Parliament Clears Three Codes To Reform Indian Labour Laws [Read Bills]

The Rajya Sabha today passed three Labour codes namely: Occupational Safety, Health & Working Conditions Code, 2020The Industrial Relations Code, 2020The Code on Social Security, 2020 These Bills were introduced by Labour Minister Santosh Kumar Gangwar. They were passed in the Lok Sabha yesterday. The three codes are part of the four codes that consolidate 29 central labour laws. In 2019, the Code on Wages was passed. These three Bills relax labour laws to ease operational requirements for the Industries while introducing social security for all workers, including inter-state migrants and unorganized workers. In Lok Sabha, Congress leaders Manish Tewari and Shashi Tharoor opposed the introduction of these Bills. They pointed out that whereas the 2019 Bills were published for public consultations, the Government withdrew the 2019 Bills and moved the "fundamentally changed" 2020 Bills, without further consultations. They said that the Codes were a "blow" to the rights of workers as there were no safeguards to protect the unorganised sector workers. Tharoor also said that the bills were discriminatory since there was no specific provision on women's welfare. With respect to the industrial relations code, he said it severely restricts the right of workers to strike and also allows state or central governments to amend the threshold for applicability relating to layoffs and retrenchment. Clarifying this aspect, Gangwar said that the right to strike has not been withdrawn. Rather, he said, "The provision of 14 days' notice prior to strike is intended to enable employees and employers reconcile during this period." 1. Code on Occupational Safety, Health and Working Conditions The Bill empowers the state government to exempt any new factory from the provisions of the Code in order to create more economic activity and employment. Factory The Bill defines factory as any premises where manufacturing process is carried out and it employs more than: (i) 20 workers for premises where the manufacturing process is carried out using power, and (ii) 40 workers for premises where it is carried out without using power. Factories includes mines. [Earlier the threshold was 10 and 20 respectively.] Establishments engaged in hazardous activity The Bill defines an establishment as a place where any hazardous activity is carried out regardless of the number of workers. [Earlier there was a threshold of 10 or more workers.] Contract workers The Bill applies to will apply to establishments or contractors employing 50 or more workers (on any day in the last one year). [Earlier the limit was 20 or more contract workers.] It prohibits employment of contract labour in core activities, except where: (i) the normal functioning of the establishment is such that the activity is ordinarily done through contractor, (ii) the activities are such that they do not require full time workers for the major portion of the day, or (iii) there is a sudden increase in the volume work in the core activity which needs to be completed in a specified time. [The appropriate government will decide whether an activity of the establishment is a core activity or not.] However, the Bill defines a list of non-core activities where the prohibition would not apply. This includes: sanitation workerssecurity servicesany activity of intermittent nature even if that constitutes a core activity of an establishment. Daily work hour limit 8 hours per day. Employment of women The Bill provides that women will be entitled to be employed in all establishments for all types of work (earlier they were precluded from being employed in dangerous operations). However, the employer may be required to provide adequate safeguards prior to their employment. Inter-state migrant workers and unorganized workers Inter-state migrant workers include a person who: has been recruited by an employer or contractor for working in another statemoves on his own to another state and obtains employment there Further, only those persons will be considered as inter-state migrants who are earning a maximum of Rs 18,000 per month, or such higher amount which the central government may notify. Benefits for inter-state migrant workers Option to avail the benefits of the public distribution system either in the native state or the state of employmentAvailability of benefits available under the building and other construction cess fund in the state of employmentInsurance and provident fund benefits available to other workers in the same establishment. Database for inter-state migrant workers The Bill requires the central and state governments to maintain or record the details of inter-state migrant workers in a portal. An inter-state migrant worker can register himself on the portal on the basis of self-declaration and...

Parliament Clears Three Codes To Reform Indian Labour Laws [Read Bills]

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