The four new labour laws, which are only awaiting a government notification of effective date for roll-out, promise a lot of benefits for the salaried class. However, the gains an employee would get would depend on how he/she is categorised.
The new labour laws divide employees into two categories - 'workers' and 'employees'. A 'worker' is an individual who has no managerial or supervisory role. An 'employee' covers all individuals who are workers as well those working in a managerial and supervisory position in an organisation. Certain provisions under the new labour laws are not applicable to employees working in a managerial or supervisory capacity. This means that managers (employees working in a managerial/supervisory role) are not likely to get many benefits vis-à-vis 'workers' under the new labour laws.
The four codes under the new labour laws
The four new labour laws are the Code on Wages, Code on Social Security, Industrial Relations Code and the Occupational Safety, Health and Working Conditions Code (OSHWC).
Let us look at the benefits that a manager will NOT get under the new labour laws.
Puneet Gupta, Partner, People Advisory Services, EY India says, "Out of the four new labour codes, the Code on Wages and the Code on Social Security are applicable to all types of employees - i.e., both workers and managers. However, specific provisions of the OSHWC and the whole of the Industrial Relations code are applicable to only workers. These laws will not be...
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