ILL -CONCEPTS

8/14/2019 ILL -CONCEPTS

1/18


2/18

CLOSURE

Closure means the permanent closingdown of a place of employment or part

there of; 60 days notice to be given of intention to

close down any undertaking.


3/18

CONDITIONS 25 FFA

q Provided that nothing in this section shallapply to-

An undertaking in which (1)Less than50 workmen are employed, or

(2)Less than 50 workmen were employed on anaverage per working day in the preceedingtwelve months.

An undertaking set up for the construction of building,bridges,roads,canals,dams or for other construction work or project.


4/18

COMPENSATION-25FFF

When an undertaking is closed down for anyreason what so ever, every workman whohas

been in continuous service for not less thanone year in that undertaking immediately

before such closure shall, subject to the provisions of sub section (2), be entitled tonotice and compensation in accordance withthe provisions of section 25F, as if theworkman had been retrenched :


5/18

Contd..

Provided that where the undertaking isclosed down on account of unavoidable

circumstances beyond the control of theemployer, the compensation to be paid tothe workman under clause (b) of section25F , shall not exceed his average pay for three months:


6/18

Contd..

v Not withstanding anything contained in subsection (1) , the appropriate government

may,if it is satisfied that owing to suchexceptional circumstances as accidentsin the undertaking or death of theemployer or the like, it is necessary so todo so, by order ,direct that provisions of subsection (1) shall not apply in relationto such undertaking for such period as

may be specified in the order.


7/18

REASONS

v An undertaking which is closed down by reasonmerely of - - -

Financial difficulties (including financial losses) Accumulation of undisposed of stocks The expiry of the period of the lease or licence

granted to it Incase where the undertaking is engaged in miming

operations,exhaustion of the minerals in the areain which operations are carried on


8/18

.

A Y O F F


9/18

What is lay off ??

SEC 25C to 25E Layoff means the failure,refusal or inability of an

employer on account of shortage of coal,power or raw materials or the accumulation of stocksor the breakdown of machinery[or naturalcalamity or for any other connected reason] to

give employment to a workman whose name is borne on the muster rolls of his industrialestablishment and who has not been retrenched .


10/18

Application

(1) Sections 25C TO 25E inclusive [shall notapply to industrial establishments to whichchapter VB applies, or]

(a)To industrial establishments in which less than 50workmen on an avg.per working day have

been employed in the preceeding calendar

month;or (b)To industrial establishments which are of a seasonal character or in which work is performed only intermittently .


11/18

(2) if a question arises whether an industrialestablishment is of seasonal character or

whether work is performed therein onlyintermittently, the decision of theappropriate government thereon shall be

final.


12/18

Continuous service

(1) a workman shall be said to be incontinuous service for a period if he is,

for that period, in uninterrupted service,including service which may beinterrupted on account of sickness or authorised leave or an accident or a srikewhich is not illegal, or a lock-out or acessation of work which is not due to anyfault on the part of the workman;


13/18

Contd.

(2) where a workman is not in continuous servicewithin the meaning of clause for a period of 1year or 6 months, he shall be deemed to be incontinuous service under an employer-

(a) For a period of 1 year, if the workman,during a period of 12 calendar months precceding the date

with reference to which calculation is to be made,has actually worked under the employer for notless than-


14/18

190 days in the case of workman employed below ground in mine and

240 days in any other case.


15/18

Compensation

Whenever a workman (other than a badli workman or acasual workman)whose name is borne on the muster rolls of an industrial establishment and who has

completed not less than 1 year of continuous serviceunder an employer is laid- off,whether continuosly oeintermittently, he shall be paidthe employer for all thedays during which he is so laid-off except for suchweekly holidays as may intervene, compensation whichshall be equal to 50%, of the total of the basic wagesand dearness allowance that would have been payable tohim had he not been so laid off:

i.e; 50% baisc pay + DA


16/18

CONTD....

Provided that if during any period of 12months, a workman is so laid-off for

more than 45days , no such compensationshall be payable in respect of any periodof the lay off after the expiry of the first 45 days , if there is an agreement to thateffect between the workman and theemployer:


17/18

Workmen not entitled to compensationin certain cases

(1) if he refuses to accept any alternative employment inthe same establishment from which he has been laid off,or in any other establishment belonging to the sameemployer situate in the same town or village or situatewithin a radius of five miles from the establishment towhich he belongs,if, in the opinion of the emploter, suchalternative doesnot call for any special skill or previousexperience and can be done by the workman, providedthat the wages which would normally heve been paid tothe workman,providedthat the wages which wouldnormally have been paid to the workman are offeredfor the alternative employment also.


18/18

Contd.

(2) if he doesnot present himself for work atthe establishment at the appinted time

during normal working hours at leastonce a day. (3) if such laying off is due to a strike or

slowing down of production on the part of workmen in anither part of theestablishment.

Documents

ILL -CONCEPTS