Mizanur Robel, 01710500610

The Law of Employment

Q&A 01. The difference between express and implied contract
Basis for Comparison Express Contract Implied Contract
Meaning An express contract is one in An implied contract is one in
which the terms and which the terms and
conditions are spelled out in conditions are inferred by the
the contract, either verbally actions of the parties
or in writing. involved.
Existence of Contract Express contract is made by An implied contract comes
the words spoken or written. into existence as the result of
actions.
Contract creation By words By conduct or behavior
Example Leasing Agreement, Sale by fall of hammer in an
Trust Agreement auction sale,
Receiving Cash from ATM
John writes a letter to Harry, Roma, gives books to Alen by
offering to sell his house to mistake, which belongs to
him for 28 lakhs. Harry, by a Sera. Now, it is Alen’s
written letter, gives his obligation to return the books
acceptance of the proposal. to Roma; even there is no
Such a contract is known as intention to get into the
an express contract. contract.
Or,
Purchasing groceries from
mall or retail store is a great
example of implied contract.

Q&A 02: The rights and duties of employers and employees.

The rights of employers: Employers have the right to-
a. Decide on objective of business.
b. Hire suitable staff for their business
c. Dismiss dishonest or unsuitable staff
d. Expect loyalty from their staff
The duties of employers: As an employer, it is your duty to-
a. Provide a safe work place
b. Provide equipment & machinery that is in safe condition
c. Hire competent supervisors who ensure safe work procedures
d. Inform workers of their rights, responsibilities & duties
e. Provide adequate job training
f. Support & participate in the Occupational health & safety committee
g. Meet first aid standards
The rights of employees: Employees have the right to-
 A safe & healthy workplace
 Ask the employer to correct dangerous conditions
 Get information from employer about organization standards, worker’s rights.

The duties of employees: Employees have the duty to-

 Carry out their duties as stated in their contract of employment
 Arrive at work on time
 Be loyal & not disclose confidential business information
 Follow workplace rules & safety instructions
 Attend all training provided by the business.

Q&A 03: Social security compensation [CMA June 2019]

Social security compensation is paid out monthly to retired workers and their spouse who have,
during their working years, paid into the Social security system.
Social security compensation is also available to qualifying individuals who are completely and
permanently disabled.

Q&A 04: The difference between unfair dismissal and wrongful dismissal [CMA June 2018]
Unfair Dismissal:

 Unfair dismissal is a statutory claim and looks at the fairness of the dismissal
 Unfair dismissal happens when the employer didn’t have a fair reason to dismiss the
employee or the employer did have a fair reason but the matter was dealt with unfairly.
 Costs are rarely recoverable in unfair dismissal claims.
 Employees must have completed two years’ service before they are able to bring an
unfair dismissal claim.
Wrongful Dismissal:

 Wrongful dismissal is a claim of a breach of contract made by an employer

 Wrongful dismissal is where an employee has been dismissed without notice or an
employee has not been given the right amount of notice.
 A successful employer or employee may recover their legal costs in a wrongful dismissal
claim in the normal civil courts.
 There is no qualifying period of employment.
Q&A 05: The Legal procedures relating to retrenchment of workers. [CMA June 2021]
BD Labour act 2006, As per section 20 of this act-
(1) Retrenchment due to redundancy: A worker employed in an establishment may be retrenched
from service on the ground of redundancy.
(2) No worker who has been in continuous service for not less than one year under an employer
shall be retrenched by the employer unless-
(a) The worker has been given one month’s notice in writing, indicating the reasons for
retrenchment, or the worker has been paid in lieu of such notice, wages for the period of notice;
(b) a copy of the notice is sent to the chief Inspector or any other officer authorized by
him and also to the collective bargaining agent in the establishment, if any; and
(c) he has been paid, compensation which shall be equivalent to thirty days wages or
gratuity for every completed year of service if any, whichever is higher.
(3) Not with standing anything contained in sub-section (2), in the case of retrenchment of a
worker under section 16(7), no notice as mentioned in sub-section (2) (a) shall be necessary; but
the worker so retrenched, shall be paid fifteen days wages in addition to the compensation or
gratuity, as the case may be, which may be payable to him under sub-section (2) (c).
(4) Where any worker belonging to a particular category of workers is to be retrenched, the
employer shall, in the absence of any agreement between him and the worker in this behalf,
retrench the worker who was the last person to be employed in that category.
Q&A 06: How the contents of a contract of employment are established [CMA Dec 2007]
By law an employer must provide their employees with details of their employment terms and
conditions. It should include the following matters-
1. Names and Addresses of the Parties: The employers company details and the employees’
full name and address.
2. Employment Contract Start Date: The start date of the employment.
3. Employee's Job Title and Description: The employees’ job title and a description of the
common day to day duties which will be carried out by the employee, plus any additional
duties the employee may be expected to perform.
4. Place of Work: The employment contract allows the employer to specify the location
where the employee will work.
5. Duties
6. Working Hours: The employee's normal hours of work are specified within the
employment contract. Details of possible out of hours work must also be included
together with levels of overtime payments.
7. Probationary period and its duration: A probationary period can be agreed upon at the
beginning of the contract of employment. The probationary period cannot exceed six
months.
8. Salary: This details the employee's gross salary before tax, national insurance and any
deductions. It also specifies when and how payment will be made and may include details
of the timing of company pay reviews.
9. Annual holidays and holiday pay: An employee is entitled to the same remuneration for
the holiday period as when working.
10. Period of notice: A contract of employment that is valid for the present expires after
either the employee’s or employer’s period of notice

A7: How employers & employees are affected by health & safety legislation [CMA June 2017]
Regarding the Health and Safety at Work, it is the duty of every employer, as far as is practicable,
to ensure the health, safety and welfare of all employees.

In particular, they should:

• Provide and maintain plant and systems of work which are safe and without risk
• Make arrangements to ensure health and safety in relation to the use, handling, storage and
transport of articles and substances
• Provide adequate information, instruction, training and supervision
• Maintain safe places of work
• Ensure there is adequate access in and out
• Provide protective clothing and equipment to employees.
• Provide a safe and healthy working environment.
The duties of employees while at work include the following-
 To take reasonable care to protect the health and safety
 Not to engage in improper behavior that will endanger
 Not to be under the influence of drink or drugs in the workplace
  To report any defects in the place of work or equipment which might be a danger to health
and safety.
Q&A 08: Civil liability for occupational injuries [CMA June 2016, June 2021]

According to Bangladesh Labour Act 2006, employers are responsible for assuring safe and
healthful working conditions for employees. The compensation for occupational injuries states
that employers must pay a certain amount of money into a central fund each month. The amount
depends on how dangerous the industry is, how many workers are employed in the company
and the wages paid to the workers. This fund is called the Compensation Fund. If workers are
injured at work or get a disease caused by their work (occupational disease), they get paid out
of this fund.

Q&A 09: The prevailing rules for health & safety at work [CMA June 2016, June 2021]
In labor act 2006, health and hygiene related provisions are mentioned at section 51-60.
1) 51. Cleanliness: Every establishment shall be kept clean and free from effluvia arising
from any drain, privy or other nuisance.
2) 52.Ventilation and temperature: In every work room and in every establishment adequate
ventilation.
3) 57. Lighting: In every part of an establishment where workers are working or passing,
there shall be provided and maintained sufficient and suitable lighting, natural or
artificial, or both.
4) 58. Drinking water: In every establishment effective arrangement shall be made to
provide and maintain at a suitable point conveniently situated for all workers employed
therein, a sufficient supply of wholesome drinking water.
5) 59. Latrines and urinals: In every establishment sufficient latrines and urinals of
prescribed types shall be provided conveniently situated and accessible to workers at
all times while they are in the establishment.
Safety related provisions are mentioned at section 61-78.
1) 61. Safety of building and machinery: If it appears to the Inspector that any building or
part of a building or any part of the ways, machinery or plant in an establishment is in
such a conditions that it is dangerous to human life or safety, he may serve on the
employer of the establishment an order in writing specifying the measures which, in his
opinion, should be adopted, and requiring them to be carried out before a specified date.
2) 62. Precaution in case of fire: Every establishment shall be provided with at least one
alternative connection stairway with each.
3) 70. Revolving machinery: In every room in an establishment in which the process of
grinding is carried on, there shall be permanently affixed to, or placed near, each
machine in use a notice indicating the maximum safe working peripheral speed of every
grind stone or abrasive.
4) 75. Protection of eyes: The Government may, in respect of any manufacturing process
carried on in any establishment, by rules, require that effective screens of suitable
goggles shall be provided for the protection of persons employed on, or in the immediate
vicinity of a process.
5) 77. Precautions against dangerous fumes: In any establishment no person shall enter or
be permitted to enter any chamber, tank, vat pit, pipe, flue or other confined space in
 which dangerous fumes are likely to be present to such an extent as to involve risks of
persons being overcome thereby, unless it is provided with a manhole of such size, as
may be prescribed or other effective means of egress.
Q&A 10: Quasi Contract: [CMA June 2016]

A quasi contract is an agreement between two parties without previous obligations to one
another that has been created and legally recognized by the court system. Under this contract,
party is not expected to create such an agreement.

Q&A 11: Difference between Employee & Independent Contractor [CMA Dec 2015]
Basis for Comparison Employee Independent Contractor
Meaning A person hired by the A self-employed person who
employer, to work on a provides services to another
regular basis, in exchange for organization for a fixed
a fixed remuneration, is compensation is called
called employee. Independent Contractor.
Remuneration The remuneration for an The independent contractor
employee is the salary or draws income from each
wages project.
Working Area/Limitation An employee works solely for The independent contractor
the employer. works for several clients.

Using Tools/Materials An employee uses tools, The independent contractor

materials, equipment or any uses his own resources.
others resources which are
provided by employer.
Control & direction The employee works under The independent contractor is
the control & direction of the under no control and so he
employer. works at his own will.
Delegate the task The employee cannot An Independent contractor
delegate the task to another has the right to delegate task.
person.
Relationship An employee has a continuing The Independent contractor
relationship with the has a short term relationship
employer. with the client.

Q&A 12: You are the Senior Finance Manager of XYZ Garments Ltd. Your company retrenched 20
workers from sewing dept at the beginning of the year as there was insufficient work order &
company was making loss. Now after 6 month, the business environment has changed and there
is enough work order to profitability run the company. The board has decided to employ 15 new
workers for sewing dept and other 15 for different depts.. Having been informed of the new
appointment circular, the retrenched workers are demanding for their re-appointment. The
board seeks your advice. Advice the board on legal ground. [CMA Dec 2016]
The board is not bound to re-appoint the retrenched workers to their existing posts within the
new structure. The board is entitled to proceed with its plan for filling posts with suitably
qualified employees who had applied for the posts. The board may consider them for existing or
other posts for which they might have been suitable. But it is common practice among employers
to say to employees “ you must re-apply for your job or for another post within the organization
but if your application is unsuccessful you will be retrenched.”