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CS Executive · Setting Up of Business, Industrial and Labour Laws · Evaluation of Labour Legislation and need of Labour Code

Vikram Auto Ltd. proposes to change a condition of service of its workers on a matter in the Third Schedule of the Industrial Relations Code, 2020. No settlement or award is involved, and it is not an emergent shift change. Which course complies with the Code?

Vikram Auto must give the workers likely to be affected notice of the proposed change and wait until twenty-one days have passed before effecting it. None of the exceptions, such as a settlement, award or emergent shift change, applies here.

  1. AGive notice of the change and effect it after twenty-one days from the noticeCorrect
  2. BGive notice and effect the change on the next working day
  3. CEffect the change and give notice within twenty-one days afterwards
  4. DEffect the change without notice because the employer manages the business

Explanation

An employer must give notice of the nature of the proposed change and cannot effect it within twenty-one days of giving that notice. The exceptions are a settlement or award, government service rules, an emergent shift change, and orders of the appropriate Government, and none of them applies here. Effecting the change on the next day breaches the twenty-one-day wait.

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