Presentation on Industrial

Employment (Standing
Order) Act,1946.

Historical background

There was no uniformity in the conditions of service of

workers until this Act was brought.
The absence of standing order, clearly defining the rights and
obligations of the employer
The demand for statutory service conditions was first raised by
Bombay Cotton Textile workers in 1927-28.
The Bombay Industrial Disputes Act of 1938 provided, for the
first time, for statutory standing orders.
The Labour Investigation Committee 1944-46 observed: An
industrial worker has the right to know the terms & conditions
under which he is expected to follow.
2

 Definition under the Act (Sec.2)

Standing Orders mean rules
relating to matters set out in the
Schedule to the Act [Sec.2(g)] to be
covered and in respect of which the
employer has to draft for submission to
the Certifying Officer, are matters
specified in the Schedule
3

OBJECTIVES
To require employers to define the
conditions of work
To bring about uniformity in terms and
conditions of employment
To minimize industrial conflicts
To foster harmonious relations between
employers and employees.
To provide statutory sanctity and
importance to standing orders
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SCOPE AND APPLICATION

The Act extends to the whole of

India
It apply to every establishment
wherein 100 or more workmen
are employed or employed on
any
day
preceding
twelve
months.
5

 The appropriate Govt. can exempt

any establishment from any of the
provisions of the Act
It applies to railways, factories,
mines, quarries, oil-fields, tramways,
motor services, docks, plantations,
workshops, civil construction and
maintenance works.
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 The Act is applicable to all workmen

employed in any industrial establishment
to do any skilled or unskilled, manual,
supervisory, technical, clerical work.
Even the apprentices are also included.
But the persons employed mainly in a
managerial/administrative/supervisory
capacity drawing
wages exceeding
Rs.1600 are not covered
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STANDING ORDERS

Classification of the workmen : temporary, casual,

apprentices
Manner of intimating to workmen periods and hours of
work, holidays, pay-days and wage rates
Shift working
Attendance and late coming
Conditions of, procedure in applying for, and the authority
which may grant leave and holidays
Requirements to enter premises by certain gates and
liability to search
Closing and reopening of sections of the establishments, or
temporary stoppages
Suspension or dismissal for misconduct and acts and
omissions which constitute misconduct
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Procedure for the Approval of

Standing Orders
The main provision that deal for the approval of
Standing Orders are:
1. Procedure for the submission of Draft Standing
Orders
[Section 3].
2. Procedure for the Conditions for Certification of
Standing Orders [Section4].
3. Procedure for Certification of Standing Orders
(Procedure for Adoption) [Section 5].
4. Appeals [Section 6].

Procedure for the submission of

Draft Standing Orders
1. Within 6 months from the date on which this Act
becomes applicable to industrial establishment, the
employer shall submit to the Certifying Officer 5
copies of the draft standing orders proposed by him.
2. Provision shall have to be made as such every matter
set out in the Schedule which may be applicable to
the industrial establishment and were model
standing orders have been prescribed.
3. Subject to such conditions as may be prescribed, a
group
of
employers
in
similar
industrial
establishments may submit a join draft or standing
orders under this section.

Procedure for the Conditions for

Certification of Standing Orders
The standing order to be certified by the certifying officer
under certain conditions:
1. If provision is made therein for every matter set out
in the schedule which is applicable to the Industrial
Establishment; and
2. If the standing orders are otherwise in conformity
with the provision of this Act and it shall be the
function of the Certifying Officer or appellate
authority to reasonableness of the provision of any
standing orders.

Procedure for Certification of

Standing Orders (Procedure for
Adoption)
1. The Certifying officer receipt of the draft Standing
Orders from the employer shall forward a copy of the
draft standing orders to the recognized trade union of
the establishment seeking submission of objection to
draft standing orders if any.
2. The standing orders came into operation on the
expiry of 30 days from the date on which the
authenticated copies of the standing orders are
forwarded to the employer and the workmen by the
certifying officer.
3. The conditions of employment, which will be binding
on the employer and the workmen from the date
when they become operational.

Appeal of Standing Orders

Any employer, workmen, trade union or other
prescribed representatives of workmen aggrieved by
the order of the Certifying Officer may appeal to the
appellate authority within 30 days from the date on
which copies are to be sent to them.

The appellate authority may confirm the standing

orders as certified, or may make modifications or
additions to render them certifiable and it has to send
copies of the same to the concerned person within 7
days of the order[Sec. 7].

Modification of Standing Orders

Standing Order finally certified under the Act shall not,
except on agreement between the employers and the
workmen or their Trade Union be liable to modification
until the expiry of 6 months from the date on which
the standing orders came into operation.
Subject to the provision of sub-section (1), an
employer or workman or a trade union or other
representative body of the workmen may apply to the
Certifying Officer to have the standing orders
modified, and such application shall be accompanied
by 5 copies of the modifications proposed to be made.

Certifying Officer
Definition:The certifying officer under standing order act
means Regional Labor Commissioner, Labor Commissioner or
other officer appointed by the appropriate government by the
notification in the Official Gazette, to perform all or any of the
functions of certifying officer under Act.

Powers of Certifying Officer:Every Certifying Officer and appellate authority shall have all
the powers of Civil Court for he purpose of:
1.
2.
3.
4.

Receiving Evidence,
Administering oaths,
Enforcing the attendance of witness, and
Compelling the discovery and production of documents.

Payment of Subsistence Allowance

Where any workmen is suspended by the employer
pending investigation or inquiry into complaints or
charge of misconduct against him, the employer shall
pay to such workmen subsistence allowance:
a. At the rate of 50% of the wages which the employer
is entitled to immediately preceding the date of such
suspension, for the 90 days of suspension; and
b. At the rate of 70% of such wages for the remaining
period of suspension.

Offences and Penalties

An employer fails to submit the draft Standing Orders as
required by Section 3 or who modified his standing orders
otherwise with sec.10 shall be punishable with fine which
may extend to Rs.5000 and in case of continuing offence
with a further fine of Rs.200 for every day after the first
during which the offence continues.
An employer who does not act in contravention of the
standing orders finally certified under this act for industrial
establishment shall be punishable with fine which may
extend to Rs.100 and in case of continuous offence with
further fine of Rs.25 every day after the first during which
the offence continues.
No persecution for any offence punishable under this section
13 shall be instituted except with the previous sanction of
the appropriate government. It can be tried only in the Court
of a presidency magistrate or the second class magistrate.