as soon as possible
and the notice shall contain the time of resume of work and when the worker shall
present.
5) Employer may order to remain present worker, if such presence is 1 hour he may not
get payment but if it exceeds more than one hour they will get payment.
6) If stoppage is less than one working day worker may not get wages, exception sub sec
(5).
 7) If stoppage is more than one working day worker will get payment but casual and
substitute worker won’t.
8) If the period exceeds 3 working days, the worker shall be laid off.
9) The lay-off shall be effective from the first day of stoppage and the wages paid to them
will be adjusted.
10) In case of piece-rate worker, the average of his previous month shall be counted as
his daily wages.

20) Retrenchment
1) Any worker may be retrenched from service on the ground of redundancy.
2) To retrench such a worker whose continuous service is not less than one year:
a) Give him one month notice writing the reason of retrenchment or instead of
notice he shall be payed wages.
b) One copy to the inspector and one copy to collective bargaining agent.
c) 30 days wages for every year he worked or gratuity, whichever is higher.
3) Retrenchment under section 16(7), no notice required, but further 15 days wages or
gratuity-higher.
4) In absence of any agreement with any worker, last employed person may be
retrenched.

22) Discharge from service

1) A worker may be discharged for mental or physical incapacity certified by a registered
medical practitioner.
2) Completes more than 1 year, 30 days wages for every year or gratuity- higher.

23) Punishment for misconduct and conviction

1) A worker may dismissed without any notice or without wages instead of notice
a) Convicted of any criminal offence
b) Found guilty of misconduct
2) He may not be dismissed but be awarded by
a) Removal
b) Reduction to a lower post, grade or scale not exceeding 1 year
c) Stop promotion max for 1 year
d) Withholding of increment max for 1 year
 e) Fine
f) Suspension without wages or without subsistence max for 7 days
g) Censure and warning
3) Dismissed under sec (2) (a) shall be paid 15 days wages for every year of service if his
continuous service is more than one year.
4) Following acts shall be treated as misconduct
a) Willful disobedience, alone or in group to any lawful or reasonable order of a
superior.
b) Theft, fraud and dishonesty which is connected to the business or property of
the employee.
c) Taking giving bribe
d) Habitual absence or absence more than 10 days without taking leave.
e) Habitual late attendance
f) Habitual breach of any rule relating to the employment
g) Disorderliness, riot, arson or breakage in the establishment
h) Altering, forging, wrongfully changing, damaging or causing lose to
employer’s official records.
5) If a dismissed worker acquitted in an appeal he shall be reappointed in his post or a
suitable new post, if not possible he shall be compensated as a discharged worker
deducting the amount he has already been paid at the time of his dismissal.

27) Termination of employment by workers

1) A permanent worker resign give 60 days’ notice to employer
2) Temporary worker resign 30days notice for monthly rated worker 14days notice for
others
3) If worker wants to resign without notice he shall give the amount equal to wages for
the period of notice to the employer.
3A) if a worker remains absent for 10days without notice employer send him notice to
explain and join within 10days.If he does not do so further 7days notice to defend him
and this time he does not do so, he shall be deemed to have been released.
4) A permanent worker resign will get compensation:
a) 5 years of continuous service 14 days wages for every year.
b) More than 10 years 30 days wages for every completed year of service.
29) Payment of provident fund
If member of any provident fund, he must get the benefit including the amount from the
employer’s contribution and he shall not be deprived from such benefit due to
retrenchment, discharge, dismissal, retirement, removal or termination of service.

33) Procedure of making complaint

1) Any worker including a worker who has been laid-off, retrenched, discharged
dismissed, removed, or, or otherwise terminated from service has any complaint and
wants readdress shall send his complaint within 30 days by registered post to his
employer.
If authority accepts directly no need to send via registered post.
2) The employer shall take decision within 30 days and communicate with the worker.
3) Employer fails or worker is no satisfied  worker send complaint to Labor Court
within 30 days.
4) Labor court receiving the complaint give notice to both parties and heat statement.
5) Labor court may order the worker to rejoin in the service or may choose any other
lower punishment from section 23(2).
6) Any person no satisfied by Labor Court may appeal to Tribunal and the decision shall
be the final.
7) No Court fee for these complaint.
8) No complaint under this section shall be criminal prosecution.
9) Whatever is in this section no complaint against termination under section 26, unless it
is seemed to be willful or reason of his trade union or he is derived from his rights.