Labour Reforms

8/22/2019 Labour Reforms

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Presented ByPresented By

Sanjay TripathiSanjay TripathiKavitha SurendranKavitha Surendran

Abhijit Kashid.Abhijit Kashid.

Labour Reforms In IndiaLabour Reforms In India


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Table of Contents

Introduction.

Need For Labour Reforms.

Industrial Relations & Labour Unrest.

Possible Reasons For Labour Unrest.

Way Forward For Reforms.

Conclusion.


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Introduction Labour Reforms in India

Who does labour mean?


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Introduction

Labor Reforms

It essentially means steps taken to increase production,

productivity and employment opportunities in the

economy while protecting overall interest of labor.


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Introduction

What is Labour Policy in India?

Indias Labour Policy is mainly based on Labour Laws.

What are Indian Labour Laws?

National Laws: 511) Labour laws enacted by the Central Govt, where the Central Govt has the sole

responsibility for enforcement.

2) Labour laws enacted by Central Govt and enforced both by Central and State Govt.

3) Labour laws enacted by Central Govt and enforced by the State Govt.

State Level Laws: about 50

4) Labour laws enacted and enforced by the various State Governments which apply

to respective States.


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Introduction

Relative Regulations and Rigidity in Labour LawsPractice required by law India China United States

Minimum wage (US$/month) 29.9 182.5 1242.6Standard work day 9 hours 8 hours 8 hours

Minimum rest while at work 30 minutes per 5 hour None None

Maximum overtime limit 200 hours per year 1 hour per day None

Premium pay for overtime 100% 50% 50%

Dismissal due to redundancy allowed?Yes, if approved by

government

Yes, without approval of

government

Yes, without approval of

government

Government approval required for 1 person

dismissalYes No No

Government approval required for 9 person

dismissalYes No No

Government approval for redundancy

dismissal granted RarelyNot applicable Not applicable

Dismissal priority rules regulated Yes Yes No

Severance pay for redundancy dismissal of

employee with 1 year tenure2.1 week salary 4.3 week salary None

Severance pay for redundancy dismissal of

employee with 5 year tenure10.7 week salary 21.7 week salary None


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Need For Labour Reforms

Multiple & Parallel Labour Legislation Issues Relating to Appropriate Govt. & Jurisdiction

Minimum Wages

Inspector Raj

Industrial Dispute Act 1947

Contract Labour (Regulation & Abolition) Act 1970 Labour Standard & Size Of Establishment

Labour Laws & The Unorganized Sector


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Industrial Relations & Labour Unrest

Industrial Relations & Labour Unrest:

Honda Motorcycle and Scooter India , Gugaon.

Maruti Suzuki India Ltd, Manesar.

Industrial Relations are inherent in an industrial life:

Objectives of Industrial Relations:


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Possible Reasons For Labour Unrest

Monitory

Wages / Bonus / incentives / Rewards

Political

Multiple Union Structure / Internal Leadership issues / Inter- Union Rivalry.

Legal

Labour Law / Recruitment & Promotion Policies

Job Specific

Job Security / Working Hours / Job Satisfaction Working Conditions.

Others

Communication Gap / Indiscipline / lack of Trust.


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Fishbone Diagram For Root cause Analysis


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Way Forward For Reforms

Stake Holders In Reforms.

Trade Union

Employer

Political parties

Government .

Other Recommendations.

Change In Mind Set. Educating the work

Force.

Float the Idea. Invest in the future.

Improvement In Current Legislations.

Industrial Dispute Act 1947.

Contract Labour Act 1970.

Social Security Net.


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Conclusion

Labour Market Flexibility To be Accompanied by Insurance &Social Security to the Vast Unorganized Labour Force

Govt. Should make all the possible efforts to dispel the fears of

Trade Unions.

Target For Win-Win Outcome.( Employee & Employer Are Two

Faces Of same Coin ) Political Leaders should look beyond their narrow interest.


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THANK YOU

Labour Reforms

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