Intl Labor Notes
Intl Labor Notes
Intl Labor Notes
The conflict between the management and the employee is inherent in an industrial society. One
argues for more investment and profits while the other argues for better standard of living. These
two conflicting interests can be adjusted temporarily through the principle of “give and take”. The
principle of give and take has been infused in the principle of collective bargaining. The phrase
“collective bargaining” was coined by British labour reformers Sidney and Beatrice Webb of Great
Britain, which was the “home of collective bargaining” in the 1890’s.
In any industrial establishment, the friction between employer and the workmen is inevitable. There
are demands by the workmen and if those demands are resisted by the employer, industrial dispute
arises resulting in industrial tension and disturbing the peace and harmony in the industry. Collective
Bargaining is one of the methods wherein the employer and the employees can settle their disputes.
Meaning: Collective bargaining may be described as a method of direct negotiations adopted by the
unions and the employers for settling terms of employment, working conditions and other issues by
appreciating mutual viewpoints and strength, which results in a collective agreement between both
the parties.
According to ILO Convention 154 on Collective Bargaining, collective bargaining refers to all
negotiations which take place between an employer, a group of employers or one or more
employers' organizations, on the one hand, and one or more workers' organizations, on the other,
for
(a) determining working conditions and terms of employment; and/or
(b) regulating relations between employers and workers; and/or
(c) regulating relations between employers or their organisations and a workers' organization or
workers' organizations.
Theoretically, collective bargaining is based on the principle of balance of power. Managements and
unions representing the workers are considered as two separate powers who jointly negotiate with
each other various terms of employment.
The Supreme Court of India in the case of Karnal Leather Karamchari Sanghatan vs. Liberty
Footwear Co. has held that collective bargaining is a technique by which dispute between labour and
capital are resolved amicably by agreement rather than by question. The dispute is settled peacefully
and voluntarily although reluctantly between labour and management. Likewise it is said that
collective bargaining as a method by which problems of wages and conditions of employment are
resolved amicably, peacefully and voluntarily between labour and management.
INTERNATIONAL PROTECTION
1. The right to collectively bargain is recognized through international human rights conventions.
Article 23 of the Universal Declaration of Human Rights identifies the ability to organize trade
unions as a fundamental human right.
2. Item 2(a) of the International Labour Organization's Declaration on Fundamental Principles
and Rights at Work states the "freedom of association and the effective recognition of the right
to collective bargaining" as an essential right of workers.
3. The Freedom of Association and Protection of the Right to Organise Convention, 1948 (C087)
and several other conventions specifically protect collective bargaining through the creation of
international labour standards that discourage countries from violating workers' rights to
associate and collectively bargain.
4. In June 2007 the Supreme Court of Canada extensively reviewed the rationale for regarding
collective bargaining as a human right. the Court made the following observations:
The right to bargain collectively with an employer enhances the human dignity, liberty and
autonomy of workers by giving them the opportunity to influence the establishment of
workplace rules and thereby gain some control over a major aspect of their lives, namely their
work.
ILO CONVENTION
Convention 98, together with Convention 87 on Freedom of Association and Protection of the Right
to Organise, represents essential building blocks fora harmonious, stable and progressive industrial
relations that can contribute to sustainable development by empowering workers and employers to
find solutions through voluntary negotiations.
On 1 July 1949 the International Labour Conference in Geneva adopted the Right to Organise and
Collective Bargaining Convention (No. 98). For the International Labour Organization this was a
landmark occasion, but so it was too – and perhaps above all – for workers and their trade union
organizations all over the world. The date was important for the ILO because it marked the
completion of the task it had set for itself the year before with the adoption of the Freedom of
Association and Protection of the Right to Organise Convention (No. 87). The ILO could now boast
two fundamental instruments that guaranteed the independence of trade union organizations vis-
à-vis public authorities, on the one hand, and employers, on the other.
But the occasion was especially important for workers throughout the world and their trade union
organizations, because for the first time their universal right to organize and to bargain collectively
was recognized by two international Conventions. The Conventions guaranteed them the possibility
of associating freely among themselves and of taking collective action to defend not only their
economic and social interests but also their fundamental public freedom to exercise their trade
union rights.
Convention No. 98 is particularly significant because it both recognizes and protects an individual
right conferred on workers (protection against acts of anti-union discrimination), a collective right
attributed to trade union organizations (protection against acts of interference) and an individual
right exercised collectively (the right of workers to be represented by trade unions in negotiating
conditions of employment collectively).
PROTECTION AGAINST ANTI-UNION DISCRIMINATION ARTICLE 1:
In general terms, Article 1 of Convention No. 98 provides that “Workers shall enjoy adequate
protection against acts of anti-union discrimination in respect of their employment”. Paragraph 2
spells out the scope of such protection: “Such protection shall apply more particularly in respect of
acts calculated to: (a) make the employment of a worker subject to the condition that he shall not
join a union or shall relinquish trade union membership; (b) cause the dismissal of or otherwise
prejudice a worker by reason of union membership or because of participation in union activities
outside working hours or, with the consent of the employer, within working hours”.
Explanation- Article 1 states that workers must be protected against discrimination for joining a
union, particularly conditions of employers to not join a union, dismissal or any other prejudice for
having union membership or engaging in union activities.
PROTECTION AGAINST ACTS OF INTERFERENCE Article 2: Provides that:
1. Workers' and employers' organisations shall enjoy adequate protection against any acts of
interference by each other or each other's agents or members in their establishment, functioning or
administration.
2. In particular, acts which are designed to promote the establishment of workers' organisations
under the domination of employers or employers' organisations, or to support workers'
organisations by financial or other means, with the object of placing such organisations under the
control of employers or employers' organisations, shall be deemed to constitute acts of interference
within the meaning of this Article.
Explanation- Article 2 requires that both workers and employers' organisations (i.e. trade unions and
business confederations) should not be interfered in their own establishment, functioning or
administration.
Article 2(2) prohibits, in particular, unions being dominated by employers through "financial or other
means" (such as a union is given funding by an employer, or the employer influencing who the
officials are).
Article 3: Provides that:
Machinery appropriate to national conditions shall be established, where necessary, for the purpose
of ensuring respect for the right to organise as defined in the preceding Articles.
Explanation- Article 3 requires each ILO member give effect to articles 1 and 2 through appropriate
machinery, such as a government watchdog.
PROMOTION OF COLLECTIVE BARGAINING Article 4: Provides that:
Measures appropriate to national conditions shall be taken, where necessary, to encourage and
promote the full development and utilisation of machinery for voluntary negotiation between
employers or employers' organisations and workers' organisations, with a view to the regulation of
terms and conditions of employment by means of collective agreements.
Explanation- Article 4 goes on to collective bargaining. It requires that the law promotes the full
development and utilisation of machinery for voluntary negotiation between worker organisations
and employer groups to regulation employment by means of collective agreements.
Cases: In Sanjit Roy v. State of Rajasthan, the State employed many workers to construct a road to
provide them relief from drought and scarcity conditions prevailing in their area. Their employment
fell under the Rajasthan Famine Relief Works Employees (Exemption from Labour Laws) Act, 1964.
The people employed for the work were paid less than the minimum wage, which was allowed in the
Exemption Act. The Court held that the Rajasthan Famine Relief Works Employees (Exemption from
Labour Laws) Act, 1964 is constitutionally invalid to exclude the minimum wages act. This means
that minimum wage must be paid to all the people employed by the State for any famine relief work,
regardless of whether the person is affected by drought or scarcity. It is essential so that the State
does not take advantage of the helpless condition of the people affected by famine, drought, etc.,
In Bandhua Mukti Morcha v. Union of India, the organization sent a letter to Justice Bhagwati and
the Court treated it as a Public Interest Litigation. The letter contained its observations based on a
survey it conducted of some stone quarries in the Faridabad district. It was found that these
contained many workers working in inhuman and intolerable conditions, and many of them were
forced labourers. The Court laid down guidelines for determining bonded labourers and provided
that the state government must identify, release and rehabilitate the bonded labourers. It was
held that any person employed as a bonded labour is deprived of their liberty. It was also held that
whenever it is shown that a worker is engaged in forced labour, the Court would presume he is
doing so in consideration of some economic consideration and is, therefore, a bonded labour. The
employer and the state government can only rebut this presumption if satisfactory evidence is
provided for the same.
The Court referred to the case of D. B. M. Patnaik v. State of A. P., and held that an inmate does not
surrender his citizenship nor does he lose his civil rights, except such rights as freedom of
movement, which are necessarily lost because of the very fact of imprisonment. The consequence is
that denying a prisoner reasonable wages in return for his work will violate the mandate in Article
23(1) of the Constitution. Consequently, the State could be directed not to deny such reasonable
wages to the prisoners from whom the State takes work in its prisons.
Conclusion: Several factors are causing the continuance of this system of forced labour. Often, the
usurious rate of interest is one of the leading factors contributing to its continuance. Apart from
that, a faulty adjustment system of wages with the amount lent, prevalent ignorance, illiteracy,
being socially backward, lack of debtor’s organization etc., are all factors contributing to the
continuance of bonded labour. The system of bonded labour is an agreement between two parties,
an agreement which stands void in the eyes of the law in today’s date. It is also a punishable offence
under numerous legislations of India. Due to the gravity of this offence, it has also been addressed in
numerous international conventions. Bonded labour is probably the least known form of slavery,
yet, it is the most widely performed form of slavery. There have been several initiatives by the
National Human Rights Commission to curb this practice. Apart from that, even the Supreme Court
has condemned this practice in India and has given it an expansive meaning so that it is not practised
in any form whatsoever. This system degrades a human into a commodity or an asset. Thus, forced
labour, whatever form it may be, should not be condemned by anyone.
COVENTION
The ILO was established as an agency for the League of Nations following World War I. The ILO
has played a significant role in promoting labour and human rights. It is a meeting point for
governments, workers and employers of ILO’s member States to set labour standards, improve
upon policies and create programs that promote decent work for people.
Abolition of Forced Labour Convention, 1957, the full title of which is Convention concerning
the Abolition of Forced Labour, 1957 (No. 105), is one of the eight fundamental conventions of
the International Labour Organization.
The substance of Convention No. 105 was influenced by a U.N. treaty adopted in 1956. In the
1950s, as countries in Asia and Latin America began to undertake agrarian and land tenancy
reforms, the Supplementary Slavery Convention in 1956 set out specific forms of forced labor
that were to be abolished by states’ parties :
a) debt bondage,
b) serfdom, and
c) any institution whereby a child or young person under the age of 18 years is delivered by
either or both of his natural parents or by his guardian to another person, whether for
reward or not, with a view to the exploitation of the child or young person or of his labor.
The Preamble of convention provides a brief history and chronological order of the events which
have led up to the adoption of this convention.
The formal ratifications of this Convention shall be communicated to the Director-General of the
International Labour Office for registration. A3 This Convention shall be binding only upon those
Members of the International Labour Organisation whose ratifications have been registered with the
Director- General and shall come into force for any Member twelve months after the date on which
its ratification has been registered. A4
A Member which has ratified this Convention may denounce it after the expiration of ten years from
the date on which the Convention first comes into force, by an act communicated to the Director-
General of the International Labour Office for registration. However, such denunciation shall not
take effect until one year after the date on which it is registered. A5
The Director-General of the International Labour Office shall intimate all Members of the
International Labour Organisation and also the Secretary of the UN of the registration of all
ratifications and denunciations communicated to him by the Members of the Organisation.
Conclusion: Despite the existence of legislation and schemes aiming to combat modern slavery,
severe gaps between the government’s policy commitments and implementation have been noted.
For instance, a 2016 research study of children trafficked for labour exploitation emphasises that
there are a range of practical challenges to the rescue and reintegration of victims, such as failure to
provide adequate reintegration services, a lack of human and financial resources, limited
organisational accountability, and poorly structured partnerships between NGOs and government,
among others.
Even with all these laws prohibiting human trafficking and child labour, we still see headlines where
containers full of human slaves get seized. Every now and then, when we stop at a local dhaba for
lunch or a ‘pan wala’, we encounter little children running around in a vest and shorts, catering to
the needs of the customers. We have the laws and the provisions, but we still have to go a long way
if we are to come even close to abolishing such idiosyncrasies.
CONTRACT LABOUR (REGULATION) ACT, 1970
Intro: Contract Labour is a significant and growing form of employment. It is prevalent in almost all
industries and allied operations and also in service sector. It generally refers to workers engaged by a
contractor for user enterprise. Contract labour have very little bargaining power, have little or no
social security and are often engaged in hazardous occupations endangering their health and safety.
The exploitation of workers under the contract labour system has been a matter of deep concern for
the Government. The Government enacted the Contract Labour (Regulation and Abolition) Act in
1970.
Scope:
According to Section 1, it applies:
a) to every establishment in which twenty or more workmen are employed or were employed
on any day of the preceding twelve months as contract labour;
b) to every contractor who employs or who employed on any day of the preceding twelve
months twenty or more workmen.
The Act shall not apply to establishments in which work only of an intermittent or casual nature
is performed.
CONTRACT LABOUR:
Contract Labour: Acc to Section 2(b) A workmen shall be deemed to be employed as contract
labour in the work of an establishment when he is hired in connection with such work by or
through a contractor, with or without the knowledge of the principal employer.
“Workman” means any person employed in work of any establishment to do any skilled, semi-
skilled or unskilled, manual, supervisory, technical or clerical work for hire or reward, but does
not include any such person
a) Who is employed mainly in a managerial or administrative capacity, or
b) Who, being employed in a supervisory capacity draws wages exceeding five hundred rupees
per mensem or
c) who is an out-worker, who carries the process either in his home or in some other premises
not being premises under the control and management of the principal employer. (Job- worker)
“Contractor” means a person who undertakes to produce a given result for the establishment,
who supplies contract labour for any work of the establishment and includes a sub-contractor.
“Principal Employer” means
(i) In relation to any office or department of the Government or a local authority, the
head of that office or department.
(ii) In a factory, the owner or occupier of the factory and where a person has been named
as the manager of the factory, the person so named.
(iii) In a mine, the owner or agent of the mine and where a person has been named as the
manager of the mine, the person so named.
(iv) in any other establishment, any person responsible for the supervision and control of
the establishment.
The advisory Boards:
Section 3 requires the Central Government to constitute a Central Advisory Contract Labour
Board to advise the Central Government on such matters arising out of the administration of the
Act as may be referred to it and to carry out other functions assigned to it under the Act.
Section 4 similarly requires the State Government to constitute the State Advisory Contract
Labour Board to advise the State Governments on such matters arising out of the administration
of the Act as may be referred to it and to carry out other functions assigned to it under the Act.
Jurisdiction of Industrial Tribunals to abolish contract labour: It has been held by the Supreme
Court in Vegolis Private Ltd. v. The Workmen, that after enforcement of the Contract Labour
(Regulation and Abolition) Act, 1970, the sole jurisdiction for abolition of contract labour in any
particular operation vested with the appropriate Government and thereafter the Tribunals have no
jurisdiction to abolish contract labour. Supreme Court cannot under Article 32 of the Constitution
order for abolition of Contract Labour System in any establishment.
After-effect of abolition of contract labour: At present there is no provision in the Act for
absorption of contract labour in the event of prohibition of employment of contract labour in any
category of work/jobs under Section 10 of the Act. There have been complaints that contract
workers are being thrown out of employment in the jobs.
On this crucial question, the Supreme Court in Air India Statutory Corporation v. United Labour
Union, held that a High Court in exercise of its jurisdiction under Article 226 of the Constitution, can
direct a principal employer in an appropriate case to absorb the workman concerned after abolition
of the contract labour. The Court in this case also overruled another important case (Gujarat
Electricity Board) wherein it was held that on abolition of contract labour their employees are free to
raise their cause for reference under Section 10 of Industrial Disputes Act, 1947 seeking absorption
of contract labour.
*However, in Steel Authority of India v. National Union of Water Front Workers and others, the
Supreme Court overruled the judgement delivered in the Air India Statutory Corporation case. The
Apex Court held that neither Section 10 of the Act nor any other provision in the Act whether
expressly or by necessary implication provides for automatic absorption of contract labour on issuing
a notification by the Appropriate Government under Section 10(1) prohibiting employment of
contract labour in any process or operation or other work in any establishment. Consequently, the
principal employer cannot be required to order absorption of contract labour working in the
concerned establishment.
If the prescribed amenities are not provided by the contractor within the prescribed time, then such
amenities shall be provided by the principal employer. All expenses incurred by the principal
employer in providing the amenity may be recovered by him from the contractor either by
deduction from any amount payable to the contractor under any contract or as a debt payable by
the contractor.
Inspectors:
Under Section 28 of the Act, appropriate Governments have been given powers to appoint
inspectors.
powers of Inspectors, read as follows: an inspector may, within the local limits for which he is
appointed: (a) enter, at all reasonable hours, being in the service of the Government or any local or
other public authority, any premises or place where contract labour is employed, for the purpose of
examining any register or record or notices required to be kept or exhibited and require the
production thereof for inspection; (b) examine any person whom he finds in any such premises or
place and who, he has reasonable cause to believe, is a workmen employed therein; (c) require any
person giving out work and any workmen, to give any information; (d) seize or take copies of such
register, record of wages or notices or portions and (e) exercise such other powers as may be
prescribed.
Conclusion: This Act is an essential legislature when it comes to the protection of the rights of
workers who are appointed based on a contract by a contractor. However, the Act has several
drawbacks which should be taken into account by the legislature, such as:-
Often the establishments take advantage of the provisions by taking licenses in different names.
Therefore, to curtail this problem there should be a single window for issuing licenses and there
should be a licensing authority to deal with the situation in every state; The penal provisions of the
Act are not deterrent enough, so it enables the principal employer to rather face prosecution instead
of following the provisions of the Act; the education scheme of contract labourers should be
extended as most workers are unskilled, illiterate and ignorant of their rights.
Sexual Harassment of Woman at Workplace (Prevention, Prohibition and
Redressal) Act, 2013
Intro: Any act, action or behavior with an underlying sexual connotation done to intimidate or
humiliate a victim can be classified as sexual harassment. It may comprise of a single act or a series
of them, and there is no relevance attached to the intention of the perpetrator behind such action.
Certain common instances of sexual harassment include: leering at a female colleague’s body,
passing distasteful comments on her character or about the way she dresses, indulging in
inappropriate sexual humor in the workplace, sexually suggestive gestures, calling up a female
colleague late at night or persistently insisting her for lunch or dinner dates thereby making her
uncomfortable or any other such verbal or physical conduct.
The popular perception that sexual harassment essentially constitutes overt physical acts is a major
misconception in extending the ambit of the definition. The psychological element, including any
subtle gesture or innuendo, is equally important. Women across all ages and professions face the
problem of sexual harassment.
Sexual harassment speaks more to power relationships and victimization than it does to sex itself. It
reflects a disparity in power between the perpetrator and the victim, which more often than not,
mirrors the power differentials between men and women in society.
Sexual Harassment: Undermining Rights and Basic Human Dignity of Indian Citizens
The very notion of Sexual Harassment in the workplace intrinsically violates certain basic
fundamental rights guaranteed to the citizens of India, enshrined in and protected by the Indian
Constitution. Such provisions are:
1. Article 14: Equality before the law or the equal protection of the law.
2. Article 15: Prohibition of discrimination on the grounds of sex.
3. Article 19: Right to practice any profession or to carry out any occupation, trade or business which
right includes within its ambit “a right to a safe environment free from sexual harassment.”
4. Article 21: Right to life and personal liberty which includes right to life with dignity.
The Sexual Harassment of Women in the Workplace (Prevention, Prohibition and Redressal) Act
2013:
The objective of the Sexual Harassment Act of 2013 was to make the workplace a safer place for
women and to protect them from sexual harassment. It also functions as a forum for both avoiding
and addressing problems. “Sexual harassment has been ruled a breach of a woman’s fundamental
right to equality, as guaranteed by Articles 14 and 15, and her right to life and dignity, as guaranteed
by Article 21. Sexual harassment has also been deemed a violation of the freedom to practice or
carry out any vocation, trade, or business, which includes the right to a safe workplace, under Article
19(1) (g) of the Constitution.”
Section 2(n) - Under the POSH Act, “sexual harassment” includes any one or more of the following
unwelcome acts or behaviour (whether directly or by implication):
(i) If a woman worker suffers physical contact and advances;
(ii) If a demand or request for sexual favors is made on her;
(iii) If sexually colored remarks are directed towards her;
(iv) If she is shown pornography; or
(v) If she faces any other unwelcome physical, verbal or non-verbal conduct of sexual
nature.
This is not an exhaustive list as the POSH Act covers a wide-ranging definition of sexual harassment
and therefore, in addition to these there are several more circumstances and behaviour which
account as ‘sexual harassment. (S.3)
(i) If a female worker faces implied or explicit promise of preferential treatment in her
employment; or
(ii) If she receives implied or direct threat of adverse treatment in her employment; or
(iii) If she sees implied or obvious threat about her present or future employment status; or
(iv) If there is an undue interference with her work or circumstances designed to create an
intimidating or offensive work environment for her; or
(v) If she is meted out the humiliating treatment which is likely to affect her health, mental
or physical, and/or her safety.
Further, under the POSH Act, the scope of workplace includes any and all units, branches, offices,
establishments of any organization, and any place visited by an employee during the course of
employment including the transportation provided by such entity for undertaking such journey.
Complaints Committee:
An important feature of the Prevention of Workplace Sexual Harassment Act is that it envisages the
setting up of grievance redressal forums for both organized and unorganized sectors.
A. Internal Complaints Committee- Section 4 The Act requires an employer to set up an
‘internal complaints committee’ (“ICC”) at each office or branch, of an organization
employing 10 or more employees, to hear and redress grievances pertaining to sexual
harassment.
Constitution of the ICC-
Presiding Officer: Woman employed at a senior level at the workplace from amongst the
employees.
Members: Not less than 2 members from amongst employees. Preferably committed to the
cause of women or who have had experience in social work or have legal knowledge.
External member: From an NGO or association committed to the cause of women or person
familiar with issues relating to sexual harassment.
Not less than half of the ICC Members shall be women
The term of the ICC Members shall not exceed 3 years
B. Local Complaints Committee- Section 6 At the district level, the Government is required to
set up a ‘local complaints committee’ (“LCC”) to investigate and redress complaints of sexual
harassment from the unorganized sector or from establishments where the ICC has not been
constituted on account of the establishment having less than 10 employees or if the
complaint is against the employer.
Constitution of the LC
Chairperson: An eminent woman in the field of social work and committed to the cause of
women.
Local Woman: One of the members to be nominated from amongst the women working in
block, taluka, tehsil or ward or municipality in the district.
NGO members: Two members, out of which, atleast one shall be a woman to be nominated
from an NGO or an association committed to the cause of women or a person familiar with
issues pertaining to sexual harassment.
Atleast one of the members should have a background in law.
Atleast one of the members should be a woman belonging to the Scheduled Castes or
Scheduled Tribes.