Dear all, Is any rule there in labour acts for pay revision for MNC (400crores business) company located in Visakhapatnam.
If there is a trade union active in your industry and it gives notice of change seeking pay revision, then you will have to commence the negotiation and aim for settlement, failing which the mandatory process of conciliation followed by adjudication is possible as per the Industrial Disputes Act 1947.
From India, Mumbai
1534From India, Mumbai
To my knowledge there is no act prescribing timely revision of wages except under the Payment of Minimum Wages Act under which it's lawful to see all are paid atleast the minimum wages published by the respective governments from time to time.
I presume the Delhi friend's MNC firm is in IT sector on this premise, there could exist a doubt basically in their minds whether they are covered under ID Act or not.
There has been general feeling that IT sector is not a designated 'industry' and therefore they are not entitled to rights of a 'workman' as promised in ID Act. Pl read on --
"The government of Tamil Nadu in India has recently issued a circular clarifying that employees of the IT Sector are covered under the ID Act, 1947 and have the right to form trade unions. This development has caused consternation in industry circles which believed that the IT Sector was outside the ambit of this Act. Obviously, for some reason, the IT Sector has been misinformed of the correct position under the law.
In the current state of the controversy it is necessary to illumine the rights of the employees and correct legal position. Except for supervisory or managerial level employees, all other employees are considered as "workmen" under the ID Act if they perform any manual, skilled, unskilled, technical, operational and clerical work. Even as recently as 2016 the Supreme Court in Raj Kumar Vs Director of Education re-iterated that its leading judgement in H.R Adyanthaya Vs. Sandoz (India) Ltd. in 1994 is decisive on the issue of who is a "workman", and succinctly re-stated the ratio that "a person to be workman under ID Act must be employed to do the work of any of the categories, viz., manual, unskilled, skilled, technical, operational, clerical or supervisory. It is not enough that he is not covered by any of the four exceptions to the definition. We reiterate the said interpretation."
Clearly, no detailed argument is necessary to establish the proposition that an IT Professional performs a skilled function and is a workman. Only IT employees employed in supervisory or managerial roles would be exempt from the application of this Act. No doubt there are decisions of the Supreme Court which were decided on the unique facts of the case and have caused some confusion on the issue, hence the need to re-state the Court's latest reiteration of the law to dispel any doubt that the IT Sector enjoys no exemption from the law. Therefore, to avoid litigation and much acrimony with employees, lay-offs, retrenchments and terminations of employees must be in compliance with the requirements of the ID Act." (Are IT Professionals "Workmen" Under The Industrial Disputes Act (ID Act, 1947)? - Employment and HR - India)
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We are reading trade union/associations are being formulated in IT sector too not only in TN but in other states as well. So time is not far that red flags are installed in front of granite lazed complexes & hearing of 'inquilab zindabad' in the country.
From India, Bangalore
I presume the Delhi friend's MNC firm is in IT sector on this premise, there could exist a doubt basically in their minds whether they are covered under ID Act or not.
There has been general feeling that IT sector is not a designated 'industry' and therefore they are not entitled to rights of a 'workman' as promised in ID Act. Pl read on --
"The government of Tamil Nadu in India has recently issued a circular clarifying that employees of the IT Sector are covered under the ID Act, 1947 and have the right to form trade unions. This development has caused consternation in industry circles which believed that the IT Sector was outside the ambit of this Act. Obviously, for some reason, the IT Sector has been misinformed of the correct position under the law.
In the current state of the controversy it is necessary to illumine the rights of the employees and correct legal position. Except for supervisory or managerial level employees, all other employees are considered as "workmen" under the ID Act if they perform any manual, skilled, unskilled, technical, operational and clerical work. Even as recently as 2016 the Supreme Court in Raj Kumar Vs Director of Education re-iterated that its leading judgement in H.R Adyanthaya Vs. Sandoz (India) Ltd. in 1994 is decisive on the issue of who is a "workman", and succinctly re-stated the ratio that "a person to be workman under ID Act must be employed to do the work of any of the categories, viz., manual, unskilled, skilled, technical, operational, clerical or supervisory. It is not enough that he is not covered by any of the four exceptions to the definition. We reiterate the said interpretation."
Clearly, no detailed argument is necessary to establish the proposition that an IT Professional performs a skilled function and is a workman. Only IT employees employed in supervisory or managerial roles would be exempt from the application of this Act. No doubt there are decisions of the Supreme Court which were decided on the unique facts of the case and have caused some confusion on the issue, hence the need to re-state the Court's latest reiteration of the law to dispel any doubt that the IT Sector enjoys no exemption from the law. Therefore, to avoid litigation and much acrimony with employees, lay-offs, retrenchments and terminations of employees must be in compliance with the requirements of the ID Act." (Are IT Professionals "Workmen" Under The Industrial Disputes Act (ID Act, 1947)? - Employment and HR - India)
-------
We are reading trade union/associations are being formulated in IT sector too not only in TN but in other states as well. So time is not far that red flags are installed in front of granite lazed complexes & hearing of 'inquilab zindabad' in the country.
From India, Bangalore
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