A Bill further to amend the Kerala Industrial Establishments National and Festival Holidays Act, 1958.

Preamble:- WHEREAS, it is expedient to amend the Kerala Industrial Establishments National and Festival Holidays Act, 1958, for the purposes hereinafter appearing;

BE it enacted in the Fifty-third Year of the Republic of India as follows:-

1. Short title and commencement.- (1) This Act may be called the Kerala Industrial Establishments National and Festival Holidays (Amendment) Act, 2002.

(2) It shall come into force at once.

2. Amendment of section 2.- In section 2 of the Kerala Industrial Establishments National and Festival Holidays Act, 1958, (47 of 1958) (hereinafter referred to as the principal Act), in sub-clause (I) of clause (e) for the word “twenty” the word “fifty” shall be substituted.

3. Amendment of section 3.-In section 3 of the principal Act ,–

(1)The existing section shall be numbered as sub-section (1) and in the sub-section so numbered, -

(a) for the words “Inspector may, in consultation with the employer and employees” the words "employer may in consultation with the employees” shall be substituted.

(b) In the proviso for the word “inspector” the words "the employer in consultation with the employees” shall be substituted.

(1) after the sub-section so numbered the following sub-section shall be inserted, namely:-

"(2) Any person aggrieved by the decision of the employer in fixing the holidays under sub-section (1) may file an appeal before the Inspector and the decision of the Inspector on such appeal shall be final”.

(1) Amendment of section 4.- In section 4, of the principal Act, the words “and forward a copy of the statement to the Inspector” shall be added at the end.

(2) Amendment of section 5 . - In sub-section (2) of section 5 of the principal Act, for the words “twice the wages and to avail himself of a substituted holiday on any other day” the words “wages for such day and to avail himself of a substituted holiday with wages on any other day” shall be substituted.

STATEMENT OF OBJECTS AND REASONS

As part of modernising the labour regime for promoting job creation, it is proposed to amend the Kerala Industrial Establishments National and Festival Holidays Act, 1958, so as to make the Act applicable only to establishments employing 50 or more workers. Also to make provisions for deciding the festival holidays between the employer and the workers and to exhibit the approved holidays in the notice board of the establishment and send a copy of the list to the Inspector for information. A provision is incorporated to prefer appeal to the Inspector in cases of complaints if any. As per section 5 of the Act the employees are entitled to twice wages and entitled to avail of a substituted holiday for working in any national or festival holiday. It is proposed that where an employee works on any national or festival holiday he may be entitled to wages for such days and to avail himself of a substituted holiday with wages on any other day.

The Bill, seeks to amend the above Act to achieve the above objectives.

FINANCIAL MEMORANDUM

The Bill, if enacted and brought into operation, would not involve any expenditure from the consolidated Fund of the State.