The Regulative Labour Legislation            

The major objective of the regulative legislation is to control the relations among employees and employers and to provide for manners and methods of settling industrial disputes. Such kind of laws also controls the relationship among the workers and their trade unions, the rights & responsibility of the organisations of employer and workers and their mutual relationships.

1. The Trade Unions Act, 1926

Trade unions are initially formed to regulate the relations among workmen and employers. The Act is provided for registration of trade unions, which also includes organization of employers. Upon registration, trade unions enjoy firm protection and privileges under the law. Additionally, the Act also provides for imposing limitation on the conduct of any trade or business. Registration of a trade union is not obligatory but a registered union enjoys definite rights and privileges under the Act, it is always attractive to get a trade union registered. The Act needs that at least 50 % of the office bearers of a union should be in fact engaged or employed in the industry. A registered trade union is alike body corporate having perpetual entity under a common seal. It can achieve, hold, sell or transfer any immovable or movable property and might be party to contracts. It might be sued or can be sued in his own name. From the HR manager's point of view, it is necessary to invite registered trade unions of the unit just for collective bargaining and also compose participative forums as like works committee, etc., from their listed representative.

2. The Industrial Disputes Act, 1947

The Industrial Disputes Act, 1947 initially regulates industrial relations. The Act provides a machinery & process for settlement of industrial disputes by negotiation, without resorting to lockouts and strikes. Though, the Act is not applicable for people who employed in administrative or managerial capacity and for those who are employed in Air Force, Army and Navy, Police Services & Prison Services. The Act described industrial dispute as any difference or dispute between employer and workers or between workmen and workmen, which is associated with the employment or non-employment or the terms & conditions of employment. An uncertain list of disputes, covered under this Act is imitated below:

1.      The propriety or legality of standing orders.

2.      Dismissal or Discharge

3.      Matters pertaining to reinstatement or grant of relief for wrongful dismissal.

4.      Matters pertaining to withdrawal of any concession or privilege.

5.      Matters pertaining to lockout or strike

6.      Payment of wages, including periodicity and mode of payment.

7.      Leave and hours of work

8.      Bonus

9.      Holidays

10.  Retirement benefits

11.  Discipline

12.  Non-implementation of award, etc.

3. Industrial Employment (Standing Orders) Act, 1946

This Act needs employers to clarify conditions of employment so as to enable the workers (employed by them) to understand the policy of conduct pertaining to working hours, , attendance, holidays, , termination of employment, leave ,suspension or dismissal, misconduct, etc. The Act is valid to industrial establishments where employing 100 or more workmen. Under this Act, employer is required to submit a draft of standing orders to the certify officer for certification. Upon certification it retains the force of law and workers are required to display the text in the language of the workmen & in English prominently. Once certified, worker cannot modify the standing orders without the approval of the certifying officer. Model standing orders cover areas which are following:

1.      Basis of classification of workman -, probationers, permanent ,casual, temporary, apprentices, badlis

2.      Wage rates

3.      Information on holidays and paydays

4.      Information on working time

5.      Shift work

6.      Leave

7.       Payment of wages

8.      Attendance and late coming

9.      Termination of employment

10.  Stoppage of work

11.  Act of misconduct, which is liable for disciplinary action, etc.

Standing orders are guiding principle for HR decisions; therefore HR managers ought to know legal interpretation of standing orders.