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Corporate Legal Framework




                                   (H)  Employment of Young Persons: No factory can employ any person unless he has completed
                                       fourteen years of age. (Section 67). There is total prohibition in employing children below
                                       14 years of age.
                                       For adolescents, i.e., above the age of 15 years but below 18 years, they also cannot be
                                       employed in a factory unless

                                       (i)  He as well as the  manager of a factory are in possession of certificates of fitness
                                            granted by the Certifying Surgeon and
                                       (ii)  The adolescent carries with him while at work a token giving a reference to such
                                            certificate issued to him.
                                       An adolescent who has been granted certificate of fitness to work as an adult in a factory
                                       by the Certifying Surgeon is to be treated as an adult for the purposes of working hours
                                       and annual leave with wages.
                                   (I)  Working Hours for Children: The Act regulates the working hours for children above age
                                       of 14 years as eligible for employment in a factory. They can be employed for maximum
                                       hours of  work lasting 4-1/2 hours  in a  day. The  other  prohibitions  relating to  their
                                       employment are:
                                       (a)  the period of work is to be limited to two shifts only;
                                       (b)  the shifts are not to overlap;
                                       (c)  the spread-over is not to exceed 5 hours;
                                       (d)  the child is to be employed only in one relay;

                                       (e)  the spread-over is not to change except once in 30 days;
                                       (f)  employment during night, i.e. between 10 p.m. and 6 a.m. is prohibited.
                                   (J)  Annual leave with wages: Section 79 of Act deal with the provisions of annual leave with
                                       wages. The basis of calculation of the annual leave to which a worker would be entitled in
                                       a year is the earlier calendar year, during which he had worked in a factory.
                                       1.   Qualifying Period: The minimum number of days which entitles a worker to earn
                                            leave is 240 during a calendar year, this period should include:
                                            (i)  the days of layoff which may be  as a result of contract or agreement or as
                                                 permissible under Standing Orders;
                                            (ii)  the leave earned in the year prior to that in which leave is applied for,
                                            (iii)  in the case of female workers, maternity leave for any number of days not
                                                 exceeding 12 weeks.
                                            If the total period comes to 240 days or more, then the worker in a factory would be
                                            entitled to leave with wages in the subsequent calendar year for a number of days
                                            calculated at the rate of:--
                                            (i)  In the case of an adult, one day for every twenty days of work performed by
                                                 him during the previous calendar year.

                                            (ii)  In the case of a child, one day for every fifteen days of work performed by him
                                                 during the previous calendar year.
                                            (iii)  Unavailed Leave.

                                            If a  worker has not availed  of a  portion of  his leave  in one calendar year, such
                                            remaining portion of leave shall be carried over and added to the leave to be allowed




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