Closer Notice

Dear All
One company having more than 100 worker,management has retrenched all of them and paid all their legal dues & settle their F & F a/c.Now employer has given this company on lease basis to another company. New company engaged his own worker for execution of work.
Now factory inspector enforcing us to give closer notice first,but management has refuse to give such notice due to unit are in running condition.
Pls guide ho to tackle this situation? what will be legal implication? what will be right procedure(legal formalities) to give company on lease to another party/co.
Regards
Sacheein

You can contend that this is not closure within the meaning of sec.2(cc) of the Inudustrial Dispiutes Act as you ahve not closed any place of employment and that this only a transfer of undertaking within the meaning of Sec.25-FF of the Industrial Disputes Act and hence no need to issue close notice.
B.Saikumar
Hr &Labour Law advisor
mumbai

You might have complied with provisions relating to Industrial Disputes Act but what the Inspector of Factories and Boilers wanted to say might be the Notice of Closure as is required to be given under section 110 of the Factories Act, which is supposed to be served prior to closure of the factory. The rules would clearly say in which form it should be served. Say under Rule 127(3) of the Kerala Factories Rules, it is to be submitted in form 32. It may vary from state to state but the general provisions will be the same. Therefore, please refer the rules of your state and you may serve the notice anti dated after taking the Inspector in to confidence.
Regards,
Madhu.T.K

Dear Sacheen,
If you have 100+ workers then you had sure opt the permission for retrenchment but my question is that on what ground you have opted the permission.Verify it first.If your intention was to close the factory then Govt is right here.
Mangesh Wakodkar
Aurangabad

Mr. Madhu T.K
Sir,
I am regular reader of your comments. I want that all your comments regarding Labour Management, HR etc. should reach to me through email. What I have to do tell me.
Thanks
SNC,
PO, IDTR,
JAMSHEDPUR

You will have to visit citehr regularly and post your comments to each and every thread so that you will get email alert.
Madhu.T.K