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Applicability of the Standing Orders Act & Formation

Applicability of the Standing Orders Act & Formation.

What is the Applicability of Standing Order act?

The concept of ‘Standing Orders’ is one of the recent growth in relation to Indian labour- management. Prior to 1946, there existed chaotic conditions of employment, wherein the workmen were engaged on an individual basis with uncertain and vague terms of employment. The Act was enacted as a simple measure to remedy this situation – by bringing about uniformity in the terms of employment in industrial establishments so as to minimize industrial conflicts.

The Preamble of the Act imposes a compulsion upon the employers, “to define with sufficient precision the conditions of employment” and make the same known to the workmen.

This Act is to require employers in industrial establishments to formally define conditions of employment under them and submit draft standing orders to certifying Authority for its Certification. It applies to every industrial establishment wherein 100 (reduced to 50 by the Central Government in respect of the establishments for which it is the Appropriate Government) or more workmen are employed. And the Central Government is the appropriate Government in respect of establishments under the control of Central Government or a Railway Administration or in a major port, mine or oil field. Under the Industrial Employment (Standing Orders) Act, 1946, all RLCs(C) have been declared Certifying Officers to certify the standing orders in respect of the establishments falling in the Central Sphere. CLC(C) and all Dy.CLCs(C) have been declared Appellate Authorities under the Act.

Who has ?

Section 1 of the Act provides that the Act shall apply to the industrial establishments (within India) with an engagement of more than a hundred workmen at present or as noted on any day in the preceding year unless provided by the appropriate Government for application to any such industrial establishment – with less than a hundred employees.

Application of the Act

Section 1 of the Act provides that the Act shall apply to the industrial establishments (within India) with an engagement of more than a hundred workmen at present or as noted on any day in the preceding year unless provided by the appropriate Government for application to any such industrial establishment – with less than a hundred employees.

Exclusion of certain industrial establishments

Certain industrial establishments have been excluded from its application via various statutory provisions enlisted in this Act:

  • Section 1(4) excludes those establishments to which Chapter VII of the BIRA or MPIESOA applies unless controlled by the Central Government.
  • Section 13-B excludes those establishments whose workmen are subject to the Fundamental & Supplementary Rules; various Civil Services Rules; or any other rules provided by the ‘appropriate Government’.
  • The provisions of Sections 10 and 12-A(1) do not apply to the establishments under the control of the States of Gujarat/Maharashtra.

Power to exempt: Section 14

Section 14 empowers the appropriate Government to exempt any industrial establishment from being subject to all or any of the provisions of this Act, either conditionally/unconditionally.

 

Special features of the Act

The Act envisages three important features, they are:

  • Concept of Standing Orders;
  • Adjudicatory powers of the Certifying Officer; and
  • CSOs (short for – Certified Standing Orders) to have the force of law.

 

Standing orders

Section 2(g) of the Act states that “standing orders” are the rules relating to matters set out in the Schedule, i.e. with reference to:

  • The classification of workmen;
  • Manner of intimation to workers about work and wage-related details;
  • Attendance, and conditions of granting leaves, etc.;
  • Rights & liabilities of the employer/ workmen in certain circumstances;
  • Conditions of ‘termination of’/‘suspension from’ employment; and
  • Means of redressal for workmen, or any other matter.