Page 36 - DCOM207_LABOUR_LAWS

Unit 3: Labour Laws: Concept, Origin, Objectives and Classification

Earlier in July 2005, workers of Honda Motor & Scooters India Limited had a violent clash Notes
with the police at Gurgaon, near New Delhi, resulting in a revenue loss of around INR 1.25
billion for the company.
This recent rise in trade union activism resulting in violence and business loss has attracted
the attention of the national and international media. With around US$ 2 billion equity
investment since 1991, Japan was the fourth largest investor in India. During the Honda
incident, the Japanese ambassador in India had stated that these kinds of incidents would
show India in poor light.
Source: http://www.citehr.com/25642-labour-unrest.html

Self Assessment

State whether the following statements are true or false:
1. Labour legislation regards individuals as citizen, whereas the general legislation regards
him a worker.
2. Labour and Migration Act was another legislation which gave rise to the “Indentured
labour system”.
3. Labour legislation seeks to deal with problems arising out of occupational status of the
individual.
4. National equality provides the flexibility in labour legislations to adjust to the need of the
industrial society.

3.2 Origin of Labour Legislations

The origin of labour legislation is the history of continuous and relentless struggle for emancipation
of working class from cloches of aggressive capitalism. The struggle was between two unequal.
The contract between capital and labour could never be struck on equitable terms. The social
scientists interpreted this struggle in different ways. The point, however, was to change it. The
change contemplated was one of transforming a slave into partner and thereby bridle the power
of capital to impose its own terms on the workmen.
Various factors helped this process to take place. The struggle was not easy. Numerous forces,
directly and indirectly, hastened the pace facilitating the passing of labour friendly legislation.

Notes The relevance of the dignity of human labour and the need for protecting and
safeguarding the interest of labour as human beings has been enshrined in Chapter-III
(Articles 16, 19, 23 & 24) and Chapter IV (Articles 39, 41, 42, 43, 43A & 54) of the Constitution
of India keeping in line with Fundamental Rights and Directive Principles of State Policy.
Labour is a concurrent subject in the Constitution of India implying that both the Union
and the state governments are competent to legislate on labour matters and administer the
same. The bulk of important legislative acts have been enacted by the Parliament.

3.2.1 Factors Influencing Labour Legislations

Following are the factors affecting labour legislations:
Early Exploitative Industrial Society

The origin of labour legislation lies in the excesses of the early industrialism that followed
Industrial Revolution. The early phase of industrialisation in the capitalist countries of the

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