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Take Steps........

To increase HR Compliance and

Stay Competitive

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about the presentation

The human resources (HR) function is at the centre of most employers’ efforts to identify, hire and retain the people the organization needs to execute its strategy and achieve its goals. But the HR function is a key player within the organization’s compliance structure as well.There are numerous laws and regulations governing the employment relationship that HR professionals must understand and navigate in order to help ensure their organizations avoid costly fines and other penalties, including the potential harm to the organization’s reputation.

This presentation will help the organizations to focus on the HR legal requirements and manage the HR compliance in an effective manner.

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Few facts....

Employment law suits have increased 400% in last 20 years

More than 90% of the companies – regardless of size seek outside advice on compliance

52% of mid-size companies report at least one recent incident of HR-related complaints, charges or lawsuits

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Compliance is a continuing challenge….

HR compliance

issues of Most

concern

Pay roll & Taxes

Recruitment & Hiring

Pay requirements

Workers compensation & insurance

Termination

Employee benefits

Risk and safety issues

Establishment related issues

Social Security related issues

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Purpose of Labour Legislations

• To protect the workers from profit seeking exploiters.

• To promote cordial industrial relations between employers and employees.To preserve the health safety and welfare of workers.

• To product the interests of women and children working in the factories.

• It establishes a legal system that facilitates productive individual and collective employment relationships, and therefore a productive economy.

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Labour Legislations contain the principles of social justice, social equity, social security and national economy.

• Social justice implies two things. First, equitable distribution of profits and other benefits of industry between owner and workers. Second, providing protection to workers against harmful effect to their health, safety and morality.

• Social equality provides the flexibility in labour legislations to adjust to the need of the industrial society.

• Social security envisages collective action against social risks which constitute the crux of the labour legislation.

• National Economy provides the standards to be set for the labour legislations.

Principles of Labour Legislations

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LAWS RELATED TO EMPLOYMENT & CONDITIONS OF SERVICE

1

2

The Factories Act, 1948

The Shops & Establishment Act, 1953

The Weekly Holiday Act, 1942

The Contract Labour (Regulation & Abolition) Act, 1970

3

4

1

2

The Trade Unions Act, 1926

The Industrial Employment (Standing Orders) Act, 1946

The Industrial Dispute Act, 19473

LAWS RELATED TO INDUSTRIAL RELATIONS

1

2

The Payment of Wages Act, 1936

Minimum Wages Act, 1948

LAWS RELATED TO WAGE PAYMENT

Payment of Bonus Act, 1965 3

Equal Remunerations Act, 19764

Laws to comply to meet the

challenges

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LAWS RELATED TO WELFARE & SOCIAL SECURITIES

1

2

Employees’ Provident Fund & Miscellaneous Provisions Act, 1952

Payment of Gratuity Act, 1972

Employees’ State Insurance Act, 19483

Maternity Benefit Act, 1961

Employees Compensation Act, 2010

4

5

LAWS RELATED CHILDREN, WOMEN & OTHER DEPRIVED AND DISADVANTAGED SECTIONS OF THE SOCIETY

1

2

3

Bonded Labour System (Abolition) Act, 1976

The Child Labour (Prohibition & Regulation) Act, 1986

The Sexual Harassment at the Workplace (Prevention, Prohibition and Redressal) Act, 2013

Laws to comply to meet the

challenges

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Application & Selection

Induction

Working Period

Exit

Competence assessment Non- Discriminatory

Screening and Selection

Conditions for employment Non- Discriminatory and

legal Conditions Induction training

Compliance to social laws for conducive environment for work Freely chosen employment Freedom of association and right to

collective bargaining Working hours Wages and benefits Discrimination Regular employment Disciplinary procedures

Health, Safety and Welfare

Capacity Building through Training

Work Cycle Legal requirements

Worker

Contract Worker

Laws related to Employment & Training

• Laws related to Working Hours, Conditions of Services and Employments

• Laws related to Wages• Laws related

to Equality and Empowerment of Women

• Laws related to Deprived and Disadvantaged Sections of the Society

• Laws related to Social Security

• Laws related to Labour Welfare

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It’s a matter of compliance to

international codes & practices as well

HR legal compliance will help you to comply with…..

1. Social Accountability 8000 standard

2. Ethical Trade Initiative Base Code

3. International Finance Corporation Guidelines

4. ILO recommendations

5. Other industry specific social codes & standards

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This is a

knowledge initiative

About the author:

Madhabi is a consultant of Verde Ventures, which provides consulting and advisory services in the field of business management. She worked in manufacturing and service industries in different people functions as an auditor, consultant and trainer. She has expertise in process development, strategic management in the areas of people excellence, sustainability and business excellence.

Madhabi is a trainer, consultant and assessor and worked with more than 100 organizations across India.

Madhabi is masters in human resource management and presently pursuing doctorate in management. She is a certified Neuro Linguistic programme practioner and trained social impact assessor. She has conducted 100+ assessments in different industries in the areas of HR, legal, social, CSR and sustainability. Her knowledge of industrial relations and labour laws helps her to contribute in the HR audits effectively.

Currently Madhabi iis heading the training service at Verde.

Madhabi can be reached at madhabi.guha@verde.co.in

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What Verde does?

Verde is an international advisory firm involved in the field of Responsible Business, Business Excellence and Risk Management.

1Assessment

Identifying the gaps in a system against standard(s) and requirement. to meet compliance and facilitate improvement.

2Consulting

Supporting & handholding organisations to solve their problems and to meet the gaps identified during the assessment or any other audit.

3Training

Empowering people to perform their duties effectively and efficiently.

4Assurance

& Certification

Ensuring that a process, product, or service meets relevant technical standardsand fulfils relevant requirements.

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Verde services in

People Excellence

• HR Audit

• HRD Climate Survey

• Workplace Stress Management

• Human Resource Process Management

• Performance Management

• Strategic Competency Management

Safety, Health & Environment

People ExcellenceFood Safety

Social Compliance

Quality & Business Excellence

Information Security