Development of Labour Laws in India and their purposes

 

Part-2

The history of labour legislation in India can be connected with the chronicle of British colonialism. Significance of British political economy had determined the early labour laws in India in two ways – (i) in order to conserve and protect the interest of British employers and industrialists; (ii) in accessing Indian workers easily to run the British establishments. For example, Factories Act was introduced by the British Parliament in 1883 to curb the intense competition between Indian textile industry and British textile, introduced the Factory Act in 1883. The intent of introducing the Act was to increase the cost of production by upwardly revising the Indian labour cost favouring British textile tycoons from Lancashire and Manchester. Indian labour got a stipulated 8 hours work in a day and overtime wages. Child Labour was abolished and women working at night was restricted. All these benefited the Indian labour market as a whole but the real motivation behind the move was entirely different.

In 1844, thirty-nine years before the Factory Act was introduced in India, Frederick Engels, in his celebrated work ‘Conditions of the Working Class in Manchester and Leeds’ wrote: “……the law is sacred to the bourgeois, for it is his own composition, enacted with his consent and for his own benefit and protection. He knows that, even if an individual law should injure him, the whole fabric protects his interests.” The labour and industrial laws were enacted by British Administration primarily to protect interests of the British monopoly capital.

However, the chronology of developments of labour laws in India can be categorised as: (i) Pre-1920s; (ii) Post-World War-1 and the 1920s; (iii) The 1930s; (iv) Between post World War-II and independence; (v) Post-independence: 1948 onwards and (vi) India’s recent developments and reforms.

Pre-1920s:

The emergence of industrialization steadily shifted the rural labour force towards cities. Mill owners, during those days, used to treat the workers shabbily with very little or even no payment at times. The colonial authorities did not pay much attention towards the misery of workers except enforcement of penal provisions available at that time which were formulated to ensure uninterrupted supply of labour for emerging industries. Most of the British regulations were in relation to discipline the workers compelling “forced labour”.

The Workmen’s Breach of Contract Act, 1859 was a significant legislation and its provisions were used for labour discipline. The Act not only demanded fines in cases of breach of employment contract but also allowed orders for specific performance of service.

From the 1880’s, there was legislative intervention of the government. Most of the legislations were the outcomes of different government enquiries. However, the legislations were not fairly implemented in the working practices by the industries. Therefore, the impacts in favour of workers were very minimal and selective. For example, The Factories Act, 1881.

Post-World War-1 and the 1920s:

During this phase, the political scenario was influenced by several factors which had impacted industrial relation. There was an emergence of a strong nationalist movement. Driven by the ideals of communism, trade unions were also growing rapidly which led to the establishment of All India Trade Union Congress (AITUC) in 1920.

International Labour Organisation (ILO) was formed in 1919, a forum where workers, governments and employers from different countries and member states come together and set carefully scrutinized standards; promote decent work and health conditions for both men and women; develop policies and devise programmes. Since 1922, India has been a permanent member in the governing body of ILO. This has served as a major background for ‘progressive labour legislations’ in the country.

During 1920s, there was an emergence of ‘modern outlook’ with regard to the industrial relations. The protective legislations like Factories Act, 1922; The Mines Act, 1922 and The Workmen’s Compensation Act, 1923 were enacted. The formulation of the Trade Union Act of 1926 and the Trade Dispute Act of 1929 came into being.

The Trade Union Act of 1926 extended legal status for the trade unions and few protections against civil and criminal liabilities, however, unregistered trade unions had no such protection. The Act did not provide any aid to the ‘collective bargaining’ system. No support was provided in the path of industrial dispute. 

The Trade Dispute Act of 1929 put various restrictions on workers’ right to strike. Reference of the industrial dispute to a court of enquiry was made compulsory though the conclusions to the same had no binding upon the parties.

The AITUC criticised both the legislations.

Subsequent articles will discuss the remaining stages of development of the labour laws in India.

@pradipsinterpretations