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Questions and Answers over the interview with Union Minister Bhupender Yadav on pendency of implementing the labour codes

 

Contents News/Article Date: 2nd January 2024 

Relating to which Act: All the 4 Labour Codes       

Penalty under the Act:

Code on Wages

Code On Wages Before After
Fine Imprisonment Fine Imprisonment
The Payment Of Wages Act, 1936 Min: INR 1,500 Max: INR 20,000
 Max: INR 7,500
The Payment Of Wages Act, 1948 Min: INR 500 Upto 6 months Max: INR 50,000
The Payment Of Wages Act, 1965 Min: INR 1,000 Upto 6 months Max: INR 20,000
The Payment Of Wages Act, 1976 Min: INR 10,000 1-3months Max: INR 20,000
 Max: INR 20,000

 

Code on Social Security, 2020

Code On Wages Before After
  Fine Imprisonment Fine Imprisonment
Employee’s Compensation Act, 1923 Max: INR 5,000 Max: INR 50,000
Employees’ State Insurance Act, 1948 Min: INR 4,000 1-3 years Min: INR 50,000 1-3 years
 Max: INR 10,000  Max: INR 1,00,000
The Employees’ provident Funds and Miscellaneous provisions Act, 1952 Max: INR 4,000 Upto 1 year Min: INR 50,000 1-3 years
 Max: INR 1,00,000
The Maternity Benefit Act ,1961 Max: INR 5,000 Upto 1 year Max: INR 50,000 Upto 6 months
The Payment of Gratuity Act, 1972 Min: INR 10,000 3 months – 1 year Max: INR 50,000 Upto 1 year
 Max: INR 20,000
The Building and Other Construction Workers Welfare Cess Act, 1996 Min: INR 50,000 1-3 year
 Max: INR 1,00,000
The Employment Exchanges (Compulsory Notification of Vacancies) Act, 1959 Min: INR 500 Max: INR 50,000
 Max: INR 1,000

 

 

The Occupational Safety, Health and Working Conditions Code, 2020

The Occupational Safety, Health and Working Conditions Code, 2020 Before After
  Fine Imprisonment Fine Imprisonment
The Factories Act, 1948 (Factories Act Max: INR 1,00,000 Upto 2 months Min: INR 5,00,000 Upto 2 years
The Mines Act, 1952 (Mines Act) Max: INR 1,000 Upto 3 months Min: INR 5,00,000 Upto 2 years
The Dock Workers (Safety, Health and Welfare) Act, 1986 Max: INR 500 Upto 6 months Min: INR 5,00,000 Upto 2 years

 

The Occupational Safety, Health and Working Conditions Code, 2020 Before After
  Fine Imprisonment Fine Imprisonment
The Building and Other Construction Workers (Regulation of Employment and Conditions of Service) Act, 1996 (BOCW Act) Max: INR 2,000 Upto 3 months Min: INR 2,00,000
 Max: INR 3,00,000
The Contract Labour (Regulation and Abolition) Act, 1970 (CLRA) Max: INR 1,000 Upto 3 months Min: INR 2,00,000
 Max: INR 3,00,000
The Inter-State Migrant Workmen (Regulation of Employment and Conditions of Service) Act, 1979 (ISMW Act) Max: INR 1,000 Upto 1 year Min: INR 2,00,000
 Max: INR 3,00,000
Sales Promotion Employees (Condition of Service) Act, 1976 (Sales Promotion Act) Max: INR 1,000 Min: INR 50,000
 Max: INR 1,00,000

 

The Industrial Relations Code, 2020
The Industrial Relations Code, 2020 Before After
  Fine Imprisonment Fine Imprisonment
The Industrial Employment (Standing Orders) Act, 1946 Max: INR 5,000 Min: INR 50,000
 Max: INR 2,00,000
The Industrial Disputes Act, 1947 Max: INR 100 Min: INR 50,000 Upto 1 year
 Max: INR 1,00,000
The Trade Union Act, 1926 Max: INR 500 Max: INR 1,00,000

 

Applicable to which State: All the States and Establishments to be covered by the Labour codes

Type: News report

Pertains to: All the establishments and employees and workers and vendors and contractors both in formal and informal sectors 

Relevance of this news: Karma Global is in the business of HR Services, Payroll, Outsourcing and Regulatory Compliances right from its inception in 2004 and since then, has brought in a lot of efficiencies and technological upgradations with experts on its roll, to ease the hassles of Payroll Processing, Temp Staffing, On-boarding, Employee Life Cycle, Statutory, Regulatory and Payroll compliances by providing customized solutions to all its elite clients.

Karma Global has set up its offices in UK, USA, UAE, Canada and South East Asia and is fully into providing solutions for workplace issues, employment law advice, immigration and negotiation, representation in employment tribunals and involvement in leading cases, addressing HR issues in line with Labour Laws, payroll, staffing and talent acquisition.

And in the current instance: Questions and Answers over the interview with Union Minister Bhupender Yadav on pendency of implementing the labour codes.

Subject: Questions and Answers over the interview with Union Minister Bhupender Yadav on pendency of implementing the labour codes

Appended is the complete news item

 

Questions and Answers over the interview with Union Minister Bhupender Yadav

 The labour codes have been delayed beyond expectations. By when could these be implemented?

 In 2019 and 2020, 29 central labour laws were amalgamated, rationalised and simplified into four labour codes, viz, the Code on Wages, 2019; the Industrial Relations Code, 2020; the Code on Social Security, 2020; and the Occupational Safety, Health & Working Conditions Code, 2020.

The Centre has already pre-published the draft rules for all four codes. Since labour is a concurrent subject, now the states must frame regulations on their part for the labour codes to be rolled out. Almost all states have prepared draft rules on the four labour codes. A few states are still in the process of firming up draft rules and I am hopeful the new rules will be implemented soon.

 

Why is the objective behind the ministry launching new labour surveys?

 To distribute any welfare measure or to formulate any policy, you must first know who you are making the policy for and how many are likely to be impacted. We are focusing on the welfare of workers through evidence-based policy making and have embarked on an unprecedented data collection drive in labour. The Labour Bureau has been tasked with carrying out five major all-India surveys – All-India Survey of Migrant Workers (ASMW), All-India Survey on Domestic Workers, All-India Survey on Employment generated in Transport Sector, All-India Survey of Employment Generated by Professionals and All-India Quarterly Establishment based Employment Survey (AQEES). ASMW and AQEES have already been launched and others will be done in a phased manner. Field works have been completed and draft reports are in the final stage for the two surveys.

 

Low female labour force participation in India is a big concern. What can be done to address the issue?

The government is committed to providing a conducive environment for women to enhance their participation in the labour force. One of the biggest steps in that direction is the passage of the women’s reservation bill in Parliament. As per the Periodic Labour Force Survey, the female labour force participation rate has gone up by 13.7% in the last 15 years due to various factors, including steps being taken by the government to boost employment and women’s empowerment through various laws, policies and schemes.

 

There is a growing concern about increasing layoffs, particularly in the tech sector. What role can the government play?

Employment and retrenchment, including layoffs, are a regular phenomenon in industrial establishments. Matters relating to layoffs and retrenchment in industrial establishments are governed by the provisions of the Industrial Disputes Act, 1947, which also regulates various aspects of layoff and conditions precedent to retrenchment of workmen.

 

Is the government looking at any new policy interventions to support employment generation?

Creating meaningful employment opportunities is top priority for the government, which has been working on both employment generation and improving employability. Investments in infrastructure and productive capacity have a large multiplier impact on growth and employment. The budget of 2023-24 proposed to increase capital investment outlay steeply for the third year in a row by 33% to ₹10 lakh crore, which would be 3.3% of GDP. This substantial increase in recent years is central to the government’s efforts to enhance growth potential and job creation.

 

The PM has set a target of India becoming a developed economy by 2047. What is the government’s vision for the workforce to support this?

Through a “whole of government approach”, we are working towards making India an inclusive, strong and reliable economic powerhouse. A great emphasis is being placed on shram shakti (labour power) in achieving the aims of Amrit Kaal. And it is not just about harnessing their full potential for sustainable development but also ensuring a life of dignity for them

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