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Showing posts with the label Factories Act

Ordinary Rate of Wages

The phrase ‘ordinary rate of wages’ appear in Section 59 of the Factories Act , which require an employer to pay ‘ extra wages for overtime ’ work in a factory.    According to the said section, where a worker works in a factory for more than 9hrs in a day or for more than 48hrs in any week, he shall, in respect of overtime work, be entitled to wages at the rate of twice his ‘ordinary rate of wages’.     The Kerala High Court, in the case of Jossie v. Flag Officer , was confronted with the question of eligible allowances that form part of ‘ordinary rate of wages’.     The court held that ‘ordinary rate of wages’ includes only salary and allowances for the work [like Dearness Allowance (DA)].   It does not include such allowances which are either compensatory in character or incentive in nature. Therefore court held that  House Rent Allowance (HRA),  City Compensatory Allowance (CCA),   Transport...

Self-Certification in Karnataka to Dodge Repeated Inspections

Karnataka has introduced a voluntary self-certification scheme for establishments and industries which would effectively free them from repeated inspections. Only 30 per cent  would come under the purview of random inspection. “Inspections would be done jointly by the department of factories and boilers, and the labour department, requiring the inspectors to file their report at the site,” P B Ramamurthy, additional chief secretary for labour in Karnataka, said at a seminar on human resources organized  by the Confederation of Indian Industry in Bengaluru on 19th Feb 16, Friday. Additionally, to bring in transparency on the Minimum Wages Act, a notification has been issued calling for recommendations to be made by the Minimum Wages Board in consultation with the stakeholders of industries concerned, he said. He also said the government has moved an amendment for exemption of non-hazardous small industries from the Factories Act. He said Karnataka i...

The Factories (Maharashtra Amendment) Act, 2015 - Highlights

If the labour law won't get revisited then economic growth can't be boost, sustain & grow, it is important that our labour laws are revisited. We are now witness of changes that our new regime is bring, we can expect more changes. The Factories (Maharashtra Amendment)Act, 2015 was notified on 2nd December 2015 is a significant step towards reforming the archaic Factories Act, 1948 (" Principal Act "). This write-up compares the changes brought in and highlights the implications thereof for the corporate world. Particulars Prior to Amendment Post Amendment Remarks Section 2(m) definition of term 'Factory' Term 'Factory' has been defined to mean premises where: manufacturing process is carried on with the aid of power and 10 or more workers work on any day in the preceding 12 months; or manufacturing process is carried on without the aid of power and 20 or more workers work on any day in the preceding 12 months; Factory means ...

Factory Registration/Reneal of Licence in Maharashtra

Need to pay huge concentration when you are going to apply for factory license    Every such application shall be accompanied by relevant physical documents as listed below. 1.       Application for Grant of License - Please find the attached Form 1 under Rule 3 (Revised as on December 2015) for Application for permission a.        to construct a new factory, b.       to extend existing factory or c.        Take into use any building as a factory. ·    Application for Registration and Notice of occupation specified in sections 6 and 7 and for Grant of licence of a factory (also for renewal) in Triplicate. 2.        Declaration for Grant of License – Please find the attached – Grant of Licence terms as ‘Jahir Nivedan’ 3.        Form 1A- Certificate of Stability Issued by Chief Inspe...