PROJECT NHRC

PROJECT REPORT ON BONDED LABOUR

NATIONAL HUMAN RIGHTS COMMISSION, NEW DELHI Page 1

CHAPTER 1

INTRODUCTION TO BONDED LABOUR

Bonded Labour is still a very grave social evil that requires to be tackled in earnest. Abolition of

forced labour falls under part III of our constitution dealing with fundamental rights. Further,

India is a signatory to a number of conventions of the International Labour Organization and the

United Nations that forbid forced labour, slavery and slave trade. The Bonded Labour System

(Abolition) Act, 1976 aims to eradicate the evil totally. Under the Act, a number of initiatives

have been taken up by the Government and Non-Government Agencies. But the enthusiasms and

zeal of the initial years are not being witnessed at present. Only a handful of organizations in

different corners of the country are struggling to secure justice to bonded labour. The

government at present seems to be totally silent in the issue. The National Human Rights

Commission has been entrusted with the task of monitoring the implementation of the Act on

Bonded Labour by the Supreme Court in 1997. In spite of its various efforts, the apathy of the

government seems to be getting more entrenched.

We are at a critical juncture where we require to asses our interventions so far on bonded labour

and plan anew for the future course of action. This necessitates taking stock of the situation on

bonded labour in India by pooling the rich experiences and learnings of the past involvement.

The NGO’s still active on the issue and other individuals having a deep concern for it are also

required to think of new alternatives to tackle the issue. In this context, it’s essential to take note

of the clarities provided by the various judgments of the higher court, especially the Supreme

Court. The various commissions and committees setup by the government on Rural Labour,

Bonded labour and Unorganized Labour have come up with very good reports and

recommendations on how best to tackle the evil. The National Human Right Commission,

constituted a committee to make suitable recommendations on Bonded Labour

A. CONCEPT OF BONDED LABOUR

Bonded labour is a stigma on human society and the worst form of exploitation characterized by

a creditor-debtor relationship that a labourer often passes on to his family members, bonded



labour is typically of an indefinite duration and involves illegal contractual stipulations.

Contracts deny an individual the basic right to choose his or her employer, or to negotiate the

terms of hisor her contract. Bonded labour contracts are not purely economic; In India, they are

reinforced by custom or coercion in many sectors such as the agricultural, silk, mining, match

production, and brick kiln industries, among others.

The expression ‘Bonded Labour System’ is defined in the Bonded Labour System (Abolition)

Act 1976 so as to bring within its scope all sorts of practices of bonded labour and exploitation.

The Supreme Court has made it clear by stating that ‘every form of forced labour, beggar or

otherwise is within the ambit of Article 23 and it makes no difference whether the person who is

forced to give his service is remunerated or not. Even if remuneration is paid the labour supplied

by a person would be hit by Article 23 if it forced labour i.e. labour supplied is against his will

and wish and is involuntary as a result of force and compulsion. Any factor which deprives the

person of his own choices and alternatives or compels him to adapt one particular course of

action may probably be regarded as forced labour.

Thus the word ‘force’ must therefore not only include physical force or legal force but force out

of compulsion of economic circumstances, which leave no choice of alternatives and compels

him to provide labour or service, even though the remuneration received for it is less than the

minimum wage.

“Where a person provides labour or service to another for remuneration which is less than the

minimum wage the labour or service provided by him clearly falls within the scope and ambit of

Article 23.

The SC further made it clear ‘that whenever it is found that any workman is forced to provide

labour for no remuneration, the presumption is that he is a bonded labourer, unless the employer

or the state government is in a position to prove otherwise, by rebutting such presumptions.

The bonded labour system is social system. This system constitutes the lowest class of

agricultural and other labourers who even after 62 years of independence are still being exploited

in one form or the other. The bondage through obligation may include debt bondage attachment

to land, attachment to house site or customary obligation. In case of debt obligation, a labour

usually takes a loan or advance from an employer, and in consequence thereof he mortgages his



labour with that particular employer until the loan is repaid. Many a times the loan involves

interest as well. His wages are fixed in such a manner that he can hardly meet both ends and is

not in a position to pay back the loan. This way the situation of debt bondage ties a labour to a

particular master and he is not in a position to come out of the dominion of his employer.

The other type of bondage through obligation is attachment to land. The labourer is given a piece

of land to cultivate and is required to share the produce with the master. The value of the share of

the produce from the land is much below the minimum wage though the labourer renders his

service to the employer for the entire year at his back and call. Since the income received from

the land is not enough to meet the daily requirements of the labourer, he had to contract loans

from the employer for consumption, customary practices and social ceremonies like marriage,

death etc. as he has no capacity to pay back thus the loan is then paid back by forcing the same

labourer to render his services till the amount is fully repaid.

The other type of obligation for which the labourers are bonded is by way of getting homestead

plot in master’s land. In lieu of that the labourer is required to work for his master whenever he

needs it. The wages given to him for work are just nominal and not enough to meet his bare

minimum requirements.

The customary obligation also forces people of low castes and tribes to perform certain

customary services to the upper caste such as carrying the dead animal, burning the dead, beating

the drum during birth and funeral etc. such type of obligations such type of debt bondage is

perpetuated on inter generation basis.

The entire framework of this system has its roots in the socio-economic conditions of our

country, poverty, caste system, zamindari system etc.

B. DEFINITIONS OF BONDED LABOUR

The term bonded labour is not capable of any precise definition. But through its various

judgments, Supreme Court has given a very broad, liberal and expansive interpretation of the

definition of the bonded labour. According to the interpretation given by the apex court, where a

person provided labour or service to another for remuneration less than the minimum wage, the



labour or service falls clearly within the scope and ambit of the words forced labour under the

constitution.

Some of the interpretations and definitions are as follows:

Forced Labour Convention, 1930 (No.29[Article 2(i)]

The term forced or compulsory labour shall mean all work or service, which is exacted,

from any person under the menace of any penalty and for which the said person has not

offered himself voluntarily.

Universal Declaration of Human Rights:

On December 10, 1948, the General Assembly of the United Nations adopted and

proclaimed the Universal Declaration of Human Rights. Article 4 says: “No one shall be

held in slavery or servitude; slavery and slave trade shall be prohibited in all their

forms.”

UN Supplementary Convention on the Abolition of Salary(1956):

Under this Convention debt bondage is defined as “the status or condition arising from a

pledge by a debtor of his personal service or those under his control as security for a debt,

if the value of those services as reasonably assessed is not applied toward the liquidation

of the debt or the length and nature of those services are not respectively limited and

defined”.

As per ILO Report on Stopping Forced Labour(2001):

The term(Bonded Labour) refers to a worker who rendered service under condition of

bondage arising from economic consideration, notably indebtedness through a loan or an

advance. Where debt is the root cause of bondage, the implication is that the worker(or

dependents or heirs) is tied to a particular creditor for a specified or unspecified period

until the loan is repaid.

Definition pursuant to the Bonded Labour System(Abolition) Act,1976 has been

discussed in Chapter 4.



On reading all the above definition we can say that the bonded labour system which

has continued to exist in the country has the following features:

1. A bonded labour is one who mortgages his labour for money or kind or both.

2. The wages are paid in advance, partially or entirely.

3. A bonded labour has to work with his creditor until the debt is paid back.

4. Bonded labour does not necessarily belong to a particular case or community but it

depends upon poverty and helplessness of the labour

5. The agreement between the labour and the creditor usually relates to the period of

work, nature of work, amount of work and mode of payment. Contract may be oral as

well.

6. During the period of the contract, a bonded labour is paid nominal wages which are

lower than prescribed wages.

7. A bonded labour is not entitled for holidays. If he absents himself he has to

compensate for it by doing extra work.



CHAPTER 2

CAUSES OF BONDED LABOUR SYSTEM

Bonded labour is a stigma in the society. It has its roots in the past and has been an age old

problem for the Indian society. The root cause of bonded labour in India is its socio-economic

conditions. It is an outcome of poverty, illiteracy and physical and economic dependence. The

rise of the bonded labour system could be traced to the economic compulsions arising out of

unemployment, indebtness, rural poverty, landlessness, caste systems, social customs, population

explosion, hunger, and malnutrition.

A. RURAL UNEMPLOYMENT:

It is a fact that rural workers are not employed 365 days of the year. In the agricultural sector the

work is only found maximum for 120 days during which workers are employed. This is also

known as seasonal bondage i.e. when the workers are employed only during the peak time of the

agricultural season. On the remaining days the workers remain out of work without any wages.

For a large part of the year, agricultural workers from all over the country do not find work on

agriculture and even on days when they work they get wages which are way below the minimum

wage level. They either starve or they take loans as a result of which they are forced to enter the

system of bonded labour in order to repay the loan taken.

1. Unemployment and under employment are the two main causes of bondage

2. The other causes such as social evils, superstitions, illiteracy etc. are secondary cause

3. Factors like birth, death, remarriage, sickness in the family and festivals etc. add to the

injury and push them to indebtness

4. The result is that unemployment and underemployment are pushing the helpless workers

towards bonded labour system

5. Integrated Rural Development Programme, National Rural Employment Programme, Rural

Landless Employment Guarantee Programme etc. have all been initiated in order to

eliminate poverty and help the workers raise their standard of living by providing some self

employment schemes.



B. CASTE SYSTEM:

1. The problem of bonded labour cannot separate from casteism. It is basically a product of the

economic structure where ownership is given more importance than work and which considers

a section of the society to be slaves of the rest. It is on the basis of this unequal ownership of

means of production and privilege of being born in a higher caste that the oppressive structure

is built. The majority of the bonded labour belongs to the lower caste.

2. The Hindu caste structure mentioned four classes- Brahmin, Kshatriyas, Vaishya and Shudra.

Out of these the lowest were the shudras also known as the ‘untouchables’ and were always

treated as the servants of the higher castes and subjects to the atrocities of the upper castes. All

the heinous and dirty jobs were done by them and they belonged to the slave category. They

were to serve the upper three classes.

3. The institution of caste has evolved economic class distinction.

4. Caste system functions as a system of passing on the bondage from one generation to another.

C. RURAL INDEBTEDNESS, LANDLESSNESS:

1. The bonded labour system is also a direct outcome of the rural indebtedness. The

impoverished rural workers are unable to sustain themselves and their families.

2. In Indian rural society one does not get the status of a man unless he has a piece of a land of

his own. Ownership and dominion over the land are considered to be the determinant

factors of the social status in the economy. Few have small pieces of land which are not

enough for their survival and sustenance. And many have lost these lands as a result of

indebtedness, manipulation by landlords etc.

3. Being deprived of any possessions and not being able to offer securities, the landless

peasants cannot participate in the institutional banking system.

4. For the purpose of consumption and social ceremonies they depend upon private money

lenders. These private money lenders are always in search of cheap labour and draw the

poor workers into the system of bondage.

5. The land reforms initiated by the states have failed to produce desired results. As a result

there is a situation of growing landlessness. Every year thousands of workers join the ranks



of landless agricultural labourers. The landlessness coupled with indebtedness is pushing

the poor into bondage.

6. Economic concentration and unequal distribution of material resources of the country are

responsible for the continued system of the bonded labour. The result is that different types

of bondage system exist in India today.

D. POPULATION EXPLOSION, HUNGER AND MALNUTRITION:

1. Population explosion entails a host of adverse consequences. Advancements in technology,

science, and medicine have brought up dramatic and qualitative change in living standards.

Life expectancy has gone up considerably with the effective control of incidence of mortality

from many fatal ailments.

2. Over 750 million people are chronically under-nourished, suffering from hunger at varying

scale; this is because people cannot grow food or buy food.

3. The number of people dependent on land has increased by 42 million between 1990-1991 and

1999-2000, this means a serious imbalance between the number of additional mouths to be

fed and the quantity of food grains produced and physically available for actual consumption.

4. Large population in India is not hungry because of scarcity of food but as they simply do not

have the purchasing power to buy food; therefore have to turn to landlords, moneylenders and

others who can provide them with the wherewithal for food.

5. 50 percent of the world’s malnourished children are in India, Pakistan, and Bangladesh.

Prevalence of malnutrition is on account of lack of adequate access to food, deficiency of safe

and potable drinking water, poor sanitation and environmental hygiene, and absence of

primary health care.

Human bondage also represents deprivation of the worst form. Hunger and malnutrition

represent denial of food security just as bondage also is a denial of freedom, security, dignity,

and decency of the bonded person. It will be fairly correct to connect population explosion to

these abominable phenomena. Imperative is a correct understanding of the causes and

consequences of these deleterious phenomena in a holistic perspective



CHAPTER 3

CONSTITUTIONAL IMPERATIVES AND LEGISLATIONS APART

FROM THE BONDED LABOUR SYSTEM (ABOLITION) ACT,

1976

A. FUNDAMENTAL RIGHTS

The Constitution of India, which is the supreme law of the country, has conferred various

Fundamental Rights to its citizens. These fundamental rights have been enshrined in Part III of the

Constitution of India. Since human rights are an umbrella of rights and are inclusive of fundamental

rights, Part III can also be associated with the concept of Human Rights. Human liberty and dignity

have been essentially preserved in Article 21, Article 23 of the Constitution of India.

Article 21: “Protection of Life and Personal Liberty”

“No person shall be deprived of his life or personal liberty except according to procedure

established by law.” Personal liberty means right of locomotion1, of changing directions or

moving one’s person to whatever place one’s own inclination may desire.

Article 23: “Right against Exploitation”

Prohibition of traffic in human beings and forced labour -

1. Traffic in human beings and begar and other similar forms of forced labour are prohibited and

any contravention of this provision shall be an offence punishable in accordance with law

2. Nothing in this article shall prevent the State from imposing compulsory service for public

purpose, and in imposing such service the State shall not make any discrimination on grounds

only of religion, race, caste or class or any of them.

1 Satwant Singh Sawhney v. D. Ramarathnam AIR 1967 SC 1836



The judgment of People's Union for Democratic Rights V. Union of India2 has laid down an

analysis of the terms bonded labour and forced labour. Justice Bhagwati opined:

“The word "begar" in Article 23 is not a word of common use in English language, but a word

of Indian origin which like many other words has found its way in English vocabulary. It is a

form of forced labour under which a person is compelled to work without receiving any

remuneration. Begar is thus clearly a film of forced labour.”

The Honourable Supreme Court further said that:

"We are, therefore, of the view that when a person provides labour of service to another for

remuneration which is less than the minimum wage, the labour or service provided by him

clearly falls within the scope and ambit of the words "forced labour" under Article 23 (of the

Constitution of India)."

'Force' which would make such labour or service 'forced labour' may arise in several ways. It

may be physical force which may compel a person to provide labour or service to another or it

may be force exerted through a legal provision such as a provision for imprisonment or fine in

case the employee fails to provide labour or service or it may even be compulsion arising from

hunger and poverty, want and destitution. Any factor which deprives a person of a choice of

alternative and compels him to adopt one particular course of action may properly be regarded

as 'force' and if labour or service is compelled as a result of such 'force', it would be 'forced

labour'.

B. DIRECTIVE PRINCIPLES OF STATE POLICIES

The directive principles guide the legislature in policy making. These are stated in Part IV of the

Constitution. Article 42 and Article 43 state the duty of the state in preserving the liberty of

citizens at work.

2 Union for Democratic Rights V. Union of India, (1982) 3 SCC 235. Hereinafter referred as Asiad Case



Article 42: Provision for just and humane conditions of work and maternity relief the State

shall make provision for securing just and humane conditions of work and for maternity relief.

Article 43: Living wage, etc, for workers The State shall Endeavour to secure, by suitable

legislation or economic organization or in any other way, to all workers, agricultural, industrial

or otherwise, work, a living wage, conditions of work ensuring a decent standard of life and

full enjoyment of leisure and social and cultural opportunities and, in particular, the State shall

endeavour to promote cottage industries on an individual or co operative basis in rural areas.

C. INDIAN PENAL CODE

Section 374 of the IPC is: Unlawful compulsory labour.-Whoever unlawfully compels any

person to labour against the will of that person, shall be punished with imprisonment of either

description for a term which may extend to one year, or with fine, or with both.

This section is intended to put a stop to the practice of forced labour. It requires –

1. Unlawful compulsion of any person

2. The unlawful compulsion must be to labour against the will of that person.

This section is aimed at the abuses arising from forced labour which ryots were in former times

compelled to render to great landholders. Pressing into service a forced labour is an indictable

offence under Section 374, I.P.C. this Section runs on the line of Article 23 of the Constitution.

D. SCHEDULED CASTES AND SCHEDULED TRIBES (PREVENTION OF ATROCITIES)

ACT, 1989

Section 3(1)(vi) protects scheduled castes and scheduled tribes against bonded labour. According

to the said section:

3(1)Whoever not being a member of the Scheduled Caste or a Scheduled Tribe -



(vi) compels or entices a member of a Scheduled Caste or a Scheduled Tribe to do ‘begar’ or

other similar forms of forced or bonded labour other than any compulsory service for public

purposes imposed by Government.

E. INSTANCES CONSTITUTING FORCED LABOUR OR BONDED LABOUR

1. Non-payment of minimum wages amounts to “Begar” within the meaning of Article 23,

Constitution and also an offence under Section 374, Indian Penal Code.3

2. Where the workers working under contract labour were coerced to do the work of handling

urea manually without adequate safeguards in the Fertilizers Company for protection of

hands and some burn injuries were visible on some workmen, the labour employed would be

“forced labour” contravening the provisions of Article 23.4

3. When a person is prohibited from refusing to render services to another merely on the ground

that the latter belongs to a scheduled caste, he is not thereby subjected to forced labour

similar in form to begar.5

4. The fact the person has contracted to perform the service will not in any way affect the

question whether it is forced labour or voluntary labour. Compelling a person to work even

for remuneration on terms proposed by the management may amount o forced labour.6

5. When a person enters into a contract to perform certain services, it will not amount to forcing

him to perform any service if he is only held to his civil liability under the contract. 7

6. If a person borrows money from another under an arrangement by which he undertakes to

repay the loan in the form of labour or service, he cannot be said to be subjected to forced

labour or involuntary servitude. He can always quit the service in spite of his contract and

making himself liable to damages for breach of contract. The test is whether the law can

compel him to physically perform the services without any option of paying damages for

breach of contract.8

3 2000 SCC(L&s) 399 (401) 4 AIR 1984 Guj 102 (104) 5 State Through Gokul Chand vs Banwari And Ors. on 24 January, 1951, AIR 1951 All 615 6 Bailey V. Alabama, (19111) 219 US 219 (242,243) 7 AIR 1956 Manipur 41 (42) 8 (1905) 197 US 207 (216): 49 Law Ed 726, (Clyatt V. United States)



7. Clause(2) expressly reserves the power of the State to impose compulsory service for public

purposes.9 The only authority which can compel a citizen to render publlic service under

Clause (2) of this Article is the State and not a public servant. The phrase "public purposes"

must include an object or aim in which the general interest of the community as opposed to

particular interests of individuals is directly and vitally concerned.10

8. Services required to be rendered by the teachers towards census, election, preparation of

ration cards or family planning, other than teaching, are "for public purpose" and services

rendered cannot be termed as Begar and even if no compensation is paid , this does not

Article 23.11

9 Atma Ram Budhia v. State of Bihar, AIR 1952 Pat 359 (366) (SB) 10 State of Bihar v. Kameshwar Singh, AIR 1952 SC 252(290) 11 Devendra Nath Gupta And Ors. vs State of M.P. and Ors, AIR 1983 MP 172 (176)



CHAPTER 4

THE BONDED LABOUR SYSTEM (ABOLITION) ACT, 1976

LEGAL PROVISIONS IN THE NATIONAL CONTEXT

India has consistently maintained an active approach towards the issue of forced or bonded

labour in the country. It recognizes their evil system as a gross infringement of fundamental

human rights of affected citizens and has been committed to its total eradication in shortest

possible time.

The issue of ‘bonded labour’ came to forefront at the national level when it was included in the

old 20-Point Programme announced to the nation by the then Prime Minister – Smt. Indira

Gandhi on 1.7.75.Thereafter based on the Constitutional provision, ‘The Bonded Labour System

(Abolition) Ordinance’ was promulgated on 25.10.1975 which was subsequently replaced by

The Bonded Labour System (Abolition) Act, 1976 but effective from 25.10.75, the date when the

Ordinance had been promulgated.

Any person who was a bonded labourer on 25th October 1975 stood freed and discharged from

any obligation to render bonded service and repay debt with effect from this date. He is to be set

at liberty regardless of loans/debts/advances he might have owed to

landlord/moneylender/bonded labour keeper.

The Bonded Labour System (Abolition) Act has a Statement of Objects and Reason, 7 chapters

and 24 sections as its substantive content. It can be broadly divided into the following:-

Definition

Consequences which follow the date of commencement of the Act.

Relief to the aggrieved

Structure of implementing authorities

Legal and penal provisions.

These are analyzed seriatim as below:



A. DEFINITION

The Act defines advance, agreement, ascendant or descendant, bonded debt, bonded labour,

bonded labourer, bonded labour system , family and nominal wages.

According to the Act, following words have defined as -

1. " Bonded debt" means an advance obtained, or presumed to have been obtained, by a

bonded labourer under, or in pursuance of, the bonded labour system;

2. " Bonded labour" means any labour or service rendered under the bonded labour system;

3. " Bonded labourer" means a labourer who incurs, or has, or is presumed to have, incurred,

a bonded debt;

4. " Bonded labour system" means the system of forced, or partly forced, labour under which

a debtor enters, or has, or is presumed to have, entered, into an agreement with the creditor

to the effect that,--

(i) in consideration of an advance obtained by him or by any of his lineal ascendants or

descendants (whether or not such advance is evidenced by any document) and in

consideration of the interest, if any, due on such advance, or

(ii) in pursuance of any customary or social obligation, or

(iii) in pursuance of an obligation devolving on him by succession, or

(iv) for any economic consideration received by him or by any of his lineal ascendants or

descendants, or

(v) by reason of his birth in any particular caste or community, h would-

(i) render, himself or through any member of his family, or any person dependent on him,

labour or service to the creditor, or for the benefit of the creditor, for a specified period or

for any unspecified period, either without wages or for nominal wages, or

(ii) for the freedom of employment or other means of livelihood for a specified period or

for an unspecified period, or

(iii) forfeit the right to appropriate or sell at market value any of his property or product

of his labour of a member of his family or any person dependent on him;

and includes the system of forced, or partly forced , labour under which a surety for a

debtor enters, or has, or is presumed to have, entered, into an agreement with the creditor

http://indiankanoon.org/doc/539542/







to the effect that in the event of the failure of the debtor to repay the debt, he would

render the bonded labour on behalf of the debtor-section 2(g).

B. CONSEQUENCES WHICH FOLLOW ON THE DATE OF COMMENCEMENT OF

THE ACT

The following consequences follow:

With abolition of bonded labour system w.e.f 25.10.1975, bonded labourers stand freed and

discharged from any obligation to render bonded labour.

All customs, traditions, contracts, agreements or instruments by virtue of which a person or

any member of the family dependent on such person is required to render bonded labour shall

be void.

Every obligation of a bonded labourer to repay any bonded debt shall be deemed to have been

extinguished.

No suit or any other proceeding shall lie in any civil Court or any other authority for recovery

of any bonded debt.

Every decree or order for recovery of bonded debt not fully satisfied before commencement

of the Act shall be deemed to have been fully satisfied.

Every attachment for the recovery of bonded debt shall stand vacated.

Any movable property of the bonded labourer, if seized and removed from his custody shall

be restored to him.

Any property possession of which was forcibly taken over by the creditor shall be restored to

the possession of the person from who seized.

Any suit or proceeding for the enforcement of any obligation under the bonded labour system

shall stand dismissed.



Every bonded labourer who has been detained in Civil Prison shall be released from

detention forthwith.

Any property of a bonded labourer under mortgage, charge, lien or any other encumbrance,

if related to public debt shall stand freed and discharged from such mortgage. Freed bonded

labourers shall not be evicted from the homestead land.

C. RELIEF TO THE AGGRIEVED:

The aggrieved person may apply to the prescribed authority for restoration of possession of

property (if it is not restored within 80days from the date of commencement of the Act).

The prescribed authority may pass an instant order directing the creditor to restore such

property to the possession of the aggrieved.

Any order by the prescribed authority to this effect shall be deemed to be an order by a Civil

Court.

The aggrieved party may apply to have the sale of his property set aside if the property was

sold before commencement of the Act.

If the mortgaged property is not restored to the possession of the bonded labourer or there is

some delay the bonded labourer shall be entitled to recover such mesne profits as may be

determined by the Civil Court.

D. STRUCTURE OF IMPLEMENTING AUTHORITY:

The law provides for the duties and responsibilities of the District Magistrate and every officer

specified by him. They have to ensure that the provisions of the Act are properly carried out (this

has been dealt at length in Chapter-VII). The law also provides for the constitution of Vigilance

Committees at the district and sub-divisional level, duties and responsibilities of such

Committees in the area of identification and rehabilitation of freed bonded labourers.



E. LEGAL AND PENAL PROVISIONS:

The Act provides for punishment for compelling any person to render any bonded labour. It also

provides for (a) punishment for advancement of bonded debt (b) punishment for extracting

bonded labour system (c)punishment for omission or failure to restore possession of property of

bonded labourers and (d) abatement. The Act provides for appointment of Executive Magistrates

for trial of all such offences and also provides for vesting them with powers of a judicial

magistrate, first or second class for summary trial of all offences under the Act. The law also

bars the jurisdiction of Civil Courts in respect of any matter to which the provisions of the Act

are applicable.

F. RECOMMENDATIONS FOR CHANGES IN BONDED LABOUR

SYSTEM (ABOLITION) ACT, 1976

Chapters Existing Proposed

Chapter 1

Section 2

DEFINITIONS

f) “bonded labourer” means a

labourer who incurs, or has ,or

is presumed to incurred ,a

bonded debt

f)“bonded-labourer” means

labourer who is compelled

to render labour under the

bonded labour system

Chapter 3 Title Extinguishments of liability to

repay bonded debt

Extinguishments of every

obligation under the bonded

labour system including the

liability to repay bonded

debt

Section 6,7and 9 For the words ‘liability to repay

bonded debt’ wherever they

Substitute “every obligation

under the bonded labour

system including the



occur liability to repay bonded

debt “

Section 6(5) Where….possession of any

property …..was forcibly taken

over by any creditor for the

recovery of any bonded debt

Where ….possession by any

property .. was forcibly

taken over by any creditor or

any other person for

enforcement or any

obligation under the bonded

labour system including the

recovery of any bonded

debt…

Section 6(6) If restoration of possession of

any property referred to in sub –

section (4) or sub-section (5) is

not made within 30 days from

the commencement of this Act,

the aggrieved person may,

within such time as may be

prescribed, apply to the

prescribed authority for the

restoration of possession……

If restoration of

possession….. the aggrieved

person may at any time

thereafter apply to the

prescribed authority……

Section 6(6) and 6(7) For the word ‘creditor’

wherever it occurs

Substitute ‘creditor or such

other person’

Chapter 4

Implementing

Authorities

A new provision to impose a

penalty on officials who

deliberately, knowingly

,voluntarily or otherwise ,

fail to enforce the provision



of the Act .This may be on

the lines of section 4 of the

Atrocities Act, which makes

it a punishable offence to

neglect the duties imposed

upon a public servant by

law.

Chapter 5

Vigilance committees

(a) Delegation of powers

for constituting

Vigilance Committees,

(b) Provision for

continuation of tenure

of members (beyond

two years) until

reconstitution,

(c) Inclusion of two

released bonded

labourers,

representatives of

Panchayati-Raj

Institutions as well as

senior police officers on

the Vigilance

Committees

(d) Empowerment of

Vigilance Committees

in identification of

bonded labourers, to

prosecute offenders



(under Ss 16,17,18,19

and 20 of the act), make

periodic surveys

regarding incidence and

send periodic reports.

Chapter 4

Offences and

Procedure for trial

Section 16 and 18

For the words bonded labour

wherever they occur

Substitute bonded labour or

any other system of forced

labour

Section 22 Every offence under this act

shall be cognizance and

bailable.

Every offence under this Act

shall be cognizable and non-

bailable .It should also

provide that no person shall

be eligible for anticipatory

bail

Section 18 For the words ‘at the rate of

rupees five per day’

Substitute ‘at twice the

difference between the

prescribed minimum wage

and the wages actually

received’



Section 16,17,18 and 19 The penalties provides for

imprisonment up-to three years

and fine up-to Rs 2000, but in

many cases of conviction under

the Act, only fine is imposed

without imprisonment.

To make the punishment

more deterrent, substitute

the words ‘imprisonment for

a term’ wherever they occur

by ‘a minimum

imprisonment of six months,

which may extend to five

years and also with a

minimum fine of two

thousand rupees’.



CHAPTER 5

IMPORTANT CASE LAWS CONCERNING BONDED LABOUR

1. People's Union for Democratic Rights V. Union of India12

In this case, the Supreme Court of India widened the ambit of Article 23 by way of the

judgment. The case was important for the following reasons:

a. The court gave a liberal interpretation to the Article 23 which prohibits forced labour. It is

said that the scope of this Article is wide and unlimited and strike at "traffic in human

beings" and begar and other forms of forced labour.

b. The new interpretation has sharpened the provisions of Bonded Labour System (Abolition)

Act 1976, and a new meaning to the Minimum Wages Act, 1948.

c. It supported the concept of public interest litigation as an aid for the working class people of

the country.

d. The decision has in fact encouraged many social action groups and social scientists to

investigate the socio-legal problems of the society.

e. The court highlighted that the right to live with dignity is one of the fundamental rights of a

citizen.

f. The court had stressed the importance of the constitutional obligations of the state to see that

there is no human rights violation of the weaker sections of the society.

g. In this case it was contended the Article 23 is only limited to the those forms of forced

labour where labour or service is exacted from a person without any remuneration at all and

if some will remuneration is paid even if it is below the minimum wage level it will not fall

within the meaning of 'other similar firms of forced labour.' On this the court observed that if

this were the interpretation of the above mentioned words then it would become very easy to

exact labour or service from a person belonging to a deprived section by just paying a

minimal amount.

h. The court further pointed out the object of adding these words in the article was to expand

the scope of this article and to include any sort of forced labour within its meaning and it

12 Union for Democratic Rights V. Union of India, (1982) 3 SCC 235



makes no difference whether the labour is paid the remuneration or not, if it is against his

will and wish then it clearly falls within the ambit of this article.

i. This forced labour may arise out of some physical force which may compel a person to

provide his service to another, or it may be exerted through a legal provision such a

provision for imprisonment or fine in case the employee fails to provide labour or it may be

compulsion out of hunger or poverty etc.

2. Bandhua Mukti Morcha v. Union of India13

The main issue concerned the existence of bonded labour in the Faridabad stone quarries near

the city of Delhi. It was alleged that majority of the workers were compelled to migrate from

other states, and turned into bonded labourers. The workers were living in sub-human and

miserable conditions. A violation of various labour laws and the Bonded Labour System

(Abolition) Act 1976 was alleged. The SC stated that before a bonded labour can be regarded as

a bonded labourer, he must not only be forced to provide labour to the employer but he must

have also received an advance or other economic consideration from the employer, unless he is

made to provide forced labour in pursuance of any custom or social obligation or by reason of

his birth in any particular caste or community. Whenever it is shown that a labourer is made to

provide forced labour, the court would raise a presumption that he is required to do so in

consideration of an advance or other economic consideration received by him and he is,

therefore, a bonded labourer. But unless and until satisfactory evidence is produced for

rebutting this presumption the court must proceed on the basis that the labourer is a

bonded labourer entitle to the benefit under the provision of the Bonded Labour System

(Abolition) Act, 1976. The courts also recognized the right of bonded labourers to live with

human dignity. It read the Directive Principles of State Policy into article 21 of the constitution

to make the right to live with human dignity fruitful to the working class of the country.

3. Neerja Choudhary v. State of MP.14

13 Bandhua Mukti Morcha v. Union of India, AIR, 1984, SC 802 14Neerja Choudhary v. State of MP, AIR 1984 SC 1099, 1984 (2)



The main issue in this case related to the effective rehabilitation of the released bonded labourers.

The petitioners alleged that even after a lapse of a long time 135 labourers of the Faridabad stone

quarries were not rehabilitated. They further alleged that it was the obligation on the part of the

state government to rehabilitate the bonded labourers according to the provisions of the

Bonded Labour System (Abolition) Act 1976 and it is the fundamental right of the

bonded labourers under article 21 of the constitution. The petitioners therefore prayed for a

direction to the state government to take steps for the economic and social rehabilitation of

the labourers who were released from the shackles of bondage. The SC said that the plainest

requirement of article 21, 23 that the bonded labourers must be identified and released and on

release, they must be suitably rehabilitated. The act has been enacted with a view to ensuring

human dignity to the bonded labourers and any failure of action on part of the state government, in

implementing the provisions of this legislation would be the clearest violation of article 21, 23 of

the Constitution. The courts also said that it is not enough merely to identify and release

bonded labourers, but it is equally important that after identification and release, they must be

rehabilitated, because without rehabilitation, they would be driven by poverty, helplessness and

despair into serfdom once again.

4. P. Sivaswamy v. State of A.P15

The courts found that the rehabilitation money payable under the Bonded Labour System

(Abolition) Act, 1976 came down to Rs. 738/- per family. The Court observed that the assistance

was certainly inadequate for rehabilitation and unless there was effective rehabilitation the purpose

of the Act would not be fulfilled. Up-rooted from one place of bonded labour conditions the

persons are likely to be subjected to the same mischief at another place, the net result being that the

steps taken by the Supreme Court would be rendered ineffective.

5. Balram and others v. State of M.P16

The main issue was to determine whether the state and central governments had given the benefit

of the scheme framed under the Bonded Labourers Act (whereby each bonded labourer was to be

paid Rs. 6, 250/- as rehabilitation money) to some 3949 labourers in the state. The court directed

15P. Sivaswamy v. State of A.P, AIR 1988 S.C. 1863 16 Balram and others v. State of M.P



that the Additional Collector and such, other officers who have been assigned the responsibility of

supervising rehabilitation to ensure that the full amount intended for the freed labourers reaches

them. Therefore, all such persons who were willing to have an account opened in their respective

names for facilitating credit of the amount in such account shall have accounts opened and the

money shall be credited in such accounts. The Union of India was also directed to release adequate

funds under the Scheme to meet the liability under the Scheme framed under the

Bonded Labour System (Abolition) Act, 1976 within four weeks to enable compliance of the

directions now made. Similar directions were also issued to the State of Madhya Pradesh.



CHAPTER 6

CENTRALLY SPONSORED SCHEME AND REHABILITATION

With the commencement of the Bonded Labour System (Abolition) Act, 1976, the bonded labour

system in India has been abolished and bonded labourers were given the right to be free from any

obligation to render bonded labour. Any custom, agreement or other instrument by virtue of

which a person is required to render any service as bonded labour became void. And liability to

repay bonded debt got extinguished by virtue of this Act. The Act also empowered the

authorities to get the mortgaged property of the bonded labourers freed. District Magistrates have

been entrusted with certain duties and responsibilities for implementing the provisions of this

Act. Vigilance committees at district and sub-division level are required to be constituted to

monitor the identification and rehabilitation of the bonded labourers.

Rehabilitation of the identified and freed bonded labourers is an important issue.

Ministry of Labour and Employment, Government of India launched a ‘Centrally Sponsored

Scheme’ in 1978 in order to assist the State Governments in the rehabilitation of the released

bonded labourers.

Under this scheme, all proposals for the rehabilitation of the bonded labours used to be

scrutinised and approved by the Director General of Labour Welfare, Ministry of Labour and

Employment, GoI but this caused delay in implementation.

It was therefore, decided in 1983 that screening of the bonded labour rehabilitation proposals

would be done by District/State Level Screening Committees and sanctioned by the State

Governments concerned.

A. REHABILITATION GRANT PROVIDED BY CENTRAL GOVERNMENT

In order to assist the State Governments in their task of securing physical and psychological

rehabilitation of released bonded labourers, the Ministry of Labour launched a Centrally

Sponsored Scheme on 50:50basis in May 1978. The scheme has undergone qualitative changes



from time to time and has been progressively liberalized. The rehabilitation assistance has since

been enhanced from Rs. 10,000/- to Rs. 20,000/-per bonded labourer w.e.f. May, 2000 and in the

case of seven North 10 Eastern States, 100% central assistance if they express their inability to

provide their share. The modified scheme also provides for financial assistance to the State

Governments/UTs for conducting survey of bonded labourers, awareness generation activities

and impact evaluation. Detailed guidelines have been issued to the State Governments for

implementing the scheme. The State Governments have also been advised to integrate/dovetail

the Centrally Sponsored Scheme for rehabilitation of bonded labourer with other ongoing

poverty alleviation schemes such as Swarna Jayanti Gram Swaraj Rozgar Yojana (SJGSRY),

Special Component Plan for Scheduled Castes, Tribal Sub Plan etc.The problems of contract and

migrant bonded labour are one of the most complex and sensitive. As a matter of fact, it is this

problem which has become the subject matter of large number of public interest litigations

before the Hon’ble Supreme Court and High Courts. The Bonded Labour System (Abolition) Act

was amended in April, 1985 by adding an explanation to Section 2 and bringing contract and

migrant labour within the purview of the Act if such labourers meet the ingredients of bonded

labour system as defined in Section 2(g) of the Act. The modus operandi of recruitment of

contract/migrant labour is as under:-

- on the eve of the season (say brick kilns) recruiting agents are deputed by the principal

employer to recruit contract/migrant labour from one part of the territory of India to another;

- the recruiting agents pay advances to the labourers and bring them to the worksite usually with

family members with promises and allurements of good wages and better conditions of work;

- the documentary evidence in support of payment of advances remains with the recruiting

agents; the contents are never shared with the workmen;

- the promises are never kept;

- no sooner the workmen arrive at the worksite they are subjected to ruthless exploitation;

- the working hours are unduly long;

-there is no weekly off; no payment of any OT for work in excess of the stipulated working hours

i.e. 8 hours a day and 48 hours a week;

- no wages are paid and the workmen continue to incur advances for their day to day biological

survival;

- advances paid are adjusted against wages due in a unilateral, arbitrary and unjust manner;



- statutory entitlements like journey allowance, displacement allowance and wages during

journey period are never paid;

- the workmen will all along be told, ‘you cannot leave the worksite until and unless the

advances paid to you are fully liquidated’;

- the workmen have no clue as to when the advances will be fully liquidated since they have no

access to the documentary evidence in support of payment of advance which is with the

recruiting agents only;

- thus the contract/migrant workmen come fully within the purview of bonded labour system as it

occurs within the meaning of Section2(g) of BLS(A) Act.

Accordingly, the rehabilitation package provided by the concerned State Governments for

the freed bonded labourers includes the following major components:

Allotment of house-site and agricultural land;

Land development;

Provision of low cost dwelling units;

Animal husbandry, dairy, poultry, piggery etc.;

Training for acquiring new skills; developing existing skills;

Wage employment, enforcement of minimum wages etc.;

Collection and processing of minor forest products;

Supply of essential commodities under targeted public distribution system;

Education for children

B. CHANGES IN THE ‘CENTRALLY SPONSORED SCHEME’ BASED ON ITS

DRAWBACKS

The said Plan Scheme has been drastically modified in May 2000 to provide for 100 per cent

assistance for conducting district wise surveys for identification of bonded labour, awareness

generation activities, and evaluatory studies.

An amount of Rs.793.00 lakh has been released up to 31.03.2012 to the State Governments

for conducting survey of Bonded Labour, evaluatory studies and awareness generation.

Further, in the case of North-Eastern States, 100 per cent rehabilitation grant is provided in

case they fail to provide their matching contribution.



Besides, the State Governments have also been advised to integrate/dovetail the Centrally

Sponsored Scheme for rehabilitation of bonded labour with other ongoing poverty

alleviation schemes.

A Special Group has been constituted under the Chairmanship of the Secretary (Labour and

Employment) to review the implementation of the Bonded Labour System (Abolition) Act,

1976.

C. COMPONENTS OF THE SCHEME FOR REHABILITATION OF BONDED

LABOUR

The Centrally Sponsored Scheme for rehabilitation of bonded labour has the following

components:

Each State Government is required to identify sensitive districts where bonded labour

system has taken deep roots, find reasons for the existence of the system and suggest

remedial measures.

Conduct surveys on a regular basis – to find incidence of bondage, causes and forms of

bondage, etc.

Government of India provides a sum of Rs. 2 lakh per district to conduct such surveys. This

amount is provided to a particular district once in 3 years.

An annual grant of Rs.10 lakh per State Government is provide for awareness generation

purposes.

Each State Government is required to conduct five Evaluatory Studies in 5 districts/regions

of the State every year through reputed research organizations/ academic institutions/ NGOs.

Rehabilitation grant has been enhanced from Rs. 10,000/- to Rs. 20,000/- per freed bonded

labourer, which is to be shared by the Central and State Government on 50:50 basis. Out of

this, Rs. 1000/- are required to be paid immediately on release of a bonded labourer as

subsistence allowance.



CHAPTER 7

Central State Responsibility for Abolition of Bonded Labour

Labour Laws fall in the Concurrent List of the Constitution of India. Thus, both Centre and

States can legislate and enforce labour laws. There are 43 central labour laws enacted by the

Central Government concerning different aspects of labour. 12 of these laws are enforced

by the Central Government, 16 by both Centre and the State Governments and 15 laws by

the State Governments. There are also about 91 state labour laws enacted and enforced by

the State Governments in their respective domain

The Centre and state governments share responsibility for protecting bonded child labourers.

Their most basic obligations are to prevent children from becoming bonded in the first place,

to remove those who are from bondage, and to prevent them from becoming bonded again

A. DISTRICT, STATE, AND NATIONAL RESPONSIBILITY FOR BONDED LABOUR

States are responsible for enforcing the Bonded Labour System (Abolition) Act, 1976, and

do so through their district magistrates, in some states called district collectors or deputy

commissioners, who are directed to form bonded labour "vigilance committees." The central

government is responsible for ensuring that states enforce the act and that the vigilance

committees are formed. The central government funds state surveys of bonded labour,

evaluations of the bonded labour law's implementation, and public awareness campaigns, It

also provides half of the funds for rehabilitation assistance, which is currently set at a total

of Rs. 20,000 (U.S.$417) per bonded labourer.

District magistrates are appointed civil servants and are the top authorities at the district

level. They oversee government administration, including the administration of justice, and

some fifty to sixty distinct departments. Their wide array of duties includes identifying cases

of bonded labour in their districts, freeing the labourers, initiating prosecutions, making sure

available credit sources are in place so that freed labourers will not be forced into bondage

again, The DM/DC Would also formulate suitable schemes for the Rehabilitation of freed



Bonded labourers Land Based, Non Land Based and Skill-Craft Based Occupation, keeping

in View the Preference, felt need and Interest of the Beneficiaries and constituting and

participating in the vigilance committees. The vigilance committees are charged with

advising the district magistrate to ensure that the bonded labour law is properly

implemented; providing for the economic and social rehabilitation of freed bonded

labourers; coordinating the functions of rural banks and cooperative societies to help ensure

freed bonded labourers have access to credit monitoring "the number of offences of which

cognizance ought to be taken under the act"; and defending freed bonded labourers against

attempts to recover the bonded debt: The District magistrate is to constitute and participate

in the functioning of a district-level "vigilance committee." The statutory functions of this

committee are:

(a) To advise the District Magistrate as to the efforts made, and action taken, to ensure that

the provisions of this act are properly implemented;

(b) To provide for the economic and social rehabilitation of the freed bonded labourers;

(c) To coordinate the functions of rural banks and cooperative societies with a view to

canalizing adequate credit to the freed bonded labourers

(d) To keep an eye on the number of offences of which cognizance has been taken under the

act;

(e) To make a survey as to whether there is any offence of which cognizance ought to be

taken under the act;

(f) To defend any suit instituted against a freed bonded labourer or a member of his family...

for the recovery of the whole or part of any bonded debt.

References to rehabilitation of freed bonded labourers occur twice in the Bonded Labour System

(Abolition)Act .Once in reference to the district magistrate's duty to "secure and protect the

economic interests" of the bonded labourer (Sec. 11), and once in stipulating the vigilance

committees' duty to provide for the "economic and social rehabilitation" of the bonded labourer



(Sec. 14). The act itself, however, does not specify of what this rehabilitation should consist and

left implementation of rehabilitation up to the state governments, and largely dependent on the

initiative of District Magistrates. The Central Government takes appropriate action on National

Human Rights Commissions reports or references on rescued bonded labourers for release of

central assistance to the concerned State Government under the scheme.



CHAPTER 8

ROLE OF NATIONAL HUMAN RIGHT COMMISSION

A. CENTRAL ACTION GROUP

The Apex court in its order dated 11-11-1997 in PUCL V/S. State of Tamil Nadu & Others has

directed that the National Human Rights Commission (NHRC) to be involved in the supervision

of the issue relating to bonded labour

In pursuance to the above order, a Central Action group has been constituted in the NHRC. This

Group, with the collabouration of the ministry of Labour & Empowerment, is holding

Sensitization workshop on bonded labour at state Headquarter to sensitize the District Magistate

and other functionaries dealing with identification, release and rehabilitation of bonded labour.

B. GUIDELINES ISSUED BY NHRC ON BONDED LABOUR

The National Human Right Commission convened a National Workshop on Elimination of

bonded labour system and Child labour on 27th june 2007 at India Habitat Centre under

The Chairmanship of Hon’ble Justice Shri S Rajendra Babu,Chairperson ,NHRC. The

Representative approx from all the states and UTs took part in the National Workshop.

On the basis of detailed deliberation, some guidelines emerged for implementation by the

concerned authorities of the States/Central Government on which the state government had to

give response to NHRC as to what extent the guidelines have been implemented:

1. Art 23 of the Constitution prohibits all forms of forced labour including begar. It makes no

difference whether the person who is forced to give his labour or service to another is

2. remunerated or not.

3. When a person provides labour or service to another for a remuneration, which is less than

minimum wage, the labour or service provided by him falls within the scope and ambit of

forced labour under Art 23.



4. An intensive survey of the areas, which have been traditionally prone to the system of debt

bondage, should be undertaken by the Vigilance Committees with the assistance of the

social action groups operating in such areas.

5. Social action groups operating at the grass root level should be fully involved with the task

of identification and release of bonded labourers.

6. Officers who are posted at different levels to deal with the problem of bonded labour should

be properly trained and sensitized so that they may develop a sense of involvement with the

misery and suffering of the poor.

7. Every officer who is placed in charge of identification, release and rehabilitation of bonded

labourers should be made fully conscious of his/her responsibilities. He/she should be

imbued with a sense of purpose and dedication, which is necessary for successful

accomplishment of the task. There must be a sense of urgency and seriousness of concern in

regard to the speed of rehabilitation among the officials who have been made responsible for

the same.

8. A release certificate to each of the bonded labourers so released would be issued forthwith

by the concerned Collector/DM or the SDM or the Executive Magistrate vested with powers

of a judicial magistrate. The certificate which should be in the local language only (and not

in English) should be handed over to the persons so released simultaneously.

9. The State Government must rehabilitate the released bonded labourers on permanent basis.

10. Adequate funds should be released under the scheme framed under the Bonded Labour

System (Abolition) Act for rehabilitation of all released bonded labourers.

11. The Collector with such other officers who have been assigned the responsibility of

supervising implementation of the rehabilitation scheme shall ensure that the full amount

intended for the freed labourers reaches them.

12. A large number of prosecutions are pending at various stages, they should be carried to their

logical conclusion in the shortest possible time.

13. Section 21 of Bonded Labour System (Abolition) Act, 1976 provides that the offences are to

be tried by Executive Magistrates. The State government may confer, on an executive

Magistrate, the powers of a Judicial Magistrate of the first class or of the second class for the

trial of offences under this Act; and, on such conferment of powers, the Executive

Magistrate on whom the powers are so conferred, shall be deemed, for the purposes of the



Code of Criminal Procedure, 1973, (2 of 1974), to be a Judicial Magistrate of the first class,

or of the second class, as the case may be. An office under this Act may be tried summarily

by a Magistrate

14. The provisions of SC/ST (Prevention of Atrocities) Act, 1989 wherever victims of bonded

labour system are SC/STs should be stringently applied.

15. The following registers are required to be maintained for the record of bonded labourers:

(a) a register containing the names and addresses of the freed bonded labourer (s);

(b) a register containing statistics relating to the vocation, occupation & income of every

bonded labourer;

(c) a register containing the details of the benefits which the free bonded labourers are

receiving including benefits in the form of land, inputs for agriculture, training in handicrafts

and allied occupations, loans at differential rates of interest of employment in urban or non-

urban areas; and (d) a register containing details of cases under sub section (6) of section 6,

sub section (2) of section 8, Sub Section (2) of Section 9, Section 16, Section 17, Section 18,

Section 19 & Section 20.

16. Similarly migrant workers, according to the spirit of the directions given by the Supreme

court in series of judgements, are to be asked as to where they would like to be rehabilitated

i.e. at the originating point or at the destinations State. They cannot just be despatched to

their native states and left in the lurch there, which would be violative of the letter and spirit

of Supreme Court judgment.

17. There is a provision for payment of immediate financial relief of Rs.1000/- to each identified

and released bonded labourer. This financial assistance is extremely important because it

relieves the bonded labourer of his immediate financial hardship. It may be ensured that this

immediate financial relief is paid to each released bonded labourer. NHRC had earlier

directed the State Governments to issue instructions under TR-27.

18. A comprehensive list showing complete details such as residential address of the State of

origin etc. may be prepared in respect of those bonded labourers who were identified in the

State, but were sent to their originating State for rehabilitation. A copy of the list may be

forwarded to the NHRC as well as to the Labour Commissioners of the States to which they

originally belonged.



19. Severe punishment must be meted out to brokers and middlemen who traffic child labour and

export children to other States. A dedicated Control Room needs to be set up at the State

Headquarters. A flying squad for providing protection to field level functionaries and NGOs

engaged in the release operations should also be attached to the Control Room.

C. NHRC CASES ON BONDED LABOUR

1. Release of Bonded Labourers and their Rehabilitation: Punjab.(Case No. 663/19/1999-

2000)

The Commission took suo-motu cognizance of a press report which appeared in the ‘Indian

Express’ dated 17 December 1999 entitled "84 Bonded Labourers Freed, Narrate Shocking

Tales of Torture, Molestation". In the press report, it was stated that 84 bonded labourers, who

were freed from a cold storage construction site, stated that they were beaten and were given

third degree treatment. The woman workers alleged rape and molestation. None of the

workers were paid their wages.

The Commission directed the Director General of Police, Punjab and the Senior

Superintendent of Police, Jallandhar to send reports to the Commission on this article. The

latter responded saying that one Mohan Singh, who was constructing a cold storage, was

providing labourers with clothes, food, free accommodation and Rs. 600 per month. The

labourers, however, had stated that they had been working for the last four months and were

not given wages because the owner had promised to pay them when they returned to their

native places. When the Sub Divisional Magistrate, Shahkot and Station House Officer, Police

Station, Shahkot visited the spot, the labourers told them that they did not wish to work with

the cold-storage owner as his behaviour was insulting. A woman labourer, named Saloni

stated that one Pappu had beaten her husband and locked him in a room. The owner could not,

himself, be contacted. However, his employees agreed to pay the wages to the labourers. The

report added that the Labour Inspector had been directed to ensure the payment of wages to

the labourers so that they might go wherever they wanted. The labourers had been brought to

the office of the Sub Divisional Magistrate where food had been arranged for them. The



labourers were then set free and they went back to their homes. The report concluded by

saying that a case, FIR No. 236 dated 15 December 1999, had been registered under section

16, 17 of the Bonded Labour System (Abolition) Act and under Sections 342/323/354 of the

Indian Penal Code.

2. NHRC’s Initiative Results in the Release of Bonded Labourers: Haryana(Case No.

513/7/98-99)

The Commission received a complaint from Prof. Sheotaj Singh, General Secretary of

the Bonded Labour Liberation Front, Delhi alleging that 20 persons including men, women

and children were being kept as bonded labourers in a stone quarry in Gurgaon, Haryana.

According to the complaint, though the Sub Divisional Magistrate of the area had visited the

site and admitted that minimum wages were not being paid to the labourers, he had refused to

issue release certificates to them.

On 21 September 1999, the Commission directed the Chief Secretary, Haryana, to look into

the matter and submit a report. The report stated that the complaint of Prof. Sheotaj Singh

alleging non-release of the bonded labour was false.

The Special Rapporteur of the Commission, Shri Chaman Lal, was asked to look into the

matter. He recommended that the Commission’s own investigation team should meet the

bonded labourers who were now living in Jaipur district in order to ascertain the facts.

Accordingly, an investigation team of the Commission, visited Durgapura, 10 kilometers

away from Jaipur city where about 29 persons including 10 children were found camping in

the open. Balkar Singh lured them to work in a stone quarry, offering them attractive wages.

After a year, they were denied payment of wages and in lieu of wages, arrangements were

made with a local general merchant to provide them daily rations on credit. When the

labourers objected and demanded full wages, they were forcibly confined in their hutments

after working hours and were guarded by armed musclemen. In August 1999, they somehow

managed to establish contact with Prof. Sheotaj Singh. When word spread that Prof. Singh

had lodged a complaint, labourers were made to put their thumb impressions on papers of

agreement declaring that they had received Rs.5,000 each towards the settlement of their

wages. This was done in the presence of the local Sub Divisional Magistrate and police

officials. The money was, however, not given to the labourers and, instead, it was adjusted



against the items taken by them from the local merchant. In the third week of September

1999, they were transported away from Haryana, escorted by policemen, and later dumped in

the outskirts of Jaipur city. The Sub Divisional Magistrate, when questioned by the team of

the Commission, reiterated that the issue related to a wage dispute in which he had worked

out a compromise and that, to avoid any further chance of exploitation, he had made

arrangements for the transportation of the labourers to Jaipur on their request. He claimed

ignorance of the legal interpretation of the Supreme Court verdict wherein the word "bonded

labour" had been given a wider interpretation, covering all cases where wages paid to the

labourers was less than the minimum fixed by the Government. However, after discussions

with the officials of the Commission, the district officials dispatched 19 Release Certificates

to the Commission to be handed over to the labourers. They were rehabilitated in Sanganer

and were permanently settled under Indira Awas Yojna.

3. 400 Bonded Labourers Working in Chauna Stone Mines, District Gwalior Madhya

Pradesh [Case No:1351/12/2001-2002(FC)]

The Commission received a complaint from one Butan son of Pitam residing in Madhya

Pradesh that was forwarded by Prof. Sheotaj Singh, Bonded Labour Liberation Front alleging

that about 400 bonded labourers had been working in Chauna Stone mines in District Gwalior

and they were not paid their wages; besides they were tortured and harassed.

On consideration of the report submitted by Shri Chaman Lal, Special Rapporteur, NHRC, the

Commission asked the Government of Madhya Pradesh to direct the Labour Commissioner,

Madhya Pradesh to ensure a comprehensive inspection of these establishments and also to

ensure strict enforcement of all Labour Law, particularly, the Minimum Wages Act.

On perusal of the report submitted by the Labour Commissioner, Madhya Pradesh, the

Commission observed that the District Administration had freed Butan along with 43 other

persons on 9 July 2002 and all of them had been sent to District Guna as per their wishes. The

report was however silence as to what action was taken against the persons with whom Butan

and 43 others were engaged as bonded labourers and about the relief and rehabilitation

measures that had been taken for the freed bonded labourers. The Commission, therefore,

further asked the Government of Madhya Pradesh to furnish the information with regard to

the manner in which action had been taken regarding Butan and 43 others as indicated above.



In a subsequent report, Labour Department, Government of M.P. spelt out the steps taken by

the Government of Madhya Pradesh for rehabilitation of bonded labourers freed in July 2002

and also indicated the action taken against the guilty employers.

On consideration of the report, the case was closed by the Commission.



CHAPTER 9

FAILINGS OF THE CURRENT SYSTEM

Corruption

Owing to widespread corruption within the law enforcement agencies and their close nexus

with city based criminal gangs engaged in human trafficking, rescuing the children fallen prey

to human trafficking is literally impossible.

Delayed Process of Rehabilitation

The Ministry of Labour, Government of India had initiated a Centrally Sponsored Scheme under

which Rs.20,000 is provided for the rehabilitation of each bonded labourer, to be equally

contributed by the Federal and the State government. But, by and large, the process of

rehabilitation is frequently delayed, particularly in the case of inter-state bonded migrant

labourers, and the degree of concerted convergent action required on the part of the

administration is rarely forthcoming.

Weak Enforcement of Labour Laws

Persistence of bondage is a consequence of weak enforcement of labour laws and the laws of the

land. India has a plethora of labour legislation regulating the conditions of work of contract and

migrant labour, prohibiting child labour in hazardous industries, and for minimum wages. But

these remain in large part unimplemented. More significantly, in case after case, there is

violation of the fundamental human rights of workers, which are enshrined in the Constitution.

Lack Of Responsible Authority

On paper, the vigilance committees look good. But they are packed with people who belong to

the ruling party. It is a status symbol to be a member. Every district collector has learned that to

form a committee, he has to consult with the [party] Secretariat. Even S.C./S.T.s [Scheduled

Caste and Scheduled Tribe members] will still belong to the ruling party so they toe the line.



Government Failure:

On paper, the government has developed a wide array of laws and policies on bonded labour

and child labour, which in theory should protect bonded children. In practice, these are never

implemented for most bonded children. Without effective enforcement of either bonded labour

or child labour laws, children in bondage-the most vulnerable of all working children-are

without recourse. police in some cases are reported to have forcibly returned bonded children

to their masters. Denial at all levels of government that children are bonded and the consequent

failure to apply the bonded labour law for children creates a fundamental barrier to freeing and

rehabilitating children in bondage.

Parents Failure to Pay Debts

Usually a parent takes several thousand rupees in loans and lets the child work to repay them-

it's a kind of bonded labour. Just to repay the debt is technically bonded labour . If they borrow

money, it has to be repaid. There is a quid pro quo. So unless there is a physical instrument, it

can't be classified as bonded labour. Technically, underpayment is bonded labour, but they

don't complain and unless they complain, it can't be identified.

Inefficient Data Collection System

The Indian government has failed to collect even remotely accurate information on bonded

labour. There is no reliable official data for India as a whole on how many bonded labourers

there are or what states have done, or failed to do, about it. The statistics that are maintained

indicate how little bonded labourers are being protected. The central government relies on data

supplied by the state officials.

Lack of Political will

Eradicating bonded child labour requires not just strong law but also the political will to

implement it. The caste and class bias, apathy, and corruption, and a lack of accountability for

these are reason behind the raising graph of bonded labour.



CHAPTER 10

CONCLUSION AND RECOMMENDATION

RECOMMEDATIONS-

1. Mere release from bondage may not serve the desired purpose unless it was accompanied by

immediate and effective steps for rehabilitation by implementing the 15 components of

rehabilitation as have been set out in the letter dated 2nd September 1982 addressed to the

various governments.

2. Considering the fact that a majority of the quarry workers are inter-state migrant workmen from

Rajasthan, Uttar Pradesh ,Madhya Pradesh and Bihar and that a majority of them fall in the

category of landless agricultural labourers and would like to go back to their native states if

assured of plot of land for both homestead and agricultural purposes, it may be necessary to

issue specific directions to the governments of these states for rehabilitation of the freed bonded

labourers in land –based schemes.

3. Release from bondage and rehabilitation should be simultaneous, so that there is no occasion

for the freed bonded labourer to relapse into debt bondage. The concerned state governments

should initiate immediate necessary action and keep the schemes of rehabilitation ready, so that

the same can be implemented as soon as the labourers are released and sent back to their

respective states.

4. The Labour Departments of the originating states (Rajasthan, Madhya Pradesh, Uttar Pradesh

and Bihar) should depute senior officers of the Department to visit the work sites every now

and then and enquire about the health, safety and welfare of the inter-state migrant workmen

from their respective states.

5. These officers should, after ascertaining about accidents causing death or serious bodily injury

help in filing claims before the Commissioner .The dependants of the deceased /injured

workman being ignorant, poor, illiterate, the Labour Department of the originating state should

bear the entire expenditure for adjudication of such claims which are likely to be contested by

the jamadars/thekedars.

6. One important recommendation is introduction of a system of direct payment by the mining

lessees to the workmen through their representatives and not through any thekedar/jamadar.



This will ensure not only elimination of middlemen but will also save the workmen from

illegal, unauthorized and arbitrary deductions which are being resorted to by the middlemen.

7. At present, there is no uniform rate at which the workmen are paid. They are paid differently at

different places, It is necessary that the appropriate government should fix these rates.

8. Immediate steps should be taken to avoid any kind of unnecessary and illegal deductions from

the wages of the workers.

9. The district collector must comply with the directions of the Union Labour ministry .Identity

cards with photos and releasing certificates should be issued to the freed workmen.

10. The statutory registers should be maintained properly containing the name of the released,

rehabilitated labourers, the number of prosecution which have been launched and the result of

these prosecutions.

11. The present administrative arrangements are not enough for the implementation of the Act .The

Ministry of Labour supervises the implementation of the Act but not monitor the progress

regularly .Thus the Act should be amended to constitute National Bonded Labor Advisory

Board for the better implementation of the Act and to supervise its progress as well.

12. District level bonded labour cells should be created with sufficient staff entrusted with the task

of implementation of the Act.

13. There should be a transformation of the Socio Economic conditions of the labourers by

bringing about changes in the agrarian structure and social relationships in the rural area. There

should be complete abolishment of zamindari system.

CONCLUSIONS:

The bonded Labour system (Abolition) Act was enacted in 1976.Twenty years later, Human Rights

Watch has found that the goals of this law –to punish employer of bonded labour and to identify,

release, and rehabilitate bonded labourers have not been met. The bonded labour system continues

to thrive. The district –level Vigilance committees, mandated by the Bonded Labour system

(Abolition) Act and constituting the key to the enforcement of the act have not been formed in most

districts. Those that have tend to lie dormant or, worse yet, are comprised of members

unsympathetic to the plight of bonded labourers. Whether for lack of will or lack of support, India’s

district collectors have failed utterly to enforce the provisions of the Bonded Labour system

(Abolition) Act. The mandate rehabilitation of released workers is essential. Without adequate



rehabilitation, those who are released will quickly fall again into bondage. This has been

established repeatedly, among both adult and child bonded labourers. Nonetheless, the central and

state governments have jointly failed to implement the required rehabilitation procedures.

Rehabilitation allowances are distributed late, or are not distributed at all, or are paid out at half the

proper rate, with corrupt officials pocketing the differences. One government appointed commission

found that court orders mandating the rehabilitation of bonded labourers were routinely ignored.

Finally the Bonded Labour System (Abolition) Act directs vigilance committees and district

collectors to institute savings and credit programmes at the community level, so that the

impoverished might have access to a small loan during financial emergencies. Nearly every child

interviewed by Human Rights Watch told the same story, they were sold to their employers because

their parents were desperate for money and had no other way to get it. The eradication of Bonded

Labour in India depends on the Indian government’s commitments to two imperatives: enforcement

of Bonded Labour System (Abolition) Act and the creation of meaningful alternative for already –

bonded labourers and those at risk of joining their ranks. In addition it is essential that non-

governmental organizations be encouraged by the government to collaborate in this effort.



QUESTIONNAIRE

1. Give the current statistics of bonded labour in your district under the following heads:

(a) different areas of employment* in which most number of bonded labourers are

identified.

(b) number of bonded labourers pertaining to all those areas of employment*

2. How many labourers have been rescued and rehabilitated? Have the bonded labourers been

asked where they would like to be rehabilitated i.e. to their native state or at the destinations

state?

3. Out of all the bonded labourers rescued, how many were children? If any, how are they

rehabilitated?

4. What rehabilitation plans have you prepared to free the bonded labourers?

5. What kind of rehabilitation is provided to the victims of bonded labour?

6. After rehabilitation, submit a report on the following issues:

(a) the change in the number of bonded labourers identified in all the areas of employment*

(b) relative change in the standard of living of the mitigated bonded labourers.

(c) if the children of bonded labourers have been rehabilitated in compliance with the

direction of the Supreme Court.

7. Are those bonded labourers who belong to SC/ST category being identified? If yes, are the

provisions of section 3(1)(vi) of ST/SC (Prevention of Atrocities) Act, 1989 have been

complied with?

8. Has the immediate relief fund of Rs.1000 been paid to the identified bonded labourers in

accordance with the centrally sponsored scheme?



9. Were the release certificates handed over to the released bonded labourers in their local

language?

10. Has the Vigilance Committee been constituted in all the districts of the state pursuant to

section 13 of the BLSA Act, 1976? If no, then state the reasons. How often is the survey

conducted by the Vigilance Committee as required under section 14 (i)(e) of the BLSA Act,

1976 on bonded labourers?

11. How frequently does the Vigilance Committee meet to examine the cases involving a

review of the present status of already-rehabilitated bonded labourers, fresh plan for

rehabilitation of identified bonded labourers and close monitoring of the bonded labour-

prone areas/ industries etc.? What kind of supervision is being exercised over the activities

of the Vigilance Committee?

12. Whether the district Vigilance Committees are maintaining the following registers as

required under rule 7(a) and 7(c) of Bonded Labour System (Abolition) Rules:

(a) a register containing the names and addresses of the freed bonded labourer (s);

(b) a register containing statistics relating to the vocation, occupation & income of every

bonded labourer;

(c) a register containing the details of the benefits which the free bonded labourers are

receiving including benefits in the form of land, inputs for agriculture, training in handicrafts

and allied occupations, loans at differential rates of interest of employment in urban or non-

urban areas.

13. Whether licensing officers have been appointed for various districts under section 7 of the

Inter-State Migrant Workmen Act. State their names and jurisdiction.

14. How many contractors have obtained licenses in various districts pursuant to section 8 of

Inter-State Migrant Workmen Act?



15. How many licenses of the contractors have been cancelled for non-compliance of statutory

provisions?

16. Whether state government has appointed inspector under section 20 of Inter-State Migrant

Workmen Act. If yes, give their names and jurisdiction.

17. Whether the state government has appointed inspecting staff under section 28 of Contract

Labour Act. If yes, give names and jurisdiction of such staff members.

18. Whether the state government has appointed officers under section 20 (3) to satisfy itself

that the provision of the act are being complied with in respect of the workmen belonging to

your state.

19. Whether state government has appointed inspector under section 19 of the Minimum Wages

Act. If yes, give names and jurisdiction of such inspectors.

20. Has a comprehensive list showing complete details such as residential address of the State

of origin etc. been prepared in respect of those bonded labourers who were identified in the

State, but were sent to their originating State for rehabilitation?



BIBLIOGRAPHY

BOOKS REFERRED:

The Bare Act of The Bonded Labour System (Abolition) Act, 1976

The AIR Manual (Civil and Criminal) 6th Edition, Volume 10, by Manohar & Chitaley,

All India Reporter Pvt Limited, Nagpur

The Indian Penal Code, Ratanlal and Dhirajlal, 29th Edition, Wadhwa & Co., Law

Publishers, New Delhi

Understanding and Eradicating Bonded Labour in India, by Kiran Kamal Prasad, Jana

Jagrati Prakashna

Labour and the Law, by S. K. Singh, Deep & Deep Publications, New Delhi

Liberation from Bondage, Volume 1, Volunteers for Social Justice

INTERNET LINKS:

http://pib.nic.in/newsite/erelease.aspx?relid=89872

http://www.hrw.org/reports/2003/india/india0102-05.htm

http://nhrc.nic.in/documents/speech_2012_10_25.pdf

http://labour.nic.in/upload/uploadfiles/files/Divisions/coordination/Final%20Notes.pdf

http://tnau.ac.in/eagri/eagri50/AEXT191/lec11.pdf

http://articles.economictimes.indiatimes.com/2012-04-21/news/31378994_1_minimum-

wages-nrega-hundred-days

http://paper.hindustantimes.com/epaper/viewer.aspx

http://labourbureau.nic.in/ILJ_SEP_2013.pdf

http://www.manupatrafast.com/

http://planningcommission.nic.in/reports/sereport/ser/ser_bon0405.pdf

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