Manish Gupta (Corporate HR Head) 10 February 2015

Employees statuary rights

Dear all,

We know all about labor law protection for wokers. lets talk about certain class of employees who are not governed by labor laws, specificall whose monthly salary exceeds 15,000/- or when employer simply refuse to pay his legal obligations, then what HR mgr should do in that situation?

What legal benefits they are entitled and how they can take protection from govt.?

Just to share a case study:

Alex joined as HR mgr in 400 cr group.He was horrified to see that employer is not paying ESI/EPF to all employees. He is not even paying min wages to some class of employees also he is manipulating with salary records for income tax purpose.

The co. is earning huge profits, but not willing to pay bonuses.

Employees are not raising voice due to ignorance and/or worried for job security.

Alex try to convince employer many times, but employer simply refuse to do any changes. Now employer asked to dismantle the HR deptt and asked Alex to leave with in a month or two.

Alex have to choices: one search for good job and leave OR fight for employee rights till employer changes his stand.

What should Alex do? what legal ways Alex can choose?

looking for good debate and legal advice as well!!

thanks

Manish Gupta

Reply Follow

4 Replies

Kumar Doab (FIN) 15 February 2015

Employees at all levels can unite and form Unions/GUILD/IC's and affiliate with major unions.United employees can defend their interest better.

Employees and unions should retain access to able labor Law Consultants/service Matters Lawyers/law Firms and be properly informed.

Designation or wages alone does not decide person shall be covered as 'Workman' as in ID Act,'Employee' as in (Name of the state) Shops and Commercial establishments Act.......

The deficiencies/Transgressions can be pointed out to:

O/o PM,CM,Concerned Minister/Ministry, Vigilance Cells,

PF: RPFC/Addl.CPFC/CPFC/Vigilance Cell

Bonus: O/o Labor Commissioner for employees at all levels

TDS: ITO-TDS where employee files ITR,CIT-TDS where employer files ITR

MIn.Wages: O/o Labor Commissioner , Inspector appointed under Min.Wages Act ,Dept. of Labor Officials...

Media......

Demand of resignation is offence.record the threats.....

Approach your lawyer.

Manish Gupta (Corporate HR Head) 16 February 2015

Hi Kumar,

Sure Employees can approach/form unions or can go to govt. support. But in this case, employees are fear of losing there jobs, lot of chamchas of the employer are working and you do not know when individual can be penalitized.

The employees are happy to rec. there monthly salary on time, they do not expect anything more than that.

The issue is for HR manager: What must he do in this case?

Can he approach the govt. bodies on other behalf without reveling his identity?, are there any out of box thinking by which employer may understand..

In India, there are so many companies/factories especially SME's/Single owner driven organizations who bribe the inspectors (ESI/EPF/Labor/Income tax)to avoid paying legal dues to govt/employees.

In those companies, HR Mgr role was to handle the situations and mostly it is termed as "Liasoning"

They are paid by the organizations and not by govt.,they have to listen to there employers and simply they have very less in there hands!!

I started the topic to have more discussion from HR mgrs, to redefine there roles in new era.

thanks and looking for more participation.

Kumar Doab (FIN) 16 February 2015

Employees have adopted many techniques e.g. called the Labor Commissioner/DLC/ALC and mentioned that matter shall be sent to print and electronic media, vigilance,unions and shall be pursued thru RTI...........and it sets the ball rolling.

Trade Unions are sensitive to such matters and can be approached e.g.: CITU/INTUC/BMS/AITUC etc.......

YOu can also post at CiteHR.

arulprasath (HR & Legal) 16 February 2015

Dear

The labour law is very clear to protect the employees, wage upto 15000 is a slab for complying the liablities and mandatory certain contributions, labour laws excluding (within the premises) investors and Govt authorities only, all others treated as employees/workers. So irrespective of all category can be seeking justice against the unfair labour practice.

As you mentioned Mr. Alex case as HR manager can be explain to investors about the statutory compliance like PF, ESI, Min wage etc., if investors denyed to complying that HR cant be fight againt investors, but workers can and must do it. because its emmployees rights to fight against unfair labour practice and exploitaions.

Mr. Alex can educate that employees to write a letter to RLC cc to Asst commissioner of EPF, ESIC, after that every things will move.

Regards

G. ARUL PRASATH