Page 108 - DMGT516_LABOUR_LEGISLATIONS

Gopika Juneja, Lovely Professional University
Unit 5: The Contract of Employment

Unit 5: The Contract of Employment Notes

CONTENTS
Objectives
Introduction

5.1 Industrial Employment (Standing Orders) Act, 1946
5.2 Contract Labour (Regulation and Abolition) Act, 1970
5.3 Summary

5.4 Keywords
5.5 Self Assessment
5.6 Review Questions
5.7 Further Readings

Objectives

After studying this unit, you will be able to:

Discuss Industrial Employment Act, 1946
Describe Contract Labour Act, 1970

Introduction

A contract of employment is a category of contract used in labour law to attribute right and
responsibilities between parties to a bargain. On the one end stands an "employee" who is
"employed" by an "employer". It has arisen out of the old master-servant law, used before the
20th century.
The terms and conditions of an Employment contract signify the working style and culture of an
organization. While employing a person in your organization or commercial set up, you need
to define the relationship in a fair and unambiguous manner. Our Employment contract helps
you protect the interests of the organization while being fair to the employee.

5.1 Industrial Employment (Standing Orders) Act, 1946

An Act require employers in industrial establishments formally to define Conditions of
employment under them:

Whereas it is expedient to require employers in industrial establishments to define with sufficient
precision the conditions of employment under them and to make the said conditions known to
workmen employed by them.
It is hereby enacted as follow:
1. Short title, extent and application:
(1) This act may be called the Industrial Employment (Standing Orders) Act, 1946.

(2) It extends to the whole of India.

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