INDUSTRIAL EMPLOYMENT (STANDING ORDERS)ACT, 1946

To Fr. Barnad Bara

BY:

Aman Sinha

Aman Yande

Amit Kumar Parida

Akshay Ananthapadmanabha

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INTRODUCTION Passed in 1946 Came in force on 23rd April 1946 Has

15 sections. Passed because the condition of service were not

uniform & well defined. Under Section 1 Extends to the whole India Applies to every industrial establishment wherein 100

or more workmen are employed or were employed on any day of the preceding 12 months.

Nothing in this act shall apply toi. any industry to which the provisions of chapter vii of

the Bombay industrial relations act 1946 or ii. any industrial establishment to which the provisions

of the Madhya Pradesh industrial employment(standing orders) act 1946

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OBJECTIVES To require employers in industrial

establishments formally to define conditions of employment under them.

To require employers to define the terms and conditions( discharge, holidays, tenure, leaves, disciplinary action ,working hours, pay days etc. ) of employment and make it known to workers.

To minimize industrial conflicts.

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DEFINITIONS

Under section 2

APPELLATE AUTHORITY:

An authority appointed by the appropriate government by notification in the official gazette to exercise in such area as may be specified in the notification.

APPROPRIATE GOVERNMENT:

In respect of industrial establishments under the control of the Central Government or a Railway administration or in a major Port, mine or oil field, the Central Government, and in all other cases, the state government.

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DEFINITIONS

CERTIFYING OFFICER:

Labour commissioner or a regional labour commissioner and includes any other officer appointed by the appropriate government, by the notification in the official gazette to perform all the functions of certifying officer.

EMPLOYER:I. The owner of the industrial establishment to which this act for

the time being applies and includes- (i)In a factory, any person named under [clause (f) of sub-section (1) of Section 7 of the Factories Act,1948], as manager of the factory;

II. In any industrial establishment under the control of any department of any Government in India, the authority appointed by such Government in this behalf, or where no authority is so appointed, the head of the department;

III. In any other industrial establishment, any person responsible to the owner for the supervision and control of the industrial establishment.

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DEFINITIONS INDUSTRIAL ESTABLISHMENT:An industrial establishment as defined in

clausei. (ii) of Section 2 of the Payment of Wages

Act, 1936, orii. (ii)A factory as defined in clause (m) of

Section 2 of the Factories Act, 1948, or (iii)A railway as defined in clause(4) of Section 2 of the Indian Railway Act, 1890, or

iii. (iv)The establishment of a person who, for the purpose of fulfilling a contract with the owner of any industrial establishment, employs workmen

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DEFINITIONS

PRESCRIBED: Means prescribed by rules made by the

appropriate government under this act. STANDING ORDERS: Means rules relating to matters set out in the

schedule. TRADE UNION: Means a trade union for the time being

registered under the Indian trade union act 1926 (i) “wages” and “workman” have the meanings respectively assigned to them in clauses (rr) and (s) of Section 2 of the Industrial Disputes Act, 1947

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DEFINITIONS MODEL STANDING ORDERS The Central and State Govt. have framed their

own rules on the matters stated in the ACT . Classification of workers-i. Permanent,ii. Probationer,iii. Badli,iv. Temporary Workerv. Workmen,vi. Casual,vii. Apprentice Tickets : – To permanent workman Cards : – Number of days etc.

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3PROCEDURE FOR APPROVAL OF STANDING ORDERS UNDER SECTION 3 Under sub section (1) , (2) & (3): within 6

months from the act becomes applicable to an industrial establishment the employer should submit 5 copies of the draft standing orders to the certifying officer with provision shall be made for every matter set out in the schedule which may applicable to the industry. Establishment and where model standing orders have been prescribed such as name workmen and also name of the trade union to which they belong.

Under sub section (4): And if the group of employers in the similar in industry. Establishment they may submit joint draft of standing orders under this section.

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PROCEDURE FOR APPROVAL OF STANDING ORDERSUNDER SECTION 4

Standing orders shall be certifiable under section 4 ifi. Provision is made there in for every matter set out in

the schedule which may applicable to the inddustry. Establishment

ii. The standing orders are conformity with the provisions of this act. Under section 5

Under sub section (1): On the receipt of the draft under section 3 the certifying

officer shall forward the copy to the trade union with a notice in the prescribed form requiring objections if any objection to be submitted within 15 days from the receipt of the notice.

Under sub section (2): After that certifying officer give opportunity of being

heard to employer, trade union or representatives of workmen.

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PROCEDURE FOR APPROVAL OF STANDING ORDERSUNDER SECTION 4 (CONT…)

certifying officer shall decide for any modification or addition to the draft.

After that certifying officer certify the draft standing orders and within 7 days they send copies of certified standing orders authenticated in prescribed manner to the employer ,to the trade union or other prescribed representatives of the workmen.

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3APPEALS

Under section 6 Under sub section (1):

Any employer, workmen, trade union or other prescribed representative of the workmen aggrieved by the order of the certifying officer under sub section (2) of the section 5, they may appeal within 30 days from the date on which copies are sent under sub section (3) of section 5 to appellate authority

Appellate authority’s decision shall be final and appellate authority shall give written confirmation that the standing orders either in the form of certified by certifying officer or after amending the said standing order by making modifications or addition to be certifiable under this act.

After that under sub section (2) The appellate authority shall send copies there of to the

certifying officer, to the employer and to the trade union or other prescribed representatives of the workmen within 7 days under section 6 and sub section(1), accompanied, unless it has confirmed without further modification the amendment which is certified by certifying officer, by copies of the model standing orders together with the amendments

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3MODIFICATION OF STANDING ORDERS UNDER SECTION 10

Under sub section (1), After finally Standing orders certified

under this Act shall not be liable to modification until the expiry of six months from the date on which the standing orders or the last modifications thereof came in to operation, except on agreement between the employer and the workmen or a trade union or other representative body of the workmen.

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MODIFICATION OF STANDING ORDERS UNDER SECTION 10 (CONT…) Under sub section (2): Subject to the provisions of sub-section (1), an employer

or workman or a trade union or other representative body of the workmen may apply to the Certifying Officer to have the standing orders modified, and such application shall be accompanied by five copies of the modifications proposed to be made, and where such modifications are proposed to be made by agreement between the employer and the workmen or a trade union or other representative body of the workmen, and a certified copy of that agreement shall be filed along with the application.

Under sub section (4) Nothing contained in sub-section (2) shall apply to an

industrial establishment in respect of which the appropriate Government is the Government of the State of Gujarat or the Government of the State of Maharashtra.

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3CERTIFYING OFFICERS AND APPELLATE AUTHORITIES TO HAVE POWERS OF CIVIL COURT UNDER SECTION 11

Under sub section (1) Every Certifying Officer and appellate authority

shall have all the powers of a Civil Court for the purposes of receiving evidence, administering oaths, enforcing the attendance of witnesses, and compelling the discovery and production of documents.

Under sub section (2) Clerical or arithmetical mistakes in any order

passed by a Certifying officer or appellate authority, or errors arising therein from any accidental slip or omission may be corrected at any time by that Officer or authority or the successor in office of such officer or authority, as the case may be.

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PAYMENT OF SUBSISTENCE ALLOWANCE UNDER SECTION 10A Under sub section (1) Where any workman is suspended by the employer

pending investigation or inquiry into complaints or charges of misconduct against him, the employer shall pay to such workman subsistence allowance-

i. (a) at the rate of fifty per cent of the wages which workman was entitled to immediately preceding the date of such suspension, for the first ninety days of suspension; and

ii. (b) at the rate of seventy-five per cent of such wages for the remaining period of suspension if the delay in the completion of disciplinary proceedings against such workman is not directly attributable to the conduct of such workman.

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PAYMENT OF SUBSISTENCE ALLOWANCE UNDER SECTION 10A (CONT..) Under sub section (2) If any dispute arises regarding the subsistence

allowance payable to a workman under sub-section (1), the workman or the employer concerned may refer the dispute to the Labour Court, constituted under the Industrial Disputes Act, 1947 within the local limits of whose jurisdiction the industrial establishment wherein such workman is employed is situate and the Labour Court to which the dispute is so referred shall decide the dispute , after giving the parties an opportunity of being heard, and such decision shall be final and binding on the parties

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3PENALTIES AND OFFENCES UNDER SECTION 13 Under sub section (1) An employer who fails to submit draft standing orders

as required by Section 3 or who modifies his standing orders not in accordance with Section 10, shall be punishable with fine which may extend to five thousand rupees, and in the case of a continuing offence with a further fine which may extend to two hundred rupees for every day after the first during which the offence continues.

Under sub section (2) An employer who does any act in contravention of the

standing orders finally certified under this Act for his industrial establishment shall be punishable with fine which may extend to one hundred rupees, and in the case of a continuing offence with a further fine which may extend to twenty-five rupees for every day after the first during which the offence continues.

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PENALTIES AND OFFENCES UNDER SECTION 13 (CONT..)

Under sub section (3) No prosecution for an offence punishable

under this section shall be instituted except with the previous sanction of the appropriate Government.

Under sub section (4) No Court inferior to any offence under this

section.

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