Industrial Employment Standing Orders Act

Industrial Employment Standing Orders Act:

This Act is to require employers in industrial establishments to formally define conditions of employment under them and submit draft standing orders to certifying Authority for its Certification. It applies to every industrial establishment wherein 100 (reduced to 50 by the Central Government in respect of the establishments for which it is the Appropriate Government) or more workmen are employed. And the Central Government is the appropriate Government in respect of establishments under the control of Central Government or a Railway Administration or in a major port, mine or oil field.

Under the Industrial Employment (Standing Orders) Act, 1946, all RLCs(C) have been declared Certifying Officers to certify the standing orders in respect of the establishments falling in the Central Sphere. CLC(C) and all Dy.CLCs(C) have been declared Appellate Authorities under the Act.

Standing Orders:

Standing order means the rules of conduct for workmen employed in industrial establishment relating to matters like attendance, leave, misconduct etc. enumerated in the Schedule.

Model Standing Orders:

To the Industrial Establishment Model standing orders are temporarily applicable to an industrial establishment for the period commencing on the date on which the Act becomes applicable and ending with the date on which Standing Orders certified  under the Act come into operation in the industrial establishment.

Object of the Act:

a.To minimize industrial conflicts

b.To require workers to define the conditions of the worker’s

c.To maintain harmonious relations between employer and employee

Applicability of the Act:

a.The Act is applicable to every establishment employing 100 or more workmen.

b.In the Stateof Maharashtra the Act applies to every industrial establishment in which 50 or more workmen are employed and every establishment to which the Bombay Shops and Establishments Act applies.

Not applicable to:

a.To which Bombay Industrial Relations Act, 1946 applies,

b.To which Madhya Pradesh Industrial Employment (Standing Orders Act, 1961) applies.

c.To which Civil Service Rule applies.

The Act is not applicable to establishments to which BIR Act, MPIE (S.O.) Act and Civil Service Rules as their provisions are similar to the provisions of the IESO Act, 1946.

The Divisional Bench of the Bombay High Court in the case of Balakrishna Pillai V.s. Anant Engineering Works Pvt. Ltd. answered the question in the negative for the following 3 reasons:

a.The provisions of the Act related to initial application of the Act as a condition precedent.

b.There was nothing in the Act providing for cessation or discontinuation of the application of the Act on account of fall in the number of workmen.

c.The Act is a beneficial legislation enacted for the purpose of defining with certainty the terms of contract of employment thus guaranteeing the workmen their conditions of service.

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