Compliance Requirements under the Rules in Accordance with the Code

1. Prohibition of lay-off in U.P. (Section 78)

Workers on the muster rolls (except badli or casual workers) of an industrial establishment cannot be laid off without prior government permission, except in cases of fire, flood, excess inflammable gas, or explosion in a mine, shortage of power or natural calamity.

1. 1. Applicable on Establishment employing 300 or more workmen on an avg. per working day for preceding 12 months & engaged in industries which are not seasonal /with intermittent work
   2. Application for permission shall be made by employer in prescribed manner stating clearly reasons for lay-off & copy of such application shall also be served on workmen concerned
   3. Where workmen (other than badli or casual) of an industrial establishment, being a mine, have been laid-off for reasons of fire, flood or excess of inflammable gas or explosion, employer, shall, within a period of 30 days from date of commencement, of lay-off, apply to appropriate Government/specified authority for permission to continue lay-off
   4. Provisions of Section 67(other than second proviso thereto) shall apply to cases of lay-off referred to here
   5. Worker will not be deemed to be laid off if he has been offered alternate employment in same establishment or other establishment and transfer will not involve undue hardship

2. Conditions precedent to retrenchment of workmen in U.P. (Section 79)

No worker employed in industrial establishment employing 300 or more workers (est. not of seasonal nature/intermittent work), who has been in continuous service for not less than a year shall be retrenched by employer unless he has been given 3 month’s notice in writing with reason for retrenchment

Applicable on Establishment employing 300 or more workmen on an average per working day for preceding12 months & engaged in industries which are not seasonal /with intermittent work

1. 1. If period of notice has expired, worker to be paid, wages in lieu of notice
   2. Prior permission of Government has been obtained for retrenchment
   3. Application for permission shall be made by employer stating clearly reasons for retrenchment & copy of application shall also be served on workmen concerned
   4. Where no application for permission is made, or where permission has been refused, retrenchment shall be deemed to be illegal from date on which notice of retrenchment was given to workman & workman shall be entitled to all benefits under any law in force as if no notice had been given
   5. When retrenchment permission is granted, every workman employed at the time of the application is entitled to 15 days’ average pay for each year of continuous service, including parts exceeding six months.

3. Form XXXIII: Application for permission of lay-off & serving copy of such application to workers (Section 78(2) | Rule 53)

The employer shall apply for permission under section 78(1) in FORM-XXXIII, stating reasons for the proposed lay-off. A copy must be sent to the concerned worker by registered/speed post and electronically, and also displayed prominently on the notice board or electronic board at the main entrance.

No worker (other than a badli worker or a casual worker) whose name is borne on the muster rolls of an industrial establishment to which this Chapter applies shall be laid-off by his employer except with the prior permission of the appropriate Government, obtained on an application made in this behalf, unless such lay-off is due to shortage of power, natural calamity, and in the case of a mine, such lay-off is due to fire, flood, excess of inflammable gas or explosion.

4. Application for permission of retrenchment in Form-XXXIII and Notice of retrenchment in UP (Section 79(2) | Rule-55)

The employer must apply for permission of retrenchment in Form-XIII stating reasons electronically & send a copy to workers via email and registered/speed post, and display it on the notice board or electronic board at the main entrance of the industrial establishment.
The prior permission of the appropriate Government has been obtained on an application made in this behalf. An application for permission under sub-section (1) shall be made by the employer electronically or otherwise in the prescribed manner stating clearly the reasons for the intended retrenchment and a copy of such application shall also be served simultaneously on the workers concerned in such manner as may be prescribed.

5. Form XXXIII: Procedure for Employer’s Appl. to State Govt. for Intended Closure of Industrial Establishment (Section 80(1) | Rule-57)

An employer who intends to close down an undertaking of an industrial establishment to which this Chapter applies shall, electronically or otherwise, apply in such manner as may be prescribed, for prior permission at least 90 days before the date on which the intended closure is to become effective, to the appropriate Government, stating clearly the reasons for the intended closure of the undertaking and a copy of such application shall also be served simultaneously on the representatives of the workers in such manner as may be prescribed: Provided that nothing in this sub-section shall apply to an undertaking set up for the construction of buildings, bridges, roads, canals, dams or for other construction work.