Intellectual Property Rights

UNIT 2 LABOUR LAWS (INDIAN AND

INTERNATIONAL)

Structure
2.0 Introduction
2.1 Objectives
2.2 Concept of Labour Law
2.2.1 Collective Labour Law
2.2.2 Individual Labour Law
2.3 Labour Law in India
2.4 Categories of Industry/Organisation under Indian Labour Laws
2.4.1 Factory
2.4.2 Shops and Commercial Establishments
2.5 Statutory/ Legislative Regulation of Condition of Service within Indian
Organisations
2.6 Distinctive Feature of Indian Labour Laws
2.7 The Indian Labour Laws
2.7.1 List of Indian Labour Acts
2.7.2 Collective Labour Law
2.7.3 The Industrial Disputes Act (1947)
2.7.4 Trade Union Act (1926)
2.7.5 Provisions of the Factories Act (1948)
2.7.6 Mines Act (1952)
2.7.7 Workmens Compensation Act (1923)
2.7.8 Weekly Holidays Act (1942)
2.7.9 Minimum Wages Act (1948)
2.7.10 The Payment of Bonus Act (1965)
2.7.11 The Contract Labour Act (1970)
2.7.12 Child Labour Act (1979)
2.8 Emergence of the International Labour Laws
2.9 Objectives of the International Labour Organisation (ILO)
2.10 Global Instruments of International Labour Law
2.10.1 ILO Conventions
2.10.2 Core Conventions
2.11 Examples of Global Instruments
2.11.1 United Nations Instruments
2.11.2 European Instruments
2.11.3 African Instruments
2.12 Let Us Sum Up
2.13 Unit End Questions
2.14 Suggested Readings

2.0 INTRODUCTION
Constitutions of all nations formulate, amend and propagate different acts and
laws, in order to have a proper, systematic and well disciplined functioning of all
21
Human Resource Laws systems. As a unit of human resource in organisational behaviour, this unit will
discuss about the various laws which have been constituted for welfare and
protection of labour in organisations. The unit will depict how the government
of India as well as other nations tries to prevent the exploitation of labour with
the help of certain acts and amendments.

2.1 OBJECTIVES
On completing this unit, you will be able to:
• Define labour laws;
• Elucidate the concept of labour laws;
• Explain the various labour laws of India;
• Delineate the distinctive feature of Indian labour laws;
• Describe the emergence of international labour laws; and
• Delineate the convention of International Labour Organisation.

2.2 CONCEPT OF LABOUR LAW

Law can be defined as a complete system of rules that every individual of a
country/ institution/organisation/community/workplace must obey. Violation of
laws may lead to a criminal offence. In order to protect the interest and rights of
labour work force, the government formulates and keeps on amending the labour
laws. Basically, labour law consists of a collection of laws, administrative rules
and precedents which reflect or explains the legal rights as well as legal restrictions
on the work force and their organisations. It differentiates as well as creates links
between the employers, employees as well as trade unions.

In several countries like, Canada, the laws of employment at unionised workplaces

are differentiated ( that is, they are different) from those related to particular
individuals. Whereas, in several countries, no such distinction is made. The labour
laws can be broadly classified in to the following two major categories.

2.2.1 Collective Labour Law

The collective labour law contains the laws related to the tripartite relationship
between employee, employer and the trade union. It shows all the rules and
restrictions which should be followed to resolve any issues or problems which
exists, or appears to exist between the three major bodies (employee, employer
and the trade union) of the organisation.

2.2.2 Individual Labour Law

The individual labour law is more concerned about the rights of an individual
employes at his or her workplace. It also shows the standard conditions for the
contract or agreement that will be agreed upon by the employee and the employer.

The laws for protecting the rights of the labour has activly been the result of the
labour movements that has occurred in the 19th and the 20th centuries. Labour
rights have been integral to the social and economic development since the
industrial revolution.
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 Labour Laws (Indian and
2.3 LABOUR LAW IN INDIA International)

Since long time, India has also been active in implementing and amending acts
and laws for the workforce of the organisations in India. Approximately, there
are over fifty national laws and many more state level laws.

Our country, India equally ensures that the rights of workers within the
organisations of the country are higly protected. In one of the case, also known
as Uttam Nakate case,the Bombay High Court held that dismissing an employee
for repeated sleeping on the factory floor was illegal, a decision which was
overturned by the Supreme Court of India.

Moreover, it took two decades to complete the legal process (Source: Wikipedia,
the free encyclopedia).

The labour laws in India also highlights the importance of a better labour
ecosystem with the help of better education and training, infrastructure,
governance and the legal/regulatory structure and so on.

2.4 CATEGORIES OF INDUSTRY/ORGANISATION

UNDER INDIAN LABOUR LAWS
The labour laws of India, has broadly categorised the Indian organisations in to
the following two specific categories, viz., (i) Factory and (ii) Shops and
commercial establishments. Let us take up these and discuss.

2.4.1 Factory
According to the Indian labour law, factories consists of all such industrial
establishments which has employed atleast 10 or more persons and carry
manufacturing activities. The factories in India are regulated by the provisions
of the Factories Act, 1948 (the said Act). The act deals with the required terms
and conditions related to health, safety, welfare, working hours and leave of
workers in factories. The Factories Act, 1948 empowers the State Governments
to frame rules, so that the local conditions prevailing in the State are appropriately
reflected in the enforcement. The act of 1948 emphasises mainly on the welfare,
health and safety of workers. The act also provides the do’s and don’t’s against
use and handling of hazardous substance by the labours of the factories and also
lays down certain emergency standards and measures.

2.4.2 Shops and Commercial Establishments

The second broad category of Indian organisations, according to the Indian labour
law is the shops and commercial establishments. It refers to those entire places
where the ultimate products or goods are sold to its end users- the customers and
consumers. These outlets are regulated by Shops and Commercial Establishments
Act which are formulated at state level and differ from state to state. The acts
predominantly contains the terms and conditions related to the opening and closing
timings, leave, weekly off, time and mode of payment of wages, issuance of
appointment letter etc.

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Human Resource Laws
2.5 STATUTORY/ LEGISLATIVE REGULATION OF
CONDITION OF SERVICE WITHIN INDIAN
ORGANISATIONS
The constitution of India provides a legal provision for regulating and codifying
conditions of service of the work force within all those industrial establishment
which has employed more than 100 workmen under the provisions of Industrial
Employment Act, 1946. Under the provisions of this Act every employer of an
Industrial Establishment employing 100 or more workmen needs to precisely
define and point out the conditions of employment within the work place. Such
establishments needs to get those conditions verified and certified by the certifying
authorities provided under Section 3 of this Act. It is compulsory for the
organisations to follow those conditions throughout the term of contract of
employment.

Self Assessment Questions

Fill in the blanks
i) The labour laws of India, has broadly categorised the Indian organisations
in to ______________ and ______________ category.
ii) Approximately, there are over ______________ national laws and many
more state-level laws.
iii) ___________ refers to those entire places where the ultimate products
or goods are sold to its end users – the customers and consumers.
iv) Factories consist of all such industrial establishments which has employed
at least ________ persons and carry manufacturing activities.

2.6 DISTINCTIVE FEATURE OF INDIAN

LABOUR LAWS
A unique or distinctive feature of Indian labour law and laws of employment are
that they categorise the employees in to three main categories:

Employees of
India

Government Employees in government Private sector

employees controlled corporate bodies employees
known as Public Sector
Undertakings (PSUs)

Fig. 2.1: Categories of employees of India according to the Indian labour law and laws of
employment

24
It is the Constitution of India which governs the rules and regulations of the Labour Laws (Indian and
International)
government employees. This gives an opportunity to the government employees
to have job security, statutory (that is, legal) service contentions and a regular
increment in the salary.

Where in, the employees of the public sector are governed by their own service
regulations, which either has statutory force, in the case of statutory corporations,
or are based on statutory orders.

Distinctively, in the private sector, employees can be classified into two broad
categories namely management staff and workman. Managerial, administrative
or supervisory employees drawing a salary of Rs.1600/- or more per month are
considered management staff and there is no statutory provisions relating to their
employment and accordingly in case of managerial and supervisory staff/employee
the conditions of employment are governed by respective contracts of employment
and their services can be discharged in terms of their contract of employment.
Workmen category is covered under the provisions of the Industrial Disputes
Act.

2.7 THE INDIAN LABOUR LAWS

With an aim to protect the rights of employees, to motivate them, retain them as
well as maintain their limits in organisations or at their work place, there have
been certain formulations of certain laws. The urgency of making labour laws
came from the workers’ demand for a suitable work environment, right to organise,
and also from the demand of employers to delimit the powers of labour in order
to have a disciplined and goal oriented work force. The origin of labour rights
began from the era of the industrial revolution. These laws take care of many
features of employers, employees and the unions. The labour laws in India has
been divided in to two major categories.

2.7.1 List of Indian Labour Acts

Below in the table are given the labour laws related to Indian context. These
include laws related to industrial relations, laws related wages, laws related to
working hours and conditions of services etc., laws related to equality and
empowerment of law.

Laws related to Industrial Relations

1 The Trade Unions Act, 1926
The Trade Unions (Amendments) Act, 2001
2 The Industrial Employment (Standing Orders) Act, 1946
The Industrial Employment (Standing Orders) Rules, 1946
3 The Industrial Disputes Act, 1947

Laws related to Wages

1 The Payment of Wages Act, 1936
The Payment of Wages Rules, 1937
The Payment of Wages (AMENDMENT) Act, 2005

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Human Resource Laws
2 The Minimum Wages Act, 1948
The Minimum Wages (Central) Rules, 1950
3 The Working Journalist (Fixation of Rates of Wages) Act, 1958
Working Journalist (Conditions of service) and Miscellaneous
Provisions Rules, 1957
4 The Payment of Bonus Act, 1965
The Payment of Bonus Rules, 1975

Laws related to Working Hours, Conditions of Services and Employment

1 The Factories Act, 1948
2 The Dock Workers (Regulation of Employment) Act, 1948
3 The Plantation Labour Act, 1951
4 The Mines Act, 1952
5 The Working Journalists and other Newspaper Employees’
(Conditions of Service and Misc. Provisions) Act, 1955
The Working Journalists and other Newspaper Employees’
(Conditions of Service and Misc. Provisions) Rules, 1957
6 The Merchant Shipping Act, 1958
7 The Motor Transport Workers Act, 1961
8 The Beedi & Cigar Workers (Conditions of Employment) Act, 1966
9 The Contract Labour (Regulation & Abolition) Act, 1970
The Contract Labour Regulation Rules
10 The Sales Promotion Employees (Conditions of Service) Act, 1976
The Sales Promotion Employees (Conditions of Service) Rules, 1976
11 The Inter-State Migrant Workmen (Regulation of Employment and
Conditions of Service) Act, 1979
12 The Shops and Establishments Act
13 The Cinema Workers and Cinema Theatre Workers (Regulation of
Employment) Act, 1981
The Cinema Workers and Cinema Theatre Workers (Regulation of
Employment) Rules, 1984
The Cine Workers’ Welfare Fund Act, 1981.
14 The Dock Workers (Safety, Health & Welfare) Act, 1986
15 The Building & Other Construction Workers (Regulation of
Employment & Conditions of Service) Act, 1996
16 The Dock Workers (Regulation of Employment) (inapplicability to
Major Ports) Act, 1997

26
 Labour Laws (Indian and
Laws related to Equality and Empowerment of Women International)

1 The Maternity Benefit Act, 1961

2 The Equal Remuneration Act, 1976

Laws related to Deprived and Disadvantaged Sections of the Society

1 The Bonded Labour System (Abolition) Act, 1976
2 The Child Labour (Prohibition & Regulation) Act, 1986
3 The Children (Pledging of Labour) Act, 1933

Laws related to Social Security

1 The Workmen’s Compensation Act, 1923
The Workmen’s Compensation (Amendments) Act, 2000
2 The Employees’ State Insurance Act, 1948
3 The Employees’ Provident Fund & Miscellaneous Provisions Act, 1952
The Employees’ Provident Fund & Miscellaneous Provisions
(Amendment) Act, 1996
4 The Payment of Gratuity Act, 1972
The Payment of Gratuity Rules
5 The Unorganised Workers’ Social Security Act, 2008
The Unorganised Workers’ Social Security Rules 2008

Laws related to Labour Welfare

1 The Mica Mines Labour Welfare Fund Act, 1946

2 The Limestone & Dolomite Mines Labour Welfare Fund Act, 1972

3 The Beedi Workers Welfare Fund Act, 1976

4 The Beedi Workers Welfare Cess Act, 1976

The Beedi Worker’s Welfare Cess Act Rules, 1977

5 The Iron Ore Mines, Manganese Ore Mines & Chrome Ore Mines
Labour Welfare Fund Act, 1976

6 The Iron Ore Mines, Manganese Ore Mines & Chrome Ore Mines
Labour Welfare Cess Act, 1976

7 The Cine Workers Welfare Fund Act, 1981

8 The Cine Workers Welfare Cess Act, 1981

9 The Employment of Manual Scavengers and Construction of Dry

latrines Prohibition Act, 1993

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Human Resource Laws
Laws related to Employment and Training
1 The Employment Exchanges (Compulsory Notification of Vacancies)
Act, 1959
The Employment Exchanges (Compulsory Notification of Vacancies)
Rules, 1959
2 The Apprentices Act, 1961

Others

1 The Fatal Accidents Act, 1855

2 The War Injuries Ordinance Act, 1943

3 The Weekly Holiday Act, 1942

4 The National and Festival Holidays Act

5 The War Injuries (Compensation Insurance) Act, 1943

6 The Personal Injuries (Emergency) Provisions Act, 1962

7 The Personal Injuries (Compensation Insurance) Act, 1963

8 The Coal Mines (Conservation and Development) Act, 1974

9 The Labour Laws (Exemption from Furnishing Returns and Maintaining

Register by Certain Establishments) Act, 1988

10 The Public Liability Insurance Act, 1991

2.7.2 Collective Labour Law

The laws which maintain the link and relationship between the employers,
employees and the union are included under this category. Some of the major
collective labour laws are as follows:

2.7.3 The Industrial Disputes Act (1947)

The act of industrial disputes was constituted in 1947 in order to limit/ prevent
or restrict the unfair labour practices, by employers, workers or trade unions
through imposition of fines and imprisonment. According to the law, workers
can form or join unions of their choice. The Act says no company can fire
employees or close down without having a government approval from at least
100 workers/ employees.

An industrial dispute may be defined as a conflict or difference of opinion between

management and workers on the terms of employment. It is a disagreement
between an employer and employees’ representative; usually a trade union, over
pay and other working conditions and can result in industrial actions. When an
industrial dispute occurs, both the parties, that is the management and the
workmen, try to pressurise each other. The management may resort to lockouts
while the workers may resort to strikes, picketing or gheraos.
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As per Section 2(k) of Industrial Disputes Act,1947, an industrial dispute in Labour Laws (Indian and
International)
defined as any dispute or difference between employers and employers, or between
employers and workmen, or between workmen and which is connected with the
employment or non-employment or the terms of employment or with the
conditions of labour, of any person. This definition includes all the aspects of a
dispute. It, not only includes the disagreement between employees and employers,
but also emphasises the difference of opinion between worker and worker. The
disputes generally arise on account of poor wage structure or poor working
conditions. This disagreement or difference could be on any matter concerning
the workers individually or collectively. It must be connected with employment
or non-employment or with the conditions of labour.

From the point of view of the employer, an industrial dispute resulting in stoppage
of work means a stoppage of production. This results in increase in the average
cost of production since fixed expenses continue to be incurred. It also leads to a
fall in sales and the rate of turnover, leading to a fall in profits. The employer
may also be liable to compensate his customers with whom he may have
contracted for regular supply. Apart from the immediate economic effects, loss
of prestige and credit, alienation of the labour force, and other non-economic,
psychological and social consequences may also arise. Loss due to destruction
of property, personal injury and physical intimidation or inconvenience also arises.

For the employee, an industrial dispute entails loss of income. The regular income
by way of wages and allowance ceases, and great hardship may be caused to the
worker and his family. Employees also suffer from personal injury if they indulge
in strikes, picketing etc. The psychological and physical consequences of forced
idleness, the threat of loss of employment in case of failure to settle the dispute
advantageously, or the threat of reprisal action by employers also exists. Prolonged
stoppages of work have also an adverse effect on the national productivity, national
income. They cause wastage of national resources. Hatred may be generated
resulting in political unrest and disrupting amicable social/industrial relations or
community attitudes.

2.7.4 Trade Union Act (1926)

The act provides an opportunity to the workers to form their own unions and get
their unions registered. Further, a registered Trade Union of workmen shall at all
times continue to have not less than ten per cent or one hundred of the workmen.
2. Definitions - In this act the appropriate Government means in relation to
Trade Unions whose objects are not confined to one State, the Central
Government, and in relation to other Trade Unions State Government, and unless
there is anything repugnant in the subject or context,

a) “Executive” means the body, by whatever name called to which the

management of the affairs of a Trade Union is entrusted;

b) In the case of a Trade Union, the trade union members include any member
of the executive thereof, but does not include an auditor;

“Registered Trade Union” means a Trade Union registered under this Act;
Trade dispute means any dispute between employers and workmen or between
workmen and workmen, or between employers and employers which is connected
with the employment, or non-employment, or the terms of employment or the
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Human Resource Laws conditions of labour, of any person, and “workmen” means all persons employed
in trade or industry whether or not in the employment of the employer with
whom the trade dispute arises; and
“Trade Union” means combination, whether temporary or permanent, formed
primarily for the purpose of regulating the relations between workmen and
employers or between workmen and workmen, or between employers and
employers, or for imposing restrictive condition on the conduct of any trade or
business, and includes any federation of two or more Trade Unions;

2.7.5 Provisions of the Factories Act, (1948)

According to this act, the in order to maintain the interest and effeciency of the
employees/ workers, the employers will provide several provisions like – training
facility, occupational health center, promotional opportunities, etc., to them within
the factories/ industries.

There are three major legislations relating to occupational health and safety in
India. They are related to the health and safety of persons employed in factories,
mines and Ports.

The Factories Act 1948

For health

Ventilation and temperature Disposal of wastes

Cleanliness Dust and fumes
Artificial humidification Overcrowding
Lightening Drinking water
Latrines and urinals Spittoons

For Safety
Fencing of machinery Work on machines in motion
Cashing of new machines Protection of eyes
Hoists and lifts Self acting machinery
Excessive weights Pressure plant
Precaution against dangerous fumes Floors, stairs, means of access
Precaution in case of fire Explosives of inflammable gas
Safety ofbuilding and machinery Maintenance of buildings

For Welfare

Washing facilities Facilities for sitting

First Aid Appliances Canteens

Rest rooms and shelters Creches

Facilities for storing and drying clothing

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2.7.6 Mines Act (1952) Labour Laws (Indian and
International)
Persons employed in the coal and oil mines.
It provides the following provisions for health and safety of mine workers

Drinking water Conservancy

Medical appliances Working hours
Notice about accidents Notice of certain diseases

Dock workers (Safety, Health and Welfare ) Act, 1986. The following provisions
are made
Surfaces Fencing of dangerous places
Passage to be kept clear Railings and fences
Staging construction and maintenance Work on staging
Life saving appliances Illumination
Fire protection Excessive noise
Access between deck and hold Stairs
Floor loading Construction
Access between deck and vessel Access between shore and ship

Individual labour law

All India Organisation of Employers points out that there are more than 55 central
labour laws and over 100 state labour laws. Some of these laws are as in given
below.

2.7.7 Workmen’s Compensation Act (1923)

Other than a person whose employment is of a casual nature and who is employed
otherwise than for the purposes of the employer’s trade or business shall be
compensated with salary, bonus, leaves and holidays according to the norms of
the organisation. Workmen’s Compensation (Amendment) Bill, 2009 has been
passed by both the Houses of the Parliament. It is to take form of an Act after
getting the President’s assent.

The main recommendations of the Bill were –

• Renaming the Workmen’s Compensation Act, 1923 as the Employee’s
Compensation Act to make it gender sensitive.
• Raising the compensation paid to the workers and their family members in
case of death to Rs. 1.2 lakh from current Rs. 80,000.
• Raising the compensation for permanent disability to Rs. 1.4 lakh from
present Rs. 90,000. Also the funeral expenses were proposed to be raised to
Rs. 5,000 from Rs. 2,500.
The Bill also proposed to empower the Central Government to specify monthly
wages for the purpose of compensation and timely enhancement of the minimum
rates of compensation.
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Human Resource Laws Besides this the Bill even contained a provision for actual reimbursement of
medical expenses incurred on account of injury caused during course of
employment. There were provisions for disposal of compensation cases by
Commission within a time period of 3 months.

2.7.8 Weekly Holidays Act (1942)

An Act which was formulated for the grant of weekly holidays to persons
employed in shops, restaurants and theatres. The employees will compulsory be
given holiday within every week.

2.7.9 Minimum Wages Act (1948)

The act says that the employees should be given a minimum wage with which
they can meet the daily needs of their life.

The Minimum Wages Act, 1948 was enacted to safeguard the interests of workers,
mostly in the unorganised sector by providing for the fixation of minimum wages
in certain specified employments. It binds the employers to pay their workers
the minimum wages fixed under the Act from time to time.

Under the Act, both the Central Government and the State Governments are the
appropriate Governments to fix, revise, review and enforce the payment of
minimum wages to workers in respect of ‘scheduled employments’ under their
respective jurisdictions. There are 45 scheduled employments in the Central sphere
and as many as 1530 in State sphere.

In the Central sphere, the Act is enforced through the Central Industrial Relations
Machinery (CIRM). CIRM is an attached office of the Ministry of Labour and is
also known as the Chief Labour Commissioner (Central) [CLC(C)] Organisation.
The CIRM is headed by the Chief Labour Commissioner (Central). While, the
State Industrial Relations Machinery ensures the enforcement of the Act at the
State level.

The appropriate Government is required to appoint an Advisory Board for advising

it, generally in the matter of fixing and revising minimum rates of wages. The
Central Government appoints a Central Advisory Board for the purpose of
advising the Central and State Governments in the matters of the fixation and
revision of minimum rates of wages as well as for co-ordinating the work of
Advisory Boards.

Minimum wage and an allowance linked to the cost of living index and is to be
paid in cash, though payment of wages fully in kind or partly in kind may be
allowed in certain cases. The minimum rate of wages consists of a basic wage
and a special allowance, known as ‘Variable Dearness Allowance (VDA)’ linked
to the Consumer Price Index Number. The allowance is revised twice a year,
once in April and then in October.

Under the Minimum Wages Act, there are two methods for fixation/revision of
minimum wages, namely:
• Committee method: Under this method, committees and sub-committees
are set up by the appropriate Governments to hold enquiries and make
recommendations with regard to fixation and revision of minimum wages,
32 as the case may be.
• Notification method: Under this method, Government proposals are Labour Laws (Indian and
International)
published in the Official Gazette for information of the persons likely to be
affected thereby and specify a date not less than two months from the date
of the notification on which the proposals will be taken into consideration.

2.7.10 The Payment of Bonus Act (1965)

According to this Act, the workers in any industry for any skilled or unskilled
labour, including manual, supervisory, managerial, administrative, technical or
clerical should receive yearly bonus.

2.7.11 The Contract Labour Act (1970)

The act prohibits companies from hiring temporary workers. Women are not
permitted to work night shifts.

2.7.12 Child Labour Act (1979)

The child labour laws got an existence since 1979. The laws made it illegal for a
child to work in hazardous industries, like factories with heavy and dangerous
machinery.

Self Assessment Questions

State whether the statements are true or false:
i) The act of industrial disputes was constituted in 1947 in order to delimit
the unfair labour practices. ( )
ii) The minimum wages act says that the employees should be given a
minimum wage. ( )
iii) The employees of the public sector are governed by their own service
regulations, which has a statutory force. ( )
iv) The Contract Labour Act, 1970 encourages companies from hiring
temporary workers. ( )

2.8 EMERGENCE OF THE INTERNATIONAL

LABOUR LAWS
In the late 19th century it was realised all over the world that there should be
ways to promote international regulation of labour matters. In 1897, an
International Association for the Legal Protection of Workers was set up in Basle.
The activity of this private organisation led several governments to bring out
changes and protect the rights of workers at international level. This section of
the treaties provided for the establishment of an International Labour Organisation
in ‘Peace conference.
The international labour organisation was proposed to hold meetings and
conferences from time to time and would be attended by its member countries.
Since then, the International Labour Conference has met regularly in general
once a year, except during the Second World War.
The most important entity which takes care of such protection of rights and laws
of labour at an international level is – the ‘International Labour Organisation’
(ILO). 33
Human Resource Laws
2.9 OBJECTIVES OF THE INTERNATIONAL
LABOUR ORGANISATION (ILO)
In order to maintain the values and principles, the ILO has formulated the
following objectives:
• It aims at providing full employment and raising of the standards of living
of the employees.
• With the help of formulating the laws, the ILO facilitates training policies
in regard to wages, hours of work and other conditions of work the effective
recognition of the right of collective bargaining.
• It aims at enhancing the cooperation of management and labour in the
continuous improvement of productive efficiency, and
• With the help of the collabouration between the workers and employer in
the preparation and application of social and economic measures, it aims to
provide basic income to all.
• It tries to prevent international competition from taking place to the
disadvantage of workers.
• It purports to provide social justice to all labours.

2.10 GLOBAL INSTRUMENTS OF

INTERNATIONAL LABOUR LAW
ILO has constituted several objectives, numerous conventions and
recommendations in order to maintain the efficiency of workers. While the
Constitution of the ILO mainly contains provisions relating to the functioning of
the organisation, it also lays down a number of general principles which have
come to be regarded in certain respects as a direct source of law.

Such principles are contained in the Preamble of the Constitution and in the
Declaration concerning the Aims and Purposes of the Organisation, adopted by
the Conference in Philadelphia in 1944 and incorporated in the ILO Constitution
in 1946.

2.10.1 ILO Conventions

Conventions are instruments designed to create international obligations for the
states. In addition to its Conventions, the ILO has adopted a number of
Recommendations, which are different from the point of view of their legal
character. Recommendations do not create obligations, but rather provide
guidelines for action.

Conventions have a number of specific features

Conventions are adopted within an institutional framework.
The conventions of ILO are such that they do not require type of diplomatic
negotiation which is usual in the case of treaties. They are rather prepared in
discussions in an assembly that has many points in common with parliamentary
assemblies.
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The International Labour Conference, which adopts Conventions, is constituted Labour Laws (Indian and
International)
by representatives of governments, employers and workers, each delegate being
entitled to vote individually.

A two-thirds majority is sufficient for the adoption of a Convention, and

governments of the member nations should submit the Convention to their
competent authorities for further approval, i.e. as a rule to their parliaments.
Also, the governments have the obligation, when requested, to supply reports on
various issues related to Conventions.

Usually the Conventions have flexibile clauses, because they are generally directed
towards countries with very different economic, social and political conditions,
as well as different constitutional and legal systems.

2.10.2 Core Conventions

Some of core Conventions of the International Labour Organisation are as given
below:

1) Freedom of Association and Protection of the Right to Organise

Convention, 1948
The Convention provides a right to all workers and employers to form and
join organisations of their own choosing without prior authorisation, and
lays down a series of guarantees for the free functioning of organisations
without interference by the public authorities. In December 1997, 121
countries had ratified this convention.

2) Right to Organise and Collective Bargaining Convention, 1949

The Convention protects the workers and employers against acts of
interference by each other, and for measures to promote collective bargaining.
In December 1997, 137 countries had ratified this convention.

3) Abolition of Forced Labour Convention, 1957

The convention prohibits the use of any form of forced or compulsory labour
as a means of political coercion or education, punishment for the expression
of political or ideological views, workforce mobilisation, labour discipline,
punishment for participation in strikes, or discrimination. In December 1997,
130 countries had ratified this convention.

4) Discrimination (Employment and Occupation) Convention, 1958

This convention calls for a policy which will try to eliminate any kind of
discrimination in employment, training and working conditions, on grounds
of race, colour, sex, religion, political opinion, national extraction or social
origin and to promote equality of opportunity and treatment. In December
1997, 129 countries had ratified this convention.

5) Equal Remuneration Convention, 1951

The convention says that there will be an equal pay for men and women
performing the same or similar work. In December 1997, 135 countries had
ratified this convention.

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Human Resource Laws 6) Minimum Age Convention, 1973
This convention aims at the abolition of child labour, stipulating that the
minimum age for admission to employment shall not be less than the age of
completion of compulsory schooling, and in any case not less than 15 years
(14 for developing countries). In December 1997, 59 countries had ratified
this convention.

2.11 EXAMPLES OF GLOBAL INSTRUMENTS

The members of the ILO accept the Conventions constituted by the International
labour organisation, keeping their economic and several other conditions in view.
Following are some of the regional examples which have accepted the
Conventions of the ILO accordingly.

2.11.1 United Nations Instruments

While the United Nations does not deal with labour matters as such, and
recognises the ILO as the specialised agency responsible for taking appropriate
action for the accomplishment of the purposes set out in its Constitution, some
UN instrument of more general scope have also covered labour matters. In the
America, the North American Free Trade Area (NAFTA) has accepted the North
American Agreement on Labor Cooperation, and the Caribbean Community and
Common Market (CARICOM) has an Agreement on Social Security. However,
the instruments of the Organisation of American States (OAS) are still the main
source of international labour law in the region.

The UN General Assembly has adopted also a number of legally binding

Conventions concerning labour matters. The most important ones are:
1) The Convention on the elimination of all forms of racial discrimination
(1969)
2) The Convention on the elimination of all forms of discrimination against
women (1979)
3) The Convention on the rights of the child (1989)
4) The Convention on thethe status of the Refugees (1954)
5) The Convention on the status of the stateless persons (1960)

2.11.2 European Instruments

The most comprehensive instrument adopted by the Council of Europe is the-
‘European Social Charter’ (1961). The Charter stipulates that any State wishing
to become a Party must accept at least five basic rights – namely: the right to
work, the right to organise, the right to bargain collectively, the right to social
security, the right to social and medical assistance, the right to the social, legal
and economic protection of the family, and the right to protection and assistance
for migrant workers and their families.

The most original feature of the Charter is that it recognises the rights of workers
and employers to collective action in case of conflicts of interest, including the
right to strike, subject to obligations that might arise out of collective agreements
previously entered into and to some further restrictions.
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2.11.3 African Instruments Labour Laws (Indian and
International)
The Organisation of African Unity adopted the African Charter on Human and
Peoples’ Rights (1981) which includes the right to work under equitable and
satisfactory conditions, the right to equal pay for equal work and the right to free
association. Later on it also the African Charter on the Rights and Welfare of the
Child (1990) according to which each child will be equally protected from any
kind of economic exploitation:

Self Assessment Questions

Fill in the blanks
i) With the help of formulating the laws, the ______________facilitates
training policies in regard to wages, hours of work and other conditions
of work.
ii) Conventions are instruments designed to create ___________
obligations for the states.
iii) In the America, the _______________ has accepted the North American
Agreement on Labor Cooperation.
iv) According to the African Charter on the Rights and Welfare of the Child
(1990), _________________________________________________

2.12 LET US SUM UP

It can be summed up from the above discussion that, for the betterment of
employers as well as employees, several acts and amendments have been
formulated and constituted both at national and international level. Labour laws
try to protect the interest as well as fundamental rights of the employers and
employees.

2.13 UNIT END QUESTIONS

1) Keeping the distinctive feature of Indian labour, briefly explain the various
labour laws.
2) What do you understand by the terms – ‘individual labour law’ and ‘collective
labour law’?
3) What are the basic features of International Labour Organisation?
4) Explain the important Core Conventions of ILO. Illustrate few examples.

2.14 SUGGESTED READINGS

E. Hill, The Indian Industrial Relations System: Struggling to Address the
Dynamics of a Globalising Economy’ (2009) 51 Journal of Industrial Relations
395-410

Websites
http://www.southasiaexperts.se/pdf/Indian%20Labour%20Law%20
PDF.pdf.
http://www.worldbank.org.in/WBSITE/EXTERNAL/COUNTRIES/
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Human Resource Laws SOUTHASIAEXT/INDIAEXTN/0,,contentMDK:20195738~menu
PK:295591~pagePK:141137~piPK:141127~theSitePK:295584,00.html.
http://www.siliconindia.com/shownews/World_Bank_criticizes_India%E2%
80%99s_labour_laws_-nid-29498.html.
http://economictimes.indiatimes.com/news/news-by-industry/jobs/India-may-
boast-of-25-of-worlds-workforce-by-2025-Survey/articleshow/6075470.cms.
http://www.ccsindia.org/interns2006/How%20Wrong%20is%20left%
20about%20 ecoonimic%20reforms%20in%20India%20-%20Aditya.pdf.
http://news.indiainfo.com/2006/04/20/2004imf-labour-laws.html.
http://www.worldbank.org/html/prdph/downsize/docs/india.pdf.
http://www.state.gov/g/drl/rls/77593.htm#4.
http://atlmri.googlepages.com/RCD_MILI.pdf.
http://www.oecd.org/dataoecd/17/52/39452196.pdf.
http://news.bbc.co.uk/2/hi/south_asia/4103554.stm.
http://www.economist.com/specialreports/displayStory.cfm?story_id=12749735.
http://www.foreignaffairs.org/20060701faessay85401-p0/gurcharan-das/the-
india-model.html.
http://www.hindu.com/2005/12/10/stories/2005121011760100.htm.
http://www.ehow.com/about_6670311_labour-law-act-india.html
http://www.blurtit.com/q528407.html
http://indiacode.nic.in/fullact1.asp?tfnm=200046

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