The note is made in the context of the Maharashtra Legislative Assembly Elections, 2019 which is to be held on 21/10/2019. The note is to clarify whether there is an obligation on employers to declare a holiday in there establishments on the day of elections i.e. 21/10/2019. The note has been prepared for the limited purpose of answering the General Queries with respect to declaration of Holiday on Election Day. The Circular issued by the…
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PMC Bank Fraud: Should RBI be Held Responsible?
ABSTRACT On 24th September, 2019, the Reserve Bank of India imposed strict restrictions on PMC1 after finding certain irregularities in the bank. These irregularities went unnoticed in the inspections conducted by RBI, the Apex bank vested with powers for monitoring the banking system of the country. This raises a subsequent question regarding the responsibility of RBI in such scenarios. The PMC Bank debacle is the latest and yet another proof that the Reserve Bank of…
Read MoreCURRENT STATUS OF CODE ON WAGES, 2019
Status of the Code on Wages, 2019 The Code on Wages, 2019 was introduced in Lok Sabha by the Minister of Labour, Mr. Santosh Gangwar on July 23, 2019 and passed by Lok Sabha on 30/07/2019 and Rajya Sabha on 02/08/2019. It seeks to regulate wage and bonus payments in all employments where any industry, trade, business, or manufacture is carried out. The Code replaces the following four laws: (i) the Payment of Wages Act,…
Read MoreYET ANOTHER WHIP – FOR A REASONED ORDER
CASE Central Board of Trustees vs Indore Composite Pvt. Ltd. – {2018 (8) SCC 443} RATIO In case of the absence of any application of judicial mind to the factual and legal controversy involved and without there being any discussion, appreciation, reasoning and categorical findings on the issue, a writ petition does not deserve to be upheld or reversed. BREIF FACTS OF THE CASE Appellant issued summons u/s 7A of the Employees Provident Fund and…
Read MoreEQUAL PAY FOR EQUAL WORK
An employee engaged for the same work, cannot be paid less than another, who performs the same duties and responsibilities. This was the view laid down by the Supreme Court of India in the matter of State of Punjab and Ors. vs. Jagjit Singh and Ors. The Apex Court observed that India being a Welfare State, it would be nothing but demeaning to deprive any temporary worker here of his/her right to equal pay for…
Read MoreImpleading of Immediate employers (Contractors) in proceedings under section 45A of Employees’ State Insurance Act, 1948. (“ESI Act”)
In today’s competitive world employers engaging services of contractors is very common. However, ESIC acts as recovery agents in sending the employers notice u/s 45A of the ESI Act to recover the ESI contributions. ESIC targets outsourcing of service and attempts to recover the ESI Contributions from the principal employer without impleading contractors as a party. Many a times, ESIC contributions are paid by the principal employer, but the record may not be available with…
Read MoreHeat allowance for workers during the summer months
In the midst of soaring temperatures, the union representative’s of factory workers at Renault Nissan, Chennai are demanding for heat allowance to deal with the hotter months of the summer. What is a heat allowance? Similar to a hardship allowance that people working in hostile conditions are entitled, Section 2(22) of the Employee State Insurance Act defines ‘wages’ as meaning: “All remuneration paid or payable in cash to an employee, if the terms of the…
Read MoreHow to Manage Industrial Violence Effectively
Industrial Violence is not new to the industrial scenario in India. In the 1980s violence was very common and Kerala and West Bengal were known for violent agitations by workers. The Left Governments kept supporting violence and decline of Industrial relations in India under the guise of supporting labour movements. However, the Judiciary was pro workers and the procedure for closure/lay offs was difficult, therefore even in impossible business environments closure of factory or lay…
Read MoreTaking the Leverage of Law
Introduction “There appear to be three preliminary objections which have become quite the fashion to be raised by all employers, particularly public sector corporations whenever an industrial dispute is referred to a tribunal for adjudication. One objection is that there is no industry, a second that there is no industrial dispute and the third that the workman is no workman”. This in an extract from the judgement of the Supreme Court in the matter of…
Read MoreTaking the Leverage of Law
Introduction “There appear to be three preliminary objections which have become quite the fashion to be raised by all employers, particularly public sector corporations whenever an industrial dispute is referred to a tribunal for adjudication. One objection is that there is no industry, a second that there is no industrial dispute and the third that the workman is no workman”. This in an extract from the judgement of the Supreme Court in the matter of…
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