Tuesday, September 27, 2022

What important rights every private employee in India should know?

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Getting your dream job brings a moment of happiness that everyone wants to enjoy. But, when it is about switching it from one organization to another, there are so many doubts and confusions which you might have. A few months before, I was in the process to switch jobs, therefore I was looking for job role contracts and engagement letters to check the side effects of giving a resignation. With my less understanding of legal aspects, I had to lose my bonus based on the agreement.

What mistake do I commit while joining?

My employment agreement was binding me to serve a minimum of three months of notice period before leaving the job. To leave the existing job, either I was to serve either three months notice period or pay three months of salary. It wasn’t only me, there are so many new joiners who in a rush to get their first job deny focusing on reading the agreement. 

To help private-sector employees from being exploited in such circumstances, and aid them to get justified service during their job in a private organization, there are some rules made by the government. 

Also Read: Rights of the people with Disability- Important laws for the differently-abled Should Know

Every employee should know their rights to avoid vulnerable situations throughout their private job life. 

Rights of a private employee 

To protect the rights of any employee, the Indian government has made some special laws. Under these laws, an employee has put a question mark on policies of the government that are questionable and hurting consumer rights.

Employees in the private sector are governed by a variety of legislation, including the Payments of Bonus Act, Equal Remuneration Act, Payment of Gratuity Act, Employees Provident Fund and Miscellaneous Provisions Act, Employees’ State Insurance Act, Maternity Benefit Act, and others.

The law protects the right to a safe working environment with minimum facilities, suitable working hours, and any guaranteed incentive, among other things. The following is a list of basic employee rights as defined by various laws and regulations:

Employee Agreement

These days, it’s standard practice to sign an employment contract that spells out the parameters of employment, such as compensation, location of employment, job title, work hours, and so on. Both the employer and the employee have explicit rights and obligations, such as non-disclosure of confidential information and trade secrets, prompt payment, provident fund, and so on. The agreement also includes a framework for effective dispute settlement in the event of a disagreement.

Also Read: Employee Rights You Must Know – From Agreement to Minimum Wages

There should be a written employment agreement, without it the employee does not have such protections in case of a dispute.

Provident fund

If a company owns more than 20 employees, it’s mandatory for it to give an allowance for EPFO registration. EPFO (Employee Provident Fund Organisation) is a national entity specializing in offering retirement benefits schemes for all salaried workers. 


Gratuity benefit is another provision set for those employees who have worked for more than five years. This one-time offered payment grows incrementally with the number of services.

Also Read: A career in Corporate Law – All you should know

Fair and timely salary

If someone works as a regular employee in any organization, he/she has the right to get paid a sufficient amount of salary within a limited time period.

To protect this right of an employee, there are some laws under the equal remuneration act. Article 39(d) of the constitution gives the right to every worker to get equal pay for equal work. 

If any employee isn’t getting their justified salary as per the agreement, he/she can approach the Labour Commissioner or file a civil suit for arrears in salary. 

Minimum wages law decides that no employee can be given less than the legal minimum wage. 

Limited and legitimate working hours

The right to working hours and a safe work environment for an employee is protected under Factories Act, and Shop and establishment act. According to the recent law, a worker shall work for 9 hours per day, or 48 hours a week. A female worker can work between 6 A.M. to 7 P.M. Child workers have only 4.5 hours limited daily working hours.

Also Read: What Are the Different Types of Employee Compensation?

Right to Leaves

An employee is entitled to paid public holidays as well as other leaves, including casual leave, sick leave, and privilege leave. An employee is entitled to 12 days of yearly leave for every 240 days worked. Every 20 days, an adult employee may use one earned leave; however, a young employee may only use one every 15 days. If the employment contract does not prohibit it, an employee may take leaves during the notice period for exigencies.

Prevention of Sexual Harassment at workplace

Women at work are protected from sexual harassment by the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013. In addition, sexual harassment is punishable by up to three years in prison, with or without a fine.

Also Read: What is labour laws in India: A Brief Details

How do keep updated with labor laws?

To avoid being exploited in private industry, it is mandatory for all of us in private employment to have knowledge of our rights as an employee. The more you research, and keep yourself informed about laws and regulations, the easier it will be for you to live a comfortable life during private employment.  An employment agreement is very important for you as a private employee, you need to read and understand it carefully before signing it.

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