INDIAN LABOUR LAW
These sections will introduce you to the fundamentals of labour law in india
CONDITIONS OF SERVICE
• Minimum wage requirements exist as advised by the State Governments on an ongoing basis for most categories of employment
• Discrimination is prohibited in terms of equal pay for equal work for men and women as well as within categories of workmen
• Wages are governed by negotiations between the employer and a) individual employees b) employee’s representatives on behalf of employees collectively
• Salaries can be raised based solely on performance for managers.
• This is theoretically possible for workmen as well but if a large component of a workman’s pay increase is performance based, infringement of ‘Equal Pay for Equal Work’ statutes might occur
• Non-statutory bonuses or special payments can be made without affecting future salary increases
• Geographical transfer of employees are determined by the contract of employment but are difficult to implement at worker level
• Employee working hours and rest intervals cannot exceed maximum caps but are subject to employer’s prerogative in terms of organisation in shifts or working patterns
• Leave provisions are set by the state and provide for earned leave, sick leave and casual leave entitlements, as well as rules regarding accumulation and encashment of leave
• An employee can be required to work overtime
• Overtime hours have maximum caps and the premium rate for overtime is normally twice the normal wage
• State laws also provides for weekly holidays as well as a fixed number of national and festival holidays.