PART 1: WORKING CONDITIONS...1

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2 Table of Contents Page No. PART 1: WORKING CONDITIONS WAGES Definition Persons responsible for the payment of wages Fixation of wage periods and time of payment of wages Deductions from the wages Grievance procedure in case of illegal deductions or delay in payment WORKING HOURS AND LEAVES Daily hours Interval for rest and meal Weekly hours Weekly Holiday PAID ANNUAL LEAVE Annual leave with wage Festival holiday Casual leave Sick leave EMPLOYMENT OF FEMALE MATERNITY BENEFITS Maternity leave Procedure of payment of the maternity benefit Amount of the Maternity Benefits Benefits in case of the death of mother EMPLOYMENT OF ADOLESCENT Prohibition of employment of children and adolescent Certificate of fitness Working hours of adolescent Restriction of appointment of adolescent in certain work...9 PART 2: EMPLOYMENT Forced labour Discrimination Service rules Appointment letter and ID card Service book Classification of workers Probationary period Calculation of continuous service Payment of wages for unavailed leave Death benefit Stoppage of work Right of laid off workers Retrenchment Discharge Dismissal Termination...17 i

3 PART 3: OCCUPATIONAL HEALTH, SAFETY AND WELFARE SAFETY Fire Floors stairs and means of access Excessive Weights Safety of building and machineries Fencing of machinery Work on or near machinery on motion Explosive or inflammable dust or gas Precautions against dangerous fumes Personal protective equipment Risk assessment and prevention WELFARE First aid appliances Washing facilities Canteens Shelters/ rest rooms and lunch rooms Rooms for children HEALTH AND HYGIENE Cleanliness Drinking water Overcrowding Lighting Latrines and urinals Dust bins and spittoons...27 PART 4: INDUSTRIAL RELATIONS Unfair Labor Practices from the Part of the Employers Unfair Labor Practices from the Part of the Workmen Determination of the Collective Bargaining Agent (CBA) The Right of the Collective Bargaining Agent Participation Committee Functions of the Participation Committee Meetings of the Participation Committee Implementation of the Recommendation of the Participation Committee Trade Unions Application for Registration and Required Documents for Registration Industrial Dispute Raising of Industrial Dispute Settlement of Industrial Dispute Strike and Lock Out...35 ii

4 PART 1: WORKING CONDITIONS 1.1 WAGES Definition Chapter 10 of the new labor law deals with the provisions related to the wages of the labor. Wages include the following as per section 120 of the new labor law: Any bonus contracted as the condition of the employment; Any payment payable during leave, holiday and overtime; Any amount payable by the order of the court or the award of arbitrator; Any amount payable to the worker arising out of the contract between the owner and the worker after the employment is expired by dismissal, discharge, retrenchment, termination; Any amount payable due to lay off or temporary suspension. The new law has also provided a negative list in section 2(45) of the new labor law in defining the term wages. It excludes the following items from wages: Expense of housing facilities like lighting facilities, water supply, medical or any other facilities; Owners contribution to the provident fund of the worker; Traveling allowances or concession thereof; Any other sum paid to worker to cover any special expenses entailed to him by the nature of the employment. But, from different decisions of the courts of Bangladesh, the following items are also treated as part of the wages of a worker: Any amount payable to the worker by the order of the court or the award of the arbitrator shall be treated as the wages; Overtime allowance shall be treated as wages; Compensation on retrenchment (on ground of redundancy) shall be treated as wages; Allowance during Lay off or temporary suspension shall be treated as wages; Increment shall be treated as wages; Compensation at the expiry of the employment by any means like dismissal, discharge or otherwise shall be treated as wages; Gratuity on discharge or any other gratuity shall be treated as wages; House rent allowances shall be treated as wages; Wages during leaves and holidays. 1

5 Changes in the present law: 1. Previous law excluded the gratuity on discharge from the wages of a worker but the new law includes it as part of the wages. 2. The word gratuity was never defined anywhere in the previous labor law but the new law defines it properly in section 2 (10) where it is defined as the amount of the wages of at least 30 days payable to a worker who worked in a factory not less than 6 months at the expiry of his employment. 3. Previous law provided only the exclusion list with the definition of the wages but the present law provides both the inclusion and exclusion list to make a complete sense. 4. Provident fund is considered to be the wages and is payable within 30 days of the expiry of the employment Persons responsible for the payment of wages Under the new law the following persons shall be responsible for the payment of the wages of the worker. Owner of the factory; Chief Executive Officer (CEO); Manager/person assigned responsible by the company; The Contractor, in case of worker appointed by the contractor. Changes in present law: In case of the failure of the contractor to pay the wages to the worker, the principal owner shall pay the same and subsequently it can be adjusted with the accounts of the contractor Fixation of wage periods and time of payment of wages The person responsible for the payment of wages of the worker shall fix a period of wages and accordingly pay it as per the time given in the law. Section 122 guides the paymaster to fix a period not exceeding 30 days and section 123 provides that payment shall be made within seven days of the expiry of a wage period. Changes in present law: No significant change has been brought about in this regard Deductions from the wages Section 125 of the labor law 2006 deals with the deductions made from the wages of the workers. Following are the deductions valid under the present law: 2

6 1. Fines under section 25 (section 25 however states that no fine shall be allowed more than one tenth of the total wages receivables by an worker in a particular wage periods and no fine for the worker aged below 15); 2. Deductions for absence from duty; 3. Deduction for damage or loss of goods entrusted upon the worker in his custody; 4. Deduction for house accommodation supplied by the employer; 5. Deduction for such amenities or services supplied by the employer as the government has authorized; 6. Deduction for recovery of advances or for adjustment of overpayments; 7. Deduction for Income tax payable by the worker; 8. Deduction for subscription to and for repayment of advances from the provident fund 9. Deduction for the payment to the co-operative societies approved by the government. Upto these 9 points the new law remains exactly the same as section 7 of the previous Payment of Wages Act 1936, but the new law added more deductions like the following: Deductions for the subscription of CBA Union in check-off method; Deduction for any welfare fund formed by the employer and authorized by the government Grievance procedure in case of illegal deductions or delay in payment Application by the worker himself or his successor in case of his death; Application to the labor court only; Application within 12 months from the date of such illegal deduction or the date of the payment being due, but the court can take it even after the expiry of the said period; Up to 25% as compensation on the wages due at that time may be ordered; No court fees are payable by the aggrieved worker rather if the worker wins the case it is the owner who shall pay the court fees payable; Single application on behalf of all the workers so aggrieved. Changes in present Law: At present, the Chairman of the Labour Courts are only eligible to hear the cases; Previously the limitation period was only six months, now it is twelve months. 3

7 1.2 WORKING HOURS AND LEAVES Daily hours Provisions of the new labor code: Section 100 makes a provision of 8 working hours a day for an adult worker, but an adult worker may work 10 hours a day provided all the conditions of section 108 have been fulfilled. According to that section the employer is required to pay the worker, overtime, double the rate of his/her usual wages. i.e. basic & dearness allowance, if any. The employer is also required to maintain an overtime registrar as per the law. Changes in present law: One hour a day has been decreased for the calculation of daily hours Interval for rest and meal Provisions of the new labor code: Interval for rest is provided in the following manner: 1. One hour interval for rest or meal for six hours of work; 2. Half an hour interval for rest or meal for 5 hours of work. Changes in present law: No change has been made Weekly hours Provisions of the new labor code: The new law makes a provision of total 48 (forty eight) working hours for a worker, but it can be extended upto sixty hours, subject to the payment of overtime allowances as per section 108 of the law. However, an average of 56 working hours per week in a year for a labor must not be exceeded under any circumstances. But the new law makes a provision for exemption approved by the government if it thinks so fit. Changes in present law: Exemption clause has been inserted by which the government is empowered to exempt any of the factories to do away with this rule for a maximum period of six months at a time Weekly Holiday Provisions of the new labor code: Section 103 of the new labor code makes the provision of one day weekly holiday for all the workers employed in a factory. Changes in new law: No change. 4

8 1.3 PAID ANNUAL LEAVE Annual leave with wage Section 117 of the new labour law deals with the annual leave with wages. The section provides as follows: 1) Every worker who has completed one year of continuous service in a factory, shall be allowed during the subsequent period of twelve months leave with wages for a number of days calculated at the rate of i) for adult workers, one day for every 18 (eighteen) days of work performed by him during the previous period of twelve months; ii) for adolescent worker, one day for every 15 (fifteen) days of work performed by him during the previous period of twelve months. 2) An adult worker shall cease to earn any such leave when the leave due to him amounts to 40 (forty) days and an adolescent worker shall cease to earn the said leave when the leave due to him amounts to 60 (sixty) days Festival holiday 1) Every worker shall be entitled to eleven days festival leaves in a calendar year. The employer shall, at the beginning of the year, fix the day and date of such leaves. 2) The employer may require any worker to work on a festival holiday provided a compensatory holiday under section 103 and an alternative holiday is given to him. Changes in present law: Festival holiday has been increased by a day in the new labor law Casual leave Section 115 of the new labor law deals with the casual leave of the worker. It makes a provision for 10 days casual leave with full wages Sick leave All workers employed in a factory shall be entitled to get 14 (fourteen) days sick leave with full average wages. Provided, such a leave shall not be granted unless a registered physician employed by the employer or any Registered Physician has certified his or her illness. 5

9 Changes in present law: Previous law provided for the same period of leave with half average wages whereas the new law makes the sick leave to be one with full average wages. The provision of the certification by a registered physician does not exist in the previous law. However, it has been added to the new law. 1.4 EMPLOYMENT OF FEMALE There are a number of sections where the employment and protection of women have been discussed. The sections are 45, 50, 79, 87, 94, 109, 332 and 345 of the new labor law, Night work of female workers: Section 109 of the labor law, 2006 creates a bar on the night works of the female workers. The section states as follows: No female worker shall be engaged for work in any establishment without her consent between 10 pm and 6 am. 1.5 MATERNITY BENEFITS Maternity leave Provisions of the new labor code: In section 46 of the new labor law 2006 provisions have been created for maternity leave of 16 weeks (8 weeks before and 8 weeks after the delivery). But the law also makes a provision that no worker shall be entitled to get the benefit unless she has served under the owner for a minimum period of six months prior to the notice of the probability of the delivery. Provisions of the previous labor laws: Section 3 of the Maternity Benefits Act, 1939 provides maternity leaves of 12 weeks (6 weeks before and 6 weeks after the delivery). Changes in present law: The new law increases the maternity leaves to sixteen weeks from twelve weeks and decreases the duration of the qualifying service period, to avail the benefit, to six months from 9 months Procedure of payment of the maternity benefit Provisions of the new labor code: Three options are open to the mothers as per section 47 of the new labor law: 1. The owner shall pay the total benefit payable for the preceding 8 weeks within 3 days from the submission of the certificate of the probability of delivery by a Registered 6

10 Physician and shall pay the remaining amount after three working days of the submission of the proof of the delivery. 2. The owner shall pay the benefit payable for the preceding 8 weeks including the day of the delivery within 3 days from the submission of the proof of delivery and pay the remaining within the next eight weeks after the proof of delivery is submitted 3. The owner shall pay all the benefits payable within 3 days from the submission of the proof of delivery to the owner. Provisions of the previous labor laws: Previously the procedure was guided by the Maternity Benefits Act Section 5 of the aforesaid Act provided a bit stringent payment procedure as there was the provision of payment within 48 hours after the certificate from any physician was submitted, whether there remains any working days or not. Changes in present law: Changes have been made in favor of the management, as the management is required to pay the benefit within three working days. As per the previous law it was binding upon the management to pay the benefit within 48 hours only. Again, the maternity leave and benefits are admissible to a woman worker upto her two living birth only Amount of the Maternity Benefits Provisions of the new labor code: As per sections 48 of the new labor code there is a provision of the payment in terms of daily, weekly or monthly, as and where applicable, average wages. The section also provides formulae for the calculation of the aforesaid average wages, which is given below: DAW or WAW or MAW= The total amount received by the worker during the immediate preceding three months/ Total actual working days during that period. Changes brought by the new law: No changes has been made Benefits in case of the death of mother Provisions of the new labor code: The person nominated by the mother who died, or in the case where no such person is nominated, her legal representative, shall be entitled to receive the benefits as described above. Changes brought by the new law: No changes has been made. 7

11 1.6 EMPLOYMENT OF ADOLESCENT Prohibition of employment of children and adolescent Section 34 of the new labor law creates a bar of the appointment of any children in any establishment. The section states as follows: No child who has not completed fourteen years of age shall be required or allowed to work in any factory. Non adult workers to carry token: An adolescent who has completed fourteen years of age shall not required or allowed to work in a factory unless: 1. A certificate of fitness granted to him under section 68 is in the custody of the manager of the factory; 2. Such adolescent carry a token giving a reference to such certificate while he is at work; 3. Nothing in this section shall be applicable to an adolescent employed in any occupation or in a factory as an apprentice for vocational training; 4. The Government if considers appropriate may waive up the enforcement of the pre conditions of the employment of an adolescent for a particular period. Children: In the present law children means persons who have not yet completed their fourteen years of age. Adolescent: Adolescent means a person who has completed his/her fourteen years but has not completed his/her eighteen years. Changes in the present law: In the previous law the term child was used to mean a person who had not completed 16 years of age and the term Young Person was used to mean and include both the child and adolescent. Under the previous law even a child could obtain a fitness certificate to get a job in a factory. But in the new law child means a person who has completed his fourteen years of age and adolescent means the person who has completed sixteen years and has not completed eighteen years of age. The present law specifically prohibited the child employment and made a provision for a fitness certificate for the adolescent only Certificate of fitness Section 37 of the new labor law requires an adolescent to obtain a fitness certificate to be employed in any occupation or in a factory. A registered medical practitioner shall, on the application of an adolescent or his parent or guardian accompanied by a document signed by the manager of a factory that such person will be employed therein if certified to be fit for the work he or she has proposed to be employed for, issue a certificate of fitness. Such certificate shall be valid only for the subsequent 12 months. 8

12 The employer shall pay the fee for obtaining such certificate and the fees cannot be realized from the parents or guardians of the worker Working hours of adolescent Section 41 of the new labor law deals with provision relating to the working hours of the adolescent As per the section following points are important and relevant for the RMG industry. No adolescent shall be allowed or required to work 5 hours a day and 30 hours a week No adolescent shall be allowed or required to work between the hours from 7 PM to 7 AM In every factory the work of an adolescent shall be limited upto two shift and no such shift shall be more than 7 and a half hours An adolescent can only be appointed in a single relay and such relay shall be changes only with prior approval of the inspector for once in a month Restriction of appointment of adolescent in certain work Section 39, 40 and 42 of the new labor law reports some activities for which the employment of the adolescent is strictly restricted. As per the above mentioned sections, for following activities the employment of the adolescent are strictly restricted: Cleaning of the machinery while it is in motion. Lubrication or for other adjustment operation of the machineries while it is in motion. Any work in between the moving parts of a machine. Any work in under ground or under water. 9

13 PART 2: EMPLOYMENT 2.1 Forced labour Forced labor is strictly prohibited by the Constitution of the Peoples Republic of Bangladesh. Therefore any Law approving forced labor is Void ab-initio as per the constitutional framework of legislation in Bangladesh. Article 34 of the Constitution of the Peoples Republic of Bangladesh stated as follows: ---- All forms of Forced Labor are prohibited and any contravention of this provision shall be an offence and shall be punishable in accordance with Law Again, the two ILO fundamental rights Conventions (nos. 29 and 105) also addressed the abolition of forced labour, and Bangladesh has ratified these two conventions long time ago. But, this constitutional guideline is still ignored in the new Labor Law as the Law didn t defined the word forced labor in it and didn t provide for the punishment and procedure thereof. Therefore forcing the worker to work in a factory for days together continuously by the factory owners against their intention should be strictly prohibited and law should address this issue as per our Constitution and ratified ILO Conventions. 2.2 Discrimination Any discriminatory behavior on the basis of sex, color and creed is totally prohibited in any law in Bangladesh. Article 27 and 28 has provided a guideline to the legislator to make the discrimination free environment at every walks of national life. Section 345 of the new labor law is however noteworthy in this connection. The section stated as follows: In determination of the wages for a worker or in fixation of the minimum wages equality irrespective of the sex of the worker, shall be maintained. No discrimination in this regard shall be tolerated by law. Article: 27 of the Constitution stated as follows: ---- All citizens are equal before Law and are entitled to equal protection of Law Article: 28 of the Constitution stated as follows: 10

14 ---- The State shall not discriminate against any citizen on the grounds of religion, race, caste, sex or place of birth. Therefore, discrimination on the grounds of any of the above issues is prohibited in country. 2.3 Service rules Provisions of the new labor code: Section 3 of the new labor law allows an industrial establishment to make a service rule in pursuant to the labor laws of the land. Provisions of the previous labor laws: Section 3 of the Employment of Labor (Standing Orders) Act, 1965 has the same provisions as above. Changes brought by the new law: No changes has been made. Comments: Framing of the service rules by an employer is not mandatory, but if made it must comply with the relevant laws. 2.4 Appointment letter and ID card Provisions of the new labor code: Section 5 of the new labor law of 2006 provides that each and every worker should be given with appointment letter and ID card by their employer free of charge. Provisions of the previous labor laws: No such Law was there previously. Only the News Paper Employees (Conditions of Services) Act, 1974 and The Road Transport Workers Ordinance of 1983 made the provision of the appointment letter for their employees. Comments: Rules are not yet made to provide with a form of the appointment letter or ID card but from the previous two Laws the following should be there in the appointment letter: name, father s name, spouse name and address, date of appointment, type of employment and conditions of the employment. 2.5 Service book Provisions of the new labor code: The law provides a separate section i.e. Section 7 of the law for the entries of the service book of a labor. As per the section following entries shall be there in the service book of a labor: Name, spouse name, mother s and father s name and address Date of birth 11

15 Mark of recognition Previous owner and his address if applicable Duration of the employment Occupation or designation Wages and allowances Leaves availed Conduct of the worker Provisions of the previous labor laws: Employment of Labor (Standing Orders) Act 1965 did not provide any provisions related to this. Only the provision of the maintenance of the service book was available in the Employment (Record of Services) Act 1952 and Employment (Record of Services) Rules Changes brought by the new law: No significant changes are there in the provision of the service book in the new law. But the new law makes it mandatory for the service book to be signed by both the worker and the employer. The law provides a list of information to be maintained in the service book of each labor 2.6 Classification of workers Provision of the new labor code: Section 4 of the new labor code of 2006 classifies the workers into following classes: a) Apprentices b) Badlies c) Casuals d) Temporary e) Probationer and f) Permanent These terms of classification have been properly defined in the present legislation Apprentice: A worker who is appointed in an establishment as a trainee and during the period of training he is paid an allowance is called an apprentice. Badlies: A worker who is employed for the period of absence of a permanent or probationer worker. Casual: A worker who is employed on casual basis. Temporary: A worker who is employed purely for a temporary nature of work. 12

16 Probationer: A worker who is employed on probation for a fix time with a view to fill up a permanent vacancy. Permanent: A worker who is employed to fill up a permanent post or when a probationer completes his probation period in an establishment. 2.7 Probationary period Period of probation: Six month for the worker employed in clerical activities Three months for other workers. If the employment of a probationer expired during the probation and if the same person is again employed under the same employer within next three years of such employment shall be treated as a probationer and the previous period of probation shall be calculated with in new period. If a permanent worker started a new job as a probationer then during that period of probation he can be shifted to his permanent post during the subsequent period of probation. Changes in the present law: In the classification of labor there comes no change. But in calculation of the period of probation the previous law included all the leaves and strikes and lockouts during that period which the new laws have ignored and remained silent in this regard. 2.8 Calculation of continuous service Section 145 of the new labor law provides for the method of the calculation of the continuous service period of a labor for the purpose of this law in the following manner: If the actual number of the working days of a worker is 240 during the previous twelve calendar months he or she shall be deemed to be worked for a continuous period of one year. If the actual number of the working days in the previous twelve calendar months is 120 days s/he shall be deemed to be employed there for a continuous period of six months. For counting continuous service, the following issues will come under consideration: The days the worker was laid off; Days of leaves with or without wages due to accident or illness; 13

17 Non working days due to legal strike or illegal lock out; Days on maternity leave for a female worker. Changes in the present law: No significant change has been are noticed in this purpose except for the inclusion of the number of day s non-working due to legal strike or illegal lockout. And for calculation of six months of continuous employment the numbers of real working days are 120 which were previously Payment of wages for unavailed leave In case of the expiry of the employment of any worker by way of discharge, dismissal, termination, retrenchment or retirement, if there remains any un availed leave of the aforesaid worker, he or she shall be entitled to get the wages of those days so unavailed. Changes in the present law: This is an addition to the new labor law as previously it was not in the law Death benefit If any worker died after completing 3 (three) years continuous service with an employer, the worker shall be entitled to get the benefit of 30 days wages for every completed year or service or six months thereof or gratuity, whichever is higher. The worker shall get this benefit in addition to his other entitlement of the retirement. Changes in the present law: This is also a new addition to the labor law as previously no labor law has provided for the death benefit except for the Wage Board award for the Newspaper worker Stoppage of work Section 12 of the new labor law deals with the stoppage of work by the employer. As per the above mentioned section following are the points to be noted: a) In the event of fire, catastrophe, breakdown of machineries, epidemics or civil commotion or any other circumstance beyond his control, the employer can stop the work of a section or sections of his factory. b) In the event of such stoppage occurring at any time beyond working hours the employer shall by issuing a notice in the notice board of the factory inform the labors as when to resume the work and whether the worker is to be present at their place at that time. 14

18 c) The notice also mentioned that those who are ordered to be so present, and if their presence is required for an hour only, then they may not be entitled to get any benefit Right of laid off workers Lay off: Failure, refusal or inability of an employer, on account of shortage of coal, power or raw material or the accumulation of stock or break down of machinery or for any other reason, to continue the employment to workers whose names are brought to the muster roll of the factory. Any worker whose name is there in the muster roll of the factory and who has completed a continuous period of one year service, if laid off, shall be entitled to get benefit of compensation for all the days except for the weekly holidays. A badli worker whose name is brought in the muster roll shall not be treated as badli for the purpose of the compensation under this chapter. Compensation during lay off = (Total basic + dearness allowance +ad hoc wages)/2 + the house rent he or she would get if not so laid off. No worker shall get the compensation for more than 45 days in a calendar year of lay off If any worker is laid off for 15 days or more after the first 45 days of lay off in a single calendar year the employer can retrench the worker instead of lay him off. But, if the lay off extends beyond that 45 days upto a period of another 15 days, then the labor so laid off shall be entitled to get a benefit as per the following rate: Compensation during lay off beyond 45 days = (Total basic + dearness allowance +ad hoc wages)/4 + the house rent he or she would get if not so laid off Retrenchment Retrenchment means the expiry of the employment of a worker on the ground of redundancy. For the retrenchment an employer has to follow the following provision of the new labor law: No worker, employed in any shop or commercial or industrial establishment, who has been in continuous service for not less than one year under an employer shall be retrenched by the employer unless- (a) the worker has been given one month s notice in writing, indicating the reasons for retrenchment or the worker has been paid in lieu of such notice, wages for the period of notice; (b) a copy of the notice in respect of the retrenchment has is sent to the Chief Inspector or any other officer authorized by him; and 15

19 (c) he has been paid, at the time of retrenchment, compensation which shall be equivalent to thirty day s wages for every completed year of service or for any part thereof in excess of six months, or gratuity, if any, whichever is higher Discharge Discharge means the expiry of the employment of a worker on the ground of inability or incapacity because of ill health. Section 22 of the new labor code deals with the procedure of discharge. As per the section an employer can discharge a worker on the basis of the report of a registered physician. Compensation in case of discharge: Every worker who has completed a continuous service for one year shall be entitled to get a benefit of 30 days wages for every completed year of service or the gratuity, whichever is higher Dismissal Section 23 of the new labor law deals with the dismissal of the worker on the ground of misconduct and conviction. The section makes a room for the employer to dismiss a worker without serving him a notice or the payment in lieu thereof for the following two grounds: If the worker is convicted by any criminal court. If his misconduct is proved under section 24 of the labor law Misconduct as defined in that section: Willful insubordination, alone or in combination with others, to any lawful or reasonable order; Theft, fraud or dishonesty; Taking or giving bribes; Habitual absence, without leave, for more than ten days; Habitual late attendance; Habitual breach of any rule or law applicable to the establishment; Riotous or disorderly behavior; Habitual negligence or neglect of work; Frequent repetition of a work on which fine can be imposed; Resorting to illegal strike or go slow or instigating others to do so; Falsifying, tampering the official document of the employer. 16

20 Changes in the present law: The new law makes a provision of the lighter punishment in case of the misconduct. Sub section 2 of section 23 says: Any worker, against whom misconduct has been proved, may be punished by any of the following punishment other than dismissal from the job: Termination; Demotion to lower grade; Held up promotion for at least one year; Held up increment for an year; Fine; Temporary suspension without wages; Rebuking and warning; 2.16 Termination The employer can terminate a worker without assigning any reason whatsoever, not dismissing or etc, in the following manner as described in Section 26 of the new labor law For the permanent workers: 1. Serving 120 days notice to the workers employed on the monthly basis. 2. Serving 60 days notice to the other workers. For the temporary workers: 1. Serving 30 days notice to the workers employed on the monthly basis. 2. Serving 14 days notice to the other employees. Termination without any notice: The employer can even terminate the employment of a particular worker without any notice as described in the foregoing paragraph, if the employer pays the wages to the terminated worker for the aforesaid period of notice. Compensation on termination of a permanent worker: When a permanent worker is terminated she or he shall be entitled to get a benefit of 30 days wage for every completed year of service in an establishment in addition to the other benefit payable to him. 17

21 PART 3: OCCUPATIONAL HEALTH, SAFETY AND WELFARE 3.1 SAFETY Fire Present law with regards to fire: Section 62 deals with the provisions of the measures to be taken by a factory to avoid dangers and damage of fire. The section provided as follows: 1. At least one alternative exit with stair connecting all the floors of the factory building as described by the rules for each and every factory. 2. No door affording exit can be locked or fastened during the working hours so that they can be easily or immediately opened from inside. 3. The doors affording exit must be open outwards, unless it is sliding in nature, if the door is between two rooms it must open in the direction of the nearest exit. 4. Marking in red letter with adequate size, in the language understood by majority of workers, on such doors, windows or any alternative exit affording means of escape in case of fire. 5. There shall be an effective and clearly audible means of warning of fire to every worker. 6. There shall be a free passage-way giving access to each means to escape. 7. Where more than ten workers are employed other than in the ground floor, there shall be a training for all the workers about the means of escape in case fire. 8. There shall be a parade of fire extinction and escape at least once a year in a factory where more than fifty workers are employed. Changes in the present law: The new law makes a provision of an alterative stair affording means of escape connecting all the floors Fire extinguishing and escape parade shall be provided for at least once in a year Floors stairs and means of access Section 72 of the new labor law deals with the floors, stairs and means of access. The section stated as follows: 1. All floors, stairs and passages shall be of sound construction and properly maintained and, if it is necessary to ensure safety, hand-railings shall be provided with it. 18

22 2. Reasonable safe passage way or access shall be maintained in a place where a person is employed to work. 3. All the floors, passage ways and stairs shall be maintained very neat and clean, wide enough and free from any blockade Excessive Weights Section 74 of the new labor code states that, no person shall be employed in any factory to lift, carry or move any load so heavy as to be likely to cause his injury Safety of building and machineries Section 61 of the labor law 2006 provided for the measures to be taken as regards the safety related to building and machineries. Actually the present law entrusts everything to be done in this regard on the Inspectors. The section goes as follows: 1. If it appears to an Inspector that any building or part thereof or any passage way or machine of the factory is in such a condition which is injurious for the life and health of the workers working therein, the Inspector may issue an order to the owner of the factory to take necessary steps immediately within the specified time therein. 2. If the Inspector is of the opinion that the building or any machine is seriously dangerous for the life of the worker, he shall issue an order to repair or alter that immediately otherwise not to run the factory unless and until the building is so repaired or replaced. Changes in present law: Previous law didn t empower the Inspector to stop the operation of a factory in a risky building but the present law has given sufficient discretion on the Inspector to take necessary step to ensure building security and like Fencing of machinery 1. Factories require to securely fencing the following parts of machinery in order to ensure safeguard of the workers: a. Every moving part of a prime mover and every fly wheel connected to a prime mover. b. The head-race and tail-race of every water wheel and water turbine. c. Any part of a stock-bar which projects beyond the head stock of a lathe. 19

23 d. Every part of an electric generator, transmission machinery and other dangerous part of any machinery. 2. Fencing must also be done on any other parts (in motion) that contain screw, bolt and key on any revolving shaft, spindle wheel or pinion and all spur, toothed friction gearing etc. The fencing is required to prevent these items from harming the workers coming in close contact to them. 3. The Government may exempt fencing of the aforesaid objects, if and only if certain other measures are adopted that will ensure safety of the workers. 4. The Government may prescribe such further precautions to fence certain other parts of the machineries which are not mentioned above for ensuring safeguard of the workers Work on or near machinery on motion 1. In case of examining, adjusting and lubricating part of machinery in motion, it is required to employ a well trained adult male worker. The worker must wear tight-fitted clothes while conducting such jobs and no other person will be allowed to work on behalf of him during his absence. 2. Women and adolescent are not allowed to do the above mentioned jobs and they are not also entitled to work in places between fixed and moving parts of any machinery in motion. 3. The Government may prohibit the cleaning, lubricating and adjusting, of any machinery in motion, by any person Explosive or inflammable dust or gas 1. The following practicable measures must be taken in factories to avoid explosions caused from inflammable dust, gas or vapour produced in the manufacturing process: a) Effective enclosure of the plant or machinery used in the process. b) Removal or prevention of the accumulation of inflammable objects. c) Proper enclosure of all possible sources of ignition. 2. In case of the impossibility of placing a strong enclosure for the above mentioned sources of inflammable objects, provisions of chokes, baffles, vent or other effective appliances have to be kept. 20

24 3. Enclosed parts of the plant that contain potentially explosive materials shall only be opened if certain required precautionary measures are met. a) Stop valves should be used to stop flow of gaseous objects in pipeline before working on any joints of that pipeline. b) Practicable measures should be taken to reduce pressure inside the pipeline before working on joints of that pipeline. c) Entrance of inflammable gases or vapours, into the pipeline through the joints that are to be worked on, must be carefully prevented.. 4. Operation that requires action of heat such as welding, brazing, soldering or cutting shall not be conducted in a factory that contains or previously contained inflammable objects without taking appropriate safety measures Precautions against dangerous fumes 1. No person shall be allowed to enter potentially hazardous chambers, containing dangerous fumes, such as tank, vat, pit, pipe, flue or confined spaces if there is not any manhole of adequate size. 2. No portable light of voltage exceeding 24 volts shall be permitted to use inside places mentioned above. 3. No person shall be allowed to enter the places mentioned above until the following measures are taken: a. A certificate in writing has to be given by a competent person stating that the space is free from dangerous fumes and is fit for persons to enter. b. It has to be ensured that the worker wears a suitable breathing apparatus and a belt securely attached to a rope before going into any confined space. 4. No person shall be allowed to enter the places mentioned above for the purpose of working or making any examination before sufficiently cooling the places by ventilation. 5. Suitable breathing apparatus, reviving apparatus and belts and ropes shall be kept ready beside the confined space for instant use. Other workers must also be trained and practiced in the use of all such apparatus Personal protective equipment There are several sections in new law where the personal protection of the worker has been discussed. Section 75 deals with the protection of eyes. 21

25 Effective screens or suitable goggles shall be provided for the protection of person s eye where there is a risk - Of injury to eyes from particles or fragments thrown off in the course of the process - To the eyes by reason of exposure to excessive light or heat. Section 79 also makes a provision of personal protection, sub-section (d) and (e) stated as follows: (d) Providing for the protection of all persons employed in the operation or in the vicinity of the places where it is carried on, and (e) Providing notice about the hazardous chemical to the workers Risk assessment and prevention There are several sections in the new labor code regarding the assessment of risk and prevention thereof. Section 40 and 79 of the new labor law made provisions for the government to asses certain occupation. The sections stated as follows: (a) The government shall, by notification in the official gazette, provide a list of the dangerous machines and risky operations for the adolescent workers (Section 40) (b) The workers employed in such machines and or operations shall be sufficiently trained and supervised (c) The Government shall provide a list of the dangerous operations (section 79) 3.2 WELFARE First aid appliances Provisions of the new labor code: Section 89 of the new labor law provided the following: 1. A well equipped first aid box or almirah for every 150 labor. 2. A person, who has to be always available in the factory, trained in first aid knowledge assigned for every first aid box. 3. Notice regarding the availability of that person in every working rooms and a special badge allocated for that person. 4. An ambulance and a well equipped dispensary for every 300 workers employed in a factory 22

26 Changes in present law: The facility of the ambulance and the dispensary has to be provided by the owners of the factories in which there are at least 300 workers employed. Previously this facility was required for factories with at least 500 workers Washing facilities Provisions of the new labor code: Section 91 provided for the washing facilities for worker in a factory. But the new law is exactly the same as the previous Factories Act Rules regarding the washing facilities are yet to be made. The number of taps in the workplace was fixed in the previous law as per the following schedule: 1. One tap for every 15 worker who are coming into close contact of noxious substances 2. Workers who are not working with noxious substances shall be entitled to get the following facilities: Number of Workers Number of Taps for every additional 50 or part thereof More than for every additional 100 or part thereof 3. At least two gallons of water supply for each and every worker employed in a factory Canteens Provisions of the new labor code: Section 91 of the new labor law provides a canteen for every 100 workers as opposed to the previous Factories Act which provided a canteen for every 250 workers. Changes brought by the new law: Number of workers per canteen has been decreased to ensure better canteen facility. All other provisions related to the management and quality of the services and food in the canteen remains unchanged. 23

27 3.2.4 Shelters/ rest rooms and lunch rooms Provisions of the new labor code: Section 93 of the new labor code makes a provision of a rest room for every 50 or more workers and a separate rest room for the female workers numbering over 25. But if the number of female workers is below 25 then the factory management shall manage a curtain in the same rest room to create a separate resting space for the female workers. Changes in present law: Required minimum number of workers for a rest room has been decreased to 50 from 100 and a separate rest room provision for female workers came into being in the new law Rooms for children Provisions of the new labor code: The new law made a provision of a children room for every 40 female workers with children below 6 years of age. The room is required to be of such an area so that it can provide 600 square centimeters (previously it was 20 sft) of space for every child and the minimum height of such room shall not be less than 360 centimeters. Changes in present law: Required minimum number of the female workers, with children below 6 years of age, has been decreased to 40 from 50, for a child room in a factory. 3.3 HEALTH AND HYGIENE Cleanliness Section 51 of the new labor law deals with the provisions of cleanliness. It is exactly the same as section 12 of the previous Factories Act, The law provides for the following: 1. Every factory shall be kept clean and free from effluvia arising out of any drain, privy, or any other nuisance in the following manner: a) Accumulation of dirt and refuge shall be moved daily by sweeping from floors and benches of workrooms, staircases and passages; b) The floor of every work room shall be cleaned by washing at least once in a week using disinfectant; c) Effective drainage shall be provided and maintained where the floor is liable to become wet in course of any manufacturing process to such extent as is capable of drainage; 24

28 d) All inside walls and partitions, all ceilings or tops of the rooms and walls side and tops of the passages and staircase shall be- repainted or revarnished at least once in every five years where they painted or varnished be cleaned at least once in every fourteen month where they are painted and varnished and have smooth impervious surfaces. be kept whitewashed or color washed at least once in every fourteen months 2. A register shall be maintained in every factory for all the required activities as described in the clause (d) above Drinking water Section 58 of the new labour law provides for an effective arrangement of sufficient supply of wholesome drinking water situated at suitable point for all workers. The section further provided for the following 1. The word Drinking water shall be legibly marked on the place; 2. Cooling the drinking water in a factory during the hot weather where more than 250 workers are employed; 3. Oral Re-hydration Therapy for the workers, working close to the machine producing excessive heat. Changes in the present law: A number of changes are there in the new legislation in this regard: The Factories Act 1965 made a provision that the drinking water cannot be located in any place within 20 feet of distance of a latrine, urinal or washing places, but the new law guided for a place convenient for all. Oral re-hydration therapy has been introduced for the workers working close to the machine producing excessive heat Overcrowding Section 56 of the labour law 2006 makes a provision of the required space for a single worker employed in a factory. Following are the points important in this regard (Nine and half) cubic metre of space for every single worker in a factory; 2. For calculating the aforementioned space ignore the height beyond 4.25 metre; 25

29 3. The Factory shall post a notice in each work room specifying the maximum number of workers can be employed therein as per the above calculation, if the Inspectors so requires; 4. The Inspector can exempt any workroom of any factory from the compliance of this rule if satisfied that for the health of the worker it is not necessary. Changes in the present law: No noteworthy change is there except for the conversion of the measurement of space in the metric system from the previous British system Lighting Section 57 of the new labour law provides for the arrangement of sufficient and suitable lighting of natural or artificial or both. The section further provides for the following: 1. Glazed windows or skylights shall be kept clean on both the pouter and inner surface free from obstructions; 2. Provision shall be made to prevent glare either directly from any source of light or by reflection from a smooth or polish surface; 3. Provision shall be made for the prevention of the formation of shadow to such extent as to cause eye strain or risk of accident to any worker Latrines and urinals Section 59 of the new labour law makes the provisions of the latrines and urinals for the workers employed in a particular factory. The section provides for the following: 1. Sufficient number of latrines and urinals situated at a convenient place and accessible to all the workers 2. Separate arrangement for male and female workers; 3. Properly lighted and ventilated and sufficient water supplied all the times; 4. Clean and sanitary condition be maintained by detergent or disinfectant or with both; 5. The number and kind of the latrines and urinal shall be prescribed by the rules. 26