Dear seniors, I am confused about which establishment comes under V A & V B in ID Act for retrenchment benefits & procedure. Please clarify the same. Jaspal
From India, Mumbai
13From India, Mumbai
CH-VA----
In this section and in section 25-C, 25-D and 25-E `industrial establishment' means -
(i) a factory as defined in clause (m) of section 2 of the Factories Act, 1948 (63 of 1948) ; or
(ii) a mine as defined in clause (j) of section 2 of the Mines Act, 1952, (35 of 1952) ; or
(iii) a plantation as defined in clause (f) of section 2 of the Plantations Labour Act, 1951 (63 of 1951).
Sections 25C to 25E inclusive 2[shall not apply to Industrial Establishments to which Chapter VB applies, or]-
(a) to industrial establishments in which less than fifty workmen on an average per working day have been employed in the preceding calendar month; or
(b) to industrial establishments which are of a seasonal character or in which work is performed only intermittentl
Ch VB-----
Application of Chapter V-B -
(1) The provision of this Chapter shall apply to an industrial establishment (not being an establishment of seasonal character or in which work is performed only intermittently) in which not less than 2[one] hundred workmen were employed on an average per working day for the preceding twelve months.
25-L Definitions - For the purposes of this Chapter -
(a) "industrial establishment" means, -
(i) a factory as defined in clause (m) of section 2 of the Factories Act, 1948 (63 of 1948)
(ii) a mine as defined in clause (j) of sub-section (1) of section2 of the Mines Act, 1952 (35 of 1952) ; or
(iii) a plantation as defined in clause (f) of section 2 of the Plantations Labour Act, 1951 (69 of 1951) ;
(b) notwithstanding anything contained in sub-clause (ii) of clause (a) of section 2,
(i) in relation to any company in which not less than fifty one percent of the paid up share capital is held by the Central Government, or
(ii) in relation to any corporation 3[not being a corporation referred to in sub-clause (i) of clause (a) section 2] established by or under any law made by Parliament,
the Central Government shall be the appropriate Government
From India, Calcutta
In this section and in section 25-C, 25-D and 25-E `industrial establishment' means -
(i) a factory as defined in clause (m) of section 2 of the Factories Act, 1948 (63 of 1948) ; or
(ii) a mine as defined in clause (j) of section 2 of the Mines Act, 1952, (35 of 1952) ; or
(iii) a plantation as defined in clause (f) of section 2 of the Plantations Labour Act, 1951 (63 of 1951).
Sections 25C to 25E inclusive 2[shall not apply to Industrial Establishments to which Chapter VB applies, or]-
(a) to industrial establishments in which less than fifty workmen on an average per working day have been employed in the preceding calendar month; or
(b) to industrial establishments which are of a seasonal character or in which work is performed only intermittentl
Ch VB-----
Application of Chapter V-B -
(1) The provision of this Chapter shall apply to an industrial establishment (not being an establishment of seasonal character or in which work is performed only intermittently) in which not less than 2[one] hundred workmen were employed on an average per working day for the preceding twelve months.
25-L Definitions - For the purposes of this Chapter -
(a) "industrial establishment" means, -
(i) a factory as defined in clause (m) of section 2 of the Factories Act, 1948 (63 of 1948)
(ii) a mine as defined in clause (j) of sub-section (1) of section2 of the Mines Act, 1952 (35 of 1952) ; or
(iii) a plantation as defined in clause (f) of section 2 of the Plantations Labour Act, 1951 (69 of 1951) ;
(b) notwithstanding anything contained in sub-clause (ii) of clause (a) of section 2,
(i) in relation to any company in which not less than fifty one percent of the paid up share capital is held by the Central Government, or
(ii) in relation to any corporation 3[not being a corporation referred to in sub-clause (i) of clause (a) section 2] established by or under any law made by Parliament,
the Central Government shall be the appropriate Government
From India, Calcutta
Dear Mr. Soumik,
Our is an construction establishment employing 700 workmen through 10 Sub-contractors for which we have taken the labour licence in our establishment name. Now pls clarify we will come under in VA or VB. Waiting for you precious feedback.
Thanks
jaspal
From India, Mumbai
Our is an construction establishment employing 700 workmen through 10 Sub-contractors for which we have taken the labour licence in our establishment name. Now pls clarify we will come under in VA or VB. Waiting for you precious feedback.
Thanks
jaspal
From India, Mumbai
Hello,
I presume you are covered under the Shops & Commercial Act for your area.
You have informed that you employ around 700 employees. Break up of this figure into those who would conform to the definition of a "workman" under the Industrial Disputes Act and those who do not, is also necessary.
While the relevant provisions of Industrial Disputes Act apply primarily to "factories" under the Factories, notice period requirement and the compensation and other related provisions will continue to apply even if you are a Shops &...... Act covered establishment.
Now to the crux of the matter:
1) Chapter V-A applies to factories under the Factories Act and other establishments having employed less than 50 employees on any day during the preceding twelve months.
2) Chapter V-B applies to factories under Factories Act and other establishment habvoing employed more than 100 employees on any day during preceding twelve months.
While Chapter V-A, lets you downsize (retrench, lay off or even close down the place manufacture) without obtaining a prior permission of the Appropriate government, Chapter V-B mandates that UNLESS you have obtained PRIOR permission from Appropriate government you are prohibited from Retrenching, Laying Off or closing down the manufacturing establishment.
Procedures are identical for all types of establishments but the permission is a necessity only for Factories employing more than 100 employees.
This response is nothing more than an introduction. If you need specific advice/guidance you will need to ask more focused question, provide relevant information please!
Prima-facie you issue revolves around the number of workmen you are employing and whether therefore you need to obtain a prior permission from Appropriate government!
Hope this helps!
Regards
samvedan
August 20, 2012
-------------
From India, Pune
I presume you are covered under the Shops & Commercial Act for your area.
You have informed that you employ around 700 employees. Break up of this figure into those who would conform to the definition of a "workman" under the Industrial Disputes Act and those who do not, is also necessary.
While the relevant provisions of Industrial Disputes Act apply primarily to "factories" under the Factories, notice period requirement and the compensation and other related provisions will continue to apply even if you are a Shops &...... Act covered establishment.
Now to the crux of the matter:
1) Chapter V-A applies to factories under the Factories Act and other establishments having employed less than 50 employees on any day during the preceding twelve months.
2) Chapter V-B applies to factories under Factories Act and other establishment habvoing employed more than 100 employees on any day during preceding twelve months.
While Chapter V-A, lets you downsize (retrench, lay off or even close down the place manufacture) without obtaining a prior permission of the Appropriate government, Chapter V-B mandates that UNLESS you have obtained PRIOR permission from Appropriate government you are prohibited from Retrenching, Laying Off or closing down the manufacturing establishment.
Procedures are identical for all types of establishments but the permission is a necessity only for Factories employing more than 100 employees.
This response is nothing more than an introduction. If you need specific advice/guidance you will need to ask more focused question, provide relevant information please!
Prima-facie you issue revolves around the number of workmen you are employing and whether therefore you need to obtain a prior permission from Appropriate government!
Hope this helps!
Regards
samvedan
August 20, 2012
-------------
From India, Pune
The question is whether this will apply since construction activity is not an industrial establishment. construction is not production, i think
From India, Mumbai
From India, Mumbai
Hello,
It will apply in my considered opinion but the requirement of "permission" will not apply as it is concerned only with Industrial Establishments as defined under the Act.
The compensation part, the Notice to Employees or wage in lieu of Notice part, Information to the Government in stipulated form, the condition precedent part in appropriate cases will apply to any establishment in as much as the Industrial Dispute Act applies to establishments covered by the Shops & Comm......Act anyway!
Regards
samvedan
August 22, 2012
--------------------
From India, Pune
It will apply in my considered opinion but the requirement of "permission" will not apply as it is concerned only with Industrial Establishments as defined under the Act.
The compensation part, the Notice to Employees or wage in lieu of Notice part, Information to the Government in stipulated form, the condition precedent part in appropriate cases will apply to any establishment in as much as the Industrial Dispute Act applies to establishments covered by the Shops & Comm......Act anyway!
Regards
samvedan
August 22, 2012
--------------------
From India, Pune
For the pupose of lay off chapter vA is not applicable to shop&commercial estt;But provisions of retrenchment,closure etc will apply to them if it has 50 to 99 workmen.If they have ioo or more workmen both va &vb will not apply.
varghese mathew BIL,PGDPM
LabourLaw/HR advisor
09961266966
From India, Thiruvananthapuram
varghese mathew BIL,PGDPM
LabourLaw/HR advisor
09961266966
From India, Thiruvananthapuram
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