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Labour Law Assignment

Analysis of The Factories Act, 1948: Is there a need for Reform ?

Submitted To: Submitted By:

Dr. Mita Poddar Rohit Raghuwanshi

Asst. Professor Roll No. 183, Sem VIII A

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Overview of the Factories Act 3

Changes and amendments 6

Lacunas and Suggestions 9

Conclusion 11

Table of Contents

INTRODUCTION

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Labour in India basically refers to the people who are employed in organized or unorganized
sector and contributing to the economy of India. Organized sector includes workers who
are employed by the government, state-owned enterprises and private sector enterprises.
Unorganized sector, which is also named as informal sector or known as own account
enterprises, refers to all unlicensed, self-employed or unregistered economic activity such as
handicrafts and handloom workers, rural traders, farmers, etc. The term unorganized labor is
defined as workers who have been unable to organize themselves in the pursuit of common
interests. Due to the illiteracy, poverty, ignorance, and small and scattered size of work
establishment these workers are exploited by the employers. These types of workers who are
highly distressed become bonded labors, migrant labors and contract labors.

Mines means any excavation where any operation for the purpose of searching for or obtaining
minerals has been or is being carried on which includes all borings, oil wells, all protective
works being carried out in or adjacent to a mine etc. and when it comes to define a person who is
employed in mines then according to section 2(h) of The Mines Act 1952 a person is said to be
employed in a mine who works as the manager or who works under appointment by the owner,
agent or manager of the mine or with knowledge of the manager, whether for wages or not.

Major quarries of India are spread over the states of Madhya Pradesh, Chhattisgarh, Rajasthan,
Jharkhand, Karnataka, Tamil Nadu, and Andhra Pradesh. Almost everywhere in these states
migrant and bonded labors are employed to carry out the works because they are a very deprived
class of people and easily they get ready to work for low wages. The people of the mining
villages receive extremely low wages with no benefits. An adult male worker working in mines
receives only Rs.70-120 per day, depending upon his skill, after 8-10 hours of work.
Comparatively, the daily wage for a woman is Rs. 45-55, and a child receives Rs. 30-40 a
day. These workers dont get any holidays, no weekly days off for these people, and no maternity
leave.

Mining is only now being made visible from the context of its impacts on women in the
communities, directly and indirectly affected by the industry. Yet even today the rhetorical
question of whether mining has anything to do with women remains predominant in the minds of
the public, policy makers and political representatives. The development paradox of India lies in

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the universal targets set nationally for bringing women out of the abysmally poor indicators of
literacy, health, economic and social security, to provide development opportunity and yet, the
undoing of the same through gender insensitive economic policy decisions at all levels. This
report brings out the paradoxes of India which is signatory to many of the international treaties
for the development of women and voices a gender sensitive approach to planning, yet, is
pursuing policies that are pushing women into economic ghettos, most evident in its pursuit of
mineral extraction and trade. India appears to be vastly indifferent to these contradictions, as it
would imply respecting laws and laying down standards for corporate behaviour and socially
responsible governance. In an atmosphere where the countrys focus is on drawing foreign
investments by relaxing laws and regulations to the extent of creating deemed foreign
territories for export and trade, that a politically inarticulate and economically vulnerable group
like women would be given priority over trade negotiations, seems highly unlikely in the current
political situation. The ratifications made internationally seem to have little impact in the field.
Juxtaposing these agreements to complement the national laws and thereby strengthening the
judicial mechanisms for protection of women can happen only when the governance and
bureaucratic machinery at all levels are willing to apply these national laws and international
agreements in order to consciously empower women. Economic prosperity for women from the
mining industry in India translates to 27,000 odd jobs with women in the lowest end of the
employment hierarchy. For a sector that is holding the nation to ransom by declarations of its
contribution to national growth and controls high political stakes in many of the states in India, a
sector that admittedly runs on illegal activities by over 40 percent, its contribution to the
economic growth of women, on the other hand, is less than 1 percent.

Unsafe working conditions in the mines lead to high number of accidents and health care has
been always a serious issue among the mineworkers. Lack of safety equipments, hard physical
labour and presence of health hazards in mines lead to widespread health problems. The mine
worker people are poor so they cant afford expensive medical treatment and their isolated
location and poverty deny them access to health care and the diseases often prove fatal. Funding
will provide health and preventive care in these type of isolated areas where the access to health
care is not that easy. Patients should be provided with diagnosis and treatment, including low-
cost medication.

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WORKING GROUP IN MINING

WOMEN WORKERS

Women are paid less than men. This is not even half of the official minimum wage for unskilled
labor, which is 100 rupees. In quarries they have to do separate task from men like handpicking,
loading and crushing the stones. It takes many skills but then also they are regarded as unskilled
labors because there is no formal upgrading of skills and there is no recognition of these tasks.
Not only they get less wage then men but they are also sexually harassed by mine owners and
contractors. Many interview report shows that Dalit and tribal women are the most exploited
sects of people in the mining sector.

CHILD LABOUR IN MINING

Children who are born in remote mining areas starts with a big disadvantage as they could not
get any child care facilities there, and often no schools exist in the neighborhood, mothers are
only left with the choice to take them along to their work in the quarries. In their childhood only
when they should learn how to write and speak, they learn to crush the stones or help with
loading the stones on trucks. Its not that no Government schools exist in these types of area,
schools exist but because of the very poor quality and teacher absenteeism, these government
schools cant provide proper education to these children and they remain illiterate. These
children also dont get proper food to eat due to which majority of children are chronically
malnourished.

Cheap child labour is welcomed by the contractors and due to the poverty and hardship child
workers family allow their children to work in mines and quarries and its no surprise that
majority of these children are working in mines. These children also dont get proper food to eat
due to which majority of children are chronically malnourished.

Reports show that many children are working in the mining sector, because of the remoteness of
quarries and mines and the informal character of the sector but the response from the Indian
labour department is complete denial. They argue that child labour in mining and quarrying is
illegal and its the violation of their right to education. They are often displaced migrants, living

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in huts and tents and as a result they are very vulnerable for other forms of exploitation and
abuses, and they often involved in illegal activities by the mafia and trafficking.

DALITS AND ADIVASI

Large scale mining projects are basically operated in tribal or adivasi areas. What the
government, politicians and big businessman or industrialist do is to take away the land from
their owners and force them to migrate. In case of displacement owners of the land are
compensated with the cash amount or sometimes they are also offered jobs but in case of Dalits
they hardly receives any compensation as they do not work on their own land themselves but
work as landless laborers on other peoples land. Discrimination on the basis of caste with Dalits
in workplace is very common and they get excluded from social services such as health care and
training. Also they never get the chance to be promoted as they are viewed as unskilled labours.

LAWS THAT PROTECTS THE RIGHTS OF MINE LABOURERS:

A committee was appointed by the Government of India in 1895 to frame suitable rules and
regulations for the protection of workers working in mines in such cases where they have
reasonable claim on state for protection. The committee submitted its report in 1896. This report
led to the enactment of first Mine Act in India which came into effect from 22th March 1901.
Some of the provisions of the act is minimum age of employment is 12 years, Penalties were
prescribed for various contraventions, Inspector was allowed to enter into the mines and he can
inspect and make enquiries. This was enacted in 1910 and 1914. Then a new Indian Mines Act
was enacted in 1923. The act was further amended in 1925, 1927, 1928, 1931, 1935, 1937, 1940
and 1946. The amended act of 1935 made new changes in the age of employment. The age of
children was raised to 15 years. Mining Boards were required to be set up by the provincial
governments. The amended act of 1940 stipulated that salaries and wages of manager,
supervisory staff should be paid by the owner of mine and not by the raising contractor.

THE MINES ACT, 1952

Section 46 of the Act speaks of the employment of women:

(1) No woman shall, notwithstanding anything contained in any other law, be employed

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(a) in any part of a mine which is below ground;

(b) in any mine above ground except between the hours of 6 A.M. and 7 P.M.

(2) Every woman employed in a mine above ground shall be allowed an interval of not less than
eleven hours between the termination of employment on any one day and the commencement of
the next period of employment.

(3) Notwithstanding anything contained in sub-section (1), the Central Government may, by
notification2 in the Official Gazette, vary the hours of employment above ground of women in
respect of any mine or class or description of mine, so however that no employment of any
woman between the hours of 10 p.m. and 5 a.m. is permitted thereby.

The Mines Act, 1952 contains the provision related to health, safety and welfare of the workers
working in coal, oil and metalliferous mines. The act define mine as any excavation where any
operation for the purpose of searching for or obtaining minerals has been or is being carried on
and includes all borings, bore holes, oil wells and accessory crude conditioning plants, shafts,
opencast workings, conveyors or aerial ropeways, planes, machinery works, railways, tramways,
sliding, workshops, power stations, etc. or any premises connected with mining operations and
near or in the mining area.

According to the provision of the Act it is the duty of the owner to manage mines and the mining
operations and health and safety in the mines. The act also prescribes number of working hour in
the mines, what should be the minimum wage rate and other related matters.

This Act is administered by the Ministry of Labour and Employment through the Directorate
General of Mines Safety. Its the Government regulatory agency for safety in mines and oil
fields. The main work of DGMS is to reduce the risk of occupational diseases and injury to
persons employed in mines and to improve safety and health standards. For this they do periodic
inspections of mines to keep vigil over the status of safety and investigate into accidents and
complaints.

Women working in the different mines and quarries in India are deemed to have certain rights as
given in the Mines Act 1952 for all mine workers. With regard to employment of women, these
rights include:

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No woman shall be employed in any part of the mine below ground.

No woman shall be employed in any mine above ground except between the hours 6 a.m. and 7
p.m.

Every woman employed in a mine above ground shall be allowed an interval of not less than 11
hours between the termination of employment on any one day and the commencement of the
next period of employment.

The central government may, by notification in the official Gazette, vary the hours of
employment above ground of women in respect of any mine or class or description of mine;
however no employment of any woman between the hours 10 p.m. and 5 a.m. is permitted.

The Mines Crche Rules 1966 under the Act state that where women are employed for more
than 12 months suitable rooms (crches) should be reserved for the use of children under the age
of 6 years belonging to such women. The crches should have trained staff to oversee its
working. Specific standards for the kind of crches and what should be provided in them,
including diet and nutrition of children are also provided. Mine owners can provide for the
crches jointly as well.

The regulations, rules and by-laws gives powers for prohibiting, restricting or regulating the
employment of women in mines or in any class of mines of on particular kind of labour which
are attended by danger to the life, safety, or health of such persons and for limiting the weight of
any single load that may be carried by any such person.

CONSTITUTIONAL OBLIGATIONS

The constitution of India has empowered the parliament to frame laws for the safeguard for the
person working in the mines and also for the regulation of labor and safety in mines.

Article 246 of Indian Constitution: Article 246 and entry 55 of the seventh schedule of Indian
constitution talk about the regulation of labour and safety in mines and oilfields.

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Article 24: Article 24 of Indian constitution says that no child below the age of fourteen years be
employed to work in any factory or mine or engaged in any other hazardous employment.

Article 39: Article 39(e) speaks that the state shall directs its policy towards securing the health
and strength of workers, men and women , and the tender age of children are not abused and that
citizens are not forced by economic necessity to enter vocations unsuited to their age or strength.

Article 42: Article 42 of Indian Constitution says that the state shall make provisions for
securing just and humane conditions of work and for maternity relief.

INTERNATIONAL BUSINESS AND HUMAN RIGHTS

At the international level human rights discourse over bringing about corporate accountability
and developing redressal mechanisms, both judicial and non-judicial, for communities facing
corporate abuse, has only now started gaining ground. With the UN taking the initiative to foster
a dialogue on business and human rights, particularly through the mandate given to Prof. John
Ruggie as Special Representative to the UN on Business and Human Rights, the concerns over
human rights violations with respect to the manner in which multinational corporations are going
about their businesses in most of our nations, speaks to some extent, the recognition of these
violations, albeit with the above elusive approach. One sector that has induced this global
response in a major way is the mining industry, which has gained the reputation of creating huge
environmental and social problems to the extent of funding military regimes and causing
genocide. Corporate misconduct and its deliberate arm-twisting of governments to remove or
dilute many regulations, particularly where large mineral resources are at stake, has in many
countries jeopardised the political stability, displaced millions of people from their homes, and
has posed irreparable damage to natural resources, health and safety of communities. The
extractive industry, host governments and financial institutions which are all equally responsible
for this exploitation, have so far, walked away from the people and the environment, leaving
behind more impoverishment and greater resource crunch than there was ever before in many of
the mine sites. This lack of accountability was also intensified due to resistance from all the
above key players in setting standards for performance, a lack of assessment of the impacts,
dilution of legal and judicial mechanisms at national levels, lack of transparency over disclosure

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of financial investments and stiff opposition to legally binding punitive action at the international
level.

While large mining projects with transnational investments have far reaching negative impacts
on womens lives, informal and small-scale mines have been reinforcing another form of
traditionally existing patriarchal exploitation through the brutal force of local mining lobbies.
Both have to be separately examined and analysed from the perspective of womens rights in
order to address these problems. India, which was slow to the process of deregulation and
privatisation, is making up for lost time by a host of hasty policies, amendments and investments
that have suddenly thrown major areas and sections of the marginalised population into disarray.
The women in India are, as elsewhere, standing up and questioning this destruction and putting
up a strong resistance in every project area that is unjustly pushing them out.

FEMINISATION OF THE EXTRACTIVE INDUSTRY

Human rights violations of the mining industry that often fail to be addressed are the gender
imbalances created as a result of drastic changes in the resource utilisation and ownership
patterns that affect incomes, livelihoods, cultures and social equations in a gender unequal
manner. An important area of concern over corporate irresponsibility of the extractive industry is
with respect to gender equality and sensitivity. The nature of impact that the mining industry has
on women and the wide gaps in gender whether with respect to wages, opportunities for
employment and livelihood, health risks, resource and land rights, social security and access to
information, judicial remedy and political response are all of serious concern. Besides, there is a
perceptible dichotomy where there is growing feminisation of the extractive industry on the one
hand, and feminisation of poverty induced by mining on the other, as a result of the privatisation
and liberalisation economies adopted by our government. Due to displacement from their lands
caused by mining projects and due to the contractual nature of labour in the mining industry,
large populations of women and children are today forced to work in the mines and its ancillary
activities or end up as migrant labourers leading insecure lives. In many cases, while the men are
forced to migrate to urban centres after losing their traditional livelihoods, the burden of
agriculture and homestead farming entirely shifts to the women. Mining has steeply increased the
unorganised sector where women (and children) are mainly engaged, with no clear responsibility

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towards their well-being that can be traced to the larger corporates. Whereas in many other
countries, militarisation of governments financed by mining companies has led to suppression of
women agitating for their rights and in many instances women are being reported to be beaten
up, made to disappear or charged under false criminal offences, in India, criminalisation of
politics and the patriarchy of big money, is nowhere as ludicrously high as in mining areas and
has led to serious violations on womens rights. These are manifested through exploitation like
trafficking of women both for 2 sexual exploitation as well as for labour, bonded labour of
women and children, substance abuse, destitution and other forms of physical and mental torture
and cultural disintegration which were quite evident from the testimonies given by the women in
the mine sites visited for this study. Therefore, the serious challenges to a dialogue between
business and human rights is in ensuring corporate accountability first, to the women affected by
the mining industry. The sustainability of any economic activity depends on the gender-just
nature of its economy. In the context of a masculine and male dominated mining industry, the
challenge is far more intense. Also, a serious challenge to an engagement of the civil society with
our respective states is whether the state is today capable of the core values of good governance
and social equity. Increasingly, we see it vulnerable to the short-term agenda and the lucrative
business motives of the global mining industry, thereby rationalising this model as sustainable
growth and providing cosmetic incentives for the affected, by way of its social responsibility.

CONCLUSION

In the mining industry safety is vital factor. To avoid any types of unwanted accidents all mining
industry follows some basic precaution. To avoid loss of material and damaging of human health,
protection system as well as communication system is necessary inside the underground mines.
To increase both safety and productivity in mines, a reliable communication must be established
between workers. The workers including women, children dalits and adivasis came from a very
backward society and they are the most suppressed section of the society. Just because they are
poor and illiterate and come from a weaker section of the society, they should not be deprived
from their fundamental and basic rights. They should also get equal opportunity to be promoted;
they should get the wages prescribed by law. They also have the right to get holidays, maternity
leave and safety measures. The laws should be implemented more effectively to uplift these
people. Since they are illiterate, they cant read and write so they are unaware of their rights and

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the owners and the contractors take this benefit and the workers continue to be the victim of
humiliation and harassment. A proper camp should be organized from time to time for the mine
worker where they should be informed about the rights which they have and what are the rules
and regulations which are made to protect them so that in case of harassment they can also raise
their voice. Article 14 of the Indian Constitution talks about right to equality, then this article
should not be limited to a specified or we can say only to the people of high status. It should be
enjoyed by each and every individual of the nation whether he or she comes from poor family or
rich family, whether he is literate or illiterate. There should not be any discrimination between
two individual on any ground. The laws made by the legislatures should not remain in the paper
only; it has to come into effect practically.

RECOMMENDATIONS

1. Although the National Mineral Policy 2008 states that its goal is not only the exploitation of
these natural resources for capital goods, infrastructure and industry, but the sustainability of
the communities and environment, it does not clearly indicate as to how the industry will
provide sustainable livelihood for its workers. So far, efficiency in mineral extraction is being
viewed from the needs of the industry in terms of the pace at which leases are processed and
an enabling environment for investments, but not from the point of health and sustainability
of its workers. The contribution of the mining sector to the total employment is marginal.
Unless the employability of the sector is reviewed, the sustainability of mining in the context
of the economics of employment is questionable, especially where women are concerned.
Therefore the National Mineral Policy 2008 should be redefined to include making
employment in the industry sustainable to workers. Further, the Policy should review the
process of privatisation and mechanisation and retrenchment of workers as all these lead to
women being the first to be laid off. The Policy should make it mandatory for mining
companies to maintain gender equity at all levels and dimensions of mining activities. In
addition the Policy should insist that companies ensure atleast 30% of its employment to
have women, not just at the lowest end but at all levels.

2. The policy of banning women from underground work should be reviewed as this legal
obstacle has been removed in many countries. Instead, improving workplace standards,

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providing work safety training and equipment to its women employees is more desirable to
preventing them from most of the technical and professional tasks in the sector. This also
calls for improved technology for adapting to the requirements of women workers.

3. In terms of legal safeguards, the Mines Act 1952 and the Mines and Minerals (Development
and Regulation) Act 1957 should be amended together to include provisions for the above
policy issues, especially where informal workers are concerned. Within these Acts, the
granting of mining leases should have precautionary rules and pre-conditions to safeguard the
workers rights. These pre-conditions should be set clearly before the initiation of any project
related activity on ground and clearances should be subject to monitoring by civil society
groups, workers themselves and local governance institutions to provide checks and
balances.

4. There is no clarity over definitions of informal, contract, casual or migrant mine labour and
what the rights of workers under each of these categories are. Unless these are defined under
law, there is no protection for the women mine workers. Particularly, migrant women labour
are going to be a large section of mine workers in India, given the ambitious plans of
expansion of mining activities in the country. Labour laws for migrant labour are too broad
like in the case of the Inter-State Migrant Workmen (Regulation of Employment and
Conditions of Service) Act 1979, and dose not focus on women mine labour. This Act along
with the Unorganised Workers Social Security Act 2008 and the Mines Act 1952 should all
provide for specific legal rights of women workers in lieu of the development incentives,
which should be regarded as only supplementary benefits.

5. A review of the implementation of the existing Acts related to women and mining should be
undertaken, like the appointment of women members in the advisory and central advisory
committees as given in the Iron Ore Mines, Manganese Ore Mines and Chrome Ore Mines
Labour Welfare Fund Act 1976, the Lime Stone and Dolomite Mines Labour Welfare Fund
Act 1972 and the Mica Mines Labour Welfare Fund Act 1946 to assess the extent to which
these are being implemented.

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6. Punishment for non-compliance with the Mines Act 1952 with respect to workers rights and
duties of mine owners should be clearly stated at the time of sanction of lease and should be
included within the legal framework. Punitive action like cancellation of licences should be
clearly specified under law for different categories of offences by mine owners. Especially
the involvement of child labour, and facilities for women mine labour should be emphasised
in these offences. Information and workers details regarding accidents, expenditure on
accident benefits, maternity benefits, insurance and other details should be made mandatory
for display in the offices of the mining companies and in the respective Labour Department
offices.

REFERENCES:

1. Women Mine Workers in India: A Handbook for Defenders of Mine Workers Rights,
Dhaatri Resource Centre for Women and Children & Samata, October 2010.

2. Contesting Womens Rights Within the Political Economy of Mining in India, Dhaatri
Resource Centre for Women and Children & Samata, September 2010.

3. The Mines Act, 1952.

4. https://blog.ipleaders.in/laws-protect-rights-mine-labourers-india/

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