Labour~12 min read

Trade Unions, Standing Orders, Compensation

Trade Unions Act 1926, Standing Orders 1946, Employees’ Compensation Act 1923.

  • Trade Unions Act, 1926: 7 or more members may apply for registration; registered union is a body corporate. 10% or 100 workmen (whichever is less, minimum 7) required to maintain registration (post-2001 amendment).
  • Immunities: s.17 (criminal conspiracy in trade disputes), s.18 (civil suit for acts in contemplation or furtherance of a trade dispute).
  • Office-bearers: not more than one-third (or 50%, as amended in some readings) may be outsiders; political fund is separate and voluntary.
  • Industrial Employment (Standing Orders) Act, 1946: applies to establishments with 100+ workmen (50 in some states). Standing orders cover classification of workmen, hours, leave, termination, misconduct. Certified standing orders bind employer and workmen.
  • Employees’ Compensation Act, 1923 (Workmen’s Compensation): employer’s no-fault liability for personal injury by accident arising out of and in the course of employment. Occupational diseases in Schedule III. Not applicable where ESI covers the employee.
  • Compensation: death — 50% of monthly wages × relevant factor or ₹1,20,000 whichever more (amounts revised); permanent total disablement — 60% × factor. Funeral expenses extra.
  • Contract Labour (Regulation and Abolition) Act, 1970: applies to establishments/contractors with 20+ contract labour. Licensing of contractors; principal employer remains liable for wages and amenities if contractor defaults.

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