Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

View all Q1 2020 Global Guide Quarterly updates   Download full Q1 2020 Global Guide Quarterly

Transgender Rights Law Enacted

New Legislation Enacted

Authors: Ajay Singh Solanki and Archita Mohapatra, Attorneys at Law - Nishith Desai Associates

On January 10, 2020, the Transgender Persons (Protection of Rights) Act, 2019 (TPPR Act) was enacted. Under the TPPR Act, establishments are prohibited from discriminating against any transgender person in matters relating to, inter alia, employment or occupation, especially recruitment, promotion, termination and other related issues. Every establishment is required to provide such facilities to transgender persons as may be prescribed under rules (yet to be formulated) and designate a person to be a complaint officer to deal with complaints raised with respect to violation of the TPPR Act.

COVID-19: Government Guidance for Employers in India

New Order or Decree

Authors: Ajay Singh Solanki and Archita Mohapatra, Attorneys at Law - Nishith Desai Associates

In view of COVID-19, the Federal Government has issued orders to shut down all shops, commercial and private establishments and factories, except those that provide “essential services” for a period of 21 days, commencing on March 25, 2020. During the lockdown period employers should pay full wages to employees without any deductions. Several State Governments issued similar lockdown orders prior to the Federal Government’s order, with similar ask from the employers. Further, on March 20, 2020, the Ministry of Labour and Employment advised employers’ organizations that employers should not terminate employment or reduce wages of employees, particularly casual or contractual workers. The letter also stated that if employees take leave, they will be deemed to be on duty, without any consequential deduction in wages for this period.

Wage Ceiling for Employees’ Compensation Act Enhanced

New Regulation or Official Guidance

Authors: Ajay Singh Solanki and Archita Mohapatra, Attorneys at Law - Nishith Desai Associates

On January 3, 2020, the monthly wage ceiling for calculation of amount of compensation under Employees’ Compensation Act, 1923 (ECA) has been enhanced from INR 8000 (USD 112 approx.) per month to INR 15,000 (USD 210 approx.) per month. ECA provides for payment of compensation by certain classes of employers to employees for injury by accidents arising out of or in the course of employment. Due to increased ceiling of monthly wages for calculation of compensation under the ECA, the amount of compensation which the employees are entitled to receive in case of death and disablement (partial / permanent) resulting from an injury under the ECA, will increase.

Employees State Insurance Corporation Has New Inspection Period: 5 Years

New Regulation or Official Guidance

Authors: Ajay Singh Solanki and Archita Mohapatra, Attorneys at Law - Nishith Desai Associates

On January 28, 2020, the Employees State Insurance Corporation (ESIC) issued a clarification prohibiting the authorized officers from inspecting records of employers that date back beyond five years. Since ESIC has ordered for strict compliance with the clarification notification, it is likely to reduce the compliance burden on employers to an extent.

COVID-19: Employees’ Provident Fund Law Amended

Important Action by Regulatory Agency

Authors: Ajay Singh Solanki and Archita Mohapatra, Attorneys at Law - Nishith Desai Associates

An amendment to the Employees’ Provident Fund Scheme, 1952 (EPF Scheme) will be in effect as of March 28, 2020, due to the COVID-19 outbreak. Accordingly, eligible employees can seek a nonrefundable advance (withdrawal) of up to three months’ basic wages and dearness allowance. Alternatively, eligible employees can draw up to 75% of the amount standing to employees’ credit in the EPF account, whichever is less.