Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

India Enacts Rights of Persons with Disabilities Act, 2016

Enacted Legislation

Author: Manishi Pathak, Partner — Cyril Amarchand Mangaldas

Effective December 28, 2016, the Rights of Persons with Disabilities Act, 2016, brings India in compliance with the Convention on the Rights of Persons with Disabilities, 2006, to which India is a signatory. The Act also repealed the Persons With Disabilities (Equal Opportunities, Protection of Rights and Full Participation) Act, 1995 (the “1995 Act”). The 2016 Act has made advances in several areas, particularly with regard to including the private sector within the regulatory framework. Besides ensuring equality and non-discrimination, the 2016 Act bestows on disabled people rights of protection and confers reproductive and voting rights, as well as broadens the definition of “disability” to cover about 21 conditions (in contrast, the 1995 Act covered only seven). Once the central and state governments notify rules for carrying out the provisions of the 2016 Act, there will be more clarity with regard to implementation of the 2016 Act and its impact on the private establishments.

Ease of Compliance to Maintain Registers Under Various Labour Laws Rules, 2017 (“Rules”)

Enacted Legislation

Author: Manishi Pathak, Partner — Cyril Amarchand Mangaldas

On February 21, 2017, the Ministry of Labour and Employment announced the “Ease of Compliance to Maintain Registers under various Labour Laws Rules, 2017”, aiming to simplify doing business in India. There are a large number of labour laws in India and their compliance through individual registers has always been a big challenge in the ease of doing business in the country. The Rules prescribe that the employer can henceforth maintain combined registers in the forms specified under the Rules, and also allow the employers to maintain them either electronically or otherwise. There are nine major legislations, for which the compliance regime has been simplified.

Singapore Citizens Working in India Exempted from Contribution to EPFS and EPS

New Regulation or Official Guidance

Author: Manishi Pathak, Partner — Cyril Amarchand Mangaldas

As per this notification EPFO field offices are reiterated that the Singapore citizens working in India purely as temporary workers and who do not hold the status of permanent residents in India are to be treated as "Excluded employee". Thus they are exempted from contribution to social security schemes in India.

Amendment in Contract Labour (Regulation and Abolition) Maharashtra Amendment Act, 2016

New Regulation or Official Guidance

Author: Manishi Pathak, Partner — Cyril Amarchand Mangaldas

This was published on January 5, 2017, increasing the limit from 20 workmen to 50 workmen with respect to applicability of the Contract Labour Act.

Employees’ State Insurance (Central) Amendment Rules, 2017

New Regulation or Official Guidance

Author: Manishi Pathak, Partner — Cyril Amarchand Mangaldas

Introduced the concept of commissioning mother and a woman who legally adopts a child up to three months of age under the ‘insured women’ and further, also increases the maternity benefit from ‘12 weeks’ to ‘26 weeks’.

EPFO Notification to All Employers Concerning Engaging Contractors

New Regulation or Official Guidance

Author: Manishi Pathak, Partner — Cyril Amarchand Mangaldas

The Employee Provident Fund Organisation notification mandates the employers to ensure that a contractor is registered with EPFO before awarding any contract to the contractor. Subsequently the principal employer is mandated to enter the contractor details in the EPFO portal. Further, principal employers should only make payments to the contractor after verifying that the statutory PF payments have been made by the contractor (s) to the Employee Provident Fund Organisation.

Maternity Benefit Amendment Bill

Proposed Bill

Author: Manishi Pathak, Partner — Cyril Amarchand Mangaldas

The Maternity Benefit Act 1961 (“MB Act”) regulates the employment of women employees in factories, mines and shops or establishments for certain periods before and after childbirth and provides for post-delivery care to the working women and other benefits. The Maternity Benefit (Amendment) Bill, 2016 (“MB Bill”) seeks to amend the existing MB Act. Some of the key highlights: (1) Increase paid maternity leaves from 12 (twelve) weeks to 26 (twenty-six) weeks; (2) Extend maternity leave for adoptive and commissioning mothers; (3) Introduce work from home option for women employees post the expiry of the 26 (twenty-six) week period; and (4) Mandate employer of every establishment employing 50 or more women employees to provide crèche facility, etc. The MB Bill passed through the Upper House (Rajya Sabha) and the Lok Sabha (Lower House) and is all set to become a statute on and from the date of its publication in the Official Gazette.

Employees Compensation (Amendment) Bill, 2016 (“EC Bill”)

Proposed Bill

Author: Manishi Pathak, Partner — Cyril Amarchand Mangaldas

The Employees Compensation Act, 1923 (“EC Act”) provides compensation to employees or to employee’s dependants in case of their death, in situations where the employee cannot continue to work due to industrial accidents arising out of and in the course of their employment. Some of the key features of the EC Bill are that it mandates employer to inform or create awareness of the employee’s right to receive compensation. Further, the EC Bill prescribes for penalty in case of default on the part of the employer to create such awareness. Also, the EC Bill aims to increase the minimum amount of compensation that is required to file an appeal against any order of compensation from INR 300 (Indian Rupees three hundred) to INR 10,000 (Indian Rupees ten thousand), subject to the power of the Central Government to further increase this limit. While the bill was introduced and passed in the Lower House (Lok Sabha) on August 9, 2016, the EC Bill is yet to be passed by the Upper House (Rajya Sabha).

Model Shops and Establishments [(Regulation of Employment and Conditions of Service) Bill, 2016 (the “Bill”)]

Proposed Bill

Author: Manishi Pathak, Partner — Cyril Amarchand Mangaldas

The Union Cabinet finalized and approved the Bill and the same has been sent to States across India, with a recommendation to either modify their state specific legislation as per the requirement stipulated under the Bill or to adopt the said Bill as it is. The Bill is applicable to all establishments employing 10 or more workers and exempts manufacturing units from its purview. The salient features of the Bill relate to condition of service of employees, inter alia, working hours, safety of women, discrimination against women, arrangement of crèche at workplaces, provision of paid leaves to employees, safety and welfare of employees, night shifts, etc. One of the most outstanding features of this Bill is that it may allow the commercial establishments to operate round the clock and on all days of the week, if so required

Labour Code on Industrial Relations and Wages

Proposed Bill

Author: Manishi Pathak, Partner — Cyril Amarchand Mangaldas

The Union labour ministry had drafted a new legislation to merge three central labour laws – Industrial Disputes Act, 1947, the Trade Unions Act, 1926, and the Industrial Employment (Standing Orders) Act, 1946. into one, in an attempt to encourage compliance and improve the ease of doing business. The Central (Federal) Government is also considering merging four wage-related laws, the Minimum Wages Act, the Payment of Wages Act, the Payment of Bonus Act and the Equal Remuneration Act into one statute.