Being an HR Professional is a multi-faceted job, with bringing in new talent, retaining them, ensuring employee welfare, to keeping up with changing scenarios in the job market.
The Covid-19 Pandemic recently has brought in a lot of changes in terms of the work culture and working conditions. A major change that has taken place is the incorporation of a hybrid work model in most professional organizations. Many companies have even announced permanent remote work for their employees.
The government of India has also recognized the growing adaptation of remote work and has introduced new regulations for the same.
When such major changes take place in the organization, the HR professionals play an important role in not only ensuring the smooth execution of these changes but also helping other employees in adapting to these changes.
To stay up to date with the changing scenarios in the industry, having insight and knowledge about the labor laws and regulations of the count is of utmost importance.
Employment Laws in India define and regulate the relationship between an employer and employees. These laws cover the following issues in an organization:
Anti-discrimination
In order to ensure employees are not discriminated against, certain laws and regulations in India prohibit some practices and protect the interests of vulnerable groups in the organizations. Moreover, these laws and regulations also mandate the creation of the Internal Complaints Committee to deal with any mishappening in the organization.
Contracts of Employment
Any kind of employment happening in the organization whether contractual or non-contractual deals with contracts, offer letters, compensation, and various other documents which require the knowledge of certain laws relating to contracts, compensation, etc.
Working Hours
The laws determine the maximum working hours of employees and the compensation for overtime. Knowledge of the laws and regulations pertaining to this helps HR Professionals not on,y decide the working hours but also calculate the compensation and decide holidays, etc.
Health and Safety
Ensuring the health and safety of employees when they are on the clock is the responsibility of the organization. For this purpose, there are certain health and safety measures that are mandated by laws that have to be implemented by the organization. For instance, an employer is required to make available clean drinking water to all the employees.
These matters discussed above are governed and regulated by certain laws known as labor laws.
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Here are the laws every HR Professional must know:
Factories Act 1948:
This Act mainly deals with the basic rights of employees and guarantees them basic amenities like drinking water, sanitation safety measures, working conditions, working hours, etc.
Employees Provident Act 1947:
This Act aims at providing social security for the employees. Employees working in the organization become eligible to be a part of this fund. Factors like retirement pension, and medical care, are covered under this Act.
Maternity Benefit Act 1961:
This Act deals with the benefits provided to female employees and also safeguards their rights during and after pregnancy. This Act covers things like who is eligible for the benefits, duration of leave, and provisions after she resumes work.
Workmen’s Compensation Act 1923:
This law covers all the safety precautions a company must take in order to safeguard the employees from injuries. Adherence to this act ensures the prevention of any liabilities and unfortunate incidents. However, due to the nature of certain jobs, they are inherently risky and can lead to injuries or even fatalities sometimes. In such cases, the Act prescribes the compensation that the employees or their next of kin must receive.
Sexual Harassment (Prevention, Prohibition and Redressal) Act, 2013:
This Act was put in place to ensure the prevention and dealing of Sexual Harassment cases in a workplace. The HR department is responsible to draft the Sexual Harassment Policies and form the Internal Complaints Committee.
Industrial Disputes Act 1947:
The Act mainly covers the disputes and conciliation of employees and the company. The Act has provisions that aim at peaceful resolution of any disputes between employees and employers. Additionally, the Act also covers the formation of a Trade Union, strikes, layoffs, etc
Apart from the laws mentioned above there are around 44 Labor Laws in India that a company needs to comply with, which are the responsibility of the HR professionals. Out of these 44 Laws, 29 Laws like The Factories Act, Minimum Wages Act, and Workmen Compensation Act have been codified to make 4 labor codes that summarise these laws and deal with minimum wages, accidental and social security benefits, occupational safety and health, conditions of employment, disciplinary actions, formation of trade unions, and industrial relations. These Codes are expected to soon be announced and put in force replacing the major labor laws in the country.