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**Report on The Essential Defence Services Act, 2021**
**1. Executive Summary:**
This report analyzes *The Essential Defence Services Act, 2021* based on the official gazette notification. The Act aims to ensure the maintenance of essential defence services to safeguard national security, public life, and property. It empowers the government to prohibit strikes, lockouts, and layoffs in establishments engaged in essential defence services, and it outlines penalties for non-compliance. The report details the key provisions of the Act, the stakeholders it affects, and its anticipated outcomes.
**2. Introduction:**
This report provides an overview of *The Essential Defence Services Act, 2021*, as published in the Gazette of India. The analysis is solely based on the provided text and aims to inform affected industries about the Act's objectives, key provisions, and potential impact.
**3. Policy Overview:**
* This is a **New Policy**.
* **Core Objective(s):** The Act's core objective, as stated in the text, is "to provide for the maintenance of essential defence services so as to secure the security of nation and the life and property of public at large and for matters connected therewith or incidental thereto."
**4. Background and Rationale:**
* **Likely Problem/Issue Addressed:** Based on the text, the Act likely addresses concerns about potential disruptions to essential defence services due to strikes, lockouts, or layoffs. The explicit aim to secure national security and protect public life implies a perceived vulnerability or risk associated with the potential cessation of work in these critical sectors. The policy seeks to prevent such disruptions by providing the government with powers to intervene and maintain the continuous operation of essential defence services.
**5. Key Provisions / Changes:**
* **Definition of Essential Defence Services:** The Act defines "essential defence services" broadly, encompassing:
* Production of goods/equipment for defence purposes.
* Establishments connected with the armed forces or other defence installations.
* Sections of establishments where safety depends on continuous operation.
* Other services declared essential by the Central Government, the cessation of which would prejudicially affect defence equipment production, operation/maintenance of industrial units involved in defence production, or repair/maintenance of defence-related products.
* **Definition of Strike:** The Act offers a detailed definition of "strike," encompassing various forms of work cessation, including goslows, sit-down strikes, token strikes, sympathetic strikes, mass casual leave, concerted refusals to work, and refusal to work overtime when necessary for maintaining essential defence services. It also includes any conduct likely to cause disruption or retardation of work.
* **Power to Prohibit Strikes:** The Central Government can prohibit strikes in essential defence services via general or special orders if it is satisfied that it's necessary or expedient in the public interest, the interest of India's sovereignty and integrity, the security of any state, public order, decency, or morality.
* **Legality of Strikes:** Strikes in violation of an order prohibiting them are deemed illegal. Any person engaged in essential defence services is disallowed from striking, with any declared strikes becoming illegal under the act.
* **Removal of Persons:** Police officers are authorized to remove individuals whose presence near defence-related production or maintenance facilities is deemed prejudicial to the functioning, safety, or maintenance of essential defence services.
* **Disciplinary Action:** Employees participating in illegal strikes can face disciplinary action, including dismissal, under their existing terms of service. No inquiry is necessary before dismissal if the dismissing authority records in writing that holding an inquiry is not reasonably practicable.
* **Penalties for Illegal Strikes:** Participating in illegal strikes is punishable with imprisonment up to one year, a fine up to ten thousand rupees, or both. Instigating or inciting others to strike illegally can result in imprisonment up to two years, a fine up to fifteen thousand rupees, or both. Providing financial support to illegal strikes carries the same penalties as instigation.
* **Power to Prohibit Lockouts:** The Central Government can prohibit lockouts in industrial establishments engaged in essential defence services under similar conditions as strike prohibitions (public interest, national security, etc.).
* **Penalties for Illegal Lockouts:** Employers commencing or continuing illegal lockouts are punishable with imprisonment up to one year, a fine up to ten thousand rupees, or both.
* **Power to Prohibit Layoffs:** The Central Government can prohibit layoffs (except due to power shortages or natural calamities) of regular workmen in industrial establishments engaged in essential defence services under similar conditions as strike and lockout prohibitions.
* **Penalties for Illegal Layoffs:** Employers conducting illegal layoffs are punishable with imprisonment up to one year, a fine up to ten thousand rupees, or both. Laid-off workers are entitled to benefits as if they had not been laid off.
* **Arrest Without Warrant:** Police officers can arrest, without a warrant, anyone suspected of committing an offence under the Act.
* **Summary Trial:** Offences under the Act are to be tried summarily by Metropolitan Magistrates or Judicial Magistrates of the first class.
* **Cognizable and Non-Bailable Offences:** All offences under the Act are cognizable and non-bailable.
* **Overriding Effect:** The Act overrides inconsistent provisions in the Industrial Disputes Act, 1947, or any other law in force.
* **Amendment to the Industrial Disputes Act, 1947:** The definition of "public utility service" in the Industrial Disputes Act is amended to include "any industrial establishment or unit engaged in essential defence services."
* **Repeal and Savings:** The Essential Defence Services Ordinance, 2021, is repealed, but actions taken under the Ordinance are deemed to have been taken under the Act.
* **Duration:** The act shall cease to have effect on the expiry of one year from the date on which the Act receives the assent of the President except as respects things done or omitted to be done before such cesser of operation of this Act.
**6. Target Audience and Stakeholders:**
Based on the text, the primary target audience and stakeholders include:
* **Employees:** All persons engaged in essential defence services, as defined in the Act.
* **Employers:** Owners and managers of establishments and industrial units engaged in essential defence services.
* **Trade Unions:** Organizations representing employees in the essential defence services sector.
* **Central Government:** Specifically, the Ministry of Law and Justice, and any other relevant ministries responsible for enforcing the Act.
* **State Governments:** Responsible for empowering Judicial Magistrates to conduct summary trials.
* **Police Officers:** Empowered to arrest without a warrant and remove individuals under certain conditions.
**7. Implementation Aspects (Inferred):**
* **Responsible Agency/Bodies:** The Central Government, through its relevant departments, is primarily responsible for implementing the Act. State governments play a role in empowering magistrates for summary trials. Police officers are responsible for enforcement at the local level.
* **Timelines/Procedures:** The Act came into force on June 30, 2021 and will cease to have effect one year from the date of assent from the President, and orders prohibiting strikes, lockouts, or layoffs are initially valid for six months but can be extended for further periods not exceeding six months. The Act does not specify detailed procedures for determining which services are "essential defence services" beyond the broad definition, suggesting this will be determined on a case-by-case basis or through notifications in the Official Gazette.
**8. Expected Outcomes / Impact of Changes:**
* The likely intended outcomes, based on the text, are:
* Reduced disruptions in essential defence services due to strikes, lockouts, or layoffs.
* Enhanced national security and protection of public life and property by ensuring the continuous operation of critical defence-related industries.
* Maintenance of a stable and productive workforce in the essential defence services sector.
* Deterrence of illegal strikes, lockouts, and layoffs through the imposition of penalties.
**9. Conclusion:**
*The Essential Defence Services Act, 2021* is a significant piece of legislation designed to safeguard the continuous operation of industries critical to national security. The Act provides the government with broad powers to prevent disruptions caused by labor unrest, while also outlining penalties for non-compliance. Its impact will be felt most directly by employees and employers in the essential defence services sector, and it is expected to contribute to greater stability and reliability in these critical industries. Affected stakeholders should familiarize themselves with the provisions of the Act to ensure compliance and avoid potential penalties.
Key Entities Referenced
THE ESSENTIAL DEFENCE SERVICES ACT, 2021: An Act to provide for the maintenance of essential defence services to secure the security of the nation and the life and property of the public.
Parliament: The legislative body that enacted the Essential Defence Services Act, 2021.
Republic of India: The nation in which the Essential Defence Services Act, 2021 is enacted.
General Clauses Act, 1897: Act whose section 6 applies upon cesser of operation of Essential Defence Services Act, 2021.
Central Government: The government authorized to prohibit strikes and lockouts in essential defence services and to declare other services as essential defence services.
Official Gazette: The official publication in which the Central Government may declare other services as essential defence services.
Industrial Disputes Act, 1947: Act in which certain words and expressions are defined that are used in the Essential Defence Services Act, 2021.
State Government: The government empowered to specially empower any Metropolitan Magistrate or any Judicial Magistrate of the first class.
Code of Criminal Procedure, 1973: Law that contains procedures that apply to offences under the Essential Defence Services Act, 2021.
House of Parliament: The body before which every notification issued under the Essential Defence Services Act shall be laid.
Essential Defence Services Ordinance, 2021: The Ordinance that is repealed by the Essential Defence Services Act, 2021.
Anoop Kumar Mendiratta: Secretary to the Govt. of India.
Minto Road, New Delhi: Location of the Government of India Press.
Delhi: Location of the Controller of Publications.
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MINISTRY OF LAW AND JUSTICE
(Legislative Department)
New Delhi, the 12th August, 2021/ Sravana 21, 1943 (Saka)
The following Act of Parliament received the assent of the President on the
11th August, 2021, and is hereby published for general information:—
THE ESSENTIAL DEFENCE SERVICES ACT, 2021
NO. 25 OF 2021
[11th August, 2021.]
An Act to provide for the maintenance of essential defence services so as to
secure the security of nation and the life and property of public at large
and for matters connected therewith or incidental thereto.
BE it enacted by Parliament in the Seventy-second Year of the Republic of India as
follows:—
1. (1) This Act may be called the Essential Defence Services Act, 2021. Short title,
extent and
(2) It extends to the whole of India. commencement.
(3) It shall be deemed to have come into force on the 30th day of June, 2021.
(4) It shall cease to have effect on the expiry of one year from the date on which this
Act receives the assent of the President except as respects things done or omitted to
be done before such cesser of operation of this Act, and section 6 of the General
10 of 1897. Clauses Act, 1897, shall apply upon such cesser of operation of this Act as if it had
then been repealed by a Central Act.2 THE GAZETTE OF INDIA EXTRAORDINARY [PART II—
Definitions. 2. (1) In this Act, unless the context otherwise requires,—
(a) "essential defence services" means—
(i) any service in any establishment or undertaking dealing with
production of goods or equipment required for any purpose connected with
defence;
(ii) any service in any establishment of, or connected with, the armed
forces of the Union or in any other establishment or installation connected with
defence;
(iii) any service in any section of any establishment connected with
defence, on the working of which the safety of such establishment or employee
employed therein depends;
(iv) any other service, as the Central Government may, by notification in
the Official Gazette, declare to be essential defence services, the cessation of
work of which would prejudicially affect the—
(I) production of defence equipment or goods; or
(II) operation or maintenance of any industrial establishment or unit
engaged in production of goods or equipment required for any purpose
connected with defence; or
(III) repair or maintenance of products connected with defence;
(b) "strike" means the cessation of work, go-slow, sit down, stay-in, token strike,
sympathetic strike or mass casual leave, by a body of persons engaged in the essential
defence services, acting in combination or a concerted refusal or a refusal under a
common understanding of any number of persons who are or have been so engaged
to continue to work or to accept employment, and includes—
(i) refusal to work overtime, where such work is necessary for the
maintenance of the essential defence services;
(ii) any other conduct which is likely to result in, or results in, cessation or
retardation or disruption of work in the essential defence services.
(2) Words and expressions used herein and not defined but defined in the Industrial
Disputes Act, 1947, shall have the meanings respectively assigned to them in that Act. 14 of 1947.
Power to 3. (1) If the Central Government is satisfied that in the—
prohibit
(a) public interest; or
strikes in
essential (b) interest of the sovereignty and integrity of India; or
defence
services. (c) security of any State; or
(d) public order; or
(e) decency; or
(f) morality,
it is necessary or expedient so to do, it may, by general or special order, prohibit strikes in the
essential defence services.
(2) An order made under sub-section (1) shall be published in such manner as the
Central Government may deem fit to bring it to the notice of the persons affected by such
order.
(3) An order made under sub-section (1) shall be in force for six months, but the Central
Government may, by a like order, extend it for any period not exceeding six months, if it is
satisfied that in the public interest it is necessary or expedient so to do.SEC. 1] THE GAZETTE OF INDIA EXTRAORDINARY 3
(4) Upon the issue of an order made under sub-section (1)—
(a) no person engaged in the essential defence services shall go or remain on
strike;
(b) any strike declared or commenced, whether before or after the issue of such
order, by persons engaged or employed in such services shall be illegal.
4. Where any order has been issued under sub-section (1) of section 3, any police Removal of
officer may take all such measures as such officer may deem fit including the use of police persons.
force, if he considers necessary, to remove any person, whose presence in any area
connected with the—
(a) defence equipment production services; or
(b) operation or maintenance of any industrial establishment or unit engaged in
production or manufacturing of goods or equipment required for any purpose connected
with defence; or
(c) repair or maintenance of products connected with defence,
would be prejudicial to the functioning, safety or maintenance of the essential defence
services.
5. (1) Any person— Dismissal of
employees
(a) who commences a strike which is illegal under this Act or goes or remains on,
participating
otherwise takes part in, any such strike; or in illegal
strikes.
(b) who instigates or incites other persons to commence, or go or remain on, or
otherwise take part in, any such strike,
shall be liable to disciplinary action (including dismissal) in accordance with the same
provisions as are applicable for the purpose of taking such disciplinary action (including
dismissal) on any other ground under the terms and conditions of service applicable to him
in relation to his employment.
(2) Notwithstanding anything contained in any other law for the time being in force or
under the terms and conditions of service applicable to any person employed in the
essential defence services, before dismissing any person under sub-section (1), no
inquiry shall be necessary if the authority empowered to dismiss or remove such person is
satisfied that for some reason, to be recorded by that authority in writing, it is not reasonably
practicable to hold such inquiry.
6. Any person, who commences a strike which is illegal under this Act or goes or Penalty for
remains on, or otherwise takes part in, any such strike, shall be punishable with illegal strikes.
imprisonment for a term which may extend to one year or with fine which may extend to ten
thousand rupees, or with both.
7. Any person, who instigates or incites other persons to take part in, or otherwise Penalty for
acts in furtherance of, a strike which is illegal under this Act, shall be punishable with instigation,
etc.
imprisonment for a term which may extend to two years, or with fine which may extend to
fifteen thousand rupees, or with both.
8. Any person, who knowingly expends or supplies any money in furtherance or Penalty for
support of a strike which is illegal under this Act, shall be punishable with imprisonment for giving
financial aid
a term which may extend to two years, or with fine which may extend to fifteen thousand
to illegal
rupees, or with both.
strikes.
9. (1) If the Central Government is satisfied that in the— Power to
prohibit lock-
(a) public interest; or outs in any
industrial
(b) interest of the sovereignty and integrity of India; or
establishment or
unit engaged in
(c) security of any State; or
essential defence
services.4 THE GAZETTE OF INDIA EXTRAORDINARY [PART II—
(d) public order; or
(e) decency; or
(f) morality,
it is necessary or expedient so to do, it may by general or special order, prohibit lock-outs
in the industrial establishments or units engaged in the essential defence services.
(2) An order made under sub-section (1) shall be published in such manner as the
Central Government may deem fit to bring it to the notice of the persons affected by such
order.
(3) An order made under sub-section (1) shall be in force for six months, but the
Central Government may, by a like order extend it for any period not exceeding six months,
if it is satisfied that in the public interest it is necessary so to do.
(4) Upon the issue of an order under sub-section (1),—
(a) no employer engaged in the essential defence services shall commence
any lock-out; and
(b) any lock-out declared or commenced, whether before or after the issue of
such order, by any employer engaged in the essential defence services shall be
illegal.
(5) Any employer of an industrial establishment or unit engaged in the essential
defence services, who commences, continues, or otherwise acts in furtherance of a
lock-out which is illegal under this section, shall be punishable with imprisonment
for a term which may extend to one year or with fine which may extend to ten thousand
rupees, or with both.
Power to 10. (1) If the Central Government is satisfied that in the—
prohibit lay-
off in any (a) public interest; or
industrial
(b) interest of the sovereignty and integrity of India; or
establishment
or unit
(c) security of any State; or
engaged in
essential
(d) public order; or
defence
services. (e) decency; or
(f) morality,
it is necessary or expedient so to do, it may, by general or special order, prohibit lay-off,
on any ground other than shortage of power or natural calamity, of any workman (other
than a badli workman or a casual workman) whose name is borne on the muster rolls of
any industrial establishment or unit engaged in the essential defence services.
(2) An order made under sub-section (1) shall be published in such manner as the
Central Government may deem fit to bring it to the notice of the persons affected by the
order.
(3) An order made under sub-section (1) shall be in force for six months, but the
Central Government may, by a like order, extend it for any period not exceeding six months,
if it is satisfied that in the public interest it is necessary or expedient so to do.
(4) Upon the issue of an order under sub-section (1),—
(a) no employer in relation to an establishment to which such order applies
shall lay-off or continue the lay-off any workman (other than a badli workman or a
casual workman) whose name is borne on the muster rolls of any industrial
establishment or unit engaged in the essential defence services, unless such lay-off isSEC. 1] THE GAZETTE OF INDIA EXTRAORDINARY 5
due to shortage of power or natural calamity, and any laying-off or continuation
of laying-off shall, unless such laying-off or continuation of laying-off is due to
shortage of power or natural calamity, be illegal;
(b) a workman whose laying-off is illegal under clause (a) shall be entitled to
all the benefits under any law for the time being in force as if he had not been laid-off.
(5) Any employer of an industrial establishment or unit engaged in the essential
defence services, who lays-off or continues the laying-off of any workman shall, if such
laying-off or continuation of laying-off is illegal under this section, be punishable with
imprisonment for a term which may extend to one year or with fine which may extend to ten
thousand rupees, or with both.
2 of 1974. 11. Notwithstanding anything contained in the Code of Criminal Procedure, 1973, any Power to
police officer may arrest without warrant any person who is reasonably suspected to have arrest without
warrant.
committed any offence under this Act.
2 of 1974. 12. Notwithstanding anything contained in the Code of Criminal Procedure, 1973, all Offences to be
offences under this Act shall be tried in a summary way by any Metropolitan Magistrate or tried
summarily.
any Judicial Magistrate of the first class, specially empowered in this behalf by the State
Government and the provisions of sections 262 to 265 (inclusive) of the said Code shall, as
far as may be, apply to such trial:
Provided that in a case of conviction for any offence in a summary trial under this
section, it shall be lawful for such Magistrate to pass a sentence of imprisonment for any
term for which such offence is punishable under this Act.
2 of 1974. 13. Notwithstanding anything contained in the Code of Criminal Procedure, 1973, all Cognizance of
offences.
offences punishable under this Act shall be cognizable and non-bailable.
14. Any reference in this Act to any law which is not in force in any area and to any Reference of
authority under such law shall, in relation to that area, be construed as a reference to the other laws in
certain areas.
corresponding law in force in that area and to the corresponding authority under such
corresponding law.
15. No suit, prosecution or other legal proceedings shall lie against the Central Protection of
action taken
Government or any officer for anything which is in good faith done or intended to be done
in good faith.
under this Act.
16. The provisions of this Act and of any order issued thereunder shall have effect Act to
notwithstanding anything inconsistent therewith contained in the Industrial Disputes override other
laws.
14 of 1947. Act, 1947, or in any other law for the time being in force.
17. In the Industrial Disputes Act, 1947, in section 2, in clause (n), in sub-clause (ia), Amendment
for the words "or dock", the words "or dock or any industrial establishment or unit engaged of Act 14 of
1947.
in essential defence services" shall be substituted.
18. Every notification issued under this Act shall be laid, as soon as may be after it is Laying of
made or issued, before each House of Parliament while it is in session for a total period of notifications
before
thirty days which may be comprised in one session or in two or more successive sessions,
Parliament.
and if, before the expiry of the session immediately following the session or the successive
sessions aforesaid, both Houses agree in making any modification in such notification or
both Houses agree that the notification should not be issued, the notification shall thereafter
have effect only in such modified form or be of no effect, as the case may be; so, however,
that any such modification or annulment shall be without prejudice to the validity of anything
previously done under that notification.6 THE GAZETTE OF INDIA EXTRAORDINARY [PART II— SEC. 1]
Repeal and 19. (1) The Essential Defence Services Ordinance, 2021is hereby repealed. Ord. 7 of
savings. 2021.
(2) Notwithstanding such repeal, anything done or any action taken under the provisions
of the said Ordinance, shall be deemed to have been done or taken under the corresponding
provisions of this Act.
————
ANOOP KUMAR MENDIRATTA,
Secretary to the Govt. of India.
UPLOADED BY THE MANAGER, GOVERNMENT OF INDIA PRESS, MINTO ROAD, NEW DELHI–110002
AND PUBLISHED BY THE CONTROLLER OF PUBLICATIONS, DELHI–110054.
MGIPMRND—704GI(S3)—12-08-2021.