Definitions

Table of Contents

Definitions

Industry

Any systematic activity carried on by cooperation between employer and workers for production, supply or distribution of goods or services with a view to satisfy human wants.

Exclusions

  • ×Institutions engaged in charitable, social or philanthropic services
  • ×Sovereign functions including defence research and atomic energy
  • ×Domestic services
  • ×Any activity of Government relatable to sovereign functions

Worker

Any person employed in any industry to do any manual, unskilled, skilled, technical, operational, clerical or supervisory work.

Exclusions

  • ×Persons in managerial or administrative capacity
  • ×Supervisory persons drawing wages exceeding ₹18,000 per month
  • ×Persons employed mainly in managerial capacity
  • ×Persons employed in police, armed forces, prison services
  • ×Apprentices engaged under Apprentices Act, 1961

Thresholds & Limits

  • →Supervisory wage limit: ₹18,000/month (increased from ₹10,000

Retrenchment

Termination of service of worker by employer for any reason other than as punishment for disciplinary action.

Exclusions

  • ×Voluntary retirement
  • ×Retirement on reaching superannuation age
  • ×Non-renewal or termination of fixed-term employment contract on its expiry

Note: Fixed-term contract expiry explicitly excluded from retrenchment definition - major change

definitions-3.txt · Last modified: 2026/03/07 14:30 by compliance_manager

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