Is employer bound to give preference or provide employment to apprentice after their apprenticeship?

Is employer bound to give preference or provide employment to apprentice after  their apprenticeship?

No, as per labour laws in India, an employer is not required to give preference or bound to provide employment to apprentice after he completes his apprenticeship. Apprentices are covered under Indian employment laws. An apprentice is appointed in an establishment under the Apprentices Act 1961. Section 22 of the Apprentices Act of 1961 states that – (1) It shall not be obligatory on the part of the employer to offer employment to an apprentice…

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Is bonus payable on suspension allowance?

Is bonus payable on suspension allowance?

Under Indian Labour laws, suspension allowance is paid during pendency of inquiry when an employee has been suspended. The suspension allowance/subsistence allowance is a payment made out of a  statutory obligation. The payment is made to enable the employee to meet his subsistence requirements. Therefore subsistence allowance will not attract Bonus, as per labour law in India. In Motor Industries Company Limited V/s Popat Muralidhar Patil, the Hon’ble Bombay High Court held that subsistence allowance…

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Can new units promoted by existing companies, be required to pay bonus ?

Can new units promoted by existing companies, be required to pay bonus ?

The question herein is whether new units started by an existing Company can claim benefit of exemption from payment of Bonus. And whether the workers working in the new units are entitled to bonus as per the Balance-sheet which is common to both the units. The new unit started by an existing Company can avail of the benefit of exemption available to new units under Sec.16 of the Payment of Bonus Act. This makes an…

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Will the Employee State Insurance Act continue to be applicable, if number of employees fall below requisite number mandated by the law?

Will the Employee State Insurance Act continue to be applicable, if number of employees fall below requisite number mandated by the law?

Section 1(6) of ESI Act has specific provision regarding number of persons falling below the limit specified under this Act. The provision reads as under- “A factory or an establishment to which this Act applies shall continue to be governed by this Act notwithstanding that the number persons employed therein at any time falls below the limit specified by or under this Act or the manufacturing process therein ceases to be carried on with the…

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Haryana Government Passes Labour Reform Bills.

Haryana Government Passes Labour Reform Bills.

On 30th March  the Haryana Assembly passed several labour reform Bills amending the Industrial Disputes Act, 1947, the Contract Labour ( Prevention and Abolition) Act,1970 Factories Act 1948, and the Payment of Wages Act 1936, moved by the Labour and Employment Minister, in the ongoing budget session. With the intention to “facilitate Industry”, the amendment to the Industrial Disputes Act will allow industrial units with up to 300 workers to shut down and lay off…

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As per employment laws in India what are the compliances under ESI Act 1948?

As per employment laws in India what are the compliances under ESI Act 1948?

It is imperative that thorough compliance of all applicable Indian employment laws be carried out by every employer to avoid prosecution or Industrial relations problems. An employer, under the Employees Provident fund Act, 1952 has to ensure compliance with the following requirements – Form 01 and 01A, under Regulation 10B(a) of The Employee’s State Insurance (General) Regulations, 1950 – A declaration of registration to be submitted in writing by the employer to the Regional Office,…

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As per employment law in India, what is the time limit for payment of Bonus?

As per employment law in India, what is the time limit for payment of Bonus?

As per employment law in India, the time limit for payment of Bonus is fixed under the Payment of Bonus Act, 1965 Section 19 of the Payment of Bonus Act, 1965 states as follows – ‘All amounts payable to an employee by way of Bonus under this Act shall be paid in cash by his employer – (a) Where there is a dispute regarding payment of bonus pending before any authority under Sec.22, within a…

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Apprentice Act 1961

Apprentice Act 1961

THE SCHEDULE An Act to provide for the regulation and control of training of apprentices and for matters connected therewith. Be it enacted by Parliament in the Twelfth Year of the Republic of India as follows: Prefatory Note – The Act was introduced in the form of a bill on August 19,1961. For Statement of Objects and Reasons, see Gazette of India, Extra., Part II, Section 2, dated August 19,1961. CHAPTER – I PRELIMINARY 1….

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Who Do We Call “Workmen”? IT Professionals, Teachers, Doctors?

Who Do We Call “Workmen”? IT Professionals, Teachers, Doctors?

REGULATORY FRAMEWORK: The Industrial Disputes Act, 1947 (hereinafter the ‘Act’) is a beneficial piece of legislation, and hence the definitions of terms therein, including that of the term ‘workman’, are given wide interpretations. An attempt has been made to include a large number of categories of employees in the meaning of the term ‘workman’. The definition of ‘workman’ in the Act is as under: Section 2(s): “workman” means any person (including an apprentice) employed in…

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IT Industry And Its Employment Practices

IT Industry And Its Employment Practices

Much has been debated about the legality of Negative Covenants. Even though Section 27 of the Indian Contract Act, 1872, which states that any agreement by which a person restrained from exercising a lawful profession or trade or business of any kind is to that extent void, prohibits an employer from obstructing his employee from joining a competitor, Negative Covenants have become a necessity in light of recent occurrences in the corporate world, especially IT…

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