WHY SHOULD WE ADHERE TO LABOUR LAWS AND ACTS AS EMPLOYEES AND EMPLOYERS?
“Clients do not come first. Employees come first. If you take care of your employees, they will take care of the clients.” These wise words were once shared by the global entrepreneur and founder of the Virgin Group, Richard Branson. As Branson had cleverly recognized, the relationship between an employer and employee is, that of professional, understanding, respectful and mutually beneficial. This is the core element that will either break or make a business.
However, all across the history, businesses, deliberately or otherwise, have exploited rights of their employees. This had later resulted in direct Government interventions for the wellbeing of both employers and employees who play a vital role to ensure flourishing economies.
How employee rights are protected?
In Sri Lanka, employees in various sectors are protected by the following acts and ordinances.
- Shop and Office Employees (Regulation of Employment & Remuneration) Act No 19 of 1954 and its amendments.
- Wages Board Ordinance No 27 of 1941 and its amendments.
- Factories Ordinance No 45 of 1942 and its amendments.
- Industrial Disputes Act No 43 of 1950 and its amendments.
- Workmen’s Compensation Ordinance No 19 of 1934 and its amendments.
- Trade Union Ordinance No 14 of 1935 and its amendments.
- Maternity Benefits Ordinance No 32 of 1939 and its amendments.
- Termination of Employment of Workmen (Special Provisions) Act No 45 of 1971 and its amendments.
- Employees Provident Fund Act No 15 of 1958 and its amendments.
- Employees Trust Fund Act No 46 of 1980 and its amendments.
- Payment of Gratuity Act No 12 of 1983 and its amendments.
- National Minimum Wages of Workers Act No 3 of 2016.
- Budgetary Relief Allowance Act No 4 of 2016.
- Inland Revenue Act No 24 of 2017.
It is imperative for employees to educate themselves on their rights and interests even before facing a job interview. These are placed by the Governments and other legal institutions to ensure job safety, healthy working environments, fair wages and compensation as well as occupational health and safety. These protect the rights of employees and provide access to the justice system if and when necessary. Employees are safeguarded against discrimination on the basis of race, age, disability, sexual orientation and religion. Meanwhile, those employers who practice pregnancy discrimination, denial of medical leave and different types of harassment can also be taken to the courts. Depending on the severity of certain employee rights violations, courts uphold jurisdiction to rule out serious legal actions against relevant defendants. Sri Lankan constitution has further ensured employees’ right to speech, expression and assembly which also includes forming and joining trade unions, peaceful demonstrations and marches.
How employers are benefited?
Safeguarding employee entitlements and benefits will only guarantee the employer from facing dire and unnecessary consequences such as lengthy and costly lawsuits, charges of discrimination as well as disreputable corporate images. They will be able to nurture sustainable relationships with employees who are motivated, loyal and in content. These employees usually shield their businesses from harmful elements or clients while ensuring productivity within the organization.
Givers and gainers
Businesses which protect employee rights thrive and sustain even in difficult times. They are famously dependent on proud employees who happily take the wheel in directing the way forward for their companies. We have all heard of faithful employees who had stayed with dying businesses with healthy working environments, without so much as a complaint about insufficient pay or missed Christmas bonuses. Smart businesses around the world are masters in keeping their flock happy so that by the end of a financial year, they naturally reap hearty benefits from what they have sowed.