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Labour Bureau
Government of India |
REPORT ON THE WORKING CONDITIONS OF CONTRACT
LABOUR IN AIR TRANSPORT SECTOR 2005-06
Summary of Findings
Contract labour generally refers to "workers employed by or through an intermediary on work of any establishment." A survey to study the working conditions of contract workers under The Contract Labour (Regulation and Abolition) Act, 1970 in the Air Transport Sector at all India level was conducted during March – November, 2005. In all 30 airports covering 123 having air operators were selected from 5 different zones viz. Eastern zone, Northern Zone, North-Eastern zone, Southern zone and Western zone. The survey covered a total of 115 units which inter-alia includes Airport Authority of India, scheduled and non-scheduled operators, (both public and private). During the course of survey 206 contractors were covered out of 593 contractors. The airports in the country were divided into 5 zones in consonance with the divisions of Airport Authority of India. The objective of the survey was to study the working conditions, Wages and Earnings, Welfare facilities, Social Security and Industrial Relations. A two stage sampling technique was adopted. At the first stage of sampling, airports were selected and in the second stage of sampling, contractors were selected in a pre decided manner. Two types of questionnaires were used viz. Principal Employer Schedules and the Contractor Schedule. As far as possible, the information was collected from the records. However, in the absence of the requisite records, information was collected through discussions with the contractors or their authorised representative. The main findings and observations are as under:-
REGISTRATION
Every establishment which proposes to engage contract workers for its work is required to obtain a certificate of Registration under the Contract Labour Act, 1970. In the Air Transport Sector nearly 59 per cent units had got registration for engaging contractors.
LICENCE
Every contractor also has to obtain a license under the Act for engaging 20 or more contract workers in an establishment. In the Air Transport Sector out of all the total contractors surveyed, 43.20 per cent contractors had licenses to engage contract workers and 44.18 per cent did not require licenses to engage contract workers. The percentage of contractors requiring licenses to engage contract workers but did not obtain the same was 12.62 per cent.
SAMPLE UNITS BY TYPE OF OWNERSHIP
About 58 per cent units were in the public sector. At the zonal level maximum number of units in public sector were in southern zone 31.34 per cent and lowest in north eastern zone 2.99 per cent. Maximum number of units in private sector were in western zone 37 per cent. The scheduled operators were found to be about 98 per cent.
EMPLOYMENT OF CONTRACTOR
Approximately 96 per cent of the units were found to be engaging contractors.
EMPLOYMENT OF CONTRACT WORKER
A total of 11711 contract labour were found to be working in the sample units. The data revealed explicit cor-relation between number of contractors and contract workers.
PROPORTION OF CONTRACT WORKERS
The proportion of contract workers to total employment at all India level was found to be 39.94 per cent. In all the zones, except southern zone direct workers were more than the contract workers.
CONTRACT WORKERS BY SEX AND AGE
The percentage of women contract workers was found to be as low as 3 per cent of the total contract labour. No child was found to be employed by the contractors.
EMPLOYMENT BY SYSTEM OF PAYMENT
All the contract workers covered during the survey were engaged on regular jobs on time rated basis only. None of the contractors reported to be making payment on piece rated basis.
EMPLOYMENT BY MODE OF RECRUITMENT
More than 53 per cent of contract labour was found to be having less than year service. Only 6 per cent of workers had more than 5 years of service at the time of the survey. Majority of contractors (59 per cent) had recruited their workers directly
EMPLOYMENT BY OCUPATION
In terms of occupation wise share of employment, loader/unloader occupation accounted for more than 46 per cent of the total contract labour. General Mazdoor, Sweeper/Cleaner, Driver and Supervisors were the other occupations in which employment of workers on contract basis was reported.
WORKERS WITH EMPLOYMENT CARDS
As per provisions of Contract Labour Act, 1970 nearly 40 per cent contractors issued employment cards to their workers.
FIXATION OF WAGE PERIOD
The Payment of Wages Act, 1946 require every employer to make wage payments with pre-decided and fixed periodicity. In the Air Transport Sector the wage period was fixed in all the cases and preferred wage period was monthly payment.
PAYMENT OF WAGES
The contract workers were found to be paid less wages than the direct workers for similar/same occupations. It was found that at all India level only 60.19 per cent of the employers were deputing their authorised representative as required under the Contract Labour (Regulation and Abolition) Act, 1970 at the time of disbursement of wages by the contractors.
VARIATIONS IN PER DAY WAGE RATE BY OCCUPATIONS
The highest paid occupation was found to be mechanic/technician with maximum wages of Rs. 753.85 per day. The lowest paid occupation was trolley retriever having wages of Rs. 19.23 per day.
PAYMENT OF DEARNESS ALLOWNCE AS A SAPARATE COMPONENT
About 15 per cent contractors were found paying dearness allowance as a separate component to their workers.
OVERTIME
About one fourth of the sample contractors were reported to be working overtime and of these 40 per cent were paying overtime wages at double the normal wages as per provisions of Minimum Wages Act, 1948 .
PAYMENT OF OTHER ALLOWNCES IN CASH
The percentage of contractors paying cash allowances viz. house rent allowance, washing allowance, city compensatory allowance, medical allowance etc. varied between 0.48 per cent to 15.53 per cent
ANNUAL BONUS/EX-GRATIA
The annual bonus was found to be paid by about 42 per cent contractors and about 8 per cent were paying festival bonus and about 59 per cent contract workers were getting bonus. The range of annual bonus varied between Rs. 137 to Rs.12000. The workers were also getting festival bonus in the range of Rs. 177 to Rs. 6000.
ADVANCES
The practice of giving advances for different purposes was found to be in vogue, in only about 8 per cent of contractors. The amount of advance varied between Rs. 270 to Rs. 8000.
FINES AND DEDUCTIONS
In Western zone only one contractor was reported to be imposing fine and making deductions from the wages of his workers.
WORKING HOURS PER DAY
In the air transport sector 38.35 per cent of contractors were taking work for less than 8 hours a day, 47.57 per cent for 8 hours a day and only 2.43 per cent were taking work between 8 to 10 hours or more than 10 hours.
REST INTERVAL
All contractors were found to be complying with the provisions of rest interval. However, the rest interval duration was not fixed by 29.61 per cent contractors as it was linked with movement of flights.
SPREAD OVER OF WORKING HOURS
Most of the contractors i.e. 83 per cent were found to be complying with the provisions of Factories Act, 1948 in respect of daily spread over of work..
WORKING IN NIGHT SHIFTS
About 35 per cent contractors were found to be having night shift working in air transport industry. The percentage of contractors having night shift working in different zones was almost same as at all India level. However, the percentage of contractors having night shift was lowest in north eastern zone as only 11.11 per cent of the contractors from the region reported working in night shifts. Only 19.18 per cent contractors having night shift working provided additional facilities in the form of free tea/coffee to night shift workers
WEEKLY OFF
Only 6.31 per cent contractors were not allowing any weekly off with or without wages.
LEAVE AND HOLIDAYS
About 55 per cent contractors were not allowing any type of leave to their workers. The national and festival holidays were allowed by 58.25 per cent and 49.03 per cent contractors respectively.
WELFARE FACILITIES
The welfare facilities such as drinking water, washing facilities, latrines and urinals were either provided by principal employer or by the management. The rest shelter facility was provided only by 58 per cent principal employers and 1.46 per cent contractors. The canteen facility was provided only in 66.50 per cent cases by the principal employer.
HOUSING
Nearly 5 per cent contract workers were provided living accommodation by contractors out of which about 99 per cent workers got it on rent free basis.
SOCIAL SECURITY
More than 88 per cent contract workers were members of the EPF Scheme. Contract workers engaged by more than 63 per cent contractors were covered under the ESI Scheme.
MAINTENANCE OF REGISTERS
Nearly 2 to 3 per cent contractors were not maintaining different registers as required under the Act. INDUSTRIAL RELATIONS
About 22 per cent contract workers were members of trade union of which only a small proportion i.e. 6.23 per cent were members of trade unions exclusively meant for them. About 37 per cent contractors did not have any grievance redressal procedure.
OBSERVATION OF FIELD STAFF
In some cases contractors were employing contract workers for shorter period to avoid compliance with the statutory provisions under the Payment of Gratuity Act, 1972 payment of Bonus Act, 1965 etc. Further, directly employed workers, in occupations wherein contract workers were also employed, were reporting getting higher wages.