The relationship between an employer and an employee is the primary dividing line between labour law and employment law. Employment law encompasses a broad range of legal issues arising out of interactions between employees and their respective employers.
Labour law encompasses the body of law that regulates interactions between employers and groups of people (like a company or union). Both terms are often used interchangeably because of their similarities and common usage.
However, these two methods of treatment are not the same. The practice of law is broad enough to allow for specialists. Therefore, it is crucial to understand whether you will be represented by a labour lawyer in Chandigarh or a lawyer specialising in employment law.
What is the Labour Law in India?
The relationship between a worker’s trade union and the state is reflected in labour law. Connecting the government with the working class, it plays a crucial role in protecting workers’ rights, wages, and unions. It’s meant to safeguard employees, workers, and labourers by informing them of their legal protections. Having a uniform set of laws governing how work is done is also beneficial. Many people confuse employment law with the law of labour. In reality, the relationship between an employer and an employee falls under the purview of employment law. However, employment law is more concerned with issues such as discrimination, wrongful termination, and individual employment contracts.
What is an Employee Agreement?
The terms of employment between the parties are outlined in the agreement. Let’s say they include this provision in the contract. In such a scenario, both the employer and employee have a duty to treat each other with respect and trust and to make reasonable requests of one another within the bounds of the law. The agreement can apply to temporary, contract, and permanent work arrangements. Labour law and employment law are two branches of law that deal with different aspects of the same general topic: the employment relationship. The terms of employment, including but not limited to duties, hours worked, compensation, benefits, confidentiality, vacation time, and other entitlements, are set forth in this agreement.
- Salary
- Benefits
- Timetable for Work
- Budgeted time off allotment
- Confidentiality restrictions
- Preserve the rights of business owners.
- Establish Goals
Employment Laws Checklist
When an employer decides to hire a new employee and both parties are ready to begin work immediately, the employer may wish to begin by giving the employee a letter that explains the terms in greater depth. An employment agreement and a letter of intent for employment are two common documents used in such scenarios. It’s not always necessary for contractors to use a formal employment agreement. Service agreements are an alternative form of legal contract that should be used by independent contractors.
What is the Employment Law in India?
Contracts and a wide variety of federal and state laws govern the employment relationship in India. To consolidate 29 labour laws enacted at the federal level, the Ministry of Labour and Employment (“Ministry”) proposed four bills in 2019. The primary motivation was to streamline the process of harmonising and consolidating laws pertaining to:
Employment
Safety nets
Conflicts in the workplace
The following acts were enacted after these bills were introduced:
Salary Standards Act of 2019
The 2020 Code of Industrial Relations
The Health and Safety in the Workplace Act of 2020
The Social Security Act of 2020 Code
When it Comes to Employment and Labour Law, who is involved?
Despite the fact that everyone who works is involved, some people may not come into direct contact with employment or labour law very often. These two areas of law and HR have the highest potential for continuous interactions. Human resource professionals play a crucial role in ensuring that their organisation and its staff adhere to all applicable local, state, and federal health and safety laws. While labour law is concerned with issues that affect the workforce as a whole, employment law is concerned with the rights and protections of individual workers. Union leaders rely on their expertise in labour law to ensure that their organisation and their employer are acting fairly and legally in the workplace. Employers can also benefit from knowing the rules of employment.
Employment and Labour Laws in India
In India, labour law falls under one of five broad headings. The laws are based on the Indian Constitution and on resolutions passed at international labour conventions. The term “Indian law on labour” refers to the body of laws that govern employees in that country. There are over fifty laws at the federal level and countless more at the state level. The federal and state governments of India have historically prioritised strict enforcement of labour laws in an effort to offer the greatest possible protection to the country’s workforce. Employment contracts must follow the requirements set forth by the law on contracts that govern employment contracts, as well as any additional rules that may be set forth by applicable provisions of labour laws.
Note: If you need any legal assistance, SL legal services is a best law firm in Chandigarh you can reach out.
The Standing Orders of the Establishment
The labour laws of India broadly classify businesses into two groups. To better understand these two groups, please read on:
The Shops and Establishment Act
The implementation of this act varies from state to state. There is statewide legislation known as the Shops and Establishments Act. This Act is also intended to provide employees and employers in the unlicensed retail and service establishment sectors with certain legal duties and protections. This Act applies to all employees of a business, paid or unpaid, with the exception of the immediate family members of the business owners.
Factory
Manufacturing facilities with ten or more employees are considered factories for the purposes of the Factories Act of 1948. Any process that uses electricity can be considered a factory. Workers’ rights to safe and healthy workplaces and adequate time off are guaranteed by the cited law. The State Authorities have rulemaking authority under the aforementioned Act to ensure that the state’s actual situation is reflected in the implementation. Safeguards against workers’ exposure to and use of hazardous substances in the workplace are mandated by the Act. It also handles the establishment of guidelines and procedures for use in times of emergency.
Conclusion
This article’s facts are gleaned from official studies of India’s legal code. At the time of writing, it has been verified as accurate and trustworthy. However, developments after the date of publication may render the data inaccurate. There is a significant distinction between labour and employment laws, and we hope you are aware of this.