Can We Legally Withdraw Employee Transport Facilities Due to Misconduct Issues?

Dear Sirs,

I am working in the large-scale Manufacturing Industry. Our workforce strength is 1000 per month. I have been provided transport facilities (pickup and drop) for all employees. Nowadays, employees are raising problems with transport activities, as some employees are engaging in undisciplined activities on the bus itself. We are unable to identify the individuals responsible for these actions. Additionally, we are already providing a Transport Allowance along with the salary.

In this situation, can we withdraw the transport facility for employees? If so, could there be any legal implications?

Please advise me.

T. Satchi

Transport facility provided by the company is a privilege given to the employees. But a privilege once given will become a right always. Certainly, the facility given shall be in concurrence with the provision in the Standing Orders. If you want to withdraw it, you can do so provided the standing order is amended accordingly. In fact, standing orders can be amended after 6 months of coming into force, but the same can be done only with the permission of the employees/employees' representatives thereto. I do not think that it is possible to withdraw a facility being enjoyed by the employees. But still, you can try that.

Regards,
Madhu.T.K

Thank you, Mr. Madhu,

I have not separate Certified Standing Orders. I have followed Model standing orders only. In this situation, I think Model standing orders have not mentioned these activities.

Regards,
T. Satchi

Being an organization with an employment strength of 1000, you are supposed to have certified standing orders. The model standing orders given in the Industrial Employment Standing Orders Act are just drafts to ease the process of drafting the standing orders by the respective employers. It cannot be presumed that in the absence of certified standing orders, the one given in the Act will apply. As you have not framed standing orders, you can either go for it now in consultation with employees' representatives. Otherwise, you can post a notice stating your decision to withdraw the transport facility on a future date. Don't withdraw it suddenly. Wait for the workers' reaction. I am sure that they will support your move. You can call them for conciliation during which you can explain the whole story that led to your decision to withdraw the facility. Alternatively, you can also mention the increase in costs such as diesel, etc. Try that.

Regards,
Madhu T.K

For any indisciplinary acts, you have to take action as per your standing orders. Withdrawal of customary facilities is not a legal solution. But just to create counter pressure, you may think of giving notice of change for withdrawal of bus facilities.

Hi,

Can you please tell me what Certified Standing Orders or Model standing orders are? I am not aware of these terms.

Regards,
Jyoti Negi

By model standing orders, we mean the model/draft of standing orders given in the Industrial Employment Standing Orders Act. You can take it as it is or by making your own additions or deletions thereto or can draft your own rules for your company. The standing orders so drafted have to be certified by an officer (normally not below the rank of Asst. Labour Commissioner) of the Labour Department of the State Government. The draft shall be signed by the employer as well as by a representative of the employees. If there are more than one recognized trade unions in the company, the draft shall bear the signature of all the trade union representatives. The signature of the employees (or representatives) in the standing orders implies concurrence of the employees.

Standing Orders certified by the competent authority are the certified standing orders. A certified standing order shall be in force for at least six months of its coming into force and shall be amended by mutual consent, which also requires similar formalities like drafting amendment notes, taking signatures of employees' representatives, and certification by the Labour Department.

Regards,

Madhu T.K

Standing orders or model standing orders will be framed at the time of company formation. In certain companies, there would be an agreement with the recognized Union as a welfare measure. Otherwise, the transport facility provided by the company is also a privilege given to the employees. If there is no agreement with the Union, the company should give notice stating that the transport facility is being withdrawn.

Dear,

Once the facility is given, it cannot be withdrawn legally. However, you have provided this facility voluntarily. You can take legal action against those who are creating indiscipline on the bus. You can only withdraw this facility illegally, or with the discussion of workers, or with an agreement with workers by offering something in lieu of the bus service.

Please ensure your standing orders are certified with the DLC or any other authority in your state.

Thank you.
JS Malik

Please advise on the procedure for amending any small part of a standing order or changing the language in a standing order. Also, please let me know if standing orders are made as per state rules and what rules are applicable in the state of Haryana for overtime. Can the denial of overtime by any worker be termed as misconduct on his/her part?

Dear Friend,

In general, transport facilities are an additional benefit provided to employees for their welfare and should not be considered obligatory on the management. Despite this, withdrawing the facility is not a good idea, considering the number of beneficiaries.

I would suggest identifying those who are causing indiscipline and taking appropriate action.

Thanks