Part time Employment and Labour Law

Part time Employees means, an employee who does not or is not required to work for the full period for which an employee is ordinarily required to work and who is paid on the basis that he is or may be engaged in doing work elsewhere.

The Supreme Court in New India Assurance Co. Ltd. versus A. Sankaralingam, (2008) 10 SCC 698 clarified that not only full time workers but even those working part time are covered within the purview of the Industrial Disputes Act, 1947 (The Act). Accordingly, Section 2(S) of the Act should be read as, every person employed in an establishment for hire or reward to do any manual, clerical, skilled, unskilled, technical, operational or supervisory work including part time employees, will be workman under the Act.

A part-time worker is protected by the ID Act and cannot be fired at the will of employer

Now Whether a part-time worker is a ‘workman’ and is entitled to all the benefits extended to a regular workman under the labour laws or not:

i. If a person falls under the definition of a ‘workman’ u/s2(s) of the ID Act and does not fall under any excluded category, he will be entitled to all the benefits under the Act.

ii. ii. The number of hours is not the determining criterion for deciding whether a person falls within the definition of ‘workman’ or not.

iii. To decide the status of a worker rendering services for less than 40 hours a week, various aspects are required to be considered such as:

a) The control test, the integration test and other relevant tests are equally relevant for deciding the status of a person working part-time as they are for a full-time working person.

b) In deciding whether a person rendering part-time services is a workman or not, the nature of industry, the nature of the services being rendered by the person, the terms and conditions of engagement and other relevant factors have to be taken into consideration.

c) When granting relief to such concerned workmen, the courts have to take into consideration the nature of engagement of an employee in one or more establishments as a part-time worker.

A part-time worker will be a workman and entitled retrenchment compensation as provided by section 25 F of the Industrial Disputes Act stating that termination without payment of retrenchment compensation will be illegal. A part-time worker can not be fired at the will of the employer since he /she is equally entitled to job protection guaranteed under the Industrial Disputes Act. Hence the termination will be treated as illegal and part-time employee will be entitled to reinstatement with consequential benefits.

(Source of employment, the method of recruitment, the terms and conditions of employment/contract of service, the quantum of wages/pay and the mode of payment were not at relevant for deciding whether or not a person was a workman within the meaning of s. 2(s) of the Act - Definition of workman also did not make any distinction between full time and part time employee or a person appointed on contract basis - There was nothing in the plain language of s. 2(s) from which it could be inferred that only a person employed on regular basis or a person employed for doing whole time job was a workman and the one employed on temporary, part time or contract basis on fixed wages or as a casual employee or for doing duty for fixed hours was not a workman- Devinder Singh vs Municipal Council, Sanaur [SUPREME COURT OF INDIA, 11 Apr 2011])


Other Applicable Acts
SHOPS AND ESTABLISHMENT ACT - has reservation of appointing young person in an establishment, i.e., the acts prescribes for restrictions on daily and weekly working hours.

To get benefits under the shops and establishment Act, employee should have continuously worked in the establishment continuously for 12 (Twelve) months.

THE PAYMENT OF BONUS ACT, 1965- Every employee who is drawing a salary or wages up to Rs.3,500/- per month and has worked for a minimum period of 30 days in a particular year is entitled to get Bonus. As per above ceiling all employees drawing wages up to Rs.3,500/- per month shall be eligible for Bonus irrespective of his grade / designation i.e. manager / part-time / casual / seasonal employee etc.( under section 1(3) (b))

THE EMPLOYEE'S STATE INSURANCE ACT, 1948- Every employee (including casual and temporary employees), whether employed directly or through a contractor, who is in receipt of wages upto Rs. 10,000 p.m. is entitled to be insured under the E.S.I. Act. However, apprentices engaged under the Apprentices Act are not entitled to the E.S.I. benefits. Coverage of part time employees under the ESI Act will depend on whether they have contract of service or contract for service with the employer. The former is covered whereas the latter are not covered under the E.S.I Act.

THE MINIMUM WAGES ACT, 1948- The Minimum Wages Act, 1948 is applicable to various schedule of employment, which are notified by the appropriate Government from time to time. The Act is applicable to all types of employees i.e. whether they are Monthly rated, Part-Time employees, daily rated or piece rated employees, casual, temporary or permanent employees.



Conclusion:

Though contract of employment governs the relationship between the employee and employer, but employee (including part time employee) is eligible the benefits under various Labour laws in India.

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