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By
Dr. Kazi Golam Faruk
FACTORY LAWS ON WORKING HOURS, LEAVE & HOLIDAYS AND SALARY &
WAGES
FACTORY LAWSFACTORY LAWS
INTRODUCTION
• Labour laws is to maintain industrial peace and to protect the rights of workmen • Due to loopholes in the labour laws the workers are victimized and deprived of their legal rights
The entrepreneurs, managers and the employees should know, understand and enforce the basic rules pertaining to the job
• Rules on working hours, leave & holidays and salary & wages are fundamental
FACTORY LAWSFACTORY LAWS
AIM
• To discuss about the working hours, leave & holidays and salary & wages highlighting survey parameters
SCOPE
• Factory Laws on Working Hours and Survey Parameters • Rules on Leave & Holidays and Survey Parameters
• Provisions of Salary & Wages and Survey Parameters
FACTORY LAWSFACTORY LAWS
FACTORY LAWS ON WORKING HOURS
• It indicate a biologically grown or mature person • It mean a plant, animal, or person who has reached full growth or alternatively is capable of reproduction • Legal adult, generally determined as a person who has attained the legally fixed age of majority; as opposed to a minor
Working Hours for Adults
Who is Adult ?
FACTORY LAWSFACTORY LAWS
The term adult has at least three distinct meanings:
Age -14
Age -16
Age -18
Above18
WORKING HOURS FOR ADULTS
Shall not be more than 08 hrs per day
FACTORY LAWSFACTORY LAWS
Can work 10 hrs max / day (incl OT) with an interval of 01 hr
Total: not exceeding 60 hrs/wk Not above 56 hrs/wk in a yr• Worker would get 01 hr interval after 06 hrs work
• If break is of half an hr, interval should be after 05 hrs
• if worker work beyond the mid night - rest at least for 24 hrs • Women are not allowed working from 10 p.m to 6 a.m.• Workers are not to work in more than one factory on any day• Notice of duty to be displayed at the main gate of the factory
• The minimum age depends on the country and the type of work involved • ILO adopted minimum ages varying from 14 to 16 • USA set the minimum age to 16 • An employer is usually not permitted to hire a child below a certain minimum age
Working Hours for Young Personnel
Who is child and who is young ?
FACTORY LAWSFACTORY LAWS
Child ………….below a certain minimum age
• Are young workers entitled to more generous rest periods than adult workers? • Are young workers entitled to more daily rest breaks than adult workers? • Are young workers allowed to work at night? • Are young workers allowed to work the same hours as adult workers? • Are there any special health and safety requirements that employers must take into account of before recruiting young workers ?
Who is a young worker?
FACTORY LAWSFACTORY LAWS
A young worker is defined as having compulsory school leaving age but is under
the age of 18
WORKING HOURS FOR YOUNG PERSONNEL
Normal working hrs - 05 hrs/ day and 30 hrs/ week
FACTORY LAWSFACTORY LAWS
Can work maximum 36 hrs/week including OT
• Not to work in between the hrs 7 p.m to 7 a.m
• Shall be limited to two shifts
• Shall not work in more than one factory on any day
FACTORY LAWSFACTORY LAWS
Parameters on Working Hours Arrangement
Ser
Parameters
1. Adult workers do not work more than 10 hours (incl OT) per day
2. Adult workers do not work more than 60 hours per week3. Workers get one-hour interval after working 06 hours at a
stretch or half an hour after 05 hours4. If an adult worker works beyond mid night, he avails at
least 24 hours rest before his next duty5. Women do not work between 10 p.m to 6 a.m.6. Workers do not work in more than one factory on any day7. Notice board contains duty roster8. Young workers do not work more than 06 hours per day
(incl OT)9. Young workers do not work more than 36 hours per week
(incl OT)10.
Young workers do not work between 7 p.m. to 7 a.m.
11.
Employers do not employ young workers in more than two shifts
RULES ON LEAVE AND HOLIDAYS
• An important part of the employee benefits package
• Should be generous and offer employees time away from the job to support life style
FACTORY LAWSFACTORY LAWS
• Weekly holiday• Casual leave• Sick leave
• Annual leave• Festivals holiday• Maternity leave
CASUAL LEAVE
• One day off in a week as weekly holiday
• If not provided for any urgency, should be sanctioned equal number of day/days
FACTORY LAWSFACTORY LAWS
WEEKLY HOLIDAY
• Ten days in a calendar year with full wages
• Shall not remain as balance for the next year
• Be applied and approved by the facility
• Cannot be tagged at both ends with other leaves
• Fourteen days in a year, with full wages
• A registered practitioner has to certify
• Balance of such leave are not carried forward
FACTORY LAWSFACTORY LAWS
SICK LEAVE
ANNUAL LEAVE
FACTORY LAWSFACTORY LAWS
• Adult – one day for every 18 days of work, on completion of one yr continuous service • Young person - one day for every 15 days of work
• Shall be with full wages
• Shall be inclusive of any holiday
• Balance will remain for the next calendar year • Max balance – 60 days, For young – 80 days
• Leave applied but refused, shall be added to the credit of worker beyond the mentioned limit
■ Any holiday
■ Any leave with wages
■ Any leave with or without wages due to sickness or accident
■ Maternity leave not exceeding sixteen weeks
■ Any period of lay off
■ Any legal strike or illegal lockout
FACTORY LAWSFACTORY LAWS
Following to be considered as continuous service:
ANNUAL LEAVE
• Entitled if worked for at least six months immediately proceeding the tentative date of delivery
• Entitled to get 16 weeks leave with average pay calculated based on last three months salary
• Shall be allowed 08 weeks before delivery and 08 weeks after delivery • Shall give notice either orally or in writing to the employer
FACTORY LAWSFACTORY LAWS
MATERNITY LEAVE
• Entitled eleven days holidays in a year with full pay
• Dates shall be fixed by the employer at the beginning of the year
• Two days compensatory leave plus a substitute holiday to be sanctioned for any work during festival holiday
FACTORY LAWSFACTORY LAWS
FESTIVAL HOLIDAYS
FACTORY LAWSFACTORY LAWS
PARAMETERS ON LEAVE AND HOLIDAYSSer Parameters1. Every worker gets one day off in a week.2. If the worker works on weekly holiday, he/she gets compensatory
holiday of equal number of days.3. Every worker gets ten days casual leave in a calendar year. 4. Employer grant fourteen days sick leave basing on the
recommendations of registered practitioner.5. On completion of one year continuous service, adult worker get
one day annual leave for eighteen days of work.6. On completion of one year service, young workers get one day
annual leave for fifteen days of work.7. Balance or un availed annual leave are carried forward to the
next calendar year.8. Interruptions of service due to any authorized leave or holiday,
lay off or legal strike are considered as continuous service.9. Women employees are allowed sixteen weeks maternity leave.
10. Every worker get eleven days Festival holiday in a year with full pay.
11. Facility provides two days compensatory leave with full pay plus a substitute holiday for a day work during festival holiday.
PROVISIONS OF SALARY AND
WAGES
FACTORY LAWSFACTORY LAWS
PROVISIONS OF SALARY AND WAGESWhat is Salary ?
FACTORY LAWSFACTORY LAWS
Salary’ refers to the amount of money a worker gets in a month
What is Wages ?• ‘Wages’ is the remuneration paid to a worker for his/her service in the factory and includes only the performance wages • Usually it refers to the hourly rate
• Wages includes …………■ Bonus or other additional remuneration■ Remuneration of holiday and over time works■ Remuneration payable for any order of the
court ■ Money payable for lay off or temporary
dismissal
PROVISIONS OF SALARY AND WAGES
What is the purpose of salary ?
FACTORY LAWSFACTORY LAWS
► Establish an equitable salary and wage structure ► Establish and maintain an equitable cost structure
► Reduce the grievances of workers over wage inequities
► Enhance workers morale
PROVISIONS OF SALARY AND WAGES
Payment of Salary and Wages
FACTORY LAWSFACTORY LAWS
► Shall be paid before the expiry of the 07 th day of the wage pd
► Payments shall be made on a working day
► Shall be given full wages for weekly holiday, casual leave, sick leave, annual leave , festival holidays and maternity leave
► Over Time allowance shall be at the rate of twice
► Wages may be deducted for given facilities
PROVISIONS OF SALARY AND WAGES
Deductions from Wages
FACTORY LAWSFACTORY LAWS
► Fines► Unauthorized Absence► Damages or Loss► Accommodation► Recovery of Advance► Income Tax► Subscriptions► Payments to cooperative societies approved by Govt.► Any scheme for the welfare of the workers► Contribution to CBA
FACTORY LAWSFACTORY LAWS
PARAMETERS ON WAGE AND SALARY
Sr Parameters1. Everybody gets salary and wages as per salary scale
approved by govt2. Salary is paid before the expiry of 7th day of the wage
period 3. Wages for the ‘removal from service’ cases are paid within
seven working days from the day of termination of employment
4. All payments are made on working days5. Employer do not carry out un authorized deduction of
wages6. The wage board reviews the wages in every three years 7. For overtime payment, workers get at the rate of twice of
basic wages, dearness allowances and interim wages8. Employers do not deduct wages for authorized leave and
holidays9. Worker can fulfill their basic needs with the existing wages
and salary
CONCLUSION
• The labour act says about the worker's rights and benefits but implementation lies with the management and govt • In present perspective, there is no other alternative to have motivated employees in the organization
• Adherence to the provisions of salary and wages is an factor for employee motivation
FACTORY LAWSFACTORY LAWS
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