LexThe Telangana Industrial Workers (Representation, Participation in Management and Relief) Act, 1998.
Telangana · state statute
Open in Lexace · Ask the AI about this actTHE TELANGANA INDUSTRIAL WORKERS (REPRESENTATION,
PARTICIPATION IN MANAGEMENT AND RELIEF) ACT, 1998.
(ACT NO. 24 OF 1998)
ARRANGEMENT OF SECTIONS
Sections
CHAPTER - I
PRELIMINARY
1. Short title, extent, application and commencement.
2. Definitions.
CHAPTER - II
RECOGNITION OF UNIONS.
3. Levels of recognised unions.
4. Power to amend First Schedule.
5. Determination of industrial units.
6. Chief Election Authority.
7. Election Authorities.
8. Powers of election authority.
9. Registers.
10. Returns.
11. Existing Recognised Unions.
12. Application for recognition.
13. Manner of election.
14. Eligible voters.
15. Declaration of results.
16. Recognition in case of single union.
17. Appeal.
2 [Act No. 24 of 1998]
18. Term of recognised union.
19. Rights of unions.
20. Obligations of employers.
21. Interpretation of provisions.
CHAPTER III
WORKERS PARTICIPATION IN MANAGEMENT.
22. Application.
23. Authorities.
24. Constitution of councils.
25. Membership of the councils.
26. Power to nominate.
27. Term of members of councils.
28. Resignation of membership to the councils.
29. Cessation of membership of councils.
30. Nomination and term of Chairman and Co-Chairman.
31. Powers and functions of the Chairman.
32. Resignation of Chairman and Co-Chairman.
33. Filling up of casual vacancy in the office of Chairman or
Co-Chairman.
34. Meetings of the councils.
35. Resolutions of enterprise councils.
36. Publication at Board level.
CHAPTER - IV
PROTECTION OF WORKERS’ INTERESTS IN
CLOSED ESTABLISHMENTS.
37. Application.
38. Fund.
[Act No. 24 of 1998] 3
39. Contribution to the Fund.
40. Deduction.
41. Recovery.
42. Constitution of the State Board.
43. Members of the Board and Term.
44. Allowances.
45. Disqualification and removal.
46. Resignation.
47. Grants and loans.
48. Vesting of Fund.
49. Application of Fund.
50. Borrowings.
51. Directions by the Government.
52. Assistance to affected workmen.
53. Audit of accounts.
CHAPTER - V
MISCELLANEOUS
54. Act not to apply to certain classes of employers.
55. Appointment of Inspectors.
56. Duties of Inspectors.
57. Furnishing of records etc.,
58. Maintenance of records.
59. Power to amend Schedules.
60. Provisions not to override other laws.
61. Bar of Jurisdiction.
62. Officers to be Public Servants.
4 [Act No. 24 of 1998]
63. Protection of action taken in good faith.
64. Penalties.
65. Cognizance of offences.
66. Trial of offences.
67. Power to remove difficulties.
68. Power to review the implementation of the provisions.
69. Power to make rules.
Schedules I to V.
THE TELANGANA INDUSTRIAL WORKERS
(REPRESENTATION, PARTICIPATION IN MANAGEMENT
AND RELIEF) ACT, 1998.1
ACT No.24 OF 1998.
CHAPTER - I
PRELIMINARY
1. (1) This Act may be called the 2Telangana Industrial
Workers (Representation, Participation in Management and
Relief) Act, 1998.
(2) It shall extend to the whole of the State of
2Telangana.
(3) I t shall apply to all industrial establishments and
units situated in the State of 2Telangana.
(4) It shall come into force on such date as the
Government, may by notification appoint and they may
appoint different dates for different provisions or differ ent
chapters.
2. (1) In this Act, unless, the context otherwise, requires,-
(i) „affected workman‟ means a workman who has
worked for a period of ninety days within a period of one
1. The Andhra Pradesh Industrial Workers (Representation, Participation
in Management and Relief) Act, 1998 received the assent of the
President on the 20 th June, 1998. The said Act in force in the combined
State, as on 02.06.2014, has been adapted to the State of Telangana,
under section 101 of the Andhra Pradesh Reorganisation Act, 2014
(Central Act 6 of 2014) vide. the Telangana Adaptation of Laws Order,
2016, issued in G.O.Ms.No.45, Law (F) Department, dated 01.06.2016.
2. Substituted by G.O.Ms.No.45, Law (F) Department, dated 01.06.2016.
Short title, extent,
application and
commencement.
Definitions.
2 [Act No.24 of 1998]
hundred and eig hty days preceeding the date of closure of
a closed industrial establishment;
(ii) „authority‟ means the authority appointed under
sub-section (1) of section 23;
(iii) „appellate authority ‟ means, the authority
appointed under sub-section (2) of section 23;
(iv) „Board‟ means the board constituted under
section 42;
(v) „Closed Industrial Establishment ‟ means an
establishment wherein cessation or suspen sion of operation
by way of lockout or otherwise, other than an authorised
closure under section 25 -O of the Industrial Disputes Act,
1947, continues for a period of sixty days, and includes
lockout continued despite prohibitory orders:
Provided that an industrial establishment in which
cessation or suspension of operations take place due t o a
lockout declared consent on a strike contrary to the
provisions of the Industrial Dispute Act, 1947, shall not be
deemed to be a closed industrial establishment fo r the
purposes of this Act;
(vi) „Contingency Fund ‟ means the 3Telangana
Industrial Workers‟ Contingency Fund constituted under
section 38;
(vii) „Craft Union‟ means a union registered under the
Trade Unions Act, 1926 but whose activities are restricted to
a category of the workmen employed in the industrial
establishment;
3. Substituted by G.O.Ms.No.45, Law (F) Department, dated 01.06.2016.
Central Act 14 of 1947.
Central Act 14 of 1947.
Central Act XVI of
1926.
[Act No.24 of 1998] 3
(viii) „election authority‟ means the election authority
appointed under section 7 of this Act;
(ix) „employer‟ means the owner, or person having
charge of, or ultimate control over the affairs of an industrial
establishment and includes the Director, Manager, Agent or
any other person managing the affairs of an industrial
establishment;
(x) „enterprise council ‟ means a council constituted
under section 24, at the level of industrial establishment;
(xi) „factory council‟ means a council constituted
under section 24 at the level of the Factory;
(xii) „Government‟ means the State Government of
4Telangana;
(xiii) „Inspector‟ means an Inspector appointed under
section 55;
(xiv) „Establishment or I ndustrial establishment ‟
means an establishment; and its one or more units in which
an industry as defined in clause (j) of section 2 of the
Industrial Disputes Act, 1947 is carried on ; or any other
establishment as the Government may, by notification,
declare as suc h, for the pu rposes of this Act , but does not
include those industries to which the Central Government is
the appropriate Government under th e Industrial Disputes
Act, 1947;
(xv) „notification‟ means a notification published in the
4Telangana Gazette; and the word „notified‟ shall be
construed accordingly;
4. Substituted by G.O.Ms.No.45, Law (F) Department, dated 01.06.2016.
Central Act 14 of 1947.
Central Act 14 of 1947.
4 [Act No.24 of 1998]
(xvi) „prescribed‟ means prescribed by rules made by
the Government under this Act;
(xvii) „recognised union ‟ means a union which has
been recognised under Chapter II of this Act;
(xviii) „shop council ‟ means a council constituted
under section 24 of this Act at the shop floor level;
(xix) „union‟ means a Trade Union registe red under
the Trade Unions Act, 1926;
(xx) „unit‟ means a unit of the industrial establishment
as determined under section 5;
(xxi) „Workman‟ means any person inclu ding an
apprentice employed in any industry to do any manual,
unskilled, skilled, technical, operational, clerical or
supervisory work for hire or rew ard, whether the terms of
employment be express, or implied, but does not include
any such persons,-
(i) who is subject to the Air Force Act, 1950, or the
Army Act, 1950, or the Navy Act, 1957, or
(ii) who is employed in the police service or a s an
officer or employee of a prison, or
(iii) who is employed mainly in a managerial o r
administrative capacity, or
(iv) who, being employed in a supervisory capacity,
draws wages exceeding one thousand six hundred rupees
per mensem, or exercises, either by the nature of duties
attached to the office, or by reason of the powers vested in
him functions mainly of a managerial nature.
Central Act XVI of
1926.
[Act No.24 of 1998] 5
(2) The words and expressions used but not defined in
this Act shall have the same meaning assigned to them in
the,-
(i) Trade Unions Act, 1926;
(ii) Industrial Disputes Act, 1947.
CHAPTER – II
RECOGNITION OF UNIONS.
3. (1) Except in respect of establishments specified in the
First Schedule to this Act, the recognised union shall be at
the level of an industrial establishment.
(2) In every establishment specified in the First
Schedule to this Act, there shall be a recognised union for
the industrial establishment and also a recognised union for
each industrial unit thereof.
4. The Government in consultation with the Chief Elec tion
Authority, may by notification add to, alter or amend the First
Schedule from time to time.
5. (1) The units of an establishment specified in the First
Schedule shall be determined by the election authority in
consultation with the employers and the unions in such
industrial establishment.
(2) An appeal against the decision of the election
authority under sub-section (1) shall lie within such time as
may be prescribed, to the Chief Election Authority who shall,
after giving reasonable opportunity to all concerned, decide
such appeal, and whose decision thereon shall be final and
binding.
Levels of
recognised
unions.
Power to amend
First Schedule.
Determination of
industrial units.
Central Act XVI of
1926.
Central Act 14 of 1947.
6 [Act No.24 of 1998]
(3) The units d etermined either under sub -section (1),
or under sub -section (2) shall no t be altered for a period of
five years.
6. The Commissioner of Labour shall be the Chief
Election Authority for the purposes of this Act.
7. (1) The Chief election authority may appoint such
number of officers as he considers necessary to be the
election authorities for such areas or, establishments or
units, as the case may be, for the purposes of this Act.
(2) The election authority, on such appointment may
appoint such number of persons under their control to assist
the election authorities to discharge their duties and perform
their functions.
8. (1) The Chief Election Authority and the election
authorities appointed under section 7, shall be competent to
enquire into any matter which in their opinion is relevant in
performing their functions under this Act.
(2) For the purpose of sub -section (1), the Chief
election authority or the ele ction authority is competent to
require any person who, in his opinion, is able to furnish
relevant information or produce relevant documents, to
furnish any such information or produce any such
document.
(3) For the purpose of any such enquiry, the Chief
election authority or the election authority shall have all the
powers of a civil court while trying a suit under the Code of
Civil Procedure, 1908 in respect of the following matters,
namely:-
(a) summoning and enforcing the attendance of any
person and examining him on oath;
Chief Election
Authority.
Election
Authorities.
Powers of election
authority.
Central Act 5 of 1908.
[Act No.24 of 1998] 7
(b) requiring the discovery and production of any
document;
(c) receiving evidence on affidavits;
(d) requisitioning any public record or copy thereof,
from any court or office;
(e) issuing commissions for the examination of
witnesses or documents; and
(f) such other matters as may be prescribed.
9. The Chief Election Authority may specify by order such
registers and records, in such form as he may specify to be
maintained for the purposes of this Act.
10. Every recognised union shall submit such returns, in
such form, to the election authority or such other officer as
may be specified by order by the Chief Election Authority.
11. Notwithstanding anything contained in this Act, a union
which has been recognised under Code of Discipline as on
the date of the commencement of this Act, shall be deemed
to be a recognised union and shall continue as such till the
expiry of two years from the date of recognition and
thereafter shall continue in accordance with the provisions
of this Act.
12. (1) Where, in any establishment or unit more than one
eligible unions are functioning, any of such unions may
apply to the election authority to be considered as a
recognised union for such an establishment, or unit or for
both as the case may be.
(2) An eligible union whose operations do not extend to
the whole of the establi shment but are restricted to one, or
Registers.
Returns.
Existing
Recognised
Unions.
Application for
recognition.
8 [Act No.24 of 1998]
more units thereof, shall be entitled to apply for recognition
only for such unit or units.
(3) On receipt of such application, the election
authority shall addres s all the eligible unions in the
establishment or unit s inviting objections to be filed, if any
within such period as may be prescribed:
(4) If no objections are received, the election authority
shall grant to the applicant union a certificate of recognition
for the establishment, or unit of for both as the ease may be.
(5) Where objections are received by the election
authority, the election authority shall determine the
recognised union by holding elections.
Explanation:- For the purpose of this section, eligible
union means a union:-
(i) which has been functioning for not less than one
year from the date of its registration; and
(ii) which is not a craft union.
13. The election for the purpose of granting recognition
shall be held by secret ballot and in such manner as may be
prescribed.
14. (1) For the purpose of election, the following workmen
shall constitute the eligible voters namely:-
(i) all permanent workmen; and
(ii) all such casual or temporary or badli, workmen or
contract labour who worked in the establishment for not less
than two hundred and forty days within a continuous period
Manner of
election.
Eligible voters.
[Act No.24 of 1998] 9
of three hundred sixty and five days, preceding the date of
application under sub-section (1) of section 12:
Provided that such of these contract lab our who have
been exclusively engaged by the industrial establishment in
the essential, economic activity of such establishment alone
shall be eligible to vote:
Provided further that such of those contract labour who
are engaged in building construction activities, cleaning
operations, or in such activities other than the essential
economic activity of an industrial establishment shall not be
eligible to vote.
(2) If any doubt arises whether activity is an essential
economic activity or not, it shall be referred to the
Commissioner of Labour whose decision thereon shall be
final.
Explanation:- For the purpose of this section, the
expressions “ permanent workmen, casual workmen,
Temporary workmen and badli workmen ”, shall have the
same meaning as assigned under the Model Standing
Orders prescribed under rule 3 of the 5Telangana Industrial
Employment (Standing Orders) Rules, 1953 under the First
Schedule to the Industrial Employment (Standing Orders)
Act, 1946. The term contract labour shall have the same
meaning as assigned to it under the Contract Labour
(Regulation and Abolition) Act, 1970.
15. (1) The election authority shall declare the results of the
election in such form as may be prescribed.
(2) The election, authority shall, soon after the
declaration of the results, grant a certificate of recognition to
5. Substituted by G.O.Ms.No.45, Law (F) Department, dated 01.06.2016.
Declaration of
results.
Central Act 20 of 1946.
Central Act 37 of 1970.
10 [Act No.24 of 1998]
such of the unions which secured the maxi mum number of
votes polled.
(3) The election authority shall communicate to the
employer concerned, the results of the election and the
names of the recognised union.
16. (1) Wherein an establishment or unit only one union is
registered, it may app ly in the prescribed form to the
election authority for recognition.
(2) On receipt of such application, the election
authority shall grant a certificate of recognition to such union
in the form prescribed:
Provided that such certificate shall not be granted
unless such union:-
(i) is the only union registered;
(ii) enjoys a membership of not less than fifteen
percent of the eligible voters in the establishment or the unit
as the case may be;
(iii) has its operations ext ending over the
establishment or the unit as the case may be; and
(iv) is not a craft union.
(3) The election authority shall communicat e to the
employer concerned the name of the recognised union.
17. (1) An appeal against the results declared under sub -
section (1) of section 15 of grant or certificate of recognition
under sub-section (2) of section 16 shall lie within such time
as may be prescribed, to the Chief Election Authority or to
such officer as he may, by general or special order specify,
Recognition in
case of single
union.
Appeal.
[Act No.24 of 1998] 11
who shall after giving reasonable opportunity to all
concerned decide such appeal within the prescribed period
and whose decision thereon shall be final and binding.
(2) During the pendency of an appeal under sub -
section (1) the recognised union shall continue to function
as such, but it shall not enter into any agreement with the
employer, unless specifically so authoris ed by the
Commissioner of Labour.
18. (1) The term of a recognised union shall be for a period
of two years from the date of grant of certificate of
recognition; and shall continue thereafter till such time an
application is made under section 12 and till the recognised
union is determined afresh:
Provided that where a union is granted recognition by a
decision on an appeal filed under section 17, the term of
such recognised union, shall be rec koned from the date of
issue of such order.
(2) No application m ade by any union, shall be
entertained by the election authority during the period of two
years from the date of grant of certificate of recognition; or
from the date of order of the appellate authority, as the case
may be.
19. (1) Every reco gnised union shall have such r ights as
specified in the Second Scheduled to this Act.
(2) Every union other than the recognised union shall
have such ri ghts as specified in the Third S chedule to this
Act.
20. Every employer of an es tablishment shall abide by
such obligation as specified in the Fourth Schedule to this
Act.
Term of
recognised union.
Rights of unions.
Obligations of
employers.
12 [Act No.24 of 1998]
21. If any doubt arises as the interpretation of any or all of
the provisions specified in the Second , Third and Fourth
Schedules to this Act, the same shall be referred to the
Commissioner of Labour, whose decision thereon shall be
final.
CHAPTER III
WORKERS PARTICIPATION IN MANAGEMENT.
22. (1) The provisions of this chapter shall apply to every
establishment in which fifty or more workmen are employed
on any day of the proceeding twelve months.
(2) The establishment to which the provisions of this
chapter apply, shall continue to b e governed by the
provisions of this chapter notwithstanding that number of
workmen employed therein falls below fifty.
23. (1) The Government may, by notification appoint such
officers as they consider necessary to be the authorities for
the purpose of constituting the councils under section 24 or
for the purpose of specifying Board Level participation
under section 36.
(2) The Government may, by notification appoint an
appellate authority to hear and dispose of appeals under
sub-section (3).
(3) An appeal against the order of the authority under
sub-section (1) shall lie, within such time as may be
prescribed, to the appellate authority who shall within the
prescribed period, pass an order; and whose decision
thereon shall be final and binding.
24. (1) It shall be lawful for the authority appointed under
sub-section (1) of section 23 to constitute in any
establishment, any or all of the following c ouncils namely ,-
Interpretation of
provisions.
Application.
Authorities.
Constitution of
councils.
[Act No.24 of 1998] 13
shop council, factory council and enterprise council to give
effect to workers participation in management at shop floor
level, factory level and establishment level respectively:
Provided that the number of shop councils in a factory
shall not exceed ten in number.
(2) The councils constituted by the authority under sub-
section (1) shall commence functioning within forty five days
from the date of orders of the authority. The employer and
the union, or unions empowered under section 26 shall
nominate, under intimation to each other and to the
authority, their representatives to the membership as well as
to the office of the Chairman or Co -Chairman. Such
nomination shall be made within a period of thirty days from
the date of orders of the authority.
(3) Where an employer, or union or unions fail to
nominate their representatives within the period stipulated
the authority shall be competent to nominate such persons
as he deems fit to represent the employer or the workmen in
regard to membership as well as to the office of Chairman
or Co-Chairman.
25. (1) The membership of the shop council shall be five
percent of the total workmen employed in the concerned
shop or twelve, which ever is less. The membership of the
factory council and enterprise council shall be ten percent of
the total workmen employed in the factory or the
establishment, as the case may be, or twenty whichever is
less.
Explanation:- For the purpose of this sub-section where
calculation by percentage does not result in even number,
the membership of such council shall be determined at the
immediate next even number.
Membership of
the councils.
14 [Act No.24 of 1998]
(2) The membership in every council shall be in equal
proportion between the representatives of the workmen an d
those of the employer.
(3) The nomination of members to the factory council
by employers as well as unions, shall be so made that every
Chairman or Co-Chairman of a shop council is a member of
the factory council. Similarly, the nomination to the
enterprise council shall be so made that the Chairman or
Co-Chairman of the factory council is a member of the
enterprise council.
(4) (a) The membership of the shop council shall be
restricted to workmen and, so far as the employers,
representatives are conc erned, the employees, other than
workmen, connected with the concerned shop floor.
(b) The representation of workmen in the factory
council shall be restricted to the workmen and not more
than two office bearers of the union who are non -workmen.
The representation of employer shall be through employees
of the factory who are non-workmen.
(c) The representation of the workmen in the
enterprise council shall be restricted to (i) workmen (ii) office
bearers; not more than two in number. The employer will be
entitled to nominate not more than two outside experts.
26. (1) The management or its representative, duly
authorised in this behalf, may nominate its representati ves
to the respective councils.
(2) the representatives of the workmen shall be
nominated by the recognised union:
Power to
nominate.
[Act No.24 of 1998] 15
Provided that in the establi shments specified in the
First Schedule, the workmen‟ s representatives for the shop
council and factory council shall be nominated by the
recognised union at the unit level.
(3) Where unions other than the recognised union
possesses membership of not less than twenty percent of
the total number of eligible voters, than the representatives
of workmen to the shop, factory and enterprise council shall
be nominated by the recognised union as well as such other
minority union in proportion of their respective membership.
Explanation:- (i) For the purpose of sub-section (3), the
strength in the estab lishment shall be the basis for
nomination to enterprise council.
(ii) For nomination to factory council and shop
councils, the strength in the establishment shall be the basis
in respect of establishments other than those specified in
the First Schedule. In respect of establishments spec ified in
the First Schedule, the strength at the industrial unit level
shall be the basis for nomination to factory councils and
shop councils.
27. (1) The term of office of the members of the shop
council, factory council a nd enterprise council shall be for a
period of two years from the date of constitution of such
council:
Provided that the members of the council shall
continue to hold the office till a new council is reconstituted.
(2) A member of the council nominate d to fill up a
casual vacancy shall hold office for the remaining period of
the term of office.
Term of members
of councils.
16 [Act No.24 of 1998]
(3) A member whose term of office is completed is
eligible for renomination.
28. A member of the council after giving a notice of fifteen
days to the Chairman, may resign his membership which
shall take effect from the date of acceptance of the
resignation or on the expiry of thirty days from the date of
giving such notice.
29. If a member of a council fails to attend three
consecutive meetings of the council, he shall cease to be a
member of such council. However, the council may on the
request made in writing by such member, by resolution
restore his membership.
30. (1) There shall be a Chairman and a Co -Chairman to
each council. The Chairman and Co-Chairman shall be from
among the representatives of the workmen and the
management. They shall hold such offices for a period of six
months and at the end of such period the Chairman and the
Co-Chairman shall exchange their respective offices.
(2) The employer, or his representative, duly authorised
in this behalf, may nominate the employers representative to
the post of Chairman or Co -Chairman. The recognised
union shall have right to nominate its representative to the
post of Chairman or Co-Chairman.
Explanation:- In respect of establishment specified in
the First Schedule, the recognised union means the
recognised union at the established level for enterprise
councils and the recognised union at the unit level for
factory council and shop council.
(3) The workers, representative will be the first
Chairman of each council.
Resignation of
membership to
the councils.
Cessation of
membership of
councils.
Nomination and
term of Chairman
and Co-Chairman.
[Act No.24 of 1998] 17
(4) The nomination, eithe r by the employer or the
recognised union to the post of Chairman, or Co -Chairman
shall not be altered for period of not less than one year.
31. (1) The Chairman shall preside over the meetings of
the council and shall cause the minutes of such meetings to
be recorded in such manner as may be prescribed. He shall
keep the records relating to the proceedings of the
meetings in his custody. He shall furnish a copy of the
proceeding recorded at each meeting to the Chairman of
the factory council or enterprise council or to the Chief,
Executive or Managing Director, as the case may be, within
the prescribed period.
(2) In the absence of the Chairman f or a period not
exceeding one week, the Co -Chairman s hall preside over
meetings, if any, and shall cause the minutes to be
recorded. If the absence of Chairman exceeds one week,
the Co -Chairman shall discharge all the functions of the
Chairman.
32. The Chairman or the Co -Chairman may tender his
resignation by a letter addressed to the Co -Chairman or the
Chairman as the case may be. Such resignation shall be
considered in the council and the council may, by a
resolution recorded for the purpose accept such
resignation. The resignation tendered shall take effect from
the date of such resolution or on expiry of thirty days from
the date of tendering resignation, whichever is earlier.
33. During the casual vacancy in the office of Chairman or
the Co-Chairman, it shall be filled by nomination of another
person, who shall hold office for the residual period of the
term at his predecessor.
Powers and
functions of the
Chairman.
Resignation of
Chairman and Co-
Chairman.
Filling up of
casual vacancy in
the office of
Chairman or Co-
Chairman.
18 [Act No.24 of 1998]
34. (1) The Chairman shall hold the meetings of the council
as frequency as he thinks necessary, so however, that
atleast one meeting shall be held in every calendar month.
(2) The Chairman shall fix the date, time and place of
every meeting and shall send notice in writing along with the
list of business to be transacted at the meeting to each
member atleast three days before the date fixed for such
meeting.
(3) No busines s shall be transacted at any meeting of
the council unless one-third of the total number of members
are present and also unless atleast one member each
representing the workmen and the employer is present.
(4) The matters for shop councils, factory councils and
enterprise councils shall be as provided under the Fifth
Schedule to this Act.
(5) The decisions shall be taken by majority of
members present and voting. In the event of equality of
votes, the Chairman shall have a casting vote. The decisio n
so taken shall be recorded as resolutions of the council.
(6) The proceedings of each meeting shall be
confirmed in the next meeting with or without modifications,
as may be considered necessary.
(7) The management shall provid e necessary facilities
for holding the meetings of the council and shall treat the
time spent by the members of the council in such meetings
as on duty.
35. The resolutions of th e enterprise council shall be
placed before the Board of Directors by the Secretary or the
Chief Executive of the Board. The Board of Directors shall
Meetings of the
councils.
Resolutions of
enterprise
councils.
[Act No.24 of 1998] 19
discuss the same at its next meeting and take appropriate
decisions.
36. (1) The authori ty appointed under sub-section (1) of
section 23 is competent to specify, by an order in writing,
the establishments wherein workers participation shall be
introduced at the level of the Board of Directors. For this
purpose, the authority shall determine t he number of
workmen Directors, which shall not be less than twenty -five
percent of strength of the Board of Directors.
(2) The representation of workmen in the Board shall
be through direct election from among the eligible voters of
the establishment. T he workmen and the office -bearers of
the unions operating in that establishment shall be eligible
to contest elections.
(3) The election specified under sub -section (2) shall
be conducted by the election authority. The election shall be
by secret ballot and in such manner as may be prescribed.
(4) An appeal against the result of elections conducted
under sub-section (3) shall lie, within such time as may be
prescribed, to the Chief Election Authority or such other
officer as he may, by general or specia l order, specify and
whose decision thereon shall be final and binding.
CHAPTER - IV
PROTECTION OF WORKERS‟ INTERESTS IN CLOSED
ESTABLISHMENTS.
37. (1) The provision of this chapter shall apply to every
establishment in which hundred or more workmen are
employed on any day of the preceding twelve months:
Publication at
Board level.
Application.
20 [Act No.24 of 1998]
Provided that the Government may, after giving not
less than one months ‟ notice of its intention so to do, by
notification, apply the provisions of this chapter to any
establishment, employing such number of workmen, less
than hundred, as may be specified in the notification.
(2) An establishment to which the provisions of this
chapter apply, shall continue to be go verned by the
provisions of this chapter notwithstanding that the number
of persons emplo yed therein falls below the number
specified under sub-section (1).
38. The Government shall, with effect from such date as
may be no tified, constitute a fund called the “Industrial
Workers‟ Contingency Fund”.
39. Every workmen of an establishment shall contribute
every year to the fund such sum, as the Government may
prescribe, which shall not be less than one percent of the
minimum wages in force for the General Engineering
Industry. Every employer shall, in respect of each such
workman, contribute a sum equi valent to two times the
workman‟s contribution to the fund. It shall be the duty of
the employer to remit in such manner, as may be
prescribed, the employers contribution together with the
contribution of the workmen to such authority as the
Government may notify in this behalf.
40. Notwithstanding any thing contained in any other law
for the time being in force, the employer shall be entitled to
deduct the Workman‟s contribution from his wages in such
manner, as may be prescribed and such deduction shall be
deemed to be a deduction authorised by or unde r the
Payment of Wages Act 1936.
Fund.
Contribution to
the Fund.
Deduction.
Central Act 4 of 1936.
[Act No.24 of 1998] 21
41. Any sum payable to the Fund under this Act, shall,
without prejudice to any other mode of recovery be
recoverable as arrears of land revenue under the
6Telangana Revenue Recovery Act, 1864.
42. (1) The Government shall, by notification, constitute a
Board for the whole of the State to be called the 7Telangana
Industrial Workers‟ Contingency Fund Board, for the
purpose of administering the fund and to carry out such
other functions, as are assigned to the Board by, or under
this Act.
(2) The Board shall be a body corporate by the name
of the 7Telangana Industrial Workers ‟ Contingency Fund
Board having perpetual succession and a common seal,
with power to acquire, hold and dispo se of property, bot h
movable and immovable , and shall, by the said name, sue
and be sued.
43. (1) The Board shall consist of such of members as may
be prescribed from each of t he following categories,
namely:-
(a) representatives of employers and employees in
equal proportion, to be nominated by the Government.
(b) independent members, to be nominat ed by the
Government as follows:–
(i) Minister for Labour:- Chairman;
(ii) Commissioner of Labour:- Ex-Officio;
6. Adapted by G.O.Ms.No.45, Law (F) Department, dated 01.06.2016.
7. Substituted by G.O.Ms.No.45, Law (F) Department, dated 01.06.2016.
Recovery.
Constitution of the
State Board.
Act II of 1864.
Members of the
Board and term.
22 [Act No.24 of 1998]
(iii) The Secretary to Government,
Finance and Planning (Finance Wing)
Department:- Ex-Officio;
(iv) the Secretary to Government,
Industries Department:- Ex-Officio;
(2) An officer of the Labour Department, not below the
rank of a Deputy Commissioner of Labour shall discharge
the functions of Secretary to the Board.
(3) Save as otherwise expressly provided in this Act,
the term of office of the members of the Board shall be, as
may be prescribed in this behalf.
44. The allowance if any, payable to the non -official
members of the Board and the conditions of nomination of
the representations of the employers and e mployees shall
be such as may be prescribed.
45. (1) No person shall be nominated or continued to be a
member of the Board who,-
(a) is an official, drawing salary from the Board;
(b) is or has been adjudged at any ti me insolvent or
has suspended payment of his debts or ha s compounded
with his creditors;
(c) is found to be of unsound mind;
(d) is or has been convicted by a criminal court for an
offence involving moral turpitude, unless such condition has
been set aside; or
(e) is in arrears of any sum due to the Board.
Allowances.
Disqualification
and removal.
[Act No.24 of 1998] 23
(2) The Government may remove from office any
member who,-
(a) is or ha s become subject to any of the
disqualifications mentioned in sub-section (1); or
(b) is absent without leave of the Board for more than
three consecutive meetings, of the Board:
Provided that before taking action under this sub -
section, the member concerned shall be given an
opportunity to make a representation against the action
proposed.
46. (1) A member may resign his office by giving notice of
his intention thereof in writing to the Government; and on
the acceptance of his resignation, he shall be deemed to
have vacated his office as such member.
(2) A casual vacancy in the office of a member shall be
filled by nomination of another person from the concerned
category and the member so nominated shall hold office for
the re sidue period of the term of the office of his
predecessor.
(3) No act or proceeding of the Boar d shall be invali d
merely on the ground of the existence of any vacancy, or
any defect in the constitution or the Board.
47. Government may, from time to time , make grants and
advance loans to the Board to the extent of the Fund
available for the purposes of this Act, on such terms and
conditions as the Government may, in each case,
determine.
Resignation.
Grants and loans.
24 [Act No.24 of 1998]
48. Subject to the provisions of this Act, the Fund shall vest
in and be held and applied by the Board as trustees for the
purposes of this Act.
49. Without prejudice to the generality of the provisions of
section 48, the Fund shall be utilised by the Board, which
may,-
(a) g rant to the affected workmen su ch sums as the
Board may decide; and such sums shall not be less than the
minimum wages in force for the Genera l Engineering
Industry;
(b) contribute towards the share capital for the
formation of an Industrial Workers Co-operative Society;
(c) grant such other financial assistance to the
Industrial Workers Co-operative Societies; or
(d) take s uch measures as the Board may consider
necessary for promoting the welfare of affected workmen.
50. Subject to the provisions of this Act, the Board may
from time to time , with the previous sanction of the
Government, and subject to such conditions as may be
specified by the Government in this behalf, borrow sums
required for the purpose of this Act.
51. The Government may from t ime to time, give to the
Board s uch directions as in their opinion are necessa ry or
expedient for incurring the expenditure from the fund or for
carrying out the purposes of this Act and it shall be the duty
of the Board to comply without fail all such directions.
Vesting of Fund.
Application of
Fund.
Borrowings.
Directions by the
Government.
[Act No.24 of 1998] 25
52. (1) Government may, by notification, appoint such
officers as they deem fit to maintain the list of affected
workman.
(2) It shall be lawful for the Government to direct the
Employment Exchange to sponsor the names of affected to
workmen on priority basis.
(3) The Government may notify such other schemes as
they consider necessary for providing assistance to the
affected workmen.
53. (1) The accounts of the Board shall be audited by such
persons as may be app ointed by the Government and any
expenditure incurred in connection with such audit shall be
payable by the Board to the Government.
(2) The p erson so appointed and any other person so
authorized by him in connection with such audit of accounts
of the Board shall have the right to demand the produc tion
of books , accounts, connected vouchers and other
documents and papers of the Board.
(3) The accounts of the Board certi fied by the person
so appointed or any other person authorised in this behalf
together with the audit report thereon shall be forwarded
annually to the Government.
CHAPTER - V
MISCELLANEOUS
54. Nothing in this Act shall apply to,-
(a) the Indian Red Cross Society, or to any other suc h
institutions of a like nature;
(b) Universities and other Educational Institutions;
Assistance to
affected workmen.
Audit of accounts.
Act not to apply to
certain classes of
employers.
26 [Act No.24 of 1998]
(c) Religious and Charitable Institutions; and
(d) such other industrial establishments as the
Government may by notifi cation specify for purposes of all
or any of the provision of this Act.
55. The Government may by notification, appoint such
persons as they think fit to be Inspector‟s for the purpose of
this Act and may specify the limit within which they shall
exercise jurisdiction.
56. An Inspector appointed under section 55 for the
purpose of ascertaining whether any of the provisions of this
Act have been violated, may,-
(a) require an employer or union to f urnish such
information as he may consider necessary;
(b) at any reasonable time and with such assistance as
he may consider necessary enter the place of any industrial
establishment a unit, or any premises connected therewith
and require any person found to be in charge thereof to
produce, before him for examination of any accounts, books
registers and other documents relating to the employment
of workmen or the payment of wages in such establishment;
(c) examine the employer, his agent, or servant or any
other person found incharge of the industry or any premises
connected therewith, or any person whom the Inspector has
reason to believe to be or to have been a workmen in such
establishment in discharging his duties;
(d) make copies of, or take extracts from, any book,
register or other document maintained in r elation to such
establishments; and
Appointment of
Inspectors.
Duties of
Inspectors.
[Act No.24 of 1998] 27
(e) exercise such other powers as may be prescribed
in this behalf.
57. Any person required to produce any book, register, or
other document or to give information by an inspector under
section 56 shall comply with such requirement.
58. Every employer shall prepare and maintain such
registers, records and other documents in such form and in
such manner as may be prescribed.
59. The State Government may, if it is of the opinion that it
is expedient or necessary in public interest, so to do by
notification in the Official Gazette, add to or alter or amend
the Schedule and on any such notification being issued, the
Schedule shall be deemed to have been amended
accordingly.
60. Save as otherwise expressly provided in this Act, the
provisions of this Act shall be in addition to and not in
derogation of any other law for the time being in force
relating to any establishment.
61. No order passed or proceedings taken under the
provisions of this Act shall be called in question in any
Court, in any suit, or application; and no injunction shall be
granted by any Court in respect of any action taken or about
to be taken in pursuance of any power conferred by or
under this Act.
62. All officers acting under this Act shall be deemed to be
public servants within the meaning of section 21 of the
Indian Penal Code.
63. No suit, prosecution or other legal proceedin g shall lie
against any person for anything which is in good faith done
Furnishing of
records etc.,
Maintenance of
records.
Power to amend
Schedules.
Provisions not to
override other
laws.
Bar of
Jurisdiction.
Officers to be
public servants.
Central Act 45 of 1860.
Protection of
action taken in
good faith.
28 [Act No.24 of 1998]
or intended to be done in pursuance of this Act or any rule
made thereunder.
64. Whoever contravenes any of the provisions of this Act
shall be punishaExcerpt shown. Open the full act in Lexace.