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LABOUR LAW AND INDUSTRIAL RELATIONS-II

Contents
LABOUR LAW AND INDUSTRIAL RELATIONS-II ...........................................................................1
Module I: SOCIAL SECURITY – Code on Social Security, 2020 .....................................................7
1. Object and Salient Features with various Definitions under the Act .........................................7
2. Social Security Organizations ................................................................................................8
3. Employees' Provident Fund ...................................................................................................8
4. Employees' State Insurance Corporation ...............................................................................9
5. Gratuity ................................................................................................................................9
6. Maternity Benefit ................................................................................................................ 10
Case Laws: ............................................................................................................................ 10
Possible Exam Questions:..................................................................................................... 11
Long Questions: ................................................................................................................ 11
1. Discuss the objectives and salient features of the Code on Social Security, 2020. Explain
how it seeks to improve social security in India. .................................................................... 11
2. Critically analyze the provisions of the Code on Social Security, 2020 relating to Employees'
Provident Fund.................................................................................................................... 13
3. Explain the benefits available to employees under the Employees' State Insurance Act, as
amended by the Code on Social Security, 2020. ................................................................... 14
4. Discuss the concept of gratuity and the conditions for its eligibility under the Code on Social
Security, 2020. .................................................................................................................... 16
5. Explain the provisions of the Code on Social Security, 2020 relating to maternity benefits.
How does it seek to protect the rights of pregnant women and new mothers? ........................ 17
6. Explain in detail the purpose, function and provisions of Social Security Organization (SSO)
.......................................................................................................................................... 19
7. Explain the challenges faced by SSO ................................................................................ 21
Short Notes: ...................................................................................................................... 23
1. Social Security Organizations in India ............................................................................... 23
2. Eligibility criteria for EPF benefits ..................................................................................... 24
3. Disablement benefits under the ESI Act............................................................................ 26
4. Forfeiture of gratuity ........................................................................................................ 27
5. Nursing breaks under the Maternity Benefit Act ................................................................ 28
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Terminology: ....................................................................................................................... 29
1. Employee ........................................................................................................................ 29
2. Employer ........................................................................................................................ 30
3. Wages ............................................................................................................................. 30
4. Establishment ................................................................................................................. 31
5. Disablement ................................................................................................................... 31
6. Contribution.................................................................................................................... 32
7. Provident Fund ................................................................................................................ 32
8. Gratuity ........................................................................................................................... 33
Module II: EMPLOYEE’S COMPENSATION – Code on Social Security, 2020 ............................... 34
1. Concept – Employee, Employer, Dependent, Disablement and its kinds ................................ 34
2. Employer's Liability for Compensation – Conditions & Exceptions ......................................... 35
3. Social Security and Cess in Respect of Building and Other Construction Workers ................. 36
4. Social Security for unorganized workers, Gig Workers and Platform Workers ......................... 36
5. Authorities, Assessment, Compliance and Recovery ............................................................ 37
6. Offences and Penalties ....................................................................................................... 38
7. Employment Information and Monitoring ............................................................................. 38
Case Laws: ............................................................................................................................ 38
Possible Exam Questions:..................................................................................................... 39
Long Questions: ................................................................................................................ 39
1. Discuss the concept of "no-fault liability" in the context of employee compensation under
the Code on Social Security, 2020. Explain its significance in protecting the rights of injured
workers. ............................................................................................................................. 39
2. Explain the conditions for an employer's liability for compensation and the exceptions to this
liability. Illustrate your answer with relevant examples. ......................................................... 40
3. Critically analyze the provisions of the Code on Social Security, 2020 relating to social
security for building and other construction workers. Discuss the challenges in ensuring their
effective implementation. ................................................................................................... 42
4. Discuss the measures taken by the Code on Social Security, 2020 to extend social security
coverage to unorganized workers, gig workers, and platform workers. What are the potential
benefits and challenges of these measures? ........................................................................ 44
5. Explain the role of various authorities in the administration and enforcement of the
employee compensation provisions under the Code on Social Security, 2020. How do these
authorities ensure that workers receive fair and timely compensation? ................................. 46
Short Notes: ...................................................................................................................... 47
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1. Disablement and its kinds under the Code on Social Security, 2020. ................................. 47
2. Cess on construction projects and its utilization for the welfare of construction workers. ... 48
3. Welfare funds for construction workers and the types of benefits they provide. .................. 50
4. Offences and penalties under the Code on Social Security, 2020 relating to employee
compensation. ................................................................................................................... 52
5. Importance of employment information and monitoring in ensuring compliance with the
employee compensation provisions. ................................................................................... 53
Terminology: ...................................................................................................................... 54
1. No-fault liability............................................................................................................... 54
2. Occupational disease...................................................................................................... 55
3. Cess ............................................................................................................................... 55
4. Commissioner for Employee's Compensation .................................................................. 56
Module III: THE OCCUPATIONAL SAFETY, HEALTH AND WORKING CONDITIONS CODE, 2020 . 57
1. Concept – definitions, registrations and Duties of Employer and Employee ........................... 57
2. Occupational Safety, Health and working conditions ............................................................ 58
3. Maintenance of Registers, Records and Returns .................................................................. 58
4. Special Provision Relating to Employment of Women ........................................................... 59
Case Laws: ............................................................................................................................ 59
Possible Exam Questions:..................................................................................................... 60
Long Questions: ................................................................................................................ 60
1. Discuss the objectives and key provisions of the Occupational Safety, Health and Working
Conditions Code, 2020. How does it seek to improve workplace safety and health in India? ... 60
2. Explain the duties of employers and employees in maintaining a safe and healthy working
environment under the OSH Code. ...................................................................................... 62
3. Critically analyze the provisions of the OSH Code relating to hazardous processes. ........... 63
4. Discuss the special provisions relating to the employment of women under the OSH Code.
.......................................................................................................................................... 65
5. Explain the importance of maintaining registers, records, and returns under the OSH Code.
.......................................................................................................................................... 67
Short Notes: ...................................................................................................................... 68
1. Hazardous process ......................................................................................................... 68
2. Occupational disease...................................................................................................... 69
3. Safety officer ................................................................................................................... 70
4. Duties of employers under the OSH Code ........................................................................ 71
5. Special provisions for women workers.............................................................................. 72
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Terminology: ...................................................................................................................... 74
1. Risk assessment ............................................................................................................. 74
2. Control measures............................................................................................................ 75
3. Personal protective equipment (PPE) ............................................................................... 75
4. Occupational health ........................................................................................................ 76
5. Welfare facilities.............................................................................................................. 76
Module IV: SPECIAL PROVISION FOR CONTRACT LABOUR AND INTER-STATE MIGRANT
WORKERS, ETC (OSH Code) ..................................................................................................... 78
1. Contract Labour ................................................................................................................. 78
2. Inter-State Migrant Workers and types of workers (Audio visual, Mines, Beedi and Cigar,
Construction, etc) .................................................................................................................. 78
3. Factories and Plantation ..................................................................................................... 79
5. Offences and Penalties ....................................................................................................... 80
6. Social Security Fund ........................................................................................................... 80
Case Laws: ............................................................................................................................ 81
Possible Exam Questions:..................................................................................................... 81
Long Questions: ................................................................................................................ 81
1. Discuss the key provisions of the OSH Code relating to contract labor. How does it seek to
protect the rights and safety of contract workers? ................................................................ 81
2. Explain the challenges faced by inter-state migrant workers and the measures taken by the
OSH Code to address these challenges. .............................................................................. 83
3. Critically analyze the provisions of the OSH Code relating to factories and plantations. ..... 84
4. Discuss the role of the Social Security Fund in providing social security benefits to
unorganized workers, gig workers, and platform workers....................................................... 86
5. Explain the offences and penalties under the OSH Code relating to contract labor and inter-
state migrant workers. ......................................................................................................... 88
Short Notes: ...................................................................................................................... 89
1. Responsibilities of the principal employer towards contract labor. .................................... 89
2. Registration of contractors under the OSH Code. .............................................................. 91
3. Challenges faced by inter-state migrant workers. .............................................................. 92
4. Safety and health requirements for factories. ................................................................... 93
5. Benefits provided by the Social Security Fund. .................................................................. 95
Terminology: ...................................................................................................................... 96
1. Contract labor ................................................................................................................. 96
2. Principal employer .......................................................................................................... 97
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3. Contractor ...................................................................................................................... 98
4. Inter-state migrant worker ................................................................................................ 98
5. Social Security Fund ........................................................................................................ 99
Important Case Laws in Labour Law: ...................................................................................... 100
1. Regional Provident Fund Commissioner v. Hooghly Mills Co. Ltd. (1973) ............................. 100
2. Esic v. Francis De Costa (1996) .......................................................................................... 100
3. Municipal Corporation of Delhi v. Female Workers (Muster Roll) (2000) ............................... 101
4. Bandhua Mukti Morcha v. Union of India (1984) .................................................................. 101
5. Vishaka v. State of Rajasthan (1997) .................................................................................. 102
Situational Questions: ............................................................................................................ 103
Scenario 1: The Injured Contract Worker................................................................................ 103
1. Analyze the liabilities of the contractor and the principal employer in this situation. ......... 103
2. What are the rights of the injured worker under the OSH Code and the Code on Social
Security?.............................................................................................................................. 103
3. What steps can the worker take to claim compensation and other benefits? ....................... 104
4. How could this accident have been prevented? .............................................................. 104
Scenario 2: The Pregnant Factory Worker............................................................................... 104
1. What are the rights of the pregnant worker in this situation? ............................................ 104
2. Can the employer force her to resign or change her role? ................................................ 105
3. What are the employer's obligations regarding the safety and health of pregnant workers?
........................................................................................................................................ 105
4. What benefits is the pregnant worker entitled to under the law? ...................................... 105
Scenario 3: The Unpaid Gig Worker........................................................................................ 106
1. Analyze the status of the gig worker under the Code on Social Security, 2020. .................. 106
2. Is the platform liable to provide compensation and benefits to the worker? ..................... 106
3. What are the rights of the gig worker in this situation? ..................................................... 106
4. How can the gig worker access social security benefits? ................................................. 107
Scenario 4: The Discriminated Migrant Worker ....................................................................... 107
1. What are the rights of the migrant worker under the OSH Code? ...................................... 107
2. What actions can the worker take against the contractor for the violations of his rights? ... 108
3. What role can the principal employer play in protecting the rights of the migrant worker? . 108
4. How can the government ensure the effective implementation of the OSH Code to protect
migrant workers? .............................................................................................................. 108
Scenario 5: The Unsafe Factory ............................................................................................. 109
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1. What are the obligations of the factory owner under the OSH Code? ............................... 109
2. What actions can the labor inspector take against the factory owner for the violations? ... 109
3. What are the potential consequences for the factory owner if a worker is injured due to the
unsafe conditions?............................................................................................................ 110
4. How can the government promote compliance with the OSH Code among factory owners?
........................................................................................................................................ 110
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Module I: SOCIAL SECURITY – Code on Social Security,

2020

1. Object and Salient Features with various Definitions under the Act
• Object: The Code on Social Security, 2020 aims to streamline and modernize India's social
security laws. It seeks to provide a safety net for ALL workers, including those in the
organized, unorganized, and gig economies, by consolidating various previous acts into one
comprehensive code.

o Example: Before this Code, there were separate laws for different types of social
security like the Employees' Provident Funds and Miscellaneous Provisions Act, the
Employees' State Insurance Act, etc. This Code brings them all under one umbrella.

• Salient Features:

o Universalization: The Code strives to extend social security coverage to all workers,
regardless of their employment status.

▪ Example: Platform workers like delivery drivers and e-commerce sellers are
now brought under the ambit of social security.

o Simplification: It aims to reduce complexity and make compliance easier for

employers.

▪ Example: A unified registration process for different social security

schemes.

o Technology: Leverages technology to improve efficiency and transparency.

▪ Example: Online registration, payment of contributions, and claim

settlements.

o Portability: Enables easier transfer of benefits when workers change jobs.

▪ Example: Workers can easily transfer their EPF account to a new employer.

o Enhanced Benefits: Seeks to improve the benefits and coverage offered under
various schemes.

▪ Example: Increased maternity benefits, coverage for gig workers.

• Definitions: The Code provides clear definitions of key terms:

o "Employee": Includes those in traditional employment, fixed-term contracts, and

platform workers.

o "Employer": Covers a wide range of entities, including individuals, companies, and

government establishments.
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o "Wages": Defined broadly to include basic pay, allowances, and other components.

o "Establishment": Any place where work is carried out, including factories, offices,
and remote work locations.

o "Dependent": Specifies who is eligible to receive benefits in case of a worker's death,

including spouse, children, and parents.

2. Social Security Organizations

• Employees' Provident Fund Organisation (EPFO): This is India's primary organization for
managing retirement savings. It administers the Employees' Provident Fund (EPF) scheme, a
mandatory contributory fund for many employees.

o Example: A private company with 20 or more employees must register with the EPFO
and contribute to the EPF scheme for its eligible employees.

• Employees' State Insurance Corporation (ESIC): The ESIC provides health insurance and
cash benefits to employees in case of sickness, maternity, disability, or death due to
employment injury.

o Example: A factory worker who suffers an injury on the job can claim medical
expenses and cash benefits from the ESIC.

• State Welfare Boards: These boards are responsible for implementing social security
schemes for unorganized workers at the state level.

o Example: A construction worker in Maharashtra would be covered under the

Maharashtra Building and Other Construction Workers Welfare Board.

• National Social Security Board: This central body advises the government on social security
policies and monitors their implementation across the country.

3. Employees' Provident Fund

• Contribution: Both employers and employees contribute a percentage of the employee's
wages to the EPF account. The current rate is 12% of the employee's basic salary and
dearness allowance, with the employer matching the employee's contribution.

• Eligibility: Employees earning up to a certain wage limit (currently ₹15,000 per month) are
generally required to contribute to the EPF. However, employees earning above this limit can
also voluntarily contribute.

• Benefits:

o Retirement Benefits: Employees can withdraw the accumulated balance in their

EPF account upon retirement (after age 58).

o Withdrawal Options: Partial withdrawals are allowed for specific purposes like
education, marriage, or medical emergencies.
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o Nominee Benefits: In case of the employee's death, the nominated beneficiary

receives the accumulated funds.

• Withdrawal: The process for withdrawing EPF funds has been simplified and can be done
online through the EPFO portal.

4. Employees' State Insurance Corporation

• Coverage: The ESI Act applies to factories and establishments with 10 or more employees
(in some states, the threshold is 20 employees).

• Contributions: Both employers and employees contribute to the ESI scheme. The current
employer contribution rate is 3.25% of the employee's wages, and the employee contribution
rate is 0.75%.

• Benefits:

o Medical Benefits: Insured persons and their families are entitled to comprehensive
medical care through ESI hospitals and dispensaries.

o Sickness Benefit: Cash benefits are provided for temporary disablement due to
sickness.

o Maternity Benefit: Cash benefits are paid to women employees during maternity
leave.

o Disablement Benefit: Cash benefits are paid to employees who suffer permanent
disablement due to employment injury or occupational disease.

o Dependent's Benefit: In case of an employee's death due to employment injury, their

dependents receive monthly payments.

• Healthcare Services: The ESIC has a network of hospitals and dispensaries across India to
provide medical care to insured persons.

5. Gratuity
• Eligibility: Employees who have completed at least five years of continuous service with an
employer are eligible for gratuity.

• Calculation: Gratuity is calculated based on the employee's last drawn salary and years of
service. The formula is: (15/26) * Last Drawn Salary * Number of Years of Service.

o Example: An employee with a last drawn salary of ₹50,000 and 10 years of service
would receive a gratuity of ₹288,461.54.

• Forfeiture: Gratuity can be forfeited in cases of serious misconduct, such as theft or

violence.

• Payment: Gratuity is typically paid upon the employee's resignation, retirement, or

termination of employment.
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6. Maternity Benefit
• Eligibility: All women employees, regardless of their employment status (permanent,
temporary, or contract), are entitled to maternity benefits.

• Duration: The Code provides for 26 weeks of paid maternity leave, which can be availed
before and after childbirth.

• Benefits:

o Maternity Leave: Women employees can take time off work for childbirth and
childcare.

o Medical Bonus: A medical bonus is provided to cover medical expenses related to

pregnancy and childbirth.

o Nursing Breaks: Women are entitled to nursing breaks during working hours to
breastfeed their infants.

• Restrictions: The Code prohibits employers from dismissing or discharging pregnant women
or new mothers.

Case Laws:
While the Code on Social Security, 2020 is relatively new, here are some relevant case laws related
to the earlier acts that this Code subsumes:

• EPF:

o Regional Provident Fund Commissioner v. Hooghly Mills Co. Ltd. (1973): This case
clarified the definition of "employee" under the EPF Act and emphasized the
importance of considering the substance of the relationship over its form.

o Royal Western India Turf Club Ltd. v. Regional Provident Fund Commissioner
(2005): This case dealt with the applicability of the EPF Act to certain categories of
employees and highlighted the need for a liberal interpretation to ensure social
security coverage.

• ESI:

o Esic v. Francis De Costa (1996): This case clarified the scope of "employment injury"
under the ESI Act and emphasized the need to consider the proximate cause of the
injury.

o Bangalore Turf Club Ltd. v. Regional Director, ESIC (2014): This case dealt with the
applicability of the ESI Act to certain categories of employees and highlighted the
importance of considering the overall nature of the employment relationship.
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• Maternity Benefit:

o Municipal Corporation of Delhi v. Female Workers (Muster Roll) (2000): This

landmark case recognized the right to maternity benefits for women employed on a
casual or muster roll basis, ensuring their social security.

Possible Exam Questions:

Long Questions:
1. Discuss the objectives and salient features of the Code on Social Security,
2020. Explain how it seeks to improve social security in India.
The Code on Social Security, 2020 (CSS) represents a significant overhaul of India's social
security landscape. It consolidates and amends nine existing laws related to social security, aiming
to create a more comprehensive and inclusive system. Here's a breakdown of its objectives and
salient features:

Objectives:

• Universalization of Social Security: The primary objective is to extend social security

coverage to all employees and workers, including those in the organized, unorganized, and
platform/gig economies. This aims to address the historical gap in coverage for informal
workers who constitute a significant portion of the workforce.

• Simplification and Consolidation: The Code streamlines and simplifies the legal framework
by consolidating nine different acts into one comprehensive code. This reduces complexity
and makes it easier for employers and employees to understand their rights and obligations.

• Enhanced Benefits and Coverage: The Code seeks to improve the benefits and coverage
offered under various social security schemes, including those related to:

o Provident Fund (PF)

o Employees' State Insurance (ESI)

o Gratuity

o Maternity Benefits

o Disability and Death Benefits

• Portability of Benefits: The Code promotes the portability of benefits, allowing workers to
easily transfer their social security benefits when they change jobs or move between states.
This is particularly important for migrant workers.

• Improved Compliance: The Code aims to improve compliance through simplified

procedures, online platforms, and stricter enforcement mechanisms.

• Empowerment of Women: The Code strengthens provisions related to maternity benefits

and aims to ensure greater gender equality in the workplace.
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Salient Features:

• Wider Definition of "Employee": The Code expands the definition of "employee" to include
workers employed through contractors, platform workers, and gig workers, ensuring wider
coverage.

• Centralized Administration: It establishes a centralized administrative structure with clear

roles and responsibilities for various social security organizations, such as the EPFO and
ESIC.

• Use of Technology: The Code encourages the use of technology for efficient administration,
including online registration, payment of contributions, and claim settlement.

• Focus on Unorganized Sector: It introduces specific provisions for the social security of
unorganized workers, including gig workers and platform workers, addressing a long-standing
gap in the system.

• Social Security Fund: It establishes a Social Security Fund to provide social security benefits
to unorganized workers, gig workers, and platform workers.

• Enhanced Maternity Benefits: It increases the duration of paid maternity leave and
introduces provisions for crèche facilities and work-from-home options for new mothers.

• Stronger Enforcement: It strengthens enforcement mechanisms with stricter penalties for

non-compliance and provisions for inspections and audits.

How the Code Seeks to Improve Social Security in India:

• Expanded Coverage: By including informal workers, gig workers, and platform workers, the
Code significantly expands the reach of social security benefits to a larger section of the
workforce.

• Simplified Compliance: Simplified procedures and online platforms make it easier for
employers to comply with the law, leading to better compliance and increased coverage.

• Improved Benefits: Enhanced benefits and coverage under various schemes provide better
social security protection for workers and their families.

• Portability: Portability of benefits allows workers to retain their social security coverage even
when they change jobs or move between states, providing greater flexibility and security.

• Focus on Vulnerable Groups: Specific provisions for unorganized workers, women, and
other vulnerable groups aim to address their unique needs and challenges.

• Stronger Enforcement: Stricter enforcement mechanisms deter non-compliance and

ensure that employers fulfill their social security obligations.
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2. Critically analyze the provisions of the Code on Social Security, 2020 relating
to Employees' Provident Fund.
The Code on Social Security, 2020 (CSS) introduces some important changes to the
Employees' Provident Fund (EPF) scheme in India. While these changes aim to improve the system,
they also present some challenges and concerns. Here's a critical analysis:

Positive Aspects:

• Wider Coverage: The Code extends EPF coverage to employees working in establishments
with less than 20 employees, potentially bringing millions of workers under the social security
net. This is a significant step towards universalizing social security coverage.

• Simplified Compliance: The Code simplifies the compliance process for employers, making
it easier for them to register and contribute to the EPF scheme. This is expected to improve
compliance rates and ensure that more workers benefit from the scheme.

• Enhanced Flexibility: The Code provides greater flexibility for employees to access their EPF
savings. It allows for partial withdrawals for specific purposes like education, housing, and
medical emergencies, providing financial support during critical times.

• Portability: The Code emphasizes the portability of EPF accounts, making it easier for
workers to transfer their accounts when they change jobs. This is particularly beneficial for
migrant workers who often move between states for employment.

• Increased Transparency: The Code promotes transparency through online platforms and
digital record-keeping, making it easier for employees to track their contributions and access
information about their EPF accounts.

Challenges and Concerns:

• Implementation Challenges: Extending EPF coverage to smaller establishments may pose

implementation challenges, particularly in ensuring compliance among small and micro
enterprises that may have limited resources and administrative capacity.

• Adequacy of Benefits: While the EPF provides a retirement savings scheme, concerns
remain about the adequacy of benefits, especially in the context of rising inflation and longer
life expectancy. The scheme may need to be periodically reviewed to ensure that benefits
keep pace with the changing economic realities.

• Investment Risks: The EPF invests a portion of its funds in the stock market, which exposes
it to market volatility and investment risks. While this can potentially generate higher returns,
it also raises concerns about the safety and security of workers' retirement savings.

• Administrative Efficiency: While the Code promotes the use of technology, the efficiency of
the EPFO's administrative processes remains a concern. Delays in claim settlement and
processing of grievances continue to be reported, highlighting the need for further
improvements in administrative efficiency.
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• Lack of Universal Coverage: Despite the Code's efforts to expand coverage, it still falls short
of achieving universal social security coverage. Many workers in the informal sector, including
self-employed individuals and domestic workers, remain outside the ambit of the EPF
scheme.

3. Explain the benefits available to employees under the Employees' State

Insurance Act, as amended by the Code on Social Security, 2020.
The Employees' State Insurance Act, a crucial part of India's social security system, provides
a range of benefits to employees and their families. The Code on Social Security, 2020, while
consolidating various laws, has largely retained the core benefits of the ESI Act. Here's a breakdown
of those benefits:

1. Medical Benefit

• Comprehensive Healthcare: This is a cornerstone of the ESI scheme. Insured persons and
their families have access to a wide range of medical services, including:

o Outpatient care: Consultations with general practitioners and specialists at ESI

dispensaries and hospitals.

o Inpatient care: Hospitalization for treatment of illnesses and injuries, including

surgery and critical care.

o Maternity care: Prenatal, delivery, and postnatal care for pregnant women.

o Medicines and diagnostics: Provision of medicines, diagnostic tests, and medical

equipment.

o Rehabilitation: Physical and occupational therapy to help workers recover from

injuries and illnesses.

• Extended Coverage: The Code extends medical benefits to retired and permanently
disabled insured persons and their spouses upon payment of a nominal annual premium.
This ensures continued access to healthcare even after leaving the workforce.

2. Sickness Benefit

• Cash Allowance: Employees who are unable to work due to sickness or injury are entitled to
a cash allowance during their period of certified sickness. This helps to replace lost income
and support workers during their recovery.

• Enhanced Duration: The Code has increased the maximum duration for which sickness
benefits can be availed, providing greater financial security to employees.
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3. Maternity Benefit

• Paid Leave: Women employees are entitled to paid maternity leave to care for their newborn
or adopted child. The Code has increased the duration of paid maternity leave to 26 weeks,
aligning it with international standards.

• Medical Bonus: A medical bonus is provided to cover medical expenses related to pregnancy
and childbirth.

• Nursing Breaks: Women are entitled to nursing breaks during working hours to breastfeed
their infants.

4. Disablement Benefit

• Compensation for Disability: Employees who suffer temporary or permanent disablement

due to employment injury or occupational disease are entitled to disablement benefits.
These benefits are calculated based on the extent of disablement and the employee's
average daily wages.

• Types of Disablement Benefit:

o Temporary Disablement Benefit: Paid during the period of temporary disablement.

o Permanent Disablement Benefit: Paid as a lump sum or monthly payments,

depending on the nature and extent of disablement.

5. Dependents’ Benefit

• Support for Families: In case of an employee's death due to employment injury or

occupational disease, their dependents are entitled to monthly payments. This provides
financial support to the family during a difficult time.

• Eligibility: Dependents include the spouse, children, and parents of the deceased employee.

6. Other Benefits

• Funeral Expenses: A lump sum payment is provided to cover funeral expenses in case of an
employee's death.

• Rehabilitation Allowance: A rehabilitation allowance is provided to help employees with

disabilities return to work or acquire new skills.

• Vocational Training: Vocational training may be provided to help disabled employees find
suitable employment.

Key Changes under the Code on Social Security, 2020

• Extended Applicability: The Code extends the applicability of the ESI Act to all
establishments with 10 or more employees, regardless of their industry or location. This
significantly expands the coverage of the scheme.
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• Increased Wage Ceiling: The wage ceiling for ESI coverage has been increased, allowing
more employees to benefit from the scheme.

• Enhanced Benefits: The Code has enhanced certain benefits, such as the duration of
sickness benefit and maternity leave, providing greater financial security to employees.

• Simplified Procedures: The Code promotes simplified procedures and online platforms for
registration, payment of contributions, and claim settlement, making it easier for both
employers and employees to access the benefits.

4. Discuss the concept of gratuity and the conditions for its eligibility under the
Code on Social Security, 2020.
Gratuity is a lump-sum payment made by an employer to an employee as a token of gratitude for their
long and continuous service. It's a statutory benefit in India, meaning it's mandated by law under the
Code on Social Security, 2020 (CSS). Here's a breakdown of the concept and eligibility conditions:

Concept of Gratuity:

• Recognition of Service: Gratuity is a form of retirement benefit that acknowledges an

employee's contribution to the organization over a significant period. It's seen as a reward for
loyalty and dedicated service.

• Social Security Measure: It acts as a social security measure, providing a financial cushion
to employees after their retirement or separation from service.

• Not a Mere Bounty: Gratuity is not a bonus or an act of charity; it's a legally mandated right
of eligible employees.

Eligibility Conditions under the CSS, 2020:

1. Completion of Service: An employee must have rendered continuous service for at least five
years with the same employer to be eligible for gratuity.

2. Circumstances of Cessation: Gratuity becomes payable under the following

circumstances:

o Superannuation: Reaching the age of retirement as defined by the employer.

o Retirement: Voluntary retirement of the employee.

o Resignation: When the employee resigns from their job.

o Death: In the unfortunate event of the employee's death, gratuity is payable to their
nominee or legal heirs.

o Disablement: If the employee becomes disabled due to an accident or disease, they

are entitled to gratuity.
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o Termination of Fixed-Term Employment: For employees on fixed-term contracts,

gratuity is payable upon the expiry of their contract, even if the contract period is less
than five years.

Exceptions to the Five-Year Rule:

• Death or Disablement: In cases of death or disablement due to accident or disease, the five-
year continuous service requirement is waived. Gratuity is payable regardless of the length
of service.

Important Points:

• Continuous Service: Continuous service includes periods of leave, layoff, strike, or lockout,
provided the employee has not been dismissed or terminated during such periods.

• Calculation of Gratuity: The amount of gratuity is calculated based on the employee's last
drawn salary and the number of years of service. The formula is: (15/26) * Last Drawn Salary
* Number of Years of Service.

• Forfeiture of Gratuity: Gratuity can be forfeited in certain circumstances, such as

termination due to serious misconduct (e.g., theft, violence).

• Taxation: Gratuity is partially exempt from income tax, subject to certain limits.

Key Changes under the CSS, 2020:

• Fixed-Term Employees: The Code explicitly includes fixed-term employees in the ambit of
gratuity, ensuring that they receive this benefit even if their contract period is less than five
years.

• Clarity on Calculation: The Code provides a clear formula for calculating gratuity, reducing
ambiguity and potential disputes.

5. Explain the provisions of the Code on Social Security, 2020 relating to

maternity benefits. How does it seek to protect the rights of pregnant women
and new mothers?
The Code on Social Security, 2020 (CSS) makes significant strides in protecting the rights of
pregnant women and new mothers in the workplace by enhancing and expanding upon the
provisions of the previous Maternity Benefit Act, 1961. Here's a breakdown of the key provisions and
how they offer protection:

Key Provisions:

1. Increased Maternity Leave: The CSS increases the duration of paid maternity leave from 12
weeks to 26 weeks. This allows women more time to recover from childbirth, bond with their
newborn, and adjust to the demands of motherhood before returning to work.
 P a g e | 18

2. Applicability: The maternity benefit provisions apply to all establishments employing 10 or

more employees, including factories, mines, plantations, shops, and other establishments.
This wider coverage ensures that more women have access to these crucial benefits.

3. Eligibility: All women employees, regardless of their employment status (permanent,

temporary, contract, or through an agency), are entitled to maternity benefits. This ensures
that even women in precarious employment are protected during pregnancy and childbirth.

4. Work from Home Option: The CSS introduces the option for women to work from home after
the 26 weeks of maternity leave, if the nature of their work permits. This provides flexibility
and allows women to continue breastfeeding and caring for their infants while contributing
to their work.

5. Crèche Facilities: Establishments with 50 or more employees are required to provide crèche
facilities for the children of their employees. This helps women return to work with peace of
mind, knowing that their children are being cared for in a safe and nurturing environment.

6. Prohibition of Dismissal: Employers are prohibited from dismissing or discharging a woman

during her pregnancy or maternity leave. This protects women from losing their jobs due to
pregnancy or childbirth.

7. Medical Bonus: A medical bonus is provided to cover medical expenses related to pregnancy
and childbirth.

8. Nursing Breaks: Women are entitled to nursing breaks during working hours to breastfeed
their infants.

9. Notice of Claim: Women are required to give notice to their employer of their intention to
avail maternity benefits, but the Code allows for some flexibility in cases where it's not
possible to give advance notice.

How the CSS Protects the Rights of Pregnant Women and New Mothers:

• Health and Well-being: Increased maternity leave, work-from-home options, and crèche
facilities support the physical and mental health of both mother and child, allowing for
adequate rest, recovery, and bonding time.

• Economic Security: Paid maternity leave ensures that women do not suffer financial
hardship due to pregnancy and childbirth. It allows them to maintain their income and
support their families during this crucial period.

• Job Security: The prohibition of dismissal during pregnancy and maternity leave protects
women from losing their jobs due to motherhood. This ensures that they can return to work
without fear of discrimination or job loss.

• Work-Life Balance: Work-from-home options and crèche facilities help women balance
their work and family responsibilities, making it easier for them to continue their careers
while raising a family.
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• Equality and Non-discrimination: By providing comprehensive maternity benefits, the CSS

promotes gender equality in the workplace and protects women from discrimination based
on pregnancy or motherhood.

6. Explain in detail the purpose, function and provisions of Social Security

Organization (SSO)
a. Employees' Provident Fund Organisation (EPFO)

• Purpose: To ensure social security for employees in the organized sector by providing
retirement benefits like provident fund, pension, and insurance.

• Functions:

o Manages the Employees' Provident Fund (EPF) scheme, the Employees' Pension
Scheme (EPS), and the Employees' Deposit Linked Insurance Scheme (EDLI).

o Registers establishments and employees, collects contributions, and disburses

benefits.

o Invests the accumulated funds to generate returns for members.

o Settles claims for withdrawal, pension, and insurance benefits.

o Enforces compliance with the Employees' Provident Funds & Miscellaneous

Provisions Act, 1952.

• Key Provisions:

o Applicability: Covers specified factories and establishments with 20 or more

employees.

o Contributions: Both employer and employee contribute 12% of the employee's basic
salary and dearness allowance to the EPF.

o Benefits: Provides provident fund (a lump sum amount at retirement), pension (a

monthly payment after retirement), and insurance cover in case of death during
service.

b. Employees' State Insurance Corporation (ESIC)

• Purpose: To provide comprehensive social security to employees in the organized sector,

including healthcare, cash benefits during sickness, maternity, and disablement, and
dependents' benefits.

• Functions:

o Manages the Employees' State Insurance (ESI) scheme.

o Provides medical care through a network of hospitals and dispensaries.

 P a g e | 20

o Disburses cash benefits for sickness, maternity, and disablement.

o Settles claims for dependents' benefits in case of death due to employment injury.

o Enforces compliance with the Employees' State Insurance Act, 1948.

• Key Provisions:

o Applicability: Covers factories and establishments with 10 or more employees

(threshold varies in some states).

o Contributions: Both employer and employee contribute to the ESI scheme

(employer's share is higher).

o Benefits: Provides medical care, sickness benefit, maternity benefit, disablement

benefit, and dependents' benefit.

c. National Social Security Board (NSSB)

• Purpose: To advise the central government on framing social security schemes for
unorganized workers and to recommend policies for the welfare of unorganized workers.

• Functions:

o Recommends social security schemes for different sections of unorganized workers.

o Monitors and reviews the implementation of social security schemes by state

governments.

o Coordinates the activities of State Social Security Boards.

• Key Provisions:

o Composition: Includes representatives from the central and state governments,

employers, employees, and experts.

o Focus: Primarily on framing and recommending schemes for unorganized workers,

including life and disability cover, health and maternity benefits, and old age
protection.

d. State Unorganised Workers' Social Security Board (SUWSSB)

• Purpose: To implement and monitor social security schemes for unorganized workers at the
state level.

• Functions:

o Registers unorganized workers.

o Identifies beneficiaries for various schemes.

o Disburses benefits to eligible workers.

o Addresses grievances and ensures effective implementation of schemes.

 P a g e | 21

• Key Provisions:

o Composition: Includes representatives from the state government, unorganized

workers, employers, and experts.

o Focus: On implementing and monitoring social security schemes for unorganized

workers within the state.

e. Other Social Security Organisations (OSSO)

This is a broad term used in the Code on Social Security, 2020, to encompass any organization or
special purpose vehicle declared as such by the central government. It includes organizations like:

• The Employees' Provident Fund Organisation (EPFO)

• The Employees' State Insurance Corporation (ESIC)

• The National Social Security Board for Unorganised Workers (NSSB)

• The State Unorganised Workers' Social Security Boards (SUWSSBs)

• State Building and Other Construction Workers' Welfare Boards

Key Points:

• These organizations play a crucial role in providing social security to various segments of the
Indian workforce.

• The EPFO and ESIC focus on the organized sector, while the NSSB and SUWSSBs cater to the
unorganized sector.

• The Code on Social Security, 2020, aims to streamline and consolidate these various social
security schemes and organizations to provide a comprehensive framework for social
security in India.

7. Explain the challenges faced by SSO

Social Security Organizations (SSOs) in India, including the EPFO, ESIC, NSSB, and
SUWSSBs, face a multitude of challenges in fulfilling their mandate of providing social security to the
Indian workforce. These challenges stem from various factors, including the size and diversity of the
workforce, administrative complexities, and socio-economic conditions.

Here's a breakdown of some key challenges:

1. Coverage and Inclusion:

• Informal Sector: A significant portion of the Indian workforce is in the informal or

unorganized sector, characterized by irregular employment, low wages, and a lack of
documentation. Reaching this segment and extending social security benefits to them is a
major challenge.
 P a g e | 22

• Gig and Platform Workers: The emergence of the gig economy and platform work has
created a new category of workers who often fall outside traditional employment structures.
Ensuring their inclusion in social security schemes requires innovative approaches and
policy adaptations.

• Migrant Workers: Migrant workers often face difficulties in accessing social security benefits
due to their mobility and lack of awareness about schemes in different states. Portability of
benefits and streamlined access are crucial for their inclusion.

2. Administrative and Operational Challenges:

• Registration and Identification: Registering and identifying workers, especially in the

unorganized sector, is a complex task due to a lack of proper documentation and the
constantly changing nature of their work.

• Data Management and Digitization: Efficient data management and digitization of records
are essential for effective administration and delivery of benefits. However, SSOs often
grapple with outdated systems and a lack of interoperability between different platforms.

• Outreach and Awareness: Many workers, particularly in remote areas and those with low
literacy levels, are unaware of the social security schemes available to them. Effective
outreach and awareness campaigns are crucial to ensure that information reaches the
intended beneficiaries.

• Capacity Building: SSOs require adequate staff, infrastructure, and training to effectively
implement and manage the increasing number of schemes and beneficiaries.

3. Financial Sustainability:

• Funding: Ensuring adequate funding for social security schemes, especially for the
unorganized sector, is a major challenge. The contribution base is often limited, and
government funding may not always be sufficient.

• Investment Management: Efficient investment of the accumulated funds is crucial to

ensure the long-term sustainability of the schemes. SSOs need to adopt prudent investment
strategies to generate adequate returns.

• Fraud Prevention and Detection: Preventing and detecting fraud and misuse of funds is
critical to maintain the integrity and financial health of the schemes.

4. Other Challenges:

• Gender Disparity: Women often face additional barriers in accessing social security benefits
due to factors like lower labor force participation, discrimination, and social norms.

• Compliance: Ensuring compliance with the provisions of the various social security laws and
regulations is a challenge, especially among small and medium enterprises.

• Changing Nature of Work: The rapidly evolving nature of work, with increasing automation
and technological advancements, poses challenges for SSOs in adapting their schemes and
policies to cover new forms of employment.
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Short Notes:
1. Social Security Organizations in India
Social Security Organizations in India play a vital role in implementing and administering
various social security schemes aimed at protecting the well-being and economic security of workers
and their families. Here's a brief overview of some key organizations:

1. Employees' Provident Fund Organisation (EPFO)

• Role: Administers the Employees' Provident Fund (EPF) scheme, a retirement savings
scheme that provides a lump sum payment to employees upon retirement or separation from
service.

• Coverage: Covers employees in both the public and private sectors, subject to certain
eligibility criteria.

• Functions: Manages EPF accounts, collects contributions from employers and employees,
processes withdrawals and claims, and settles disputes related to the EPF scheme.

2. Employees' State Insurance Corporation (ESIC)

• Role: Provides health insurance and cash benefits to employees in case of sickness,
maternity, disablement, and death due to employment injury or occupational disease.

• Coverage: Covers employees in factories and establishments with 10 or more employees,

subject to certain wage limits.

• Functions: Provides medical care through a network of hospitals and dispensaries,

processes claims for various benefits, and promotes preventive healthcare measures.

3. State Welfare Boards

• Role: Implement and administer social security schemes for unorganized workers at the
state level.

• Coverage: Covers workers in the unorganized sector, including construction workers,

domestic workers, and agricultural laborers.

• Functions: Register workers, collect contributions, and provide benefits such as medical
care, pensions, and housing assistance.

4. National Social Security Board (NSSB)

• Role: A central body that advises the government on social security policy and oversees its
implementation.

• Functions: Conducts research, monitors social security programs, and recommends

measures to improve social security coverage and benefits.
 P a g e | 24

5. Other Organizations

• Ministry of Labour and Employment: The nodal ministry responsible for formulating and
implementing labor laws and social security policies.

• Voluntary Organizations: Several NGOs and voluntary organizations play a role in promoting
awareness about social security and providing assistance to workers in accessing benefits.

Key Functions of Social Security Organizations:

• Registration: Registering employers and employees under various social security schemes.

• Collection of Contributions: Collecting contributions from employers and employees to

fund the schemes.

• Provision of Benefits: Processing and disbursing benefits to eligible employees and their
families.

• Settlement of Disputes: Resolving disputes between employers and employees related to

social security benefits.

• Monitoring and Evaluation: Monitoring the implementation of social security schemes and
evaluating their effectiveness.

• Awareness and Outreach: Promoting awareness about social security rights and
entitlements among workers.

Challenges and Future Directions:

• Extending Coverage: Expanding social security coverage to all workers, especially those in
the informal sector, remains a major challenge.

• Improving Administrative Efficiency: Streamlining processes and leveraging technology to

improve the efficiency of service delivery and grievance redressal.

• Ensuring Financial Sustainability: Ensuring the long-term financial sustainability of social

security schemes in the face of demographic changes and economic challenges.

• Promoting Awareness: Increasing awareness among workers about their social security
rights and entitlements.

2. Eligibility criteria for EPF benefits

The Employees' Provident Fund (EPF) is a retirement savings scheme in India that provides
financial security to employees after their retirement or separation from service. To avail of the
benefits of the EPF, employees need to meet certain eligibility criteria. Here's a summary:

1. Employee Eligibility:

• Mandatory Coverage: Any individual employed for wages in any establishment (private or
public), including those employed through a contractor or engaged as an apprentice, is
eligible for EPF membership.
 P a g e | 25

• Wage Ceiling: It's mandatory for employees earning a basic salary of ₹15,000 or less per
month to become members of the EPF.

• Voluntary Coverage: Employees earning above ₹15,000 per month can also voluntarily join
the EPF scheme.

• International Workers: The Code on Social Security, 2020 extends EPF coverage to
international workers, subject to bilateral agreements between India and their respective
countries.

2. Employer Eligibility:

• Mandatory Registration: Establishments employing 20 or more persons are required to

register with the Employees' Provident Fund Organisation (EPFO) and contribute to the EPF
scheme for their eligible employees.

• Voluntary Registration: Establishments with less than 20 employees can also voluntarily
register with the EPFO.

3. Eligibility for Specific Benefits:

• Withdrawal Benefits: Employees can withdraw the accumulated balance in their EPF
account under certain circumstances, such as:

o Retirement (after age 58)

o Resignation (after two months of unemployment)

o Termination of service

o Permanent disability

o Migration abroad

o Specific needs like housing, medical treatment, education, marriage.

• Pension Benefits: Employees who have contributed to the Employees' Pension Scheme
(EPS) for at least 10 years are eligible for a monthly pension after retirement (age 58).

• Insurance Benefits: The Employees' Deposit Linked Insurance Scheme (EDLI) provides
insurance coverage to EPF members. In case of the employee's death while in service, a lump
sum payment is made to their nominee or legal heirs.

Key Points to Note:

• Continuous Service: To be eligible for certain benefits like pension, employees need to have
a minimum period of continuous service.

• UAN (Universal Account Number): Each EPF member is assigned a UAN, which helps to
track their EPF account even when they change jobs.

• Online Services: The EPFO provides various online services, making it easier for employees
to access their EPF account information, track contributions, and submit claims.
 P a g e | 26

3. Disablement benefits under the ESI Act

The Employees' State Insurance Act (ESI Act) provides crucial support to employees who
suffer from disablement due to employment-related injuries or occupational diseases. Here's a
breakdown of the disablement benefits:

Types of Disablement:

The ESI Act recognizes two main types of disablement:

• Temporary Disablement: This refers to a condition where the employee is temporarily

unable to work due to an employment injury or occupational disease. It's expected that the
employee will recover and return to work after a period of medical treatment and
rehabilitation.

• Permanent Disablement: This refers to a condition where the employee suffers a permanent
loss of earning capacity due to an employment injury or occupational disease. The
disablement could be partial or total.

Disablement Benefits:

1. Temporary Disablement Benefit (TDB):

• Eligibility: Payable from the first day of entering insurable employment, regardless of
whether the employee has paid any contributions.

• Rate: 90% of the employee's average daily wages.

• Duration: Payable as long as the temporary disablement lasts and medical treatment is
ongoing.

• No Minimum Contribution Required: This benefit is payable even if the employee hasn't
made any contribution to the ESI scheme yet.

2. Permanent Disablement Benefit (PDB):

• Eligibility: Payable to an employee who suffers permanent disablement due to an

employment injury or occupational disease, resulting in a loss of earning capacity.

• Rate: 90% of the employee's average daily wages, payable in the form of monthly payments.

• Assessment: The extent of permanent disablement and the loss of earning capacity are
assessed by a Medical Board.

• Types of PDB:

o Partial Disablement: Where the employee loses some earning capacity but can still
work in some capacity.

o Total Disablement: Where the employee is completely unable to work due to the
disablement.
 P a g e | 27

Key Features of Disablement Benefits:

• No-Fault Liability: Benefits are payable regardless of who is at fault for the injury or disease.

• Medical Care: In addition to cash benefits, the ESI Corporation provides medical care,
rehabilitation, and vocational training to help disabled employees recover and return to work
or find alternative employment.

• Dependants' Benefit: In case of death due to employment injury or occupational disease,

the dependents of the deceased employee are entitled to monthly payments.

Significance:

• Financial Security: Disablement benefits provide crucial financial support to employees

and their families during a challenging time, helping them cope with the loss of income and
medical expenses.

• Rehabilitation and Reintegration: The ESI Act focuses not just on compensation but also on
rehabilitation and reintegration of disabled employees into the workforce, promoting their
social and economic independence.

4. Forfeiture of gratuity
Forfeiture of gratuity refers to the situation where an employee loses their right to receive
gratuity, a retirement benefit they would otherwise be entitled to. This is a serious consequence and
is only allowed under specific circumstances defined in the Payment of Gratuity Act, 1972, which is
now subsumed within the Code on Social Security, 2020.

Grounds for Forfeiture:

The Act specifies two main grounds for forfeiture of gratuity:

1. Damage or Loss to Employer's Property:

o Wilful Omission or Negligence: If an employee's services are terminated due to their

wilful omission or negligence that causes damage, loss, or destruction of property
belonging to the employer, the gratuity can be forfeited.

o Extent of Forfeiture: The amount forfeited will be commensurate with the extent of
the damage or loss caused.

o Example: An employee who deliberately damages company equipment or misplaces

valuable inventory may face forfeiture of gratuity.

2. Offences Involving Moral Turpitude:

o Serious Misconduct: If an employee is terminated for any act that constitutes an

offence involving moral turpitude, and this offence is committed in the course of their
employment, their gratuity can be forfeited.
 P a g e | 28

o Moral Turpitude Defined: This refers to conduct that is considered depraved,

shameful, or contrary to accepted standards of morality.

o Examples: Theft, fraud, assault, or other acts of violence committed by the employee
during their employment may lead to forfeiture.

Important Considerations:

• Due Process: Before forfeiting gratuity, the employer must follow due process, giving the
employee an opportunity to explain their conduct and defend themselves.

• Proportionality: The amount of gratuity forfeited should be proportionate to the severity of

the misconduct or the extent of the damage caused.

• Judicial Review: An employee can challenge the employer's decision to forfeit gratuity in a
court of law.

Impact of the Code on Social Security, 2020:

The Code on Social Security, 2020 has largely retained the provisions related to forfeiture of gratuity
from the Payment of Gratuity Act, 1972. It emphasizes that gratuity is a statutory right of eligible
employees and cannot be denied except in the specific circumstances outlined in the law.

5. Nursing breaks under the Maternity Benefit Act

The Maternity Benefit Act, 1961, now subsumed within the Code on Social Security, 2020, provides
for nursing breaks to support breastfeeding mothers in the workplace. This provision recognizes the
importance of breastfeeding for infant health and aims to enable women to continue breastfeeding
even after returning to work.

Key Features of Nursing Breaks:

• Entitlement: Every woman who returns to work after childbirth is entitled to nursing breaks
in addition to her regular rest intervals.

• Frequency: The Act specifies "two breaks of the prescribed duration" for nursing. While the
exact duration isn't defined in the Act itself, it's generally understood to be 15 minutes per
break.

• Age of Child: These breaks are allowed until the child attains the age of fifteen months.

• Flexibility: The breaks can be taken at suitable times during the workday, allowing the mother
to adjust them to her and the baby's needs.

Significance of Nursing Breaks:

• Support for Breastfeeding: Nursing breaks facilitate exclusive breastfeeding for the first six
months, as recommended by health experts, and continued breastfeeding thereafter. This
has significant health benefits for both mother and child.
 P a g e | 29

• Maternal Health: They allow mothers time to express milk, which helps prevent
engorgement and other breast-related issues.

• Child Health: Breastfeeding provides optimal nutrition and immunity for infants, reducing
the risk of infections and chronic diseases.

• Work-Life Balance: Nursing breaks support working mothers in balancing their work
responsibilities with their childcare needs.

Implementation:

While the law mandates nursing breaks, effective implementation often depends on workplace
culture and employer support. Ideally, employers should:

• Provide dedicated spaces: Designated private and hygienic spaces for breastfeeding or
expressing milk.

• Flexible scheduling: Allow for flexible work schedules to accommodate nursing breaks.

• Awareness and support: Create a supportive environment where women feel comfortable
taking nursing breaks without facing stigma or pressure.

Terminology:
1. Employee
An employee is a person hired by an employer to do a specific job. They are typically paid a salary or
wage and are subject to the employer's control and direction.

Here are some key characteristics of an employee:

• Works for an employer: They have a formal relationship with an employer, often
documented through an employment contract.

• Receives compensation: They are paid for their work, usually in the form of a salary or wage.

• Subject to control: The employer has the right to direct and control the employee's work,
including when, where, and how the work is performed.

• Receives benefits: Employees often receive benefits like health insurance, paid time off,
and retirement contributions.

• Has taxes withheld: Employers typically withhold taxes from the employee's paycheck.
 P a g e | 30

2. Employer
An employer is any person or entity that hires one or more people to work for them. They provide
compensation (salary or wages) in exchange for the employee's work or labor.

Here are some key characteristics of an employer:

• Hires employees: They have the authority to recruit, hire, and fire employees.

• Pays wages or salary: They are responsible for compensating employees for their work.

• Provides a workplace: They offer a place for employees to perform their duties.

• Controls work: They have the right to direct and control the work of their employees.

• Complies with laws: They must follow labor laws and regulations, including those related to
minimum wage, working conditions, and social security.

3. Wages
Wages are the compensation paid to an employee for their work or services. It's usually calculated
on an hourly, daily, or weekly basis, especially for manual or unskilled labor.

Think of it like this:

• Work done = Wages earned

Wages are a key part of:

• Employee livelihood: It's how most people earn their living.

• Employer costs: It's a significant expense for businesses.

• The economy: Wages influence consumer spending and overall economic health.

Wages can include:

• Basic pay: The fixed amount paid for regular work hours.

• Overtime pay: Extra pay for work beyond normal hours.

• Bonuses: Rewards for good performance.

• Allowances: Payments for specific needs like travel or housing.

 P a g e | 31

4. Establishment
An establishment simply refers to any place where work is carried out. This can be a physical
location like:

• Factory

• Office

• Shop

• Mine

• Plantation

It can even include a construction site or a private residence where someone is employed as a
domestic worker.

Essentially, any location where an employer conducts business and employs people can be
considered an establishment. This term is important for determining the applicability of labor laws
and social security schemes, as many of them have specific provisions based on the type and size of
the establishment.

5. Disablement
Disablement refers to a condition that limits a person's ability to work and earn a livelihood, typically
due to an injury, illness, or disease. This can be:

• Physical disablement: Impairment of bodily functions or structures, like loss of a limb or

vision impairment.

• Mental disablement: Impairment of cognitive or emotional functions, like mental illness or

intellectual disability.

Disablement can be:

• Temporary: The person is expected to recover and return to work.

• Permanent: The impairment is long-lasting or lifelong.

• Partial: The person can still work but with reduced capacity.

• Total: The person is unable to work at all.

Disablement is a key concept in:

• Workers' compensation: Determining eligibility for compensation and benefits for work-
related injuries or diseases.

• Social security: Providing support and benefits to people with disabilities.

 P a g e | 32

• Disability rights: Protecting the rights and inclusion of people with disabilities in the
workplace and society.

6. Contribution
Contribution refers to the regular payments made by employees and/or employers to fund social
security schemes. These schemes provide benefits like healthcare, pensions, and disability
coverage.

Think of it like this:

• Contributions = Pool of money → Benefits for eligible individuals

Here's how it works:

• Employees and/or employers make regular payments. These are often a percentage of the
employee's salary.

• The money is pooled into funds managed by government organizations. Examples

include the Employees' Provident Fund Organisation (EPFO) and the Employees' State
Insurance Corporation (ESIC) in India.

• This pooled money is used to provide benefits to eligible individuals. This includes things
like retirement pensions, medical care, and unemployment benefits.

Contributions are essential for:

• Funding social security: They ensure that there's money available to pay for benefits.

• Shared responsibility: Both employees and employers often contribute, sharing the cost of
social security.

• Worker protection: Contributions guarantee that workers have access to a safety net in
times of need, such as illness, unemployment, or retirement.

7. Provident Fund
A provident fund is essentially a retirement savings plan. It's a fund that both employees and
employers contribute to regularly, and the accumulated amount is paid to the employee upon
retirement.

Think of it like this:

• You and your employer save a little bit of money each month.

• This money is put into your provident fund account.

• Over time, the money grows with interest.

• When you retire, you get a lump sum amount to support yourself.
 P a g e | 33

Provident funds are designed to:

• Encourage savings: They help people save for their retirement.

• Provide financial security: They offer a safety net for retired individuals.

• Offer tax benefits: Contributions and withdrawals are often tax-advantaged.

In India, the most common provident fund is the Employees' Provident Fund (EPF), which is
mandatory for many employees. It's managed by the Employees' Provident Fund Organisation
(EPFO).

8. Gratuity
Gratuity is a lump sum of money paid by an employer to an employee as a "thank you" for their long
service when they leave the company.

Think of it like a retirement bonus!

Here's the gist:

• You work for a company for a certain number of years (usually 5 or more).

• When you leave (retire, resign, etc.), the company pays you a gratuity amount.

• This money is calculated based on your last salary and years of service.

Gratuity is meant to:

• Reward employee loyalty.

• Provide financial support after leaving a job.

• Act as a form of social security.

In India, gratuity is a legal right for eligible employees, governed by the Payment of Gratuity Act, 1972
(now part of the Code on Social Security, 2020).
 P a g e | 34

Module II: EMPLOYEE’S COMPENSATION – Code on

Social Security, 2020
This module focuses on the legal framework for handling workplace accidents, injuries, and
occupational diseases, with a strong emphasis on the employer's responsibility to provide
compensation.

1. Concept – Employee, Employer, Dependent, Disablement and its kinds

• Employee: The Code has a broad definition of "employee" to include various types of
workers, even those in informal or contractual arrangements. This is crucial for determining
who is entitled to compensation.

o Example: A freelance writer who regularly contributes to a magazine and receives a

fixed payment per article may be considered an "employee" for the purposes of
compensation, even if they are not on the regular payroll.

• Employer: The definition of "employer" is also broad, clarifying the responsibilities of

different entities for providing compensation. This includes principal employers, contractors,
and platform aggregators.

o Example: If a security guard employed by a security agency is injured while on duty

at a client's premises, both the security agency and the client may have obligations
regarding compensation.

• Dependent: This defines who is considered a "dependent" of an employee and eligible for
compensation in case of the employee's death due to employment injury or occupational
disease. This typically includes spouse, children, and parents.

o Example: If a mine worker dies in a mining accident, their elderly parents who were
financially dependent on them may be entitled to receive compensation.

• Disablement and its kinds: This section explains the concept of "disablement" resulting
from employment injury or occupational disease. It differentiates between:

o Total Disablement: Where the employee is completely unable to work due to the
injury or disease.

▪ Example: A construction worker who suffers a spinal cord injury and is

paralyzed may be considered totally disabled.

o Partial Disablement: Where the employee's ability to work is reduced due to the
injury or disease.

▪ Example: A factory worker who loses a finger in a machinery accident may

have partial disablement.

o Temporary Disablement: Where the disablement is expected to last for a limited

period.
 P a g e | 35

▪ Example: A nurse who suffers a needle stick injury and needs time off for
treatment and recovery may have temporary disablement.

o Permanent Disablement: Where the disablement is expected to be lifelong.

▪ Example: A firefighter who suffers severe burns in a fire and has permanent
scarring and functional limitations may have permanent disablement.

2. Employer's Liability for Compensation – Conditions & Exceptions

• Liability: The Code establishes the principle of "no-fault liability," meaning that the employer
is liable to pay compensation for employment injuries or occupational diseases regardless
of who is at fault. This ensures that injured workers receive compensation without having to
prove negligence on the part of the employer.

o Example: Even if a delivery driver's accident is caused by a third party's negligence,

their employer is still liable to pay compensation under the no-fault liability principle.

• Conditions: However, certain conditions must be met for compensation to be payable:

o The injury or disease must arise out of and in the course of employment.

▪ Example: An office worker who slips and falls in the office cafeteria during
their lunch break would generally be entitled to compensation, as the injury
occurred within the workplace premises during a normal break.

o The injury or disease must result in disablement or death.

▪ Example: An employee who experiences minor cuts and bruises in a

workplace incident that does not affect their ability to work may not be
entitled to disability compensation, but may be entitled to medical expenses.

• Exceptions: The Code also outlines certain exceptions where the employer may not be liable
for compensation:

o If the injury or disease is caused by the employee's willful misconduct, such as

intoxication or deliberate self-injury.

▪ Example: If a construction worker is injured while under the influence of

alcohol on the job site, the employer may have a defense against paying
compensation.

o If the employee was not following safety regulations.

▪ Example: If a factory worker removes a safety guard from a machine and is

subsequently injured, the employer may argue that the worker's disregard for
safety rules contributed to the accident and may reduce the compensation
payable.
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3. Social Security and Cess in Respect of Building and Other Construction

Workers
• Special Provisions: This section addresses the unique challenges faced by construction
workers, who often work in hazardous conditions and have unstable employment. It outlines
specific provisions for their social security, including:

o Cess on Construction Projects: A cess is levied on construction projects to fund

welfare schemes for construction workers. This ensures that the construction
industry contributes to the well-being of its workforce.

▪ Example: A real estate developer constructing a new residential complex

would be required to pay a cess based on the project cost, which would then
be used to fund benefits for construction workers in that state.

o Registration of Workers: Construction workers are required to register with state

welfare boards to avail of benefits. This helps to create a database of construction
workers and ensures that they can be reached with social security schemes.

o Welfare Funds: Welfare funds are established to provide benefits such as medical
care, education, and housing assistance to construction workers. These funds are
financed by the cess collected on construction projects.

▪ Example: A construction worker registered with a state welfare board may be

eligible for subsidized housing, scholarships for their children, or skill
development training programs.

4. Social Security for unorganized workers, Gig Workers and Platform

Workers
• Extending Coverage: This section focuses on extending social security coverage to workers
in the unorganized sector, including gig workers and platform workers. It outlines
mechanisms for:

o Registration: Facilitating the registration of unorganized workers with appropriate

authorities. This is essential for identifying and reaching these workers with social
security benefits.

▪ Example: A domestic worker can register with a state government scheme to

access benefits like health insurance and pension.
 P a g e | 37

o Contribution: Developing schemes for collecting contributions from unorganized

workers and/or their employers. This can involve innovative approaches like small
deductions from payments or matching contributions from platform companies.

▪ Example: A ride-hailing platform may deduct a small percentage from each

ride fare to contribute to a social security fund for its drivers.

o Benefits: Providing access to benefits such as life and disability insurance, health
insurance, and pension schemes. This helps to provide a safety net for these workers,
who often lack the protections of formal employment.

▪ Example: A street vendor who is registered with a government scheme may

be eligible for a small monthly pension after reaching a certain age.

5. Authorities, Assessment, Compliance and Recovery

• Authorities: This section establishes various authorities responsible for administering and
enforcing the provisions of the Code related to employee compensation. This may include:

o Commissioner for Employee's Compensation: An officer appointed to adjudicate

disputes and ensure compliance. They have the power to resolve disagreements
between employers and employees regarding compensation claims.

▪ Example: An employee who believes they have been unfairly denied

compensation by their employer can file a complaint with the Commissioner
for Employee's Compensation.

o Medical Boards: These boards are composed of medical professionals who assess
the extent of disablement and determine the appropriate compensation. They play a
crucial role in ensuring that injured workers receive fair compensation based on their
medical condition.

▪ Example: A worker who has suffered a back injury may be referred to a

Medical Board for an assessment of their disability level, which will then be
used to calculate the compensation amount.

• Assessment: This describes the process for assessing the amount of compensation payable
to an injured worker, taking into account factors such as the nature of the injury, the
employee's age and wages, and the extent of disablement. The Code provides a schedule of
benefits for different types of injuries and disabilities.

• Compliance: This outlines the obligations of employers to comply with the provisions of the
Code, including maintaining records, reporting accidents, and paying compensation
promptly. Employers who fail to comply may face penalties.
 P a g e | 38

• Recovery: This details the procedures for recovering unpaid compensation from employers,
including through legal action. This ensures that workers have recourse if their employers do
not fulfill their compensation obligations.

6. Offences and Penalties

• Violations: This section lists various offences under the Code, such as:

o Failure to pay compensation

o Obstructing inspections

o Providing false information

o Example: An employer who deliberately underreports the number of their employees

to avoid paying social security contributions would be committing an offence.

• Penalties: It prescribes penalties for these offences, which may include fines and
imprisonment. The severity of the penalty depends on the nature and gravity of the offence.

o Example: An employer who willfully neglects to provide safety equipment to their

workers and this results in a fatal accident may face a significant fine and
imprisonment.

7. Employment Information and Monitoring

• Data Collection: This section emphasizes the importance of collecting and maintaining
employment information to monitor the implementation of the Code and ensure compliance.
This data can be used to identify trends in workplace accidents and diseases and to develop
targeted interventions.

• Reporting: It outlines the requirements for employers to report data on employment injuries,
occupational diseases, and compensation payments. This helps to create a national picture
of workplace safety and health.

• Analysis: This data is used to analyze trends, identify areas of concern, and improve
workplace safety and health. This may involve research, policy development, and
collaboration with stakeholders.

Case Laws:
• Oriental Insurance Co. Ltd. v. Siby George (2012): This case dealt with the interpretation of
"arising out of and in the course of employment" and emphasized the need to consider the
connection between the injury and the employment activities. It helped to clarify the scope
of coverage for employee compensation.

• National Insurance Co. Ltd. v. M/s Hindustan Aeronautics Ltd. (2016): This case clarified
the liability of employers for occupational diseases and highlighted the importance of
preventive measures. It emphasized the employer's duty to create a safe and healthy work
environment to prevent occupational diseases.
 P a g e | 39

• Workmen's Compensation Commissioner v. Mrs. Jacintha Mendonca (1993): This case

dealt with the calculation of compensation for permanent disablement and emphasized the
need to consider the impact of the injury on the worker's earning capacity. It helped to ensure
that compensation is fair and adequately reflects the loss suffered by the worker.

Possible Exam Questions:

Long Questions:
1. Discuss the concept of "no-fault liability" in the context of employee
compensation under the Code on Social Security, 2020. Explain its
significance in protecting the rights of injured workers.
The Code on Social Security, 2020 (CSS) incorporates the principle of "no-fault liability"
when it comes to employee compensation. This is a significant departure from traditional fault-
based liability systems and plays a crucial role in protecting the rights of injured workers. Here's
how:

What is No-Fault Liability?

In the context of employee compensation, no-fault liability means that an employer is liable to pay
compensation to an employee for any injury, disease, or death arising out of and in the course of
employment, regardless of who is at fault. The injured worker doesn't have to prove that the
employer was negligent or responsible for the incident.

How it Works Under the CSS:

• Automatic Entitlement: If an employee suffers an injury or illness while working, they are
automatically entitled to compensation, provided the incident occurred within the scope of
their employment.

• No Need to Prove Negligence: The employee does not have to prove that the employer was
careless or at fault. This removes a significant burden from the injured worker, especially
when they may be facing physical and emotional distress.

• Employer's Responsibility: The employer is responsible for providing compensation, even

if the injury was caused by the employee's own negligence, a co-worker's actions, or factors
outside the employer's control.

Significance in Protecting Workers' Rights:

• Faster and Easier Access to Compensation: No-fault liability ensures that injured workers
receive compensation quickly and without having to navigate lengthy legal battles to prove
fault. This is crucial for their financial security and recovery.

• Reduces Litigation: By removing the need to establish fault, it reduces the likelihood of
disputes and litigation between employers and employees, promoting a more harmonious
work environment.
 P a g e | 40

• Focus on Rehabilitation: The system shifts the focus from assigning blame to providing
support and rehabilitation to injured workers, helping them recover and return to work or
adjust to their new circumstances.

• Promotes Workplace Safety: Knowing they are liable for compensation regardless of fault
encourages employers to prioritize workplace safety and implement preventive measures to
minimize risks.

Exceptions:

While the CSS adopts a no-fault approach, there are some exceptions where an employer may not
be liable for compensation. These typically include:

• Wilful Misconduct: If the injury or disease is caused by the employee's deliberate disregard
for safety rules or intentional self-inflicted harm.

• Intoxication: If the employee was under the influence of alcohol or drugs at the time of the
incident.

• Disobedience of Orders: If the employee was injured while disobeying lawful and
reasonable orders from the employer.

2. Explain the conditions for an employer's liability for compensation and the
exceptions to this liability. Illustrate your answer with relevant examples.
The Code on Social Security, 2020 (CSS) establishes a framework for compensating
employees who suffer injuries or diseases arising out of and in the course of their employment.
Here's a breakdown of the conditions for employer liability and the exceptions:

Conditions for Employer's Liability:

1. Employment Relationship: There must be a valid employment relationship between the

employer and the employee. This includes full-time, part-time, contract, and even certain
gig workers.

2. Injury or Occupational Disease: The employee must have suffered a personal injury or an
occupational disease.

o Personal Injury: This can include physical injuries like fractures, burns, or cuts, as
well as psychological injuries like trauma or stress.

o Occupational Disease: This refers to any disease contracted due to exposure to

risk factors arising from the work activity. Examples include asbestosis, silicosis, or
carpal tunnel syndrome.

3. Arise Out of and In the Course of Employment: The injury or disease must have arisen out
of and in the course of employment. This means there must be a direct connection between
the injury/disease and the work activity or work environment.
 P a g e | 41

o Example 1: A construction worker falling from scaffolding at a construction site.

o Example 2: A factory worker developing a respiratory illness due to exposure to

hazardous chemicals in the factory.

4. Disablement or Death: The injury or disease must result in either:

o Disablement: This can be temporary or permanent, partial or total, and refers to the
employee's inability to work due to the injury or disease.

o Death: If the injury or disease leads to the employee's death, compensation is

payable to their dependents.

Exceptions to Employer's Liability:

Even if the above conditions are met, there are certain exceptions where the employer may not be
liable to pay compensation:

1. Wilful Misconduct: If the injury or disease is caused by the employee's wilful misconduct,
such as:

o Deliberate self-injury: An employee intentionally harming themselves.

o Intoxication: Being under the influence of alcohol or drugs at the time of the
incident.

o Disobedience of orders: Knowingly violating safety rules or disobeying lawful and

reasonable orders that lead to the injury.

o Example: A worker removing a safety guard from a machine despite being

instructed not to, and then getting injured.

2. Commuting Accidents: Generally, injuries sustained while commuting to or from work are
not covered, unless the employee is using transportation provided by the employer or is
performing work-related duties during the commute.

o Example: An employee getting injured in a car accident while driving to work in their
personal vehicle is usually not covered. However, if they were driving a company
vehicle to deliver goods, it might be covered.

3. Force Majeure: If the injury or disease is caused by an Act of God or an exceptional event
beyond the employer's control, such as a natural disaster, the employer may not be held
liable.

Important Notes:

• No-Fault Liability: The general principle under the CSS is no-fault liability, meaning the
employer is liable even if they were not directly negligent, as long as the injury or disease
arose out of and in the course of employment.

• Burden of Proof: The burden of proving an exception to liability lies with the employer.
 P a g e | 42

3. Critically analyze the provisions of the Code on Social Security, 2020

relating to social security for building and other construction workers. Discuss
the challenges in ensuring their effective implementation.
The Code on Social Security, 2020 (CSS) marks a significant step towards formalizing and
strengthening social security for building and other construction workers (BOCW) in India.
However, translating these provisions into tangible benefits faces numerous challenges.

Positive Provisions:

• Dedicated Fund: The Code mandates the establishment of a Building and Other
Construction Workers' Welfare Fund in each state. This fund, financed by a cess on
construction projects, is dedicated to providing social security benefits to registered
construction workers.

• Comprehensive Benefits: The Code outlines a range of benefits that can be provided by
the fund, including:

o Pension: Monthly payments to retired or disabled workers.

o Medical expenses: Coverage for medical treatment, including hospitalization.

o Maternity benefits: Support for pregnant and lactating women workers.

o Disability and death benefits: Financial assistance in case of disability or death.

o Education and skill development: Support for children's education and worker
skill enhancement.

o Housing assistance: Subsidies or loans for housing.

• Registration of Workers: The Code emphasizes the registration of construction workers

with state welfare boards. This is crucial for identifying and reaching out to workers,
ensuring they can access benefits.

• Safety and Health: The CSS, along with the Occupational Safety, Health and Working
Conditions Code, 2020, mandates safety measures and health check-ups for construction
workers, addressing the hazardous nature of their work.

Challenges in Implementation:

• Informal and Transient Nature of Work: Construction work is often informal and project-
based, with workers moving frequently between sites and employers. This makes it difficult
to track and register workers, ensure consistent contribution to the fund, and deliver
benefits effectively.

• Lack of Awareness: Many construction workers are unaware of their rights and the benefits
available to them under the Code. This lack of awareness hinders registration and access to
benefits.
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• Cess Collection and Utilization: Effective collection and utilization of the cess on
construction projects is crucial for funding the welfare schemes. However, there are
challenges in ensuring compliance from builders and developers, and in transparent and
efficient utilization of the collected funds.

• Inter-State Migration: A significant portion of construction workers are inter-state migrants.

This poses challenges in coordinating social security benefits across states and ensuring
portability of benefits.

• Administrative Capacity: State welfare boards often face challenges in terms of

administrative capacity and resources to effectively implement the provisions of the Code,
including registration, processing of claims, and delivery of benefits.

• Corruption and Leakages: There is a risk of corruption and leakages in the system, with
funds being diverted or mismanaged, preventing them from reaching the intended
beneficiaries.

Recommendations:

• Strengthening Registration: Simplify the registration process and leverage technology to

create a centralized database of construction workers, potentially linked to Aadhaar.

• Improving Awareness: Conduct targeted awareness campaigns to inform construction

workers about their rights and benefits.

• Enhancing Cess Collection: Strengthen enforcement mechanisms to ensure compliance

from builders and developers in paying the cess.

• Streamlining Benefit Delivery: Use technology to streamline the process of claiming and
receiving benefits, such as through direct benefit transfers.

• Inter-State Coordination: Develop mechanisms for inter-state coordination to ensure

portability of benefits for migrant workers.

• Capacity Building: Strengthen the administrative capacity of state welfare boards through
training, technology, and increased resources.

• Monitoring and Evaluation: Regularly monitor and evaluate the implementation of the
Code to identify gaps and challenges, and take corrective measures.
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4. Discuss the measures taken by the Code on Social Security, 2020 to extend
social security coverage to unorganized workers, gig workers, and platform
workers. What are the potential benefits and challenges of these measures?
The Code on Social Security, 2020 (CSS) is a landmark legislation in India that aims to
extend social security coverage to a vast segment of the workforce that has traditionally been
excluded—unorganized workers, gig workers, and platform workers. This is a significant step
towards creating a more inclusive and equitable social security system.

Measures to Extend Coverage:

1. Broader Definition of "Employee": The CSS expands the definition of "employee" to

include gig workers and platform workers, bringing them within the ambit of social security
legislation. This recognizes the changing nature of work and the growing number of people
engaged in the gig economy.

2. Social Security Fund: The Code establishes a Social Security Fund specifically to provide
benefits to unorganized workers, gig workers, and platform workers. This fund will be
financed through contributions from the government, employers, and workers themselves.

3. Registration of Unorganized Workers: The CSS mandates the registration of unorganized

workers, gig workers, and platform workers on an online portal. This will help create a
database of these workers, enabling the government to reach them with social security
schemes and benefits.

4. Framing of Schemes: The Code empowers the central government to frame social security
schemes for unorganized workers, including gig and platform workers. These schemes can
address various needs, such as:

o Life and disability cover

o Accident insurance

o Health and maternity benefits

o Old age protection

o Creche facilities

5. Facilitating Access to Benefits: The CSS provides for the establishment of helplines and
facilitation centers to assist unorganized workers, gig workers, and platform workers in
registering and accessing social security schemes.

Potential Benefits:

• Social Security Coverage: Millions of unorganized workers, gig workers, and platform
workers who were previously excluded from social security will now have access to benefits
like health insurance, pensions, and disability coverage. This will provide them with a much-
needed safety net and improve their overall well-being.
 P a g e | 45

• Formalization of the Informal Sector: By bringing these workers under the ambit of social
security legislation, the Code encourages the formalization of the informal sector. This can
lead to better working conditions, improved wages, and greater protection of labor rights.

• Reduced Vulnerability: Social security benefits can help reduce the vulnerability of these
workers, who often face precarious employment conditions, income insecurity, and lack of
access to healthcare and other essential services.

• Economic Growth: Providing social security to a larger segment of the workforce can boost
consumption and economic growth by increasing the disposable income of these workers
and their families.

Challenges:

• Implementation: Implementing these measures will be a complex task, given the diverse
and informal nature of the unorganized sector and the gig economy. Identifying and
registering workers, collecting contributions, and delivering benefits effectively will require
significant administrative capacity and innovative solutions.

• Funding: Ensuring adequate funding for the Social Security Fund will be crucial. Balancing
contributions from the government, employers, and workers will require careful
consideration and may pose challenges, especially in the context of the gig economy where
employment relationships are often fluid.

• Portability: Ensuring portability of benefits for gig and platform workers who may work with
multiple employers or move between states will be essential.

• Awareness: Creating awareness about the social security schemes and the registration
process among unorganized workers, gig workers, and platform workers will be crucial for
the success of these measures. Many of these workers may be unaware of their rights and
entitlements.

• Enforcement: Enforcing compliance from employers, particularly in the gig economy, may
be challenging. Mechanisms will need to be put in place to ensure that employers
contribute to the Social Security Fund and comply with other provisions of the Code.
 P a g e | 46

5. Explain the role of various authorities in the administration and

enforcement of the employee compensation provisions under the Code on
Social Security, 2020. How do these authorities ensure that workers receive
fair and timely compensation?
The Code on Social Security, 2020 (CSS) outlines a framework for employee compensation
in case of work-related injuries, diseases, or death. To ensure fair and timely compensation, the
Code designates various authorities with specific roles and responsibilities:

1. Commissioner for Employee's Compensation:

• Adjudication: The Commissioner is a quasi-judicial authority who acts as the primary

adjudicator of disputes related to employee compensation. They have the power to:

o Decide on the liability of the employer for compensation.

o Determine the amount of compensation payable.

o Resolve disputes between employers and employees regarding compensation

claims.

• Enforcement: The Commissioner also plays an enforcement role, ensuring that employers
comply with the provisions of the Code. They can initiate inquiries, conduct inspections,
and impose penalties for non-compliance.

2. Medical Boards:

• Assessment of Disablement: Medical Boards, composed of medical professionals, are

responsible for assessing the extent of disablement suffered by an employee due to an
injury or occupational disease. This assessment is crucial in determining the amount of
compensation payable.

• Certification: They issue certificates specifying the nature and extent of disablement,
which are used as evidence in compensation claims.

3. Other Authorities:

• State Governments: State governments play a crucial role in implementing the employee
compensation provisions. They are responsible for:

o Appointing Commissioners and constituting Medical Boards.

o Framing rules and regulations for the implementation of the Code.

o Monitoring the functioning of the compensation system.

• Insurance Companies: In some cases, employers may be required to insure their liability
for employee compensation with insurance companies. These companies then play a role
in processing and settling compensation claims.
 P a g e | 47

How Authorities Ensure Fair and Timely Compensation:

• Simplified Procedures: The CSS promotes simplified procedures for claiming and
receiving compensation, reducing bureaucratic hurdles and delays.

• Timely Adjudication: The Commissioner is mandated to dispose of compensation cases

expeditiously, ensuring that workers receive compensation without undue delay.

• Medical Expertise: The involvement of Medical Boards ensures that the assessment of
disablement is based on sound medical expertise, leading to fair compensation.

• Enforcement Mechanisms: The Code provides for enforcement mechanisms, including

inspections and penalties, to deter non-compliance by employers and ensure that they
fulfill their compensation obligations.

• Appeals: Employees have the right to appeal against the decisions of the Commissioner to
higher authorities, ensuring a system of checks and balances.

Challenges:

While the CSS aims to create a fair and efficient system for employee compensation, some
challenges remain:

• Capacity of Authorities: The effectiveness of the system depends on the capacity and
resources of the authorities involved, particularly the Commissioners and Medical Boards.
Delays and backlogs can occur if these authorities are overburdened or understaffed.

• Awareness: Many workers, especially in the unorganized sector, may be unaware of their
rights and the procedures for claiming compensation. Increasing awareness is crucial for
ensuring access to justice.

• Corruption: There is a risk of corruption and undue influence in the system, which can
undermine fair and timely compensation.

Short Notes:
1. Disablement and its kinds under the Code on Social Security, 2020.
The Code on Social Security, 2020 (CSS) deals with disablement in the context of providing
social security benefits to employees who lose their ability to work due to an employment-related
injury or occupational disease. Here's a breakdown of disablement and its kinds under the CSS:

Disablement:

Disablement refers to a condition that limits a person's ability to work and earn a livelihood. Under
the CSS, it specifically refers to disablement caused by:

• Employment Injury: Any personal injury sustained by an employee during the course of
their employment, arising out of or in connection with their work. This could include
accidents, injuries from machinery, or exposure to hazardous substances.
 P a g e | 48

• Occupational Disease: Any disease contracted by an employee due to exposure to risk

factors arising from their work activity. Examples include asbestosis, silicosis, and certain
types of cancer.

Kinds of Disablement:

The CSS recognizes different kinds of disablement based on severity and duration:

1. Total Disablement: This refers to a condition where the employee is completely unable to
work due to the injury or disease. They have lost all earning capacity.

2. Partial Disablement: This refers to a condition where the employee's ability to work is
reduced due to the injury or disease. They have lost some earning capacity but can still
perform some work.

3. Temporary Disablement: This refers to a condition where the disablement is expected to

last for a limited period. The employee is temporarily unable to work but is expected to
recover and return to work after a period of medical treatment and rehabilitation.

4. Permanent Disablement: This refers to a condition where the disablement is expected to

be long-lasting or lifelong. The employee has suffered a permanent loss of earning capacity.

Significance:

• Determining Eligibility: The kind of disablement an employee suffers determines their

eligibility for different types of benefits under the CSS, such as temporary disablement
benefit, permanent disablement benefit, and dependants' benefit (in case of death).

• Assessing Compensation: The extent of disablement is a key factor in assessing the

amount of compensation payable to the employee.

• Rehabilitation and Reintegration: The CSS emphasizes the importance of rehabilitation

and vocational training to help disabled employees return to work or find alternative
employment.

2. Cess on construction projects and its utilization for the welfare of

construction workers.
The construction sector in India employs a vast number of workers, often under precarious
and hazardous conditions. To ensure their welfare and social security, the government levies a cess
on construction projects. This cess is a crucial source of funding for various welfare schemes
aimed at improving the lives of construction workers.

Cess on Construction Projects:

• Levy: A cess is levied on all construction projects, typically as a percentage of the total cost
of construction. The rate of the cess varies from state to state but is generally in the range of
1% to 2%.
 P a g e | 49

• Collection: The cess is collected by the government, usually through the local authorities
or labor departments. Builders and developers are responsible for paying the cess, which is
often deducted at source from payments made to contractors.

• Legal Framework: The Building and Other Construction Workers' Welfare Cess Act, 1996,
provides the legal framework for the levy and collection of this cess. This Act has now been
subsumed within the Code on Social Security, 2020.

Utilization for Welfare of Construction Workers:

The cess collected on construction projects is utilized to fund various welfare schemes for
construction workers. These schemes are typically administered by State Welfare Boards and may
include:

• Pension: Providing monthly pensions to retired or disabled construction workers.

• Medical Expenses: Covering medical expenses for construction workers and their families,
including hospitalization and treatment of injuries or illnesses.

• Maternity Benefits: Providing maternity benefits to women construction workers, including

paid maternity leave and medical bonuses.

• Disability and Death Benefits: Providing financial assistance to construction workers who
suffer from disabilities or to the families of workers who die due to work-related accidents
or illnesses.

• Education and Skill Development: Supporting the education of children of construction

workers and providing skill development training to enhance their employability.

• Housing Assistance: Providing subsidies or loans for housing to construction workers.

• Other Welfare Measures: Funding other welfare measures like crèches, canteens, and
recreational facilities for construction workers.

Significance:

• Social Security: The cess provides a crucial source of funding for social security schemes
for construction workers, who often lack access to formal social security benefits.

• Welfare and Upliftment: The welfare schemes funded by the cess contribute to the overall
well-being and upliftment of construction workers and their families.

• Improved Working Conditions: The cess also supports initiatives to improve safety and
health conditions on construction sites, reducing the risk of accidents and injuries.

Challenges:

• Effective Collection: Ensuring that the cess is effectively collected from all construction
projects can be a challenge, especially in the informal sector.

• Transparent Utilization: It's important to ensure that the collected funds are utilized
transparently and efficiently for the intended welfare schemes.
 P a g e | 50

• Reaching the Workers: Reaching out to all eligible construction workers and ensuring that
they are aware of and can access the benefits can be a challenge, especially given the
migratory nature of their work.

3. Welfare funds for construction workers and the types of benefits they
provide.
Construction workers are a vital part of India's infrastructure development, but they often
face challenging working conditions and lack social security. To address this, the government has
established welfare funds specifically for construction workers. These funds provide a safety net
and support system for these workers and their families.

Welfare Funds for Construction Workers:

• Source of Funding: These funds are primarily financed through a cess (a type of tax) levied
on construction projects. This ensures that the construction industry contributes to the
well-being of its workforce.

• Management: The funds are typically managed by State Welfare Boards, which are
responsible for collecting the cess, administering the schemes, and disbursing benefits to
eligible workers.

• Legal Framework: The Building and Other Construction Workers (Regulation of

Employment and Conditions of Service) Act, 1996, and the Building and Other Construction
Workers' Welfare 1 Cess Act, 1996, provide the legal framework for these welfare funds.
These Acts have now been subsumed within the Code on Social Security, 2020.

Types of Benefits Provided:

Welfare funds for construction workers provide a range of benefits, including:

• Financial Assistance:

o Pension: Monthly payments to retired or disabled construction workers.

o Disability and Death Benefits: Lump-sum payments or monthly pensions to

workers who suffer disabilities due to work-related accidents or illnesses, or to the
families of workers who die in such circumstances.

o Maternity Benefits: Financial assistance to women construction workers during

pregnancy and childbirth.

• Healthcare:

o Medical Expenses: Coverage for medical treatment, hospitalization, and medicines

for construction workers and their families.

o Health Check-ups: Regular health check-ups to monitor the health of construction

workers and detect any occupational diseases early on.
 P a g e | 51

• Education and Skill Development:

o Scholarships: Financial assistance for the education of children of construction

workers.

o Skill Development Training: Training programs to enhance the skills of

construction workers and improve their employability.

• Housing:

o Housing Assistance: Subsidies or loans for housing to help construction workers

secure affordable accommodation.

• Other Benefits:

o Group Insurance: Group insurance schemes to provide life and disability coverage.

o Social Security: Assistance in accessing other social security schemes like the
Employees' Provident Fund (EPF) and Employees' State Insurance (ESI).

Significance:

• Social Protection: Welfare funds provide a crucial safety net for construction workers, who
often work in hazardous conditions and face income insecurity.

• Improved Well-being: The benefits provided by these funds contribute to the overall well-
being of construction workers and their families, improving their quality of life.

• Formalization of the Sector: Welfare funds encourage the formalization of the

construction sector by incentivizing registration and compliance with labor laws.

Challenges:

• Reaching all Workers: Ensuring that all eligible construction workers are aware of and can
access the benefits can be challenging, especially given the migratory nature of their work.

• Funding and Sustainability: Maintaining adequate funding for the welfare funds is crucial,
which requires effective cess collection and management.

• Administrative Efficiency: Efficient administration of the schemes and timely delivery of

benefits are essential for the success of these funds.
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4. Offences and penalties under the Code on Social Security, 2020 relating to
employee compensation.
The Code on Social Security, 2020 (CSS) not only provides a framework for employee compensation
but also includes provisions for offences and penalties to ensure compliance and deter violations.
Here's a summary:

Offences:

The CSS lists various offences related to employee compensation, including:

• Non-payment of Compensation: Failure to pay compensation to an employee who is

entitled to it under the Code.

• Obstructing Inspections: Obstructing or hindering any inspector or other authorized

official in the discharge of their duties related to employee compensation.

• Contravention of Provisions: Any contravention of the provisions of the Code related to

employee compensation, such as failing to maintain records or provide information as
required.

• False Information: Providing false or misleading information to any authority related to

employee compensation.

• Deductions from Wages: Making unauthorized deductions from an employee's wages

towards compensation payments.

Penalties:

The Code prescribes penalties for these offences, which can include:

• Imprisonment: Imprisonment for a term which may extend to three months, or

• Fine: A fine which may extend to ₹10,000, or

• Both: Both imprisonment and fine.

In case of a continuing offence, an additional fine may be imposed for each day during which the
offence continues.

Cognizance of Offences:

• No court shall take cognizance of any offence under this Code except on a complaint made
by an Inspector or with the previous sanction of the Central Government or a State
Government or an officer authorized in this behalf.

Compounding of Offences:

• The Central Government may, by notification, empower an Inspector to compound any

offence punishable under this Code.
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Significance:

• Deterrence: The provisions for offences and penalties act as a deterrent for employers,
encouraging them to comply with the employee compensation provisions of the Code.

• Protection of Workers' Rights: These provisions help protect the rights of employees by
ensuring that they receive the compensation they are entitled to in case of work-related
injuries or diseases.

• Enforcement: The penalties provide a mechanism for enforcing the employee

compensation provisions and ensuring that employers fulfill their obligations towards their
employees.

5. Importance of employment information and monitoring in ensuring

compliance with the employee compensation provisions.
Employment information and monitoring play a crucial role in ensuring compliance with
employee compensation provisions. By collecting and analyzing relevant data, authorities can track
compliance, identify gaps, and take corrective measures to protect the rights of workers.

Importance of Employment Information:

• Identifying Eligible Employees: Accurate employment information helps identify

employees who are covered under various compensation schemes. This includes
information on the number of employees, their wages, and their nature of work.

• Assessing Employer Liability: Information on workplace accidents, injuries, and

occupational diseases is crucial for assessing the liability of employers for compensation.
This includes details of the incident, the extent of disablement, and medical reports.

• Calculating Compensation: Employment information, such as the employee's wages and

length of service, is essential for calculating the correct amount of compensation payable.

• Tracking Compliance: Regular reporting and record-keeping by employers provide valuable

data for monitoring compliance with compensation provisions. This includes information on
the number of accidents reported, compensation claims filed, and payments made.

• Identifying Trends: Analysis of employment information can reveal trends in workplace

accidents and occupational diseases, helping to identify hazardous industries or
occupations and prioritize preventive measures.

Role of Monitoring:

• Inspections: Regular inspections of workplaces by government authorities help to verify

compliance with employee compensation provisions. Inspectors can check records,
interview employees, and observe working conditions to ensure that employers are fulfilling
their obligations.
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• Audits: Periodic audits of employer records and compensation payments can help detect
any discrepancies or non-compliance.

• Investigations: In case of complaints or reported violations, authorities can conduct

investigations to gather evidence and take appropriate action.

• Data Analysis: Analyzing data on compensation claims, payments, and workplace

accidents helps to identify patterns and areas of concern, enabling targeted interventions
and policy improvements.

Benefits of Employment Information and Monitoring:

• Improved Compliance: Regular monitoring and analysis of employment information

encourage employers to comply with compensation provisions, knowing that their records
and practices are subject to scrutiny.

• Early Detection of Violations: Monitoring helps to detect violations early on, enabling
prompt corrective action and preventing further harm to workers.

• Protection of Workers' Rights: By ensuring compliance with compensation provisions,

employment information and monitoring protect the rights of workers and ensure that they
receive the benefits they are entitled to.

• Prevention of Accidents: Analysis of employment information can help identify workplace

hazards and implement preventive measures to reduce the risk of accidents and
occupational diseases.

• Evidence-Based Policymaking: Data collected through employment information and

monitoring can inform evidence-based policymaking and improve the effectiveness of
employee compensation schemes.

Terminology:
1. No-fault liability
No-fault liability means that a person can be held liable for an incident even if they were not
at fault or negligent. In other words, they are responsible for the harm caused, regardless of
whether they intended it or could have prevented it.

Here's a simple analogy:

Imagine you're driving carefully, following all the traffic rules, but someone suddenly runs a red light
and crashes into your car. Even though you did nothing wrong, under a no-fault system, you would
still be responsible for certain damages or losses, and so would the other driver.

No-fault liability is often used in specific situations, such as:

• Car accidents: Many jurisdictions have no-fault car insurance systems where each driver's
insurance covers their own damages, regardless of who caused the accident.
 P a g e | 55

• Workers' compensation: In many countries, employers are liable for compensating

employees for work-related injuries or illnesses, regardless of fault. This ensures that
injured workers receive support even if the accident was their own fault.

• Product liability: Manufacturers can be held liable for harm caused by defective products,
even if they were not negligent in the manufacturing process.

2. Occupational disease
An occupational disease is any illness or health condition that's caused by the work someone
does or the environment they work in.

Think of it like this:

• Work environment or tasks → Exposure to hazards → Illness

Here are some examples:

• Asbestosis: A lung disease caused by breathing in asbestos fibers (common in

construction).

• Silicosis: Another lung disease caused by inhaling silica dust (found in mining and stone
cutting).

• Carpal tunnel syndrome: A nerve disorder in the wrist caused by repetitive hand motions
(common in office work and manufacturing).

• Noise-induced hearing loss: Hearing loss caused by prolonged exposure to loud noise
(common in factories and construction).

Occupational diseases are a serious concern because they can cause:

• Disability: They can prevent people from working and earning a living.

• Reduced quality of life: They can cause pain, discomfort, and long-term health problems.

• Death: In some cases, occupational diseases can be fatal.

3. Cess
A cess is a tax on tax, levied by the government for a specific purpose. It's like an extra charge on top
of your existing tax liability.

Think of it this way:

• You pay income tax on your salary.

• The government adds a small "education cess" on top of that income tax.

• This extra money is specifically used to fund education initiatives.

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Key features of a cess:

• Specific purpose: It's collected for a particular cause, like education, health, or
infrastructure.

• Temporary: It's usually levied for a limited time until enough funds are raised for that
purpose.

• Not shared with states: Unlike other taxes, the central government retains the entire
amount collected from a cess.

Examples:

• Education cess

• Health cess

• Swachh Bharat cess (for cleanliness initiatives)

• Krishi Kalyan cess (for farmer welfare)

Cess is a tool for the government to raise funds for targeted purposes while ensuring transparency
and accountability in how that money is used.

4. Commissioner for Employee's Compensation

The Commissioner for Employee's Compensation is a key official responsible for ensuring that
workers receive the compensation they are entitled to in case of work-related injuries or diseases.

Think of them as a judge specifically for workplace injury cases.

Here's what they do:

• Decide if the employer is liable to pay compensation: They review the case and determine
if the employer is legally required to pay.

• Determine the amount of compensation: They calculate the amount of money the worker
should receive based on the injury and their wages.

• Resolve disputes: If there's a disagreement between the worker and the employer about the
compensation, the Commissioner acts as a neutral party to resolve it.

• Enforce the law: They make sure employers follow the rules and regulations related to
employee compensation.

The Commissioner plays a crucial role in protecting the rights of workers and ensuring a fair and
efficient system for handling workplace injury claims.
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Module III: THE OCCUPATIONAL SAFETY, HEALTH AND

WORKING CONDITIONS CODE, 2020
This module delves into the legal framework for ensuring safe and healthy working conditions
for employees across various industries. It focuses on the Occupational Safety, Health and Working
Conditions Code, 2020 (OSH Code), which consolidated and updated numerous previous laws
related to workplace safety and health.

1. Concept – definitions, registrations and Duties of Employer and

Employee
• Concept: This section introduces the core purpose of the OSH Code, which is to prevent
workplace accidents, injuries, and occupational diseases by setting standards for safe and
healthy working conditions. It emphasizes a proactive approach to safety, focusing on
prevention rather than just compensation after an incident.

• Definitions: It clarifies important terms under the Code, such as:

o "Hazardous process": Any process or activity that involves the use of hazardous
substances or poses a risk to the safety and health of workers.

▪ Example: Manufacturing processes involving chemicals, working at heights,

or operating heavy machinery.

o "Occupational disease": Any disease contracted by a worker due to exposure to risk

factors arising from their work activity.

▪ Example: Asbestosis (lung disease caused by asbestos exposure), silicosis

(lung disease caused by silica dust inhalation), or noise-induced hearing loss.

o "Safety officer": A qualified person appointed by an establishment to advise and

assist in ensuring compliance with safety and health regulations.

• Registrations: This outlines the registration requirements for establishments covered under
the Code, which vary based on factors like the type of industry, number of workers, and level
of risk.

o Example: Factories, construction sites, and mines typically have specific registration
requirements with relevant authorities.

• Duties of Employer and Employee: This section clearly delineates the responsibilities of
both employers and employees in maintaining a safe and healthy workplace.

o Employer Duties:

▪ Providing and maintaining a safe work environment, including safe plant and
machinery, safe access and egress, and proper ventilation.
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▪ Providing necessary safety equipment and training to workers.

▪ Conducting risk assessments and implementing control measures to

mitigate hazards.

▪ Reporting accidents and occupational diseases to the relevant authorities.

▪ Example: An employer in a chemical factory must provide workers with

appropriate personal protective equipment (PPE) like respirators and gloves,
and train them on how to handle hazardous substances safely.

o Employee Duties:

▪ Taking reasonable care of their own safety and health and that of others who
may be affected by their actions.

▪ Complying with safety instructions and procedures.

▪ Using safety equipment properly and reporting any unsafe conditions to the
employer.

▪ Example: A construction worker must wear a safety harness when working at

heights and report any damaged scaffolding to their supervisor.

2. Occupational Safety, Health and working conditions

• Workplace Standards: This section lays down specific standards for various aspects of
workplace safety and health, including:

o Working Hours: Limits on working hours, rest intervals, and overtime to prevent
fatigue and ensure worker well-being.

o Leave: Provisions for various types of leave, including sick leave, annual leave, and
maternity leave, to promote work-life balance and protect worker health.

o Working Conditions: Requirements for factors like lighting, ventilation, temperature,

and noise levels to ensure a comfortable and healthy work environment.

o Welfare Facilities: Provisions for facilities like drinking water, sanitation, restrooms,
and crèches to cater to the basic needs of workers.

o Hazardous Processes: Specific regulations for managing hazardous processes,

including risk assessments, control measures, and emergency preparedness.

▪ Example: A manufacturing unit using hazardous chemicals must have proper

storage facilities, ventilation systems, and emergency response plans in
place.

3. Maintenance of Registers, Records and Returns

• Documentation: This section emphasizes the importance of maintaining proper records
related to safety and health, including:
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o Registers: Registers for recording accidents, dangerous occurrences, and

occupational diseases.

o Inspections: Records of safety inspections and audits conducted by the employer or

external agencies.

o Training: Records of safety training provided to workers.

o Health Monitoring: Records of worker health checks and medical examinations,

particularly for those exposed to hazardous substances.

• Reporting: This outlines the requirements for employers to submit periodic returns to the
relevant authorities, providing information on workplace safety and health performance.

o Example: A factory must maintain a register of all accidents that occur on its
premises and submit an annual return to the factory inspectorate summarizing its
safety record.

4. Special Provision Relating to Employment of Women

• Protection for Women: This section recognizes the specific needs and vulnerabilities of
women workers and provides additional safeguards, such as:

o Restrictions on Night Work: Generally, women are not permitted to work in factories
or mines during night hours.

o Maternity Benefits: This reiterates the maternity benefits provisions from the Code
on Social Security, ensuring that women workers have adequate leave and support
during pregnancy and childbirth.

o Safety Measures: Employers must take additional measures to ensure the safety
and health of women workers, especially in hazardous industries.

o Example: A factory employing women in night shifts must provide adequate security
and transportation facilities to ensure their safety.

Case Laws:
• MC Mehta v. Union of India (1987) (Oleum Gas Leak Case): This landmark case established
the principle of "absolute liability" for industries engaged in hazardous activities, holding
them strictly liable for any harm caused to workers or the environment, regardless of fault.

• Consumer Education and Research Centre v. Union of India (1995): This case dealt with
the right to a safe and healthy working environment and led to the recognition of "workmen's
right to know" about the hazards they are exposed to at work.

• Visakha v. State of Rajasthan (1997): This case addressed sexual harassment at the
workplace and led to the formulation of guidelines to prevent and address such harassment,
which were later codified into law.
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Possible Exam Questions:

Long Questions:
1. Discuss the objectives and key provisions of the Occupational Safety,
Health and Working Conditions Code, 2020. How does it seek to improve
workplace safety and health in India?
The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) is a
landmark legislation in India that aims to consolidate and amend the laws regulating occupational
safety, health, and working conditions of workers in various sectors. It seeks to create a
comprehensive framework for ensuring the well-being of workers and preventing workplace
accidents and diseases.

Objectives:

• Consolidation and Simplification: The OSH Code consolidates 13 existing labor laws
related to workplace safety and health, streamlining and simplifying the legal framework.
This makes it easier for employers and employees to understand their rights and
obligations.

• Enhanced Safety and Health Standards: The Code sets out comprehensive safety and
health standards for various aspects of the workplace, including working hours, leave,
working conditions, welfare facilities, and the handling of hazardous substances.

• Protection of Vulnerable Workers: The Code pays special attention to the needs of
vulnerable workers, such as women, contract laborers, and inter-state migrant workers,
providing them with additional protections.

• Improved Compliance: The Code aims to improve compliance through stricter

enforcement mechanisms, including inspections, audits, and penalties for violations.

• Promoting a Culture of Safety: The Code seeks to promote a culture of safety in

workplaces by emphasizing the responsibilities of both employers and employees in
maintaining a safe and healthy work environment.

Key Provisions:

• Duties of Employers: The Code places specific duties on employers to ensure the safety
and health of their employees. This includes providing and maintaining a safe work
environment, providing safety equipment and training, conducting risk assessments, and
reporting accidents and diseases.

• Duties of Employees: Employees also have duties under the Code, such as taking care of
their own safety and health, following safety instructions, and using safety equipment
properly.
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• Working Hours and Leave: The Code regulates working hours, rest intervals, and overtime
to prevent fatigue and ensure worker well-being. It also provides for various types of leave,
including sick leave, annual leave, and maternity leave.

• Working Conditions: The Code sets standards for working conditions, such as lighting,
ventilation, temperature, and noise levels, to ensure a comfortable and healthy work
environment.

• Welfare Facilities: Employers are required to provide welfare facilities like drinking water,
sanitation, restrooms, and crèches to cater to the basic needs of workers.

• Hazardous Processes: The Code includes specific regulations for managing hazardous
processes, including risk assessments, control measures, and emergency preparedness.

• Special Provisions for Vulnerable Workers: The Code provides special provisions for
women, contract laborers, and inter-state migrant workers, addressing their specific needs
and vulnerabilities.

• Offences and Penalties: The Code lists various offences related to workplace safety and
health and prescribes penalties for violations, including fines and imprisonment.

How the OSH Code Seeks to Improve Workplace Safety and Health:

• Comprehensive Framework: By consolidating and amending existing laws, the Code

provides a comprehensive and updated framework for workplace safety and health.

• Enhanced Standards: The Code sets higher standards for various aspects of workplace
safety and health, promoting better working conditions and reducing risks.

• Focus on Prevention: The Code emphasizes a proactive approach to safety, focusing on

prevention rather than just compensation after an incident.

• Protection of Vulnerable Workers: The Code recognizes the specific needs of vulnerable
workers and provides them with additional protections.

• Stronger Enforcement: Stricter enforcement mechanisms deter non-compliance and

ensure that employers prioritize safety and health.

• Awareness and Training: The Code promotes awareness and training on workplace safety
and health, empowering both employers and employees to create a safer work
environment.
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2. Explain the duties of employers and employees in maintaining a safe and

healthy working environment under the OSH Code.
The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) places the
responsibility of maintaining a safe and healthy work environment on both employers and
employees. Here's a breakdown of their respective duties:

Duties of Employers:

• Provide a safe work environment: This includes ensuring safe access and egress, proper
ventilation, safe plant and machinery, and a workplace free from hazards that could cause
injury or disease.

o Example: Providing guardrails on elevated platforms, ensuring proper ventilation in

confined spaces, and regularly maintaining machinery to prevent malfunctions.

• Provide safety equipment and training: Employers must provide workers with necessary
personal protective equipment (PPE) like helmets, safety glasses, and gloves, and train
them on how to use it properly.

o Example: Providing safety harnesses to construction workers working at heights,

and conducting training on how to safely operate machinery.

• Conduct risk assessments: Employers need to identify potential hazards in the workplace,
assess the risks, and implement control measures to mitigate those risks.

o Example: Identifying potential hazards in a chemical factory, such as chemical

spills or fires, and implementing safety protocols and emergency response plans.

• Provide health check-ups: Employers must provide regular health check-ups for
employees, especially those exposed to hazardous substances or working conditions.

o Example: Providing regular hearing tests for workers exposed to loud noise, and
lung function tests for those working in dusty environments.

• Report accidents and diseases: Employers must report any workplace accidents,
dangerous occurrences, and occupational diseases to the relevant authorities.

o Example: Reporting a worker's fall from a ladder to the labor inspectorate and
maintaining records of the incident.

• Display safety information: Employers must display safety information and instructions
prominently in the workplace.

o Example: Displaying posters on fire safety, first aid procedures, and emergency
contact information.

Duties of Employees:

• Take care of their own safety and health: Employees must take reasonable care of their
own safety and health and that of others who may be affected by their actions.
 P a g e | 63

o Example: Wearing PPE correctly, following safety procedures, and not engaging in
risky behavior.

• Comply with safety instructions: Employees must comply with safety instructions and
procedures provided by the employer.

o Example: Following instructions on how to operate machinery safely, and adhering

to safety protocols for handling hazardous substances.

• Use safety equipment properly: Employees must use safety equipment provided by the
employer properly and report any defects or damage.

o Example: Wearing a safety harness correctly when working at heights, and reporting
any damage to the harness to the supervisor.

• Report unsafe conditions: Employees must report any unsafe conditions or hazards they
observe in the workplace to their supervisor or employer.

o Example: Reporting a damaged electrical cable or a slippery floor to the supervisor.

• Cooperate with safety measures: Employees must cooperate with the employer in
implementing safety measures and participating in safety training.

Joint Responsibility:

Maintaining a safe and healthy work environment is a joint responsibility of both employers
and employees. Effective communication, cooperation, and a shared commitment to safety are
crucial for preventing workplace accidents and diseases.

3. Critically analyze the provisions of the OSH Code relating to hazardous

processes.
The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) dedicates
a significant portion to regulating hazardous processes in workplaces. This is crucial because these
processes pose significant risks to the safety and health of workers. Here's a critical analysis of
these provisions:

Key Provisions:

• Definition of Hazardous Process: The Code defines a hazardous process as any process
or activity that involves the use of hazardous substances or exposes workers to biological
agents, carcinogens, or other health hazards. This includes processes in manufacturing,
construction, mining, and other sectors.

• Risk Assessment and Management: The Code mandates that employers conduct risk
assessments to identify potential hazards associated with hazardous processes. Based on
the assessment, they must develop and implement control measures to mitigate those
risks. This includes engineering controls, administrative controls, and the use of personal
protective equipment (PPE).
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• Worker Training and Information: Employers must provide workers with adequate training
and information about the hazards involved in hazardous processes, safe operating
procedures, emergency response, and the use of PPE. This empowers workers to protect
themselves and participate in maintaining a safe work environment.

• Safety Committees: The Code requires the establishment of Safety Committees in

factories where hazardous processes are carried out. These committees, comprising
representatives of both workers and management, play a crucial role in identifying hazards,
recommending safety measures, and monitoring compliance.

• Medical Examinations: The Code mandates pre-employment and periodic medical

examinations for workers engaged in hazardous processes. This helps to identify any health
issues that may be aggravated by exposure to hazards and ensures that workers are fit for
the job.

• Emergency Preparedness: Employers must develop and implement emergency response

plans for dealing with accidents, incidents, and emergencies related to hazardous
processes. This includes procedures for evacuation, first aid, and communication.

• Reporting and Investigation: The Code requires employers to report any accidents,
dangerous occurrences, or occupational diseases related to hazardous processes to the
relevant authorities. They must also conduct thorough investigations to identify the causes
of such incidents and take corrective action.

Strengths:

• Comprehensive Approach: The OSH Code takes a comprehensive approach to regulating

hazardous processes, covering various aspects from risk assessment and control to
emergency preparedness and reporting.

• Worker Participation: The Code emphasizes worker participation in safety management

through Safety Committees, recognizing the importance of worker involvement in
identifying and addressing hazards.

• Focus on Prevention: The Code prioritizes prevention by requiring risk assessments,

control measures, and training, aiming to prevent accidents and diseases before they
occur.

• Protection of Vulnerable Workers: The Code provides additional protections for

vulnerable workers, such as those with disabilities or pre-existing health conditions, who
may be more susceptible to the adverse effects of hazardous processes.

Weaknesses and Challenges:

• Implementation and Enforcement: Effective implementation and enforcement of the

provisions related to hazardous processes remain a challenge. Adequate resources, trained
inspectors, and strong enforcement mechanisms are crucial for ensuring compliance.
 P a g e | 65

• Informal Sector: A significant portion of the workforce in India is employed in the informal
sector, where hazardous processes may be prevalent but regulation and enforcement are
more challenging.

• Data and Monitoring: There is a need for better data collection and monitoring of
hazardous processes to identify trends, assess risks, and evaluate the effectiveness of
interventions.

• Awareness and Training: Raising awareness among both employers and employees about
the hazards of hazardous processes and the importance of safety measures is crucial.

Recommendations:

• Strengthening Enforcement: Increasing the number of trained inspectors and providing

them with adequate resources to conduct effective inspections and investigations.

• Extending Reach to the Informal Sector: Developing strategies to extend the reach of the
OSH Code to the informal sector, where hazardous processes are often unregulated.

• Improving Data Collection: Establishing a robust system for collecting and analyzing data
on hazardous processes, accidents, and occupational diseases.

• Promoting Awareness: Conducting targeted awareness campaigns to educate employers

and employees about the hazards of hazardous processes and the importance of safety
measures.

4. Discuss the special provisions relating to the employment of women under

the OSH Code.
The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) includes
special provisions aimed at protecting the safety, health, and well-being of women in the
workplace. These provisions recognize the specific needs and vulnerabilities of women workers
and seek to create a more equitable and inclusive work environment.

Here are some of the key provisions:

1. Employment of Women in Night Shifts:

• Permitted with Consent: The OSH Code allows women to work in night shifts (between 7
PM and 6 AM) in any establishment, but only with their explicit consent. This recognizes
women's right to choose their working hours and participate in night-time economic
activities.

• Safety and Security Measures: Employers must ensure adequate safety and security
measures for women working in night shifts. This may include providing transportation
facilities, security personnel, and well-lit workspaces.
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• Conditions for Consent: The government can prescribe conditions for obtaining women's
consent for night work, such as ensuring adequate rest periods, childcare facilities, and
safeguards against harassment.

2. Prohibition of Employment in Hazardous Operations:

• Protection from Hazardous Work: The Code prohibits the employment of women in
hazardous operations that may pose a risk to their health or safety, particularly reproductive
health.

• Exception with Safeguards: Women can be employed in hazardous operations if the

employer provides adequate safeguards to minimize the risks. This may include engineering
controls, administrative controls, and personal protective equipment (PPE).

• Determination of Hazardous Operations: The appropriate government can specify the

types of operations considered hazardous for women, based on research and expert advice.

3. Maternity Benefits:

• Comprehensive Benefits: The OSH Code integrates the maternity benefit provisions from
the Code on Social Security, 2020, ensuring that women workers have access to paid
maternity leave, nursing breaks, and crèche facilities.

• Work from Home Option: The Code allows women to work from home after their maternity
leave, if the nature of their work permits. This provides flexibility and allows women to
continue breastfeeding and caring for their infants while contributing to their work.

4. Other Provisions:

• Non-Discrimination: The Code prohibits discrimination against women in recruitment,

training, promotion, or any other terms and conditions of employment.

• Sexual Harassment: The Code mandates that employers take steps to prevent and address
sexual harassment at the workplace, ensuring a safe and dignified work environment for
women.

• Welfare Facilities: The Code requires employers to provide adequate welfare facilities for
women, such as separate restrooms, crèches, and rest areas.

Critical Analysis:

• Positive Steps: The special provisions for women in the OSH Code represent positive steps
towards gender equality and protection of women's rights in the workplace. They recognize
the specific needs and challenges faced by women workers and seek to create a more
inclusive and supportive work environment.

• Implementation Challenges: Effective implementation of these provisions will require

strong enforcement mechanisms, awareness campaigns, and sensitization of employers
and employees.
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• Balancing Protection and Opportunity: While protecting women from hazardous work is
important, it's also crucial to ensure that these provisions do not inadvertently restrict
women's access to certain jobs or career opportunities.

• Addressing Gender Stereotypes: The implementation of these provisions should be done

in a way that challenges gender stereotypes and promotes the idea that women are capable
of performing a wide range of jobs, including those traditionally considered "male" jobs,
provided adequate safeguards are in place.

5. Explain the importance of maintaining registers, records, and returns under

the OSH Code.
The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) places
significant emphasis on maintaining registers, records, and returns. This meticulous
documentation isn't mere bureaucracy; it plays a vital role in ensuring workplace safety and health,
protecting workers' rights, and promoting accountability.

Here's why it's so important:

1. Evidence of Compliance:

• Proof of adherence: Registers and records provide concrete evidence that an

establishment is complying with the OSH Code's provisions. This includes records of safety
training, risk assessments, health check-ups, and safety inspections.

• Demonstrating responsibility: Maintaining these records demonstrates the employer's

commitment to safety and health, fostering a culture of compliance.

2. Tracking and Monitoring:

• Identifying hazards: Registers of accidents, dangerous occurrences, and occupational

diseases help identify patterns and trends, highlighting areas where safety needs
improvement.

• Monitoring worker health: Records of health check-ups and medical examinations help
track worker health and identify potential occupational health issues early on.

• Evaluating safety performance: Maintaining records allows for the evaluation of safety
performance over time, enabling data-driven decision-making for continuous improvement.

3. Investigation and Analysis:

• Accident investigation: Detailed records of accidents help in conducting thorough

investigations to determine root causes and prevent recurrence.

• Disease surveillance: Records of occupational diseases assist in identifying workplace

hazards and implementing preventive measures.
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• Data analysis: Analyzing records helps identify trends, assess risks, and evaluate the
effectiveness of safety interventions.

4. Protecting Workers' Rights:

• Ensuring fair treatment: Registers of wages, working hours, and leave help ensure that
workers are being paid fairly and not being overworked, protecting their rights.

• Supporting compensation claims: Records of accidents and injuries serve as crucial

evidence in supporting workers' compensation claims.

5. Accountability and Transparency:

• Employer accountability: Maintaining records holds employers accountable for fulfilling

their safety and health obligations under the OSH Code.

• Transparency: Accessible records promote transparency and allow workers and authorities
to scrutinize safety and health practices.

6. Legal Compliance:

• Meeting legal requirements: Maintaining registers, records, and returns is a legal

requirement under the OSH Code. Failure to do so can result in penalties.

• Facilitating inspections: Properly maintained records make it easier for inspectors to

assess compliance and identify areas of concern.

Short Notes:
1. Hazardous process
A hazardous process is any activity or process in a workplace that has the potential to
cause harm to the health and safety of workers due to the presence of hazardous substances or
conditions.

Think of it like this:

• Workplace activity + Hazardous substances or conditions → Risk of harm to workers

Examples:

• Manufacturing processes using chemicals: Working with flammable, corrosive, or toxic

chemicals in a factory.

• Construction activities: Working at heights, operating heavy machinery, or handling

hazardous materials like asbestos.

• Mining operations: Exposure to dust, fumes, and risks of collapse in mines.

• Healthcare activities: Handling infectious materials or operating X-ray equipment.

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Hazardous processes can lead to various risks, including:

• Chemical burns or poisoning

• Fires and explosions

• Falls and injuries from machinery

• Respiratory diseases

• Cancer

It's crucial for employers to:

• Identify hazardous processes: Assess the workplace to determine which activities involve
hazards.

• Implement control measures: Take steps to minimize risks, such as using engineering
controls (ventilation systems), administrative controls (safe work procedures), and
providing personal protective equipment (PPE).

• Train workers: Educate workers about the hazards and how to protect themselves.

• Monitor worker health: Conduct regular health checks for workers exposed to hazards.

By managing hazardous processes effectively, workplaces can prevent accidents, protect worker
health, and create a safer work environment.

2. Occupational disease
An occupational disease is any illness or health condition that is caused by the work
someone does or the environment they work in.

Think of it like this:

• Workplace → Exposure to hazards → Illness

Examples:

• Asbestosis: A lung disease caused by breathing in asbestos fibers (common in

construction and shipbuilding).

• Silicosis: Another lung disease caused by inhaling silica dust (found in mining, quarrying,
and sandblasting).

• Lead poisoning: Caused by exposure to lead (found in battery manufacturing, painting, and
welding).

• Noise-induced hearing loss: Hearing loss due to prolonged exposure to loud noise
(common in factories, construction, and airports).

• Skin diseases: Dermatitis or skin cancer caused by exposure to chemicals or radiation.

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• Mental health conditions: Stress, anxiety, and depression caused by work-related factors
like long hours, harassment, or traumatic events.

Why are occupational diseases important?

• They can be prevented: By identifying and controlling workplace hazards, many

occupational diseases can be avoided.

• They impact worker health: They can cause disability, reduced quality of life, and even
death.

• They have economic consequences: They can lead to lost productivity, healthcare costs,
and compensation claims.

What can be done?

• Identify hazards: Employers need to assess the workplace and identify potential hazards.

• Control exposure: Implement measures to minimize exposure to hazards, such as

ventilation systems, protective equipment, and safe work practices.

• Train workers: Educate workers about the hazards and how to protect themselves.

• Monitor worker health: Conduct regular health checks to detect early signs of
occupational diseases.

Recognizing and addressing occupational diseases is crucial for protecting worker health and
creating safer workplaces.

3. Safety officer
A Safety Officer is a crucial figure in any workplace, especially those with potential hazards. They
are responsible for ensuring the well-being of employees and creating a safe and healthy work
environment.

Think of them as the guardians of workplace safety!

Here's what they do:

• Identify hazards: They inspect the workplace to identify potential dangers, such as faulty
equipment, unsafe work practices, or hazardous substances.

• Assess risks: They evaluate the likelihood and severity of potential accidents or illnesses.

• Develop safety procedures: They create and implement safety protocols, guidelines, and
emergency procedures.

• Conduct training: They educate employees on safety practices, proper use of equipment,
and emergency response.
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• Investigate accidents: They investigate accidents and near misses to identify causes and
prevent recurrence.

• Ensure compliance: They make sure the workplace complies with safety regulations and
standards.

• Promote a safety culture: They encourage everyone in the workplace to prioritize safety
and take responsibility for their own actions and the well-being of others.

Why are Safety Officers important?

• Prevent accidents and injuries: They help create a safer work environment, reducing the
risk of workplace accidents.

• Protect worker health: They identify and control hazards that can cause occupational
diseases.

• Improve productivity: A safe workplace is a more productive workplace.

• Ensure legal compliance: They help companies comply with safety laws and regulations,
avoiding penalties.

• Promote a positive safety culture: They foster a sense of responsibility and awareness
around safety.

In essence, a Safety Officer is a champion for workplace safety, ensuring that everyone goes
home healthy and safe every day.

4. Duties of employers under the OSH Code

The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) places a
significant responsibility on employers to ensure the safety and health of their employees. Here's a
summary of the key duties of employers under the Code:

1. Providing a Safe and Healthy Work Environment:

• Hazard-free workplace: Employers must ensure that the workplace is free from hazards
that could cause injury or occupational disease to employees. This includes providing safe
access and egress, proper ventilation, safe plant and machinery, and maintaining a clean
and hygienic work environment.

• Compliance with standards: Employers must comply with the occupational safety and
health standards established under the Code. This includes adhering to regulations related
to noise levels, temperature, lighting, and exposure to hazardous substances.

• Risk assessment and control: Employers must conduct risk assessments to identify
potential hazards in the workplace and implement appropriate control measures to
mitigate those risks. This may involve engineering controls, administrative controls, and the
use of personal protective equipment (PPE).
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2. Providing Safety Equipment and Training:

• PPE: Employers must provide workers with necessary PPE, such as helmets, safety glasses,
gloves, and safety footwear, free of cost.

• Training: Employers must provide adequate training to workers on safety and health
procedures, the use of PPE, and emergency response. This training should be conducted in
a language and vocabulary that workers can understand.

3. Ensuring Worker Health:

• Health check-ups: Employers must provide free annual health examinations to employees
in specified establishments or those engaged in hazardous processes.

• First aid and medical facilities: Employers must provide adequate first aid facilities and
access to medical care in case of injury or illness.

4. Reporting and Investigation:

• Accident reporting: Employers must report any workplace accidents, dangerous

occurrences, and occupational diseases to the relevant authorities.

• Investigations: Employers must conduct thorough investigations into any accidents or

incidents to identify the causes and prevent recurrence.

5. Other Duties:

• Issuing appointment letters: Employers must issue appointment letters to every

employee, clearly stating the terms and conditions of employment.

• Displaying safety information: Employers must display safety information and

instructions prominently in the workplace.

• Cooperating with authorities: Employers must cooperate with government inspectors and
other authorities in ensuring compliance with the OSH Code.

Consequences of Non-Compliance:

Employers who fail to comply with their duties under the OSH Code can face penalties,
including fines and imprisonment. They may also be liable for compensation claims from workers
who suffer injuries or illnesses due to unsafe or unhealthy working conditions.

5. Special provisions for women workers

The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) includes special
provisions to protect the safety, health, and well-being of women workers. These provisions
acknowledge the specific needs and vulnerabilities women may face in the workplace and aim to
create a more inclusive and equitable work environment.
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Here are some key provisions:

1. Working Hours and Night Shifts:

• Restriction on Night Work: Generally, women are not permitted to work in factories or
mines between 7 PM and 6 AM. However, this restriction can be relaxed with the
government's permission if adequate safety and security measures are in place.

• Consent for Night Work: In other establishments, women can work in night shifts if they
provide their written consent and the employer ensures proper safety and security
measures, such as transportation, well-lit workspaces, and security personnel.

2. Hazardous Processes and Operations:

• Prohibition: Women cannot be employed in certain hazardous processes or operations

that could pose a risk to their health, particularly reproductive health. The government can
specify these hazardous operations.

• Exceptions with Safeguards: Women may be employed in such processes if the employer
implements adequate safeguards to minimize the risks, such as engineering controls,
administrative controls, and personal protective equipment (PPE).

3. Maternity Benefits:

• Integration with the Code on Social Security: The OSH Code integrates the maternity
benefit provisions from the Code on Social Security, 2020, which includes:

o Increased Maternity Leave: 26 weeks of paid maternity leave.

o Work from Home Option: The option for women to work from home after availing
maternity leave, if the nature of work permits.

o Crèche Facilities: Provision of crèche facilities in establishments with 50 or more

employees.

4. Other Protective Measures:

• Non-discrimination: The Code prohibits discrimination against women in recruitment,

training, promotion, or any other terms and conditions of employment.

• Prevention of Sexual Harassment: Employers must take steps to prevent and address
sexual harassment at the workplace, ensuring a safe and dignified work environment for
women.

• Suitable Welfare Facilities: The Code requires employers to provide adequate welfare
facilities for women, such as separate restrooms, crèches, and rest areas.

Significance:

• Promotes Gender Equality: These provisions aim to create a more equitable workplace
where women have equal opportunities and are not subjected to discrimination or unsafe
conditions.
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• Protects Health and Safety: The provisions safeguard women's health and safety,
particularly reproductive health, by restricting their employment in hazardous processes
and ensuring adequate safeguards when necessary.

• Supports Work-Life Balance: Maternity benefits and work-from-home options help women
balance their work and family responsibilities.

Challenges:

• Effective Implementation: Ensuring effective implementation of these provisions,

especially in the informal sector, remains a challenge.

• Balancing Protection and Opportunity: It's crucial to balance the need to protect women
with the goal of ensuring equal opportunities and preventing unintended restrictions on
their employment options.

Overall, the special provisions for women workers in the OSH Code are crucial for creating a more
inclusive and safe work environment for women in India.

Terminology:
1. Risk assessment
Risk assessment is the process of identifying potential hazards and analyzing what could happen if
those hazards occur. It's like looking ahead to spot potential dangers and figure out how to prevent
them or minimize their impact.

Here's a simple breakdown:

1. Identify hazards: What could go wrong? (e.g., slippery floor, faulty equipment, fire)

2. Who could be harmed? Workers, visitors, or the public.

3. Evaluate the risks: How likely is it to happen? How severe could the harm be?

4. Control the risks: Take steps to eliminate or minimize the risks (e.g., provide safety
equipment, implement safety procedures, provide training).

5. Review and update: Regularly check if the assessment is still valid and make changes as
needed.

Risk assessment is crucial for creating a safe and healthy workplace and preventing accidents and
illnesses.
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2. Control measures
Control measures are actions taken to eliminate hazards or reduce the risk of them causing
harm. Think of them as the tools and techniques used to make a workplace safer.

Here are some common types:

• Elimination: Getting rid of the hazard completely (e.g., replacing a toxic chemical with a
safer alternative).

• Substitution: Replacing a hazard with something less hazardous (e.g., using a less noisy
machine).

• Engineering controls: Using physical changes to the workplace to reduce risk (e.g.,
installing guardrails, improving ventilation).

• Administrative controls: Changing work procedures or policies (e.g., implementing safe

work practices, providing training).

• Personal protective equipment (PPE): Providing protective gear (e.g., helmets, gloves,
safety glasses).

Control measures are crucial for preventing workplace accidents and illnesses. The best control
measures are those that eliminate the hazard altogether. If that's not possible, then a combination
of other measures should be used to minimize the risk.

3. Personal protective equipment (PPE)

Personal Protective Equipment (PPE) is protective gear that workers wear to minimize exposure to
hazards that can cause injuries or illnesses.

Think of it as a barrier between you and potential dangers.

Examples:

• Head protection: Helmets to protect against falling objects.

• Eye and face protection: Safety glasses, goggles, and face shields to protect against
splashes, dust, and flying debris.

• Hearing protection: Earplugs or earmuffs to protect against loud noise.

• Respiratory protection: Respirators to protect against harmful dusts, fumes, and gases.

• Hand and arm protection: Gloves to protect against cuts, burns, and chemicals.

• Foot and leg protection: Safety shoes with steel toes to protect against falling objects and
punctures.

• Body protection: Coveralls, vests, and aprons to protect against chemicals, heat, and cold.
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Why is PPE important?

• Last line of defense: When hazards can't be completely eliminated, PPE helps protect
workers.

• Reduces risk of injury: It minimizes the severity of injuries if an accident does occur.

• Complies with regulations: Many workplaces require the use of PPE to comply with safety
laws.

4. Occupational health
Occupational health is all about protecting the physical, mental, and social well-being of workers in
all occupations.

It's like healthcare, but specifically focused on your work life.

Key goals:

• Prevent work-related illnesses and injuries: This includes identifying hazards, assessing
risks, and implementing control measures.

• Promote healthy work environments: This means creating workplaces that are safe,
comfortable, and support worker well-being.

• Maintain worker health and fitness: This includes providing health check-ups, promoting
healthy lifestyles, and managing occupational diseases.

Think of it as a combination of safety, medicine, and well-being, all rolled into one to keep
workers healthy and safe on the job.

5. Welfare facilities
Welfare facilities are amenities provided by employers to improve the well-being and comfort of
their employees. Think of them as the "extras" that make a workplace more comfortable and
supportive.

Here are some examples:

• Restrooms and washing facilities: Clean and accessible toilets, handwashing stations,
and showers.

• Drinking water: A supply of clean and safe drinking water for all employees.

• Rest areas: Designated areas where employees can take breaks and rest.

• Changing rooms and lockers: Secure places for employees to change clothes and store
personal belongings.

• Canteen or dining facilities: A place for employees to eat meals and socialize.
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• Crèche facilities: Childcare facilities for employees with young children.

• First aid facilities: A well-stocked first aid kit and trained first aiders.

Welfare facilities are important because they:

• Improve employee morale and well-being: A comfortable and supportive workplace can
boost employee morale and reduce stress.

• Promote health and hygiene: Clean facilities help prevent the spread of illness and
promote good hygiene.

• Enhance productivity: Comfortable and well-rested employees are more likely to be

productive.

• Attract and retain employees: Good welfare facilities can make a workplace more
attractive to potential employees and help retain existing staff.

• Comply with legal requirements: Many labor laws require employers to provide certain
welfare facilities.

Providing adequate welfare facilities is an important part of creating a positive and supportive work
environment.
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Module IV: SPECIAL PROVISION FOR CONTRACT

LABOUR AND INTER-STATE MIGRANT WORKERS, ETC
(OSH Code)
1. Contract Labour
• Definition and Scope: This section defines "contract labour" and outlines the
circumstances under which an employer can engage contract labour. It clarifies the
responsibilities of both the principal employer and the contractor in ensuring the safety and
health of contract workers.

o Example: A manufacturing company hires a contractor to provide cleaning services

for its factory. The company is the principal employer, and the cleaning staff are
contract laborers.

• Responsibilities of Principal Employer: The Code places specific obligations on the

principal employer to ensure that contract workers have access to basic amenities and safe
working conditions, even though they are not directly employed by the company.

o Example: The principal employer must ensure that the contractor provides clean
drinking water, restrooms, and first aid facilities for the contract workers at the
worksite.

• Registration of Contractors: Contractors engaging contract labor beyond a certain

threshold are required to register with the appropriate authorities. This helps to regulate the
contract labor market and ensure compliance with labor laws.

• Licensing: In some cases, contractors may need to obtain licenses to operate, particularly
in hazardous industries. This helps to ensure that contractors have the necessary expertise
and resources to manage safety and health risks.

2. Inter-State Migrant Workers and types of workers (Audio visual, Mines,

Beedi and Cigar, Construction, etc)
• Definition and Challenges: This section defines "inter-state migrant workers" as workers
who migrate from one state to another for employment. It recognizes the specific challenges
they face, such as:

o Lack of Social Security: Migrant workers often fall outside the social security net of
their home state and may not be covered by the schemes in their host state.

o Exploitation: They may be more vulnerable to exploitation due to their lack of

awareness of local laws and language barriers.
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o Hazardous Work: Migrant workers are often employed in hazardous industries like
construction, mining, and manufacturing, where they face higher risks of accidents
and injuries.

• Specific Provisions: The Code includes provisions aimed at protecting the rights and well-
being of inter-state migrant workers, such as:

o Registration: Facilitating their registration to ensure access to benefits and

protections.

o Non-discrimination: Prohibiting discrimination based on their origin or language.

o Safe Transportation: Ensuring safe and decent transportation to and from their
workplaces.

o Access to Information: Providing information in their native language about their

rights, entitlements, and safety procedures.

• Types of Workers: The Code also addresses the specific needs and challenges of workers in
certain industries, such as:

o Audio-visual workers: Protecting them from exploitation and ensuring fair working
conditions.

o Mine workers: Providing for their safety and health in hazardous mining
environments.

o Beedi and cigar workers: Addressing their specific health risks and providing access
to healthcare.

o Construction workers: Ensuring their safety on construction sites and providing

access to welfare schemes.

3. Factories and Plantation

• Factories: This section outlines specific safety and health requirements for factories,
including:

o Machinery Safety: Ensuring that machinery is properly guarded and maintained to

prevent accidents.

o Fire Safety: Providing fire prevention and firefighting equipment and conducting fire
drills.

o Hazardous Substances: Safe handling, storage, and disposal of hazardous

substances.

o Worker Health: Providing health check-ups and monitoring for workers exposed to
hazardous conditions.
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• Plantations: This section addresses the unique challenges of working on plantations, such
as:

o Housing and Sanitation: Providing adequate housing and sanitation facilities for
workers living on the plantation.

o Medical Facilities: Ensuring access to medical care, especially in remote areas.

o Maternity Benefits: Providing maternity benefits to women workers on plantations.

5. Offences and Penalties

• Violations: This section lists various offences under the Code related to contract labor and
inter-state migrant workers, such as:

o Employing contract labor without registration

o Failing to provide basic amenities to contract workers

o Discriminating against inter-state migrant workers

o Example: A contractor who fails to provide safety training to contract workers before
deploying them on a construction site would be committing an offence.

• Penalties: It prescribes penalties for these offences, which may include fines and
imprisonment. The severity of the penalty depends on the nature and gravity of the offence.

6. Social Security Fund

• Purpose: This section establishes a Social Security Fund to provide social security benefits
to unorganized workers, gig workers, and platform workers.

• Funding: The Fund is financed through contributions from the government, employers, and
workers.

• Benefits: The Fund provides benefits such as:

o Life and disability insurance

o Health insurance

o Pension schemes

o Example: A gig worker who contributes to the Social Security Fund would be eligible
for a pension after reaching a certain age.
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Case Laws:
• People's Union for Democratic Rights v. Union of India (1982): This case highlighted the
plight of contract laborers working on construction projects for the Asian Games and led to
the Supreme Court issuing directions for their welfare and protection.

• Bandhua Mukti Morcha v. Union of India (1984): This case dealt with the issue of bonded
labor and led to the Supreme Court issuing directions for the identification and release of
bonded laborers.

• State of Karnataka v. Mythic Society (2016): This case clarified the definition of "employee"
under the Contract Labour (Regulation and Abolition) Act and emphasized the need to
consider the substance of the relationship over its form.

Possible Exam Questions:

Long Questions:
1. Discuss the key provisions of the OSH Code relating to contract labor. How
does it seek to protect the rights and safety of contract workers?
The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) has
specific provisions aimed at protecting the rights and safety of contract labor. Contract labor refers
to workers hired by a contractor or agency who then work for a principal employer. This type of
employment is common in various sectors, and the OSH Code seeks to ensure that these workers
are not exploited and have access to safe and healthy working conditions.

Key Provisions:

• Definition and Applicability: The Code clearly defines "contract labor" and outlines the
circumstances under which an employer can engage contract labor. It emphasizes that the
principal employer has joint responsibility with the contractor for ensuring the safety and
health of contract workers.

• Registration of Contractors: Contractors engaging contract labor beyond a certain

threshold are required to register with the designated authorities. This helps regulate the
contract labor market and ensures compliance with labor laws.

• Licensing: In some cases, contractors may need to obtain licenses to operate, particularly
in hazardous industries. This helps ensure that contractors have the necessary expertise
and resources to manage safety and health risks.

• Prohibition of Contract Labor in Core Activities: The Code prohibits the employment of
contract labor in the core activities of an establishment, except in certain circumstances,
such as when the work is of an intermittent nature or requires specialized skills. This aims
to prevent the exploitation of contract labor and ensure that core activities are performed by
regular employees with greater job security and benefits.
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• Equal Treatment: The Code mandates that contract labor should be treated on par with
regular employees in terms of working conditions, such as working hours, rest intervals, and
holidays. This ensures that contract workers are not discriminated against and have access
to basic rights and entitlements.

• Welfare Facilities: The principal employer is responsible for ensuring that contract labor
has access to basic welfare facilities at the worksite, such as canteens, restrooms, and first
aid. This ensures that contract workers have access to basic amenities and decent working
conditions.

• Safety and Health: The Code emphasizes the responsibility of both the principal employer
and the contractor for ensuring the safety and health of contract labor. This includes
providing safe working conditions, safety equipment, and training on occupational safety
and health.

• Wages and Social Security: The Code mandates that contract labor should be paid wages
in accordance with the Minimum Wages Act and other applicable laws. It also encourages
the provision of social security benefits to contract labor, such as access to the Employees'
Provident Fund and Employees' State Insurance.

How the OSH Code Protects Contract Workers:

• Joint Responsibility: By placing joint responsibility on both the principal employer and the
contractor, the Code ensures that contract workers are not overlooked or exploited.

• Regulation and Monitoring: Registration of contractors and licensing requirements help

regulate the contract labor market and enable better monitoring of working conditions.

• Equal Treatment: Provisions for equal treatment in terms of working conditions and access
to welfare facilities ensure that contract workers are not discriminated against.

• Safety and Health: Emphasis on safety and health measures protects contract workers
from workplace hazards and promotes their well-being.

• Wages and Social Security: Mandating fair wages and encouraging social security
coverage provides financial security and social protection to contract workers.

Challenges:

• Implementation and Enforcement: Effective implementation and enforcement of these

provisions, especially in the informal sector, remain a challenge.

• Monitoring and Inspection: Regular monitoring and inspection of workplaces are crucial to
ensure compliance and prevent exploitation of contract labor.

• Awareness: Raising awareness among contract workers about their rights and entitlements
under the OSH Code is important.
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2. Explain the challenges faced by inter-state migrant workers and the

measures taken by the OSH Code to address these challenges.
Inter-state migrant workers are a vulnerable section of the workforce in India, facing numerous
challenges as they move across state borders in search of livelihood. The Occupational Safety,
Health and Working Conditions Code, 2020 (OSH Code) recognizes these challenges and includes
specific provisions to protect their rights and well-being.

Challenges Faced by Inter-State Migrant Workers:

• Lack of Social Security: Migrant workers often fall outside the social security net of their
home state and may not be covered by schemes in their host state. This leaves them
vulnerable in case of accidents, illness, or unemployment.

• Exploitation and Poor Working Conditions: Migrant workers are often employed in the
informal sector with low wages, long working hours, and hazardous working conditions.
They may face exploitation due to their lack of awareness of local laws and language
barriers.

• Lack of Access to Basic Amenities: Migrant workers often live in cramped and unsanitary
conditions with limited access to basic amenities like housing, healthcare, and education
for their children.

• Discrimination and Social Exclusion: They may face discrimination and social exclusion
due to their language, culture, and migrant status.

• Difficulties in Accessing Justice: Migrant workers may face difficulties in accessing justice
due to language barriers, lack of awareness of their rights, and fear of retaliation from
employers.

Measures Taken by the OSH Code:

• Definition and Recognition: The Code clearly defines "inter-state migrant worker" and
recognizes their specific vulnerabilities.

• Non-Discrimination: The Code prohibits discrimination against inter-state migrant workers

based on their origin or language. They are entitled to the same rights and protections as
other workers.

• Registration: The Code facilitates the registration of inter-state migrant workers on an

online portal, enabling them to access benefits and schemes. This also helps create a
database of migrant workers, making it easier to reach them with information and support.

• Journey Allowance: The Code mandates that employers provide a journey allowance to
inter-state migrant workers to cover their travel expenses to the worksite.

• Displacement Allowance: If an inter-state migrant worker is displaced from their

employment, the Code requires the employer to provide a displacement allowance to help
them return home or find alternative employment.
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• Working Conditions and Welfare Facilities: The Code ensures that inter-state migrant
workers have access to the same working conditions and welfare facilities as other workers,
including working hours, rest intervals, and access to canteens, restrooms, and first aid.

• Safety and Health: The Code emphasizes the responsibility of employers to ensure the
safety and health of inter-state migrant workers, including providing safe working
conditions, safety equipment, and training on occupational safety and health.

• Social Security: The Code encourages the provision of social security benefits to inter-
state migrant workers, including access to the Employees' Provident Fund, Employees'
State Insurance, and other welfare schemes.

• Grievance Redressal: The Code provides for a grievance redressal mechanism for inter-
state migrant workers to raise their concerns and seek redress for any violations of their
rights.

Impact and Challenges:

• Improved Protection: The OSH Code's provisions aim to improve the protection and
welfare of inter-state migrant workers by addressing their specific vulnerabilities and
ensuring their access to basic rights and entitlements.

• Implementation Challenges: Effective implementation of these provisions, particularly in

the informal sector, remains a challenge. This requires strong enforcement mechanisms,
inter-state coordination, and awareness campaigns to reach migrant workers.

• Data and Monitoring: Collecting data on inter-state migration and monitoring the working
conditions of migrant workers is crucial for effective implementation of the Code.

• Collaboration: Collaboration between states is essential to ensure portability of social

security benefits and address the challenges faced by migrant workers who move across
state borders.

3. Critically analyze the provisions of the OSH Code relating to factories and
plantations.
The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) pays special
attention to factories and plantations, recognizing the unique challenges and hazards present in
these work environments. The Code aims to improve the safety and health of workers in these
sectors through a combination of preventive measures, welfare provisions, and stricter
enforcement.

Key Provisions Relating to Factories:

• Definition of Factory: The Code defines a factory as any premises where a manufacturing
process is carried out with or without the use of power, and employs a specified number of
workers (the threshold varies depending on whether power is used).
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• Safety Measures: The Code mandates various safety measures in factories, including:

o Fencing of Machinery: Moving parts of machinery must be securely fenced to

prevent accidents.

o Safety of Work on or near Machinery in Motion: Precautions must be taken to

ensure the safety of workers working on or near machinery in motion.

o Employment of Young Persons on Dangerous Machines: Restrictions and

safeguards are in place for employing young persons on dangerous machines.

o Lifting Machines, Chains, Ropes, and Lifting Tackle: Regular inspection and
maintenance of lifting equipment to ensure safety.

o Pressure Plant: Safety measures for pressure vessels and systems to prevent
explosions.

o Floors, Stairs, and Means of Access: Maintaining safe and unobstructed floors,
stairs, and passageways.

o Excessive Weights: Limits on the weight that workers can lift or carry.

o Protection of Eyes: Providing eye protection to workers exposed to hazards that

could cause eye injuries.

o Precaution against Dangerous Fumes: Adequate ventilation and control measures

to prevent exposure to dangerous fumes and gases.

o Artificial Humidification: Regulation of artificial humidification to prevent health

risks.

o Overcrowding: Preventing overcrowding in workrooms to ensure adequate space

and ventilation.

o Lighting: Adequate and suitable lighting in the workplace.

o Drinking Water: Providing clean and safe drinking water for all workers.

o Latrines and Urinals: Providing sufficient and sanitary latrine and urinal facilities.

o Spittoons: Provision of spittoons in clean and hygienic conditions.

Key Provisions Relating to Plantations:

• Definition of Plantation: The Code defines a plantation as any estate that is cultivated with
tea, coffee, rubber, or cinchona, and employs a specified number of workers.

• Housing and Accommodation: The Code mandates that plantations provide adequate
housing and accommodation for workers and their families. This includes ensuring proper
sanitation, ventilation, and protection from weather.

• Drinking Water: Plantations must provide a sufficient supply of clean and wholesome
drinking water for all workers.
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• Conservancy: Plantations must maintain proper sanitation and hygiene in the living and
working areas.

• Medical Facilities: Plantations must provide first aid facilities and access to medical care
for workers. In remote areas, they may be required to maintain a hospital or dispensary.

• Maternity Benefits: Plantations must comply with the maternity benefit provisions of the
Code on Social Security, 2020, ensuring that women workers have access to paid maternity
leave and other benefits.

• Creches: Plantations employing 50 or more women workers must provide crèche facilities
for the care of their children.

• Weekly Holidays: Workers in plantations are entitled to one day of rest in every week.

Critical Analysis:

• Strengths: The OSH Code's provisions for factories and plantations provide a
comprehensive framework for ensuring the safety, health, and welfare of workers in these
sectors. The Code addresses a wide range of hazards and risks specific to these work
environments and mandates various preventive measures.

• Challenges: Effective implementation and enforcement of these provisions, particularly in

smaller factories and remote plantations, remain a challenge. Adequate resources, trained
inspectors, and strong enforcement mechanisms are crucial for ensuring compliance.

• Worker Awareness: Raising awareness among workers about their rights and the safety
measures in place is important for effective implementation.

• Evolution of Standards: The specific standards and regulations for factories and
plantations need to be regularly reviewed and updated to keep pace with technological
advancements and evolving occupational health and safety knowledge.

4. Discuss the role of the Social Security Fund in providing social security
benefits to unorganized workers, gig workers, and platform workers.
The Code on Social Security, 2020 (CSS) introduces the Social Security Fund as a crucial
mechanism for extending social security benefits to workers in the unorganized sector, including gig
workers and platform workers. This is a significant step towards creating a more inclusive social
security system in India.

Role of the Social Security Fund:

• Centralized Fund: The Social Security Fund is a centralized fund established by the central
government to provide social security benefits to unorganized workers, gig workers, and
platform workers.
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• Funding: The Fund is financed through contributions from the central government, state
governments, employers, and the workers themselves. The Code allows for different
contribution rates for different categories of workers and employers.

• Benefits: The Fund is intended to provide a range of social security benefits to eligible
workers, including:

o Life and disability cover: Providing financial support in case of death or disability
due to accidents or illnesses.

o Accident insurance: Covering medical expenses and providing compensation for

loss of income due to accidents while working.

o Health and maternity benefits: Providing access to healthcare services and

maternity benefits.

o Old age protection: Offering pension or other savings schemes for retirement.

• Scheme Framing: The central government is empowered to frame suitable social security
schemes for different categories of unorganized workers, gig workers, and platform workers,
utilizing the funds collected in the Social Security Fund.

• Administration: The Social Security Fund is administered by the central government, which
may delegate some administrative functions to state governments or other agencies.

Benefits for Unorganized, Gig, and Platform Workers:

• Access to Social Security: The Social Security Fund extends social security coverage to
millions of workers who were previously excluded from formal social security schemes. This
provides them with a safety net and helps improve their overall well-being.

• Financial Protection: The benefits offered through the Fund provide financial protection in
case of contingencies such as illness, disability, maternity, or old age.

• Portability: The centralized nature of the Fund allows for portability of benefits, which is
crucial for gig and platform workers who may work with multiple employers or move
between locations.

• Formalization: The inclusion of these workers in a formal social security system

encourages the formalization of the informal sector and promotes better working
conditions and labor rights.

Challenges:

• Implementation: Implementing the Social Security Fund and the associated schemes will
be a complex task, requiring effective registration of workers, collection of contributions,
and delivery of benefits.

• Funding: Ensuring adequate and sustainable funding for the Fund will be crucial. Balancing
contributions from different sources and ensuring that funds are utilized effectively will be
key.
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• Awareness: Creating awareness among unorganized workers, gig workers, and platform
workers about the Social Security Fund and the benefits available to them will be essential.

• Enforcement: Enforcing compliance from employers, particularly in the gig and platform
economy, may be challenging. Mechanisms will need to be put in place to ensure that
employers contribute to the Fund and comply with other regulations.

5. Explain the offences and penalties under the OSH Code relating to contract
labor and inter-state migrant workers.
The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) includes specific
provisions related to contract labor and inter-state migrant workers, recognizing their vulnerability
and the need for their protection. These provisions are accompanied by penalties for non-
compliance to ensure that employers fulfill their obligations towards these workers.

Offences and Penalties related to Contract Labor:

• Engaging Contract Labor without Registration: Contractors who engage contract labor
beyond a certain threshold without registering with the designated authorities commit an
offence. This can lead to a fine and/or imprisonment.

• Violating Conditions of License: Contractors who violate the conditions of their license,
such as those related to safety, health, or wages, can face penalties, including fines,
suspension, or revocation of their license.

• Failing to Provide Welfare Facilities: Principal employers who fail to ensure that contract
labor has access to basic welfare facilities like canteens, restrooms, and first aid can be
penalized with fines.

• Non-compliance with Safety and Health Provisions: Both the principal employer and the
contractor can be penalized for failing to comply with safety and health provisions related to
contract labor, such as providing safe working conditions, safety equipment, and training.

• Exploiting Contract Labor: Any act of exploiting contract labor, such as paying wages
below the minimum wage or denying them equal treatment in terms of working conditions,
can attract penalties.

Offences and Penalties related to Inter-State Migrant Workers:

• Employing without Registration: Employing inter-state migrant workers without obtaining

a certificate of registration for the establishment is an offence punishable with fines.

• Non-compliance with Provisions: Failing to comply with provisions related to the

employment of inter-state migrant workers, such as those related to wages, working hours,
displacement allowance, and journey allowance, can attract penalties.

• Discrimination: Discriminating against inter-state migrant workers based on their origin or

language is an offence punishable with fines.
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• Failing to Provide Information: Failing to provide inter-state migrant workers with

information about their rights, entitlements, and safety procedures in a language they
understand can lead to penalties.

General Penalties:

The penalties for offences under the OSH Code related to contract labor and inter-state migrant
workers can include:

• Imprisonment: Imprisonment for a term which may extend to three months, or

• Fine: A fine which may extend to ₹10,000, or

• Both: Both imprisonment and fine.

In case of a continuing offence, an additional fine may be imposed for each day during which the
offence continues.

Significance:

• Deterrence: The provisions for offences and penalties act as a deterrent for employers and
contractors, encouraging them to comply with the provisions related to contract labor and
inter-state migrant workers.

• Protection of Workers' Rights: These provisions help protect the rights of these vulnerable
workers by ensuring that they are not exploited and have access to safe and healthy working
conditions, fair wages, and social security benefits.

• Enforcement: The penalties provide a mechanism for enforcing the provisions of the OSH
Code and ensuring that employers and contractors fulfill their obligations towards contract
labor and inter-state migrant workers.

Short Notes:
1. Responsibilities of the principal employer towards contract labor.
The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) places
significant responsibilities on principal employers when it comes to contract labor. Even though
contract workers are not directly employed by the principal employer, the Code recognizes the need
to protect their rights and ensure their safety and well-being.

Here are the key responsibilities of a principal employer towards contract labor:

1. Ensuring Registration and Licensing:

• Contractor Registration: The principal employer must ensure that the contractor they
engage is registered with the appropriate authorities if they employ contract labor beyond a
specified threshold. This helps regulate the contract labor market and ensures compliance
with labor laws.
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• Contractor Licensing: In certain cases, particularly in hazardous industries, the principal

employer must ensure that the contractor possesses the necessary licenses to operate.
This helps ensure that the contractor has the expertise and resources to manage safety and
health risks.

2. Providing and Maintaining Safe Working Conditions:

• Safe Workplace: The principal employer is responsible for ensuring that the workplace
where contract labor is engaged is safe and free from hazards. This includes providing safe
access and egress, proper ventilation, and maintaining a clean and hygienic work
environment.

• Safety Measures: The principal employer must take necessary steps to ensure the safety of
contract labor, even if the contractor is directly responsible for their supervision. This may
include providing safety equipment, ensuring compliance with safety regulations, and
conducting risk assessments.

3. Providing Welfare Facilities:

• Basic Amenities: The principal employer must ensure that contract labor has access to
basic amenities at the worksite, such as:

o Canteens for meals

o Restrooms and washing facilities

o Drinking water

o First aid facilities

• Equal Access: These facilities should be accessible to contract labor on the same basis as
regular employees, ensuring that they are not discriminated against.

4. Ensuring Fair Wages and Social Security:

• Wage Payment: The principal employer must ensure that the contractor pays wages to
contract labor in accordance with the Minimum Wages Act and other applicable laws. They
may be required to nominate a representative to be present during wage disbursement to
ensure compliance.

• Social Security: While the primary responsibility for social security contributions lies with
the contractor, the principal employer is expected to encourage and facilitate the provision
of social security benefits to contract labor, such as access to the Employees' Provident
Fund and Employees' State Insurance.

5. Liability for Non-Compliance:

• Joint Liability: In many cases, the principal employer is held jointly liable with the
contractor for any non-compliance with labor laws or for any harm caused to contract labor
due to unsafe or unhealthy working conditions.
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• Direct Liability: If the contractor fails to pay wages or provide other benefits, the principal
employer may be directly liable to make those payments to the contract labor and then
recover the amount from the contractor.

2. Registration of contractors under the OSH Code.

The Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) introduces a
mandatory registration process for contractors who engage contract labor. This is a key provision
aimed at regulating the contract labor market and ensuring better protection for contract workers.

Who needs to register?

• Contractors employing 50 or more workers: Any contractor who employs 50 or more

contract laborers and deploys them to work in other establishments must register under the
OSH Code.

• Single registration: The contractor needs to obtain a single registration, regardless of the
number of establishments they provide labor to. This simplifies the process compared to
earlier regulations where multiple registrations were required.

How to register:

• Online platform: Registration is typically done through an online portal designated by the
government.

• Information required: The contractor needs to provide information about their business,
including details of the principal employer, the nature of work, and the number of contract
laborers employed.

• Fees: A registration fee may be applicable.

Benefits of registration:

• Regulation and monitoring: Registration helps the government regulate the contract labor
market and monitor the working conditions of contract laborers.

• Ensuring compliance: It encourages contractors to comply with labor laws and safety
regulations.

• Protecting worker rights: It helps ensure that contract laborers receive fair wages,
benefits, and safe working conditions.

• Transparency and accountability: It promotes transparency and accountability in the

engagement of contract labor.

Consequences of non-registration:

• Penalties: Contractors who fail to register can face penalties, including fines and
imprisonment.
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• Legal action: The principal employer can also face legal action for engaging an unregistered
contractor.

Significance:

The registration of contractors under the OSH Code is a significant step towards formalizing the
contract labor market and ensuring better protection for contract workers. It promotes compliance
with labor laws, enhances transparency, and helps create a safer and more equitable work
environment for all.

3. Challenges faced by inter-state migrant workers.

Inter-state migrant workers in India face a unique set of challenges as they leave their homes and
families to seek employment in different states. These challenges often leave them vulnerable and
marginalized.

Key Challenges:

• Lack of Social Security: Migrant workers often fall outside the social security net of both
their home and host states, leaving them with limited access to healthcare, pensions, and
other benefits.

• Poor Working Conditions: They frequently work in the informal sector with low wages, long
hours, hazardous conditions, and little job security.

• Exploitation: Migrant workers are vulnerable to exploitation due to their lack of awareness
of local laws, language barriers, and limited access to legal recourse.

• Lack of Basic Amenities: They often lack access to decent and affordable housing,
sanitation, healthcare, and education for their children.

• Social Exclusion and Discrimination: Migrant workers may face discrimination and social
exclusion due to their language, culture, and migrant status.

• Debt and Financial Insecurity: Many migrant workers fall into debt traps due to high
recruitment fees, low wages, and unexpected expenses.

• Health Risks: Migrant workers are exposed to various health risks due to poor living and
working conditions, limited access to healthcare, and occupational hazards.

• Separation from Families: Prolonged separation from families and social networks can
lead to psychological distress and social isolation.

• Difficulties during Crises: Migrant workers are particularly vulnerable during crises like the
COVID-19 pandemic, facing job losses, food insecurity, and difficulties in returning home.

Addressing the Challenges:

The government, civil society organizations, and employers need to work together to address these
challenges. Some key measures include:
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• Strengthening social security: Extending social security coverage to migrant workers

through portable schemes and ensuring access to healthcare and other benefits.

• Improving working conditions: Enforcing labor laws, ensuring fair wages, and promoting
safe and healthy working conditions.

• Providing affordable housing and basic amenities: Creating affordable housing options
and ensuring access to basic amenities like sanitation, healthcare, and education.

• Combating discrimination: Raising awareness about the rights of migrant workers and
promoting social inclusion.

• Facilitating access to justice: Providing legal aid and support to migrant workers to
address grievances and access justice.

• Strengthening inter-state coordination: Improving coordination between states to

address the needs of migrant workers and ensure portability of benefits.

4. Safety and health requirements for factories.

Factories are workplaces that often involve machinery, hazardous substances, and potentially
dangerous processes. To ensure the safety and health of workers in these environments, the
Occupational Safety, Health and Working Conditions Code, 2020 (OSH Code) prescribes various
safety and health requirements.

Key Safety Requirements:

• Machinery Safety:

o Fencing of machinery: Moving parts of machinery must be securely fenced to

prevent workers from coming into contact with them and getting injured.

o Maintenance: Machinery must be regularly inspected and maintained to ensure it is

in safe working order.

o Safe operating procedures: Workers must be trained on how to operate machinery

safely and follow established procedures.

• Fire Safety:

o Fire prevention: Measures must be taken to prevent fires, such as proper storage of
flammable materials and regular inspections of electrical equipment.

o Firefighting equipment: Fire extinguishers, fire alarms, and sprinkler systems must
be installed and maintained.

o Evacuation plans: Clear evacuation plans and procedures must be in place and
communicated to all workers.
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• Hazardous Substances:

o Safe handling and storage: Hazardous substances must be handled and stored
safely to prevent spills, leaks, and exposure to workers.

o Ventilation: Adequate ventilation must be provided to control the concentration of

hazardous substances in the air.

o PPE: Workers must be provided with appropriate PPE, such as respirators, gloves,
and protective clothing, when handling hazardous substances.

• Electrical Safety:

o Safe installations: Electrical installations must be properly designed, installed, and

maintained to prevent electrical shocks and fires.

o Regular inspections: Electrical equipment must be regularly inspected and tested

for safety.

o Lockout/tagout procedures: Procedures must be in place to de-energize electrical

equipment before maintenance or repair work.

Key Health Requirements:

• Cleanliness and Hygiene:

o Cleanliness: The factory must be kept clean and free from any accumulation of dirt,
waste, or other nuisances.

o Waste disposal: Effective arrangements must be made for the disposal of waste
and effluents.

o Sanitation: Adequate sanitation facilities, such as toilets and washing facilities,

must be provided.

• Ventilation and Temperature:

o Ventilation: Adequate ventilation must be provided to ensure a supply of fresh air

and control temperature and humidity.

o Temperature control: Measures must be taken to control temperature and prevent

excessive heat or cold in the workplace.

• Lighting:

o Adequate lighting: Sufficient and suitable lighting must be provided in all work
areas.

o Natural lighting: Where possible, natural lighting should be utilized.

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• Noise Control:

o Noise levels: Noise levels must be controlled to prevent hearing damage to

workers.

o Hearing protection: Workers exposed to excessive noise must be provided with

hearing protection.

• Ergonomics:

o Workplace design: Workstations and equipment must be designed ergonomically

to prevent musculoskeletal disorders.

o Manual handling: Safe lifting and handling techniques must be promoted to

prevent back injuries and other strains.

Enforcement:

The OSH Code provides for inspections and penalties to ensure compliance with these
safety and health requirements. Factory inspectors have the authority to inspect factories, issue
improvement notices, and initiate legal action against employers who violate the Code.

5. Benefits provided by the Social Security Fund.

The Social Security Fund, established under the Code on Social Security, 2020, is a crucial
mechanism for extending social security benefits to workers in the unorganized sector, including gig
workers and platform workers. This fund aims to provide a safety net and improve the overall well-
being of these workers, who often lack access to formal social security schemes.

Key Benefits Provided by the Social Security Fund:

• Life and Disability Cover: The fund provides financial support to workers and their families
in case of death or disability due to accidents or illnesses. This can include lump-sum
payments or monthly pensions to help with living expenses and medical costs.

• Accident Insurance: Workers are covered for medical expenses and loss of income due to
accidents that occur while working. This helps them recover from injuries and return to
work without facing financial hardship.

• Health and Maternity Benefits: The fund provides access to healthcare services, including
hospitalization, outpatient care, and medicines. It also offers maternity benefits to women
workers, such as paid maternity leave and medical bonuses.

• Old Age Protection: The fund may offer pension or other savings schemes to help workers
save for their retirement and ensure financial security in their old age.

• Other Benefits: Depending on the specific schemes framed by the government, the Social
Security Fund may also provide benefits such as:
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o Educational assistance for children: Helping workers with the cost of their
children's education.

o Skill development and training: Providing opportunities for workers to enhance

their skills and improve their employability.

o Housing assistance: Offering subsidies or loans for housing to help workers secure
affordable accommodation.

Significance of the Benefits:

• Financial Security: The benefits provided by the Social Security Fund offer financial
protection to workers and their families in times of need, such as illness, disability,
maternity, or old age.

• Improved Well-being: Access to healthcare, maternity benefits, and other social security
measures contribute to the overall well-being of workers and their families.

• Formalization: The inclusion of unorganized workers, gig workers, and platform workers in a
formal social security system encourages the formalization of the informal sector and
promotes better working conditions and labor rights.

• Reduced Vulnerability: Social security benefits help reduce the vulnerability of these
workers, who often face precarious employment conditions and income insecurity.

Challenges:

• Reaching the Unorganized Sector: Reaching out to all eligible workers in the vast and
diverse unorganized sector and ensuring they are aware of and can access the benefits is a
major challenge.

• Funding: Maintaining adequate funding for the Social Security Fund will require
contributions from various sources, including the government, employers, and workers.
Ensuring sustainable funding will be crucial.

• Implementation: Effective implementation of the various schemes and benefits will

require administrative efficiency and innovative solutions to reach and serve the target
population.

Terminology:
1. Contract labor
Contract labor refers to workers who are hired by a contractor or agency and then deployed
to work for another company (the principal employer). They are not directly employed by the
company where they perform their duties.

Think of it like this:

• Company A needs workers for a specific task.

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• Instead of hiring them directly, Company A hires Company B (a contractor).

• Company B provides the workers to Company A.

• These workers are contract laborers.

Contract labor is common in various sectors, such as:

• Manufacturing

• Construction

• Hospitality

• IT

It's often used for:

• Short-term projects

• Seasonal work

• Specialized tasks

While contract labor can provide flexibility for companies, it's important to ensure that contract
workers are treated fairly and have access to safe working conditions and benefits.

2. Principal employer
The principal employer is the company or organization that hires a contractor to perform
certain tasks or provide services. They are essentially the main employer, even though they don't
directly employ the workers who perform the work.

Think of it like this:

• Company A needs workers for a specific job.

• Company A hires Company B (a contractor) to provide those workers.

• Company A is the principal employer.

• Company B is the contractor.

• The workers provided by Company B are contract laborers.

The principal employer has certain responsibilities towards the contract laborers, even though
they are not their direct employees. This includes ensuring their safety, health, and welfare, as well
as ensuring that they are paid fairly and have access to benefits.
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3. Contractor
A contractor is a person or company that undertakes a specific job or project for another
person or organization. They work independently and are not considered employees of the hiring
entity.

Think of it like this:

• You need to renovate your house.

• Instead of doing it yourself, you hire a contractor to do the work.

• The contractor provides the labor, materials, and expertise to complete the renovation.

Contractors are common in various fields, including:

• Construction: Building houses, roads, bridges.

• IT: Developing software, providing technical support.

• Maintenance: Repairing equipment, cleaning facilities.

• Consulting: Providing expert advice and services.

Key characteristics of a contractor:

• Independent: They work for themselves or their own company.

• Project-based: They are hired for specific projects or tasks.

• Defined scope of work: Their responsibilities are outlined in a contract.

• Own tools and equipment: They usually provide their own tools and equipment.

• Responsible for their own taxes: They are not considered employees and handle their own
taxes.

Contractors offer flexibility and specialized skills, allowing companies to complete projects
efficiently without adding permanent staff.

4. Inter-state migrant worker

An inter-state migrant worker is someone who moves from one state to another within India for
work. They leave their home state to find employment opportunities elsewhere.

Think of it like this:

• Someone from Bihar moves to Maharashtra to work in a factory.

• A person from Odisha travels to Kerala to work on a construction site.

• A woman from West Bengal goes to Delhi to work as a domestic helper.

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These are all examples of inter-state migrant workers.

They often work in sectors like:

• Construction

• Manufacturing

• Agriculture

• Domestic work

Migrant workers face unique challenges:

• Poor working conditions: Low wages, long hours, hazardous jobs.

• Lack of social security: Limited access to healthcare, pensions, and other benefits.

• Exploitation: Due to lack of awareness and language barriers.

• Social exclusion: Facing discrimination and isolation.

Protecting their rights and ensuring their well-being is crucial for a just and equitable society.

5. Social Security Fund

The Social Security Fund is like a big savings account created by the government to help
workers who don't have regular jobs, like gig workers or farm laborers.

Here's the basic idea:

• Workers and employers put money into the fund. This money is used to provide benefits
to workers when they need them.

• Benefits include things like:

o Money if you get sick or injured and can't work.

o Help with medical expenses.

o Payments for new mothers.

o Pensions for when you get old.

It's designed to protect workers who don't have the same benefits as those with regular jobs, giving
them a safety net and some peace of mind.
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Important Case Laws in Labour Law:

1. Regional Provident Fund Commissioner v. Hooghly Mills Co. Ltd.

(1973)
• Subject: Definition of "employee" under the Employees' Provident Funds and
Miscellaneous Provisions Act, 1952.

• Issue: Whether certain categories of workers, such as those engaged through contractors
or those working on a piece-rate basis, could be considered "employees" for the purpose of
EPF contributions.

• Facts: The case involved a dispute between the Regional Provident Fund Commissioner
and Hooghly Mills Co. Ltd. regarding the applicability of the EPF Act to certain categories of
workers engaged by the company.

• Decision: The Supreme Court held that the definition of "employee" under the EPF Act
should be interpreted broadly to include all those who are substantially employed by an
establishment, regardless of the technicalities of their employment arrangement. The Court
emphasized the importance of considering the substance of the relationship over its form.

• Takeaway: This case expanded the scope of the EPF Act to cover a wider range of workers,
ensuring that more employees benefit from social security coverage. It established the
principle of looking beyond the formal designation of a worker and considering the actual
nature of their employment relationship.

2. Esic v. Francis De Costa (1996)

• Subject: Interpretation of "employment injury" under the Employees' State Insurance Act,
1948.

• Issue: Whether an injury sustained by an employee while traveling from their home to the
workplace could be considered an "employment injury" for the purpose of claiming ESI
benefits.

• Facts: Francis De Costa, an employee, was injured in a road accident while traveling from
his home to his workplace. He claimed ESI benefits for the injury.

• Decision: The Supreme Court held that for an injury to be considered an "employment
injury," it must have a direct connection with the employment and occur within the course
of employment. The Court ruled that injuries sustained during the commute are generally
not covered, unless the employee is performing work-related duties during the commute or
using transportation provided by the employer.

• Takeaway: This case clarified the scope of "employment injury" under the ESI Act,
emphasizing the need to establish a clear link between the injury and the employment. It
helped define the boundaries of the employer's liability for compensation in such cases.
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3. Municipal Corporation of Delhi v. Female Workers (Muster Roll) (2000)

• Subject: Right to maternity benefits for women employed on a casual or muster roll basis.

• Issue: Whether women employed on a casual or muster roll basis, who do not have regular
or permanent employment status, are entitled to maternity benefits under the Maternity
Benefit Act, 1961.

• Facts: The case involved female workers employed by the Municipal Corporation of Delhi
on a muster roll basis. They were denied maternity benefits on the grounds that they were
not regular employees.

• Decision: The Supreme Court held that the right to maternity benefits is a fundamental right
of every woman worker, regardless of her employment status. The Court ruled that denying
maternity benefits to women employed on a casual or muster roll basis is discriminatory
and violates their fundamental rights.

• Takeaway: This landmark case expanded the scope of the Maternity Benefit Act to cover
women in precarious employment, ensuring their social security and protection during
pregnancy and childbirth. It reinforced the principle of non-discrimination and recognized
the importance of maternity benefits for the health and well-being of women workers and
their children.

4. Bandhua Mukti Morcha v. Union of India (1984)

• Subject: Bonded labor and forced labor.

• Issue: The case addressed the widespread prevalence of bonded labor and forced labor in
India, particularly in rural areas and certain industries.

• Facts: Bandhua Mukti Morcha, a non-governmental organization, filed a public interest

litigation (PIL) in the Supreme Court, highlighting the plight of bonded laborers and seeking
their release and rehabilitation.

• Decision: The Supreme Court took cognizance of the issue and issued a series of directions
to the government to identify, release, and rehabilitate bonded laborers. The Court
emphasized the constitutional right to freedom from forced labor and the state's obligation
to eradicate this practice.

• Takeaway: This case played a crucial role in raising awareness about the issue of bonded
labor and prompting government action to address it. It highlighted the importance of
judicial activism in protecting the rights of vulnerable workers and ensuring social justice.
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5. Vishaka v. State of Rajasthan (1997)

• Subject: Sexual harassment at the workplace.

• Issue: The case addressed the lack of a legal framework for dealing with sexual harassment
at the workplace and the need to protect women from such harassment.

• Facts: Bhanwari Devi, a social worker in Rajasthan, was gang-raped by upper-caste men as
retaliation for her efforts to prevent a child marriage. The case highlighted the vulnerability
of women to sexual harassment and the lack of legal recourse.

• Decision: In a landmark judgment, the Supreme Court laid down guidelines for the
prevention and redressal of sexual harassment at the workplace. These guidelines, known
as the "Vishaka Guidelines," defined sexual harassment, outlined the responsibilities of
employers, and provided for a complaints mechanism.

• Takeaway: This case was instrumental in recognizing sexual harassment as a violation of

women's fundamental rights and creating a legal framework for addressing it. The Vishaka
Guidelines paved the way for the enactment of the Sexual Harassment of Women at
Workplace (Prevention, Prohibition and Redressal) Act, 1 2013, which codified these
guidelines into law.
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Situational Questions:
Scenario 1: The Injured Contract Worker
• Facts: A construction worker employed by a contractor falls from scaffolding at a construction
site and suffers a serious injury. The contractor is not registered under the OSH Code and has
not provided any safety training to the worker. The principal employer claims they are not liable
as the worker was not their direct employee.

• Questions:

1. Analyze the liabilities of the contractor and the principal employer in

this situation.
• Contractor's Liability: The contractor bears primary responsibility for the worker's
injury. Their failure to register under the OSH Code and provide safety training are clear
violations. They are liable for:
o Compensation: Paying compensation to the worker for medical expenses, lost
wages, and pain and suffering, as per the Employee's Compensation provisions
of the Code on Social Security.
o Penalties: Facing penalties under the OSH Code for non-registration and failure
to provide safety training. These could include fines and/or imprisonment.
• Principal Employer's Liability: While the worker isn't their direct employee, the
principal employer is NOT exempt from liability. The OSH Code places a significant duty
on them to ensure the safety and health of all workers on their site, including contract
labor. Their liability stems from:
o Duty to ensure safety: They failed to ensure the contractor was registered and
complied with safety regulations.
o Potential for direct payment: If the contractor is unable to pay compensation,
the principal employer may be liable to pay it directly to the worker and then
recover the amount from the contractor.

2. What are the rights of the injured worker under the OSH Code and the
Code on Social Security?
• Right to Compensation: The worker has the right to claim compensation from the
contractor and potentially the principal employer under the Employee's
Compensation provisions of the Code on Social Security.
• Right to Safe Working Conditions: The OSH Code guarantees the right to safe
working conditions for all workers, including contract labor. This includes the right to
receive safety training and necessary safety equipment.
• Right to Report Violations: The worker can report the contractor's violations to the
appropriate authorities.
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3. What steps can the worker take to claim compensation and other
benefits?
• File a compensation claim: The worker should file a compensation claim with the
Commissioner for Employee's Compensation, providing details of the accident,
injuries, and medical expenses.
• Report the violations: The worker can report the contractor's non-registration and
lack of safety training to the relevant labor authorities, such as the Inspector under
the OSH Code.
• Seek legal assistance: If necessary, the worker can seek legal assistance from
labor unions, NGOs, or legal aid organizations to navigate the claims process and
protect their rights.

4. How could this accident have been prevented?

This accident could have been prevented through several measures:

• Contractor Registration and Compliance: The contractor should have registered

under the OSH Code and complied with all safety regulations.
• Safety Training: The worker should have received adequate safety training before
starting work at the construction site.
• Proper Scaffolding: The scaffolding should have been erected and maintained
properly to ensure its stability and safety.
• Safety Equipment: The worker should have been provided with and used
appropriate safety equipment, such as a safety harness and helmet.
• Supervision: Adequate supervision should have been in place to ensure that work
was carried out safely.
• Safety Culture: Both the contractor and the principal employer should foster a
culture of safety on the construction site, where safety is prioritized and workers are
empowered to report hazards and unsafe practices.

Scenario 2: The Pregnant Factory Worker

• Facts: A woman working in a factory informs her supervisor that she is pregnant. The
supervisor tells her that she cannot continue working in her current role, which involves
exposure to chemicals, and suggests that she resign. The woman is unaware of her rights
under the OSH Code and the Code on Social Security.

• Questions:

1. What are the rights of the pregnant worker in this situation?

• Right to Non-Discrimination: The pregnant worker has the right to not be
discriminated against in the workplace due to her pregnancy. This is protected
under the OSH Code, which prohibits any adverse action against an employee
based on pregnancy.
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• Right to Safe Working Conditions: She has the right to a safe and healthy working
environment, free from hazards that could pose a risk to her or her unborn child.
• Right to Information and Consultation: She has the right to be informed about
potential risks in her work environment and to be consulted on measures to mitigate
those risks.
• Right to Maternity Benefits: She is entitled to maternity benefits under the Code on
Social Security, including paid maternity leave, medical bonus, nursing breaks, and
potentially crèche facilities.
• Right to Continued Employment: She cannot be dismissed or discharged from her
job solely due to her pregnancy.

2. Can the employer force her to resign or change her role?

• No: The employer cannot force her to resign or change her role simply because she
is pregnant. Doing so would constitute illegal discrimination under the OSH Code.

3. What are the employer's obligations regarding the safety and health
of pregnant workers?
• Risk Assessment: The employer must assess the risks posed by the work
environment to the pregnant worker and her unborn child.
• Control Measures: The employer must implement measures to control those risks,
such as:

o Modifying her duties to avoid exposure to hazards.

o Providing suitable PPE to minimize exposure.

o Adjusting working conditions, such as providing more frequent breaks or

reducing working hours.

• Information and Consultation: The employer must inform the worker about
potential risks and consult with her on measures to protect her health and safety.
• Maternity Benefits: The employer must provide the worker with all entitled
maternity benefits.

4. What benefits is the pregnant worker entitled to under the law?

• Paid Maternity Leave: 26 weeks of paid maternity leave.
• Medical Bonus: A medical bonus to cover medical expenses related to pregnancy
and childbirth.
• Nursing Breaks: Breaks during working hours to breastfeed her child.
• Crèche Facilities: If the factory has 50 or more employees, the employer must
provide crèche facilities.
• Protection from Dismissal: The employer cannot dismiss or discharge her during
pregnancy or maternity leave.
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Scenario 3: The Unpaid Gig Worker

• Facts: A gig worker working for a food delivery platform is injured in a road accident while
making a delivery. The platform claims that the worker is not an employee and therefore not
entitled to any compensation or benefits. The worker is struggling to pay for medical
expenses and has no income due to the injury.

• Questions:

1. Analyze the status of the gig worker under the Code on Social
Security, 2020.
• Not a traditional employee: Gig workers don't fit the traditional employer-
employee mold. They often work independently, set their own hours, and may have
multiple clients or platforms.
• CSS expands the definition: The Code on Social Security, 2020, broadens the
definition of "employee" to include gig workers, specifically recognizing "platform
workers." This is crucial for extending social security coverage.
• Unorganized worker category: Even if not a direct employee of the platform, the gig
worker likely falls under the category of "unorganized worker" in the CSS, which also
has provisions for social security.

2. Is the platform liable to provide compensation and benefits to the

worker?
Likely yes, but with complexities: The platform's liability isn't straightforward. Here's why:

• No-fault liability principle: The CSS generally applies a no-fault liability principle
for workplace accidents. This means the employer is liable regardless of who's at
fault, as long as the injury occurred in the course of employment.
• "Employee" status is key: If the gig worker is considered an "employee" under the
CSS's expanded definition, the platform has a stronger obligation to provide
compensation and benefits like any other employer.
• Even if not a direct employee: Even if the court doesn't consider the worker a
direct employee, the platform may still be liable under the provisions for
unorganized workers or under specific schemes framed by the government for gig
workers.
• Contributory schemes: The platform might be required to contribute to the Social
Security Fund on behalf of the worker, which would then provide certain benefits.

3. What are the rights of the gig worker in this situation?

• Right to Compensation: The gig worker has the right to claim compensation for the
injuries sustained in the accident, even if they were at fault, as long as it happened
during their work.
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• Right to Social Security: Under the CSS, they have the right to social security
benefits, which might include disability benefits, medical coverage, and other forms
of assistance.
• Right to Fair Working Conditions: Although the gig economy is less regulated, they
still have rights to fair working conditions, including reasonable pay and protection
from exploitation.

4. How can the gig worker access social security benefits?

• Registration: The first step is to register on the online portal for unorganized
workers/gig workers, as mandated by the CSS. This helps establish their eligibility for
benefits.
• Contribution: They may need to contribute to the Social Security Fund, either
directly or through deductions facilitated by the platform.
• Claim filing: They'll need to file a claim for compensation and other benefits with
the relevant authorities (e.g., Commissioner for Employee's Compensation, ESIC,
etc.).
• Legal assistance: If facing difficulties or denials, they should seek legal assistance
from labor unions, NGOs, or legal aid organizations.

Scenario 4: The Discriminated Migrant Worker

• Facts: An inter-state migrant worker is employed in a construction project. The contractor
pays him lower wages than other workers from the same state and denies him access to
basic amenities like drinking water and restrooms. The worker is also subjected to verbal
abuse and discrimination due to his language and origin.

• Questions:

1. What are the rights of the migrant worker under the OSH Code?
• Right to Non-Discrimination: The OSH Code prohibits discrimination based on
origin, which includes language. The contractor's actions violate this right.
• Right to Equal Wages: The worker has the right to equal wages for equal work,
regardless of their origin. Paying lower wages is a violation.
• Right to Basic Amenities: The OSH Code mandates that employers provide access
to basic amenities like drinking water and restrooms to all workers, including
contract labor.
• Right to a Safe and Healthy Work Environment: This includes freedom from
harassment and abuse.
• Right to Report Violations: The worker has the right to report these violations to the
appropriate authorities without fear of retaliation.
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2. What actions can the worker take against the contractor for the
violations of his rights?
• File a complaint: The worker can file a complaint with the relevant labor
authorities, such as the Inspector under the OSH Code, detailing the violations.
• Seek redressal through the grievance mechanism: The OSH Code provides for a
grievance redressal mechanism within the establishment. The worker can utilize
this to raise their concerns.
• Approach the Commissioner for Employee's Compensation: If the discrimination
or poor working conditions have led to any injury or illness, the worker can approach
the Commissioner for compensation.
• Seek legal assistance: The worker can seek legal assistance from labor unions,
NGOs, or legal aid organizations to understand their rights and pursue legal action if
needed.

3. What role can the principal employer play in protecting the rights of
the migrant worker?
• Ensure contractor compliance: The principal employer has a responsibility to
ensure that the contractor complies with the OSH Code and other labor laws. They
should monitor the contractor's practices and take action if any violations are
found.
• Provide a safe and inclusive workplace: The principal employer should create a
workplace culture that is free from discrimination and harassment, where all
workers are treated with dignity and respect.
• Facilitate access to grievance mechanisms: The principal employer should
ensure that contract workers are aware of the grievance redressal mechanisms and
can access them without fear of retaliation.
• Promote awareness: The principal employer can play a role in promoting
awareness about the rights of migrant workers among their contractors and
employees.

4. How can the government ensure the effective implementation of the

OSH Code to protect migrant workers?
• Strengthening enforcement: Increase the number of labor inspectors and provide
them with adequate resources to conduct regular inspections and investigate
complaints.
• Inter-state coordination: Improve coordination between states to ensure
portability of benefits and address the challenges faced by migrant workers who
move across state borders.
• Awareness campaigns: Conduct targeted awareness campaigns to inform migrant
workers about their rights and how to access grievance redressal mechanisms.
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• Collaboration with civil society: Partner with NGOs and other civil society
organizations to reach out to migrant workers and provide them with support and
legal assistance.
• Stricter penalties: Impose stricter penalties on employers and contractors who
violate the rights of migrant workers.

Scenario 5: The Unsafe Factory

• Facts: A factory is found to have several safety violations during an inspection by a labor
inspector. The machinery is poorly maintained, there are no fire safety measures in place,
and workers are not provided with any safety equipment or training. The factory owner
claims that he cannot afford to implement safety measures.

• Questions:

1. What are the obligations of the factory owner under the OSH Code?
• Ensure Safe Plant and Machinery: The owner has a duty to ensure all machinery is
properly maintained, guarded, and safe to operate.
• Provide Safe Working Conditions: This includes ensuring a safe work environment
with proper ventilation, lighting, and access, as well as controlling hazardous
substances.
• Provide Safety Equipment and Training: The owner must provide workers with
necessary PPE (e.g., helmets, gloves, etc.) and conduct safety training.
• Implement Fire Safety Measures: This includes fire prevention measures,
firefighting equipment (extinguishers, alarms), and evacuation plans.
• Conduct Risk Assessments: The owner must identify potential hazards and assess
the risks to worker safety and health.
• Form Safety Committees: In factories with hazardous processes,

2. What actions can the labor inspector take against the factory owner
for the violations?
• Issue Improvement Notices: The inspector can issue notices requiring the factory
owner to rectify the violations within a specified timeframe.
• Initiate Legal Proceedings: If the owner fails to comply, the inspector can initiate
legal proceedings, which could lead to fines and/or imprisonment.
• Order Closure of the Factory: In extreme cases where worker safety is seriously
compromised, the inspector can order the closure of the factory until the violations
are rectified.
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3. What are the potential consequences for the factory owner if a worker
is injured due to the unsafe conditions?
• Compensation Claims: The owner would be liable to pay compensation to the
injured worker under the Employee's Compensation provisions of the Code on
Social Security.
• Increased Penalties: The severity of penalties under the OSH Code may be
increased if an accident occurs due to non-compliance.
• Legal Liability: The owner could face additional legal liabilities, including criminal
charges, depending on the severity of the injury or if negligence is proven.
• Reputational Damage: Such incidents can damage the reputation of the factory
and lead to loss of business.

4. How can the government promote compliance with the OSH Code
among factory owners?
• Awareness Campaigns: Conduct awareness campaigns to educate factory owners
about the OSH Code and the benefits of compliance.
• Simplified Procedures: Simplify registration and compliance procedures to make it
easier for factories to comply.
• Training and Support: Provide training and support to factory owners on
implementing safety measures and conducting risk assessments.
• Incentives: Offer incentives for compliance, such as recognition for good safety
records or tax benefits.
• Stronger Enforcement: Increase the number of labor inspectors and strengthen
enforcement mechanisms to deter non-compliance.
• Collaboration: Collaborate with industry associations and trade unions to promote
a culture of safety in the manufacturing sector.