Section 67 of The Industrial Relations Code, 2020
Rights of workers laid-off for compensation, etc.
Whenever a worker (other than a badli worker or a casual worker) whose name is borne on the muster rolls of an industrial establishment and who has completed not less than one year of continuous service under an employer is laid-off, whether continuously or intermittently, he shall be paid by the employer for all days during which he is so laidoff, except for such weekly holidays as may intervene, compensation which shall be equal to fifty per cent. of the total of the basic wages and dearness allowance that would have been payable to him, had he not been so laid-off: Provided that if during any period of twelve months, a worker is so laid-off for more than forty-five days, no such compensation shall be payable in respect of any period of the lay-off after the expiry of the first forty-five days, if there is an agreement to that effect between the worker and the employer: Provided further that it shall be lawful for the employer in any case falling within the foregoing proviso to retrench the worker in accordance with the provisions contained in section 70 at any time after the expiry of the first forty-five days of the lay-off and when he does so, any compensation paid to the worker for having been laid-off during the preceding twelve months may be set off against the compensation payable for retrenchment. Explanation.--- For the purposes of this section "badli worker" means a worker who is employed in an industrial establishment in the place of another worker whose name is borne on the muster rolls of the establishment, but shall cease to be regarded as such, if he has completed one year of continuous service in the establishment.
Summary
- Regular workers (not "badli" or casual) with at least one year of continuous service are entitled to lay-off compensation.
- This is paid for all lay-off days except for weekly holidays.
Practical examples
FAQ
1. I am a "badli" worker. Do I get lay-off pay?
No, but if you complete one year of continuous service, you stop being a "badli" and become eligible.
Test yourself
1.Under Section 67 of The Industrial Relations Code, 2020, how much compensation is a laid-off worker entitled to?
2.Under Section 67 of The Industrial Relations Code, 2020, how long must a worker have served to be eligible for compensation?
3.Under Section 67 of The Industrial Relations Code, 2020, what is the maximum period for mandatory lay-off compensation if an agreement exists to limit it?
4.Under Section 67 and Section 70 of The Industrial Relations Code, 2020, what can an employer do after the first 45 days of a lay-off?