For effectively running an organization knowledge updation & compliance of applicable Labour Laws are of utmost importance & they need to be essentially complied with especially during these challenging times for smooth functioning of the organization said Mr Ramesh.L.Soni an expert & experienced faculty from Mumbai while adressing the jam-packed Webinar on Labour Laws organized by COSIA, Vidarbha.He dealt in detail regardingthe directives issued by MHA to pay the salary and wages to employees for the Lockdown Period under “National Disaster Management Act” superseding ‘” Industrial Dispute Act” & it was challenged by a group of more than 27 industrial associations and few individuals.
The Government was given an opportunity to reply several times. Then Government took a rational view taking into consideration that when there is no cash flow and business transactions & employers can’t be forced to make payment for the Lockdown period.Ultimately MHA also withdrew the NDMA on 17th May,thus paving the way for employers and employees to come to an amicable solution and if needed with the the intervention of Labour Office. Now the question of earlier 54 days Lockdown period was also left on the mutual negotiations of employers/ employees.He also said that there is some relief offered by Central Government on PF payment during the Lockdown period.
The government announced a relief to MSME sector in statutory PF payment to those Establishments having an employment below 100 numbers, by making a contribution of 12% each on behalf of Employer and Employees for the month of March April and May which was further extended upto the period of August’20, by Government. This has a rider that more than 90 % of the employment in the establishment should be drawing a salary less than 15,000/- per month. Around 7.2 million employees and their employers out of total 120 million employment will be able to take benefit of this relief scheme. The Government also offered a relief of PF payments to rest of the establishments by reducing the same to 10% each for employers and employees for a period June, July & August. The learned speaker Ramesh L Soni, also dealt in details on regular Labour Laws.
He said that establishments having more than 20 employees in manual operative operations and those with more than 10 employees with power operation are required to register under Factories Act. Employment with less than 10 & also in trades are required to be registered under Shop and Establishment Act.
Establishments with more than 10 employees are to be registered under ESIS Act and those with more than 20 are also covered under statutory PF, Bonus, Leave with Wages, Gratuity and Maternity Leave act besides ESIS act. Establishments once registered cannot go out of this carious provision act even if their strength reduces to less than prescribed limit.
Elaborating on PF Mr Soni Said that this is applicable for an employment of more than 20, in an establishment, & voluntarily can be opted even with 2 workers but if implemented has to be continued for ever. The contribution is 12% each for employer and employee , upto a salary of 21,000/- per month , a part of that goes to pension scheme upto the age of 60 years.ESIS is applicable from the strength beyond 10 and not below to that, contribution is total 4%, employee,0.75% & employer 3,75% .All ailments of entire family of employee is covered under this scheme.The employee also gets a sick leave benifit to the extent of 70%, total salary, for an injury at work place, temporary disablement leave, compensation to permanent disability, and also compensation to temporary retrenchment.Female employee gets maternity leave also. Minimum Bonus @ 8.33% is to be paid within a period of six months at the end each financial year and an employee who has attend minimum 30 days in a financial year is eligible for bonus.In an establishment with more than 50 female workers creche facility is to be provided within a distance of 1.5 kms of work place.He also apprised about leave with wages which includes basic salary plus DA & SA for 15 days and Gratuity at the time of retirement @ 15 days per annum for the total number of years an employee has served & minimum service period has to be of 5 years.
At the outset,Chairman, COSIA Mr Mayank Shukla welcomed the speaker & participants & said that COSIA, Vidarbha Chapter has been privileged to have such a learned personality in Labour Laws to share his knowledge with the participants. Adv Ramesh Soni is an authority on the subject from Mumbai, whose name and fame itself has attracted participants from all over India to attend this seminar. He said that they are honoured with the presence of COSIAs National President Dr Khambhate and National Secretary Shri Jaywant Ninad in this Webinar.He further said that although the number of participants has crossed the maximum limit and many were in waiting, we express our regret for their inconvenience and assure to compensate by making some arrangement to provide them study material of the subject
CA Julfesh Shah,Vice Chairman COSIA said that compliance of labour laws is of utmost importance and stakeholders should be well versed with various important laws like Employees Provident Fund Act 1952 And Pension Scheme,1995.,Employee State Insurance Scheme (ESIC) ,1948,Contract Labour Act, 1970 ,Payment Of Bonus Act,1965,Payment Of Gratuity Act ,1972,The State Profession Tax Act, Minimum Wages Act ,1948.
Equal Remuneration Act ,1976,The Labour Welfare Fund, Employees Compensation Act,1923,Payment Of Wages Act ,1936,Shops And Establishment Act. Maternity Benefit Act ,1961, Factories Act ,1948.He said that participants will be immensely benefited by this exclusive webinar.Mr Pranav Ambaselkar co-ordinated the question-answers session & proposed a vote of thanks.Leading industrialists, entrepreneurs,HR executives,consultants etc attended the webinar.