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CS Executive · Setting Up of Business, Industrial and Labour Laws · The Apprentices Act, 1961

Under the central text of the Apprentices Act, 1961, where the Apprenticeship Adviser terminates a contract because of the apprentice's failure to carry out its terms, what follows?

The apprentice or his guardian must refund to the employer, as cost of training, such amount as the Apprenticeship Adviser determines. Prescribed compensation payable by the employer applies only where termination is for the employer's failure.

  1. AThe employer must pay the apprentice prescribed compensation
  2. BThe apprentice or his guardian must refund to the employer, as cost of training, the amount determined by the Apprenticeship AdviserCorrect
  3. CThe contract continues until the period of training expires
  4. DThe apprentice must pay a refund fixed by the Central Apprenticeship Council

Explanation

Under the proviso to section 7(3)(b), on termination for the apprentice's failure, the apprentice or guardian refunds to the employer as cost of training the amount determined by the Apprenticeship Adviser. Compensation by the employer applies in the opposite case, where the employer has failed.

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