ASSIGNMENT : 2
Changes In New Labour Codes
The Ministry of Labour and Employment introduced four Bills in 2019 to
amalgamate 29 central laws related to labour laws thereby simplifying and
modernizing the labour regulations in a labour intensive country, like India. These
bills regulate: (i) Wages, (ii) Industrial Relations, (iii) Social Security, and (iv)
Occupational Safety, Health and Working Conditions, which have been codified
and enacted as:
The Code on Wages, 2019;
The Industrial Relations Code, 2020;
The Occupational Safety, Health and Working Conditions Code, 2020; and
The Code on Social Security, 2020
THE INDUSTRIAL RELATIONS CODE, 2020
The Code introduces provisions for simplifying compliance burdens and promoting
ease of doing business in an establishment. The code seeks to simplify labour laws
by amalgamating various enactments such as:
The Industrial Disputes Act, 1947
The Trade Unions Act, 1926; and
The Industrial Employment (Standing Orders) Act, 1946.
Highlights:
The Code has introduced a 'sole negotiating union' in establishments where there
are more than one trade union. Such sole negotiating union is required to have 51%
or more workers as members per Section 14 of the Code. Only sole negotiating
union shall be permitted to negotiate terms with the employer.
The code provides provisions for workers to secure their employment after being
laid off. A fund shall be initiated consisting contribution from the employer and the
appropriate government.
Mechanism for resolution of industrial disputes shall be constituted by the central
government comprising of a national industrial tribunal and one or more industrial
tribunal.
As per the provisions of the Code, no person shall go on strikes and lock-outs in
breach of contract without giving prior notice of 60 days before going on strike or
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before 14 days of submission of notice or during pendency of conciliation or
tribunal proceedings including within 7 days of conclusion of proceeding.
CHANGES MADE IN THE INDUSTRIAL RELATIONS CODE, 2020
Earlier Provisions New Provisions
1. No definitions were given for: Definitions of both, employee and fixed
Fixed term employment term employment were introduced.
Employee The term 'workmen' got replaced and
The definition of workmen was provided renamed as 'worker' in the Industrial
in The Industrial Dispute Act, 19473. Relations Code, 2020.
Definition of the term 'strike' is now
denoted as mass casual leave by more
than 50% of workers on a given day.
2. A workman is not required to bring It is now mandatory under the Industrial
grievances to the grievance redressal Relations Code, 2020 to approach the
committee and can directly move to grievance redressal committee.
conciliation officer under Section 9C of
the Industrial Dispute Act, 1947
3. Lack of time limitation provided for It is introduced that an inquiry along
completion of a disciplinary proceeding with its investigation needs to be
against a particular worker. completed within a time period of 90
days. The time limitation starts from the
date of worker's suspension.
4. The standing orders were only The threshold of standing order has now
applicable to threshold above 100 or been increased and shall be applicable to
more workmen as per the Industrial 300 workers
Establishment Standing Order Act,
19464.
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OCCUPATIONAL SAFETY, HEALTH AND WORKING CONDITIONS
CODE, 2020
The code was introduced in the Parliament to regulate and manage safety and
health conditions in industries and establishment.5 The code seeks to simplify
labour laws by amalgamating various enactments such as:
The Factories Act, 1948;
The Plantations Labour Act, 1951;
The Mines Act, 1952;
The Working Journalists and other Newspaper Employees (Conditions of Service
and Miscellaneous Provisions) Act, 1955;
The Working Journalists (Fixation of Rates of Wages) Act, 1958;
The Motor Transport Workers Act, 1961;
The Beedi and Cigar Workers (Conditions of Employment) Act, 1966;
The Contract Labour (Regulation and Abolition) Act, 1970;
The Sales Promotion Employees (Condition of Service) Act, 1976;
The Inter-State Migrant Workmen (Regulation of Employment and Conditions of
Service) Act, 1979;
The Cine Workers and Cinema Theatre Workers Act, 1981;
The Dock Workers (Safety, Health and Welfare) Act, 1986; and
The Building and Other Construction Workers (Regulation of Employment and
Conditions of Service) Act, 1996.
HIGHLIGHTS:
An inter-state migrant worker shall be provided benefits with respect to portability
and ration, including cess.
Employees shall be given a health check-up by the employer once a year and free
of cost.
The employer shall mandatorily issue an appointment letter to the employee for
promoting formalisation at workplace.
National Occupational Safety and Health Advisory Board shall be constituted by
the central government as per the provisions of the Code. The board shall advise
the central government on issues related to implementation of health and safety
standards regulated under the Code. State Occupational Safety and Health
Advisory Board shall also be constituted on a state-level.
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CHANGES MADE IN OCCUPATIONAL SAFETY, HEALTH AND
WORKING CONDITIONS CODE, 2020
Earlier Provisions New Provisions
1. Lack of any particular provisions for Special provisions are specified with
workers who were employed in sectors leave requirements and working hours
like transport, journalism, sales. for workers employed under transport,
journalism, sales.
2. Lack of provisions stating leave Provisions relating to leave encashment
encashment policy. are laid out as well for availing at the end
of calendar year. Leave encashment at
the time of discharge/dismissal, death or
superannuation during the course of
employment are also laid out under
Section-32 of the Code. Most notably, it
also provides for carry forward of leaves
in case a worker does not avail the whole
of the leave allowed to him in any one
calendar year. However, the total number
of leave days that may be carried
forward cannot exceed 30 days and any
leave with wages that have been refused
can be carried forward without limit.
3. Lack of provisions regarding night Provision were included regarding
shift employment of women. employment of women after 7pm - 6am
with conditions related to their consent
and safety, working hours, holiday.
4. Lack of provisions covering the Provision has been introduced for the
overtime of employees and their consent. employer to take consent from the
employee for overtime work. Further, the
workers shall receive twice the rate
wages for its overtime work.
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