The Equal Remuneration Act, 1976
The Equal Remuneration Act, 1976
Description and short notes
Act Details
The objective of the Act
The Equal Remuneration Act, 1976 Aims at:’
To pay equal remuneration to men and women workers.
To Improve the Quality of Women’s Employment Conditions
To prevent discrimination, on the grounds of sex, against women in the matter of employment.
Empowerment of women in the employment sector
To provide increasing opportunities to women.
To create awareness among them about their legal rights and duties
To set up an advisory committee to promote employment opportunities for women.
The rationale of The Equal Remuneration Act, 1976
The Act is a Central Legislation and applies to the whole of India.
Restricting the employer to create terms and conditions in a contract of service or work of labour contrary to equal pay for equal work doctrine and the provisions of Equal Remuneration Act.
The Act doesn’t make a distinction like employment or the period of employment and applies to all workers even if engaged only for a day or few days.
No overriding effect is given to any agreement, settlement, or contract to the provisions of the Equal Remuneration Act.
Any settlement or any agreement with the employee that is detrimental to the employee isn’t allowed.
The Ministry of Labour and The Central Advisory Committee are responsible for enforcing this Act.
When the employer doesn’t comply with the provisions of the act, he will be liable to pay a fine, imprisonment, or both.
The genesis of The Equal Remuneration Act, 1976
The Equal Remuneration Act, 1976 was enacted on 11th Feb 1976 as the 25th Act of the year and came into force on 8th March 1976 all over the country. ARTICLE 39 which is included in the Constitution of India deal with equal remuneration pay.
The Equal Remuneration Act, 1976 is implemented at two levels: Central Sphere by Central Government and State Sphere by State Government. The Ministry of Labour and Employment look for the Act affairs.
A Central Advisory Committee has been set up at the Centre under the Act to advise the Government on providing increasing employment opportunities for women and generally reviewing the steps taken for effective implementation of the Act. The Committee has been reconstituted vide Gazette Notification dated 12.10.2010. The first meeting of the reconstituted Committee was held on 22.02.2011 under the Chairmanship of Hon’ble LEM.
Section-wise description
The Equal Remuneration Act, 1976
CHAPTER I
PRELIMINARY
Section 1: Short title, extent, and commencement
This Act may be called the Equal Remuneration Act, 1976. It extends to the whole of India. It shall come into force on such date, not being later than three years from the passing of this Act, as the Central Government may, by notification, appoint and different dates may be appointed for different establishments or employments.
Section 2: Definition
This section defines some important key terms like Appropriate Government, the commencement of this Act, employer, man and woman, notification, prescribed, remuneration, same work or work of similar nature and some terms which are defined in Industrial Disputes Act 1947 have the same meaning.
Section 3: Act to have overriding effect
This Act has overriding effect over other provisions of the Act which is equivalent to saying in spite of those provisions the particular clause would have a full operation.
CHAPTER – II
PAYMENT OF REMUNERATION AT EQUAL RATES TO MEN AND WOMEN WORKERS AND OTHER MATTERS
Section 4: Duty of employer to pay equal remuneration to men and women workers for same work or work of a similar nature
No employer should pay at different rates to his or her employees for the same nature of work based on their genders. If payment of remuneration is identified as discriminated on the basis of the sex of the employee then the highest payable to the worker is awarded to such men and women who faced the discrimination.
Provided that nothing in this subsection shall be deemed to entitle a worker to the revision of the rate of remuneration payable to him or her with reference to the service rendered by him or her before the commencement of this Act.
Section 5: No discrimination to be made while recruiting men and women workers
After the commencement of this Act, no employer can discriminate against workers while recruiting for the same work or similar nature unless employment for women is prohibited in the workplace or in that nature of work.
Section 6: Advisory committee
The appropriate government establishes one or more advisory committee minimum of 10 members (one-half Women). The role of the committee is to provide employment opportunities for the women and also look at various factors of employment (the nature of work, hours of work, suitability of women for employment) women are facing at their workplace.
A Central Advisory Committee has been set up at the Centre under the Act to advise the Government on providing increasing employment opportunities for women and generally reviewing the steps taken for effective implementation of the Act.
Section 7: Power of appropriate Government to appoint authorities for hearing and deciding claims and complaints
Appropriate Government appoint authority rank not below than Labour Officer to decide the complaints and claim against non-payment of wages at an equal rate for the same nature of work. The employer and the applicant should be given the chance of being heard.
Every authority appointed under sub-section (1) shall have all the powers of a Civil Court under the Code of Civil Procedure, 1908 (5 of 1908), for the purpose of taking evidence and of enforcing the attendance of witnesses and compelling the production of documents and every such authority shall be deemed to be a Civil Court for all the purposes of section 195 and Chapter XXVI of the Code of Criminal Procedure, 1973 (2 of 1974).
In case of a claim that payment is made to the worker of the amount by which the wages payable to him exceed the amount actually paid and in case of a complaint, adequate steps be taken by the employer to ensure no contraventions of the Act.
If Employer or Applicant is unsatisfied with the order made by the authority, they can file an appeal within thirty days, to alter the order if required. The provisions of sub-section (1) of section 33C of the Industrial Disputes Act, 1947 (14 of 1947), shall apply for the recovery of monies due from an employer arising out of the decision of an authority appointed under this section.
CHAPTER III
MISCELLANEOUS
Section 8: Duty of employers to maintain registers
The employer shall maintain registers and other documents in relation to the workers employed by him in a prescribed manner.
Section 9: Inspectors
Appropriate government appoints inspector who investigates the provision of the Act is being followed by the employer investigating within the local limits predefined. Inspector is deemed to be the public servant within the meaning of section 21 of the Indian Penal Code (45 oF 1860). If the inspector demands any register or other document for any person should produce those documents. He can take evidence on the site or after the inspection for the purpose of ascertaining whether the provisions of this Act is being complied or not.
Section 10: Penalties
If any employer after the commencement of the Act, omits to produce the required document or fails to maintain register or refuses to give evidence or resist giving any information shall be punished. The punishment could be a fine of a minimum of 10000 and can extend up to 20000 or a minimum of 3months of imprisonment and extend up to 6 months or with both for the first offence, and with imprisonment which may extend to two years for the second and subsequent offences.
He is also punishable if the employer made any recruitment, contravention to this act or paid unfairly to the employee working on the same work or did any discrimination between men and women or fails to follow the direction of the appropriate government.
And also if he, fails to produce documents or refuses to give any information, demanded by the inspector shall be punishable with a fine which may extend up to 500 rupees.
Section 11: Offences by companies
When an offence is committed by the company, the person-in-charge(unless he proves his innocence) for the conduct of the business as well as the company is guilty of the offence and shall be liable to the punishment. If it is proved that the offence is being committed with employer consent or his negligence then the company and the in-charge both are considered guilty and shall be liable to proceed against and punished accordingly.
Section 12: Cognizance and trial of offences
No court inferior to that of a judicial magistrate of the first class shall try any offence punishable under this Act and cognizance of an offence punishable under this Act. The judicial officer will have to take cognizance of the offence before he could proceed with the conduct of the trial. The court can take cognizance as punishable when the complaint is made by the appropriate government or officer and if the complaint is made by the person aggrieved by the offence or by any social welfare institution recognized by the Central or State Government.
Section 13: Power to make rules
The central government make rules for carrying out the provisions of the Act. These rules may provide the manner in which rules and complaints referred to in sub-section (1) of Section 7 shall be made. And also register and other documents which an employer need to maintain under section 8 or any other matter which is required to be prescribed.
Every rule made by the central government is laid before each Houses of Parliament while in session for thirty days. Both houses agree to make any modification if required then it shall be passed.
Section 14: Power of Central Government to give directions
The Central Government may give directions to a State Government as to the carrying into execution of this Act in the State.
Section 15: Act not to apply in certain special cases
This act is not applied in cases affecting the terms and conditions of a woman’s employment in complying with the requirements of any law giving special treatment to women or any special treatment accorded to women in connection with the pregnancy, death, marriage or to any provision made in these connections.
Section 16: Power to make declaration
The appropriate government on consideration the difference in wages of men and women is based on the factor other than sex, make a declaration to the effect that the provision of the act is not applicable to such differences.
Section 17: Power to remove difficulties
If any difficulty arises in giving effect to the provision of the act, then the Central government can issue an order, not inconsistent with the provision of the act, which can remove the difficulty. Every order shall be made is laid before both the parliaments.
Section 18: Repeal and saving
The Equal Remuneration Ordinance, 1975 (12 of 1975) is hereby repealed. Anything done or any action taken under the Ordinance, so repealed (including any notification, nomination, appointment, order or direction made thereunder) shall be deemed to have been done or taken under the corresponding provisions of this Act as if this Act were in force when such thing was done or action was taken.
Major Amendments in the Act
One major State Amendments was from Uttar Pradesh:
Insertion of section 11-A of Act No. 25 of 1976.--After section 11 of the Equal Remuneration Act, 1976 the following section shall be inserted, namely:--
Section 11A: Composition of offences
Any offence punishable under this Act with a fine or imprisonment or Both shall be Compounded (50% of the fine as compounding fee plus prescribed fine) on the application of accused by the competent authority. Remedy for compounding is only available for the first time offence. If the compounding is done before the prosecution then no prosecution is instituted against the offender whereas if compounding is done after the prosecution then the officer should bring in writing to the court and discharge the person against the offence is compounded.
Every officer should exercise the compounding of an offence, control, direct and supervise. Application of the composition of offence is done through given forms and prescribed manner.
Scope For the HR professional
HR professional with the help of this act can improve the employment condition of women.
HR can provide equal access to education and other opportunities for skill development of women and men.
An HR professional can empower women in the employment sector.
HR with the help of this Act can make an unbiased workplace environment.
Equality in remuneration for the same type of work can avoid chaos which leads to a friendly working environment.
HR with the knowledge of the Act and its application can save his/her organisation and the employer from various legal charges and proceedings.
Equality among employees irrespective of their age, sex and background can increase the loyalty of employees towards their organisation.
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