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LARSEN AND TOUBRO LIMITED ECC DIVISION :-

PROJECT:- CTP-14

NAME:- GTSN Shastri [ INTERN ]

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Site Administration and Industrial relations :-

Industrial Relations focuses on a relationship between employers and the management of the enterprise and the employees or among employees and their organization.

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Content :-

-Function of Industrial Relations Executives

-Statutory Routines

-Provident Fund , Pension, Deposit Linked Insurance

-Safety Practices, Accidents and Medical Care

-Compensation Claims

-Site IR Department Periodic Report

-IR & Statutory Requirement

-Payments, Overtime and Cost Effectiveness

- Maintenance of Register and Records at project sites

-Arranging and maintaining essential facilities

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Function of Industrial Relations Executives at Construction Sites in India :-

-Recruiting of workmen as per the selection procedure specified [such as site requirement as confirmed by PIC, background clearance, skills test & confirmation]

-Ensuring disbursement of statutory minimum wages, and review of skill grades and wage rates if warranted

-Obtaining/generating and maintaining the requisite statutory records relating to attendance, overtime and earnings of all workmen at the site.

-Arranging hygienic up-keep of labor camp(s), site canteen(s), sanitary facilities and crèche/rest rooms at all times.

-Implementing all rules, procedures, directives etc. applicable under various statutes including those prescribed by the Management.

-Reporting the labor strength, attendance, PF Coverage, IR & WC cases, Black listed workmen, overtime details, cost information of labor wages and related expenses to PIC, PAA and to the IR Dept of the Region periodically.

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Statutory Routines :-

Under the Contract Labour act [ Regulations and Abolition Act 1970 ]

1.Ascertain from the client that :- Registration as a principal employer with the Licensing Authority of the appropriate government is initiated / done.

2.Certificate in form V is ready. If ECCDS clients is not the Project Owner , but is only a contractor to the Project Owner , need for ECCDs registration as Contractor is confirmed by the client.

3.Assists ECCDs contractors comply with any of the above procedures, if it is felt expedient and necessary that they obtain the labor license.

4.Arranging display of statutory notices in appropriate languages . The notices displayed shall spent out of the following :-

- category wise minimum wages applicable at the site.

- Working hour

- Weekly day of rest

- Date and place of disbursement of wages to workmen

- Name and Address of the licensing authority/labour officer

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6. Co-ordinate with the IRD and the client to ensure smooth conduct of any inspection prior to the grant of labor license by the licensing authority.

7. Render guidance and assistance to the contractor to obtain the labour licenses where ECC division or any other division of L&T is project owner.

8. File the notice of commencement of the contract work in form VI-A to the inspector within 15 days of commencement of work.

9.File the Half - yearly return with the licensing authority and send copy of the official acknowledgement to the client and IRD.

- For the period ending 30th June prior to 30th July

- For the period ending 31st December prior to 30th January

10. In such a site where L&T is a principal employer file the annual return [ for the ending 31st December , prior to 15th February.]

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14. Periodically checks with the IRD for the updates of the following statues and state rules/notification, if any . These are in addition to the various statues reffered in the preceding clauses:-

- Workmen Compensation Act, 1923

- Industrial Disputes Act, 1947

- Factories Act , 1948

- Mines Act 1952

- Employees Provident Funds & Miscellaneous Provision Act 1952

- Equal Remuneration Act, 1975

- Child labor Act ,1986

- Labor law Act ,1988

- Building and other Construction Workmen act,1966

- Inter state Migrant Workers Act, 1979

- ESI Act, 1948 wherever applicable

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Provident fund, Pension and EDLI Schemes :-

PF law became applicable to the establishment engaged in Building & Construction Industry with effect from 31-oct -1980. PF sections at each RO/unit coordinate the PF related work with the sites and Regional Provident Fund Commissioners{RPFC}. For administrative convenience, separate PF code are obtained by applying to the jurisdictional RPFC.

Modes of PF coverage :-

1. Directly by immediate employer :-

If any entity is working as a contractor or sub-contactor of ECC already has a PF registration, their workmen are to be covered for PF by that entity

2. Through ECCs “unexempted” PF :-

TRLs and SCs workmen at a site are to be made members of the “unexempted” PF operated by the respective RO s.

3. Through the Clients PF :-

Coverage of the workmen at the site are entitled to and required to join the PF. A workman cannot opt out from becoming a PF member, nor an employer can refuse to include any workman to the benefit.

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4. Eligibility and obligation to be PF member :-

All classes of the workmen at the site are entitled to and required to join the PF. A workman cannot opt from becoming a PF member , nor an employer can refuse to include any workman to the benefit of the PF membership.

Continuation of PF membership :-

On termination of the service in the case of mass or individual retrenchment there is an option to withdraw the full accumulation in ones PF. If it is likely that the person will get another job , either in ECC or elsewhere, the accumulated balance can be transferred to the new PF account.

Nomination :-

An employer is required to obtain the nomination and send the same to the RPFC concerned. There are following guidelines to fill up a nomination form.

  1. The nomination form need to be filed in by TO staff or by literate supervisor of a sub-contractor covered under ECCs PF code. Use carbon paper while filing up. Do not use photocopies.
  2. PF Account number is filled up the TO staff after the PF account number are allotted by the PF section at RO.

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PENSION SCHEME :-

The words Miscellaneous provision occurring in the act refer to the Employees Pension Scheme, 1995 and the employees deposit Linked Insurance scheme,1976. These are accompanying schemes to the Employees Provident Fund Scheme, 1952. The benefit of these schemes are available to all the PF member.

-EFFECTIVE DATE AND PARTICIPATION :-

This is a social security plan for taking care of the family members of a PF member in certain circumstances. Anyone who is the PF member will compulsorily be a member of EPS.

- ELIGIBLE SERVICE :-

Actual service rendered after 16-Nov-1995 will be considered as service for pension. A member is entitled for pension after completion of 58 years with minimum service for pension.

PENSION BENEFITS UNDER EPS,1995 :-

- Members Monthly Pension - Invalidity Pension - Widow Pension

- Children Pension - Orphan Pension - Nominee Pension

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SAFETY PRACTICES , ACCIDENTS AND MEDICAL CARE :-

Constituting of a safety committee and appointing a safety officer is mandated in Section 38 of the act, The Building and Other Construction Workmen Act 1998.

The Occupational Safety , health and working condition code ( OSH ) bill , currently under consideration for enactment by the Indian Parliament.

COMPENSATION CLAIMS :-

The Workmen Compensation Act,1932 and the Workmens Compensation Rules, 1924 set out the law relating to monetary compensation payable by the employer.

  • Arranging for coverage of risk :-
  • Half-Monthly Payment
  • Quantum of HMP
  • Time and manner of Payment
  • Exclusion
  • Non-Fatal Accidents
  • Fatal Accidents

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SITE IR DEPARTMENT PERIODIC REPORT :-

  • Daily attendance and absenteeism of TRL workmen, Piece-rate contractors workmen and attendance report of contract workmen to CM/RE and PAA.

  • Section wise workmen statement to CM/RE and PAA.

  • Spot check report of TRL or regular supply

  • Extract of unpaid wages of service agency workmen to be sent to the Regional

office on or before 10th of every month.

  • Details of labor strength , Sub-contractor PF coverage, Monthly EPF recovery statement , List of new members, List of outgoing members, Statement showing total strength and PF contribution to be sent to regional office

  • Section-wise workmen statement with mandays worked, total wages paid, overtime amount and percentage of the same with respect to the wages to be sent to the regional office.

  • Annual returns under Minimum Wages Act has to be submitted to the respective authorities on or before 31st Jan with a copy marked to Principal employer.

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IR AND STATUTORY REQUIREMENT :-

- Contract Act ( R&A ) Act, 1970

- Minimum Wages Act, 1948

- Payment of Wages Act, 1936

- Employees Provident Fund Act,1952

- Inter-State Migrants workmen Act,1979

- Industrial Disputes Act ,1947

- Workmen Compensation Act ,1923

- Employees State Insurance Act, 1948

- Equal Remuneration Act,1976

- Child Labour Prohibition and Regulation Act , 1986

- Building and Constructions Workers ( RE & CS ) Act, 1996

- Building and Construction Workers Welfare Cess Act,19

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PAYMENT , OVERTIME AND COST EFFECTIVENSS :-

Under the Payment Wages Act , 1991, the following methods of payment, among others are permitted –

  • A cheque or bank draft drawn on any of the commercial banks or a trustee saving bank.
  • A payable order or warrant , issued by a Minister of Government , Local authority etc.
  • A postal order, money order or payable order warrant issued by or drawn on an post.
  • A credit transfer to an account specified by the employee
  • Cash

WHAT CONSTITUTE OVETIME WORK :-

  • Work in excess of eight( 8 ) hours on a normal working day provided that the hours worked in a week exceed forty-eight ( 48 ) hours. The period of rest interval will have to be excluded, only the actual working hours to be considered.

  • However, work in excess of nine(9) hours on any normal working day will constitute overtime, even if the weekly work is less than forty-eight (48) hours.

  • Work on a weekly rest day, a substituted weekly rest day and a paid holiday.

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COST EFFECTIVENESS :-

A transaction is cost effective when the greatest benefit is gained for a comparatively low price. The concept is commonly employed when choosing from variety of investment option, so that the greatest possible return is generated in exchange for the amount invested.

Cost effectiveness analysis starts by accepting that there may be room to improve your current practices. Enterprises have four core areas where a review of processes can yield substantial changes to the organization overall cost effectiveness strategies :-

  1. Strategic cost management
  2. Materials management techniques
  3. Labor infrastructure
  4. Process automation

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MAINTENANCE OF REGISTERS AND RECORDS AT PROJECT SITE :-

The Following registers and records should be maintained at the project sites :-

i) Labor History book

ii) Register of workmen employed by the contractor- Form XII

iii) Employment card – Form XIV

iv) Service certificate – From XV

v) Combined Register of wage cum muster roll for TRL/ Regular supply workmen – From XVI

vi) Register of wages-cum-overtime for TRL / Regular supply workmen – From XVII

vii) Register of deduction of TRL/Regular supply workmen – Form XX

viii) Register of muster roll for TRL/Regular supply workmen deployed through service agency – Form XVII

ix) Register of fines levied on TRL/ Regular supply workmen – From XXI

x) Register for advances paid to TRL/Regular supply workmen – From XXII

xii) Half-yearly return under Contract Labour Act - From XXIV

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xiii) Annual returns under payment wages act - From XXV

xiv) Register of unpaid wages of TRL/Regular supply workmen

xv) Register of first aid

xvi) Register of accidents

xvii) Register of bonus and C form

xviii) Register as per Inter State Migrant Act

ARRANGING AND MAINTAINING ESSENTIAL FACILITIES :-

- Drinking water - urinal and washing facilities - Rest rooms/ Accommodation

- First aid - Canteen - Creches

Sensitivity: LNT Construction Internal Use