Thursday, July 26, 2012


Some employee benefits



Article 39 of the Constitution of India directs the state to ensure that there is equal pay for equal work for men and women. The act has been enacted to fulfill the directive set by the constitution. The Equal Remuneration Act, 1976 act stipulates that there should be no discrimination between genders in matters of remuneration for the same type of work (Section 4) and in recruitment and, subsequently, in promotions, training, or transfers (Section 5) unless the law explicitly prohibits employment of women.
Laws related to Social Security:
The workmen’s Compensation Act of 1923 is the earliest social security legislation in India enacted with the purpose of making the employer liable to pay compensation to employees who are affected by personal injury arising out of accidents. Compensation is payable for partial disablement [Section 2 (1) (g)] and total disablement [Section 2 (1) (1)].
The claim for compensation has to arise from event that is out of and in the course of employment, and hence necessarily has not taken place in the formal place of work. The expression out of course of employment refers to the causal connection between accident and employment while in the course of refers to the time of accident. If only one condition is fulfilled then the claim for compensation-n is not admissible.
The Employee State Insurance Act of 1948 has been enacted with the objectives of securing financial relief in cases of sickness, maternity, disablement and for providing medical benefits to employees of factories and establishments, and their dependents. The act is also applicable to non seasonal factories using power and employing 10 or more employees, and non power using factories and certain other establishment employing 20 or more employees. Employees and employers make contribution to the scheme and various benefits are given to eligible employees like:
Sickness Benefit – in cash [Section 46 (1) (a)]
Maternity Benefit – in cash [Section 456 (1) (b)]
Disablement Benefit – in cash [Section 46 (1) ( c)]
Dependents’ Benefit – in cash [Section 46 (1) (d)]
Funeral expenses – in cash [Section 46 (1) (e)]
Medical Benefit – as service and kind [Se5ction 46 (1) (e)]
The Employees’ Provident Funds and Miscellaneous provisions Act, 1952, is a social security legislation for employees working in factories and other establishment s. a dedicated Provident fund has been created with contributions from employer and employee. The objective is to provide monetary assistance to employees and their families, when they are in distress, unable to meet family and social obligations, and to protect them in old age, disablement, early death (of the employee) and in some other contingencies
Gratuity is an additional financial benefit given to employees of organizations irrespective of salary or status, when their services end because of superannuation, retirement or resignation or death, or disablement (Section 4). The Payment of Gratuity Act, 1972 act provides for gratuity payment to all employees at the prescribed rates (currently 15 days for every year of service).
Five years’ continuous service (as defined in Section 2 A) is required in order for an employee to be eligible (except in case of death or disablement) to receive gratuity. The maximum amount receivable as gratuity is Rs 350,000.
Guidelines for Handling Sexual harassment Complaints
There is no specific legislation in India that deals with sexual harassment of women at the work place. The Supreme Court of India, on the basis of a petition filed by NGOs and social activists has framed certain guidelines and norms to handle cases of sexual harassment of women.

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