Cabinet Approves Industrial Relations Code Bill, 2019
Finance Minister Nirmala Sitharaman. (Source: PTI)

Cabinet Approves Industrial Relations Code Bill, 2019


The Union Cabinet on Wednesday gave its nod for the introduction of the Industrial Relations Code Bill, 2019 in the Parliament.

The Code seeks to impart flexibility to the exit provisions (relating to retrenchment etc.), for which, the threshold for prior approval of appropriate government has been kept unchanged at 100 employees, but a provision for changing such number of employees through notification has been added, an official statement said.

Briefing media about the Cabinet decisions, Finance Minister Nirmala Sitharaman said all workers on fixed term will be treated at par with regular workers as far as benefits are concerned.

The Code seeks to set up a two-member tribunal (in place of one member), introducing a concept that some of the important cases will be adjudicated jointly and the rest by a single member, resulting in speedier disposal of cases, the statement said.

The reskilling fund is to be utilised for crediting to workers in the manner to be prescribed, it said.

It also seeks to vest powers with the government officers for adjudication of disputes involving penalty as fines, thereby lessening the burden on tribunal, it added.

The draft code on Industrial Relations has been prepared after amalgamating, simplifying and rationalising the relevant provisions of three Central Labour Acts -- The Trade Unions Act, 1926, The Industrial Employment (Standing Orders) Act, 1946 and The Industrial Disputes Act, 1947.

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