I am in a manufacturing unit as HR exe.
I am facing a prob. here ,as what compensation should be given to the workers,if the unit remain closed or sealed due to not applying some statutory norms related to Pollution,and employer had to return back some workers for not having production.Pls Clear all the limits of layoff and its compensation. :?:
Thanks n regards
Regarding Laid-Off compensation, ;
As per Industrial DisputesAct,1947Section 25-C says that a workmen shall be paid by the employer for all days during which he is so laid off, except for such wekly holidays as may intervene, compensation which shall be equal to 50% of the total of the basic wages and dearness allowance that would have been payable to him had he not been so laid off.
If any detailed notes on this my please refer I.D Act 1947.
If any company closed for a temporary period (short duration) its called at Lay-off. At the same time if it closed permanently (or without any result) its Lock-out.
But as per BMS Kumar its right of giving 50% of basic wages to the employees at the time of Lay-Off. but before that you have to confirm which type of employees are they? whether temporary/permanent/contract workers.
If I am not wrong Lock out is not permanent closure but it is just temporarily denial of work by the management to show protest just like strike by the worker. In strike workers refuse to work while in lock out management refuse to give work to show protest against the workers. Here it is imperative to mention that Lock Out is not Lay Off and hence no wages are payable to the workers if lock out is called through legal procedures. Generally Lock out is called against unfair practices by the workers.
Lay off or lock out, if there is anything employees can do to change the decision of management that would be negotiation to get best possible compensation and supports during difficult time frame.
From worker side is there any way doing strike and getting help from union to get compensation , let me know.
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