Civil Procedure Code (CPC)

Charter of demands

Dear All,

Thank you for every one who spares sometime to read this and who give their valuable advices.

we are running a agency of manpower for TOLL INDUSTRY and we are contracters and we offer our services to our client very honestly. we will be renewed every year by our client to do toll operations and we are having around 200 employees working in each project. The main problem is that, in one of our projects, a disturbance came because some of our employees formed a union and now demanding for their rights. Though we are paying minimum wages prescribed by law, they are demanding for more wages and also demanding for milk allowance, washing allowance, funeral expenses, travelling allowances, bonus, HRA etc and troubling us. please suggest us whether they are applicable to deserve these benefits as contract employees/ please let me know how can i fight as per law/


The confusion at your end seems to be that contract employees are not eligible for the benefits.

Now they are united and if you have violated the Acts/Statues/labor Laws you can be penalized.

Give them their dues and be at peace.

A local labor law consultant/service matters lawyer can guide you further.


Dear Sir,

Thank you very much. But what I confuse is that are they really deserve all their demands like milk allowance, funeral allownace, educational allowance, bonus, 5 sick leaves,HRA etc apart from taking minimum wages prescribed by the law. These minimum wages are also recently directed by  DLC and as of his instruction all of our employees are getting minimum 1000-2000/- variation in their salaries.

kindly let me know the facts regarding their demands


The demand has been raised thru union.You can discuss. Contract Employees are covered by Labor Laws......and are eligible to get Leave,bonus,PF,ESIC,Gratuity etc... You can not provide less but you can provide more.... You seem to have been violating laws hence don't be rigid and get penalised..... Sit, discuss and finalize. Why don't you frame draft standing orders and submit for certification? Once you have CSO (certified standing orders) these shall be governing service conditions.

Dear Sir,

Thanks a lot. In fact, I would like to bring your kind attention towards the facilities provided by us to our employees. We are providing canteen, EPF, ESIC, SHIFT VEHICLE FOR TRANSPORTATION TO WORK PLACE, ACCOMODATION, DRINKING WATER, BATHROOMS AT WORK PLACE. Some of our employees are not staying in the provided accomodation as they are married and of  their personal problems.Can they damand for HRA? some of our employees are not using our shift vehicle for transportation and demanding for travelling allowance. Are they correct? Usually our employees work in 3 shifts and now they demanding for night shift allowance. Is it acceptable? Is bonus is mandatory from our side?

We are having STANDARD OPERATIONS PROCEDURES (SOP)prescribed by NHAI and is it to be sent to certification? If so, to whom it should be submitted?


If standing orders apply to your establishment then if standing orders are not certified Model Standing Orders shall apply............and these/ID Act etc ........ cover washrooms etc.....


Your establishment shall have to adhere to standing orders as employer personally is held responsible for faithful observance of standing orders............

The SOP issued by NHAI can't replace standing orders if standing orders are applicable.

Then you have to comply to provisions (name of the state) Shops and Commercial establishments Act , if your establishment is covered by this Act......


You are not doing any favor by providing for PF,ESIC as it is your statutory obligation and defaalt by you can lead to penalty and punishment.......

Gratuity would also be applicable.....................and if you don't then you are liable for penalty and punishment with jail time as provided for in Sec9................


Bonus: might be applicable as per provisions of Payment of Bonus Act and if you don't provide it by 30th Nov then you are liable for punishment and penalty.....


Night shift rotation/allowance : has to be in accordance with enactments applicable to the establishment....................


OT: can't be more than capping on OT as per enactments applicable to the establishment and OT should be paid alongwith monthly wages by the usual pay day ......................and the establishment  is liable to maintain the registers as prescribed in enactments applicable to the establishment e.g .

(name of the state) Shops and Commercial establishments Act 

(name of the state) Shops and Commercial establishments Rules


If Charter of demand is supplied by the union then what is the harm in discussing it and meeting legitimate demands................................

By paying the min. wages as prescribed from time to time you are not obliging the employees rather you are defending yourself from penalty and punishment........


You are also aware that the Min.Wages are peanuts and in today's environment it is difficult to meet the both ends.......................


Thank u sir. 

we will go for discussions 


Dear Advisers,

we had discussion with all the union employees are settled some of their demands like giving more salaries than minimum wages, three national holidays, funeral expenses, festival gift/sweet,uniforms,free meals, pf, esic and now pending issue is that employees are demanding for 7 state holidays(karnataka) and for a earned leave for every 20 working days. Apart from three national holidays, are they eligible for state holidays? is their demand for a earned leave for every 20 working days is right as per law? please advice.

And also, please let me know the consequences if we sign on the demand agreed by us in front of RLC like memorandum of settlement?


The RLC shall not commit any irregularity and shall not accept irrelevant demand of either employees or employer………..

Since you have not been providing the legitimate benefits the employees unions have referred the matter to RLC………….and you should not disagree to legitimate demands to provide legitimate benefits as per provisions of applicable labor Laws/Rules……

The demand of EL, holidays does not seem to be wrong.

You may go thru following at the Dept. of labor website of Karnataka:  

Karnataka Shops and Commercial Establishments Act


EL:20 days, SL;12 days, Maternity Leave;12 days

Chapter3,4 and Sec;15 (9,10)  in particular: the language implies that the leave shall not be refused…

You may also go thru:

Karnataka Shops and Commercial Establishments Rules

The Karnataka Industrial Establishments (National and Festival Holidays) Act, 1963

The Karnataka Industrial Establishments (National and Festival Holidays) Rules, 1964.






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