Test 1

P F ACT

  • EPFO Launched new Grievance Management Portal
  • Enhancement of the cash benefit on Pension:
  • Enhanced the cash benefit payable to the family of EPF subscribers on their death in service from present maximum of rs.60,000 to rs.1.00 lakh. Published in the gazette of india, part ii, section 3, subsection (i), vide number g.s.r. 523(e), dated the 18th june, 2010
  • Download Notification
  • EPF(Amendment) Scheme, 2011
    MINISTRY’ OF LABOUR AND EMPLOYMENT
    NOTIFICATION
    New Delhi, the 15th January, 2011
    G.S.R. 25(E).—In exercise of the powers conferred by Section 5, read with sub-section (1) of Section 7 of the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 (19 of 1952), the Central Government hereby makes the following Scheme, further to amend the Employees’ Provident Funds Scheme, 1952. namely 1. (1) This Scheme may be called the Employees’ Provident Funds (Amendment) Scheme, 2011.    (2) It shall come into force from the 1st day of April, 2011 2. In the Employees’ Provident Funds Scheme, 1952, (hereinafter referred to as the said Scheme), in paragraph 60, after sub-paragraph (5), the following sub-paragraph shall be substituted, namely:— “(6) Interest shall not be credited to the account of a member from the date on which it has become Inoperative Account, under the provisions of sub-paragraph (6) of paragraph 72” 3. In the said Scheme, in paragraph 72, in sub-paragraph (6):—    (a) for the words “but no claim has been preferred” the words “but no application for withdrawal under paragraphs 69 or 70 or transfer, as the case may be has been preferred ” shall he substituted:    (b) for the words “three years”, at both the places where they occur, the words “thirty six months” shall be substituted.     [F. No. S-35012/01/2010-SS-1I] S. K.. DEV  VERMAN, Jt. Secy. For more details : The PF old balance will stop earning interest. After three years of inactivity.
  • Download Notification
  • Test 1

    ESIC

    Employees’ State Insurance (Amendment) Act, 2010.
    Following are the some salient feature of the ESI (Amendment) Act, 2010.
    Extension Of The ESI Scheme To The Construction Site WorkerS :
  • The Construction site workers who were kept out of coverage of ESI act till date, Now covered with the implementation of it roll out "any time, anywhere". esic services will be available to these mobile and migratory workers with no geographical barrier.
  • APPRENTICES COVERED:
  • Benefits under the scheme have also been extended to apprentices and trainees employed under Apprentice Act and Standing Order Act.
  • POWER TO APPROPRIATE GOVERNMENT;
  • The appropriate Government is empowered to extend the provisions of ESIC Act 1948 to any other establishment or class of establishments, industrial, commercial, agricultural or otherwise after giving one month’s notice of its intention of doing so by notification in Official Gazette instead of notice period of six months.
  • DEFINITION OF DEPENDENT EXPANDED:
  • Definition of “dependents” as contained in clause 6A of section 2 of the Act has been extended to enlarge the number of beneficiaries under the act such as:
  • A widow, a legitimate or adopted son below the age of 25 years and an unmarried legitimate or adopted daughter. The age limit of the dependants has been enhanced from 18 to 25.
  • Dependent parents as per definition of “family” has been substituted so as to include;
  • “A minor brother or sister wholly dependent upon the earnings of the insured person in case the insured person is unmarried and his or her parents are not alive”. It has been also clarified that dependent parents to include “Dependent parents, whose income from all sources does not exceed such income as prescribed by the Central Government”.
    SMALL FACTORIES ALSO ARE COVERED:
  • The definition of Factory under Section 2(12) has been amended to expand coverage of smaller factories. The amended Act covers all factories, which employ 10 or more persons irrespective of the fact whether the manufacturing process is being carried out with the aid of the power or without the aid of the power.
  • INSPECTORS RE-DESIGNATED AS SOCIAL SECURITY OFFICERS:
  • The designation of Inspector has been re-designated as “Social Security Officer” to enroll them as facilitator of the Scheme rather than to act as mere inspectors.
  • VRS EMPLOYEES ALSO COVERED:
  • Medical benefits to the insured person and his spouse have been extended under circumstances where insured person retires under Voluntary Retirement Scheme or takes premature retirement. In the earlier Act the benefit was applicable only on attaining the age of superannuation. Proviso to sub section 3 of section 56 has been substituted to provide the same.
  • NOTIONAL EXTENSION OF PREMISES:
  • Accident occurring to an insured person while commuting from his residence to the place of employment and vice-a-versa shall be deemed to have arisen out of and in the course of employment for the purpose of benefit under the Act. A new section 51-E has been added for this purpose.
  • UNORGANIZED SECTOR EMPLOYEES COVERED:
  • A new Chapter V-A has been added to enable provision for extending medical care to non insured persons against payment of user-charges to facilitate providing medical care to the below poverty line (BPL) families and other un-organized sector workers covered under the Rashtriya Swasthya Bima Yojana (RSBY).
  • Exemption of a factory or establishment or class of factories or establishments from the operation of this Act will be granted only if the employees in such factories or establishments are otherwise in receipt of benefits substantially similar or superior to the benefits provided under this Act.
  • Section 91 A of the Act is amended to removing. retrospective grant of exemption from the provision of the Act
  • Download ESI (Amendment) Act 2010
  • ESIC ONLINE PORTAL:
  • ESIC Launched New Online Portal for Submitting Application and Returns
  • ESI WAGE CEILING:
  • ESI WAGE CEILING ENHANCED FROM Rs. 10000 TO Rs. 15000 w.e.f 01-05-2010
  • Download ESI Wage Ceiling Notification
  • Test 1

    I D Act 2010

  • Enhancement of wage ceiling of a workman from Rs. 1600/- pm to Rs. 10000/- pm under section 2(s) of the Act
  • Direct access for the workman to the Labour Court or Tribunal in case of disputes arising out of section 2A of the Act
  • Expanding the scope of qualifications of Presiding Officers of Labour Courts or Tribunals under sections 7 and 7A of the Act
  • Establishment of Grievance Redressal Machinery in every Industrial establishment employing twenty or more workmen for the resolution of disputes arising out of individual grievances
  • Empowering the Labour Court or Tribunal to execute the awards, orders or settlements arrived at by Labour Court or Tribunal
  • Link to ID Act (Amnd) Act, 2010
  • Test 1

    Gratuity Act

    GRATUITY MAXIMUM LIMIT INCREASED FROM RS. 350000 TO RS. 1000000 (FOR PRIVATE COMPANIES EMPLOYEES)
    Test 1

    Employee's Compensation Act

    Given below are the synopsis of the changes.
  • THE WORKMEN'S COMPENSATION (AMENDMENT) ACT, 2009 is now renamed as THE EMPLOYEE'S COMPENSATION (AMENDMENT) ACT, 2009 and wherever "workman" or "workmen" is mentioned in the entire Act the same needs to be read as "Employee" to make it gender sensitive.
  • The compensation payable on death from the injury, is (i) minimum of Rs.80000 is increased to Rs.120000 or (ii) 50% of the monthly wages of deceased multiplied by the relevant factor.
  • The compensation payable on Permanent Total Disablement from the injury, is (i) minimum of Rs.90000 is increased to Rs.140000 or (ii) 60% of the monthly wages of deceased multiplied by the relevant factor.
  • actual reimbursement of medical expenses incurred on account of injury caused during course of employment.
  • Empower the Central Government to specify monthly wages for the purpose of compensation. It is 50% of Rs.8000/-. This amendment is notified vide Central Government Notification No. S.O. 1258(E) vide Ministry of Labour & Employment dated 31st May 2010.
  • Definition of workmen replaced by "Definition of Employee"- also now includes CLERICAL employees.
  • The Commissioner shall dispose compensation cases within a time period of 3 months.
  • Download Emploee's Compensation (Amnd) Act, 2010
  • Download Emploee's Compensation Wage Limit Notification
  • Test 1

    AP MINIMUM WAGE

    SECURITY SERVICES :
  • Zone I:All Municipal Corporations
  • Zone II : All Municipalities
  • Zone III : Rest of the area
  • Highly Skilled :
  • (Security Supervisor/ Officer/ Field Officer) Z-I: 7500, Z-II: 6500,Z-III: 5000
  • Skilled :
  • (Security Inspector/ ASO/ Intelligance and Fire Fighting Personal, Head Gaurd) Z-I: 7000, Z-II: 6000, Z-III: 4500
  • Semi-Skilled :
  • (Asst. Security Inspector /Security Gaurds with Arms) Z-I: 6500, Z-II: 5500, Z-III: 4250
  • Un-Skilled :
    (Security Gaurds without Arms)
  • Z-I: 5000, Z-II: 4250, Z-III: 4000
    CONTRACT LABOUR :
    Andhra Pradesh contract labour minimum wages are revised w.e.f 18 aug'09 as:
  • Un-Skilled: Rs. 155 per day, Rs. 4030 per month
  • Semi-Skilled: Rs. 195 per day, Rs. 5070 per month
  • Skilled: Rs. 235 per day, Rs. 6110 per month
  • COUNTRYWIDE PROTESTS BY 11 TRADE UNIONS ON NOV 8



    Eleven central trade unions, including the Congress-backed INTUC, will hold jail bharo, satyagraha, mass squatting etc. in all state capitals and industrial centres on November 8, followed by a call for general strike. This was decided this at a national convention held here on Wednesday.
    The TUs are demanding “concrete measures” from the Government to contain price rise, link employment protection with concessions/incentives offered to entrepreneurs, strict enforcement of labour laws and stiff measures against violation, universal social security cover for the unorganised sector workers and creation of a National Social Security Fund and a halt to disinvestment in central and public sector undertakings.

    Source Link


    Changes in Contract Labour Act will keep in mind interests of all stakeholders: Kharge


    The Labour Ministry is making efforts to extend all benefits available to permanent workers to contract workers, keeping in mind the interests of all stakeholders. This was stated by the Union Labour and Employment Minister, Mr Mallikarjun Kharge, at the Standing Labour Committee meeting here on Monday.

    Mr Kharge was responding to the demand of trade unions to amend the Contract Labour Act, 1970 to provide for automatic absorption of contract labour in the event of prohibition of employment of contract labour and opposition by employers' organisations.

    On the issue of trade union ‘recognition', especially in the backdrop of the Maruti unrest, Mr Kharge said “the present system of verification (of trade unions) like secret ballot, check off, etc., needs to be closely examined further for evolving an improved system which is more transparent and brings out the proper representation.”

    The Minister also hinted at the need to have a National Labour Code, as suggested by the Arjun Sengupta Committee, to lay down “a floor of substantive labour rights or standards such as minimum wages, maximum hours of work, minimum standards of safety and health at workplace and so on.”

    The tripartite meeting was attended by representatives from Central ministries, State Labour Ministers, industry bodies, employers' organisations and trade unions.

    NEW TRENDS IN HUMAN RESOURCE



    Human resource management is a process of bringing people and organizations together so that the goals of each other are met. The role of HR manager is shifting from that of a protector and screener to the role of a planner and change agent. Personnel directors are the new corporate heroes. The name of the game today in business is personnel . Nowadays it is not possible to show a good financial or operating report unless your personnel relations are in order.

    Over the years, highly skilled and knowledge based jobs are increasing while low skilled jobs are decreasing. This calls for future skill mapping through proper HRM initiatives.

    Indian organizations are also witnessing a change in systems, management cultures and philosophy due to the global alignment of Indian organizations. There is a need for multi skill development. Role of HRM is becoming all the more important.

    Some of the recent trends that are being observed are as follows:

    •  The recent quality management standards ISO 9001 and ISO 9004 of 2000 focus more on people centric organizations. Organizations now need to prepare themselves in order to address people centered issues with commitment from the top management, with renewed thrust on HR issues, more particularly on training.
    • Charles Handy also advocated future organizational models like Shamrock, Federal and Triple I. Such organizational models also refocus on people centric issues and call for redefining the future role of HR professionals. 
    • To leapfrog ahead of competition in this world of uncertainty, organizations have introduced six- sigma practices. Six- sigma uses rigorous analytical tools with leadership from the top and develops a method for sustainable improvement. These practices improve organizational values and helps in creating defect free product or services at minimum cost.
    • Human resource outsourcing is a new accession that makes a traditional HR department redundant in an organization. Exult, the international pioneer in HR BPO already roped in Bank of America, international players BP Amoco & over the years plan to spread their business to most of the Fortune 500 companies. 
    • With the increase of global job mobility, recruiting competent people is also increasingly becoming difficult, especially in India. Therefore by creating an enabling culture, organizations are also required to work out a retention strategy for the existing skilled manpower. 


    Industrial Employment (Standing Orders) Act FAQ


    1. Did the Government of A.P. apply the provisions of the Industrial Employment (Standing Orders) Act, 1946 to industrial establishments employing 50 or more workers ?

    Ans. Yes. Vide G.O..Ms.No.33 dt.5.7.1999 of LET&F (Lab.II) Dept., the Government applied the provisions of this Act to any industrial establishment employing 50 or more workers.

    2. Do certified standing orders have statutory force ?

    Ans. Yes. Certified standing orders have statutory force - 1995 (1) LLJ 887.

    3.Who is certifying officer ?

    Ans. Labour Commissioner and the officers appointed by the Government by notification in the Official Gazette. Joint Commissioners of Labour are appointed as Certifying Officers vide G.o.Ms.No.46 dt.20.6.2008.

    4. Who is the Appellate Authority ?

    Ans. Additional Commissioner of Labour is appointed as the Appellate Authority vide G.o. Ms.No.46 dt.20.6.2008.

    5. What are the conditions for certification of standing orders ?

    Ans. Standing Orders shall be certifiable if –

    a) Provision is made therein for every matter set out in the Schedule which is applicable to the industrial establishment, and
    b) the standing orders are otherwise in conformity with the provisions of this Act.

    6. Can the Certified Standing Orders be modified ?

    Ans. Yes. Section 10 of the Act provides for modification of standing orders on application by an employer or workman or a trade union of the workmen.

    7. Does the Act provide for payment of subsistence allowance ?

    Ans. Yes. Section 10-A deals with payment of subsistence allowance. The employer shall pay subsistence allowance at the rate of 50% of the wages for the first ninety days of suspension and at the rate of 75% of wages for the remaining period of suspension if the delay in the completion of disciplinary proceedings is not directly attributable to the conduct of the workman.


    8. Who is competent to decide the question as to the application or interpretation of the Certified Standing Order ?

    Ans. The Labour Court.

    9. Is sexual harassment of any woman at her workplace a misconduct under model standing orders ?

    Ans. Yes.

    WORKMEN'S COMPENSATION ACT, 1923. FAQ


    1.         Who is Workman / Employee ?

                Section 2 (1) (n) defines who is a workman and the section read with schedule II of the Act, wherein list of persons who, subject to the provisions of Section 2 (1) (n), are included in the definition of workman.

    2.         Who is an Employer ?

                "Employer" includes any body of persons whether incorporated or not and any managing agent of an employer and the legal representative of deceased employer, and, when the services of a workman are temporarily lent or let on hire to another person by the person with whom the workman has entered into a contract of service or apprenticeship, means such other person while the workman is working for him;

                "managing agent" means any person appointed or acting as the representative of another person for the purpose of carrying on such other person's trade or business, but does not include an individual manager subordinate to an employer;

    3.         What is Employer's  liability for compensation ?

                Chapter II of the W.C. Act, deals with this issue.  (1) If personal injury is caused to a workman by accident arising out of and in the course of his employment, his employer shall be liable to pay compensation in accordance with the provisions of this Chapter.

                PROVIDED that the employer shall not be so liable:-
    a)        in respect of any injury which does not result in the total or partial disablement of the workman for a period exceeding (three) days;

    b)        in respect of any (injury, not resulting in death, [or permanent total disablement] caused by] an accident which is directly attributable to---

    the workman having been at the time thereof under the influence of drink or drugs, or
    the willful disobedience of the workman to an order expressly given, or to a rule expressly framed, for the purpose of securing the safety or workmen, or
    the willful removal or disregard by the workman of any safety guard or other device he knew to have been provided for the purpose of securing the safety or workman.

    Nothing herein contained shall be deemed to confer any right to compensation on a workman in respect of any injury if he has instituted in a Civil Court a suit for damages in respect of the injury against the employer or any other person; and no suit for damages shall be maintainable by a workman in any court of law in respect of any injury—

    (a)      if he has instituted a claim to compensation in respect of the injury before a Commissioner; or

    (b)      if an agreement has been come to between the workman and his employer providing for the payment of compensation in respect of the injury in accordance with the provisions of this Act.

    4.         What is fatal accident and non-fatal accident ?

                (i) Fatal accident is one that results in the death of the workman. 
               
    (ii) Non-fatal accident is one that causes injury to the workman resulting in partial or permanent physical disablement by which he loses his earning capacity. 

    5.         When / Where claim application is to be filed ?

                In case of fatal accident the dependents of the deceased workman are entitled to file a claim application before the Commissioner for Workmen's Compensation Act.

                In case of non-fatal accident the injured worker who suffered partial or permanent disablement and lost his earning capacity can file an application under the Act.            

                The applicants shall file the claim before the Commissioner for Workmen's Compensation of the area in which—

    the accident took place which resulted in the injury; or
    the workman or in case of his death, the dependent claiming the compensation ordinarily resides; or
    the employer has his registered office:

    6.         Whether application can be made to the Central Labour Department ?

                No.  The applications can be made to the Commissioners for Workmen's Compensation as notified by the State Government as required under the Act.   No official of Central Labour Department is notified as Commissioner for Workmen's Compensation. 

    7.         What is the wage limit prescribed under the Act ?

                The wages drawn by the injured or deceased workman shall not exceed Rs.4,000/- per month.   However if the workman draws morethan Rs.4,000/- per month the amount of compensation shall be taken limiting the monthly salary as Rs.4,000/-

    8.         What is limitation period to file an application ?

                A claim application shall be filed within two years from the date of accident.  However, the C.W.C. may entertain the application after limitation period by condoning the delay after hearing the parties.

    9.         Who are the opposite parties to the claim ?
               
                The employer of the workman is  the  Opp.  Party  in   any   claim

    application.  In case the employer has obtained an Insurance Policy covering the risk of workman, such insurer may be made as 2nd Opp. Party.

    10.      Whether an agreement can be made between Workman and Employer ? 

                Yes, only in non-fatal cases and such agreements shall be registered with the Commissioner by the parties as per Section 28 of the Act.   In case a memorandum of any agreement the registration of  which is required by section 28, is not sent to the Commissioner as required by that Section, the employer shall be liable to pay the full amount of compensation  which  he  is liable to pay under the provisions of the Act, and notwithstanding anything contained in the provision to sub-section (1) of section 4, shall not, unless the Commissioner otherwise directs, be entitled to deduct more than half of any amount paid to the workman by way of compensation whether under the agreement or otherwise.

    11.      Who are the dependents of the deceased workman ?
               
                "dependent" means any of the following relatives of a deceased workman, namely:-
    a widow, a minor [legitimate or adopted] son, and unmarried [legitimate or adopted] daughter, or a widowed mother; and

    if wholly dependent on the earnings of the workman at the time of his death, a son or a daughter who has attained the age of 18 years and who is infirm;

    if wholly or in part dependent on the earnings of the workman at the time of his death,

    a widower,

    a parent other than a widowed mother,

    a minor illegitimate son, an unmarried illegitimate daughter or a daughter [legitimate or illegitimate or adopted] if married and minor or if widowed and minor,

    a minor brother or an unmarried sister or a widowed sister if a minor,

    a widowed daughter-in-law,

    a minor child of a pre-deceased son,

    a minor child of a pre-deceased daughter where no parent of the child is alive, or

    a paternal grandparent if no parent of the workman is alive;]

    12.      What is the responsibility of the Employer on the occurrence of the accident ?

                Where an accident occurred in the premises of an employer, which results in death or serious bodily injury the employer shall send a report to the Commissioner giving the circumstances,

    13.      Whether a shop employee covered by the Act ?

                Yes.  Though the schedule of the W.C.Act does not cover the Shop Employee, the A.P.Shops & Estts. Act provides for applicability of W.C.Act, 1923 in case of accidental injuries / death of workman.

    14.      What is amount of Compensation ?
                (1)      Subject to the provisions of this Act, the amount of compensation shall be as follows, namely:-

    Where death results from the injury
    an amount equal to [fifty percent] of the monthly wages of the deceased workman multiplied by the relevant factor;

                                        or

                            an amount of [eighty thousand rupees], whichever is more;

    Where permanent total disablement results from the injury an amount equal to [sixty percent] of the monthly wages of the injured workman multiplied by the relevant factor;

    or

                            an amount of [ninety thousand rupees], whichever is more.

    Where permanent partial disablement results from the injury

    in the case of an injury specified in Part-II of Schedule-I, such percentage of the compensation which would have been payable in the case of permanent total disablement as is specified therein as being the percentage of the loss of earning capacity caused by that injury; and
    in the case of an injury not specified in Schedule – I, such percentage of the compensation payable in the case of permanent total disablement as is proportionate to the loss of earning capacity (as assessed by the qualified medical practitioner) permanently caused by the injury;

    16.      Where appeal lies ?

                The appeal lies with the High Court on the order of the Commissioner for Workmen's Compensation.

    17.      Whether an employee covered under ESI can file a claim application under W.C.Act ?

                No.


    MOTOR TRANSPORT WORKERS ACT FAQ

    MOTOR TRANSPORT WORKERS ACT, 1961


    1. How to get the vehicles registered under MTW Act?

    Every employer within one month from the date f receipt of permit from Road Transport Authority shall submit application in Form No. I in duplicate for registration of the undertaking to the chief Inspector or inspector notified under the Motor Transport Workers Act by paying the fees prescribed by the Government.


    2. Whether own vehicle is to be registered under MTW Act ?

    No.


    3. Difference between Public Transport and Private transport ?

    A transport vehicle meant for the general usage of the public is called public transport and a transport vehicle where its usage is limited and restricted to exclusively for a group of persons is called private transport.


    4. What is Motor transport undertaking?

    Motor Transport Undertaking engaged in carrying passengers or goods or both by road for hire or reward and includes a private carrier shall only be registered under the Motor Transport Workers Act.


    5. What is the minimum number of persons to be employed to come under the purview of MTW Act ?

    Five or more Motor Transport workers.


    6. Whether the vehicles used in the factories come under purview of the Act?

    Yes. Provided they are engaged for carrying goods or passengers.


    7. If an establishment is covered under Shops &Establishments Act and use vehicles , then whether MTW Act is covered or not?

    The vehicles used for carrying passengers or goods in an establishment covered under Shops & Estts. Act shall be registered under the Motor Transport Workers Act.


    8. Who is Motor Transport worker?

    "Motor Transport worker" means a person who is employed in a motor transport undertaking directly or through an agency, whether for wages or not, to work in a professional capacity on a transport vehicle or to attend to duties in connection with the arrival, departure, loading or unloading of such transport vehicle and includes a driver, conductor, cleaner, station staff, line- checking staff, booking clerk, cash clerk, depot clerk, time keeper, watchman or attendant but except in Section 8 does not include

    i) any such person who is employed in a factory as defined in the Factories Act, 1948 (63 of 1948)


    ii) any such person to whom the provisions of any law for the time being in force regulating the conditions of service of the persons employed in shops or commercial establishments apply


    9. What are the facilities or Welfare measures provided under Motor Transport Act (Canteen, Uniform, Medical/First-aid).

    Canteen, rest rooms, uniforms, medical facilities and first -aid.


    10. Whether the owners of the vehicles which are placed under the Transport company are to be treated separately?

    No.



    11. What are hours of work and weekly rest for Motor Transport Workers ?

    8 hours in any day or 48 hours in any week.



    12. whether each vehicle of a owner are to be registered separately, under this Act. ?

    No. A person owning one or more vehicles used for carrying passengers or goods shall be registered as Motor Transport Undertaking


    13. Who is the employer under MTW Act ?

    "Employer" means, in relation to any motor transport undertaking, the person who, or the authority which, has the ultimate control over the affairs of the motor transport undertaking and where the said affairs are entrusted to any other person whether called a manager, managing director, managing agent or by any other name, such other person.



    14. What is the certificate of fitness ?

    A certificate issued by the Road Transport Authority indicating the fitness and the roadworthiness of the vehicle.



    15. Whether payment of Wages Act is applicable to MTW (Sec.-25)

    Yes.



    16. What are leaves eligible for Motor transport workers ?

    A Motor Transport Worker who has worked for a period of 240days during a calendar year shall be allowed leave with wages @ 1 day for every 20 days of work performed by him, in case of adolescent worker @ 1 day for every 15 days of work performed by him.


    17. When the Certificate is to be renewed ?

    It shall be renewed by making an application not less than 60 days before the date on which the period of validity of certificate of registration expires.


    18. What are the penalties for late Renewals ?

    1) Application submitted within 15 days after the expiry the, 50% of the fee prescribed shall be charged as penal fee;

    2) Application submitted after 15 days and before 30 days 75% of the fee prescribed shall be charged as penal fee;


    3) Application submitted after one month and before 3 months 100% of the fee prescribed shall be charged as penal fee;

    4) Registration / Renewal application submitted after three months of the due date and on conviction 100% in excess of the fee ordinarily payable for the certificate of registration or renewal shall be payable. The registration or renewal of the certificate shall be issued to the employer within 30 days from the date of receipt of application of theEmployer.



    19. Is the Registration number marked on the vehicle?

    Yes. The registration number of the undertaking shall be marked on the left hand side of every vehicle in letters (80Centimetre high / and 1 Centimetre thick)



    20. Whether washing of uniforms or washing allowance to be provided under MTW Act (R-22(4))

    Yes. There shall be paid to the drivers, conductors and line-checking staff by the employer an allowance for washing of uniforms provided under sub-section (1) at such rates as maybe prescribed. Provided that no such allowance shall be payable by an employer who has made at his own cost adequate arrangements for the washing of uniforms.



    22. What are Registers to be maintained by the employers.

    Register of leave with wages. Form 7. Leave book – Form VIII, Register of Workers Form IX, Muster roll From X, Overtime muster roll – Form XI, Individual control book Form XII,



    23. Whether individual control box is to be provided

    Yes.


    24. When the employer shall submit Annual Report.

    The employer of every motor transport undertaking shall submit annual return in From XIII to the Inspector before 1st Feb. of every succeeding year . 


    Bonus - FAQ

    1. Who is eligible to get Bonus?

    Every employee who has worked in the establishment for not less than 30 working days in an accounting year is entitled to the bonus. Sec. 8.


    2. For which Organisation the Act is applicable ?

    It applies to every factory and every other establishment in which 20 or more persons are employed on any day during an accounting year.


    3. What is the minimum service to get Bonus ?

    Every employee who has worked in the establishment for not less than 30 working days in an accounting year is entitled to the bonus. Sec. 8.


    4. What is the Minimum and Maximum amount to be paid as Bonus

    Minimum bonus of 8.33%. Maximum bonus of 20% of bonus on the wages earned by an employee in the accounting year.


    5. What is Bonus ?

    Bonus is annual statutory payment. The minimum bonus is considered deferred wage and any bonus payable in excess of the minimum bonus is a profit sharing.


    6. When the Bonus is to be paid

    Bonus shall be payable within a period of 8 months from the close of the accounting year.


    7. Is Bonus applicable to new Organisation ?

    No. New establishments are given infancy protection of 5 years to come under the purview of Bonus Act. However, the new establishments earning profits within the infancy period of 5 years shall pay the bonus for the accounting years in which they earn profits.


    8. What is allocable surplus ?

    60% of the available surplus in case of Indian companies / stablishments and 67% of the available surplus in case of foreign companies.


    9. What are the Registers to be maintained ?

    Register in Form A – Computation of allocable surplus.

    Register in Form B – Set-on and set-off of allocable surplus.

    Register in Form C – Bonus paid to the employees for the accounting year.


    10. What is the minimum rate and maximum rate of Bonus to be paid.

    Minimum bonus of 8.33%. Maximum bonus of 20% of bonus on the wages earned by an employee in the accounting year.


    11. Whether the value of food allowance to be included for calculation of Bonus ?

    Yes.


    12. Whether Over –time is to be included for the purpose of calculation of Bonus ?

    No.


    13. What are the components in wages not to be included for calculation of Bonus ?

    I) any other allowance which the employee is for the time being entitled to ;

    ii) the value of any house accommodation or of supply of light, water, medical attendance or other amenity or of any service or of any concessional supply of food grains or other articles.

    iii) any traveling concession;

    iv) any bonus (including incentive, production and attendance bonus);

    v) any contribution paid or payable by the employer to any pension fund or provident fund or for the benefit of the employee under any law for the time being in force

    vi) any retrenchment compensation or any gratuity or other retirement benefit payable to the employee or any ex-gratia payment made to him.

    vii) any commission payable to the employee.


    14. Whether an establishment consists of different departments /undertakings
    or
    branches are to be treated as a same establishment for the purpose of commutation of Bonus ?

    Yes.


    15. Whether Lay-off period is to be treated as working days?

    No.


    16. The Accident or maternity benefits are to be treated as working days or not?

    No.


    17. What are the penalties for non-payment of Bonus?

    Any person contravenes the provisions of the Act and the rules made there under shall be punishable with imprisonment for a term which may extend to six months or with fine with may extend to Rs.1000/- or with both.
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