Meaning and Coverage of Worker under Factories Act 1948
Section 2(1) under the Factories Act, 1948 defines a "Worker" as a person employed directly or through any agency (including a contractor) with or without the knowledge of the principal employer, whether for remuneration or not, in any manufacturing process, or in any work incidental to or connected with the manufacturing process, but does not include any member of the armed forces of the Union.
The definition contains the following ingredients:
There should be 'a person employed'. The meaning of the word "employed":
The concept of "employment" involves three ingredients, i.e.
- Employer,
- Employee, and
- Contract of employment.
The 'employer' is one who employs, i.e., one who engages the services of other persons, whereas the 'employee' is one who works for another for hire.
Judgement of Chintaman Rao v. State of M.P. AIR 1958 S.C. 388 elaborates on the relationship between employer and employee as follows:
The employment is the contract of service between employer and employee where the employee agrees to serve the employer subject to employer control and supervision. The prima facie test for determining the relationship between the employer and employee is the existence of the right of the employer to supervise and control the work done by the employee, not only in directing what work the employee is to do but also in the manner in which he shall do his work.
Therefore, 'supervision and control' is the natural outcome when a person is employed by another person.
In the case of Shankar Balaji Waje v. State of Maharashtra, AIR 1963 Bom. 236, the question arose whether a bidi roller is a worker or not. The management simply says that the laborer is to produce bidis rolled in a certain form. How the laborer carries out the work is his own concern and is not controlled by the management, which is concerned only with getting bidis rolled in a particular style with certain contents. The Supreme Court held that the bidi roller is not a worker. The whole conception of service does not fit well with a servant who has full liberty to attend to his work according to his pleasure and not according to the orders of his master. Where the employer retains direction and control over the workers both in the manner of the nature of the work and its details, they will be held as workers.
Whether all employees are workers?
In Works Manager, Central Rly. Workshop Jhansi v. Vishwanath and others, it was held that the definition of worker does not exclude those employees who are entrusted solely with clerical duties if they otherwise fall within the definition of 'worker'. Timekeepers employed to maintain attendance of the staff, job cards particularly of the various jobs under operation, and time-sheets of the staff engaged in the production of spare parts, repairs, etc.; and head time-keeper who supervises the work of the timekeepers, perform work which is incidental to or connected with the manufacturing process carried on in the factory and would therefore fall within the definition of the worker in the Act.
Now it is very important to understand the nature of work of a departmental manager. Whether a departmental manager works under the supervision and control of the employer or the departmental manager has the liberty to work at his discretion.
In Shankar Balaji Waje v. State of Maharashtra, AIR 1963 Bom. 236, the question arose whether a bidi roller is a worker or not. The management simply says that the laborer is to produce bidis rolled in a certain form. How the laborer carries out the work is his own concern and is not controlled by the management, which is concerned only with getting bidis rolled in a particular style with certain contents. The Supreme Court held that the bidi roller is not a worker. The whole conception of service does not fit well with a servant who has full liberty to attend to his work according to his pleasure and not according to the orders of his master. Where the employer retains direction and control over the workers both in the manner of the nature of the work and its details, they will be held as workers.
In State of Kerala v. R.E. D'Souza, women and girls employed in peeling, washing, etc., of consignment of prawns brought on the premises at any time of the day or night, without any specified hours of work and without any control over their attendance or the nature, manner, or quantum of their work and who after finishing the work go to other premises in the locality where similar consignments of prawns are received, are not workers.
So, the deciding factor about the category of a departmental manager, whether it falls under the definition of worker or not, requires examining working conditions under employment like:
1. Whether the departmental manager's working hours are as per his own sweet will or not?
2. Whether the departmental manager's working method is out of employer supervision or not?
3. Whether the departmental manager's working is out of employer control or not?
If the answer to the above three questions is "No," then the departmental manager falls under the definition of a worker if he works within the factory for the manufacturing process or not.
If the answer to the above three questions is "Yes," then the departmental manager does not fall under the definition of a worker even if he works within the factory for the manufacturing process.
In the question of whether all employees are workers, the court said as follows:
Since the word employee has not been defined in the Act, it follows that all the workers within the ambit of the definition under the Factories Act would be employees, while all employees would not be workers (Harbanslal v. State of Karnataka, (1976)1 Karnt.J.111).
All persons employed in or in connection with a factory, whether or not employed as workers, are entitled to the benefits of the Act (Union of India v. G.M. Kokil, 1984 SCC (L&S) 631).
Once it is established prima facie that premises in question is a factory within the meaning of the Act, the provisions of Section 103 as to the presumption of employment are immediately attracted and the onus to prove the contrary shifts to the accused (Prafulbhai Patadia v. The State, 1976 (12) E.L.R. 329).