India, the most populous country in the world, is home to world’s largest skilled and unskilled workforce. Moreover, most of that workforce is comprised of youth, which is unlike any other nation in the world. What this means is that youth represent the majority of the country. This is why working hours in India are moulded in a way that the youth of the country is not drained and have a healthy work-life balance. India has some of the most lenient labour laws when it comes to working hours. However, despite such favourable laws, India has one of the highest rates of suicide when it comes to corporate employees.
Why is this the case? Well, mainly because even after labour laws, employers try to cover up the fact that they are vastly outnumbered and use the existing employees to bridge the gap. In this blog, we will talk about some of the labour laws in place to moderate working hours in India and how you can approach your company if you find them in breach of it.
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Why are Labour Laws Important?
Although the labour laws have been in place since 1948, working hours in India were never designated, and more often than not, employees, skilled or unskilled, used to work a lot more than they are supposed to. However, in recent years, a lot has changed because companies are a lot more vulnerable now, due to the internet and social media. That being said, the need for labour laws is more evident now than ever. Especially when companies that make up the list of “the best companies to work for” discuss weeks with more than 60 work hours.
Recently, the founder of Infosys, Narayana Murthy, argued for a 70-hour work week, citing India’s growing ambition as the reason for his comment. Moreover, the Chairman of L&T, SN Subrahmanyan, argued for 90-hour weeks. This is especially terrifying because both of these companies are considered the “best companies to work for.”
Without labour laws, Employees will have to work day and night, that too under the impression that they can be jobless in a second if their employer ever want it.
Labour Laws in India
Working hours in India, along with the pay of employees, are protected under various labour laws in India. Before naming them, we have to point out that some of them were already in place at the time of independence, while some are as new as 2020. Here are some of the most prominent:
Historic Laws
Factories Act, 1948
The Factories Act of 1948 oversees the well-being, safety, and work environment of factory workers. It limits weekly working hours in India to 48 hours, ensures breaks during shifts, and offers paid yearly leave after completing 240 days of employment.
Minimum Wages Act, 1948
The Minimum Wages Act, also from 1948, establishes a baseline wage for workers, determined by the government depending on the area and sector. Employers are required to follow these wage standards to protect workers from unfair pay practices.
Payment of Wages Act, 1936
The Payment of Wages Act of 1936 ensures that workers receive their salaries on time, generally by the 7th or 10th of the next month, based on the size of the organisation.
Maternity Benefits Act, 1961
The Maternity Benefit Act of 1961, revised in 2017, does not talks about the working hours in India but provides women employees with six months of fully paid maternity leave, along with extra leave for situations like miscarriage or medical termination of pregnancy.
Employees’ Provident Fund and Miscellaneous Provisions Act, 1952
The Employees’ Provident Fund and Miscellaneous Provisions Act of 1952 mandates contributions from both employers and employees to a retirement fund, securing financial stability after retirement.
Employees’ State Insurance Act, 1948
The Employees’ State Insurance Act of 1948 offers medical care, sickness benefits, and maternity support to workers earning below a certain income limit.
Industrial Disputes Act, 1947
The Industrial Disputes Act of 1947 helps resolve conflicts between workers and employers, addressing issues like strikes, layoffs, and retrenchments to maintain peace in industrial settings.
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Modern Laws
Industrial Relations Code, 2020
Streamlines union registration, dispute resolution, and strike rules, replacing the Industrial Disputes Act, 1947, to balance worker and employer interests.
Code on Social Security, 2020
This new code gives more emphasis to employee well-being than working hours in India. Moreover, it expands social security for unorganised sector workers, covering provident funds, pensions, maternity benefits, and health insurance for better protection.
Occupational Safety, Health, and Working Conditions Code, 2020
Updates worker safety laws, setting new health, safety, and welfare standards to protect workers in hazardous environments and enhance workplace conditions.
Code on Wages, 2019
Standardises wage rules, ensuring timely payments, minimum wages, and overtime pay for fair compensation across industries with simpler administration.
A War Against Excess Working Hours in India
Even after so many laws for the well-being of employees, employers can still encourage long working hours in India. To fight this, all you have to do is note the violations by your employer and then contact the local labour inspector in your area and file a formal complaint. If the complaint goes unnoticed, hire a lawyer to help you escalate the matter to the labour court.