School of Commerce &Management,

Village - Sijoul, Madhubani Dist., Bihar-847235, India

Course Code : PMH403

Course Name : Labour Law
Programme : MBA
Semester : IV
Faculty Name : Miss. Sayeeda Tabassum

MCQs

Q1. The payment of compensation to railway employees by the railway administration for
injury by accident is governed by:
a) The Employees Compensation Act, 1923
b) The payment of Wages Act, 1936
c) Rights of Persons with Disabilities Act, 2016
d) The Workmen Compensation Act, 1986

Ans: a) The Employees Compensation Act, 1923

Q2. Which of the following statements is/are INCORRECT regarding Employees

Compensation Act, 1923?

i) Compensation is payable for accidents arising out of and in the course of employment.
ii) Compensation is payable for injuries resulting due to influence of drink or drug.
iii) Compensation is payable for partial disablement for a period up to 3 days.
iv) There must be a casual relationship between the accident and the employment.

a) ii)
b) iii)
c) ii) & iii)
d) i) & iv)

Ans: c) ii) & iii)

Q3. The amount of compensation under Employees Compensation Act, 1923 depends on

a) Age of railway servant on the date of accident

b) Wages of the railway servant drawn in the preceding one year from the date of accident
c) Nature of injury
d) All the above

Ans: d) All the above

Q4. The minimum amount of compensation payable under Employees Compensation Act,
1923 in case of death of a railway servant due to accident is Rs .

a) Rs 80,000/-
b) Rs 90,000/-
c) Rs 1,40,000/-
d) Rs 1,20,000/-
Ans: d) Rs 1,20,000/-
Q5. The minimum amount of compensation payable under Employees Compensation Act,
1923 in case of total permanent disablement of a railway servant due to accident is Rs .
a) Rs 80,000/-
b) Rs 90,000/-
c) Rs 1,40,000/-
d) Rs 1,20,000/-
Ans: c) Rs 1,40,000/-
Q6. The employer shall not be liable to pay such compensation under Employees
Compensation Act, 1923 in the following cases:

i) For injuries that does not result in total or partial disablement for a period exceeding 3 days.
ii) For injuries (not resulting in death) resulting due to influence of drink or drug.
iii) For willful disobedience of order for securing security.
iv) Willful removal of safety devices.

Which of the above statements is INCORRECT?

a) i)
b) ii)
c) iii) & iv)
d) None of the above.

Ans: d) None of the above.

Q7. Compensation under Employees Compensation Act, 1923 shall be paid within

a) three months from the date of accident

b) one month from the date of accident
c) 01 year from the date of accident
d) No time limit

Ans: b) one month from the date of accident

Q8. If the employer fails to pay compensation within the stipulated time limit, the
Commissioner for Employees Compensation may

a) Impose simple interest @ 12% per annum OR at such higher rate not exceeding the
maximum of the lending rates of any scheduled Commercial Bank.
b) Impose penalty not exceeding 50% of the amount of compensation.
 c) May impose both (a) and (b)
d) Cannot impose any penalty

Ans: c) May impose both (a) and (b)

Q9. A Railway servant was killed in a bus accident during the course of employment. His family
members may claim compensation under.

a) The Motor Vehicle Act

b) The Employees Compensation Act, 1923
c) Both (a) and (b)
d) Either under (a) OR under (b)

Ans: d) Either under (a) OR under (b)

Q10. In case of death of a railway servant due to accidents arising out of and in the
course of employment, compensation will be paid to the dependents as defined in

a) The Railway Servants (Pass) Rules, 1986

b) The Railway Services (Pension) Rules, 1993
c) The Employees Compensation Act 1923
d) None of these

Ans: c) The Employees Compensation Act 1923

Q11. Any claim for payment of compensation under The Employees Compensation Act
1923, the Commissioner shall dispose the matter relating to compensation within a
period of from the date of reference and intimate the decision in respect thereof
within the said period to the employee.

a) three months
b) six months
c) eight months
d) One year

Ans: a) three months

Q12. Schedule II of the Employees Compensation Act 1923 deals with

a) Age factor for calculating the amount of compensation

b) List of persons who are included in the definition of „Employee‟
c) List of occupational diseases
d) List of injuries Deemed to Result in Permanent Total Disablement
Ans: b) List of persons who are included in the definition of
„Employee‟

Q13. According to Code on Wages, 2019 wage period for payment of wages cannot be
more than .

a) 1 month
b) 40 days
c) 45 days

d) 60 days

Ans: a) 1 month {Sec 17(1)}

Q14. Where an employee has been removed/dismissed/retrenched/resigned from service or

became unemployed due to closure of the establishment, the wages payable to him shall be
paid within working days.

a) Three
b) Two
c) Seven
d) Five

Ans: b) Two

Q15. Which of the following statements are is/are INCORRRECT according to Code on
Wages, 2019?

a) The Code ensures timely payment of wages to employees covered by the Code
b) The Code ensures payment of wages without any arbitrary deductions to employees
covered by the Code
c) The Central Government is responsible for enforcement of the Code in Railways,
Mines, Oilfields, major Ports, Air transport services, telecommunications, banking and
insurance company.
d) With the written authorization of the employed person, the wages may be paid either
by crediting the wages in his bank account or by electronic mode.

Ans: d) With the written authorization of the employed person, the wages may be paid either
by crediting the wages in his bank account or by electronic mode.

Q16. The total amount of fine which may be imposed in any one wage period on any
employee shall not exceed an amount equal to of the wages payable to him in respect of
that wage period.

a) 5%
b) 1%
c) 3%
d) 10%

Ans: c) 3%

Q17. Which of the following is NOT TRUE about the payment of wages according to Code on
Wages, 2019?
a) The employer shall pay the wages to the employee before the end of the second day after
the end of fortnight if engaged on fortnightly basis.
b) The employer shall pay the wages to the employee before the expiry of the tenth
day if engaged on monthly basis

c) The employer shall pay the wages to the employee at the end of the shift if engaged on
daily basis
d) The employer shall pay the wages to the employee on the last working day if engaged
on weekly basis

Ans: b) The employer shall pay the wages to the employee before the expiry of the tenth day if
engaged on monthly basis
Q18. According to the Code on Wages, 2019, the total amount of deductions which may be
made in any wage period from the wages of an employee shall not exceed

i) 50% of such wages

ii) 60% of such wages
iii) 75% of such wages in case where such deductions are wholly or partly made for payments
to cooperative societies
iv) Where the total authorized deductions exceed 50% of the wages, the excess may be
recovered in such manner, as may be prescribed.

Which of the above statements is/are INCORRECT?

a) i) & ii)
b) ii) & iii)
c) iii) & iv)
d) iv) & i)

Ans: b) ii) & iii)

Q19. According to the Code on Wages, 2019,which of the following shall not be deemed to be
deduction from the wages of an employee?

i) Any loss of wages due to withholding of increment or promotion.

ii) Deduction for house building Advance
iii) Any loss of wages due to reduction to a lower post or time scale.
iv) Deduction for fines imposed on him.

a) i)
b) iii)
c) i) & iii)
d) ii) & iv)

Ans: c) i) & iii)

Q20. Which of the following deductions may be made with the written authorization of the
employee under Section 18(2) of Code on Wages, 2019,?

a) Deductions for loan made from any fund constituted for the welfare of labour
b) Deductions made for payment of the fees and contribution payable by him for the
membership of any Trade Union registered under the Trade union Act, 1926.
c) Deductions for house accommodation supplied by the employer
d) Deductions made for contribution to the Prime Minister‟s National Relief Fund.

Ans: b) & d)

Q21. Which of the following Acts has/have been repealed after enactment of the Code on
Wages, 2019?

i) The Payment of Wages Act, 1936

 ii) The Minimum Wages Act, 1948
iii) The Payment of Bonus Act, 1965
iv) The Equal Remuneration Act, 1976

a) i) & ii)
b) iii) & iv)
c) All the above
d) ii) & iii)

Ans: c) All the above

Q22. What are the general duties of an occupier?

i) Maintenance of Plant and system of work in factory are safe, without risk to health
ii) Ensure safety and absence of risks to health in use, handling, storage and transport of
articles and substances
iii) Specifying the area
iv) Defining the local mean time ordinarily deserved therein.

a) iv)
b) iii)
c) Only i) & ii)
d)All the above

Ans: c) Only i) & ii)

Q23. As per the Factories Act, after how many years should the factory premises be painted
and refurbished?
a) Five years
b) Two years
c) Ten years
d) Annually
Ans: a) Five years

Q24. As per Section 2 of the Factories Act, who will be called as an adult?

a) A person who has completed 21 years of age

b) A person who is less than 19 years of age
c) A person who has completed 24 years of age
d) A person who has completed 18 years of age
Ans: d) A person who has completed 18 years of
age
Q25. If there are numbers of employees, then the employer has to provide a canteen

a) 250
b) 510
c) 320
d) 100

Ans: a) 250

Q26. As per the Factories Act, s „child’ means a person who has not completed his year of
age

a) 14th
b) 15th
c) 18th
d) 21st

Ans: b) 15th
Q27. The Factory Act 1948 defines factory as “factory” any premises including the precincts
hereof whereon or more workers are working, or were working on any day of the
preceding twelve months, and in any part of which a manufacturing process is being carried
on with the aid of power.

a) Ten
b) Fifteen
c) Twenty
d) Twenty-five

Ans: a) Ten

Q28. The Factories Act 1948 impose statutory obligation on the Railway Administrations to
provide and maintain canteens in Railway Establishments, which are governed by the
Factories Act and employ more than 250 persons. The provision of canteen in all other
Railway Establishments is provided under:

a) The Railway Act, 1989

b) Employee‟s Compensation Act, 1923
c) Organized Workers Social Security Act, 2008
d) None of the above

Ans: d) None of the above

Q29. An adult worker cannot normally be asked to work for more than hours a day
subject to 48 hrs restriction in a week, unless it is necessary to facilitate the change of shift.

a) 8
b) 9
c) 12
d) 10
Ans: b) 9

Q30. No women shall be employed in any factory between 7 P.M. and 6 A.M. However,
the State Govt may vary the above limits but no such variation shall authorize the
employment of any woman between the hours of and .

a) 11 P.M. and 5 A.M.

b) 9 P.M. and 5 A.M.
c) 10 P.M. and 5 A.M.
d) 8 P.M. and 5 A.M.

Ans: c) 10 P.M. and 5 A.M.

Q31. No child who has not completed his year shall be required or allowed to work in any
factory.

a) 14th
b) 15th
c) 18th
d) 21st

Ans: a) 14th

Q32. First-aid boxes or cupboards equipped with the prescribed contents shall be provided and
maintained in charge of a trained person who holds a certificate in first-aid treatment
recognised by the State Government and who shall always be readily available during the
working hours of the factory, at the rate of one such box or cupboard for every workers
ordinarily employed at any one time in the factory.

a) 250
b) 150
c) 300
d) 200

Ans: b) 150

Q33. An ambulance room of the prescribed size, containing the prescribed equipment and in
the charge of such medical and nursing staff as may be prescribed shall be provided in every
factory wherein workers are ordinarily employed and those facilities shall always be
made readily available during the working hours of the factory.

a) Five hundred
b) More than five hundred
c) More than four hundred
d) Three hundred

Ans: b) More than five hundred

Q34. In every factory wherein workers are ordinarily employed there shall be
provided and maintained a Creche for the use of children under the age of six years of such
women. Such rooms shall provide adequate accommodation, furniture, shall be adequately
lighted and ventilated, shall be maintained in a clean and sanitary condition and shall be
under the charge of women trained in the care of children and infants.

a) Thirty women
b) More than fifty women
c) More than thirty women
d) One hundred

Ans: c) More than thirty women

Q35. In terms of Minimum Wages Act, which of the following is NOT a category of workers?
a) Semi-skilled
b) Skilled
c) Highly Skilled
d) Expert
Ans: d) Expert

Q36. The minimum rate of wages on time work basis may be fixed in accordance with any
one or more of the following wage periods, namely:-

i) By the hour; or
ii) By the day; or
iii) By the week; or
iv) By the month

Which of the above is INCORRECR?

Ans: iii) By the week;

Q37. For the purpose of fixation of minimum rate of wages, the appropriate Government
shall primarily take into account

i) The skill of workers

ii) The geographical area
iii) The arduousness of work and
iv) The age of worker

Which of the above is INCORRECT?

Ans: iv) The age of worker
Q38. In fixing minimum rate of wages for the first time or in revising minimum rate of
wages, the appropriate Government shall either

i) Appoint as many committees as it considers necessary to hold enquiries and

recommend in respect of such fixation or revision, as the case be; or
ii) By notification publish its proposals for the information of persons likely to be
affected thereby and
iii) Specify a date not less than two months from the date of notification on which the
proposals shall be taken into consideration.
iv) After considering the recommendations and/or representations received within the
specified date, the appropriate Government shall by notification fix/revise the minimum rates
of wages. Which of the above statements is INCORRECT?

a) i)
b) ii) & iii)
c) iv)
None of the above

Ans: d) None of the above

Q39. Which of the following statements regarding constitution of Committee for

fixing/revising minimum rate of wages is/are INCORRECT?
The Committee appointed by the appropriate Government for fixing/revising the minimum
rate of wages shall consist of persons-

i) Representing employers;
ii) Representing employees which shall be equal in number of the members
representing employers
iii) Independent persons, not exceeding one-third of the total members of the committee
iv) Representing appropriate Government

a) i)
b) ii) & iii)
c) iv)
d) None of the above
Ans: c) iv)
Q40. The appropriate Government shall review or revise minimum rate of wages ordinarily at
an interval not exceeding years.

a) 3 years
b) 5 years
c) 1 year
d) 6 months
Ans: b) 5 years

Q41. Which of the following statements regarding fixing of floor wages is/are INCORRECT?

i) The Central Government shall fix „floor wages‟, which may be different for
different geographical areas, taking into account minimum living standards of a worker
ii) The minimum rate of wages fixed by the appropriate Government shall not be less than
the floor wages
iii) The Central Government may obtain the advice of Central Advisory Board before fixing
the floor wages
iv) The Central Government may consult State Governments before fixing the floor wages

a) i)
b) ii)
c) iii) & iv)
d) None of the above

Ans: d) None of the above

Q42. Where the minimum rate of wages have been fixed under the „Code on Wages, 2019‟,
the appropriate Government may-

a) Fix the number of hours of work which shall constitute a normal working day inclusive of
one or more specified intervals;
b) Provide a day of rest on every period of seven days which shall be allowed to all employees
or to any specified class of employees and for the payment of remuneration in respect of such
days of rest;
c) Provide for payment of work on a day of rest at a rate not less than the overtime rate;
d) The rate of overtime shall not be less than one and half times the normal rate of wages.

Ans: d) The rate of overtime shall not be less than one and half times the normal rate of wages.

Q43. According to Section 13(3) of Code on Wages, 2019, the employment of an

employee is said to be essentially intermittent-

i) When it is declared to be so by the appropriate Government.

ii) When the daily hours of duty of the employee normally include periods of inaction
aggregating to fifty per cent or more in a tour of twelve hours duty.
iii) The daily hours of duty of the employee normally include the periods of inaction during
which the employee may be on duty but is not called upon to display either physical activity or
sustained attention.
iv) The period of inaction aggregates to 6 hours or more during 12 hours duty including one
period of one hour or 2 periods of half an hour of inaction.

Which of the above statements are INCORRECT?

a) i) & iii)
b) ii) & iv)
c) i) & ii)
d) iii) & iv)
Ans: b) ii) & iv)

Q44. The name “Child Labour (Prohibition and Regulation) Act, 1986,” was changed to
“Child and Adolescent Labour (Prohibition and Regulation) Act, 1986,” in the year

a) 2014
b) 2016
c) 2015
d) 2018

Ans: b) 2016

Q45. Under the Child and Adolescent Labour (Prohibition and Regulation) Act, 1986, a child
means a person who has not completed his years of age or such age as may be
specified in the Right of Children to Free and Compulsory Education Act, 2009, whichever is
more.

a) 15
b) 14
c) 18
d) 21

Ans: b) 14

Q46. Employment of children is prohibited in occupations and processes mentioned in-

a) Schedule of Code on Wages

b) Schedule of Child Labour (Prohibition and Regulation) Act
c) Schedule of Right of Children to Free and Compulsory Education Act
d) Schedule-II of Child Labour (Prohibition and Regulation) Act
Ans: b) Schedule of Child Labour (Prohibition and Regulation) Act

Q47. A child shall not be required to work more than hours at a stretch.

a) 4
b) 3
c) 5
d) 2
Ans: b) 3

Q48. The total duty hours of a child, including the rest period, shall not exceed hours
per day.

a) 5
b) 7
c) 6
d) 4

Ans: c) 6

Q49. No child shall be permitted or required to work between

a) 6 P.M. and 8 A.M.

b) 7 P.M. and 7 A.M.
c) 7 P.M. and 8 A.M.
d) 8 P.M. and 8 A.M.

Ans: c) 7 P.M. and 8 A.M.

Q50. Adolescent means a person who Has completed his 14th year of age but has not
completed his year.

a) 21
b) 18
c) 16
d) 17

Ans: b) 18
Q51. No adolescent shall be employed or permitted to work in any of the occupations
or processes set forth in the Schedule.

a) Dangerous
b) Hazardous
c) Unhealthy
d) Unsafe

Ans: b) Hazardous

Q52. Whoever employs any child or permit any child/adolescent to work in contraventions
of section 3/3A shall be punishable with imprisonment for a term which shall not be less
than six months but which may extend to years or with fine which shall not be less
than twenty thousand rupees but which may extend to thousand rupees, or with both.

a) 2, 50
b) 3, 50
c) 5, 40
d) 5, 50

Ans: a) 2, 50

Q53. Whoever, having been convicted of an offence under Section 3 or Section 3A

commits a like offence afterwards, he shall be punishable with imprisonment for a term
which shall not be less than one year but which may extend to years.,

a) 2
b) 3
c) 4
d) 5

Ans: b) 3
Q54. In which year did the Industrial Disputes Act come into operation?

a) 1947
b) 1949
c) 1953
d) 1963

Ans: a) 1947

Q55. To which settlement machinery can the central government refer the disputes under
rule 81-A?

a) Conciliation
b) Arbitration
c) Adjudicator
d) Supreme Court
Ans: c)
Adjudicator
Q56. Before the Industrial Disputes Act was implemented in the year 1947, which act took
care of the industrial disputes?

a) Trade Disputes Act, 1929

b) Royal Commission on Labour, 1934
c) Labour Management Relations Act, 1947
d) None of the above

Ans: a) Trade Disputes Act, 1929

Q57. The bill passing Rule 81-A has made two new institutions for the prevention and
settlement of industrial disputes, i.e. Work Committees and
a) Industrial Tribunal
b) Commission on Labour
c) Arbitration
d) Adjudication

Ans: a) Industrial Tribunal

Q58. The industrial peace is secured through voluntary and compulsory .

a) Compromise and Arbitration

b) Adjudication and Arbitration
c) Negotiation and Adjudication
Ans: c) Negotiation and Adjudication

Q59. Choose the correct objective of the Industrial Disputes Act.

a) To prevent illegal strike

b) To promote measures for securing and preserving good relations between the employers
and the employees
c) To provide relief to workmen in matters of lay offs, retrenchment, wrongful dismissals
d) All of the above

Ans: d) All of the above

Q60. Industrial Disputes Act was first amended in the year

a) 1929
b) 1946
c) 1947
d) 1949

Ans: d) 1949
SHORT ANSWER QUESTIONS
Question 1: Explain the Introduction and history of Labour Legislation in brief?
Question 2: Brief the Principles of labour legislation?
Question 3: Define the Importance of Labour Laws and Sources of Labour Law?
Question 4: Explain objectives of Labour Law?
Question 5: Brief Classification of labour Law?
Question 6: Explain the social security legislation?
Question 7: Define the Workmen Compensation Act, 1923?
Question 8: Explain the Maternity Benefit Act, 1961?
Question 9: Define the Employees Provident Fund and Miscellaneous Provision Act, 1952?
Question 10: Explain Payment of Gratuity Act, 1972?
Question 11: Explain the Labour Welfare Legislation?
Question 12: Define Factory Act 1948?
Question 13: Explain Contract Labour (Regulations and Abolition) Act, 1970?
Question 14: Explain the terms Plantation Labour Act, 1951?
Question 15: Explain the Mines Act, 1952?
Question 16: Differentiate between Employee Provident Fund Act and Payment Gratuity Act?
Question 17: Difference between Contract labour Act and Terms Plantation Labour Act?
LONG ANSWER QUESTIONS

Question 1: Define the Employees Provident Fund and Miscellaneous Provision Act, 1952 and
Contract Labour Regulation in Brief?
Question 2: Explain in brief, Employee Provident Fund Act and Payment Gratuity Act?
Question 3: Explain the Introduction and history of Labour Legislation in brief and Principles of
labour legislation?
Question 4: Explain factory Act and Mines Act in Brief?
Question 5: Explain in brief Introduction and history of Labour Legislation and Principles of
labour legislation?
Question 6: Differentiate between Workmen Act, 1923 and Maternity Benefit Act, 1961?
Question 7: Explain briefly the terms labour laws and their utilizations?
Question 8: Briefly explain the various terms of Terms Plantation Labour Acts?