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Lok Sabha passes bill on higher compensation for employee's injury

Labour and Employment Minister Bandaru Dattatreya said the government was committed to ensure protection of jobs, wages, social security and fair wages to workers

Reforms have been slow because of unions, Oppn: Bandaru Dattatreya

Press Trust of India New Delhi
Lok Sabha on Monday, passed a bill that provides for higher compensation in case an employee is injured in industrial accident and has a provision for hefty penalty in case any violation by the employers.

The Employees Compensation (Amendment) Act 2016 was passed by voice vote after Labour and Employment Minister Bandaru Dattatreya said the government was committed to ensure protection of jobs, wages, social security and fair wages to workers.

Replying to a debate on the bill, he said the new legislation provides for payment of compensation up to Rs 50,000 to Rs 1 lakh to employees and their dependants in the event of injury by industrial accidents, including occupational diseases.
 

The Bill, the minister said, also provides a hefty penalty in case of an violation by an employer which could prove to be a "deterrent" to the employees.

Insisting that the NDA government is a "pro-worker" and "pro-labour", the minister said efforts have been made to expedite the pending labour cases in courts.

As of June 2016, there were 17,289 such cases with every year witnessing an addition of 1320 cases, he added.

Talking about "achievements" of the Modi dispensation, he said the labour unions had called for a strike on September 2 but he addressed seven of the ten demands raised by them.

The government has also increased the minimum pension from Rs 350 crore to Rs 1000 crore, Dattatreya said.

He said the government has also launched a National Career Service Portal, in which 9 lakh people have registered.

Codification of 44 laws is also being done in four major segments — Codes on Wages, Social Security, Safety, the minister said.

Taking a jibe at the Congress, he said a lot of misinformation is being spread through the House.

The Labour Minister also promised all possible steps to protect those working in tea plantation sites and from the ship building industry.

He said the Bill also demands that an employer informs the employee of his right to compensation under the Act. Such information must be given in writing (in English, Hindi or the relevant official language) at the time of employing him.

He said penalty for failure to inform the employee of his right to compensation may be between fifty thousand to one lakh rupees.

Participating in the discussion, Dushyant Chautala (INLD) said the Bill would bring down the number of court cases.

"Until and unless there is legal punishment, employer will not stop harassing his employer," he said.

Arun Kumar (RSLP) said in a race to maximise profit, employers overlook the safety of the workers. He added that the environment of exploitation of labourers in the country is frightening.

"Stricter laws should be passed in the interest of the labourer and the implementation of the law should be in a better manner," he said.

Ajay Misra (BJP) said "Labour laws should be such that they are in the interest on the labour." He added that the labourers should be aware of their rights.

Badruddin Ajmal (AIUDF) said attention should be paid to the condition and salaries paid to the labourers working in the tea plantation.

Among others who participated in the discussion were Sunil Baliram Gaikwad (BJP), E T Mohammed Basheer (IUML) and N K Premachandran (RSP).

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First Published: Aug 09 2016 | 8:02 PM IST

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