case study on contract labour

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Contract Labor at Regency Hospital: Legal and HR Dynamics

By: Anjana Nath, Debi S. Saini

This case brings to the fore different complexities of contract labor employment by principal employers (PE) in the Indian context, including sensitivities involved in handling contract workers'…

• Length: 10 page(s)
• Publication Date: Aug 1, 2017
• Discipline: Human Resource Management
• Product #: HK1101-PDF-ENG

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This case brings to the fore different complexities of contract labor employment by principal employers (PE) in the Indian context, including sensitivities involved in handling contract workers' union. Regency Hospital (RH), a corporate Hospital chain in India, acquired Gedex Hospital (GH) in 2005, along with contract workers employed in the latter. In the year 1983, GH's management decided to employ contract workers for operating its support services like House Keeping, etc. Two years later, some contract workers of GH became members of the All Gedex Employees' Union. Apprehending industrial relations (IR) problems, GH decided to take them on its permanent rolls. Later on, more contract workers of GH formally became members of this Union, but GH did not concede their demand for permanency. These workers continued to work at GH and later at RH under different contractors; for they were well-trained hospital workforce. When RH acquired GH in 2005, some of the contract workers were doing the same work as was done by RH's core workers, and continued to work that way. In October 2015 all contract workers of RH went on strike. Their demands included increase in wages and absorbing them in RH's core workforce. RH argued that all that was the obligation of the contractor concerned through whom they were employed. RH's HR manager contacted the local police, which eventually helped in pacifying these contract workers leading to withdrawal of their agitation. In the meantime, the management enhanced some minor welfare benefits for them through the contractor, but no substantive relief was given. RH was pondering on action it should take, and how to prevent reoccurrence of similar complex situations. It was also considering the working environment that should be made available to contract workers so as to promote their engagement, and also avoiding any possible legal lapses on its part in handling contract labor issues.

Learning Objectives

To understand the legal framework of employing contract workers as envisaged by the Contract Labor (Regulation & Abolition) Act

To understand the mistakes that principal employers (PE) may commit in employing contract workers and the consequences of such mistakes, including sham contract situations.

To discuss the collateral IR and HR issues that impact employing and managing contract workers.

To know how the PE can safeguard its interest in case contract workers go on strike causing it damages. 5 To appropriately draft a contract labor employment agreement and thus avoid any possible unintended liability.

Aug 1, 2017

Discipline:

Human Resource Management

Geographies:

Industries:

Hospitals and hospital management

University of Hong Kong

HK1101-PDF-ENG

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Case Study: Navigating Labor Unrest

• Jorge Tamayo

A factory manager considers whether to accept or resist union demands.

Paulo Ferreira, the president of Luna Brazil, has an ambitious plan to turn around the dismal performance of the plant he oversees in Campinas. The wrinkle is, he needs the buy-in of the powerful local union, which is still smarting from a 10-year-old labor conflict and lately has begun to step up its demands and picket outside the factory. Headquarters, running out of patience with the dispute, wants Paulo to consider converting the plant to a distribution center. But that would mean hundreds of layoffs, which would decimate the local community that Paolo loves.

In the corner office at the Campinas plant of Luna Motors, the dim light of a desk lamp illuminated a series of charts. Paulo Ferreira, the president of Luna Brazil, had been so deep in thought he hadn’t even noticed that it was now dark outside. Each line, curve, and number on the papers in front of him painted a disheartening picture of the plant’s performance: rising defects, increasing absenteeism, and a record high in vehicles lost to labor issues. The plant was no longer competitive within the larger Luna network.

• JT Jorge Tamayo is an assistant professor in the Strategy Unit at Harvard Business School.

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Case Study on Sec 10 of The Contract Labour Act, 1970

Steel Authority vs union of India

• The Hon’ble Supreme Court, on 5th July 2019, in the matter of The Director Steel Authority Of India Ltd. V. Ispat Khandan Janta Mazdoor Union, observed that neither Section 10 nor any provision in the Contract Labour(Regulation & Abolition) Act, 1970 provides for automatic absorption of contract labour on the issuance of prohibition notification by the appropriate Government under Section 10(1).

The Hon’ble Supreme Court observed that:

• If the contract is found to be genuine and a prohibition notification has been issued under Section 10(1) of the Contract Labour(Regulation & Abolition) Act, 1970, in respect of the establishment, the principal employer intending to employ regular workmen for the process, operation or other work of the establishment in regard to which the prohibition notification has been issued, it shall give preference to the erstwhile contract labour if otherwise found suitable, if necessary by giving relaxation of age as it appears to be in fulfilment of the mandate of Section 25(H) of the Industrial Disputes Act, 1947.
• Mere issuance of the prohibition notification under Contract Labour(Regulation & Abolition) Act, 1970 will not make the contract/agreement to be void ab initio or bad in law and if the employees are allowed to continue in terms of the earlier agreement after the prohibition notification under Contract Labour(Regulation & Abolition) Act, 1970 has come into force, it may be illegal and continuance of service in the absence of any contract which stands extinguished by virtue of prohibition notification has to face the penal consequences as embedded under the scheme of Contract Labour(Regulation & Abolition) Act, 1970.
• Neither Section 10 nor any provision in the Contract Labour(Regulation & Abolition) Act, 1970 provides for automatic absorption of contract labour on issuance of prohibition notification by the appropriate Government under Section 10(1) of the Contract Labour(Regulation & Abolition) Act, 1970

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University of Bristol Law School

Success for professor alan bogg and unite’s legal team in landmark uk supreme court labour law case.

23 April 2024

The Law School’s Professor of Labour Law Alan Bogg appeared in the UK Supreme Court on Wednesday 17 April, as part of UNITE’s legal team acting on behalf of a care worker in an important right to strike case.

In a landmark ruling on 17 April, the Supreme Court found in favour of the legal team brought together by UNISON, including Professor Alan Bogg and former University of Bristol Law School Professor Michael Ford KC. The team acted on behalf of Fiona Mercer, a care worker and trade union representative whose employer suspended her after she became involved in a dispute over plans to cut payments for staff for sleep-in shifts.

Fiona Mercer won at the Employment Appeal Tribunal (EAT) in 2021, which stated she should not be victimised for participating in strike action. Though her employer did not intend to appeal, the then business secretary Kwasi Kwarteng took over the case and appealed to the Court of Appeal, which reversed the EAT ruling in 2022. This reflected the profound political significance of the litigation.

UNISON  took the case all the way to the Supreme Court, which found last week that the current law failed to uphold protection for workers from sanctions short of dismissal, effectively nullifying the right to take lawful strike action, which was incompatible with Article 11 of the European Convention on Human Rights.

Professor Alan Bogg said:  "This is a case of historic significance for protection of the human right to strike in UK law. The Supreme Court has recognized that UK law should protect individual strikers engaged in lawful strike action from victimization by their employers. As far as we are aware, it is also the first time a declaration of incompatibility has been issued in an employment case under the Human Rights Act 1998."

Over the past decade, University of Bristol Law School academics and alumni have been heavily involved in several high-profile labour law cases – including the P&O Ferries ‘fire and rehire’ scandal , the groundbreaking judgment on Tribunal Fees appealed by UNISON , and the landmark Supreme Court judgment in Kostal v Dunkley on the scope of lawful individual offers in collective bargaining – making the case for regulatory change to protect workers’ rights in Parliament and the courts.

They regularly provide expert analysis of domestic, EU and international employment and human rights law in Supreme Court cases, in parliamentary hearings and in written advice for trade unions and related bodies.

Further information

Professor Alan Bogg is a Professor of Labour Law and a member of the Centre for Law at Work, home to one of the largest cohorts of labour academics and lawyers in the country. His research focuses on the fields of labour, employment and work laws, exploring these areas from philosophical, doctrinal and comparative perspectives. His work also uses political philosophy to explore problems in the regulation of work, as well as examining the worker-protective aspects of common law reasoning. His current research projects are examining freedom of association, human rights at work, and the role of the common law and private law in protecting workers’ rights.

The Centre for Law at Work is dedicated to fostering an interdisciplinary dialogue around legal issues related to work. Embracing a wide range of methodological approaches to the study of law at work, the Centre’s members academics combine internationally-recognised research profiles with a wealth of experience working with organisations that are responsible for policy-development, professional regulation and social advocacy. By engaging diverse voices and perspectives the Centre aims to influence policy at national, transnational and international levels

Find out more about student opportunities at the Centre for Law at Work.

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Case Study: Termination of a Labor Contract Due to Restructuring

Hannah Huynh

Judgement no. 01/2018/ld-pt.

Judgement level: Appellate level

Judgement court: High-level People’s Court in Da Nang

Matter: Dispute on unilateral termination of a labor contract

Plaintiff: Mr. Alparslan M ( Mr. M ) – Employee

Defendant: AVN Travel and Trading Company Limited ( AVN Company ) – Employer

Summary of facts

Mr. M is a foreigner. He signed a definite-term labor contract with AVN Company for the position of Operation & Supervision Expert for the working period between December 01, 2016 and September 30, 2018. He was granted a work permit No.239/2016/GPLD dated December 01, 2016.

On March 24, 2017, the Human Resource Manager of AVN Company provided Mr. M a Decision on terminating the labor contract dated March 23, 2017 ( Decision dated 23 ). This Decision had no signature of the legal representative of AVN Company but had its stamp affixed on the first page. The reasons for termination were stated as: Mr. M did not comply with regulations of AVN Company as well as decisions by his line manager, had repeated violations, did not swipe the timekeeping card, and failed to complete the assignment as requested by his line manager.

On March 25, 2017, AVN Company issued another Decision on terminating the labor contract with Mr. M dated March 25, 2018 ( Decision dated 2 5 ). The reason for the termination stated was due to restructuring. Before this, however, as per its Labor Utilization Plan when restructuring, AVN Company planned to transfer Mr. M to the accounting department because Mr. M had accounting expertise, provided that he would be issued a work permit for such new position by the Department of Labor – Invalids and Social Affairs

Requests of the plaintiff: By issuing Decision dated 23, Mr. M claimed that AVN Company illegally unilaterally terminated his labor contract as well as violated the advance-notice obligation. Therefore, Mr. M requested that AVN Company (i) revoke Decision dated 23, (ii) reinstate him, (iii) pay him the salaries and other benefits for the period during which he was not allowed to work, (iv) compensate him 02 months’ salary, and (v) additionally compensate him in other amounts if not reinstating him.

Defendant’s opinion: AVN Company disagreed with the requests of Mr. M by arguing that Decision dated 23 was invalid.

Decisions of the Court

• To accept the argument of AVN Company to not recognize the validity of Decision dated 23.
• To accept the termination by AVN Company of Mr. M’s labor contract due to restructuring under Decision dated 25
• To force AVN Company to pay Mr. M a job-loss allowance in accordance with the law.

Relevant Legal Issues and Assessment

Validity of decision on terminating the labor contract.

In the above-mentioned case, there were two decisions on terminating the labor contract with two different reasons, respectively Decision dated 23 and Decision dated 25. The Court rejected the validity of Decision dated 23 because it was without the signature of the legal representative of AVN Company. The Court’s rejection was reasonable.

This is because under Article 3 of Decree No.05/2015/ND-CP (amended by Decree No.148/2018/ND-CP), the signer of a labor contract on behalf of the employer must be its legal representative as provided in the company’s charter or a person authorized by its legal representative under written authorization. Accordingly, the termination must be also made by the legal representative or the person authorized by the legal representative under written authorization. Decision dated 23 was sent to Mr. M by the Human Resource Manager of AVN Company but had no signature of the legal representative and, therefore, was invalid.

As shown from the above precedent, companies should pay attention to sending any termination notice to employees. This is because any mistake can later be used against the company in any lawsuit filed by the employee. Returning to the case mentioned above, it was explained that Decision dated 23 was just a draft which was sent by the Human Resource Manager of AVN Company to Mr. M for his comments before officially being presented to the management of AVN Company for approval. Regardless of this justification, Mr. M considered it as evidence of illegal unilateral termination and subsequently sued AVN Company to claim compensation.

In practice, the human resource departments of not only AVN Company but also many other companies have got into the administrative habit of sending drafted documents (e.g. notices, agreements, etc.) of labor contract termination to relevant parties, especially emails notifying the employees of the companies’ termination plan in advance. However, often the human resource departments fail to foresee the potential risks of this action. Specifically, if there is any inappropriate content in these documents or emails, they can become decisive evidence against companies in a dispute regarding illegal unilateral termination, which can lead to heavy compensation to be paid by the company.

Therefore, before issuing any official decision on terminating the labor contract with any employee, the company must be careful and should restrict providing employees with any information in any form which can be recorded.

Proving restructuring as the reason for termination of the labor contract

In practice, it is very difficult to prove restructuring as the reason for termination of the labor contract. Specifically, the company must successfully prove (i) restructuring is necessary due to actual business demands and (ii) that the company has put all its efforts into retraining its employees for new positions after restructuring but does not have positions available for all transitioned employees and, as a result, has to terminate employment.

In the above-mentioned case, AVN Company intended to transfer Mr. M from an Operation & Supervision Expert position to accounting according to its Labor Utilization Plan. However, the Department of Labor – Invalids and Social Affairs issued its opinion about AVN Company’s plan in that: many current colleges and universities in Vietnam provide perfectly adequate training for accounting majors, thus, employing a foreigner for such a position was unnecessary. Therefore, the Department of Labor – Invalids and Social Affairs did not agree to issue a work permit for Mr. M for his new position as an accountant.

The opinion of the Department of Labor – Invalids and Social Affairs was one basis on which the Court accepted the reason why AVN Company could not transfer Mr. M to a new position but had to terminate his labor contract. Nevertheless, it was AVN Company’s mistake to issue Decision dated 25 to terminate Mr. M’s labor contract before getting the full and official opinion from the Department of Labor – Invalids and Social Affairs denying the work permit for Mr. M’s new position. As a matter of fact, it is noteworthy that when terminating employment due to restructuring, companies must comply with the regulation of “ giving a 30-day advance notice to the provincial labor competence authority”  before termination (Article 44.3 of the 2012 Labor Code) to ensure that the termination is legal. Meanwhile, compliance with the regulations of work permits when the restructuring affects foreign employees’ job should be also taken into account.

Giving notice to employees when terminating a labor contract due to restructuring

When terminating a labor contract due to restructuring, companies are not responsible for giving advance notice to the employees. On the contrary, this is a must in cases of unilateral termination of a labor contract under Article 38 of the 2012 Labor Code (i.e. giving an at least 30-day advance notice if it is a definite-term labor contract, or an at least 45-day advance notice if it is an indefinite-term labor contract). This was re-confirmed by the Court in AVN Company’s case.

However, based on this precedent, it can be seen that there is only a thin line to distinguish between the termination of a labor contract due to restructuring (Article 44 of the 2012 Labor Code) and unilateral termination of a labor contract (Article 38 of the 2012 Labor Code), which is based primarily on the ability of the company to prove the reason for labor contract termination.

Any minor mistake during the termination procedure during restructuring can lead to classification as an illegal unilateral termination because the nature of termination due to restructuring is still basically a unilateral action by the companies. Therefore, though it is not required by law, the companies should give advance notice to the employees referring to Article 38.2 of the 2012 Labor Code, i.e. notifying the employees in advance at least 30 days in case of a definite-term labor contract, or at least 45 days in case of an indefinite-term labor contract.

If you have any questions or concerns regarding the restructuring, unilateral termination of labor contract, creation of the labor utilization plan, consulting with  representative organization of employees  at grassroot level, collection and submission of lawful evidence in a labor dispute under the labor law and the civil procedure law of Vietnam, our Labor Lawyers and Litigation Lawyers are always available at  [email protected] .

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A Case on Contract Labour: M/s. ABC Chemicals Limited*

Case Preview

A case on contract labour: m/s. abc chemicals limited.

M/s ABC Chemicals Limited located at Thane – Belapur Road, Maharashtra is engaged in manufacturing of various chemicals since 1991. The total manpower of the Company is 450. The employee canteen at M/s ABC Chemical Ltd was contracted to Mr. Ram Shetty. The canteen contract was registered by the company under The Contract Labour (Regulation & Abolition) 1970. An agreement was also signed by Rama Shetty as a canteen contractor and a Mr. Kulkarni, factory manager on behalf of company.

The said contract was renewed every year and rates of the contract also were renewed every year with the consent of both the parties. In the canteen Mr. Shetty had  employed about 10 workers and they were provided with uniforms, attractive wages and accommodation.

Mr. Shetty had another canteen contract in a neighbouring company where he had employed about 15 canteen boys. In both the companies, the canteen worked smoothly. After every three months, Mr. Shetty would rotate these canteen boys on rotation between the two companies, so that there would be no continuity of job in  either of the companies for the canteen boys. This practice continued for a long time........................

In the month of October 1995, Mr Mohite on his regular round in the company, observed that outside the canteen Mr Ramesh Bhoir along with canteen boys was discussing something when they all saw Mr Mohite coming towards the canteen they immediately disbursed from canteen area except for Mr Ramesh Bhoir who remained outside the canteen. Mr Mohite ignored him and went back to his office. Mr Ramesh followed him and went to the office of Mr Mohite...........

Industrial Relations Issues

Mohite, along with the Works Manager and other departmental heads jointly decided on terminating the contract of the Canteen with immediate effect and intimated Mr. Shetty, the contractor to remove his men and material and clear whatever compensation was due to him from the management. Mr Mohite appreciated Mr Ramesh Bhoir and union committee members for the work done by Mr. Ramesh........

Union Pressure on Management

The matter did not end here. Keeping a day’s gap, the canteen workers approached Mr. Ashok Mahatre, VP of “Maharashtra Shramik Sena” based at Turbhe village. The canteen workers enlisted themselves as members of that union and approached the Labour Commissioner Office, Thane along with Mr. Mahatre..........

Case to Labour Commission

Because of pressure from local leaders Mr. Mahatre, The Labour Commissioner Office accepted their letter of complaint and orally told them that action will be taken against company within few days, and till that time, the removed workers and union should maintained discipline. Thereafter, next day, Mr Mahatre along with canteen workers and other local people approached the company’s gate along with the copy of the letter which was submitted in the Labour Commissioner’s Office..........

Endless Conciliation

Mr. Mahatre and others at the same time started giving slogans against the company and further they used abusive language against the management. Every day in the morning, they used to gather at the gate and hurled slogans against the management of M/s. ABC Company Ltd. They continued for further 8 days with this activity.........

Teaching Note Preview

This Case is about M/s ABC Chemicals Limited, which is located at Thane – Belapur Road, Maharashtra. The Company is engaged in manufacturing of various  chemicals since 1991. The total manpower of the Company is 450. It had provided canteen for the employees and it was running on contract basis. Mr Rama Shetty was a canteen contractor. The canteen contract was registered by the company under The Contract Labour (Regulation & Abolition) 1970. An agreement  was also signed by Rama Shetty as a canteen contractor and on behalf of company a factory manager, Mr. Kulkarni.

The case focuses on the issues related to making contract labours ‘permanent’ in the Canteen of ABC Chemicals Limited. The Canteen employees who were on contract, with the pressure of internal union, demanded the Management to make them permanent employee of the Company. Retaliating, management issued a letter of termination of canteen contract which was delivered to the Canteen Contractor immediately. The issue was raised to the Labour Commissioner’s Office by the canteen employees. The Canteen Employees started giving slogans against the company. Further they used abusive language against the management. They were doing the same activity every day..............

Pedagogical Objectives

The case aims at preparing budding HR Managers to avoid such situations beforehand by clear understanding of the root cause of such crisis. Even then, if the crisis occurs, the case prepares them on how to face such real life situations by sensitizing them towards the sensitive handling of Labours and their problems keeping in mind the interest of management and jurisdiction.

Assignment Questions

• I. Why management took the decision of terminating the canteen contract?
• II. What role was played by union leader in this issue?
• III. What is the IR issue involved in this case?
• IV. ........................

This Case Study's objective is to shed light on issues related to making contract labours 'permanent' in organizations. The Government of India enacted the Contract Labour (Regulation & Abolition) Act 1970 in order to regulate establishments wherein contract labour has been employed by the contractors. The Act regulates that the contractors or principal employer has to provide and maintain the health, safety and welfare of contract labours. A Central and State Advisory Board has also been  formed in order to implement the provisions of the Act. Through the experience of the canteen of ABC Chemicals Limited, post the enactment of the Act, the Case tries to elucidate the roles and jurisdictions of the Union, the management and the Canteen Contractor and how unorganized Unionism can lead to fruitless wastage of time and productivity.

• To understand what pitfalls may happen in a Labour Contract and how to envisage issues before they go out of control
• To be able to manage crisis in real life by sensitizing participants towards the sensitive handling of Labours and their problems keeping in mind the interest of management and jurisdiction
• MBA in HR with specialization in IR- This case provides the unique situation, in which the roles, responsibilities and actions of all the arms of the tripod, formed by Principal Employer-ABC Chemicals, Canteen Contractor and Contractual Labours working in canteen, are at cross-roads.

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Reasons for the enactment of Contract Labour (Regulation and Abolition) Act, 1970

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Issues in Law and Public Policy on Contract Labour in India pp 89–165 Cite as

Contract Labour in Practice: Some Case Studies

• Pankaj Kumar 3 &
• Jaivir Singh 4  
• First Online: 15 September 2018

194 Accesses

Over this chapter, which is the mainstay of the book, we present a series of multi-sited ethnographic studies that try to capture various facets of the contract labour system in India as well as a brief ethnographic account of some sites visited in China that help in offering up a comparative perspective. The multi-site ethnography in India ranges from unskilled workers working in brick kilns of Bihar to multinational export-oriented heavy industries of the Dahej SEZ, Gujarat, with other sites, including Rudrapur SIDCUL, Uttarakhand and the Delhi Metro Rail Corporation. This account provides information pertaining to contract labour working in various contexts—especially in relation to collective bargaining, enforcement and coverage of laws and labour standards. With some exceptions (where collective bargaining is allowed to prevail), it is clear that contract workers have very little voice and manifest low skills and productivity, which is in contrast to our findings from China where institutionalised bargaining appear to have somewhat raised wages and labour standards.

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However, many forms of contract work especially the variety found in agricultural, mining, part-time construction and small-scale sectors could not been covered in the field study.

The method as quoted by Marcus ( 1998 ) was followed by Wallerstein ( 2004 ) in his ‘world-system analysis’ in which he maps the movement of men and material from the rural periphery to the industrial hubs in the urban core.

Whereas in the Indian case studies, some names of firms and individuals have been divulged, the same has been intentionally left out in the case of China. Photographs were taken with consent and have been added for the readers to relate with the study.

Though, due to limitations of language and access in Shenzhen and Guangzhou, select industries were visited and interviews conducted with the help of an interpreter as determined by the hosts. Also the interview of workers in the brick kilns at Danapur could only be conducted in a ‘controlled setting’ under the watchful eyes of the owners.

Like in the Rudrapur study, population of contract workers travelling by train in morning (6:00–8:00 a.m.) and evening (8:00–10:00 p.m.) was considered; though workers travel by other trains and other modes too. Also in DMRC, only TOM operators of few stations and construction workers of few companies/sites were interviewed, though there are other stations, sites/companies too.

Scheduling is asking the questions in same order, while in standardizing method questions are asked in same way to each respondent. See, Phellas et al. ( 2012 ): Structured Methods: Interviews, Questionnaires and Observation.

The interviews with workers were often interrupted or left, due to arrival of trains to destinations, or due to intervention of contractors or employers, or due to variety of other reasons. Incomplete interviews were only completed by author where broad understanding of the interviewee intent on the remaining issues was understood.

It was found that the method of disclosing purpose with identity helped in gaining confidence of the respondents, especially when it was informed that the study is being conducted to explore possibilities of improving the contract labour system.

Even an airport largely catering to private chartered flights is operational in Pantnagar, which is about 12 km away from Rudrapur.

However, the general limitation is acknowledged that the responses could be taken only from those workers who willingly participated in the interview process. The views of silent sufferers might have gone unrepresented.

Besides the contract workers, about 35 regular workers/union leaders, 14 contractors, 10 principal employers and 4 enforcement officials were also interviewed during field visit at Rudrapur industrial area.

On conversation with some of the daily workers, surprisingly it was found that they seemed to more satisfied and better paid. They viewed themselves as self-employed working at will, more so unlike contract workers employed in the organized sector on monthly basis, they worked for ready cash. However, their job seemed to be intermittent and hard mostly in the construction sector.

The cost of a daily passenger one-way rail ticket from different station on the Izatnagar-Kichha route. Monthly railways pass costs much less, but most workers avoided a question on this issue.

Road journey by public transport from Kichha to Bareilly costs around Rs. 60–80 ($0.92––$1.23).

Both the approach roads on NH-74 to Rudrapur, Uttarakhand via UP which were in a pitiable state during research period were subsequently re-laid however as conveyed by locals the situation becomes similar after most monsoon season. The other entry point from Rampur (via-Bilaspur) deteriorates as one approach Rudrapur.

It was seen that the Kumaon Garhwal Chamber of Commerce and Industry (KGCCI) acted as a formidable pressure group to put the cause of employers before government agencies and was aptly working on many other fronts for protecting the interests of the employers.

Though as acknowledged by Phellas et al. ( 2012 ), data collected through semi-structured interviews are mostly qualitative and less quantitative, thus comparison is difficult; however, an attempt is here made to tabulate the responses for a quantitative study.

Labour turnover rates are used for statistical projection of workers switching jobs in a region. It can be further analysed in terms of accession rate and succession rate. For details see, http://labourbureau.gov.in/STAT_ASI_JUN2014.pdf .

It could also be assumed that some workers got absorbed into regular work after some years; however, this could not be ascertained from field data.

It was found that workers who were promised even Rs. 4500 ($69) monthly for 12 h of daily work were satisfied when they were paid accordingly at the end, though he/she may be otherwise dejected with the quantum and nature of work.

As per the Micro, Small and Medium Enterprises (MSME) Development Act of 2006, a medium enterprise is where the investment in equipment is more than two crores rupees ($0.3 million) but does not exceed Rs. 10 crores ($1.5 million) for manufacturing sector industries as per Ministry of Micro, Small and Medium Enterprises recent ceilings).

Though termed as contract labour due to the presence ( de - jure ) of a contractor however for all practical purposes the workers represented informal labourers with no legal coverage whatsoever.

See, for details, http://www.commodityonline.com/commodities/oil-oilseeds/ricebranrefinedoil.php (accessed 8.2.14).

Normally, wherever labourers are residing or working within the industry premises, prior permission from the management need to be taken for interview.

‘Khuraki’ is the daily diet cost charged by the contractor for providing daily meal to the workers. It is generally deducted from the salary to be paid before the workers leaves for home or some other destination of work. As informed by the workers, the existing rate of ‘khuraki’ was Rs. 65 ($1) per day.

For information on Kumaon Garhwal Chamber of Commerce and Industry (KGCCI) see their website, http://www.kgcci.in .

There are about 1.3 million aganwadi workers (for details see, www.wcd.nic.in/schemes/anganwadi-services-scheme ) and half a million home guards who are considered as voluntary service and not provided minimum wages and social security coverage (ESI/ EPF) in many states of India.

As per Contract labour (R&A) Act, the Act applies to every establishment which is in operation for more than 60 days in a year, even though having seasonal character (Section 1(5)). The EPF act requires deduction to be made even for a workman employed for one day.

He cited the recurrent strikes conducted by bank employees of nationalized banks in India who are getting all the benefits under labour laws, to support his arguments.

Even when calculated with the Food Corporation of India (FCI) rates (based on some of the tender documents) for loading and unloading, the individual payments to the workers could not be ascertained with respect to the number of hours laboured.

‘Security of tenure’, in the case of contract workers can be termed as ensuring continuity in the case of change of contractor. In many organizations one can see the same workers continuing inspite of change of contractor, but whereas in employer controlled settings the workers are forced to continue on the terms of the contractor, in the workers’ controlled settings ensured through collective bargaining the workers continue on mutually agreed conditions. The Contract Labour (R&A) Act, 1970 however makes contract workers as employees of the contractor and requires workers to change on change of contractor. Some Court judgments have considered continuity of workers in spite of change of contractor as a likely sign of Sham contract. (For full details on Sham contracts see, Gujarat Electricity Board, Thermal Power Station v. Hind Mazdoor Sabha case (1995 SCC (5) 27).

Security of tenure for contract workers in seasonal industries can be considered as assurance of getting job in next season.

For details see Parle website; http://www.parleproducts.com/about_parle/overview.php .

It was told that the Parle Rudrapur plant employs about 500 workers in total. The quantum of contract workers keeps on changing due to seasonal variations in the demand of biscuits, on an average it was conveyed that the ratio of regular workers to contract workers remains 50:50.

Though not very obvious, but at the ground level one can feel workers distinguished on being pahari (of the mountains) or maidani (of the plains).

The contractor agency found working in Parle was a renowned Pune based manpower company providing manpower to organizations all over India, including some of the top establishments of the country. For details see, http://bvgindia.in/ .

While acknowledging the issues which the contract workers face, he recounted numerous efforts many of them initiated by him in building better relationship with all employees including contract workers.

It was later found that the strike and settlement took place in Nestle Pvt. Ltd in 2009 (which is the biggest FMCG unit at the Rudrapur region), under the aegis of Nestle Mazdoor Sangh (NMS) an offshoot of Bhartiya Mazdoor Sangh (BMS). BMS have wing in both Nestle and Parle units at Rudrapur.

The management stated that it provides subsidized food to the contract workers at par with regular employees; however, the same was not confirmed by the workers interviewed.

As the workers sometimes being illiterate and ill-informed are unable to provide correct information, an assessment is made by the author based on parameters which are grouped as ‘labour profile’. Labour profile is generally based on, background of workers in terms of their educational level, awareness, collective strength; prevailing labour market rates; rates in neighbouring factory, demand-supply of labour; category of workers, etc.

The minimum wages w.r.t. the prescribed hours of work.

As told by most workers, they worked for 12 h and paid for 8 h of work.

The BMS is numerically the largest and one of the most powerful workers unions in India. For details see http://www.bms.org.in/ .

It was told by some contractual employees who were earlier working as regular employees of the company that Parle management took the help of police, and even local goons provided by the contractors, to physically remove the workers from protesting against their dismissals.

The scenario is a representative of the prevailing state of things in most large-sized establishments at Rudrapur.

For details see, http://www.mahindratractorworld.com/ (accessed on 9.02.14).

Data was collected on the state of labour from the factory gate itself by interviewing the workers who came out in-between their work-shift. No permission was granted by the Mahindra management for the fieldwork inspite of repeated persuasion.

BKS is a Mumbai based union see, http://www.suryakantmahadik.in/ .

Payment of commission to contractors’ is more often the criteria for selecting the contractor by an enterprise. In public contract, ‘commission’ form the basis for tendering and the contractor who quotes the lowest commission (L1) is mostly selected for manpower supply or work contract. While competing on commission it is seen that in majority of cases contractors quote low commission rates just to grab the order and later manage his/her profit by adopting illicit labour practices or/ and deducting labour wages. Many contractors and even principal employers agree that ‘competition on commission’ leads to lowering of labour standards;howeverat the same time otherwise the criteria of choosing a contractor on ‘competitive bases’ by giving ‘equality of opportunity’ becomes obscure.

The quantum of commission of the contractor which shall be reasonable is often a matter of dispute. While the contractor seek a high percentage quoting his expenses on, fetching the workers, supervisory staff, maintaining office, dealing with departments like ESI/ EPF, demurrage-payments, besides taxes; the principal employers consider anything above the taxation cost as reasonable.

As the figure quoted by the workers greatly varied this has not been reproduced here, but there was a general agreement among all workers on the increase of production since CB arrangement.

Unlike the workers and contractors who were interviewed outside the factory gate, to get the official view from a senior functionary of the company required an appointment and entry into the company premises. The HR head of the plant who was a gentleman from the army background refused entry in the factory premises on some pretext or other. Later when pursued he plainly said that, why should the company share secrets with researchers with no concern for the company? The plant head though responsive, when contacted on several occasions told that he was too busy to have such an interaction. It was only after exploring all options for almost a year that the author finally requested a senior official from the labour department to intervene and arrange an interview in the interest of research. Even after his phone call and fixing an appointment, getting the short interview costthe author almost a whole day mostly waiting at the reception.

MPH as understood is the rate at which one tractor is assembled in the production line during peak production demand. It was also conveyed that from an earlier speed of 7–7.5 min, the workers have agreed to reduce the MPS to 5.75 min.

It was learned by some of the colleagues of the official interviewed that while earlier 140–150 tractors were produced per day, after signing of the agreement 210–225 tractors were being produced per day with the same manpower strength at peak time.

The union leader was interviewed at the factory premises and later was also called to present his experiences of mobilizing the contract workers, at the CSLG/ICLR conference on ‘Precarious workers in the manufacturing sector of India’ held on 5 November 2014 at the JNU convention centre, New Delhi. The views expressed by the union leader was also seconded by the President of the local chapter of BKS regular workers union during his interview and confirmed by supporting documents.

It was seen on examination of the documents that the office bearers of BKS based in Mumbai were involved in the process of collective bargaining on behalf of the contract workers at the Rudrapur unit.

It was seen that almost 70% of the contract workers were covered under this agreement, the remaining workers were either very new or were unwilling to bind themselves in productivity clauses.

While on perks and privileges, equivalence of contract workers and regular workers of same category to certain extent was established by the agreement; however, substantial difference remained in pay and allowances of regular workers and contract workers. For the regular workers also similar agreement though much elaborate and signed directly between the management and the union (BKS) exists. Copy of both the agreements was obtained by the author though with some difficulty during the field visit.

The Trade union act, 1926 (Section 6 (e)) speaks of union membership of ‘connected’ employees. As the contractor is the de - jure employer of contract workers, for CB or for raising an industrial dispute, the BKS union leaders find it convenient to maintain separate membership and office bearers for them.

Though on a side note the labour official acknowledged the lack of a clear provision of absorption of the workers on abolition and quipped that it was better to ignore such win-win position when nobody complains even if the same is at variance with law.

On bonus howsoever there exist some grievances of the contract workers that they do not get at par with regular workers.

For details on DMRC see, http://www.delhimetrorail.com/about_us.aspx#Introduction (accessed on 14.04.18).

The number of contract workers in construction varies as per the ongoing work. As informed by the nodal officer during discussions the existing strength of these workers were about 30,000 however during peak construction period in the first phase the number touched even 80,000. The number is however only indicational as many contractors hire sub-contractors or manpower contractors for short durations to complete their work.

The annual report of DMRC speaks of ‘7035 highly dedicated personnel, 1124 in Project and 5911 in Operation & Maintenance Wing’. Also, it talks of itself as a ‘caring organization’ with a ‘people’s first policy’ towards its’ employees. However, there is no mention of the contract employees anywhere in the report or the website of the DMRC. See, DMRC annual report, 2012–13 at, http://www.delhimetrorail.com/OtherDocuments/DMRC_Annual-Report-2012-2013.pdf (accessed on 1.12.14).

The Nodal officer (labour) who is also an HR manager is supposed to look after all labour matters of the construction activities of the DMRC; being well versed in labour related issues she was seen to be looking after labour matters of other departments also like sanitation, security. She was entrusted to coordinate the authors’ research work at DMRC.

The delegation of powers of Principal employer to different officials in the same premises is difficult to explain. For example at a Metro station, the PE of the TOM operators/ Contractual Security staff is different from that of the sanitation staff. The Contract labour (R&A) act though is silent about this aspect but as various provisions in the act entrusts responsibility of maintenance of restroom, toilet and other facilities on the PE, and as work outside the premises of PE is considered outwork (Section 2(i)(C)), the provision of a single PE for one premise seem implied.

As per clause 6.1.2 of ‘Conditions of Contract on Safety, Health and Environment, Version 1.2’ of civil tender document of DMRC. See http://www.delhimetrorail.com/tenders.aspx (accessed on 1.12.14).

As informed two Labour welfare inspectors assist the Nodal officer (Labour) in monitoring work.

The DMRC tender document even contains format of ID card given to contract workers, list of awareness campaigns to be conducted and number of posters for awareness to be displayed at work sites. The detailed terms and conditions on labour matters are typically given in annexure A, B, C and D of conditions of contract on Safety, Health and Environment (SHE), Version 1.2 of civil tender document of DMRC. For DMRC tenders see, www.delhimetrorail.com/tender .

The last major strike in the Indian Railways which employs the largest number of workers in India was led in 1974 by Late George Fernandis, the renowned socialist leader.

As per DMRC notification issued vide November 2013 issue of Metro news (based on Delhi government rates) the monthly minimum wage rate of unskilled worker was Rs. 8086 ($121); however most workers told that they were getting around Rs. 6000 ($90) per month.

TOM operators or Ticket office machine operators man the token windows of the DMRC at different stations.

Though one union member told that he was a former contract worker of DMRC.

The unregistered union of contract workers named Delhi Metro Rail Kamgar Union (DMRKU) which existed during the fieldwork of the author got finally registered in June, 2016 as Delhi Metro Rail Contract Workers UnionSee DMRCWU facebook page at, https://www.facebook.com/dmrcwu and also DMRCWU blog at http://dmrcwu.blogspot.in (all accessed on 15.04.2018).

As gathered from discussions and the talk delivered by DMRC union leaders in the one-day CSLG conference on ‘Contract labour in India: Issues in law and public policy’, held on 21 April 2014 at Convention centre, JNU, New Delhi.

The Aam Admi party (AAP) led by its popular leader Arvind Kejriwal enjoyed power with outside support of the Indian National Congress (INC) for a brief period of 49 days in December 2013–February 2014.

For details on struggle for union recognition, see the face book post of the union at https://www.facebook.com/dmrcwu/photos/a.1059285894098299.1073741828.1058402290853326/1375292685830950/?type=3&theater (accessed on 15.04.2018).

The DMRC collective bargaining efforts rarely mentions the numerous migrant workers employed at construction sites, though the DMRCWU FB posts do briefly mention on this dark side. With all other precarious workers covered in CB efforts, the exclusion of construction workers who form the majority of the working population at DMRC is a matter of concern.

As DMRC being an equal equity joint venture company of Government of India and the Delhi Government.

It was told that as done in other departments, based on minimum wages notification being issued by the Central and State labour ministry twice in a year (April and October), the DMRC issues its own notification fixing wages at rates which is higher among the two.

For details on BOWCESS act see, https://www.shrm.org/resourcesandtools/legal-and-compliance/employment-law/pages/india-construction.aspx (accessed on 15.04.18).

The assessment is based on reasoned facts presented during the period of field work, though there are many complains of irregularities reported in the past as one made by a TOM operator which found coverage in national newspapers [see, http://www.thehindu.com/todays-paper/delhi-metro-workers-losing-crores-in-wages/article4024391.ece (accessed on 1.12.14)].

It was generally conveyed by the TOM operators that the contractors took hefty security deposit with no proper receipt during initial recruitment, citing security and financial reasons.

In fact due to the provision contained under Section. 2(e) vide which a workman has been defined as inter-state migrant workman only when he is ‘recruited by or through a contractor in one state under an agreement or other arrangement for employment in an establishment in another state’, and Section 12—w.r.t. licensing of contractors for grant of benefits under the Inter-State Migrant Workmen Act, which makes the Act self-restrictive (destructive to be blatant).

The regular workers of the DMRC got their union named Delhi Metro Rail Corporation Employee Union (DMRCEU) registered with the Delhi labour department way back in the year 2007. For details on the union activities, see their face book page at, https://www.facebook.com/dmrceu.org (accessed on 16.04.18).

As per law, on change of contractor his contract workers like TOM operators also shall get replaced by workers of the new contractor. However, in most places the old workers continue with the new contractor may be at revised terms. Attempts to change the TOM operators were faced with vociferous protests through the DMRCWU.

The DMRC station controllers are the officials sitting in circular glass chambers at metro stations and issuing/ recharging the metro smart cards.

The DMRC HR officials when questioned in this regard argue that the station controllers posted at metro stations are selected after a rigorous selection process and their IQ level is much higher than the those of the TOM operators provided by the contractor; moreover, the job assigned to the Station Controllers are much wider than the TOM operators who only do token vending.

For labour ministry recommendations see, http://www.dailypioneer.com/city/end-contract-labour-system-in-delhi-metro-labour-ministry.html (accessed on 16.04.18). However, it was conveyed during discussion with some of the union leaders that in view of the prevailing ambiguity on ‘absorption after abolition’ clause, they were not actively pursuing for abolition of the token vending work under the provisions of Contract Labour (R&A) act, 1970 (Section 10); which otherwise was possible due to the regular nature of job of TOM operators.

As the brick kilns are locally called in Bihar.

In fact the Labour Commissioner, a senior IAS officer, was very much interested on the idea of research on Brick Kilns in Bihar. He shared some of the finding of an ILO study which could not be completed. His inputs on contract labour matters were found very useful.

After the monsoons the author got reservation in train first in September and then again in October; however; due to late monsoon the trip was twice postponed.

The flood plains which remains submerged (or threatened) during monsoons provide ideal conditions for brick industry as suitable soil, water and open space for making bricks and accommodating workers are available in plenty. While the chimneys were found to be located at high ground, brick-moulding and drying work which requires much open space was spread over all available space. Also being near the river and often cut-off from the main land, the territory mostly inhabited by migrant workers largely remain out of bounds of the district administration.

As conveyed by the factory inspector, Danapur region. Also, a list of 123 registered brick kilns (under factories act) around Danapur region was obtained from his office.

Maner is famous for mausoleums of Sufi saints, and also for maneri laddus which is a sweet delicacy of Bihar.

The very first meeting was disappointing as the factory inspector of Danapur refused to cooperate in any research endeavour citing numerous reasons. He was a man of bureaucratic temperament and made the author sit at his table up till evening since morning before finally relenting to help only if he could get time. During the whole day sitting with him, the author learnt that this was a new posting for him; his two staff (a clerk & a women messenger) were not cooperating with him; he was also holding the additional charge of deputy CIF of Muzzaffarpur region; he was not provided with any office conveyance; and that he had not visited any brick kiln in the region or was neither interested to visit them in the near future.

Some well-wishers in offices narrated stories of ill fate or mis-happenings met with some researchers who happened to visit the brick kilns in the past. It was told that the brick kiln owners or ‘ bhattyaras ’ as they are locally called are nasty people and often criminals who are known for, throwing people in the heating chimneys or the river, or, for shooting and Kidnapping.

Due to apprehensions, the author finally pursued the Danapur factory inspector who kindly consented to spare three hours for the visit. In spite of picking (and dropping) him up and driving him in fully AC on (on his insistence) car, he refused to grant any extra time for further queries or side visit to Maner sharif durgah or maneri laddo shops which fell on the way.

During the visit with the inspector, the brick kiln owners were cautious against disclosing information, more so due to insistence of the inspector only 4–5 bhattas in one locality could be visited.

At most bhattas one can see children working alongside other family members.

An ideal soil type on being mixed with water becomes ductile enough to be moulded into different shapes without breaking. Brick making involves mixing soil with water, sand and hay and hand putting into moulds. Earlier mixing work was done by foot but now everywhere mixture machines are used.

At present ‘fixed chimney bull’s trench’ type of Kiln are used in the region.

Adivasi workers were called as ‘ jhulais ’ as other co-workers, may be because these workers carried hand-held carriages or jhulas .

Cost for weekly ration which ranges from Rs. 250 ($3.78) to Rs. 300 ($4.53).

It was difficult to talk to the ladies due to social inhibitions.

The workers from Jharkhand seemed to be at the lowest strata of the caste and work hierarchy at the brick kilns. Being migrant workers from a different state and with advances pending, they were apparently most liable to have restricted movement.

There was no other option as the workers reside with their families in the bhatta premises only and rarely ventured outside.

No bhatta owner was found to be a new entrepreneur.

As per the Bonded Labour System (Abolition) Act, 1976, an advance payment in cash or kind in lieu of forced labour is considered ‘bonded labour’ and is abolished. See the full act at, http://www.labour.nic.in/upload/uploadfiles/files/ActsandRules/SectionoftheSociety/TheBondedLabourSystem(Abolition)Act1976.pdf (accessed on 8.12.14).

Few owners and their munshis in their interviews did inform of bonded labour still being practiced in one of the neighbouring (may be rival) bhatta and asked the author to check himself and write a report about the ill-doing there.

Though the veracity of association could not be independently established.

No doubt during field work. It was seen that most people identified brick kilns by the names of the owners (and not by the company name) who were often politicians.

Karma festival is celebrated by the Oraon and Santhal tribes of Jharkhand in which the karma tree is worshipped. It is also celebrated by unmarried sisters for the well-being of their brothers. Jitiya is observed as jhurr - puja in which traditional instruments are played with tribal dance. It is also celebrated for the well-being the children. For details see, http://www.daltrijournals.org/JTICI/I3A5.html (accessed on 9.12.14).

During field visit only license under the factories act was produced by the owners. The factory license has the number of workers stated on it.

The minimum wages fixed by the Bihar government has separate section for brick making industry in which both daily wage rates and piece-rated rates for different categories of work are fixed. For current minimum wages notification of state government of Bihar, see http://labour.bih.nic.in/ —notifications.

Contract Labour (R&A) Act, applies to every establishment employing more than 20 workmen and in operation for more than 60 days in a year even though having seasonal character (Section 1(5)).

One was a senior executive member of AITUC.

As confirmed by a former official of ILO working in the Bihar region; however, the same could not be substantiated during the field visit.

As per minimum wages as fixed by the Bihar Government for piece rated work at brick kilns. In fact the rates fixed for moulding work ( pathai ) @ Rs. 230 ($2.5) per thousand bricks, by the Bihar Government vide notification dtd. 1.4.14 was found to be much lower than the prevailing rates of around Rs 430 ($ 6.5) per thousand, prevailing in the region.

Though some confusion prevailed earlier, but it has been generally accepted by the government to grant benefit under the BOWCESS act to brick kiln workers by registering them either at their work place or native place. See, 44th report of the Standing committee on labour, Lok Sabha (Chap. 2) at http://www.prsindia.org/uploads/media/Construction%20workers/SCR-%20Building%20and%20Other%20Construction%20%20Laws.pdf (accessed on 10.12.14).

As mostly reported by the enforcement officials in their interviews.

For qualitative study on details on methods of labour recruitment in brick kilns of Bihar, see Devi ( 1981 ).

The cost calculation is purely based on accounts as provided by some munshis, and lacks inputs from other stakeholders.

The Dahej area has both the GIDC zone and the SEZ.

An SEZ is treated like a foreign territory in the matter of movement of goods in-out of the area. All entry of goods are treated like import, while the exit of goods is treated like export and monitored by custom officials. Even entry of Indians within the SEZ area requires permission from the office of the Development Commissioner. (The fiscal advantages and scheme of things at a SEZ is planned for export oriented units (EOU) and not for Indian markets which would otherwise cause tax-losses to the government).

For details on SEZ policy see, http://www.sezindia.nic.in .

For details on Dahej SEZ see, http://www.dahejsez.com/dahej_sez_profile.html .

As declared in 2011 and 2012, see; http://timesofindia.indiatimes.com/business/india-business/Dahej-SEZ-makes-it-to-worlds-top-50-free-zones/articleshow/15614427.cms (accessed on 11.12.14). Also see http://www.dahejsez.com/news/Global-Free-Zones-of-the-Future.pdf (accessed on 12.12.14).

As stated on the website (accessed on 12.12.14), ‘export of Dahej SEZ was Rs. 2069 crores ($31.5 million) during 2013–14 and Rs. 1452 crores ($22.1 million) during 2014–15 (updated up till November 2014)’, see, http://www.dahejsez.com/dahej_sez_profile.html .

See sample allotment letter at http://www.dahejsez.com/forms/specimen-copy-of-offer-cum-allotment-letters.pdf (accessed on 12.12.14).

The account given by the HR professionals on labour relations and policy in China could not be independently verified. As for the steel company, a Taiwanese owned company named China Steel Corporation India Pvt. Ltd. is operating in the GIDC area, Dahej-II, in Bharuch.

The success of Chinese model of SEZ was due to its’ large size, careful planning, stable policies, and flexible labour laws. However, unlike India which has approved 200 SEZs of all dimensions, China has restricted itself to six large size SEZs. For details see, http://articles.economictimes.indiatimes.com/2006-11-14/news/27449595_1_sez-policy-chinese-sezs-sez-act (accessed on 12.12.14), also see, http://www.impactjournals.us/download.php?fname=--1392913454-7.%20Humanities-A%20Comparative%20Study%20on%20Indo-Chinese%20SEZs-K.G.Mallikarjuna.pdf .

See, SEZ Act, 2005 at; http://www.sezindia.nic.in/writereaddata/pdf/SEZ%20Act,%202005.pdf (accessed on 11.12.14).

See Gujarat SEZ Act, 2004 and other acts of the government of Gujarat state related to SEZs see, https://ic.gujarat.gov.in/sez-government-of-gujarat.aspx (accessed on 08.05.18).

Also as contained in the Central SEZ Act, 2005, ‘every Development Commissioner shall discharge such functions and exercise such powers as may be delegated to him by a general or special order by the Central Government or the State Government concerned, as the case may be’ (Section 12(4)).

During field visit to the SEZ, while one official from the office of Chief executive officer (developer side) was interviewed, almost five officials from the office of the Development Commissioner side were interviewed. The development Commissioner sits at his office at Ahmedabad.

W.e.f. 24.04.2015, the government has introduced online filing of return though an unified portal, viz. https://shramsuvidha.gov.in/home .

Though the BOWCESS act was enacted in 2006 and is not contained in schedule 1, but as per the enabling provision of the 2005 act, ‘the Central Government may, having regard to the objects of this act, and if it considers necessary or expedient so to do, by notification add to, or as the case may be, omit from the First Schedule any enactment specified therein” (Section 54(1)).

See notification no. GRH-2007-30-IDA-2006-231-M.4 dated. 13.4.2007 at http://ic.gujarat.gov.in/wp-content/uploads/2011/03/SEZ_related_circulars.pdf ; also one can see related references made at http://ic.gujarat.gov.in/?page_id=521&http://ic.gujarat.gov.in/?page_id=3090 (all accessed on 12.12.14).

See, http://www.dahejsez.com/Content/sezs-in-gujarat-46 (accessed on 8.05.17).

See http://www.kasez.com/gujarat.htm and also http://articles.economictimes.indiatimes.com/2002-07-27/news/27342269_1_sez-units-sez-goods-sales-tax (all accessed on 12.12.14).

The official interviewed from the office of CEO, SEZ Dahej, seemed to be the only regular official while all other were either holding additional charges from distant locations or travelling long distances to reach the venue.

For details on GIDC see, http://gidc.gov.in/ .

Based in Zurich, Switzerland, ABB is the global leader in power and automation technologies. For details see http://new.abb.com/about/abb-in-brief (accessed on 15.12.14).

It was informed by the union workers that all information is available only with one Mr. Pillai who was their leader and the man behind all CB efforts at the unit, however all attempts to contact him failed as he seemed to be also looking after the CB affairs of many other companies. No other union person seemed to possess substantial information on the whole aspect.

Some sanitation workers interviewed spoke of three monthly breaks.

Regular workers were found to be unionized in some factories located in the SEZ which are branches of nation-wide large manufacturing industry having national unions.

Under the Industrial Disputes Act, any worker who has completed 240 days on job can raise an industrial dispute.

Though there is lot of contradicting statistics on the economic status of Gujarat however there is a general agreement that the state has successfully risen as an industrial power in the recent times. See, Mukherjee ( 2011 ); also see, http://businesstoday.intoday.in/story/vibrant-gujarat-summit-discordant-notes/1/191971.html ; and http://timesofindia.indiatimes.com/edit-page/Gujarat-Myth-and-reality/articleshow/14032015.cms (all accessed on 15.12.14).

When some employers, contractors and experts with pan India experience were questioned on this aspect; some pointed towards better monitoring, historical reasons, job-availability, or/and Gujarati value and ethics.

See, http://timesofindia.indiatimes.com/city/ahmedabad/Huge-shortage-of-skilled-manpower-in-Gujarat/articleshow/15625638.cms and, http://archive.financialexpress.com/news/over-30000-mandays-lost-in-2012-due-to-strikes/1078021 (all accessed on 15.12.14).

See for details, http://www.chinadaily.com.cn/bizchina/shenzhen30years/sz.html accessed on 7-05-17.

For details see, Chaudhuri ( 2011 ).

For example, out of 15 million population of Shenzhen only 2.7 million have urban residency rights. For details see, http://www.clb.org.hk/en/content/latest-population-statistics-show-migrants-still-margins-guangdong (accessed on 21.04.18).

For details on trade and cultural relations between India and South China, see, https://www.cgiguangzhou.gov.in/cgi.php?id=South_China (accessed on 21.04.18).

It were the faculty from the Sun-Yat Sen University, who hosted the author and introduced him on the prevailing state of affairs at the industrial zone of Guangzhou and Shenzhen. One of the professors who was himself a well-known labour expert took the author to different industries in the Guangzhou zone and personally interpreted his interviews with different workers, union leaders, and employers. In view of the same and the inherent limitations some perceptions included in the work might be preconceived, though all attempt has been made by the author for an unprejudiced reporting of the fieldwork.

The Guangdong provincial government has further set an ambitious target to include some sort of private ownership in 70% of SOEs by 1970 which would be extended to all SOEs by 2020. For details see, http://www.scmp.com/business/economy/article/1603492/guangdong-eyes-soe-reform (accessed on 21.04.18).

As perceived during most field visits to industries in both Guangzhou and Shenzhen, the union representatives were competent to grant access for visitors (like the author) within the industrial premises. The same happened with the author only at ABB factory in Vadodara in India.

The interviews were held from outside the factory gate as no one was allowed inside. There seemed to be two groups among workers one supporting and other opposing the strike. There seemed general discontent among many workers on the collective bargaining agreement which some said had provoked the agitation. The discontent and strike casts doubt on the process of the CB negotiation process.

In this way the experts viewed that China has stronger tradition on collective bargaining than those prescribed under ILO conventions 87 and 98.

It was told that in Guangdong province alone the ACFTU has thousands of full-time paid employees.

There has been series of industrial accidents in Bangladesh in the recent past, the most serious was of April, 2013 when about 1100 workers were reported killed due to building collapse. For details see, http://www.cbc.ca/news2/interactives/timeline-bangladesh/ .

It was learnt that as the union of agency workers were different to regular factory union the contribution of agency workers went to the other union; hence, the factory union oppose increase in the number of agency workers.

The study as he said matched the percentage of decrease in elementary students in China with the percentage of decrease in population.

Later, on gathering facts it was learnt that Volkswagen had setup a manufacturing plant in Chakkan, Pune (India) in 2009 and added a diesel engine assembling plant in the same factory in February 2015. Volkswagen did earlier had plans to set up a manufacturing line in Chennai. For details, see http://www.rediff.com/money/2003/mar/12plant.htm ; http://www.rediff.com/money/2003/mar/12plant.htm ; http://www.business-standard.com/article/companies/volkswagen-starts-diesel-engine-assembly-plant-in-india-115012700991_1.html ; (all accessed on 22.04.2018).

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Kumar, P., Singh, J. (2018). Contract Labour in Practice: Some Case Studies. In: Issues in Law and Public Policy on Contract Labour in India. Springer, Singapore. https://doi.org/10.1007/978-981-10-8444-7_5

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10 Important Cases of Labour Law

This article presents a comprehensive overview of ten landmark cases that have significantly influenced the evolution of labour laws in india..

The article '10 Important Cases of Labour Law' presents a comprehensive overview of ten landmark cases that have significantly influenced the evolution of labour laws in India.

Labour law covers employment contracts, wages, health and safety, fair treatment of employees, dispute resolution mechanisms and so on and so forth. It provides regulations that govern the relationship between an employee and the employer in a workplace. Labour laws play an important role in the protection of the rights of employees. The cases discussed below aim to cover various aspects of labour laws.

1. Workmen of M/S Firestone Tyre and Rubber Co. of India v. Management [1]

In the instant case, the workers of the Firestone Tyre & Rubber Company were terminated from their employment by the employer as a result of the Domestic Inquiry Finding. Meanwhile, during the pendency of the suit, the amendment to the Industrial Tribunal Act in 1971, brought in Section 11 A which conferred Industrial Tribunal with the Appellate Authority power over domestic inquiries into emerging disputes. The Tribunal gave a decision in favour of the employer and therefore dissatisfied with the decision; the aggrieved workers appealed to the Apex court against the order passed by the tribunal. The Supreme Court considered on the understanding of Section 11A of the Industrial Disputes Act, 1947 and acknowledged the Industrial Disputes Act, 1947 as a beneficial legislative measure drafted for the welfare of employees.

However, the court ruled that since the lawsuit was started before the amendment, the said section would not be applicable in this case. It would only be relevant to cases started after the amendment to the Industrial Dispute Act, 1947.

2. Bandhua Mukti Morcha v. Union of India [2]

A PIL was filed by an organization named Bandhua Mukti Morcha who were actively fighting against the abhorrent practice of bonded labour. The organisation outlined a survey report, conducted in stone quarries in the Faridabad district which revealed numerous workers facing inhuman & intolerable conditions, with a drive of forced labour.

In response to the highlighted facts, the Court recognized guidelines for identifying bonded labourers and directed that state governments must locate, release, and rehabilitate the bonded labourers. The court also declared that a person being a bonded labourer is deprived of liberty, and is a slave with no freedom in choosing employment.

The court also ruled that if it is established that a worker is engaged in forced labour, the presumption is that economic deliberations are involved, and therefore, the worker is a bonded labourer. This presumption can only be refuted by the employer & the state government if they deliver satisfactory evidence.

3. Steel Authority of India Limited v. National Union Waterfront Workers [3]

The Government of West Bengal originally forbade contract labour at specified stockyards in Calcutta by virtue of the Contract Labour (Regulation and Abolition) Act, 1989. The prohibition was temporarily put off through a notification dated August 28, 1989, but it was extended until August 31, 1994. The contracted labourers of a central government enterprise which were primarily involved in manufacturing iron and steel products and engaged in import-export had its branches across India, petitioned the Calcutta High Court to direct the appellants, SAIL, to fascinate them into their consistent establishment due to the West Bengal government's prohibition. The Calcutta High Court, considering the State Government as the appropriate authority dismissed the writ petition. In response to this, the appellants appealed to the Supreme Court, putting in question, the interpretation of "appropriate government" enshrined in Section 2(1)(a) of the Contract Labour (Regulation and Abolition) Act, 1970.

The apex court lined that any company working under the authority of the Central Government undertakings, which fails to function due to a lack of conferred power, is considered an industry under the Central Government. Subsequently, the court determined that as per the Contract Labour (Regulation and Abolition) Act, 1970, the appropriate government was the Central Government.

4. People’s Union for Democratic Rights v. Union of India [4]

The PUDR is an organization formed to protect the democratic rights of the Citizens. In the instant case, PUDR appointed three scientists for the inquiry to be conducted in the ASIAD Projects. Based on the investigation report the petitioner addressed a letter to Justice P.N Bhagwati which served as a Public Interest Litigation. The letter highlighted violations of various labour laws and the apex court was requested to look into the issue. The letter was considered as a writ petition by the Supreme Court. Notices were issued to the Union Government, the Delhi Development Authority & the Delhi Administration.

The major allegations highlighted-

The violation of the Equal Remuneration Act, 1976( women workers were not paid properly; misappropriation of money).

The violation of Article 24 of the Constitution of India, the Employment of Children Act, 1938 & 1970 as the children below 14 years were engaged at the construction site by the contractors.

The violations of the Contract Labour (Regulation and Violation) Act of 1970, resulted in the maltreatment of the workers and denial of their various rights.

The apex court in this case found that the stated violations did happen and at a gross means. The court held that there were abuse of labour laws in mass and the State was obliged to take action against such violation ensuring that the fundamental rights of the labourers are safeguarded.

5. Syndicate Bank and Ors v. K. Umesh Nayak [5]

The major issue in the instant case before the Apex Court was whether the workmen were entitled to get paid during the period of strike despite the strike’s nature, legal or illegal.

The Apex Court held that unless a strike contradicts the provisions of the Industrial Disputes Act, 1947, it would be considered legal. Close scrutiny is essential to be applied to the particular factual condition of each claim.

In the instant case, the strike was a result of longstanding disputes between employees and employers. It is the last resort available to the employees for their demands to be fulfilled by the industry. The Industrial Legislation provides for worker’s right to protest and the right of the employer to lockout & provide machinery for peaceful inquiry & clearance of disputes between them. Therefore, the Court ordered that the employees be paid for the strike period.

6. Municipal Corporation of Greater Bombay v. Labour Appellate Tribunal of India [6]

Retrenchment was questioned in this case. The term retrenchment amounts to the termination done by the employer of the employee for reasons other than giving punishment through disciplinary action. It is generally done to relieve them from a job in good faith. In this particular case, the employer sent a show cause notice to the employee after leading an inquiry into misconduct. As a result, the employee was terminated being found guilty and unfit for continued employment with the company. The terminated employee filed a petition seeking restoration and compensation on grounds of termination. The Labour Court ruled in favour of the employee. This decision was challenged by the appellant in Bombay High Court. The High Court decided that this case did not involve retrenchment because the employee’s termination was based on misconduct.

7. M.C. Mehta v. State of Tamil Nadu [7]

In the instant case, Shri MC Mehta invoked Article 32, for violation of fundamental rights of children guaranteed under Article 24. The Court found Sivakasi was the main offender who was employing many child labourers, engaging them in the manufacturing process of matches and fireworks which is qualified as a hazardous industry and held employing children under the age of 14 years in this industry is prohibited.

The Court restated that children below the age of fourteen must not be engaged in any hazardous industry and must ensure all children get free education till the age of 14 years. The Court further also looked at Article 39 (e) which states that the children’s tender age should not be exploited but instead, the opportunities for their healthy growth and development. Therefore, the Court directed the employer Sivakasi must pay a compensation of Rs. 20,000 for violation of the Child Labour (Prohibition and Regulation) Act, 1986.

8. Hindustan Aeronautics Limited v. Workmen [8]

The appellant Hindustan Aeronautics Limited is a company registered under Section 617 of the Companies Act, 1956, belonging to the Central Government. The case is about 1000 workers, working in the company’s repairing unit at Barrackpore, West Bengal were facing issues w.r.t the allowance of the employee’s education, revision of lunch allowances and job permanency. The dispute was then taken by the West Bengal Government under Section 10 (1) to the Industrial Tribunal. The Industrial Tribunal partly awarded some relief to the workers. As a result, the Appellants took their case to the Apex Court and questioned whether the West Bengal government was an appropriate government or not, to resolve the dispute.

The Supreme Court held that the West Bengal government is the appropriate government keeping in mind the company’s subsidiary in West Bengal carried on different business.

Therefore, when there arises a situation of conflict or breakdown, the government of West Bengal has the authority to settle any dispute and keep industrial peace.

9. Bata Shoe Co. Ltd. v. D.N Ganguly [9]

The case is related to a dispute that emerged between Bata Company and the workers. The parties opted for the process of Conciliation to reach a settlement. But the workers initiated a strike post-settlement for which the company declared the strike illegal, stating its contradiction to the earlier settlement. Accordingly, the company conducted an inquiry and terminated the striking workers. In executing the termination dispute, another conciliation proceeding arose, resulting in a signed agreement between both parties. Remarkably, no conciliation officer was present throughout this process.

The main issue before the apex court was whether a settlement executed between the company and the workers could exist in accordance with Section 12 and Section 18 of the Industrial Disputes Act, 1947. The apex court held that the first settlement was binding since it was in accordance with the specified sections however the subsequent settlement remains non-binding since it was contrary to the specified provisions of the Industrial legislation.

10. Bangalore Water Supply v. A. Rajappa & Others [10]

A. Rajappa was an employee of the Bangalore Water Supply and Sewerage Board. A labour dispute was persisting between the employee and the board. A. Rajappa along with several other workmen were fined by the Board for misconduct. A hefty amount was recovered from them which was not reasonable. Therefore A. Rajappa along with other workmen approached the Labour Court. The issue was whether Bangalore Water Supply and Sewerage Board fell within the definition of industry under Section 2(j) of the Industrial Dispute Act, 1947. The Supreme Court of India dismissed the Bangalore Water Supply and Sewerage Board's appeal and held it within the industry definition under the Industrial Dispute Act, 1947.

[1] 1973 SCR (3) 587

[2] AIR 1984 SC 802

[3] Appeal (Civil) 6009-6010 of 2001

[4] 1982 AIR 1473

[5] 1994 SCC (5) 572

[6] AIR 1957 Bom 188

[7] AIR 1997 SC 699

[8] 1975 AIR 1737

[9] 1961 AIR 1158

[10] AIR 1978 SC 548

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George Alan Kelly listens to closing arguments in Santa Cruz County Superior Court, Thursday, April 18, 2024 in Nogales, Ariz. Kelly was charged with second-degree murder in the January 2023 death of 48-year-old Gabriel Cuen-Buitimea, who lived south of the border in Nogales, Mexico. (Angela Gervasi/Nogales International, via AP, Pool)

PHOENIX – An Arizona judge declared a mistrial Monday in the case of a rancher accused of fatally shooting a Mexican man on his property near the U.S.-Mexico border.

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Court officials took jurors to Kelly’s ranch as well as a section of the border. Fink denied news media requests to tag along.

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Cuen-Buitimea lived just south of the border in Nogales, Mexico. He had previously entered the U.S. illegally several times and was deported, most recently in 2016, court records show.

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The jury got the case Thursday afternoon, deliberated briefly that day and then all of Friday and Monday.

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