This article consists of two Parts i.e., Part I & Part II. You need to go through both the Parts to access complete evaluation of the article. Part I contains the followings; a basic idea of welfare schemes and Factories Act 1948, evolution of labor legislation and the purpose of it; and correlation of Constitution and Labor Laws.
1. INTRODUCTION:
Welfare means physical, mental, moral and
emotional well-being of an individual. Further, the term welfare is a relative
concept, relative in time and space. It, therefore, varies from time to time,
from region to region and from country to country. The basic purpose of employee welfare is to improve the working
class and thereby make him a happy employee and good citizen. Employee welfare
is an important part of social welfare. It involves adjustment of employee’s
work life with family life and social life.
Government
of India has passed Factories Act, 1948 to ensure a fair deal to employees and
employers regarding various welfare aspects at the workplace after
Independence. The regulation in working conditions was done by the state
Government in India in 1881. It was the time when first Factories Act passed.
Afterwards, it got amended in several time. In 1947, Government of India
introduced a bill, which becomes law after certain modifications on 1st April,
1948. The main objective of this act is to protect workers employed in the
organization. It provides minimum statutory welfare amenities for the workers
which will improve their working conditions. It came into force on the 1st day
of April, 1949.
This article tried to find out impact of
welfare schemes under Factories Act with constitutional sanction and judicial
interpretation. Labour is an important constituent which plays a crucial role
in the economic development of the nation. Gone are those days of ill-treatment
of labor and the prosecution of the rights of labor. They should be kept
satisfied to work for the organization and ultimately the nation as a whole.
Hence, it has started to expanding welfare activities for their employees. If
all those amenities are provided to the workers in a fair manner, then they
will be motivated and do more work at the workplace. It will lead to more
profitability and productivity of the organization. All the provisions under
Factories Act, 1948 are very important for the workers.
2. EVOLUTION OF LABOUR LEGISLATION IN
INDIA:
Labour legislation in India grew with the
growth of industry. In the eighteenth-century India was not only a great
agricultural country but a great manufacturing country too. The history of
labor legislation in India is interwoven with the history of British
colonialism. The industrial/labor legislations enacted by the British were
primarily intended to protect the interests of the British employers.
Considerations of British political economy was naturally paramount in shaping
some of these early laws. Thus came the Factories Act. It is well known that
Indian textile goods offered stiff competition to British textiles in the
export market and hence in order to make India labor costlier the Factories
Act was first introduced in 1883 because of the pressure brought on the British
parliament by the textile magnates of Manchester and Lancashire. Thus, India
received the first stipulation of eight hours of work, the abolition of child
labor, and the restriction of women in night employment, and the introduction
of overtime wages for work beyond eight hours. While the impact of this measure
was clearly welfarist the real motivation was undoubtedly protectionist.
The earliest Indian statute to regulate
the relationship between employer and his workmen was the Trade Dispute Act,
1929. Provisions were made in this Act for restraining the rights of strike
and lock out but no machinery was provided to take care of disputes.
The original colonial legislation
underwent substantial modifications in the post-colonial era because
independent India called for a clear partnership between labor and capital.
The content of this partnership was unanimously approved in a tripartite
conference in December 1947 in which it was agreed that labor would be given a
fair wage and fair working conditions and in return capital would receive the
fullest co-operation of labor for uninterrupted production and higher
productivity as part of the strategy for national economic development and that
all concerned would observe a truce period of three years free from strikes and
lockouts. Ultimately the Industrial Disputes Act brought into force on 1947
repealing the Trade Disputes Act 1929 has since remained on statute book.
Government
of India has passed Factories Act, 1948 to ensure a
fair deal to employees and employers regarding various welfare aspects at the
workplace after Independence. The regulation in working conditions was done by
the state Government in India in 1881. It was the time when first Factories Act
passed. Afterwards, it got amended in several time. In 1947, Government of
India introduced a bill, which becomes law after certain modifications on 1st
April 1948. The main objective of this act is to protect workers employed in
the organization. It provides minimum statutory welfare amenities for the
workers which will improve their working conditions. It came into force on the
1st day of April 1949.
3. PURPOSE OF LABOUR LEGISLATION:
Labour legislation that is adapted to the
economic and social challenges of the modern world of work fulfils three
crucial roles:
1. it
establishes a legal system that facilitates productive individual and
collective employment relationships, and therefore a productive economy.
2. by
providing a framework within which employers, workers and their representatives
can interact with regard to work-related issues, it serves as an important
vehicle for achieving harmonious industrial relations based on workplace democracy.
3. it
provides a clear and constant reminder and guarantee of fundamental principles
and rights at work which have received broad social acceptance and establishes
the processes through which these principles and rights can be implemented and
enforced.
But experience shows that labor
legislation can only fulfils these functions effectively if it is responsive to
the conditions on the labor market and the needs of the parties involved. The
most efficient way of ensuring that these conditions and needs are taken fully
into account is if those concerned are closely involved in the formulation of
the legislation through processes of social 6 dialogue. The involvement of
stakeholders in this way is of great importance in developing a broad basis of
support for labor legislation and in facilitating its application within and
beyond the formal structured sectors of the economy.
4. CONSTITUTION AND LABOUR LAWS:
The goals and values proclaimed under Part
IV of the Constitution are to be effectuated consistent with the
fundamental rights enshrined in Part III of the Constitution. The
socio-economic reconstruction should not give scope to eat away the existence
and worth of man. The fundamental rights are envisaged with the overall object
of protecting individual liberty and democratic principles based on equality of
all members of society. The State in its ebullience to evolve and streamline
socio-economic reforms is bound to respect the dignity and worth of the
citizens. Without these fundamental rights, the values of life may be stifled
and annihilated. Therefore, the State cannot make laws inconsistent with the
fundamental rights. Any law that contravenes fundamental rights will be void to
the extent of inconsistency. Article 32 and 226 provide for remedy to
enforce the fundamental rights through Supreme Court and High Courts
respectively. Hence, the legislative competence of the law-making bodies is
delimited by these fundamental provisions.
Article 14
requires the State not to deny to any person equality before law or the equal
protection of the laws. Thus, discriminatory laws or unequal laws are not to be
passed to equal or uniform laws are not to be passed to unequal. In the
Industrial legislative sphere this protection extends to both the labor and the
capital. The freedom of speech and expression, freedom of assembly, right to
form associations and unions, guaranteed under Article 19(1)(a), (b) and (c)
and the prohibition against forced labor and child labor protect some of the
vital interests of the workers strengthening their hands in forming trade
unions, in staging demonstrations and in carrying on collective bargaining.
The freedom of trade and occupation
guaranteed in Article (19)(1)(g) primarily goes to the benefit of the
employer. What if a law enacted to enforce a directive principle infringes a
Fundamental Right? On this question, the judicial view has veered round from
irreconcilability to integration between the Fundamental Rights and Directive
Principles and, in some of the more recent cases, to giving primacy to the
Directive Principles. The Fundamental Rights are not an end in themselves but
are the means to an end. The end is specified in Directive Principles. On the
other hand, the goals set out in Directive Principles are to be achieved
without abrogating the Fundamental Rights. It is in this sense that Fundamental
Rights and Directive Principles together constitute the core of our
Constitution and combine to form its conscience. Anything that destroys the
balance between the two parts will ipso facto destroy an essential element of
the basic structure of our Constitution held in Minerva Mills v. Union of
India.
Mostly, Directive Principles have been
used to broaden, and to give depth to some Fundamental Rights and to imply some
more rights therefrom for the people over and above what are expressly stated
in the Fundamental Rights. Within the limits above stated and consistent with
the distribution of legislative powers, Parliament and State legislatures make
laws to regulate industrial relations and connected matters. The social
security legislations, legislations to provide for retirement benefits, against
industrial injuries, child labor, etc. are only resonating with the concept of
social justice as highlighted by International Labour Organizations., since its
inception in 1919. This has definitely shaped the industrial relations and
labor laws of this country.
5. CONSTITUTIONAL REMEDIES:
The Constitution also envisages remedy by
Supreme Court under Article 32 against violation of fundamental rights against
injuries and illegalities etc. Article 32 is itself a fundamental right. Apart
from the writ jurisdiction under Article 32, the Supreme Court is envisaged
with discretionary jurisdiction to entertain appeal by special leave under
Article 136 from decree, sentence, or order passed by any court or tribunal in
India. Similarly, High Courts are given writ jurisdiction under Article 226 and
the power of superintendence over all courts and tribunals under Article 227. A
person aggrieved by an award of the High Court can appeal to the Supreme Court
under Article 132 if any constitutional question is involved or under Article
133 in civil appeal.
Can a Trade Union move the High Court
under Article 226 to redress the fundamental rights of its members? This issue
was discussed by the Rajasthan High Court in
Jaipur Division Irrigation Employees
Union
vs.
State of Rajasthan and others, here a large number of
the employees of the irrigation department were declared surplus. The Union
challenged it in this writ petition. The Single Bench held that the petition is
not maintainable holding that the fundamental rights of the individual are not
the rights of the union. On appeal, the Division Bench reversed it and sent
back to the Single Bench for disposal of the writ petition in accordance with
the merits of the case. The traditional concept of locus standi underwent
sweeping changes in the modern age of public action and public interest
litigation held in S.P. Gupta and others vs. President of India and
others.
6. MEANING AND CONCEPT OF WORKER
AND FACTORY:
i. WORKER:
According to Factories Act, Worker means
a person employed, directly or by or through any agency (including a
contractor) with or without the knowledge of the principal employer, whether
for remuneration or not], in any manufacturing process, or in cleaning any part
of the machinery or premises used for a manufacturing process, or in any other
kind of work incidental to, or connected with, the manufacturing process, or
the subject of the manufacturing process but does not include any member of the
armed forces of the Union;
A person to be a worker within the
meaning of the Factories Act must be a person employed in the premises or the
precincts of the factory. As held by the court in the State of Uttar
Pradesh v. M. P. Singh field workers who are employed in
guiding, supervising and controlling the growth and supply of sugar cane to be
used in the factory are not employed either in the precincts of the factory or
in the premises of the factory. Hence the provisions of the Factories Act do
not apply to them stated in Rohtas Industries Ltd v. Ram lakhan Singh.
ii. FACTORY:
According to Factory Act, Factory
means any premises including the precincts thereof-
1. whereon
ten or more workers are working, or were working on any day of the preceding
twelve months, and in any part of which a manufacturing process is being
carried on with the aid of power, or is ordinarily so carried on, or
2. Whereon
twenty or more workers are working or were working on any day of the preceding
twelve months, and in any part of which a manufacturing process is being
carried on without the aid of power or is ordinarily so carried on.
The definition of factory specifically
excludes from its purview a mine subject to the operation of the Mines Act,
1952 or a mobile unit belonging to the armed forces of the Union, a railway
running shed or a hotel, restaurant or eating place.
Explanation I: For computing the number
of workers for the purposes of this clause all the workers in different groups
and relays in a day shall be taken into account.
Explanation II: For the purposes of this
clause, the mere fact that an Electronic Data Processing Unit or a Computer
Unit is installed in any premises or part thereof, shall not be construed to
make it a factory if no manufacturing process is being carried on in such
premises or part thereof.
In State of Bombay
Vs.
Ardeshir
Hormosji Bhiwandiwala, it was held that the land in which
process of manufacturing salt is carried on is factory.
In Pragnarain
Vs.
Crown,
it was held that the factory means premises wherein anything is done towards
the making or finishing of an article up to the stage when it is ready to be
sold or is in a suitable condition to be put in the market.
The Factories Act,1948 consolidating and
amending the law relating to labor in Factory, was passed by the Constituent
Assemble on August 28, 1948. The Act received the assent of the Governor
General of India on 23rd September 1948 and came into force on
April 1, 1949.
i. A BRIEF HISTORY OF THE
ACT:
There has been rise of large-scale
factory or industry in India in the latter half of the nineteenth century.
Major Moore, Inspector-in-Chief of the Bombay Cotton Department, in his report
in 1872-73 first of all raised the question for the provision on the
legislation to regulate working condition in factories. The first Factories Act
was enacted in 1881. Since then the Act has been amended on many occasions. The
Factories Act, 1934 as passed replacing all previous legislations in regard to
factory. This Act is drafted in light of the recommendation of the Royal
Commission Labour. This Act has also been suitable amended time to time. The
experience of working of the Factories Act, 1934 had revealed a number of
defects and weaknesses which hampered effective administration of the Act and
the need for wholesale revision of the Act to extent its protective provisions
to the large number of smaller industrial establishments was left. Therefore,
the Factories Act, 1948 consolidating and amending the law relating to labor
in Factory, was passed by the Constituent Assemble on 1948. The Act received
the assent of the Governor General of India on 1948 and came into force on
1949.
ii.
OBJECT OF THE ACT:
The
Factories Act, 1948 was, therefore, enacted and came into force with the
objective to provide adequate compensation to the affected persons. The Act
extends to the whole of India and persons employed in factories, mines,
plantation, construction, mechanically propelled vehicles and in some hazardous
occupations are covered under the provisions of the Act. It is an Act to
consolidate and amend the law regulating labour in factories (Preamble of the
Act). The main object of the Factories Act, 1948 is to ensure adequate safety
measures and to promote the health and welfare of the workers employed in
factories.
In
the case of Ravi Shankar Sharma v. State of Rajasthan, AIR 1993 Raj. 117,
Court held that Factories Act is a social legislation and it provides for the
health, safety, welfare and other aspects of the workers in the factories. In
short, the Act is meant to provide protection to the workers from being
exploited by the greedy business establishments and it also provides for the
improvement of working conditions within the factory premises.
In
Bhikusa Yamasa Kshatriya (P.) Ltd.
v. UOI, the court observed that the Act has been enacted primarily with the object of protecting workers employed in factories against industrial and occupational hazards. For that purpose, it seeks to impose upon the owner or the occupier certain obligations to protect the workers and to secure for them employment in conditions conducive to their health and safety.
iii.
APPLICABILITY OF THE ACT:
- 1. It extends to the whole of India w.e.f. the 1st day of April, 1949.
- 2. It applies to factories as defined under the Act. Applicable to all factories using power and employing 10 or more workers, and if not using power, employing 20 or more workers on any day of the preceding 12 months. But it does not include a mine subject to the operation of the Mines Act, 1952 or a mobile 56 PP-LL&P unit belonging to the armed forces of the Union, a railway running shed or a hotel, restaurant or eating place.
- 3. The benefits of this Act are available to persons who are employed in the factory and be covered within the meaning of the term “worker” as defined in the Act. But the definition of worker excludes any member of the armed forces of the Union.
TO BE CONTINUED ................ PART - II
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