Labour Law & Hr Consultant
Hr & Intl.standards Consultancy

Thread Started by #shreeyaconsultancy

A company with three manufacturing units is having it's certified standing orders. It is written in the order under the heading -Applicability - 'any other unit which may come up in future'.
The company , put up a new manufacturing unit in 2016, of same product of old units, near to one of the old units in same city.
In one of the social audits , the auditor raised objection that, the old certified standing order is not applicable to new unit as new unit's name is not mentioned in applicability paragraph of the old certified standing orders.
Questions -
1. when it is written the CSO will be applicable to any other unit which may come up in future , whether objection on applicability is justified?
2. Whether, the elected Works Committee, through a resolution can get the old CSO applicable to new unit?
3. Whether 1 & 2 are illegal? Whether, the normal process of certification must be followed?
I request the members to kindly help me in finding a solution.
Shreeya Consultancy
Social Accountability compliance, Values and HR systems implementation
1st February 2018 From India, Delhi
Dear Mr.Misra,
If the elements of common balance sheet and functional integrality are present, the various units of the same Company can be construed as one organic establishment for the purpose of application of the Standing Orders certified in respect of the Company as a whole. When the applicability of the standing orders has been explicitly extended to any other future unit of the Company by the competent Certifying Authority under the special Law, the objection of the auditor is an act of excess of enthusiasm. Simply ignore it. If at all any objection is to be raised in this regard, it is the workmen of the establishment and no one else. If the workmen of that particular unit feel such an arrangement is detrimental to their interest, they alone can demand a separate standing orders for them. So far they are silent means that they unequivocally accept it. Then why should there be such an attempt through the exercise described in the post? Is it to satisfy the audit? I don't think that the social auditor is competent to raise such an objection on a matter decided by the competent authority under the Act. Let the management furnish a reply to the audit accordingly.
2nd February 2018 From India, Salem
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