Balraj Singh Training Report

8/4/2019 Balraj Singh Training Report

1/66

Bhai Gurdas Institute of Engineering

and Technology, Sangrur

INDUSTRIAL TRAINING

AT

VERKA MILK PLANT

SANGRUR,

FROM:-1 JUNE,2011

TO

15JULY,2011

SUBMITTED BY:-

BALRAJ SINGH


2/66

ACKNOWLEDGEMENT

It is a great privilege to express my sincere and profound

gratitude to Sh.Jagdeep Singh Arora for providing the

authority letter on the behalf of BGIMT Sangrur for the

project to be undertaken at Milk Plant Sangrur ,

I am beholden to Lecturer Sh.GurvinderPal Singh for

according kind permission to take up this project. I am

grateful to him from the core of my heart for his

wholehearted support, which has made the study possible.

I will be failing in my duty if I dont express my sincere

gratitude to Mr.Vinod Kumar Bansal for giving me timely

suggestions and help. I sincerely thanks for his

suggestions, consistent and generous help. His encouraging

and cheering words inspired me from time to time.

I also thank the staff members for providing the required

information for and their timely help, as they will remain

in my mind forever.

This is with due regards to all the industry people who

made my training kept on going and helped me a lot during

this period.


3/66

Executive summary :--

I did my Six Weeks summer training in Verka Milk Plant, Sangrur.

Initially in the report the information about the plant is given. Here

we come to know that The Sangrur District Cooperative Milk

Producers Union Limited, Milk Plant, Patiala Road, Sangrur

MILKFED was established in 1980 by Punjab Diary Development

co-operation under the Punjab Sate Co-operative Act,1967 to safe

guard commercial interest of milk producers farmers to save them

from exploitation of middleman, with their participation in its

management and to provide quality milk and milk products to

consumers at competitive rates. Various work fields are describes inthe report . Information about various related facts are also given.

Merger of various agencies which put impact on Verka is also

described. Objectives, mission and vision of the Verka plant are also

given from where we can get to know that Verka is a responsible

plant.It is responsible towards its consumers, society, employees,

environment and shareholders. Various schemes are also given

which shows what exactly it is doing for the environment and for thewelfare of its employees. The whole information about the range of

the products it provides to its consumers is given and the historical

aspects of the Verka is also given.

Thereafter starts the main topic of the study. Labour Welfare is the

topic. It provides information about the concept of labour welfare.

After the conceptual study of the topic all the study is apply to Verka

milk Plant and trying to find real application of aspect to the plant.The concept of Labour welfare is very wide. It describe that what is

the actually welfare of labour.It covers that what is labour welfare ?

What are main constituents of labour welfare in the verka ?Which


4/66

are main major agencies of labour welfare in the plant ? What are

main principles of labour welfare?

(1) In the research methodology along with the sources of data

collection, the limitations and the constraints which I had to face

during my training are also given.At the end analysis is done of the

whole project. Which highlights that what are the actual application

various aspects of labour welfare in the plant.In the end conclusion

is done in which application of labour welfare is judged after taking

various factor in consideration. Some observations and suggestions

are also described.

(2) Chapter 1

1.1 Introduction of Verka :------

THE PUNJAB STATE COOPERATIVE MILK PRODUCERS

FEDRATION LIMITED; The Punjab State Co-operative Milk

Producers Federation Limited (MILKFED) was established in 1973

by Punjab Diary Development co-operation under the Punjab Sate

Co-operative Act,1967 to safeguard commercial interest of milk

producers farmers to save them from exploitation of middleman,

with their participation in its management and to provide quality

milk and milk products to consumers at competitive rates.

OBJECTIVES :--

It came into existence with a twin objective ; First to carry activities

for promoting production, procurement and processing of milk for

the economic development of milk producers by providing

remunerative milk market to them at their door step. Second,

provide quality milk and milk products to consumers at reasonable

rates. Although the federation was registered much earlier, but it


5/66

came to real self in the year 1983 when all the milk plants Punjab

Dairy Development corporation Limited were handed over to

cooperative sector and the entire State was covered under operation

Food programme to give farmers to a better deal and our valuedcustomers better products. Today, when we look back, Verka has

fulfilled the promise to great extent. The setup of the organization is

a three tier system, Milk Producers Cooperative Societies at the

village level, Milk Union at District level and Milk Fed. as an apex

body at a State level. Milk production is a very important part of

agricultural economy in the State of Punjab. Punjab is one of

smallest state in Indian Union with a total area of 50,362 Sq. km.

Dairy Farming is an old subsidiary profession in the rural area of

Punjab. Punjab is the second largest milk producing state in India,

producing 10 % of country s milk. Some facts about Verka are

given below:---

1 First Milk Plant of the State was setup at Verka near the Amritsar.

2.The brand name of Milk and Milk Products was adopted as Verka.

3. The Foundation stone of Milk Plant Ludhiana was laid by Hon. S

. Parkash Singh Badal , the CM of Punjab in 1970.

4. Commissioning of the Plant was done by Dairy Development

Corporation in 1974.

5 Inauguration was done by Late Smt. Indra Gandhi , the PM of

India.

6 The capacity of plant was 1.00 lac. liter per day, including power

plant of 7MT and now the milk plant of 4.00 lac Liter per day.


6/66

7. Village level cooperative societies were also formed on Anand

Pattern. The system was run by the farmers, of the farmers for the

farmers.

1.2 HISTORY OF PLANT :---

This plant has been established in 1980 by Punjab Dairy

Development Corporation. The Punjab Dairy Development

Corporation and Milkfed are the two Government Dairy

Organizations which are running parallel to each other at this time.

In 1982 these both organizations submerged into one organization

which is named as Milkfed. Milkfed came into existence with twin

objective of providing remunerative milk market to the milk

producers in the state by value addition and marketing of produce

one hand and to provide technical input to the milk producers for

the enhancement of milk production on other hand. Set up of the

organization is the three tier system, Milk Produces, Co-operative

Societies at the village level, 11 Milk Union at District Level, and

Federation as an Apex Body at State Level, Milk Union, Sangrur

includes about 860 milk producers* cooperative societies at the

village level which are distributed under 12 zones. Milk Plant has

installed capacity to process 2,00,000 ltrs of milk per day. Milk

procurement is increasing gradually @ 5% per annum.

1.3 OBJECTIVES :---

The specific objectives of the Federation are as under:

a) To carry out activities for promoting production, procurement

processing and marketing of milk and milk products for economic

development of the farming community.


7/66

b) To develop and expand such other allied activities as may be

conducive for the promotion of the dairy industry, improvement and

protection of milk animals and economic betterment of those

engaged in milk production.

c) To purchase and erect buildings, plants, machinery and other

ancillary equipment to carry out business.

d)To study problems of mutual interest related to production,

procurement and marketing of dairy and allied products.

e) To purchase commodities from the member and deal with non-

members for marketing, dairy and allied products subject to suchconditions as may be decided by the Board from time to time.

f) To establish research and quality control laboratories.

g) To make necessary arrangements for transfer of milk, allied milk

products and commodities.

h) To market its products under its own trade name/brand name

with its Member Union's trade mark/brand.

i) To promote the organization of primary societies and assist

members in organization of the Primary Societies.

J) To plan development strategies and programme to increase the

volume of procurement and production of the Federation and its

members Unions and for its affective marketing.

k) To give remunerative prices to farmers and to ensure permanent

market for the whole year.


8/66

i) To provide technical inputs like artificial insemination, to improve

the breed of animals, animals health services, preventive disease

treatment and awareness regarding farm management etc.

m) To provide ISI marks good quality balanced Cattle feed and

fodder seeds to the farmers. JOB

1.4 JOB FIELDS IN VERKA :----

General Manager

Manager (D and HRD) Manager Accounts Manager procurement

Deputy manager Deputy manager Deputy manager proc.

Labour welfare officer Accountant Milk Procurement supervisor

Sr assistant Jr accountant Milk procurement assistant

Jr. assistant (clerks) peon Helper

Peons

Manager marketing Manager production Manager quantity control

Deputy manager Deputy manager Deputy manager

Sales manager Dairy assistant Chemist

clerk Plant operator Lab asst.

helper jpo Lab attendant

peon Day helper

Manager engineering D. manager purchase Dy manager material

Deputy manager Purchase assistant Storekeeper


9/66

Foreman Clerk Assistant

Mechanic Peon Helper

Jr mechanic

Oilman , carpenter drivers, helper

Dy manager MIS Security Officer

Sr assistant Security inspector

Clerk gate keeper

mail ,sweeper

1.5 Products and packaging :--

PRODUCTS PACKING

GHEE POLY PACK/MONO CARTON 500 gms. & 1 Kg.

GHEE TIN PACK 500 gms., 1 Kg., 2 Kg., 5 Kg &15 Kg.

TABLE BUTTER 10 gms., 100 gms. & 500 gms.

CHEESE 200/400 gms. Cekatainer, 200 gms. Singles, 400 gms Tin

& 1 Kg. Brick

PIZZA CHEESE 200 gms. & 1 Kg. Pack

VERKA VIGOUR 500 gms. Jar, 500 gms. Refill & 1 Kg. Jar

DAIRY WHITENER 500 gms. Pkt. & 10 Kg. Tin

SKIMMED MILK POWDER 200 gms. & 500 gms. Bottle, 500 gms.

Cekatainer


10/66

1 Kg. Pkt. & 25 Kg. Bag

WHOLE MILK POWDER 500 gms.Tin, 1 Kg. Tin, 10 Kg. Tin

SWEETENED FLAVOURED MILK 200 ml. Bottle, 200 ml.Tetrapak

SWEET LASSI 200 ml. Tetrapak

MANGO RASEEELA 200 ml. Tetrapak

PINE APPLE RASEEELA 200 ml. Tetrapak

MILK CAKE /PEDA 200 gms Pkt.

KAJU PINNI 50 gms. Pkt.

MILK POUCHES Full Cream, Standardised, Toned, Double Toned

& Skimmed.

U.H.T. MILK 1 Lt. Tetra Pak Standardized & Toned

Chapter 2

Objectives of the study :--

Some of the main objectives of the study are as follows:

1.To gain the knowledge about the concept of LABOUR

WELFARE.

2. To know how this concept is related with HR.

3.To know the constituents of labour welfare.

4.To know the rules ,laws and policy of labour welfare


11/66

Chapter 3

3.1 LABOUR WELFARE :-----

Labour welfare activities benefit not only the workers but also themanagement in term ofgreater industrial efficiency

3.2Introduction :--

Labour play a very important role in the industrial production of

the country. The human resource managers are really concerned

with the management of people at work. It is necessary to secure the

cooperation of labour in order to increase the production and earnhigher profits. The labour force is possible only when they are fully

satisfied with their employer and the working condition on the job.

In the course of time with the introduction of the concept of Human

Resource Management ,psychological researches convinced them

that the workers required some thing more important. In addition to

providing monetary benefits, human treatment given to employee

play a very important role in seeking their cooperation.

3.3 Labour welfare review :---

There are various aspects of labour welfare in India but social

security is considered one main of them. In other words we can say

social security is one of the pillars on which the structure of a

welfare state rests and it constitutes the hard core of social policy in

most countries. It is through social security measures that the state

attempts to maintain every citizen at a certain prescribed level

below which no one is allowed to fall. It is the security that society

furnishes through appropriate organization, against certain risks to

which its members are exposed (ILO, 1942). Social security system

comprises health and unemployment insurance, family allowances,


12/66

provident funds, pensions and gratuity schemes, and widows and

survivors allowances. The essential characteristics of social

insurance schemes include their compulsory and contributory

nature; the members must first subscribe to a fund from whichbenefits could be drawn later. On the other hand, social assistance is

a method according to which benefits are given to the needy

persons, fulfilling the prescribed conditions, by the government out

of its own resources. The present section reviews labour welfare

activities in India with particular emphasis on the unorganized

sector. Although provisions for workmens compensation in case of

industrial accidents and maternity benefits for women workforce

had existed for long, a major breakthrough in the field of social

security came only after independence. The Constitution of India

(Article 41) laid down that the State shall make effective provision

for securing the right to public assistance in case of unemployment,

old age, sickness and disablement and in other cases of underserved

want. The Government took several steps in compliance of the

constitutional requirements. The Workmens Compensation Act

(1926) was suitably revised and social insurance programmes were

developed for industrial workers. Provident funds and gratuity

schemes were introduced in most industries, and maternity

legislation was overhauled. Subsequently, State governments

instituted their own social assistance programmes. The provisions

for old age comprise pension, provident fund, and gratuity schemes.

All the three provisions are different forms of retirement benefits.

(Gratuity is a lump sum payment made to a worker or to his/herheirs by the company on termination of his/her service due to

retirement, invalidity, retrenchment or death ).


13/66

3.4 Concept of labour welfare :----

The concept of labour welfare is flexible and elastic and differs

widely with time, region, industry, social values and customs, degree

of industrialization, the general socio-economic development of the

people and the political ideologies prevailing at a particular time . It

is also molded according to the age-groups, socio-cultural

background, marital and economic status and educational level of

the workers in various industries. In its broad connotation, the term

welfare refers to a state of living of an individual or group in a

desirable relationship with total environmentecological, economic,

and social. Conceptually as well as operationally, labour welfare is apart of social welfare which, in turn, is closely linked to the concept

and the role of the State which is applicable in Verka plant. The

concept of social welfare, in its narrow contours, has been equated

with economic welfare. As these goals are not always be realized by

individuals through their efforts alone, the government came into

the picture and gradually began to take over the responsibility for

the free and full development of human personality of itspopulation. Labour welfare is an extension of the term Welfare and

its application to labour. During the industrialisation process, the

stress on labour productivity increased; and brought about changes

in the thinking on labour welfare. In its broad connotation, the term

welfare refers to a state of living of an individual or group in a

desirable relationship with total environmentecological, economic,

and social. Conceptually as well as operationally, labour welfare is a

part of social welfare which, in turn, is closely linked to the concept

and the role of the State. The concept of social welfare, in its narrow

contours, has been equated with economic welfare. Pigou defined it

as that part of general welfare which can be brought directly or

indirectly into relations with the measuring rod of money (Pigou,


14/66

1962). According to Willensky and Labeaux, social welfare alludes

to those formally organised and socially sponsored institutions,

agencies and programmes which function to maintain or improve

the economic conditions, health or interpersonal competence ofsome parts or all of a population (Willensky and Labeaux, 1918).

As these goals may not always be realised by individuals through

their efforts alone, the government came into the picture and

gradually began to take over the responsibility for the free and full

development of human personality of its population. Labour welfare

is an extension of the term Welfare and its application to labour.

During the industrialisation process, the stress on labour

productivity increased; and brought about changes in the thinking

on labour welfare. An early study under the UN observed as follows

in our opinion most underdeveloped countries are in the situation

that investment in people is likely to prove as productive, in the

purely material sense, as any investment in material resources and

in many cases, investment in people would lead to a greater increase

of the flow of goods and services than would follow upon any

comparable investment in material capital. The theory that welfare

expenditure, especially expenditure on health and education, is

productive investment has led to the view that workers could work

more productively if they were given a fair deal both at the work

place and in the community. The concept of labour welfare has

received inspiration from the concepts of democracy and welfare

state. Democracy does not simply denote a form of government; it is

rather a way of life based on certain values such as equal rights andprivileges for all. The operation of welfare services, in actual

practice, brings to bear on it different reflections representing the

broad cultural and social conditions. In short, labour welfare is the

voluntary efforts of the employers to establish, within the existing


15/66

industrial system, working and sometimes living and cultural

conditions of the employees beyond what is required by law, the

custom of the industry and the conditions of the market The

constituents of labour welfare included working hours, workingconditions, safety, industrial health insurance, workmens

compensation, provident funds, gratuity, pensions, protection

against indebtedness, industrial housing, restrooms, canteens,

crches, wash places, toilet facilities, lunches, cinemas, theatres,

music, reading rooms, holiday rooms, workers education, co-

operative stores, excursions, playgrounds, and scholarships and

other help for education of employees children.

3.5 Definitions:(accepted by verka plant) :----

Labour welfare has been defined in various ways, though

unfortunately no single definition has found universal acceptance.

The Oxford Dictionary defines labour welfare as efforts to make

life worth living for worker Chambers Dictionary defines welfare

as a state of faring or doing well; freedom from calamity,

enjoyment of health, prosperity. The ILO report refers to labour

welfare as such services, facilities, and amenities, which may be

established in, or in the vicinity of undertakings to enable persons

employed therein to perform their work in healthy and congenial

surroundings and provided with amenities conducive to good health

and high morale.

Features :--

On the basis of the various definitions, the basic characteristics of

labour welfare work may be noted thus:--


16/66

1. It is the work which is usually undertaken within the premises or

in the vicinity of the undertakings for the benefit of the benefit of the

employees and the members of their families.

2. The work generally includes those items of welfare which are over

and above what the employees expect as a result of the contract of

service from the employers.

3. The purpose of providing welfare amenities is to bring about

development of the whole personality of the worker -his social,

psychological, economic, moral,cultural and intellectual

development to make him a good worker, a good citizen and a good

member of the family.

4. These facilities may be provided voluntarily by progressive and

enlightened entrepreneurs at their own accord out of their

realization of social responsibility towards labour, or statutory

provisions may compel them to make these facilities available; or

these may be undertaken by the government or trade unions, if they

have the necessary funds for the purpose.

5. Labour welfare is a very broad term, covering social security and

such other activities as medical aid, crches, canteens, recreation,

housing, adult education, arrangements for the transport of labour

to and from the work place.

6. It may be noted that not only intra-mural but also extra-mural,

statutory as well as non-statutory activities, undertaken by any ofthe three agencies- the employers, trade unions or the government-

for the physical and mental development of the worker, both as a

compensation for wear and tear that he undergoes as a part of the

production process and also to enable him to sustain and improve


17/66

upon the basic capacity of contribution to the processes of

production, which are all the species of the longer family

encompassed by the term labour welfare.

3.6 Objectives :--

1. Enabling workers to live richer and more satisfactory lives;

2. Contributing to the productivity of labour and efficiency of the

enterprise;

3. Enhancing the standard of living of workers by indirectly

reducing the burden on their purse;

4. Enabling workers to live in tune and harmony with services for

workers obtaining in the neighbourhood community where similar

enterprises are situated;

5. Based on an intelligent prediction of the future needs of the

industrial workers, designing policies to cushion off and absorb the

shocks of industrialisation and urbanisation to workers;

6. Fostering administratively viable and essentially developmental

outlook among the workforce; and

7. Discharging social responsibilities.

3.7 Principles of labour welfare :--

Certain fundamental considerations are involved in the concept oflabour welfare. The following are the more important among them.


18/66

1.Social responsibility of industry

This principle is based on the social conception of industry and its

role in the society that is, the understanding that social

responsibility of the state is manifested through industry. It is

assumed that labour welfare is an expression of industrys duty

towards its employees. Social responsibility means that the

obligation of the industry to pursue those policies, to take such

decisions, and to follow those lines of action which are desirable in

terms of the objectives and values currently obtaining in the society.

The values of the Indian community are enshrined in the

constitution of the country. Labour welfare is not embroidery oncapitalism nor the external dressing of an exploitative management;

rather, it is an expression of the assumption by industry of its

responsibility for its employees (Maurioce Bruce, 1961). Industry is

expected to win the co-operation of the workers, provide them

security of employment, fair wage, and equal opportunity for

personal growth and advancement, and make welfare facilities

available to them.

2.Democratic values

The principle of democratic values of labour welfare concedes that

workers may have certain unmet needs for no fault of their own,

that industry has an obligation to render them help in gratifying

those needs, and that workers have a right of determining the

manner in which these needs can be met and of participating in theadministration of the mechanism of need gratification. The

underlying assumption to this approach is that the worker is a

mature and rational individual who is capable of taking decisions

for himself/herself.


19/66

3.Adequacy of wages

The third principle of labour welfare is adequacy of wages; itimplies that labour welfare measures are not a substitute for wages.

It will be wrong to argue that since workers are given a variety of

labour welfare services, they need be paid only low wages. Right to

adequate wage is beyond dispute.

4.Efficiency

The fourth principle of labour welfare lays stress on the dictum thatto cultivate welfare is to cultivate efficiency. Even those who deny

any social responsibility for industry do accept that an enterprise

must introduce all such labour welfare measures which promote

efficiency (Marshall, 1950). It has been often mentioned that

workers education and training, housing, and diet are the three

most important aspects of labour welfare, which always accentuate

labour efficiency. Re-personalization Since industrial organization is

rigid and impersonal, the goal of welfare in industry is the

enrichment and growth of human personality. The labour welfare

movement seeks to bring cheer, comfort, and warmth in the human

relationship by treating man as an individual, with quiet distinct

needs and aspirations. Social and cultural programmes, recreation

and other measures designed after taking into consideration the

workers interests go a long way in counteracting the effects of

monotony, boredom, and cheerlessness.

5.Co-responsibility

The fifth principle of labour welfare recognises that the

responsibility for labour welfare lies on both employers and workers


20/66

and not on employers alone (Moorthy, 1958). Labour welfare

measures are likely to be of little success unless mutuality of interest

and responsibilities are accepted and understood by both the

parties, in particular the quality of responsibility at the attitudinaland organisational level. Totality of welfare The final principle of

labour welfare is that the concept of labour welfare must permeate

throughout the hierarchy of an organisation, and accepted by all

levels of functionaries in the enterprise.

3.8 Scope of labour welfare work :--

It is somewhat difficult to accurately lay down the scope of labour

welfare work, especially because of the fact that labour class is

composed of dynamic individuals with complex needs. In a world of

changing values, where ideologies are rapidly undergoing

transformation, rigid statements about the field of labour welfare

need to be revised. Labour welfare work is increasing with the

growing knowledge and experience of techniques. An able welfare

officer would , therefore, include in hiswelfare programme the

activities that would be conducive to the well-being of the worker

and his family. The test of the welfare activity is that it removes,

directly or indirectly, any hindrance, physical or mental of the

worker and restores to him the peace and joy of living the welfare

work embraces the worker and his family The following list, which

is by no means exhaustive, gives the items under which welfare work

should be conducted inside and outside the work place:

(1) Conditions of work environment :-

The workshop sanitation and cleanliness, humidity, ventilation,

lighting, elimination of dust, smoke, fumes and gases, convenience

and comfort during work, operative postures, sitting arrangements


21/66

etc; distribution of work hours and provision for rest times, breaks

and workmens safety measures.

(2)Workers health services:- These should include factory health

centre; medical examination of workers, factory dispensary and

clinic for general treatment; infant welfare; womens general

education; workers recreation facilities; education, etc;

(3)Labour welfare programme: These should cover factory council

consisting of representatives of labour and employers; social welfare

departments; interview and vocational testing; employment, follow-

up, research bureau; workmens arbitration council.

(4)Labours Economic welfare programme: These should include

co-operatives or fair price shops for consumer necessities; co-

operative credit society, thrift schemes and savings bank; health

insurance; employment bureau; etc.

(5)General welfare work:

This should relate to housing and family care.

3.9 Labour welfare and Government :--

Welfare of labour One of the major concerns of the Government has

been the improvement of labour welfare with increasing

productivity and provision of a reasonable level of social security.

Social Security There are a variety of laws enacted and schemes

established by the Central/State Governments with a view toprovide for social security and welfare of specific categories of

working people. The principal social security laws enacted centrally

are the following:

1. The Workmen's compensation Act, 1923 (WC.Act.)


22/66

2. The Employees State Insurance Act, 1948 (ESI Act)

3. The Employees' Provident Funds and Miscellaneous Provisions

Act, 1953 (EPF & MP Act)

4. The Maternity Benefit Act, 1961 (MB Act)

5. The Payment of Gratuity Act, 1972 (PG Act) The EPF and MP Act

are administered exclusively by the Government of India through

the EPFO. The cash benefits under the ESI Act are administered by

the Central Government through the Employees State Insurance

corporation (ESIC), whereas medical care under the ESI Act is

being administered by the State Government and Union TerritoryAdministration. The Payment of Gratuity Act is administered by the

Central Government in establishments under its control,

establishments having branches in more than one State, major

ports, mines, oil fields and the Railways and by the State

Governments and Union Territory Administrations in all other

cases. In mines and circus industry, the provisions of the Maternity

Benefit Act are being administered by the Central Governmentthrough the Chief Labour Commissioner (Central) and by the State

Governments in factories, plantations and other establishments. The

provisions of the WC Act are being administered exclusively by

State Governments. Programmes of the State Sector Important

programmes undertaken by the State Governments relate to

diversification and expansion of the vocational training programme,

improvement in the quality of training and extension of trainingopportunities for women, the World Bank-assisted Vocational

Training Project, extension and modernisation of employment

services, strengthening of labour administration, rehabilitation of

bonded labour, welfare of rural and urban unorganised labour etc.

Social security is the piller of labour welfare The concept of social


23/66

security has been mentioned in the early Vedic hymn which wishes

everyone to be happy, free from ill- health, enjoy a bright future and

suffer no sorrow. The phrase social security is, therefore, a new

name for an old aspiration. Today is based on the ideals of humandignity and social justice. Social security is defined as the security

that society furnishes, through appropriate organization, against

certain risks to which its members are exposed. These risks are

essentially contingencies against which the individual, who has small

means, cannot protect himself. These contingencies include

employment injury, sickness, disablement, industrial disease,

maternity, old age, burial, widowhood, orphan hood and

unemployment. Social security is also broadly defined as the

endeavour of the community, as a whole, to render help to the

utmost extent possible to any individual during periods of physical

distress inevitable on illness or injury and during economic distress

consequent on reduction or loss of earnings due to illness,

disablement, maternity, unemployment, old age or death of working

member. Social security thus provides a self-balancing social

insurance or assistance from public funds or a combination of both.

Though social security programmes vary from country to country,

their three major characteristics are: they are established by law;

they provide some kind of cash payment to individuals to replace

atleast a part of their lost income that our due to such contingencies

as unemployment, maternity, work injury, invalidism, sickness, old

age and death; the benefits or services are provide in three major

ways:

1 Social insurance,

2 Social assistance or

3 Public services.


24/66

Social insurance: The features of social insurance are:

It is financed entirely by or mainly from the common monetary

contributions of workers, employers and the state.

The state and the employers make major contribution to this fund,

while the employees pay only a nominal amount.

When there is total or partial loss of income, these bene fits, within

limits, ensure the maintenance of the beneficiarys minimum

standard of living.

Social insurance benefits are granted without an examination of anindividuals need and without any means test, without affecting the

sense of self respect of the beneficiary.

These benefits are so planned as to cover, on a compulsory basis,

all those who are sought to be covered. Social insurance reduces

the suffering arising out of the contingencies faced by an individual

contingencies which he cannot prevent. Social insurance is

different from commercial insurance, for the latter is voluntary andis meant for the better paid section of the population, and its

benefits are in proportion to the premiums paid; it offers protection

only against individual risks and does not aim at providing a

minimum standard of living.

Social assistance:-

Social assistance is provided as a supplement to social insurance forthose needy person who cannot get social insurance payments, and

is offered after a means test. The general revenues of the

government provide the finance for social assistance payments,

which is made available as a legal right to those workers who fulfil


25/66

given conditions. Social assistance and social insurance go side by

side. Social assistance programmes cover such programmes as

unemployment assistance, oldage assistance, public assistance and

national assistance. Social security is the combination of socialassistance and social insurance. Social insurance, however, falls

midway between the two, for it is financed by the stste as well as by

the insured and their employers;whereas social assistance is given

gratis to the needy by the state or the community.

Public service:-

Public service programmes constitute the third main type of social

security. They are financed directly by the government from their

general revenues in the form of cash payment and services to every

member of the community falling within the defined category. This

kind of public service is currently available in a number of countries

in the form of national health service providing medical care for

every person in the country, old-age pension, pension for invalidism,

survivors pension to every widow or orphan, and a family

allowance to every family having a given number of children.

Although these social security programmes have different

characteristics, it is not always easy to draw a line of demarcation

among them. In many cases, two or even three programmes have

common characteristics. Apart from state there are many other

agencies which provide se4curity against contingencies. In many

countries trade union have their own sickness, old-age,

unemployment schemes. Saving funds, sickness benefits and old-agepensions have also been provided by a large number of

organisations to their employees.The underlying idea of social

security measures is that a citizen, who has contributed, or is likely

to contribute to his countrys welfare, should be given protection


26/66

against certain hazards. The 1952 ILO convention on social

security (minimum standard)divided Component of social security

(a)Medical care: This should cover pregnancy,confinement, and its

consequences and any disease which may lead to a morbid

condition. The need for pre-natal and post-natal care, in addition to

hospitalisation, was emphasized. A morbid condition may require

general practitioner care, provision of essential pharmaceuticals and

hospitalization.

(b)Sickness benefit:This should cover incapacity to work following

morbid condition resulting in loss of earnings. This calls for

periodical payments based on the convention specification. The

worker need not be paid for the first three days of suspension of

earnings and the payment of benefit may be limited to 26 weeks in a

year.

(c) Unemployment benefit:-

This should cover the loss of earning during a workers

unemployment period. When he is capable and available for work

but remains unemployed because of lack of suitable employment.

This benefit may be limited to 13 weeks payment in a year,

excluding the first seven days of the waiting period.

(d)Old-age benefit:-

This benefit provides for the payment-the quantum depending upon

an individuals working capacity during the period before

retirement.-of a certain amount beyond a prescribed age and

continues till death.


27/66

(e)Employment injury benefit:-

This should cover the following contingencies resulting from

accident or disease during employment: Morbid condition

Inability to work following a morbid condition, leading to

suspension of earning; Total o0r partial loss of earning capacity

which may become permanent; Death of the breadwinner in the

family, as a result of which family is deprived of financial support.

Medical care and periodical payment corresponding to an

individuals need should be available.

(f)Family benefit:-

This should cover responsibility for the maintenance of children

during an entire period of contingency. Periodical payment,

provision of food, housing, clothing, holidays or domestic help in

respect of children should be provided to a needy family.

(g)Maternity benefit:-

This benefit should cover pregnancy, confinement and theirconsequences resulting in the suspension of earnings. Provision

should be for medical care, including pre-natal confinement, post-

natal care and hospitalization if necessary. Periodical payment

limited to 12 weeks should be made during the period of suspension

of earnings. (h) Invalidism benefit: This benefit, in the form of

periodical payments should cover the needs of workers who suffer

from any, disability arising out of sickness or accident and who areunable to engage in any gainful activity. This benefit should continue

till invalidism changes into old-age, when old age benefits would

become payable.


28/66

(i) Survivors benefit:-

(ii) This should cover periodical payments to the family

following the death of its breadwinner and should

continue the entire period of contingency. The ILO has

suggested various methods of organizing, establishing and

financing various social security schemes. For the benefit

of the less developed countries, it has fixed the level of

benefits fairly low, so that the schemes may be

practicable.

Chapter 4 :-

Methodology used in the study :--

There were various sources of data collection used for this study.

These are direct and indirect sources which are referred to as

primary and secondary sources. These sources are as follows:

Primary sources:-

Some of the primary sources of data collection are past records of

workers, oral interviews, interaction with operators and guidance

from officers.

Secondary sources:-

The secondary sources were used to gain basic and extra

information regarding labour welfare. The secondary source used

was internet source and the various rules of Milkfed. Mainly

Various sites containing information regarding concerned topic are

given in the biography.


29/66

During the study of the topic I had to face some limitations and the

constraints as well. Some of these limitations were:

1. The biggest limitation which I any HR trainee has to face in Verka

Mlik Plant Mohali that no proper training is provided to HR

students. That place is good for engineering and food technology

students only as far as summer training is concerned.

2. Permission for conducting a proper survey was not given.

3. Sufficient time was not given to me to understand the exact nature

and the concept of labour welfare.

4. The whole of the staff was less cooperative with me.

Chapter 5 :-

WELFARE IN VERKA PLANT :--

Verka is playing very important role in producing and selling milk

products. The concept of labour welfare is fully adopted by the

verka plant in order to satisfy employee needs. All the principles oflabour welfare are accepted by the plant .Labuor welfare aspects are

highly regarded with the view of human resources development. The

importance of labour welfare has been recognized by the plant in

order to seeking cooperation of employees.

5.1 CONSTITUENTS OF LABOUR WELFARE IN VERKA :--

Social security is the main constituent of labour welfare in verkaand the another are

welfare included working hours,

working conditions, safety,


30/66

industrial health insurance,

workmens compensation,

provident funds,

gratuity,

pensions,

protection against indebtedness,

industrial housing, restrooms, canteens, crches, wash places, toilet

facilities, lunches, cinemas, theatres, music, reading rooms, holidayrooms, workers education, co-operative stores, excursions, , and

scholarships and other help for education of employees children.

5.2 AGENCIES OF LABOUR WELFARE IN VERKA MILK

PLANT :--

There are various agencies which are established rules related to

labour welfare in verka plant these are following

1 Central Government

2 The Co-operative Milk Producer Union Employ Service Rules

3 State Government

4 Worker Union

5.Employer

6. Others

All these play important role in establishing labour welfare in verka

plant


31/66

1 Central Government:-The central Government has passed various

legislation for the welfare of different types of workers which are

same applicable in verka some important legislation are

1. The Workmen's compensation Act, 1923 (WC.Act.)

2. The Employees State Insurance Act, 1948 (ESI Act)

3. The Employees' Provident Funds and Miscellaneous Provisions

Act, 1953 (EPF & MP Act)

4. The Maternity Benefit Act, 1961 (MB Act)

5. The Payment of Gratuity Act, 1972 (PG Act) The EPF and MP Act

are administered exclusively by the Government of India through

the EPFO. The cash benefits under the ESI Act are administered by

the Central Government through the Employees State Insurance

corporation (ESIC), whereas medical care under the ESI Act is

being administered by the State Government and Union Territory

Administration. Main provision of laws related with welfare The

Factories Act, 1948 The Factories Act, is a social legislation whichhas been enacted for occupational safety, health and welfare of

workers at work places. This legislation is being enforced by

technical officers i.e. Inspectors of Factories, Dy. Chief Inspectors of

Factories who work under the control of the Chief Inspector of

Factories and overall control of the Labour Commissioner,

Government of National Capital Territory of Delhi It applies to

factories covered under the Factories Act, 1948. The industries inwhich ten (10) or more than ten workers are employed on any day of

the preceeding twelve months and are engaged in manufacturing

process being carried out with the aid of power or twenty or more

than twenty workers are employed in manufacturing process being


32/66

carried out without the aid of power, are covered under the

provisions of this Act.

I. Health

II. Safety

III. Welfare facilities

IV. Working hours

V. Employment of young persons

VI Annual Leave with wages etc.

42. WASHING FACILITIES :--

(1) In every factory

(a) adequate and suitable facilities for washing shall be provided and

maintained for the use of the workers therein;

(b) separate and adequately screened facilities shall be provided forthe use of male and female workers;

(c) such facilities shall be conveniently accessible and shall be kept

clean.

(2) The State Government may, in respect of any factory or class or

description of factories or of any manufacturing process, prescribe

standards of adequate and suitable facilities for washing.

43. FACILITIES FOR STORING AND DRYING CLOTHING :--

The State Government may, in respect of any factory or class or

description of factories, make rules requiring the provision therein


33/66

of suitable places for keeping clothing not worn during working

hours and for the drying of wet clothing.

44. FACILITIES FOR SITTING :--

(1) In every factory suitable arrangements for sitting shall be

provided and maintained for all workers obliged to work in a

standing position, in order that they may take advantage of any

opportunities for rest which may occur in the course of their work.

(2) If, in the opinion of the Chief Inspector, the workers in anyfactory engaged in a particular manufacturing process or working

in a particular room are able to do their work efficiently in a sitting

position, he may, by order in writing, require the occupier of the

factory to provide before a specified date such seating arrangements

as may be practicable for all workers so engaged or working.

(3) The State Government may, by notification in the Official

Gazette, declare that the provisions of sub-section (1) shall not applyto any specified factory or class or description of factories or to any

specified manufacturing process.

45. FIRST AID APPLIANCES :--

(1) There shall in every factory be provided and maintained so as to

be readily accessible during all working hours first-aid boxes or

cupboards equipped with the prescribed contents, and the numberof such boxes or cupboards to be provided and maintained shall not

be less than one for every one hundred and fifty workers ordinarily

employed at any one time in the factory.


34/66

(2) Nothing except the prescribed contents shall be kept in a first-aid

box or cupboard.

(3) Each first-aid box or cupboard shall be kept in the charge of a

separate responsible person who holds a certificate in first-aid

treatment recognized by State Government and who shall always be

readily available during the working hours of the factory.

(4) In every factory wherein more than five hundred workers are

ordinarily employed there shall be provided and maintained an

ambulance room of the prescribed size, containing the prescribed

equipment and in the charge of such medical and nursing staff as

may be prescribed and those facilities shall always be made readily

available during the working hours of the factory.

46. CANTEENS :--

(1) The State Government may make rules requiring that in any

specified factory wherein more than two hundred and, fifty workers

are ordinarily employed, a canteen or canteens shall be provided

and maintained by the occupier for the use of the workers.

(2) Without prejudice to the generality of the foregoing power, such

rules may provide for

(a) the date by which such canteen shall be provided;

(b) the standards in respect of construction, accommodation,

furniture and other equipment of the canteen;

(c) the foodstuffs to be served therein and the charges which may be

made therefor;


35/66

(d) the constitution of a managing committee for the canteen and

representation of the workers in the management of the canteen;

(e) the items of expenditure in the running of the canteen which are

not to be taken into account in fixing the cost of foodstuffs and

which shall be borne by the employer;

(f) the delegation to the Chief Inspector, subject to such conditions

as may be prescribed, of the power to make rules under clause (c).

47. SHELTERS, REST ROOMS AND LUNCH ROOMS :--

(1) In every factory wherein more than one hundred and fiftyworkers are ordinarily employed, adequate and suitable shelters or

rest rooms and a suitable lunch room, with provision for drinking

water, where workers can eat meals brought by them, shall be

provided and maintained for the use of the workers : Provided that

any canteen maintained in accordance with the provisions of section

46 shall be regarded as part of the requirements of this sub-section :

Provided further that where a lunch room exists no workers shall

eat any food in the work room.

(2) The shelters or rest rooms or lunch rooms to be provided under

sub-section (1) shall be sufficiently lighted and ventilated and shall

be maintained in a cool and clean condition.

(3) The State Government may

(a) prescribe the standards in respect of construction,accommodation, furniture and other equipment of shelters, rest

rooms and lunch rooms to be provided under this section;


36/66

(b) by notification in the Official Gazette, exempt any factory or

class or description of factories from the requirements of this

section.

48. CRECHES :--

(1) In every factory wherein more than thirty women workers are

ordinarily employed there shall be provided and maintained a

suitable room or rooms for the use of children under the age of six

years of such women.

(2) Such rooms shall provide adequate accommodation, shall be

adequately lighted and ventilated, shall be maintained in a clean andsanitary condition and shall be under the charge of women trained

in the care of children and infants.

(3) The State Government may make rules

(a) prescribing the location and the standards in respect of

construction, accommodation, furniture and other equipment of

rooms to be provided, under this section;

(b) requiring the provision in factories to which this section applies

of additional facilities for the care of children belonging to women

workers, including suitable provision of facilities for washing and

changing their clothing;

(c) requiring the provision in any factory of free milk or refreshment

or both for such children;

(d) requiring that facilities shall be given in any factory for the

mothers of such children to feed them at the necessary intervals.

49. WELFARE OFFICERS :--


37/66

(1) In every factory wherein five hundred or more workers are

ordinarily employed the occupier shall employ in the factory such

number of Welfare officers as may be prescribed.

(2) The State Government may prescribe the duties, qualifications

and Conditions of service of officers employed under sub-section

(1). Plantation Labour Act,1951

Welfare aspects

11.Canteens :--

(1)The State Government may make rules requiring that in every

plantation wherein one hundred and fifty workers are ordinarily

employed, one or more canteens shall be provided and maintained

by the employer for the use of the workers.

(2)Without prejudice to the generality of the foregoing power such

rules may provide for-

(a)The date by which the canteen shall be provided;

(b)The number of canteens that shall be provided and the standards

in respect of construction, accommodation, furniture and other

equipment of the canteen;

(c) The foodstuffs which may be served therein and the charges

which may be made therefor;

(d)The constitution of a managing committee for the canteen and

the representation of the workers in the management of the canteen;

(e)The delegation to the chief inspector, subject to such conditions as

may be prescribed, of the power to make rules under clause (c).


38/66

12. Crches :--

(1) In every plantation wherein fifty or more women workers

(including women workers employed by any contractor) are

employed or were employed on any day of the preceding twelve

months, or where the number of children of women workers

(including women workers employed by any contractor) is twenty or

more, there shall be provided and maintained by the employer

suitable rooms for the use of children of such women workers.

Explanation :--

For the purposes of this sub-section and sub-section (1-A),children means persons who are below the age of six years. (I-A)

Notwithstanding anything contained in sub-section

(1), if, in respect of any plantation wherein less than fifty women

workers (including women workers employed by any contractor)

are employed or were employed on any day of the preceding twelve

months, or where the number of children of such women workers is

less than twenty, the State Government, having regard to the

number of children of such women workers deems it necessary that

suitable rooms for the use of such children should be provided and

maintained by the employer, it may, by order, direct the employer to

provide and maintain such rooms and thereupon the employer shall

be bound to comply with such direction.

(2)[The rooms referred to in sub-section (1) or sub-section 1-A] 1shall-

(a)Provide adequate accommodation;

(b) Be adequately lighted and ventilated;


39/66

(c)Be maintained in a clean and sanitary condition; and

(d)Be under the charge of a woman trained in the care of children

and infants.

(3)The State Government may make rules prescribing the location

and the standards of 3[the rooms referred to in sub-section (1) or

sub-section (1-A) in respect of their construction and

accommodation and the equipment and amenities to be provided

therein.

13. Recreational facilities :--

The State Government may make rules requiring every employer to

make provision in his plantation for such recreational facilities for

the workers and children employed therein as may be prescribed.

14.Educational facilities :--

Where the children between the ages of six and twelve of workers

employed in any plantation exceed twenty-five in number, the State

Government may make rules, requiring every employer to provide

educational facilities for the children in such manner and of such

standard as may be prescribed.

15. Housing facilities :--

It shall be the duty of every employer to provide and maintain

necessary housing accommodation-

(a)For every worker (including his family) residing in the

plantation;

(b)For every worker (including his family) residing outside the

plantation, who has put in six months of continuous service in such


40/66

plantation and who has expressed a desire in writing to reside in the

plantation: Provided that the requirement of continuous service of

six months under this clause shall not apply to a worker who is a

member of the family, of a deceased worker who, immediatelybefore his death, was residing in the plantation.]

16.Power to make rules relating to housing. -The State Government

may make rule for the purposes of giving effect to the provisions of

Section 15 and, in particular providing for--

(a)The standard and specification of the accommodation to be

provided;

(b)The selection and preparation of sites for the construction of

houses and the size of such plot;

(c)The constitution of advisory boards consisting of representatives

of the State Government, the employer and the workers for

consultation in regard to matters connected with housing and the

exercise by them of such powers, functions and duties in relation

thereto as may be specified ;

(d)The fixing of rent, if any, for the housing accommodation

provided for workers;

(e)The allotment to workers and their families of housing

accommodation and suitable strips of vacant land adjoining such

accommodation for the purposes of maintaining kitchen gardens, a

and for the eviction of workers and their families from such

accommodation;

(f)Access to the public to those parts of the plantation wherein the

workers are housed.


41/66

16-A. Liability of employer in respect of accidents resulting from

collapse of houses provided by him. -

(1)If death or injury is caused to any worker or a member of his

family as a result of the collapse of a house provided under Section

15, and the collapse is not solely and directly attributable to a fault

on the part of any occupant of the house or to a natural, calamity,

the employer shall be liable to pay compensation.

(2) The provisions of Section 4 of, and Schedule IV to, the

Workmen's Compensation Act, 1923 (8 of 1923), as in force for the

time being,, regarding the amount of compensation payable to a

workman under that Act shall, so far as may be, apply for the

determination of the amount of compensation payable under sub-

section

(1). 16-B. Appointment of Commissioners.

The State Government may, by notification in the Official Gazette,

appoint as many persons, possessing the prescribed qualifications,

as it thinks fit, to be Commissioners to determine the amount of

compensation payable under Section 16-A and may define the limits

within which each such Commissioner shall exercise the powers and

discharge the functions conferred or imposed on him by, or under

this Act.

16-C. Application for compensation. -

(1)An application for payment of compensation under Section 16-A

may be made to the Commissioner-

(a)By the person who has sustained the injury; or


42/66

(b)By any agent duly authorised by the person who has sustained

the injury; or

(c)Where the person who has sustained the injury is a minor, by his

guardian; or

(d)Where death has resulted out of the collapse of the house, by any

dependant of the deceased or by any agent duly authorized by such

dependent or, if such dependant is a minor, by his guardian.

(2)Every application under sub-section

(1) shall be in such form and shall contain such particulars as maybe prescribed.

(3)No application for compensation under this section shall be

entertained unless it is made within six months of the collapse of the

house: Provided that the Commissioner may, if he is satisfied that

the applicant was prevented by sufficient cause from making the

application within the aforesaid period of six months, entertain such

application within a further period of six months.

Explanation :--

In this section, the expression dependant has the meaning

assigned to it in clause (d) of Section 2 of the Workmen's

Compensation Act, 1923 (8 of 1923).

16-D. Procedure and powers :--

(1) On receipt of an application under Section 16-C, the

Commissioner may make an inquiry into the matter covered by the

application.


43/66

(2)In determining the amount of compensation payable under

Section 16-A, the Commissioner may, subject to any rules that may

be-made in this behalf, follow such summary procedure as he thinks

fit.

(3) The Commissioner shall have all the powers of a civil court while

trying a suit under the Code of Civil Procedure, 1908 (5 of 1908) in

respect of the following matters, namely: -

(a)Summoning and enforcing the attendance of any person and

examining him on oath;

(b)Requiring the discovery and production of any document;

(c)Receiving evidence on affidavits;

(d)Requisitioning any public record or copy thereof from I any

court or officer;

(e)Issuing commissions for the examination of witnesses or

documents;

(f)Any other matter which may be prescribed.

(4)Subject to any rules that may be made in this behalf, the

Commissioner may, for the purpose of determining any claim or

compensation, choose one or more persons possessing special

knowledge of any matter relevant to the inquiry to assist him in

holding the inquiry.

16-E. Liability to pay compensation, etc., to be decided by

Commissioner :--

(1)Any question as to the liability of an employer to pay

compensation under Section 16-A, or as to the amount thereof, or as


44/66

to the person to whom such compensation is payable, shall be

decided by the Commissioner.

(2)Any person aggrieved by a decision of the Commissioner refusing

to grant compensation, or as to the amount compensation granted to

him, or to the apportionment thereof, may prefer an appeal to the

High Court having jurisdiction over the place where the collapse of

the house has occurred, within ninety days of the communication of

the order of the Commissioner to such person: Provided that the

High Court may entertain any such appeal after the expiry of the

period aforesaid if it is satisfied that the appellant was prevented by

sufficient cause from preferring the appeal within such period:

Provided further that nothing in. this sub-section shall be deemed to

authorise the High Court to grant compensation in excess of the

amount of Compensation payable under Section 16-A.

(3)Subject to the decision of the High Court in cases in which an

appeal is preferred under subsection(2), the decision of the

Commissioner under sub-section (1) shall be final and shall not becalled in question in any court. 16-F. Saving as to certain rights. -

The right of any person to claim compensation under Section 16-A

shall be without prejudice to the right of such person to recover

compensation payable under any other law for the time being in

force; but no person shall be entitled to claim compensation more

than once in respect of the same collapse of the house.

16-G. Power to make rules. -

(1)The State Government may, by notification in the Official

Gazette, make rules for giving effect to the provisions of Sections 16-

A to 16-F (both inclusive).


45/66

(2)In particular, and without prejudice to the generality of the

foregoing power, such rules may provide for-

(i)The qualifications and conditions of service of Commissioners;

(ii) The manner in which claims for compensation may be inquired

into and determined by the Commissioner;

(iii)The matters in respect of which any person may be chosen to

assist the Commissioner under Section 16-D and tile functions that

may be performed by such person;

(iv) Generally for the effective exercise of any powers conferred onthe Commissioner.

17.Other facilities :--

The State Government may make rules requiring that in every

plantation the employer shall provide the workers with such

number and type of umbrellas, blankets, rain coats or other tile

amenities for the protection of workers from rain or cold as may be

prescribed.

18. Welfare officers:--

(1)In every plantation wherein three hundred or more workers are

ordinarily employed the employer shall employ such number of

welfare officers as may be prescribed.

(2)The State Government may prescribe the duties, qualificationsand conditions of service of officers employed under sub-section (1).

Employees Provident Fund and Miscellaneous Provisions Act, 1952

5. Employees' Provident Funds Scheme


46/66

(1) The Central Government may by notification in the Official

Gazette frame a Scheme to be called the Employees' Provident

Funds Scheme for the establishment of provident funds under this

Act for employees or for any class of employees and specify theestablishments or class of establishments to which the said Scheme

shall apply and there shall be established as soon as may be after the

framing of the Scheme a Fund in accordance with the provisions of

this Act and the Scheme.

(1A) The Fund shall vest in and be administered by the Central

Board constituted under section5A.

(1B) Subject to the provisions of this Act a Scheme framed under

sub-section (1) may provide for all or any of the matters specified in

Sch. II.

(2) A Scheme framed under sub-section (1) may provide that any of

its provisions shall take effect either prospectively or retrospectively

on such date as may be specified in this behalf in the Scheme.

The Minimum Wages Act, 1948

4. Minimum rate of wages

(1) Any minimum rate of wages fixed or revised by the appropriate

government in respect of scheduled employments under section 3

may consist of -

(i) a basic rate of wages and a special allowance at a rate to beadjusted at such intervals and in such manner as the appropriate

government may direct to accord as nearly as practicable with the

variation in the cost of living index number applicable to such


47/66

workers (hereinafter referred to as the "cost of living allowance");

or

(ii) a basic rate of wages with or without the cost of living allowance

and the cash value of the concessions in respect of suppliers of

essential commodities at concession rates where so authorised; or

(iii) an all-inclusive rate allowing for the basic rate the cost of living

allowance and the cash value of the concessions if any.

(2) The cost of living allowance and the cash value of the concessions

in respect of supplied of essential commodities at concession rate

shall be computed by the competent authority at such intervals andin accordance with such directions as may be specified or given by

the appropriate government.

5. Procedure for fixing and revising minimum wages:---

(1) In fixing minimum rates of wages in respect of any scheduled

employment for the first time under this Act or in revising minimum

rates of wages so fixed the appropriate government shall either -

(a) appoint as many committees and sub-committees as it considers

necessary to hold enquiries and advise it in respect of such fixation

or revision as the case may be or

(b) by notification in the Official Gazette publish its proposals for

the information of persons likely to be affected thereby and specify a

date not less than two months from the date of the notification onwhich the proposals will be taken into consideration.

(2) After considering the advice of the committee or committee

appointed under clause (a) of sub-section (1) or as the case may be

all representations received by it before the date specified in the


48/66

notification under clause (b) of that sub-section the appropriate

government shall by notification in the Official Gazette fix or as the

case may be revise the minimum rates of wages in respect of each

scheduled employment and unless such notification otherwiseprovides it shall come into force on the expiry of three months from

the date of its issue : Provided that where the appropriate

government proposes to revise the minimum rates of wages by the

mode specified in clause (b) of sub-section (1) the appropriate

government shall consult the Advisory Board also. Apprentices Act,

1961

14. HEALTH, SAFETY AND WELFARE OF APPRENTICES :---

Where any apprentices are undergoing training in a factory, the

provisions of Chapters III, IV and V of the Factories Act, 1948 (63 of

1948), shall apply in relation to the health, safety and welfare of the

apprentices as if they were workers within the meaning of that Act

and when any apprentices are undergoing training in a mine, the

provisions of Chapter V of the Mines Act, 1952 (35 of 1952), shall

apply in relation to the health and safety of the apprentices as if they

were persons employed in the mine. Workmen's Compensation Act,

1923.

3. EMPLOYER'S LIABILITY FOR COMPENSATION :---

(1) If personal injury is caused to a workman by accident arising out

of and in the course of his employment, his employer shall be liable

to pay compensation in accordance with the provisions of this

Chapter :Provided that the employer shall not be so liable


49/66

(a) in respect of any injury which does not result in the total or

partial disablement of the workman for a period exceeding three

days;

(b) in respect of any injury, not resulting in death or permanent

total disablement, 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, or

(ii) the willful disobedience of the workman to an order expressly

given, or to a rule expressly framed, for the purpose of securing the

safety of workmen, or

(iii) the willful removal or disregard by the workman of any safety

guard or other device which he knew to have been provided for the

purpose of securing the safety of workmen,

(2) If a workman employed in any employment specified in Part A of

Schedule III contracts any disease specified therein as an

occupational disease peculiar to that employment, or if a workman,

whilst in the service of an employer in whose service he has been

employed for a continuous period of not less than six months (which

period shall not include a period of service under any other

employer in the same kind of employment) in any employment

specified in Part B of Schedule III, contracts any disease specified

therein as an occupational disease peculiar to that employment, or if

a workman whilst in the service of one or more employers in any

employment specified in Part C of Schedule III, for such continuous

period as the Central Government may specify in respect of each

such employment, contracts any disease specified therein as an

occupational disease peculiar to that employment, the contracting of

the disease shall be deemed to be an injury by accident within the


50/66

meaning of this section and, unless the contrary is proved, the

accident shall be deemed to have arisen out of, and in the course of,

the employment : Provided that if it is proved, -

(a) that a workman whilst in the service of one or more employers in

any employment specified in Part C of Schedule III has contracted a

disease specified therein as an occupational disease peculiar to that

employment during a continuous period which is less than the

period specified under this sub-section for that employment, and

(b) that the disease has arisen out of and in the course of the

employment; the contracting of such disease shall be deemed to be

an injury by accident within the meaning of this section : Provided

further that if it is proved that a workman who having served under

any employer in any employment specified in Part B of Schedule III

or who having served under one or more employers in any

employment specified in Part C of that Schedule, for a continuous

period specified under this sub-section for that employment and he

has after the cessation of such service contracted any disease

specified in the said Part B or the said Part C, as the case may be, as

an occupational disease peculiar to the employment and that such

disease arose out of the employment, the contracting of the disease

shall be deemed to be an injury by accident within the meaning of

this section.

(2A) If a workman employed in any employment specified in Part C

of Schedule III contracts any occupational disease peculiar to thatemployment, the contracting whereof is deemed to be an injury by

accident within the meaning of this section, and such employment

was under more than one employer, all such employers shall be

liable for the payment of the compensation in such proportion as the

Commissioner may, in the circumstances, deem just.


51/66

(3) The Central Government or the State Government, after giving,

by notification in the Official Gazette, not less than three months'

notice of its intention so to do, may, by a like notification, add any

description of employment to the employments specified in ScheduleIII, and shall specify in the case of employments so added the

diseases which shall be deemed for the purposes of this section to be

occupational diseases peculiar to those employments respectively,

and thereupon the provisions of sub-section (2) shall apply In the

case of a notification by the Central Government, within the

territories to which this Act extends or, in case of a notification by

the State Government, within the State as if such diseases had been

declared by this Act to be occupational diseases peculiar to those

employments.

(4) Save as provided by Sub-sections (2), (2A) and (3), no

compensation shall be payable to a workman in respect of any

disease unless the disease is directly attributable to a specific injury

by accident arising out of and in the course of his employment.

(5) Nothing herein contained shall be deemed to confer any right to

compensation on a workman in respect of any injury if he has

instituted in a Civil Court a suit for damages in respect of the injury

against the employer or any other person; and no suit for damages

shall be maintainable by a workman in any Court of law in respect

of any injury - (a) if he has instituted a claim to compensation in

respect of the injury before a Commissioner; or

(b) if an agreement has been come to between the workman and his

employer providing for the payment of compensation in respect of

the injury in accordance with the provisions of this Act.

4. AMOUNT OF COMPENSATION :---


52/66

(1) Subject to the provisions of this Act, the amount of compensation

shall be as follows, namely :-

(a) where death results an amount equal to fifty from the injury cent

of the monthly wages of the deceased workman multiplied by the

relevant factor; or an amount of fifty thousand rupees, whichever is

more;

(b) where permanent total an amount equal to disablement results

from sixty the injury per cent of the monthly wages of the injured

workman multiplied by the relevant factor, or an amount of sixty

thousand rupees, whichever is more.

Explanation I :--

For the purposes of clause (a) and clause (b), "relevant factor", in

relation to a workman means the factor specified in the second

column of Schedule IV against the entry in the first column of that

Schedule specifying the number of years which are the same as the

completed years of the age of the workman on his last birthday

immediately preceding the date on which the compensation fell due;

Explanation II :--

Where the monthly wages of a workman exceed two thousand

rupees, his monthly wages for the purposes of clause (a) and clause

(b) shall be deemed to be two thousand rupees only; (c) where

permanent partial disablement results from the injury (i) in the case

of an injury specified in Part II of Schedule I, such percentage of the

compensation which would have been payable in the case of

permanent total disablement as is specified therein as being the

percentage of the loss of earning capacity caused by that injury, and


53/66

(ii) in the case of an injury not specified in Schedule I, such

percentage of the compensation payable in the case of permanent

total disablement as is proportionate to the loss of earning capacity

(as assessed by the qualified medical practitioner) permanentlycaused by the injury;

Explanation I :--- Where more injuries than one are caused by the

same accident, the amount of compensation payable under this head

shall be aggregated but not so in any case as to exceed the amount

which would have been payable if permanent total disablement had

resulted from the injuries;

Explanation II :---

In Assessing the loss of earning capacity for the purposes of sub-

clause (ii) the qualified medical practitioner shall have due regard to

the percentages of loss of earning capacity in relation to different

injuries specified in Schedule I;

(d) Where temporary a half monthly payment of the sum

disablement, whether equivalent to twenty-five per cent of total or

partial, results monthly wages of the workman, to from the injury

be paid in accordance with the provisions of sub-section (2).

(1A) Notwithstanding anything contained in sub-section (1), while

fixing the amount of compensation payable to a workman in respect

of an accident occurred outside India, the Commissioner shall take

into account the amount of compensation, if any, awarded to suchworkman in accordance with the law of the country in which the

accident occurred and shall reduce the amount fixed by him by the

amount of compensation awarded to the workman in accordance

with the law of that country.


54/66

(2) The half-monthly payment referred to in clause (d) of sub-section

(1) shall be payable on the sixteenth day

(i) from the date of disablement where such disablement lasts for a

period of twenty-eight days or more; or

(ii) after the expiry of a waiting period of three days from the date of

disablement where such disablement lasts for a period of less than

twenty-eight days; and thereafter half-monthly during the

disablement or during a period of five years, whichever period is

shorter : Provided that

(a) there shall be deducted from any lump sum or half-monthlypayments to which the workman is entitled the amount of any

payment or allowance which the workman has received from the

employer by way of compensation during the period of disablement

prior to the receipt of such lump sum or of the first half-monthly

payment, as the case may be; and

(b) no half-monthly payment shall in any case exceed the amount, if

any, by which half the amount of the monthly wages of the workman

before the accident exceeds half the amount of such wages which he

is earning after the accident.

Explanation :--

Any payment or allowance which the workman has received from

the employer towards his medical treatment shall not be deemed to

be a payment or allowance received by him by way of compensation

within the meaning of clause (a) of the proviso.

(3) On the ceasing of the disablement before the date on which any

half-monthly payment falls due, there shall be payable in respect of


55/66

that half-month a sum proportionate to the duration of the

disablement in that half-month.

(4) If the injury of the workman results in his death, the employer

shall, in addition to the compensation under sub-section (1), deposit

with the Commissioner a sum of one thousand rupees for payment

of the same to the eldest surviving dependant of the workman

towards the expenditure of the funeral of such workman or where

the workman did not have a dependant or was not living with his

dependant at the time of his death to the person who actually

incurred such expenditure.

Payment of Bonus Act, 1965

Eligibility:---

i) Every person (other than an apprentice) drawing salary up to Rs

3,500 per month.

Ii) Every person drawing salary between Rs 2,501/- and Rs 3,500/-

per month. The bonus payable to him is to be calculated as if hissalary were Rs 2,500/- p.m Benefits

i) Subject to other provisions : Minimum bonus shall be

8.33% of salary/wages earned or Rs 100 whichever is higher.

ii) If allocable surplus exceeds the amount of minimum bonus, then

bonus shall be payable at higher rate subject to a maximum 20% of

salary/wages.

iii) Computation of bonus is to be worked out as per Schedule I to

IV of the Act. Payment of gratuity act,1972 Maximum amount of

gratuity payable is Rs The Act provides for the payment of gratuity

to workers employed in every factory, shop & establishments or


56/66

educational institution employing 10 or more persons on any day of

the proceeding 12 months. A shop or establishment to which the Act

has become applicable shall continue to be governed by the Act even

if the number of persons employed falls bellow 10 at any subsequentstage. All the employees irrespective of status or salary are entitled

to the payment of gratuity on completion of 5 years of service. In

case of death or disablement there is no minimum eligibility period.

The amount of gratuity payable shall be at the rate of 17 days wages

based on the rate of wages last drawn, for every completed year of

service. The. 3,50,000/-.

2.The Co-operative Milk Producer Union Employ Service Rules Theanother main agency of labour welfare in verka is the The Co-

operative Milk Producer Union Employ Service Rules the following

are the main provision regarding the labour welfare Sec. 2(f)-

Documents

Balraj Singh Training Report