Fixed-term employment is introduced in apparel manufacturing sector in Industrial Employment (Standing Order) Act vide notification dated October 7, 2016.
It would facilitate employment of workers in apparel manufacturing on fixed term basis in the backdrop of seasonal nature of sector and would also ensure same working conditions, wages and other benefits for fixed term employee in the sector as a regular employee.
On the termination of fixed term employment, the workman will not be entitled to any notice or pay.
Working conditions in terms of working hours, wages, allowances and other statutory dues of a fixed-term employee would be at par with permanent workmen.
Fixed term worker will also be eligible for all statutory benefits available to a permanent workman proportionately according to the period of service rendered by him even though his period of employment does not extend to the qualifying period of employment required in the statute.
It is one of the measures approved under the Rs 6,000 crore package for the textile sector announced in June this year.
This notification has been criticised by the central trade unions (CTUs).