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Labour Legislations

Notes Under social insurance, the beneficiaries receive benefits as a matter of right. The benefits are
not linked to the economic needs of financial conditions of the beneficiaries who receive these
at the rates established by law. In social assistance also, the beneficiaries receive benefits as a
matter of right, but they do not have to make any contributions. The finance is made available
by the state or a source specified by the state. Social assistance benefits are generally paid to
persons of insufficient means and on consideration of their minimum needs.

Example: Social security laws includes: Workmen's Compensation Act, 1923; Maternity
Benefit Act, 1961; Employees' State Insurance Act, 1948; Coal Mines Provident Fund and
Miscellaneous Provisions Act, 1948; Employees' Provident Funds and Miscellaneous Provisions
Act, 1952.

1.5.6 Principle of Economic Development

Labour laws are enacted for economic and industrial development of particular countries.
Improvement of physical working conditions, establishment of industrial peace, provision of
machineries for settlement of industrial disputes, formation of forums of workers' participation
in management, prohibition of unfair labour practices, restrictions on strikes and lock-outs,
provision of social security benefits and welfare facilities, certification of collective agreements
and regulation of hours of work have direct or indirect bearing on the pace and extent of
economic development.

1.6 Objectives of the Labour Legislations

Labour legislation in India has sought to achieve the following objectives:
1. Establishment of justice – Social, Political and Economic.
2. Provision of opportunities to all workers; irrespective of caste, creed, religion, beliefs; for
the development of their personality.
3. Protection of weaker sections in the community.
4. Maintenance of industrial peace.
5. Creation of conditions for economic growth.

6. Protection and improvement of labour standards.
7. Protect workers from exploitation.
8. Guarantee right of workmen to combine and form association or unions.
9. Ensure right of workmen to bargain collectively for the betterment of their service
conditions.
10. Make state interfere as protector of social well being than to remain an onlooker.
11. Ensure human rights and human dignity.

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