Karnataka to private companies: Don’t cut pay or sack workers

TNN | Apr 15, 2020, 05:48 IST

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BENGALURU: The Karnataka government has directed private and public sector establishments not to sack employees or cut their wages — especially of casual and contract workers — in view of the emergency created by the Covid-19 outbreak.
In a government order issued on Monday, Captain P Manivannan, secretary, labour department, has said the employees on leave during the period should be considered on duty and paid for those days. Violation of the order would be punishable under the Disaster Management Act, 2005. A helpline will be set up within 48 hours to enable employees to lodge complaints. On March 23, Modi had said no worker should be sacked or her salary cut.
Can government act on errant firms?
Legal experts are divided whether the authorities can initiate action against private companies under the Disaster Management Act 2005. They conceded that the Act gives governments powers to act against violators.
“Section 69 of the Act speaks about delegation of powers by the National Executive Committee or State Executive Committee. Under the Act, there is no power vested with the state government, much less the officer in question, to punish public or private sector employers. The state must exercise restraint and get things done in a benign environment,” Sridhar Prabhu, an advocate who represents industrial concerns, told TOI.
Narayan M Bhat, who appears for workmen, said, “Under Section 22, the state executive authority can issue directions to any department, as is done by the labour department here. Under Section 51(b), any failure to comply with the directions may lead to punishment of imprisonment up to one year and fine or both. In case of loss of life, they face imprisonment up to two years.”
C Shashikantha, assistant solicitor general, said the guidelines are issued in public interest and officers can exercise power vested in them. He added that erring managements could also be held to account under the Industrial Disputes Act too.