Draft Model Standing Orders for Manufacturing, Service and Mining Sector

The Central Government published the draft Model Standing Orders for the Manufacturing, Mining and Service Sector on Saturday under Section 29 of the Industrial Relations Code, 2020. 

The preparation of a separate Model Standing Orders for the Service Sector is for the first time, keeping in mind this sector’s needs. 

Shri Santosh Kumar Gangwar, the Minister of State for Labour and Employment stated that “These Model Standing Orders will pave the way for the industry harmony in the country as it aims to formalise the service-related matters amicably”.

The draft model standing orders state that when an employer adopts these standing orders for his industrial establishment or undertaking, such standing orders will be deemed to be certified. When an industrial establishment adopts a model standing order, it will become applicable to all of its other industrial establishments irrespective of the location.

All the three model standing orders, i.e. the manufacturing sector, mining sector and service sector’s standing orders maintain uniformity while maintaining flexibility for the sector-specific requirements. They encourage employers to use information technology to disseminate information through electronic mode to the establishment’s workers.

The model standing orders provides six categories of workers – permanent, temporary, apprentices, probationers, badlis and fixed-term employment. The industry will give an identity batch to all the workers, who need to submit it back to the industrial establishment at the cessation of his work. 

Also Read: Popular Queries Galore About the QRMP Scheme

The currently prevalent concept of ‘Work from Home’ is recognised in the Model Standing Orders for the Service Sector. It states that the employer may grant work from home as determined by him or as per the conditions or agreement of appointment between the employer and employee.

The model standing order states that the IT sector’s working hours will be as per the conditions or agreement of appointment between the employer and employee. They also provide for the safeguards to the IT industry. Any involvement in unauthorised access of any IT system or the customer or client or employer’s computer network amounts to misconduct.

The model standing order states that if any worker is found guilty of any misconduct for three or more than three times in the previous twelve months, he will be considered habitual w.r.t indiscipline.  There is a provision of rail travel facility to the workers in the mining sector. Currently, this facility is available only to the workers in coal mines. 

The model standing order provides that the worker’s retirement age or superannuation will be as per the written agreement between the employee and the employer. If there is no written agreement, then the retirement age will be the completion of fifty-eight years of the worker.

The Model Standing Orders for Manufacturing, Mining and Service Sector covers all provisions regarding an industrial establishment’s working aspects. The Model Standing Orders for Service Sector recognises the recent developments in the IT sector by providing work from home, timings and safeguards for in the IT sector. These orders are drafted in tune with the current times and will help in the industrial establishments and IT sector’s smooth running.

For any clarifications/feedback on the topic, please contact the writer at mayashree.acharya@cleartax.in

You May Also Like

Taxation of dividend income received on or after 1 April 2020 (FY 2020-21)

You may receive a dividend from your equity or mutual fund investments.…

Know the taxation rules for income F&O trading

Futures and options are stock derivatives that are traded in the stock…

Important Cash Transaction Limits and Penalties Under Income Tax That You Need to Know About

In India, there are a lot of transactions that go unaccounted for,…

What is the TDS provision for rent paid by individuals above Rs 50,000?

Many people are unaware of TDS provisions while paying rent on the…