Page 78 - DMGT516_LABOUR_LEGISLATIONS

Unit 3: The Factories Act, 1948

"That is a good idea," said Behl. "Money may not be the only reason why people work, but
it is one of the biggest reasons. Besides, a change like this needs significant lead time. It's
a cultural change and people must be prepared for it."
"I would have loved to do this over a period of one year," defended Arora. "But I was asked to
implement it within three months of the board deciding on it. Besides, where is the top
management commitment to this initiative? Who is the champion of this variable pay? I could
be, but it will have more credibility if the CEO also showed that he was committed to it."

Questions
1. How to convince people like Mathur that variable pay will actually help them in the
long run?

2. How to achieve a buy-in across the organisation?
3. How to rectify some of the errors the company may have made in its implementation?
4. Finally, should the company scrap variable pay and return to the fixed system?

Source: Business Today, June 9, 2002.

3.8 Summary

The Factories Act, 1948 protects human beings from being subject to manual laborer and
long hours of bodily strain.
This Act is applicable to whole of India.
Occupier has the control over the affairs of the factory.
Responsibility for getting the premises approved when the factory is to be established lies
on the responsibility on the occupier.
There are health, safety and welfare measures included in this Act.
Second national commission on labor provided recommendation on welfare measures of
the workers.

3.9 Keywords

DGFSALI: Director-General of Factory Advice Services & Labour Institutes.
Health: It is a general state of physical, mental and emotional well-being.

Industrial hygiene: The promotion and maintenance of highest degree of physical, mental and
social well-being of workers.
Occupier: It is the person who has ultimate control over the affairs of the factory.

Precincts: It is the space enclosed by the wall.
Premises: It is the open land or land with building or building alone.
Safety: It is the protection of a person's physical health.
Welfare officer: The person who is appointed to look after the welfare of the workers in the
factory.
Worker: Any person employed directly or indirectly in any manufacturing process.

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