Schedule 3 of The Industrial Relations Code, 2020
THE THIRD SCHEDULE [See sections 40 and 101 (1)] CONDITIONS OF SERVICE FOR CHANGE OF WHICH NOTICE IS TO BE GIVEN 1. Wages, including the period and mode of payment. 2. Contribution paid, or payable, by the employer to any provident fund or pension fund or for the benefit of the workers under any law for the time being in force. 3. Compensatory and other allowances. 4. Hours of work and rest intervals. 5. Leave with wages and holidays. 6. Starting, alteration or discontinuance of shift working otherwise than in accordance with standing orders. 7. Classification by grades. 8. Withdrawal of any customary concession or privilege or change in usage. 9. Introduction of new rules of discipline, or alteration of existing rules, except in so far as they are provided in standing orders. 10. Rationalisation, standardisation or improvement of plant or technique which is likely to lead to retrenchment of workers. 11. Any increase or reduction (other than casual) in the number of persons employed or to be employed in any occupation or process or department or shift, not occasioned by circumstances over which the employer has no control. ————
Summary
- The Third Schedule lists specific working conditions that an employer cannot change without giving advance notice to the workers.
- It covers financial matters like wages, allowances, and contributions to any provident fund or pension fund.
- It includes rules about the time spent at work, such as total hours of work, rest intervals, and leave with wages or holidays.
- It regulates operational changes like shifting work schedules, employee grading, or changing the number of people in a department.
- It protects existing benefits by requiring notice for the withdrawal of customary concessions, which are long-standing informal benefits, or privileges.
- It ensures transparency when a company plans to modernize or change technology, known as rationalisation, in a way that might lead to job losses.
Practical examples
FAQ
1. What does the Third Schedule of the Industrial Relations Code, 2020 list?
The Third Schedule of the Industrial Relations Code, 2020 lists the specific conditions of service, such as wages and work hours, that require an employer to give a formal notice before making changes.
2. Must an employer give notice under the 2020 Industrial Relations Code to change worker grades?
Yes, classification by grades is item 7 in the Third Schedule of the 2020 Industrial Relations Code, meaning a notice of change is required for such a move.
3. Does the Third Schedule of the Industrial Relations Code, 2020 cover pension fund contributions?
Yes, item 2 of the Third Schedule of the Industrial Relations Code, 2020 specifically includes contributions paid by an employer to any provident fund or pension fund for the benefit of workers.
4. Is a notice required if a company reduces the number of workers in a specific department under the 2020 Code?
Under the Third Schedule of the 2020 Code, any non-casual increase or reduction in the number of persons employed in a process or department requires a notice, unless it was caused by circumstances beyond the employer's control.
Test yourself
Q1.Under the Third Schedule of the Industrial Relations Code, 2020, which of these changes to wages requires a notice?
Q2.Which operational change is listed in the Third Schedule of the Industrial Relations Code, 2020 as requiring a notice to workers?
Q3.According to the Third Schedule of the Industrial Relations Code, 2020, what must happen if an employer wants to withdraw a customary concession?
Q4.Under the Third Schedule of the Industrial Relations Code, 2020, when is a notice required for changing the number of people in a department?
Q5.Does the Third Schedule of the Industrial Relations Code, 2020 apply if an employer wants to change disciplinary rules?