UGC NET Code 55 — Labour Laws

Comprehensive Comparison of 15 Major Acts

JRF Study Reference | Labour Welfare / HRM / Industrial Relations

Table 1: Basic Overview — Extent, Applicability & Authority

S
Y
. Applicability Administering
Act ea Extent
N (Threshold) Authority
r
o

Factories Act, 1948 Whole Factories: ≥10 State

of India workers (with Governments
19
1 power); ≥20 (Chief Inspector
48
workers (without of Factories)
power)

Minimum Wages Whole Scheduled Central & State

Act, 1948 of India employments Govts (separate
19 listed in schedules);
2
48 Schedule; both Central Govt for
organised & railways, mines,
unorganised etc.

Payment of Wages Whole Workers earning State Govts

Act, 1936 of India up to (Inspector of
₹24,000/month Factories /
19 (as amended); Payment of
3
36 factories, Wages
railways, Authority)
industrial
establishments

Payment of Bonus Whole Establishments Central & State

Act, 1965 of India with ≥20 Labour Depts
19 employees;
4
65 employees
earning
≤₹21,000/month

Payment of Whole Establishments Controlling

Gratuity Act, 1972 of India with ≥10 Authority
19 employees (once (Labour
5
72 triggered, applies Commissioner)
even if falls below
10)

6 Employees' 19 Whole Establishments EPFO (Central

S
Y
. Applicability Administering
Act ea Extent
N (Threshold) Authority
r
o

Provident Funds & of India with ≥20 Board of

Misc. Provisions (except employees in Trustees);
Act, 1952 J&K for scheduled Regional PF
52
some industries; Commissioner
provisio Voluntary for <20
ns)

Employees' State Whole Non-seasonal ESIC

Insurance Act, of India factories/establis (Employees'
1948 (notified hments with ≥10 State Insurance
areas) employees (≥20 Corporation);
19 in some states); Medical Benefit
7
48 Employees Council
earning
≤₹21,000/month
(₹25,000 for
disabled)

Industrial Disputes Whole All industrial Conciliation

Act, 1947 of India establishments; Officers, Labour
specific Courts,
19
8 provisions for Industrial
47
'protected Tribunals,
workmen' National
Tribunal

Trade Unions Act, Whole All trade unions Registrar of

19
9 1926 of India of workmen and Trade Unions
26
employers (State)

Contract Labour Whole Principal Central & State

(Regulation & of India employer: ≥20 Advisory
Abolition) Act, contract workers; Boards;
1 19
1970 Contractor: ≥20 Licensing
0 70
workers Officer;
Registering
Officer

Maternity Benefit Whole Establishments State

Act, 1961 of India with ≥10 Governments;
1 19 employees (not Inspector
1 61 covered by ESI);
All women
employees

1 Child Labour 19 Whole All District

2 (Prohibition & 86 of India establishments; Magistrate;
Regulation) Act, Children <14 Labour
1986 years (complete Department
prohibition); 14–
S
Y
. Applicability Administering
Act ea Extent
N (Threshold) Authority
r
o

18 years
(adolescents –
regulated)

Equal Whole All Central & State

Remuneration Act, of India establishments; Governments;
1 1976 19 employers; for Advisory
3 76 same/similar Committee;
nature of work Authorities
appointed

Workmen's Whole All workers Commissioner

Compensation Act, of India except those for Workmen's
1 1923 (now 19 covered by ESI; Compensation
4 Employee's 23 Schedule II (District level)
Compensation Act) specifies classes
of workmen

Industrial Whole Industrial Certifying

Employment of India establishments Officer (usually
1 (Standing Orders) 19 with ≥100 Dy Labour
5 Act, 1946 46 workers (≥50 in Commissioner);
some states) Appellate
Authority

Table 2: Wages, Working Hours, Leave & Age Provisions

S
. Wages / Working Leave Min
Act
N Rates Hours Provisions Age
o

Factories Act, 1948 OT wages: 2x Adults: Annual leave Min 14

ordinary rate Max 9 with wages: 1 yrs for
hrs/day, day per 20 employ
48 days worked ment;
hrs/week; (adults); 1 day 15–18:
OT: max per 15 days Adoles
1 50 (children) cent
hrs/quart (cert
er require
d);
<14:
Prohibi
ted
S
. Wages / Working Leave Min
Act
N Rates Hours Provisions Age
o

Minimum Wages Minimum Normal — —

Act, 1948 wages fixed & working
2 revised by day: 9
Govt; OT: 2x hrs; 48
minimum rate hrs/week

Payment of Wages Timely — — —

Act, 1936 payment:
<1000 workers
→ by 7th;
≥1000 workers
3
→ by 10th of
next month;
Permissible
deductions
only

Payment of Bonus Min bonus: — — —

Act, 1965 8.33% of
salary (or
₹100,
whichever is
higher); Max
4 bonus: 20% of
salary;
Eligibility:
worked ≥30
days in
accounting
year

Payment of 15 days wages — — —

Gratuity Act, 1972 per completed
year of service;
Max: ₹20 lakh;
Eligibility: 5
5
years
continuous
service (except
death/disability
)

6 Employees' EPF: 12% of — — —

Provident Funds & basic+DA by
Misc. Provisions employee;
Act, 1952 12% by
employer
(8.33% to EPS
+ 3.67% to
S
. Wages / Working Leave Min
Act
N Rates Hours Provisions Age
o

EPF); EPS:
Pension on
retirement (58
yrs); EDLI:
Insurance
cover up to ₹7
lakh

Employees' State Employee — — —

Insurance Act, contribution:
1948 0.75% of
wages;
Employer:
7
3.25% of
wages; Govt:
1/8th of
medical benefit
cost

Industrial Disputes Retrenchment: — — —

Act, 1947 15 days wages
for each year
8
of service;
Notice pay: 1
month

Trade Unions Act, — — — Min

1926 age 15
years
9
to be a
memb
er

Contract Labour Wages paid by Same as — —

(Regulation & contractor; applicabl
Abolition) Act, Principal e to direct
1
1970 employer workers
0
responsible if
contractor
defaults

1 Maternity Benefit Full wages No night 26 weeks paid —

1 Act, 1961 during work/ardu leave for <2
maternity ous work children; 12
leave; ₹3,500 during weeks for ≥3
medical bonus pregnanc children; 12
(if no prenatal y weeks for
care provided) adoption (child
<3 months); 6
weeks for
S
. Wages / Working Leave Min
Act
N Rates Hours Provisions Age
o

miscarriage/M
TP

Child Labour — Adolesce — Absolu

(Prohibition & nts (14– te
Regulation) Act, 18): Max prohibit
1986 6 hrs/day; ion
No night <14
work (7 yrs;
PM–8 Adoles
1 AM); No cents
2 OT (14–
18)
allowe
d in
non-
hazard
ous
work

Equal Equal — — —
Remuneration Act, remuneration
1976 to men and
1 women for
3 same/similar
work; No
discrimination
in recruitment

1 Workmen's Death: 50% of — — —

4 Compensation Act, monthly wages
1923 (now × Relevant
Employee's Factor (min
Compensation Act) ₹1.20 lakh);
Permanent
Total
Disablement:
60% of
monthly wages
× Relevant
Factor (min
₹1.40 lakh);
Permanent
Partial:
proportionate;
Temporary:
25% of
monthly wages
for max 5
S
. Wages / Working Leave Min
Act
N Rates Hours Provisions Age
o

years

Industrial — — — —
1 Employment
5 (Standing Orders)
Act, 1946

Table 3: Health, Safety & Welfare Provisions

S
. Health Safety Welfare
Act
N Provisions Provisions Provisions
o

Factories Act, 1948 Cleanliness, Fencing of Washing facilities,

ventilation, machinery, eye first aid (≥500
lighting, protection, fire workers: ambulance
drinking water, exits, safety room), canteen
1
latrines, officers (≥1000 (≥250 workers),
spittoons workers) crèche (≥30
women), rest rooms
(≥150 workers)

Minimum Wages — — —
2
Act, 1948

Payment of Wages — — —
3
Act, 1936

Payment of Bonus — — —
4
Act, 1965

Payment of — — —
5
Gratuity Act, 1972

Employees' — — 3 schemes: EPF

Provident Funds & Scheme 1952, EPS
6
Misc. Provisions 1995, EDLI Scheme
Act, 1952 1976

7 Employees' State Medical — Dependants' benefit,

Insurance Act, benefit, funeral expenses,
1948 sickness rehabilitation
benefit (70% allowance
wages for 91
S
. Health Safety Welfare
Act
N Provisions Provisions Provisions
o

days),
maternity
(100% wages
for 26 weeks),
disablement
benefit

Industrial Disputes — — Works Committee

Act, 1947 (≥100 workers);
8 Grievance
Settlement Authority
(≥20 workers)

Trade Unions Act, — — General Fund &

1926 Political Fund
(separate); Office
9 bearers: at least
50% must be
engaged in the
industry

Contract Labour Canteen (≥100 — —

(Regulation & contract
1 Abolition) Act, workers), rest
0 1970 rooms, first
aid, drinking
water

Maternity Benefit Two nursing — Crèche facility

Act, 1961 breaks until mandatory (≥50
1
child is 15 employees); 4
1
months old crèche visits/day
allowed

Child Labour — Adolescents —

1 (Prohibition & prohibited from
2 Regulation) Act, 30 hazardous
1986 occupations

Equal — — —
1
Remuneration Act,
3
1976

Workmen's — — —
Compensation Act,
1
1923 (now
4
Employee's
Compensation Act)

1 Industrial — — Standing orders

S
. Health Safety Welfare
Act
N Provisions Provisions Provisions
o

Employment cover: classification

(Standing Orders) of workers, shift
Act, 1946 working,
attendance, leave,
5
termination,
grievance redressal,
suspension/dismiss
al procedures

Table 4: Penalties, Fines & Key Amendments

S
Penalties
. Key Amendment /
Act (Imprisonment / Fine /
N Year
Both)
o

Factories Act, 1948 Imprisonment up to 2 years Amendment 1987:

OR fine up to ₹1 lakh OR Enhanced penalties;
1
both; Repeat: ₹2 lakh fine Child Labour (P&R) Act
1986 links

Minimum Wages Imprisonment up to 6 Replaced by Code on

2 Act, 1948 months OR fine up to ₹500 Wages, 2019 (notified but
OR both implementation pending)

Payment of Wages Fine ₹1,500–₹7,500 for 2017: Digital payment

Act, 1936 delayed/illegal deductions; allowed; Ceiling raised to
3
Repeat: imprisonment up to ₹24,000/month
1 month + fine

Payment of Bonus Imprisonment up to 6 2015 Amendment:

Act, 1965 months OR fine up to Eligibility ceiling raised
4 ₹1,000 OR both from ₹10,000 to ₹21,000;
Calculation ceiling
₹3,500/month

Payment of Non-payment: imprisonment 2018: Max ceiling raised

Gratuity Act, 1972 6 months–2 years; False to ₹20 lakh; maternity
5 statement: imprisonment up leave counted for
to 6 months OR fine up to continuous service
₹10,000

6 Employees' Default in payment: 5% per 2014: EDLI coverage

Provident Funds & annum damages; Criminal: raised to ₹6 lakh (now ₹7
Misc. Provisions imprisonment up to 3 years lakh); 2020: COVID
S
Penalties
. Key Amendment /
Act (Imprisonment / Fine /
N Year
Both)
o

Act, 1952 + fine withdrawal provisions

Employees' State Non-payment: imprisonment 2010: Extended to

Insurance Act, up to 3 years + fine up to shops/establishments;
7 1948 ₹10,000; Recovery as land 2017: Maternity benefit
revenue enhanced; Wage ceiling
revised 2019

Industrial Disputes Illegal strike/lockout: Chapter VB (100+

Act, 1947 imprisonment up to 1 month workers): Prior
OR fine up to ₹1,000 OR permission for
8
both; Unfair labour practice: layoff/retrenchment/closur
up to 6 months OR ₹1,000 e; 1982 & 2010
amendments

Trade Unions Act, Acting as unregistered TU: 1947 amendment;

1926 fine up to ₹5 per day; Replaced by IR Code
9
Breach of duties by office- 2020 (pending
bearers: fine up to ₹500 implementation)

Contract Labour Employing unregistered Central Govt notified 40+

1 (Regulation & contractor: imprisonment up categories for abolition;
0 Abolition) Act, to 3 months OR fine up to State-specific
1970 ₹1,000 OR both notifications

Maternity Benefit Imprisonment up to 1 year 2017: Leave extended

1 Act, 1961 OR fine up to ₹5,000 OR from 12 to 26 weeks;
1 both Crèche mandatory; Work
from home option

Child Labour First offence: imprisonment 2016 Amendment:

(Prohibition & 6 months–2 years AND/OR Complete ban for <14;
1 Regulation) Act, fine ₹20,000–₹50,000; Adolescents category
2 1986 Repeat: imprisonment 1–3 created; Household
years exceptions removed for
hazardous

Equal Imprisonment up to 1 month Replaced by Code on

1 Remuneration Act, OR fine ₹10,000–₹20,000 Wages, 2019 (when
3 1976 OR both; Repeat: implemented)
imprisonment 2 years + fine

Workmen's Failure to maintain records: Renamed Employee's

Compensation Act, fine up to ₹5,000; Delay in Compensation Act 2010;
1 1923 (now payment: 50% penalty + Compensation limits
4 Employee's 12% interest on unpaid revised; Fatal accident
Compensation Act) amount report mandatory within 7
days

1 Industrial Non-certification: fine up to 1982 Amendment:

 S
Penalties
. Key Amendment /
Act (Imprisonment / Fine /
N Year
Both)
o

Employment ₹500/day; Breach of Grievance redressal

(Standing Orders) standing order: fine up to procedure added; Model
5
Act, 1946 ₹100 (first offence), ₹200 Standing Orders for
(subsequent) different industries

Table 5: Threshold Numbers at a Glance

★ These 'trigger' numbers are the most frequently tested in UGC NET. Memorise these!

Act / Provision Threshold / Trigger Number

Factories Act, 1948 10 (with power) / 20 (without

power)

EPF & MP Act, 1952 20 employees

ESI Act, 1948 10 employees (factories & notified

establishments)

Payment of Bonus Act, 1965 20 employees; earns

≤₹21,000/month

Payment of Gratuity Act, 1972 10 employees

Contract Labour Act, 1970 20 contract workers (principal

employer + contractor both)

Maternity Benefit Act, 1961 10 employees

Industrial Disputes Act, 1947 100 workers for Chapter VB

(layoff/retrenchment/closure
permission)

Industrial Employment (Standing Orders) Act,

100 workers (50 in some states)
1946

Works Committee (ID Act) 100 workers

Safety Officer (Factories Act) 1000 workers

Canteen (Factories Act) 250 workers

Crèche (Factories Act) 30 women workers

Crèche (Maternity Benefit Act 2017) 50 employees

 Act / Provision Threshold / Trigger Number

First Aid Box (Factories Act) Every factory; Ambulance room

≥500 workers

Table 6: Key Numerical Facts & Limits (Most Exam-Tested)

★ Percentages, days, rupee amounts — these are direct MCQ sources. Revise daily!

Key Numerical Fact Value / Limit

Factories Act: Max working hours/week 48 hours

Factories Act: Max OT per quarter 50 hours

Factories Act: OT wages rate 2× ordinary wages

Factories Act: Annual leave (adult) 1 day per 20 days worked

Factories Act: Annual leave (child) 1 day per 15 days worked

Minimum Wages Act: Max imprisonment 6 months

Payment of Wages: Wage payment date (≥1000

By 10th of next month
workers)

Payment of Wages: Wage payment date (<1000

By 7th of next month
workers)

Payment of Bonus: Minimum bonus 8.33%

Payment of Bonus: Maximum bonus 20%

Payment of Bonus: Eligibility (days worked) 30 days

Payment of Bonus: Employee eligibility ceiling ₹21,000/month

Payment of Gratuity: Formula 15 days wages × years of

service

Payment of Gratuity: Maximum ceiling ₹20 lakh

Payment of Gratuity: Minimum service 5 years (continuous)

EPF: Employee contribution 12% of basic + DA

EPF: Employer contribution to EPF 3.67%

EPF: Employer contribution to EPS 8.33%

EDLI: Max insurance cover ₹7 lakh

 Key Numerical Fact Value / Limit

ESI: Employee contribution 0.75% of wages

ESI: Employer contribution 3.25% of wages

ESI: Wage ceiling ₹21,000/month (₹25,000 for

disabled)

ESI: Sickness benefit duration 91 days (at 70% wages)

ESI: Maternity benefit 100% wages for 26 weeks

ID Act: Retrenchment compensation 15 days wages per year of

service

WC Act: Death compensation (min) ₹1.20 lakh

WC Act: PTD compensation (min) ₹1.40 lakh

WC Act: Temporary disablement 25% of wages for max 5

years

Child Labour Act: Fine (first offence) ₹20,000 to ₹50,000

Child Labour Act: Max working hours (adolescents) 6 hours/day

Trade Unions Act: Min members to register 7 members

Maternity Benefit: Leave (<2 children) 26 weeks

Maternity Benefit: Leave (≥3 children) 12 weeks

Maternity Benefit: Leave on adoption 12 weeks

Maternity Benefit: Medical bonus ₹3,500

Maternity Benefit: Nursing breaks 2 breaks until child is 15

months

Equal Remuneration: Fine ₹10,000 to ₹20,000

Table 7: Memory Tricks & Quick Formulas per Act

S
.
Act Key Memory Trick / Formula
N
o

1 Factories Act, 1948 F-48: Factories, Forty-eight hrs/week, First aid @500

2 Minimum Wages MW-48: Minimum Wages, Max 6 months jail

S
.
Act Key Memory Trick / Formula
N
o

Act, 1948

Payment of Wages PW-36: Pay by 7th/10th; ₹24K ceiling

3
Act, 1936

Payment of Bonus Bonus: 8.33% min – 20% max; ₹21K ceiling; 30 days
4
Act, 1965 eligibility

Payment of Gratuity: 15 days × years; ₹20L max; 5 yrs service; @10

5
Gratuity Act, 1972 employees

Employees' EPF: 12+12%; 20 employees; 3 schemes:

Provident Funds & EPF+EPS+EDLI
6
Misc. Provisions
Act, 1952

Employees' State ESI: 0.75% employee + 3.25% employer; ₹21K ceiling;

7 Insurance Act, 10 employees
1948

Industrial Disputes ID-47: 100+ workers need govt permission; 15 days

8
Act, 1947 retrenchment; Conciliation→Arbitration→Adjudication

Trade Unions Act, TU-1926: Min 7 members to register; 15 yrs age; 50%
9
1926 insiders rule

Contract Labour CL-70: 20 workers trigger; Contractor license + Principal

1 (Regulation & employer registration
0 Abolition) Act,
1970

1 Maternity Benefit MB-61: 26 weeks (<2 kids); 12 weeks (≥3 kids); Crèche
1 Act, 1961 @50 employees; ₹3500 medical bonus

Child Labour CL-86: <14 completely banned; 14–18 adolescents; 6 hrs

1 (Prohibition & max; ₹20K–₹50K fine
2 Regulation) Act,
1986

Equal ERA-76: Equal pay for equal work; No gender

1
Remuneration Act, discrimination; ₹10K–₹20K fine
3
1976

Workmen's WC-1923: Death→50%×RF (min ₹1.2L); PTD→60%×RF

Compensation Act, (min ₹1.4L); Temp→25% for 5 yrs
1
1923 (now
4
Employee's
Compensation Act)

1 Industrial IESO-46: 100 employees; Submit SOs within 6 months of

5 Employment starting; Certifying Officer approves
S
.
Act Key Memory Trick / Formula
N
o

(Standing Orders)
Act, 1946

Note: The Labour Codes (Wages, Industrial Relations, Social Security, Occupational Safety) 2019–2020 subsume many of these Acts but are yet to be fully notified/implemented. For UGC NET exams, both old Acts and new Codes may be tested.