Beruflich Dokumente
Kultur Dokumente
of
“Legal
Compliances”
At
JUSCO,
Jamshedpur
Dissertation Report
Submitted in partial fulfillment of
the Master Of
Business Administration
Submitted
by:
Kishore Kumar
Mahato
Reg.—
1ay09mba73
(HR)
2009-11
Under
supervision of
Prof. …..
Acharya Institute Of Technology,Bangalore.
Acknowledgment
DECLARATION
PREFACE
Contents
Chapter 1 .................................................................................................................................................. 7
1.1 Introduction about Legal Compliances
............................................................................................... 8
1.2 Objective of Legal Compliances
......................................................................................................... 8
1.3 Method of study
.................................................................................................................... ……………
10
Chapter -2 ................................................................................................................................................. 11
2.1 Company Profile ................................................................................................................................ 12
JUSCO ..........................................................................................................................
......................... …..12
JUSCO‐
Vision ...........................................................................................................................
........ ……….12
JUSCO-Mission
JUSCO‐ Core
Values ..........................................................................................................................
………12
....................................................................................................................................
.............................. 13
Chapter- 3 ................................................................................................................................................. 14
3.1 The Employment Exchange Act, 1959 & Rules .............................................................................. 15
On monthly
basis: ...........................................................................................................................
.......... 15
Rule‐6 Submission of
returns ................................................................................................... ………………
15
3.2 The EPF & Miscellaneous provisions Act, 1952 ................................................................... ……..16
On yearly
basis: ...........................................................................................................................
.............. 16
Para‐35 Preparation of Contribution
Cards .............................................................................................. 16
Para‐42 Renewal of Contribution
Cards ................................................................................................... 16
On monthly
basis: ...........................................................................................................................
.. ……..16
On 15th or
before ..........................................................................................................................
............ 16
Form‐2 Nomination & Declaration
Form .................................................................................................. 17
Form‐13/13A Application for transfer of EPF
account .............................................................................. 17
Form‐14 Application for financing life Insurance Policy out of the PF
Account .......................... ……………18
Form‐16 Application for advance from the
fund ......................................................................... ……………18
Form‐19 & 20 For claiming of Provident Fund
Accumulation ...................................................... …………..22
Para‐72(5) Payment of Provident
Fund .................................................................................................... 23
Para‐69 (1) (a to
dd) ...............................................................................................................................
.. 23
Register to be maintained
for: ................................................................................................................. 24
3.3 The Payment of Wages Act, 1936 ..................................................................................................... 25
3.4 Equal Remuneration Act, 1976 .............................................................................................. 26
Form‐D register, Rule 6 of Equal Remuneration Rules,
1976 ........................................................... 26
3.5 Employees’ State Insurance Act, 1948 .................................................................................. 27
Registration of
Establishments. ........................................................................................................
27
Register to be maintained
for: .......................................................................................................... 27
Every
month: .........................................................................................................................
........... 27
Yearly: .........................................................................................................................
..................... 28
On
occurrence: ..................................................................................................................
............... 29
3.6 The Maternity Benefits Act, 1961 .......................................................................................... 30
On monthly
basis: ...........................................................................................................................
.. 30
3.7 The payment of Bonus Act, 1965 & Rules ............................................................................ 31
On yearly
basis: ...........................................................................................................................
..... 31
Others: .........................................................................................................................
.................... 31
3.8 The Payment of Gratuity Act, 1972 ....................................................................................... 32
Form ‘A’, ‘B’ & ‘C’‐ Rule 3 of Payment of Gratuity Central rules,
1972............................................. 32
Form ‘F’, ‘G, & ‘H’‐Rule 6 (1), (3) & (4) of Payment of Gratuity Central rules,
1972 ......................... 32
Form‐ ‘I’, ‘J’ & ‘K’, Rule 7 (1), (2) & (3) of Payment of Gratuity Central rules,
1972 ......................... 33
Form‐‘L’ & ‘M’, Rule 8 (1) of Payment of Gratuity Central rules,
1972 ............................................ 33
3.9 Companys & Establishment Act, 1963 (W.B.) ............................................................................. 35
Section‐5 Holiday in companys &
establishments. .............................................................................. 35
Section‐6 Hours of work in
company ...............................................................................................35
Section‐9 Restriction of employment of
children ......................................................................... 36
Section‐10 Restriction of
employment ....................................................................................... 36
Section‐11
Leave .........................................................................................................................
36
Section‐12 Person employed to be entitled to wages for the period of privilege leave
in ........ 36
Section‐13 Wages for overtime
work ......................................................................................... 37
Section‐14 Payment of recovery of
wages .................................................................................. 37
Section‐15 Notice of termination of
service ............................................................................... 37
Section‐16 Registration of companys and
establishment .............................................................38
Section‐18 Persons employed to be furnished with letter of
appointment ............................... 39
Section‐21
Penalties ....................................................................................................................
39
3.10 Weekly Holiday Act, 1942 ...................................................................................................... 40
Section‐ 3 Closing of
companys ........................................................................................................ 40
Section‐4 Weekly holiday in companys, ...................................................... 40
Section‐6 No deduction or abatement to be made from
wages .................................................. 40
Chapter-4 ............................................................................................................................................ 41
4.1 Conclusion ............................................................................................................................... 42
4.2 Suggestion ............................................................................................................................... 42
1. Check Out These Guidelines to See if a Policy Is Needed ................................................... 42
2. Articulate the Goal of the Policy
........................................................................................... 43
4. Develop and Write the Policy
............................................................................................... 43
5. Review the Policy
................................................................................................................. 43
6. Obtain Management Support for the Policy ..........................................................................
43
7. Obtain Legal Review of the Policy
....................................................................................... 44
8. Implement the Policy
............................................................................................................ 44
9. Decide How You Will Communicate the Policy in the Future ............................................. 44
10. Interpret and Integrate the Policy ......................................................................................
44
Risks of Not
Complying ...................................................................................................................
.. 45
4.3 Bibliography ............................................................................................................................ 47
4.4 Annexure ................................................................................................................................. 47
Chapter 1
1.1 Introduction about Legal Compliances
As this legal compliances is a part of a larger part for Human Resources Department called as
HR Legal Compliances An HR-is a Legal compliances by which an organization can measure
where it currently stands and determine what it has to accomplish to improve its human
resources function. It involves systematically reviewing all aspects of human resources, usually
in a checklist fashion, ensuringthat government regulations and company policies are being
adhered to. The key to an Legal Compliances is toremember it is a learning or discovery tool, not
a test. There will always be room for improvement in every organization.
INTRODUCTION
LEGAL COMPLIANCES
Legal Compliance
Ever increasing levels of legislation are affecting organisations across the world. And
the effect is felt even more acutely when an organisation has operations in many
different locations.
The strength of our global team is that we are able to advise clients on the impacts and
requirements of different legislation worldwide; regulations that apply internationally,
regionally and nationally. There are some key benefits from this:
We have an excellent track record working with operators, regulators and industry
bodies. This gives us a depth of knowledge and understanding that enables us to offer
very intuitive advice to our clients as we identify their legal obligations and audit
compliance against these obligations
We have expertise across all major areas of environmental and product compliance:
waste management; REACH; industrial permit applications; the future Climate Change
Bill; the list goes on, and this website details many of these specifically.
We provide following legal support services to Indian limited companies to ensure compliance of
the applicable provisions of the law.
Maintaining registers and records under the Companies Act [On retainer basis]
7)Identification of all legislations governing the functioning of the company with special
reference to the concerned business segment
A comprehensive legal audit will examine a wide range of issues which may be as
mundane as whether or not the company is qualified to do business in foreign
jurisdictions or as complex as an analysis of the company's executive compensation and
retirement plans in order to ensure consistency with current tax and employment law
regulations. The topics that must be addressed include: choice and structure of the entity;
recent acts of the board of directors and documentation (or lack thereof) relating to those
decisions; protection of intellectual property; forms and methods of distribution and
marketing; pending and threatened litigation; estate planning; insurance coverage; hiring
and firing practices; employment agreements; securities law compliance; antitrust and
related trade regulations; product liability and environmental law; and a review of sales
and collection practices. Naturally, the extent and complexity of the legal audit will vary
depending on the size and stage of growth of the company, the type of business (such as
service vs. manufacturing), the number of shareholders and employees, the extent to
which the company does business in a "regulated industry," and a host of other factors.
A legal audit may be performed on a periodic basis as part of an ongoing compliance
program or may be performed in connection with a specific event, such as a financial
audit, or in connection with a specific transaction, such as an acquisition or securities
offering. There are also specialized legal audits in specific areas, such as tax; labor and
employment; estate planning/asset protection; government contracts; franchising
compliance; and environmental law.
Implementation of the Post-Audit Recommendations. Once the legal audit team has issued
its post-audit evaluation to the management team, the entrepreneur can implement the
recommendations of the report. What he or she does will vary, depending on the growth
planned by the company, as well as the specific findings of the report. At a minimum, the
entrepreneur should schedule meetings with key personnel to review and discuss the postaudit
recommendations; prepare internal memos to educate the "rank-and-file"
employees; conduct employee seminars to educate employees about proper procedures
and compliance; and in certain cases, develop handbooks and operations manuals for
continued and readily available guidance for the company's staff. If significant problems
are discovered during the audit, counsel should be careful about what is included in the
final written report in order to avoid potential adverse consequences down the road under
the central or state rules of evidence. In addition, the company can establish a "tickler
system" for periodic reporting and key dates/deadlines, as well as a time set for the next
legal audit.
To find out the area of weakness in the existing Legal Environment control
mechanism.
RESEARCH METHODLOGY
The whole project has been made by collecting data through primary and
secondary source. Primary source stand for that information i.e. collected by direct
questioner to concerned employees. Secondary source represent that information
that I got through journals, websites, magazines etc.
RESEARCH DESIGN
The study is based on descriptive and applied research. The efficiency and efficacy
of Legal compliances management model of JUSCO LTD. The Legal requirement
as well as planning compliances is thoroughly studies. By using research and
process analysis the result of control mechanism has been summarized which help
in identify the effective of the system under preview to get the conclusion.
COLLECTION OF DATA: Data has been gathered from both primary and
secondary sources.
Primary sources
Survey questionnaire
Secondary sources:
Annual reports
LIMITATIONS
1. The topic is a voluminous one for which the time allotted was insufficiently
2. The scope of the study was limited to the problem of JUSCO Ltd.
Method used in this study is consultation with Industrial Law book by P.L.Mallick (vol.1 & vol.2).and
N.D. Kapoor.
Chapter -2
INDUSTRY PROFILE
THE SERVICE INDUSTRY
In Indian Economy, jobs can be categorized into sectors, which can then be split into
divisions, each of which include various industries. There are two major sectors in In
Indian economy, as identified by the Indian Standard Industry Classification System:
the goods-producing sector and the service-producing sector. The goods-producing
sector includes agriculture, forestry, and fishing; mining; construction; and
manufacturing. The service-producing sector includes the divisions of (1)
transportation, communications, and utilities; (2)wholesale trade; (3) retail trade; (4)
finance, insurance, and real estate; (5) public administration; and (6) services. This
sixth group—the services division—includes a number of industries .
The service sector is difficult to define and to encompass. There are a number of ways to
identify the sector, its divisions, its industries, and the types of jobs within them. The
general category of the service division includes a wide variety of industries, but can be
categorized into primarily consumer-oriented (providing a service directly to a
consumer), primarily business-oriented (providing a service directly to another
business) or mixed (providing services to both businesses and individual consumers).
Alternately, the services division activities can be described by their economic activities
as physical, intellectual, aesthetic, and other experiential activities. Physical activities
involve working with objects; examples include repairing cars, landscaping, cutting hair,
or preparing a meal. Intellectual activities involve providing education or training, such
as at a university or trade school. The aesthetic activities entail providing consumers
with artistic or visual experiences; museums, theater performances, art shows, and
musical performances are examples. Finally, other experiential activities involve
providing customers with recreation, such as in amusement and theme parks, zoos, or
campgrounds.
A final way in which to categorize services is by what is transformed through the service.
A service may transform a physical object, which occurs when something is repaired,
altered, or improved. Having an article of clothing custom-made, a room remodeled, or
an appliance repaired would involve transforming a physical object. Service division
jobs may also change a consumer. Examples of changes to consumers are education,
whereby the consumer learns knowledge or skills; health care, in which a person's
health is improved; or personal services, such as when a hairstylist cuts a consumer's
hair. A change to an organization is a third type of transformation involved in the
service industry. For instance, a management consulting firm may make changes to an
organization's structure or business processes to improve it. The final set of jobs in this
categorization captures those professions in which there is no apparent object. For
example, when an attorney provides legal representation to a client, or in professional
sports competitions a service is provided, even though no specific object can be
identified.
Services Industry in India – 2009-10 is a better year says CII Survey. According to a
Confederation of India industry Press release the stimulus Package was a Key Driver of Sector.
26th April 2010, New Delhi, The services sector has revived from slowdown and has maintained
higher growth trends during the third and the last quarters of FY 10, according to a survey
conducted by the Confederation of Indian Industry (CII).
CII had undertaken a comprehensive survey based on the responses of more than 350 service
related industry associations, organizations and companies in both the private and public sectors.
“The services sector has performed better during April-March 2009-10 (Estimated) over April-
March 2008-09 mainly on the back of the stimulus package provided by the government and
continuance of the incentive measures including the 10 percent service tax in the recent Union
Budget” according to Mr. Chandrajit Banerjee, Director General, Confederation of Indian
Industry.
Out of 51 sectors surveyed, 13.72 % of the sectors have recorded excellent growth of more than
20% in April-March 2009-10. This is clearly an improvement over April-March 2008-09 during
which only 5.88 % of the sectors had recorded excellent growth rate. The share of the high
growth sectors has also increased to 43.13 % in April-March 2009-10 from 41.17% during the
corresponding period of the previous year. The share of moderate growth rate sectors has
increased from 35.29% to 41.17% indicating substantial improvement. The share of sectors
recording negative growth rate has significantly declined to 1.96 % from 17.65 % and this is a
clear sign of improvement.
According to the survey, Indian Telecom and Mutual Fund industry have emerged as the biggest
contributors in the growth of services industry both recording excellent growth rates.
The high growth category (10 to 20 percent) includes sectors like air passenger traffic, retail
trade, advertising, live entertainment, courier and logistics industry, healthcare, education &
training services, life insurance premium, etc.
Some of the sectors which have recorded moderate growth rate of (0 to 10 percent) include
railway freight traffic, revenue earning passenger traffic, air cargo, cargo handled at major ports,
foreign tourist arrivals, construction, etc.
However sectors like fixed line subscribers still continue to grow at a negative rate as more
consumers can afford wireless services.
The CII survey has also identified some of the general and sector specific issues/constraints
faced by the services industry which need to be addressed to enable the services sector to
maintain higher growth momentum.
The general issues pertain to infrastructure bottleneck, low or no access to credit, high input cost,
security risks for mega projects in sensitive areas.
GDP
Growth Trend of the Services Industry during April-March 2009-10
Established in 1907 by its Founder J N Tata, Tata Steel is Asia's first and
India's largest integrated private sector steel company. Over the years, Tata Steel
has emerged as a thriving, nimble, steel enterprise, due to its ability to transform
itself rapidly to meet the challenges of a highly competitive global economy and
commitment to become a supplier of choice by delighting its customers with
services and products. Constant moderniSation and introduction of state-of-the-art
technology at Tata Steel has enabled it to stay ahead in the industry and
successfully meet the expectations of all sections of stakeholders. Tata Steel's four-
phase Modernisation Programme in the steel works has enabled it to acquire the
most modern steel making facilities in the world. Recently, Tata Steel
commissioned its 1.2 million tonne capacity Cold Rolling Mill complex at 'Global
Speed and Cost'. Its fifth phase of the Modernisation Programme leveraged the
intellectual capabilities of its employees to generate sustainable value for the
stakeholders. Tata Steel is taking better Knowledge Management initiatives to shift
focus from creating new physical assets to utilising them with ingenuity and a
sturdy business sense, the company has been recognised as Asia's Most Admired
Knowledge Enterprise at the World Knowledge Forum, Seoul, Korea. Most recently,
it has embarked on programme for expansion of its existing steel making capacity
by 1million tonne to reach a rated capacity of 5 million tonnes per annum.
Tata Steel's turnover in fiscal 2002-03 was nearly Rs 9800 crores. The
company's profit in the same year was Rs 012 crores, which is its highest ever
Strive relentlessly to
Ruthless cutting of Code of Mutate and
Value improve
build
Under relationship and
wasteful Conduct
Cost Change furiously
Planning
Customerinfluence
expenditure
:: AWARDS AND RECOGNITIONS
BOARD OF DIRECTORS
Mr Bushen Lal Raina : Chairman
Mr Varun Kumar Jha : Non Executive Director,
Member, Audit Committee,
Member, Committee Of Board
Mr Narayan Prasad Sinha : Non Executive Director,
Chairman, Committee of Board,
Member, Remuneration Committee,
Member, Audit Committee
Mr Partha Sengupta : Non Executive Director,
Member, Committee of Board
Mr Tapas Kumar Mitra : Non Executive Director,
Member, Remuneration Committee
Mr Shobhit Shukla : Non Executive Director,
Chairman, Audit Committee
Mr Manish Sharma : Managing Director,
Member, Committee of Board
: MANAGEMENT TEAM
Jamshedpur Utilities & Services Company is today India’s only comprehensive urban
infrastructure service provider. A Tata Enterprise, its services focus on the Tata Group Purpose
“to improve the quality of life of the communities we serve”.
The Group purpose is reflected in JUSCO’s Mission of providing “quality services for life”. Its
services include water, power, infrastructure, public health and horticulture services. JUSCO
works alongside civic bodies, large and small industries, local government bodies, communities
and individuals to deliver value through sustainable solutions.
The Company believes that a clear sense of the Tata Values and Mission allows it to achieve
immense clarity on its role for the future. JUSCO intends to rise to the challenge of meeting
India's need for infrastructure development in a sustainable manner by anticipating and
addressing the country's growth needs such that the ability of future generations to meet their
own needs is not compromised.
The Power Services Division is responsible for the purchase, sale and distribution of electricity;
augmenting and maintaining the power distribution infrastructure; as well as for municipal and
town management functions in its service area.
Year after year, JUSCO uses state-of-the-art technology and processes, proactively maintains
and upgrades equipment, to enhance its efficiency. The knowledge and expertise of its engineers
and people, as well as a culture of excellence, allows it to maintain high quality power supply at
possibly the lowest tariff in India. All of these contribute to making it one of the country’s most
efficient power utilities.
Power Availability – ensuring clean and reliable power at the doorstep of every consumer
• Household Consumers – enjoy the highest per capita power consumption in the country.
• Industrial consumers – growth needs are matched by continuously augmenting
infrastructure.
• Municipal Functions.
• Improvement in efficiencies
Jamshedpur Utilities & Services Company provides comprehensive services in the supply of
water to both industrial and domestic customers. Our range of services cover operations &
maintenance of the entire water cycle from intake to treatment, conveyance and distribution. We
integrate this service with capabilities such as asset management activities, GIS, billing,
collection and Non Revenue Water reduction programmes. The Company was formed in 2004
and we have since ventured beyond Jamshedpur to create new facilities in water across the
country apart from modernising and maintaining existing ones.
Services offered
Established in 1907 as Asia's first integrated private sector steel company, Tata Steel, with the
recent acquisition of Corus in 2007 is the world’s sixth largest steel producer.
The Tata Steel Group, as a combined entity, has geographic footprints in India, South East Asia,
UK and Europe with an aggregate crude steel production capacity of around 28 million tonnes
having approximately 82,700 employees across the four continents. Tata Steel’s mines, collieries
and Jamshedpur works are ISO 14001 certified for environment management.
The company’s Jamshedpur steel works along with its Ferro Alloys and Minerals Division, have
been conferred the SA 8000 certification for work conditions and improvements in the
workplace – the first in the world.
Tata Steel which has also set benchmarks in the fields of corporate social responsibility and
corporate governance firmly believes in improving the quality of life of its employees and the
communities it serves.
• Infrastructure.
• Quality of service.
• Labor laws.
B. OPPURTUNITIES
• Rapid urbanization.
D.THREATS
PH&HS To
provid
Laws:-
Public
Indian
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check- act Associati
up 1955 in on .
and India licensing
preve Model and
ntion public registrati
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health act renewal
, 1987 of
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mical Occupat health
pestic ional medicine
ide. Safety
at Work
1970
Occupat
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Safety
and
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Act
Occupat
ional
Health
and
Safety
Act
1991
Occupat
ional
Safety
and
Health
Act
1994
Timeline
of major
U.S.
environ
mental
and
occupati
onal
health
regulati
on
Workpla
ce
Safety
and
Health
Act
Chapter3
3.1 The Employment Exchange Act, 1959 & Rules
On monthly basis:
Form ER-1 (Rule-6)
On 15th January/15th April/ 15 July/ 15th October
Quarterly returns
Sent to the concerned employment officer
Rule6
Submission of returns
An employer shall furnish to the Local employment Exchange, quarterly returns in Form
ER-I and biennial returns in Form ER-II. Quarterly returns shall be furnished within
thirty days of the due dates, namely, 31st March , 30th June,30th September and 31st
December, biennial returns shall be furnished within thirty days of the due date as
notified in the Official Gazette.
1. On or before 25th of April every year, annual return should be submitted to the concerned
regional officer in Form 3A/6A.
For Form 3A, Paras 35 & 42 of the Employees’ Provident Funds Scheme, 1952; and
For Form 6A, Paras 43 of the Employees’ Provident Funds Scheme, 1952
Para35
Preparation of Contribution Cards
The employer shall prepare a contribution card in Form 3 or in Form 3-A as may be
appropriate, in respect of every employee in his employment at the commencement of
the Scheme or who is taken into employment after that date and who is required or
entitled to become or is a member of the Fund including those who produce an
Account Number and in respect of whom no fresh Declaration Form is prepared :
Provided that in the case of any such employee who has become a member of the
Family Pension Fund under the Employees' Family Pension Scheme, 1971, the
aforesaid Forms shall also contain such particulars as are necessary to comply with
the requirements of that scheme.
Para42
Renewal of Contribution Cards
An employer shall, on or before the expiration of the period of currency of the
contribution card, prepare in respect of each member employed by him a card in
From 3 or Form 3-A as may be appropriate, for the next period of currency :
Provided that in the case of any such employee who has become a member of the
Family Pension Fund under the Employees' Family Pension Scheme , 1971, the
aforesaid form shall also contain such particulars as are necessary to comply with the
requirements of that Scheme.
On monthly basis:
On 15th or before
Challans of remittance of contribution to be submitted to concerned regional officer.
1. On 25th or before
Return of employees qualifying/ leaving & monthly remittance statement as Forms 5, 10
& 12A.
For Form 5, Para 36 (2) (a) of the Employees’ Provident Funds Scheme, 1952;
For Form 10, Para 36 (2) (b) of the Employees’ Provident Funds Scheme, 1952; and
For Form 12A, Para 38 (2) of the Employees’ Provident Funds Scheme, 1952
Para36(
2)(a) & (b) Duties of employer
(2) Every employer shall send to the Commissioner within fifteen days of the close of
each month a return -
(a) In Form 5, of the employees qualifying to become members of the Fund for the
first time during the preceding month together with the declarations in Form 2
furnished by such qualifying employees, and
(b) In such form as the Commissioner may specify, of the employees leaving service
of the employer during the preceding month:
Provided that if there is no employee qualifying to become a member of the Fund for the
first time or there is no employee leaving service of the employer during the preceding
month, the employer shall send a 'NIL' return.
Para38
(2) Mode of payment of contribution
(2) The employer shall forward to the Commissioner within twenty-five days of close
of the month, a monthly abstract in such form as the Commissioner may specify
showing the aggregate amount of recoveries made from the wages of all the members
and the aggregate amount contributed by the employer in respect of all such members
for the month :
Provided that an employer shall send a Nil return, if no such recoveries have been
made from the employees:
Provided further that in the case of any such employee who has become a member of the
Pension fund under the Employees' Pension Scheme, 1995, the aforesaid Form shall
also contain such particulars as are necessary to comply with the requirements of that
scheme.
Others:
Form2
Nomination & Declaration Form
Paragraphs 33 & 61(1) of the Employees’ Provident Funds Scheme, 1952
Para33
Declaration by person already employed at the time of the institution of
the find.
Every person who is required or entitled to become a member of the Fund shall be
asked forthwith by his employer to furnish and shall , on such demand, furnish to him,
for communication to the Commissioner, particulars concerning himself and his
nominee required for the Declaration Form in Form 2. Such employer shall enter the
particulars in the Declaration Form and obtain the signature or thumb-impression of the
person concerned.
Para61(1) Nomination
(1) Each member shall make in his declaration in Form 2, a nomination conferring the
right to receive the amount that may stand to his credit in the Fund in the event of
his death before the amount standing to his credit has become payable, or where the
amount has become payable before payment has been made.
Form13/
13A Application for transfer of EPF account
Paragraph 57 of the Employees’ Provident Fund Scheme, 1952
Para57
Interstate
transfer of members
(1) where a member of the Fund ceases to be employed in one region and secures
employment in another region in an establishment to which this Scheme applies or
which is an exempted establishment or which is not covered under the Act but has a
provident fund scheme of its own, he may apply to the Commissioner within whose
jurisdiction he was previously employed, in such form as the Commissioner may
specify, for transfer of balance of the provident fund in his existing account to his
account in the other region.
(1) Where a member of the fund ceases to be employed in one establishment and
secures employment in another establishment in the same region, he may apply to
the Commissioner of the region, in such form as the Commissioner may specify for
the transfer of balance of the Provident Fund in his previous account to his account in
the new establishment where he takes up the employment.
Form14
Application for financing life Insurance Policy out of the PF
Account
Paragraph 62 of the Employees’ Provident Fund Scheme, 1952
Para62
Financing of members’ Life Insurance Policies
(1) Where a manner desires that premium due on a policy of Life Insurance taken by
him on his own life should be financed from his Provident Fund Account, he may
apply in such from and in such manner as may be prescribed by the Commissioner.
(2) On receipt of such application the Commissioner, or where so authorised by the
Commissioner, any other officer subordinate to him may make payment on behalf of
the member to the Life Insurance Corporation of India towards premium due on his
policy:
Provided that no such payment shall be made unless the premium is payable yearly.
(3) Any payment made under sub-paragraph (2) shall be made out of and debited to
the member's own contribution with interest thereon standing to his credit in the
Fund.
(4) No payment shall be made under sub-paragraph (2) unless the member's own
contribution in his Provident Fund Account with interest thereon is sufficient to pay
the premium; and where the payment is to made on the first premium, sufficient to
pay the premium for two years.
(5) No payment shall be made towards a policy unless it is legally assignable by the
member to the Central Board.
(6) The Commissioner shall before making payment in respect of existing policies,
satisfy himself by reference to the Life Insurance Corporation that no prior
assignment of the policy exists and the policy is free from all encumbrances.
(7) No educational endowment policy or marriage endowment policy shall be financed
from the Fund, if such policy is due for payment in whole or in part before the
member attains the age of 55 years.
Form16
Application for advance from the fund
This is in accordance with the regulation 10B of ESI (Gen.) Regulations, 1950.
Reg. 10BRegistration
of factories or establishments.
(a) The employer in respect of a factory or on establishment to which the Act applies
for the first time and to which an employer's Code Number is not yet allotted, and the
employer in respect of a factory or an establishment to which the Act previously
applied but has ceased to apply for the time being, shall furnish to the appropriate
Regional Office not later than 15 days after the Act becomes applicable, as the case
may be, to the factory or establishment, a declaration of registration in writing in
Form 01 (hereinafter referred to as Employer's Registration Form).
(b) The employer shall be responsible for the correctness of all the particulars and
information required for and furnished on the Employer's Registration form.
(c) The appropriate Regional Office may direct the employer who fails to comply
with the requirements of paragraph (a) of this regulation with the time stated
therein, to furnish to that office employer's Registration Form duly completed within
such further time as may be specified and such employer shall, thereupon, comply
with the instructions, issued by that office in this behalf.
(d) Upon receipt of the completed Employer's Registration Form, the appropriate
Regional Office shall, if satisfied that the factory or the establishment is one to which
the Act applies, allot to it an Employer's Code Number (unless the factory or the
establishment has already been allotted an Employer's Code Number) and shall
inform the employer of that number.
(e)The employer shall enter the Employer's Code Number on all documents prepared or
completed by him in connection with the Act, the rules and these regulations and in
all correspondence with the appropriate office.
An Act to regulate holidays, hours of work, payment of wages and leave of person
employed in companys & establishment.
Section5
Holiday in companies & establishments.
1. In each week.
Every company or commercial establishment shall remain entirely closed on, and
b. Every person employed in a company or an establishment shall be allowed as holiday,
At least one and a half day next preceding or following such day.
2. No deduction on account of any holiday allowed under sub-section (1) shall be made
from the wages of any person employed in a company or an establishment and even if such
person is employed on the basis of ‘no work’, ‘no pay’. He shall be paid for such holiday
the wages which he would have been entitled to had he not been allowed the holiday.
3. The day and the half day during which a company or an establishment shall be entirely closed
in each week under clause (a) of sub-section (1) shall, subject to the provision of subsection
(6), be determined from time to time by the companykeeper or the employer, as the
case may be, and shall be, specified by him in a notice, which shall be displayed in a
conspicuous place in the company or the establishment:
Provided that the day and the half day so determined shall not be altered more than once
in a year.
4. The State government may, if it thinks fit to do in the public interest, by notification,
specify any particular area and the day or both the day and the half day during which all
or any class or classes of company or establishments in such area shall be entirely closed
under clause (a) of sub-section (1), and thereupon the day or both the day and the half
day, as the case may be, so specified, shall be deemed to have been determined under
sub-section (3) by the companykeeper or the employer of every company or establishment of
such
class or classes in such area, and the provisions of the act shall accordingly apply.
Section6
Hours of work in company
1. In company shall the hour of opening be earlier than eight o’clock anti meridiem or the hours
of closing be later than eight o’clock post meridiem.
Provided that if the state govt. or any other officer empowered in this behalf by the state
govt. thinks fit so to do in public interest , change such limits of the opening and closing
companys, either generally or for any particular area or fix uniform hours of opening and
closing of all or any class or classes of companys in any particular area.
2. No person employed in a company shall be required or permitted to work in such stop for
more than eight hours and a half if any one day or for more than forty eight hours in any
one week or after the hours of closing of such companys.
Provided that in any day and in any week in which stock taking, making up accounts or
such other business operations as may be prescribed takes place in any company, a person
employed in the company may be required or permitted to work overtime in such company,
however, thati.
The total number of hours of his work including overtime work shall not exceed
ten hours in any one day, and
ii. The total number of hours worked overtime by him shall not exceed one hundred
and twenty hours in any one year.
3. No person employed in a company shall be required or permitted to work in such company of
more than five hours and a half in any on day, unless he has been allowed an interval for
rest of at least one hour.
4. The period of work and intervals for rest every person employed in a company shall be
arranged by the companykeeper so that together they do not extend over more than ten hours
and a half in any one day.
Section9
Restriction of employment of children
No child who has not completed the age of twelve year shall be employed in any company or
establishment.
Section10
Restriction of employment
No young person shall be required be required or permitted to work in any company or
establishment after eight o’clock post meridiem and no women shall be allowed or
permitted to work –
Section14
Payment of recovery of wages
1. All wages payable to a person employed in a company or an establishment shall be paid not
later than the tenth day of the month immediately succeeding that in respect of which
such wages are payable.
Section15
Notice of termination of service
1. The service of a person employed in any company or establishment, who has been in
continuous service for not less than one year in such company or establishment, shall not be
terminated without giving him one month notice, in writing showing the reason of such
termination and until the period of notice has expired or until he has been paid, in lieu of
such notice, wages for the period of such notice.
2. The person aforesaid shall have the right to appeal to such authority and within such
period as may be prescribed, either on the ground that there is no reasonable cause for
terminating his services or on the ground that he has not been guilty of any misconduct,
provided his services have been terminated on such ground.
3. The decision of the appellate authority on such appeal shall be final.
Continuous service means:
1. A workman shall be said to be in continuous service for a period if he is, for that period,
in uninterrupted service, including service which may be interrupted on account of
sickness or authorized leave or an accident or a strike which is not illegal, or a lock out or
cessation of work which is not due to any fault on the part of the workman.
2. Where a workman is not in continuous service within the meaning of clause (1) for a
period of one year or six months, he shall be deemed to be in continuous service under an
employera.
For a period of one year, if the workman, during a period of twelve calendar months,
proceeding the date with reference to which calculation is to be made has actually
worked under the employer for not less than:
i. Two hundred and forty days.
b. For a period of six months, if the workman, during a period of six calendar months
preceding the date with reference to which calculation is to be made, has actually
worked under the employer for not less than:
i. One hundred and twenty days, in any other case.
For clause (2), the number of days on which a workman has actually worked under an
employer shall include the days on whichi.
He has been laid-off under an agreement or as permitted by standing orders made
under the Industrial Employment (standing orders) Act, 1945, or under this act or
under any other law applicable to the industrial establishment;
ii. He has been on leave with full wages, earned in the previous year;
iii. He has been absent due to temporary disablement caused by accident arising out
of and in the course of his employment; and
iv. In the case of a female employee, she has been on maternity leave; so however
that the total period of the maternity leave does not exceed twelve weeks.
Section18
Persons employed to be furnished with letter of
appointment
Every employer shall furnish every person employed in his
establishment with a letter of appointment in such form as may be prescribed.
Section21
Penalties
1. Whoever contravenes any of the provisions of this act, shall, or conviction, be punishable
with the fine which may extend to five hundred rupees for the first offence.
1a whoever contravenes, after the first the first offence, any of the provision of this act, shall
be punishable with imprisonment for a term which may extend to one thousand rupees, or
with both:
Provided that for the purpose of this sub-section, no cognizance shall be taken of any
conviction upon complaint of an inspector appointed under section 19, made more than
two years before the date on which the commission of the offence, which is being
punished, came to knowledge of such inspector.
2. Whoever makes or causes or allows to be made in any register, records, document or
notice required to be maintained and kept or displayed under this act or rules thereunder
any entry which is to his knowledge false in any material particular, or willfully omits or
cause or allows to be omitted from any such register, records, document or notice an
entry required to be made therein, shall, on conviction, be punishable with imprisonment
of either description for a term which may extend to three months or with fine which may
extend to one thousand rupees, or with both.
Section4
Section6
No deduction or abatement to be made from
wages
No deduction or abatement of the wages of any person employed in an establishment to
which this Act applies shall be made on account of any day or part of a day on which the
establishment has remained closed or a holiday has been allowed in accordance with
sections 3,4 and 5, and if such person is employed on the basis that he would not
ordinarily receive wages for such day or a part of a day he shall nonetheless be paid for
such day or part of a day the wages he would have drawn had the establishment not
remained closed or the holiday not been allowed on that day or part of a day.
Chapter4
4.1 Conclusion
As Indian industrial laws are pro-employees, so it important and must for any
organization to submit all the required returns within the time limit to avoid any kind of
penalties and legal action. In this project it is tried to provide all the legal information,
forms & guidelines which are useful for the HR Department to carry out its and
organizational functions smoothly. The check list provided is a useful tool by which HRD
will be able to submit all returns within stipulated time-frame.
This is an attempt to streamline all the legal (Law) activities performed by the
HRD. This is useful for both the parties, the employer and the employees. If at one side
the employer is being benefited by complying these laws by means of reducing the
confrontation with the Government and Legal agencies, and at the other hand the
employees are also benefited because if the employer is complying the norms for
employee benefits and facilities. We can see it from different point of view viz. if an
employer is confirming to the norms, means that employer is aware about its corporate
governance functioning and responsibility, which will in return increases employees
morale and loyalty towards their employer. If an employee is loyal toward their employer
means he/she is satisfied with their employer and a satisfied employee is motivated to
accomplish its tasks positively resulting in the increased employee performance. So, in
this Dynamic environment if an employer is able to win their employees’ confidence,
then that employer is considered to be an good employer to work with, the organization is
considered to be a good place to work and the employees are considered as motivated and
satisfied employees.
4.2 Suggestion
The failure to have an independent legal audit performed by qualified legal counsel can
have a significant adverse impact on the company and its founders. The risks of noncompliance
with these many laws and regulations include:
• Failure to keep proper books and records or mixing personal assets with business
assets could lead to the ability by third parties to "pierce the corporate veil,"
thereby removing the limited liability protection of a corporation or even to
litigation among co-owners.
• Failure to obtain all proper permits and licenses could lead to fines, penalties, and,
in some cases, even closure of the business by governmental agencies.
• Failure to comply with certain laws and regulations may lead to problems under
Central law.
• Failure to have employment applications, personnel handbooks and general
employment policies reviewed periodically could give rise to governmental and
civil liability.
• Failure by the directors of the company to keep accurate records and minutes of
its decision-making procedures, such as proving that directors are exercising
informed judgment, could subject the company and its board to liability to its
shareholders and investors.
• Failure to monitor the company's reporting requirements may put the company
into default with lenders or investors.
The process of going through a legal Compliances isn't easy, but the risks associated with
avoiding the issue are too high for any company to bear. Doing so is not only necessary,
but beneficial. It is the entrepreneurial company's reality check.
In India, where laws are primarily meant to protect the interests of employees/workers, if
any organization fails to comply with the norms and guidelines established by law/govt.
then consequences are inevitable, and it may lead to the closure of the
business/organization.
JUSCO is engaged the specialized services to carry out its business smoothly at national level it
is obligatory to the organization that its all functional units comply to the acts and rules
whichever is applicable to them. Now a days when Human Resource (HR) department
plays a strategic role in accomplishing organizational goals and objectives, it is also
became imperative to the HR dept. that they know what are the central and state laws are
applicable to them. HR should know all the legalities which can create problems in the
application of its HR-Policy manual. Are the policies of the organization complying with
the laws concerned? If no, then it needs immediate attention of the HR dept, but if the
answer is yes, then how they are being implemented in the organization.
4.3 Bibliography
WEBLIOGRAPHY
0. www.legalguru.com
1. http://WWW.tatasteel.com
2. http://WWW.juscoltd.com.com
3. http://WWW.jindalsteelworks.com
4. http://WWW.google.com
5. http://WWW.carerating.com/archive/3/1991.pdf
6. http://WWW.marketmonitor.com/steel.htm
7. http://WWW.wikipedia.com
8. http://WWW.steelguru.com/news/index/2010/02/12/ODU%3D
9. http://WWW.moneycontrol.com
10. http://WWW.rncos.com
11. http://WWW.marti-tech.com/.../steel%20industry
12. http://WWW.azom.com
14. http://WWW.tatabluescopesteel.com
15. http://WWW.corusgroup.com
16. http://WWW.dhamraport.com
17. http://WWWnatsteel.com
18. http://WWW.tatatinplate.com
19. http://WWW.tayo.com
20. http://WWW.tatasponge.com
21. http://WWW.tataref.com
22. http://WWW.tatametaliks.com
23. http://WWW.jamipol.com
24. http://WWW.tmilltd.com
25. http://WWW.mjunction.com
26. http://WWW.juscoltd.com
27. http://WWW.encyclopediaofcredit.com
28. http://WWW.steelguru.com/news/index/2009
29. http://WWW.tata.com/company/re;eases/inside
4.4 Annexure
Annexure
Sl.
No.
Name of the Act
Registers to be
Maintained for
Yearly returns Monthly returns On Occurrence
Form /due date/reference Form /due date/reference Form /due date/reference
Bare Acts
1. ESI Act,1948
Employee contribution
Accident register
Inspection book
Form‐01A/31st Jan/Regulation‐10C
Form‐6/12th May /Regulation‐26
Form‐6/12th Nov./Regulation‐26
Challans */21st day Form 16/within 24 hrs./ Reg.68
2.EPF & MP
Act,1952
Eligibility register
Inspection book
Form‐3A/25thApril/Paras 35 & 42
Form‐6A/25thApril/Para 43
Challans*/15th day
Form‐5/25thday/Para 36(2)(a)
Form‐10/25thday/Para 36(2)(b)
Form‐12A/25thday/Para 38(2)
Form‐2/Para 33 & 61(1)
Form‐13,13A/Para‐57
Form‐19,20/Para‐72(5)
3.Emp. Exchange
(CNV) Act,1959
Form‐ER‐1/15th Jan, 15th April, 15th
July & 15th Oct/Rule‐6
Requisition form/before 15 days
or 60 days as the case may be
4.Equal
remuneration
Act,1976
Form‐D register, rule‐6
5.Industrial
Disputes Act,1947
Notice of change/section‐9A
6.Maternity
benefits Act,1961
Form‐L, M, N & O/21st Jan
/Rule16(1)
7.Minimum wages
Act,1948
Form I, Rule21 (4)
Form II, Rule 21 (4)
Form IV, Rule 25 (2)
Form V, Rule 26 (5)
Form X, Rule 26 (1)
Form XI, Rule 26 (2)
Form‐III/1st Feb/Rule 21 (4A)
8.Payment of
bonus Act,1965
Form‐A, Rule 4(a)
Form‐B, Rule 4(b)
Form‐C, Rule 4(c)
Form‐D/30th Dec/Rule‐5
9.Payment of
gratuity Act,1972
Form‐A, B & C/Rule‐3
10.Payment of
wages Act,1936
Wages, fines,
Deductions &
advances
* remittance of contribution. Rules, Regulation & Para are from rules of the
respective Acts & sections are from Acts.