Framework, Evolution and
Dimensions of Labour Policy
in India
Presented By:-
Harsha Maheshwari (06)
Jaskaran Singh (07)
Karan Bhatia (09)
Kiran (10)
02.
Evolution
Of
Labour Policy in India
Timeline
1 2 3 4 5
World War II and
Post-World The Pre-
Post
Pre-1920s War I and The-1930s Independence
Independence,
1920s 1948 Onwards
Period
Pre-1920s
The Workmen’s Breach of Contract Act 1859
1 It was considered significant legislation. This Act not only demanded fines in cases where there was a breach of employment
contracts but also allowed orders for specific performance of service.
The Factories Act of 1881
2 Only concerned with a premise with 100 or more employees, using electrical power.
The Factories Act of 1891
3 Considered 50 or more employees in the premise
Post-World War I and the 1920s
Factories Act 1922, The Mines Act 1922, This period witnessed the emergence of a modern
and The Workmen’s Compensation Act outlook with regards to the industrial relations
1923
It extended the legal status of Trade unions and
The Trade Dispute Act of 1926 provides few protections against civil and criminal
liability
It put forth various restrictions and boundaries regarding
The Trade Dispute Act the right to
of 1929 strike and conditioned on the compulsory reference of the
industrial dispute to a court of enquiry
The 1930s
Royal Commission on Labour in India in 1929
● This commission was rejected by the Indian Labour movement.
● During the 1930s, there was an advent of two conclusions from the Report of the Royal
Commission.
● Firstly, the central and provincial government introduced a few new labour legislations.
● Secondly, It gave rise to newer expectations that increased “labour” or “union” friendly
policies would further be catered in the provincial government level.
The 1930s
1 2
Trade Disputes (Conciliation) Act 1934 Industrial Dispute Act, 1938
Changes in the collective labour relations by designating a It made it legally obligatory on the part of the
Labour Officer to act as a representative of the workers by employers to
putting forth their interest and grievances. acknowledge the trade unions.
World War II and the Pre-Independence Period
The Industrial Dispute Act, The Trade Disputes
Essential Services Act 1941
1947 Act,1947
and Defence of India Rules
Bombay Industrial
Relations Act, 1946 Industrial Employment Factories Act 1948 and
(Standing Orders) Act,1946 Minimum Wage Act 1948
1 2 3
Post- Employees’ State
Plantations
Employees’ Provident
Fund act &
Insurance Act
Independence, 1948
Labour Act 1951 Miscellaneous
Provisions Act 1952
1948 Onwards Helped in enabling workers to access provided welfare procedures legislations in relation to social
insurance in cases of health sickness, for employment industries security
maternity, any injury or death. of rubber and tea plantations
4 5
Amendment of the Industrial
Industrial Disputes
Disputes Act of (Amendment) Act
1947 of 1982
Outlawed various practices of the unions, mentioned certain
workers, employers which were in any behaviours of both employer
way designed to disrupt the legalised and unions
method of dispute settlement
India’s Recent Developments and Reforms
National International
Role of Labour
Child Labour
Code on Wage Rights
Specified Labour Laws
Bill, 2017 (Wage Operations
Laws Rules, 2017
Code)
Dimensions of Labour
Policy
Employm
Industrial ent
harmony
Wages
Labor
Welfare
Working
Conditions
Social
Security
(i) The individual workers are economically weak. They cannot bargain with the employers
for the protection of their rights and even for subsistence wages. As such legislation for
protection of labour against long hours of work, unhygienic working conditions, low wages
and exploitation is needed.
(ii) In order to increase the bargaining power of labour, legislation is necessary to encourage
the formation of trade unions.
(iii) In order to avoid industrial disputes which lead to strikes and lockouts, labour legislation
is needed.
(iv) The workers are exposed to certain risks in factories, mines and other establishments.
As such in order to make provision for their health, safety and welfare, legislation is needed.
(v) To protect children and women from taking to work under hazardous conditions and at
odd hours and in hazardous process, laws are necessary.
Industrial harmony
Economic progress is bound up with industrial harmony for the simple reason that industrial
harmony inevitably leads to more cooperation between employers and employees, which
results in more productivity and thereby contributes to all round prosperity of the country.
Healthy industrial relations, on which industrial harmony is founded, cannot therefore, be
regarded, as a matter in which only the employers and employees are concerned; it is of
vital significance to the community as a whole.
That is how the concept of industrial harmony involves the cooperation not only of the
employers and employees but also of the community at large. This cooperation stipulates
that employees and employers recognize that though they are fully justified in safeguarding
their respective rights and interests, they must also bear in mind the interests of the
community.
Labour Policy is based on certain fundamental
principles:
1. Social Equity:
Labour Policy based on social equity fixes a definite standard for adoption for the future, taking into
consideration the events and circumstances of the past and the present. But with the change of
circumstances and ideas there may be a need for the change in the law. This power of changing the
law is taken by the Government by making provisions for rule making powers in the Acts in regard to
certain specified matters.
2. Social Justice:
In an industrial set up, social justice means an equitable distribution of profits
and benefits accruing from industry between industrialists and workers and
affording protection to the workers against harmful effect to their health, safety
and morality.
3. International Uniformity:
International uniformity is another principle on which labour laws are based.
The important role played the International Labour Organization (I.L.O) is
praiseworthy. The main aims of the I.L.O. are to remove injustice, hardship and
privation of large masses of toiling people all over the world and to improve
their living and working conditions and thus establish universal and lasting
peace based upon social justice.
Objectives of Labour Policy
The object of Labour Policy, is two-fold namely:
(i) To improve the service conditions of industrial labour so as to
provide for them the ordinary amenities of life.
(ii) To bring about industrial peace which could in its turn
accelerate productive activity of the country resulting in its
prosperity
Key Aspects of the Labour Policy
Job protection and employment creation
Extending legal protection to the unorganized sector
Upholding international labour standards in enforcing the labour legislation
Propelling an improvement in the living standards, linking wages to productivity
Reforming labour laws based on political consensus among different stakeholders
Key Aspects of the Labour Policy
Workers’ participation in the management of the enterprise at all levels
Vocational training and skills development
Industrial sickness and attendant problems
Trade union recognition
Social security benefits, including pension, occupational health and safety, etc.
Rights that must be accrued to every Worker
Prohibition of child labour
Right against discrimination
Humane conditions of work
Protection of wages including right to guaranteed wages
Rights that must be accrued to every Worker
Right to form and organize trade unions
Right to collective bargaining
Right to social security
Right to redress of grievances