TERMINATION OF EMPLOYMENT OF WORKMEN
(SPECIAL PROVISIONS) ACT

Arrangement of Sections

1. Short title.

2. Regulation of the termination by employers of the scheduled employments of workmen.

3. The provisions of this Act, other than this section, not to apply in certain cases or circumstances.

4. Part IVB of the Industrial Disputes Act not to apply to any workman.

5. Termination of scheduled employment of a workman in contravention of this Act to be null and void.

6. Power of Commissioner to issue orders and duty of employers to comply with such orders.

6A. Provisions relating to termination of scheduled employment by closure of any trade, industry or business.

6B. No order to be made after six months of making the application and rights of workman to seek other legal remedy.

6C. Magistrate to make order where money has not been paid on an order made under section 6 or 6A.

6D. Computation of any compensation.

7. Failure to comply with the provisions of section 6 to be an offence.

8. Additional punishment for an offence under section 7.

9. Special provisions in respect of offences committed by bodies of persons.

10. Special defence open to a person charged with an offence under this Act.

11. Administration of this Act vested in the Commissioner.

12. Powers of inspection of the Commissioner.

13. Powers of Commissioner to call for returns.

14. General offences under this Act.

15. Offences under this Act to be triable summarily before a Magistrate.

16. Repealed.

17. Conduct of proceedings of inquiries held by the Commissioner for the purposes of this Act.

17A. Appearance before the Commissioner.

17B. Offence of contempt against or in disrespect of the Commissioner.

18. Service of notices.

19. Interpretation.

20. The provisions of this Act to prevail over other written Law.

21. Date of operation of this Act.

SCHEDULE

4 of 1976,

45 of 1971,

51 of 1988,

12 of 2003,

20 of 2008.

AN ACT to make special provisions in respect of the termination of the services of workmen in certain employments by their employers.

[Date of Commencement: 21st May, 1971]

1. Short title.

This Act may be cited as the Termination of Employment of Workmen (Special Provisions) Act.

2. Regulation of the termination by employers of the scheduled employments of workmen.

(1) No employer shall terminate the scheduled employment of any workman without—

(a) the prior consent in writing of the workman; or

(b) the prior written approval of the Commissioner.

(2) The following provisions shall apply in the case of the exercise of the powers conferred on the Commissioner to grant or refuse his approval to an employer to terminate the scheduled employment of any workman—

(a) such approval may be granted or refused on application made in that behalf by such employer, a copy of which application shall be served on the workman concerned, who shall be afforded an opportunity of being heard;

[S 2(2)(a) subs by s 2(1) of Act 12 of 2003.]

(b) the Commissioner may, in his absolute discretion, decide to grant or refuse such approval;

(c) the Commissioner shall grant or refuse such approval within three months from the date of receipt of an application in that behalf made by such employer;

(d) the Commissioner shall give notice in writing of his decision on the application to both the employer and the workman;

(e) the Commissioner may, in his absolute discretion, decide the terms and conditions subject to which his approval should be granted, including any particular terms and conditions relating to the payment by such employer to the workman of a gratuity or compensation for the termination of such employment; and

(f) any decision made by the Commissioner under the preceding provisions of this subsection shall be final and conclusive, and shall not be called in question whether by way of writ or otherwise—

(i) in any court, or

(ii) in any court, tribunal or other institution established under the Industrial Disputes Act.

[S 2(2)(f) subs by s 2(1) of Law 4 of 1976.]

(2A) It shall be the duty of the Commissioner on receipt of an application under subsection (2), to call upon the workman concerned within three days of the receipt of such application, by the Commissioner, to submit his response to such application within seven days of the receipt of the same by such workmen:

Provided however that when the workman fails to respond within the above period, the Commissioner may grant a further period not exceeding seven days, upon his being satisfied that such failure was due to circumstances beyond the control of such workman.

[S 2(2A) ins by s 2(2) of Act 12 of 2003.]

(3) Any person who fails to comply with any decision made by the Commissioner under subsection (2) shall be guilty of an offence and shall, on conviction after trial before a Magistrate, be liable to a fine not exceeding one thousand rupees or to imprisonment of either description for a term not exceeding six months or to both such fine and imprisonment.

[S 2(3) ins by s 2(3) of Law 4 of 1976.]

(4) For the purposes of this Act, the scheduled employment of any workman shall be deemed to be terminated by his employer if for any reason whatsoever, otherwise than by reason of a punishment imposed by way of disciplinary action, the services of such workman in such employment are terminated by his employer, and such termination shall be deemed to include—

(a) non-employment of the workman in such employment by his employer, whether temporarily or permanently, or

(b) non-employment of the workman in such employment in consequence of the closure by his employer of any trade, industry or business.

[S 2(3) re-numbered as s 2(4) by s 2(2) am by s 2(4) of
Law 4 of 1976.]

(5) Where any employer terminates the scheduled employment of any workman by reason of punishment imposed by way of disciplinary action the employer shall notify such workman in writing the reasons for the termination of employment before the expiry of the second working day after the date of such termination.

[S 2(5) ins by s 2 of Act 51 of 1988.]

3. The provisions of this Act, other than this section, not to apply in certain cases or circumstances.

(1) The provisions of this Act, other than this section, shall not apply—

(a) to an employer by whom less than fifteen workmen on an average have been employed during the period of six months preceding the month in which the employer seeks to terminate the employment of a workman; or

(b) to the termination of employment of any workman who has been employed by an employer a period of less than one hundred and eighty days inclusive of—

(i) every day of absence on any ground approved by the employer;

(ii) every day of absence due to any injury to the workman caused by an accident arising out of, and in the course of his employment;

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