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EPFO BY VYASA IAS

Labour Reforms and Laws in India


1. Labour Laws: Definition and Scope

• Labour laws consist of legal provisions governing the rights and responsibilities of workers, employers, and trade
unions.

• Aim: To protect workers' rights, ensure a safe working environment, and establish fair employment practices.

Purpose of Labour Legislation

• Legal Framework for Industrial Productivity:


o Establishes a structured legal system to ensure a productive economy.
o Provides a clear regulatory framework for interaction between employers, workers, and their
representatives on work-related matters.
• Ensuring Harmonious Industrial Relations:
o Promotes workplace democracy by fostering fair and balanced industrial relations.
o Reduces industrial disputes through clear guidelines on rights, responsibilities, and conflict resolution
mechanisms.
• Implementation and Protection of Workers’ Rights:
o Defines procedures and mechanisms for enforcing fundamental labour rights.
o Acts as a constant reminder and assurance of workers' rights, ensuring their protection and practical
application in the workplace.
• Key Areas Covered:

o Employment Contracts:

▪ Regulate terms and conditions of employment.

▪ Cover aspects such as minimum wages, working hours, overtime pay, and leave entitlements.

o Health & Safety:

▪ Mandate safe working environments, protective gear, and safety training.

▪ Employers must adhere to workplace safety norms and provide medical assistance.

o Discrimination & Harassment:

▪ Prohibit workplace discrimination based on caste, gender, age, disability, religion, or sexual
orientation.

▪ Enforce mechanisms to address workplace harassment, including sexual harassment.

o Workers' Rights:

▪ Protect the right to unionize, collective bargaining, and strike under legal frameworks.

▪ Ensure fair treatment and protection against unfair labour practices.

o Termination of Employment:

▪ Define legal grounds for dismissal, lay-offs, and retrenchment.

▪ Mandate provisions for severance pay, notice periods, and protection against wrongful termination.

o Social Security & Benefits:

▪ Cover employee benefits such as health insurance, maternity benefits, pension schemes, and
unemployment allowances.

▪ Ensure workers' financial security post-retirement or in cases of disability.

• Labour laws vary by country, influenced by political, economic, and social factors.

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• In India, enforcement is carried out by labour inspection agencies, while disputes are resolved through labour tribunals
and arbitration.

2. Relationship Between Constitution & Labour Laws

The Indian Constitution provides a legal framework for labour laws, ensuring social justice, worker protection, and welfare.
Labour laws derive their authority from various constitutional provisions, including the Preamble, Fundamental Rights, Directive
Principles of State Policy (DPSP), and Legislative Lists.

Preamble and Labour Welfare

• The Preamble establishes India as a sovereign, socialist, secular, and democratic republic committed to justice—
social, economic, and political.

• It upholds the idea of a welfare state, ensuring that the government addresses the concerns of citizens, particularly
those at the lower economic strata.

• A socialist pattern of society seeks equitable distribution of wealth and welfare, allowing economically weaker
workers to receive state support.

Fundamental Rights and Labour Protection

Several fundamental rights protect workers and ensure equality, dignity, and fair treatment.

• Article 14 (Equality Before Law)

o Guarantees equal treatment before the law and equal protection of laws for all, including workers.

• Article 15 (Prohibition of Discrimination)

o Prohibits discrimination on the basis of religion, race, caste, sex, or place of birth, including in employment
matters.

• Article 16 (Equality of Opportunity in Public Employment)

o Ensures equal employment opportunities for all citizens based on merit and qualifications.

• Article 17 (Abolition of Untouchability)

o Declares untouchability a punishable offense, preventing discrimination against marginalized communities,


including in workplaces.

• Article 19 (Right to Freedom)

o Provides several freedoms relevant to workers, including:

▪ Freedom of speech and expression

▪ Right to peaceful assembly and association (Trade Unions)

▪ Freedom of movement and residence (Workers’ mobility)

▪ Right to practice any profession or trade

• Article 20 (Protection from Conviction for Offense)

o Prevents double jeopardy and self-incrimination, ensuring fair legal treatment of workers.

• Article 24 (Prohibition of Child Labour in Hazardous Employment)

o Prohibits employment of children below 14 years in hazardous industries.

• Article 32 (Right to Constitutional Remedies)

o Allows workers to directly approach the Supreme Court if their fundamental rights are violated.

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Directive Principles of State Policy (DPSP) and Labour Welfare

The DPSPs guide the state in framing policies for the economic and social well-being of workers.

• Article 38 (State to Secure a Just Society)

o Directs the state to promote social welfare and economic justice.

• Article 39 (Equal Pay and Livelihood Security)

o Ensures equal pay for equal work for men and women.

o Protects workers' health and strength.

• Article 39A (Free Legal Aid and Justice for Workers)

o Provides free legal aid to workers for justice.

• Article 41 (Right to Work, Education, and Public Assistance)

o Ensures support for unemployed, sick, disabled, and elderly workers.

• Article 42 (Just and Humane Working Conditions & Maternity Relief)

o Mandates safe and humane working conditions.

o Ensures maternity benefits for working women.

• Article 43 (Living Wages and Social Security for Workers)

o Directs the state to secure living wages and decent working conditions.

• Article 43A (Workers' Participation in Management)

o Encourages workers’ participation in industry management for democratic decision-making.

• Article 45 (Compulsory Education for Children)

o Initially a DPSP, now part of Article 21A ensuring free education for children aged 6-14 years.

• Article 47 (Public Health and Nutrition)

o Directs the state to improve nutrition, standard of living, and public health.

Legislative Powers Under the Constitution

Labour legislation is enacted under different lists in the Seventh Schedule of the Constitution.

1. Union List (Central Government Jurisdiction)

o Sending representatives to the International Labour Organization (ILO).

o Regulations related to mines, oil fields, ports, railways, and central government employees.

o Dispute resolution for inter-state worker migration.

2. State List (State Government Jurisdiction)

o Welfare provisions such as relief for the unemployed and handicapped.

o Labour-related laws specific to a state’s economy and workforce.

3. Concurrent List (Shared Jurisdiction of Centre & States)

o Trade unions

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o Industrial disputes

o Social security

o Wages and working conditions

Administration of Labour Laws

• Article 256 & 257 empower the central government to issue directives to states regarding labour law administration.

• The central government can delegate powers to state governments for implementation.

• In case of conflict between central and state laws, central law prevails.

3. Labour Laws During British Rule

• Labour laws during British colonial rule were primarily designed to benefit British economic interests.

• Early labour legislation focused on industrial regulations rather than worker welfare.

• Key Labour Laws Enacted:

o Factories Act, 1881:

▪ First major labour law aimed at regulating working conditions in textile mills.

▪ Limited applicability, covering only a few industries.

o Workmen's Compensation Act, 1923:

▪ Introduced compensation for workers injured or killed during employment.

o Trade Union Act, 1926:

▪ Legalized trade unions and allowed collective bargaining.

▪ Imposed restrictions on union formation and functioning.

o Industrial Disputes Act, 1947:

▪ Established mechanisms for conciliation, arbitration, and adjudication of labour disputes.

▪ Did not grant workers the unrestricted right to strike.

o Minimum Wages Act, 1948:

▪ Fixed minimum wages for specific categories of workers.

• Despite these laws, workers faced exploitative conditions such as long hours, low wages, and hazardous workplaces.

• Colonial policies often suppressed workers' movements and trade unions.

• Significant reforms occurred only after independence in 1947.

4. Post-Independence Labour Laws

• The Indian government introduced comprehensive labour laws to ensure worker welfare and economic development.

• Key Post-Independence Labour Legislations:

o Industrial Disputes Act, 1947:

▪ Regulates resolution of industrial disputes through conciliation, arbitration, and adjudication.

o Minimum Wages Act, 1948:

▪ Ensures workers receive wages fixed by the government.

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o Factories Act, 1948:

▪ Lays down provisions for working hours, occupational safety, and health standards in factories.

o Employees' Provident Funds and Miscellaneous Provisions Act, 1952:

▪ Establishes a mandatory savings scheme for workers' retirement benefits.

o Maternity Benefit Act, 1961:

▪ Grants paid maternity leave and medical benefits to women workers.

o Payment of Bonus Act, 1965:

▪ Mandates employers to share a portion of their profits with employees in the form of a bonus.

5. Labour Reforms Since 2014

• The government proposed consolidating 29 existing labour laws into four comprehensive labour codes.

• Aim: Simplification, modernization, and flexibility in labour regulations.

• Key Challenges in Labour Reforms:

o Coverage:

▪ Most labour laws apply to establishments with a minimum number of employees (e.g., 10+ workers).

▪ Debate exists on whether all establishments should provide basic worker protections.

o Retrenchment:

▪ Prior government approval is required for closure, lay-offs, or retrenchment in establishments with
100+ workers.

▪ Industrial Relations Code increased this threshold to 300 workers, with provisions for further
modifications.

o Labour Enforcement:

▪ Multiplicity of laws led to compliance burdens and ineffective enforcement.

▪ Reforms aim to reduce bureaucratic complexity and enhance accountability.

o Contract Labour:

▪ Contractual employment increased due to rigid labour laws for permanent workers.

▪ The Industrial Relations Code introduced "fixed-term employment" as a new labour category.

o Trade Unions:

▪ No standardized mechanism to recognize trade unions with bargaining power.

▪ The Industrial Relations Code provides for formal recognition of unions.

o Gig & Platform Workers:

▪ The Code on Social Security introduced provisions for gig and platform workers.

▪ Lack of clarity in definitions and benefits remains a concern.

o Delegated Legislation:

▪ Many crucial aspects, such as social security applicability and safety standards, are left to government
rule-making rather than legislative determination.

6. Codification of Labour Laws

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• The four new labour codes replace 29 central labour laws to streamline regulations.

• Key Labour Codes:

o Code on Wages, 2019:

▪ Merges the Payment of Wages Act (1936), Minimum Wages Act (1948), Payment of Bonus Act (1965),
and Equal Remuneration Act (1976).

o Occupational Safety, Health & Working Conditions Code, 2019:

▪ Consolidates laws governing factories, mines, dock workers, construction labour, and contract labour.

o Industrial Relations Code, 2019:

▪ Replaces the Trade Unions Act (1926), Industrial Employment (Standing Orders) Act (1946), and
Industrial Disputes Act (1947).

o Code on Social Security, 2019:

▪ Merges Employees' Provident Fund Act (1952), Employees’ State Insurance Act (1948), Maternity
Benefit Act (1961), and other social security legislations.

7. Implications of Labour Reforms

• For Workers:

o Enhanced social security provisions and protection for gig workers.

o Streamlined labour dispute resolution mechanisms.

• For Employers:

o Simplified compliance with reduced bureaucratic burden.

o Greater flexibility in hiring and retrenchment processes.

• For Trade Unions:

o Formal recognition mechanisms strengthen collective bargaining rights.

o New challenges emerge regarding the effectiveness of fixed-term employment provisions.

• For Economy:

o Labour reforms aim to boost employment generation and industrial growth.

o Criticism exists regarding possible dilution of workers' rights under new provisions.

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MCQs:

1. Which of the following Acts was the first major labor law during British rule aimed at regulating working conditions in
textile mills?

a) Trade Union Act, 1926


b) Factories Act, 1881
c) Workmen's Compensation Act, 1923
d) Industrial Disputes Act, 1947

Correct Answer: b) Factories Act, 1881

Explanation:

o The Factories Act of 1881 was historically significant as it represented the first major attempt by the British
colonial government to regulate working conditions, specifically in textile mills.

o This Act was limited in scope but laid the groundwork for future labor legislation in India.

o It primarily focused on industrial regulations rather than comprehensive worker welfare, reflecting the colonial
administration's priorities of maintaining industrial productivity while providing basic protections.

2. Consider the following statements regarding the Code on Wages, 2019:

o The Code mandates that overtime wages must be at least three times the normal wage rate.

o Wage payment deductions cannot exceed 50% of total wages.

o The Code requires revision of minimum wages every three years.

Which of the statements is/are correct?

a) 1 and 2 only
b) 2 only
c) 2 and 3 only
d) 1, 2 and 3

Correct Answer: b) 2 only

Explanation:

o Statement 1 is incorrect as overtime wages must be at least twice (not thrice) the normal wage rate.

o Statement 2 is correct as the Code on Wages, 2019 stipulates that deductions must not exceed 50% of total
wages.

o Statement 3 is incorrect as the Code requires minimum wages to be revised every five years, not three years.

o This understanding is crucial for labor administrators and enforcement officials.

3. Under the Industrial Relations Code, 2020, what is the minimum requirement for trade union registration?

a) 10% of workers or 100 workers, whichever is higher


b) 10% of workers or 100 workers, whichever is lower
c) 7 members and 10% of workers or 100 workers, whichever is lower
d) Only 7 members

Correct Answer: c) 7 members and 10% of workers or 100 workers, whichever is lower

Explanation:

o The Industrial Relations Code, 2020 has established a dual criterion for trade union registration.

o It requires a minimum of seven members to apply for registration.

o The union must have either 10% of workers or 100 workers, whichever is lower.

JAYLISH 18
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o This provision aims to balance the right to form unions with the need for representative worker organizations.

4. In the context of recent labor reforms, what does the term "fixed-term employment" refer to?

a) Permanent employment with fixed working hours


b) Contract employment with defined tenure and same benefits as permanent workers
c) Part-time employment with flexible working hours
d) Casual employment with daily wage system

Correct Answer: b) Contract employment with defined tenure and same benefits as permanent workers

Explanation:

o Fixed-term employment, introduced in the Industrial Relations Code, represents a significant reform in labor
laws.

o It provides for contract employment with a defined tenure while ensuring that fixed-term employees receive
the same benefits as permanent workers.

o This aims to provide flexibility to employers while protecting workers' rights and benefits.

5. Under the Occupational Safety, Health and Working Conditions Code, 2020, what is the provision for paid leave?

a) One day for every 15 days worked


b) One day for every 20 days worked
c) One day for every 25 days worked
d) One day for every 30 days worked

Correct Answer: b) One day for every 20 days worked

Explanation:

o The OSH Code mandates that workers are entitled to one day of paid leave for every 20 days worked per year.

o This provision ensures adequate rest and recuperation time for workers while maintaining productivity.

o The standardization of leave policy across sectors represents a significant step toward uniform labor rights.

6. The Social Security Code, 2020 provides for coverage of which new category of workers?

a) Only gig workers


b) Only platform workers
c) Only temporary workers
d) Both gig and platform workers

Correct Answer: d) Both gig and platform workers

Explanation:
The Social Security Code, 2020 has introduced provisions for both gig and platform workers for the first time in Indian labor
legislation. This inclusion recognizes the changing nature of work in the digital economy and aims to provide social security
benefits to workers in these emerging sectors.

7. Consider the following statements regarding the Central Advisory Board under the Code on Wages:

o It advises on minimum wage fixation

o It promotes women's employment opportunities

o It has equal representation from employers and employees

Which of the statements is/are correct?

JAYLISH 19
EPFO BY VYASA IAS
a) 1 only
b) 1 and 2 only
c) 2 and 3 only
d) 1, 2 and 3

Correct Answer: b) 1 and 2 only

Explanation:
The Central Advisory Board under the Code on Wages has specific functions including advising on minimum wage fixation and
promoting women's employment opportunities. While it includes representatives from employers and employees, the
representation is not necessarily equal, making statement 3 incorrect.

8. Under the Industrial Relations Code, what percentage of worker support is required for a trade union to become the
sole negotiating body?

a) 33%
b) 40%
c) 51%
d) 75%

Correct Answer: c) 51%

Explanation:
Under the Industrial Relations Code, a trade union needs support from 51% of workers to become the sole negotiating body. If
no union achieves this threshold, a trade union council is formed for collective bargaining. This ensures democratic
representation in labor negotiations.

9. The Occupational Safety, Health and Working Conditions Code applies to establishments with:

a) 5 or more workers
b) 10 or more workers
c) 20 or more workers
d) 50 or more workers

Correct Answer: b) 10 or more workers

Explanation:
The OSH Code applies to establishments employing 10 or more workers. This threshold ensures that smaller establishments are
not overburdened while maintaining adequate safety standards for a significant portion of the workforce.

10. Which of the following is NOT a permissible deduction under the Code on Wages?

a) Fines
b) Absence from duty
c) Political party contributions
d) Recovery of advances

Correct Answer: c) Political party contributions

Explanation:
Under the Code on Wages, while several deductions are permissible (including fines, absence from duty, and recovery of
advances), political party contributions are not listed as permissible deductions to protect workers from political exploitation.

11. Under the new labor codes, what is the threshold limit of workers above which an establishment needs government
approval for closure?

a) 100 workers
b) 200 workers
c) 300 workers
d) 500 workers

Correct Answer: c) 300 workers

JAYLISH 20
EPFO BY VYASA IAS
Explanation:
Under the Industrial Relations Code, establishments with 300 or more workers need prior government approval for closure,
retrenchment, or layoffs. This represents an increase from the earlier threshold of 100 workers, aiming to provide greater
flexibility to employers.

12. Which of the following Acts was NOT merged into the Code on Social Security, 2020?

a) Employees' Provident Fund Act, 1952


b) Payment of Gratuity Act, 1972
c) Industrial Employment (Standing Orders) Act, 1946
d) Maternity Benefit Act, 1961

Correct Answer: c) Industrial Employment (Standing Orders) Act, 1946

Explanation:
The Industrial Employment (Standing Orders) Act, 1946 was merged into the Industrial Relations Code, not the Code on Social
Security. This Act primarily dealt with conditions of employment rather than social security benefits.

13. Under the new labor codes, which of the following is mandatory for establishments with 50 or more female workers?

a) Female security guard


b) Crèche facility
c) Women's hostel
d) Female supervisor

Correct Answer: b) Crèche facility

Explanation:
The OSH Code mandates that establishments with 50 or more female workers must provide a crèche facility. This provision aims
to support working mothers and promote women's participation in the workforce.

14. What is the maximum time period for which workplaces can be exempted from the provisions of OSH Code during
public emergencies?

a) 6 months
b) 1 year
c) 2 years
d) 3 years

Correct Answer: b) 1 year

Explanation:
During public emergencies, disasters, or pandemics, workplaces can be exempted from certain provisions of the OSH Code for
up to one year. This provides flexibility during exceptional circumstances while ensuring the exemption period remains
reasonable.

15. Which of the following statements best describes the concept of "floor wage" under the Code on Wages?

a) Minimum wage for unskilled workers


b) Base wage set by Central Government below which no state can fix minimum wages
c) Wage for workers in the informal sector
d) Basic wage excluding allowances

Correct Answer: b) Base wage set by Central Government below which no state can fix minimum wages

Explanation:
The floor wage is a concept introduced in the Code on Wages where the Central Government sets a base wage rate below which
no state government can fix their minimum wages. This ensures a basic minimum standard across the country.

16. Consider the following statements about the Fixed Term Employment introduced under the new labor codes:

• Fixed-term employees are entitled to all benefits available to permanent workers

JAYLISH 21
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• No notice period is required for termination of service

• Gratuity is payable even for service less than five years

Which statements are correct?

a) 1 only
b) 1 and 3 only
c) 2 and 3 only
d) 1, 2 and 3

Correct Answer: b) 1 and 3 only

Explanation:
Fixed-term employees are entitled to all benefits available to permanent workers, and gratuity is payable even for service less
than five years. However, a notice period is required for termination of service, making statement 2 incorrect.

17. The maternity leave period under the Code on Social Security has been increased to:

a) 12 weeks
b) 16 weeks
c) 26 weeks
d) 36 weeks

Correct Answer: c) 26 weeks

Explanation:
The Code on Social Security has increased the maternity leave period from 12 weeks to 26 weeks. This enhancement aims to
provide better maternal care and child-rearing support to working women.

18. Which of the following bodies is responsible for administering the Employees' Provident Fund schemes under the Social
Security Code?

a) ESIC
b) Central Board of Trustees
c) National Social Security Board
d) State Social Security Board

Correct Answer: b) Central Board of Trustees


Explanation: The Central Board of Trustees is responsible for administering the Employees' Provident Fund schemes under the
Social Security Code. It oversees the management and implementation of various EPF schemes.

19. Under the Industrial Relations Code, what happens if no trade union achieves the required support for becoming the
sole negotiating body?

a) The oldest trade union becomes the negotiating body


b) The largest trade union becomes the negotiating body
c) A trade union council is formed
d) Management can choose any registered trade union

Correct Answer: c) A trade union council is formed


Explanation: When no single trade union achieves 51% worker support, a trade union council is formed for collective bargaining.
This ensures fair representation of workers' interests through collective decision-making.

20. What is the time period within which covered establishments must register under the OSH Code?

a) 30 days
b) 45 days
c) 60 days
d) 90 days

JAYLISH 22
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Correct Answer: c) 60 days
Explanation: Under the OSH Code, covered establishments must register within 60 days of commencing operations. This timeline
ensures proper documentation and oversight of new establishments while giving reasonable time for compliance.

21. Consider the following statements about Inspector-cum-Facilitators under the new labor codes:

• They can only conduct inspections

• They can provide guidance to employers

• They have the power to stop operations in dangerous conditions

Which statements are correct?

a) 1 and 2 only
b) 2 and 3 only
c) 1 and 3 only
d) 1, 2 and 3

Correct Answer: b) 2 and 3 only


Explanation: Inspector-cum-Facilitators have a dual role of providing guidance to employers and enforcing compliance. They can
stop operations in dangerous conditions. Statement 1 is incorrect as they have broader responsibilities beyond just inspections.

22. What is the provision for working hours under the OSH Code?

a) Maximum 8 hours per day


b) Maximum 9 hours per day
c) Maximum 10 hours per day
d) Maximum 12 hours per day

Correct Answer: a) Maximum 8 hours per day


Explanation: The OSH Code stipulates a maximum of 8 working hours per day. This provision ensures proper work-life balance
and prevents worker exploitation through excessive working hours.

23. Under the Code on Social Security, what is the penalty for failure to pay gratuity?

a) Six months imprisonment


b) One year imprisonment
c) Two years imprisonment
d) Three years imprisonment

Correct Answer: b) One year imprisonment


Explanation: The Code on Social Security prescribes imprisonment up to one year for failure to pay gratuity. This penalty ensures
compliance with gratuity payment obligations.

24. Which of the following is a new feature introduced in the Industrial Relations Code regarding fixed-term employment?

a) No severance pay
b) Same benefits as regular workers
c) No gratuity payment
d) Restricted to seasonal work

Correct Answer: b) Same benefits as regular workers


Explanation: A significant feature of fixed-term employment under the Industrial Relations Code is that these employees are
entitled to the same benefits as regular workers. This ensures equal treatment and prevents exploitation.

25. Consider the following statements about the National Industrial Tribunal:

• It deals with disputes involving multiple states

• It handles matters of national importance

• It can overrule state industrial tribunals in all matters

JAYLISH 23
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Which statements are correct?

a) 1 and 2 only
b) 2 and 3 only
c) 1 and 3 only
d) 1, 2 and 3

Correct Answer: a) 1 and 2 only


Explanation: The National Industrial Tribunal handles disputes involving multiple states and matters of national importance.
However, it cannot overrule state industrial tribunals in all matters, making statement 3 incorrect.

26. What is the threshold for mandatory constitution of a Works Committee under the Industrial Relations Code?

a) 50 workers
b) 100 workers
c) 200 workers
d) 300 workers

Correct Answer: b) 100 workers


Explanation: The Industrial Relations Code mandates the constitution of a Works Committee in establishments employing 100 or
more workers. This committee facilitates communication between workers and management.

27. Under the Code on Wages, how frequently must minimum wages be revised?

a) Every year
b) Every three years
c) Every five years
d) Every seven years

Correct Answer: c) Every five years


Explanation: The Code on Wages mandates that minimum wages must be revised every five years by the central or state
governments. This ensures periodic review and adjustment of wages according to changing economic conditions.

28. Which of the following is NOT a function of the Central Advisory Board under the Code on Wages?

a) Minimum wage fixation


b) Dispute resolution
c) Women employment opportunities
d) Technical advice on wage policy

Correct Answer: b) Dispute resolution

Explanation:
Dispute resolution is not a function of the Central Advisory Board under the Code on Wages. The Board's primary functions
include:

• Advising on minimum wage fixation

• Promoting women's employment

• Providing technical advice on wage policies

29. What is the provision for payment of wages under the Code on Wages in case of a worker's death?

a) Within 30 days
b) Within 60 days
c) Within 2 days
d) Within 7 days

Correct Answer: c) Within 2 days

JAYLISH 24
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Explanation:
In case of a worker's death, all dues must be paid within two days. This provision ensures quick settlement of dues to the
deceased worker's family.

30. Under the OSH Code, what is the minimum notice period required for a change in working conditions?

a) 7 days
b) 14 days
c) 21 days
d) 30 days

Correct Answer: c) 21 days

Explanation:
The OSH Code requires employers to give at least 21 days' notice before making any changes to working conditions. This ensures
workers have adequate time to adjust.

31. Which of the following statements about the trade union recognition process is correct?

a) Only one trade union can exist in an establishment


b) Multiple trade unions can exist but only one can be recognized
c) All registered trade unions must be recognized
d) Recognition depends on membership percentage

Correct Answer: d) Recognition depends on membership percentage

Explanation:

• Trade union recognition depends on the percentage of worker support (51% for sole negotiating body).

• Multiple unions can exist, but recognition for negotiation purposes depends on membership percentage.

32. What is the time limit for payment of bonus under the Code on Wages?

a) Within 6 months of accounting year


b) Within 8 months of accounting year
c) Within 9 months of accounting year
d) Within 12 months of accounting year

Correct Answer: b) Within 8 months of accounting year

Explanation:
Under the Code on Wages, bonus must be paid within 8 months from the close of the accounting year. This ensures timely
payment of bonuses to eligible workers.

33. Consider the following statements about the grievance redressal mechanism:

1. Every industrial establishment with 20 or more workers must have it

2. Grievances must be resolved within 30 days

3. Workers can directly approach the tribunal if unsatisfied

Which statements are correct?

a) 1 and 2 only
b) 2 and 3 only
c) 1 and 3 only
d) 1, 2 and 3

Correct Answer: a) 1 and 2 only

Explanation:

JAYLISH 25
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• Industrial establishments with 20 or more workers must have a grievance redressal mechanism.

• Grievances must be resolved within 30 days.

• Workers cannot directly approach the tribunal without following the prescribed procedure.

34. What is the provision for working women under the OSH Code regarding night shifts?

a) Completely prohibited
b) Allowed with adequate safety measures
c) Allowed only in the IT sector
d) Allowed only with written consent

Correct Answer: b) Allowed with adequate safety measures

Explanation:
The OSH Code allows women to work night shifts (7 PM - 6 AM) provided the employer ensures:

• Adequate safety measures

• Other prescribed conditions are met

35. Under the Social Security Code, what is the provision for registration of unorganized workers?

a) Optional registration
b) Mandatory registration with state boards
c) Self-registration on a portal
d) Registration through trade unions only

Correct Answer: c) Self-registration on a portal

Explanation:
The Social Security Code provides for self-registration of unorganized workers on a portal. This facilitates their access to social
security benefits, making the process more accessible and user-friendly.

JAYLISH 26

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