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TUMKUR UNIVERSITY

SUBJECT: INDUSTRIAL RELATIONS AND LABOUR LAW

MINI PROJECT REPORT ON
STATUTORY AND NON-STATUTORY LABOUR LAW PRACTICES ON ELECTRONICS INDUSTRY

SUBMITTED TO TUMKUR UNIVERSITY IN PARTIAL FULFIMENT OF REQUIREMENT OF 3rd.

SEMESTER MASTER OF BUSINESS ADMINISTRATION
FOR THE ACODEMIC YEAR 2022-23

SUBMITTED BY
SHWETHA O
3rd SEMESTER
REGISTER NO:P11AZ22M015061

SUBMITTED TO
PUSHPALATA MADAM
TUMKUR UNIVERSITY
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CONTENTS

• INTRODUCTION OF ELECTRONICS INDUSTRY

• HISTORY.
• VISION
MISSION
• MANUFACTURING PROCESS
• CONSUMER ELECTRONICS
• LARGEST ELECTRONIC INDUSTRY
• STATUTARY LABOUR LAWS IN ELECTRONICS NDUSTRY.
• NON-STATUTARY LABOUR LAW IN ELECTRONICS
INDUSTRY.
• CONCLUTION.
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Introduction

The electronics industry encompasses a wide range of different manufacturing processes and
products. The most visible products of the electronics industry are consumer goods such as
television sets, music reproduction systems and computers. These visible products represent
a tip of the iceberg situation as a large part of the electronics industry is concerned with the
manufacture of the component parts of products. The manufacture of switches, printed
circuit boards, semiconductor devices and the assembly of complex computer systems are all
aspects of the electronics industry. The fact that each of these activities would typically be
performed by different organizations shows that there are few common factors across the
electronics industry’s component companies.
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History

The electric power industry began in the 19 th century, which led to the development of
inventions such as gramaphones, radio transmitters and receivers, and television. The vacuum
tube was used for early electronic devices, before later being largely supplanted by
semiconductor components as the fundamental technology of the industry. The first working
transistor, a point-contact transistor, was invented by John Bardeen and Walter Houser
Brattain at Bell Laboratories in 1947, which led to significant research in the field of solid-state
semiconductors during the 1950s. This led to the emergence of the home entertainment
consumer electronics industry starting in the 1950s, largely due to the efforts of Tokyo Tsushin
Kogyo (now Sony) in successfully commercializing transistor technology for a mass market,
with affordable transistor radios and then transistorized television sets. The industry employs
large numbers of electronics engineers and electronics technicians to design, develop, test,
manufacture, install, and repair electrical and electronic equipment such as communication
equipment, medical monitoring devices, navigational equipment, and computers. Common
parts manufactured are connectors, system components, cell systems, and computer
accessories, and these are made of alloy steel, copper, brass, stainless steel, plastic, steel
tubing, and other materials.
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Vision
To provide world-class Electronic Manufacturing Service to global clients in a manner that
minimises any impact on the environment, while creating sustainable value for its
stakeholders and the community. Continue to explore new technology to meet the next
generation manufacturing requirement and shape the future of Electronics Industry together.

Mission
Be the preferred business partner of selected market segments in the EMS industry with our
culture of operational excellence, focusing on customers’ satisfaction and offering competitive
costs with superb quality and flexibility in services.

Manufacturing process of electronics industry

Following we have discussed crucial steps involved in the electronic manufacturing process.
Let’s discuss:

Step 1: Bill of Materials (BoM)

First, let’s understand about the bill of materials, or BOM. It is one section of the product’s
technical documentation. It is a compiled information source with a list of every component
needed to create one unit of a finished product. Every manufacturing process’s final result,
like the assembly of electronics, uses a certain combination of materials.
In the electronic manufacturing process — the first step includes the process of determining
an electronic bill of materials (BoM). It is settled upon long before an electronic design plan is
ever produced. During this process, manufacturers determine their overall costs and the types
of materials they need.

Step 2: Designing
After the BOM is complete, the next step includes designing. Moreover, it is necessary to
develop a manufacturing and design blueprint. Note that it’s also crucial to create multiple
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designs in case something goes wrong. During the design phase, every part of the material
the manufacturer will employ to construct an electrical tool or device must be measured.
1. Product Requirements: The first step in the design phase is to determine the product
requirements. This includes defining the target market, the intended use of the
product, and the desired features and functions. The requirements are used to guide
the design process and to ensure that the final product meets the needs and
expectations of the customer.
2. Conceptual Design: Once the product requirements have been established, the next
step is to create a conceptual design. This involves developing the overall appearance
and layout of the product, and determining the placement and arrangement of
components. The conceptual design is used to evaluate the feasibility of the product,
and to make any necessary changes or modifications.
3. Detailed Design: After the conceptual design has been approved, the next step is to
create a detailed design. This involves specifying the components, materials, and
manufacturing processes required to produce the product. The detailed design is used
to create the engineering drawings and schematics that guide the manufacturing
process.
4. Design for Manufacturability (DFM): During the detailed design phase, manufacturers
also consider Design for Manufacturability (DFM) principles. This involves optimizing
the design to reduce production costs, improve production efficiency, and ensure that
the product can be manufactured using the available equipment and processes.

Step 3: Testing
A device is tested after it is produced. It helps to ensure that it performs well in a range of
circumstances before it is put into production. Additionally, this is crucial because any design
error, no matter how small, will render the entire output useless. Therefore, you should start
by making one item, test it, and then move on to mass production.
1. Purpose of Testing: Testing is performed to verify the quality and performance of the
product, to find any defects, and to ensure that the product meets the specifications
and requirements. Testing can also help to identify any problems with the
manufacturing process, which can then be corrected to improve the overall quality of
the product.
2. Types of Testing: There are various types of testing that are performed in the
electronics manufacturing process, including functional testing, reliability testing,
stress testing, and environmental testing. Functional testing verifies the proper
operation of the product, while reliability testing evaluates the longevity and
durability of the product. Stress testing determines how the product reacts to extreme
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conditions, such as high temperatures or extreme humidity, and environmental testing

verifies the product’s performance in various environmental conditions.
3. Importance of Testing: Testing is important for a number of reasons, including ensuring
the safety of the product, improving the overall quality, and reducing the risk of
defects and malfunctions. Testing can also help to reduce the number of returns and
complaints, which can be costly for the manufacturer. Further more, testing can help
to increase customer satisfaction, as it helps to ensure that the product is functioning
properly and meeting the customer’s expectations.

4. Testing Methods: There are several testing methods that are commonly used in the
electronics manufacturing process, including automated testing, manual testing, and
functional testing. Automated testing uses specialized software and equipment to test
the product, while manual testing involves manual inspection and testing by trained
technicians. Functional testing involves verifying the performance of the product, and
can be performed using specialized equipment or by manually observing the product’s
operation.

Step 4: Distribution
Once you’ve completed developing and testing it, then it’s time to distribute it.Moreover,
before distributing your product, make a few last-minute tests to ensure that your clients
won’t receive faulty things. You can be certain that your company’s or product’s reputation
won’t suffer by doing this. Repairs and returns of Printed Circuit Boards (PCBs) are also a
component of the electronics manufacturing process. It is because you have to deal with
damaged electronics that you have produced and distributed.
However, it doesn’t always indicate you supplied the damaged product intentionally; it’s just
the nature of electrical products. They might malfunction at any time, and whomever built
them would have to fix the issue.
1. Types of Distribution: There are several types of distribution, including direct
distribution, indirect distribution, and third-party distribution. Direct distribution
involves the manufacturer selling the product directly to the customer, while indirect
distribution involves the use of intermediaries, such as distributors and wholesalers, to
reach the customer. Third-party distribution involves the use of a third party, such as a
logistics company, to manage the distribution of the product.
2. Distribution Methods: There are several methods for distributing electronics, including
physical distribution, online distribution, and international distribution. Physical
distribution involves delivering the product to the customer using traditional
transportation methods, such as truck or air delivery. Online distribution involves
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selling the product through an online platform, such as an e-commerce website.

International distribution involves delivering the product to customers in other
countries.
3. Factors Affecting Distribution: There are several factors that can affect the distribution
of electronics, including the cost of transportation, government regulations, and the
demand for the product. The cost of transportation can impact the overall cost of the
product, while government regulations, such as tariffs and trade restrictions, can limit
the ability to distribute the product internationally. The demand for the product can
impact the number of products that need to be manufactured and distributed, as well
as the time it takes to distribute the product.

Consumer electronics
Consumer electronics are products intended for everyday use, most often in entertainment,
communications and office productivity. Radio broadcasting in the early 20 th century brought
the first major consumer product, the broadcast receiver. Later products include personal
computers, telephones, MP3 players, cell phones, smart phones, audio equipment,
televisions, calculators, GPS automotive electronics, digital cameras and players and recorders
using video media such as DVDs, VCRs or camcorders. Increasingly these products have
become based on digital technologies, and have largely merged with the computer industry in
what is increasingly referred to as the consumerization of information technology.

The CEA (Consumer Electronics Association) projected the value of annual consumer
electronics sales in the United States to be over $170 billion in 2008.[8] Global annual
consumer electronic sales are expected to reach $2.9 trillion by 2020.[9]

Largest electronic industry

1. Tech industry (high tech)

2. Mobile technology
3. Consumer electronics
4. Semiconductor industry
5. Television broadcasting services
6. Power electronics
7. TFT liquid-crystal displays (TFT LCD)
8. Video games
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9. Home video film industry

Statutory and non-statutory documents applicable to the electrical

industry

Statutory documentation
In Great Britain, the ‘law’ is the generic term for any legal rule or regulation enforced by
government to regulate behaviour or activities in society and is made up of either ‘primary’ or
‘secondary’ legislation.
Primary legislation is the general term that embraces main laws passed by government and
includes Acts of Parliament, Acts of pre-UK Parliaments, and Acts of the Scottish Parliament
etc. The aforementioned are usually used to create new laws or to introduce changes to
existing ones. However, the actual process of passing an Act through Parliament can be
complex and is often timely because each proposed ‘law’ starts life as a ‘Bill’, which,
irrespective of its type (as in ‘public’ or ‘private’ Bill etc.) has to be debated and approved in
both the House of Commons and the House of Lords. Then, once agreed in both Houses, it has
to be formally agreed to by the reigning monarch (known as Royal Assent). When it comes
into force, as an Act, either immediately, on a specific future date, or in stages, it is then
enforceable in all areas of Great Britain, where applicable.

An example of the above Is how the Housing and Planning Bill, proposed in 2015, eventually
became the Housing and Planning Act in 2016. This Act, for instance, includes a small section
on electrical safety that includes a provision for the Secretary of State, should he or she so
wish, to impose certain duties on private landlords of residential premises in England. In
consequence, such duties may include having to have a qualified person check that the
electrical safety standards of the rented dwelling are met on an ongoing basis and the
landlord to obtain the appropriate documentation (i.e. an Electrical Installation Certificate or
an Electrical Installation Condition Report, as applicable) from the qualified person. The
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landlord may also be required to give a copy of that certificate or report to the tenant or
prospective tenant.

Important Bills for the electrical industry

Over the next few years, a number of Bills are planned to be put before government, the first
of which will be the Repeal Bill, the central piece of Brexit legislation. Two others worthy of
mention, associated to the electrical industry, are:

 The Automated and Electric Vehicles Bill, which will allow, amongst other things,
government to install electric vehicle charging points at motorway service areas and
large fuel retailers, and to require a set of common technical and operational
standards, all of which will ensure charging points are convenient to access and work
seamlessly up and down the country, as these provisions will apply to England, Wales
and Scotland.
 The Smart Meter Bill, announced in the Queen’s speech in June 2017, will see the
smart meter rollout program be softened by means of a five-year extension, to allow
for changes to regulations to ensure it is delivered effectively. In addition, every
household and business is likely to be ‘offered’ such a device by 2020, instead of
actually having one installed.
 As you can see, a considerable amount of time and effort has to go into the creation
and/or amendment of an Act of Parliament. So, to ensure longevity and prevent any
rework in the form of amendments etc., each Act essentially contains only a broad
framework of what is required in law. Therein, within the main body of each Act,
powers are often bestowed on ministers to make more detailed ‘Orders’, ‘Rules’ or
‘Regulations’, to include all of the necessary detail that is considered too complex to
include in the body of an Act. These documents, known as Statutory Instruments (Sis),
are sometimes referred to as secondary level legislation (or ‘delegated’ or
‘subordinate’ legislation). They allow for the provisions of an Act of Parliament to be
subsequently brought into force or altered without Parliament having to pass a new
Act (i.e. primary legislation).

Examples of statutory documents

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The statutory documents considered most applicable to electrical installations and/or the in-
service inspection and testing of electrical equipment include:

 The Health and Safety at Work etc. Act 1974 (HASAWA)

 The Management of Health and Safety at Work Regulations 1999
 The Electricity at Work Regulations (EWR) 1989
 The Provision and Use of Work Equipment Regulations 1998 (PUWER).

 The Health and Safety at Work etc. Act 1974

The Health and Safety at Work etc. Act 1974 (sometimes referred to as HSW Act or
HASAWA) is a primary piece of legislation that covers occupational health and safety in
Great Britain and is enforced by the Health and Safety Executive (HSE), local
authorities, and other enforcing authorities relevant to the working environment. It
sets out the general duties that employers have towards employees and members of
the public, and employees have to themselves and to each other. However, these
duties are often qualified in the HASAWA by the phrase ‘so far as is reasonably
practicable’. So, this means that (safety) measures do not have to be taken to avoid or
reduce risk if it is technically impossible to do or the time, effort and/or cost of a
protective measure would be grossly disproportionate to the risk. Good management
and a common-sense approach, to look at what the risks might be and taking sensible
measures to address them, will go a long way to meeting this requirement. Essentially,
the HASAWA places responsibility on those who create any risk to manage that risk,
and this applies whether the risk-maker is an employer, self-employed or a supplier or
manufacturer of items or substances for use at work. And, depending on their status,
each risk-maker may have a range of duties that he or she can (and sometimes will
have to) implement in order to manage the risk(s). Without doubt, workforce
involvement and, in particular, the help of health and safety representatives will often
make a valid contribution to raising standards of health, safety and welfare in the
workplace.
 The Management of Health and Safety at Work Regulations 1999
The intention of the Management of Health and Safety at Work Regulations 1999 is to make
more explicit what employers are required to do in order to manage health and safety under
the Health and Safety at Work Act. Like the HASAWA, these Regulations apply to every work
activity. The main requirement of these regulations is on employers to carry out a risk
assessment. And, where employers have five or more employees, there is a need to record
the significant findings of the risk assessment. The HSE would ideally like risk assessments in
simple workplaces, such as a typical office, to be as straightforward as possible and only be
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complicated where they have to deal with serious hazards such as those in a chemical plant,
laboratory or in something as large as a nuclear power station.

 The Provision and Use of Work Equipment Regulations 1998

These regulations, often abbreviated to PUWER, require work equipment to be constructed in
such a way that it is suitable for the purpose for which it is to be used. Once again, the
employer (which can also be a self-employed person) is responsible for these arrangements.
The regulations deal with the work equipment and machinery used every day in workplaces
and aims to keep people safe wherever such equipment and machinery is used at work.

Put simply, the aim of the PUWER is to make safer the working lives of everyone who
operates, uses or comes into contact with machinery and equipment. This includes
employers, employees, contractors, suppliers, and anyone else who might use or have access
to machinery and equipment within the workplace. To summarise, the aim of the regulations
is to ensure that all equipment is:
Suitable for its intended use.
I. Safe for use, maintained in a safe condition and inspected regularly to ensure that it is
correctly installed and does not subsequently deteriorate. Used only by people who
have received adequate information, instruction and training to do so.Accompanied by
suitable health and safety measures, such as protective devices and controls. These
will normally include emergency stop devices, adequate means of isolation from
sources of energy, clearly visible markings and warning devices. Used in accordance
with specific requirements for mobile work equipment and power presses. These
regulations do not only apply to large businesses. If you operate or control work
equipment, or you’re self-employed operating for profit or not, then you have a legal
obligation to follow them as well.
II. Some work equipment is subject to other health and safety legislation in addition to
PUWER. For example, lifting equipment must also meet the requirements of Lifting
Operations and Lifting Equipment Regulations 1998 (LOLER), and personal protective
equipment must meet the PPE Regulations 1992.PUWER applies to all workplaces and
work situations where HASAWA applies and covers the whole of Great Britain, and
beyond to specified offshore areas and activities (such as those covering oil rigs and
gas supply platforms).

 The Electricity at Work Regulations (EWR) 1989

The purpose of these regulations is for precautions to be taken against the risk of death or
personal injury from electricity in work activities.
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Whilst these regulations cover many aspects of electrical safety, duties in some of the
regulations are subject to the qualifying term ‘reasonably practicable’ and where this
qualifying term is absent from a regulation it is said to be ‘absolute’. In the case of the latter,
this essentially means that no matter how much time, cost and effort is involved, the
requirement of that regulation has to be met. This applies to, for example, ‘electrical
connections’, which have to be mechanically and electrically sound – all of the time. All other
regulations have a relaxation on the aforementioned requirement as they contain the phrase
‘so far as is reasonably practicable’. This generally means everything ‘reasonably practicable’
has to be done to protect people from harm, which means balancing the level of risk against
the measures needed to control the real risk in terms of money, time or trouble (similar to the
HASAWA). However, no action need be taken if it would be grossly disproportionate to the
level of risk.

Non-statutory documents associated with the electrical industry

The term ‘non-statutory’ was originally associated with common law and/or based on
customs, precedents or previous court decisions. But, in the world of electrical installations it
has become common practice to use this term to describe the most reliable and informative
industry reference material, such as Codes of Practice (COP), British Standards (such as BS
7671) and even Best Practice Guides, to name but a few. Here are some of the main ones,
together with a brief description:

 BS 7671: 2008+A3:2015
Despite having the word ‘regulations’ printed on the front cover, its full and proper title is BS
7671 Requirements for electrical installations.
This British Standard sets the standards for electrical installations in the UK and many other
countries and is the authority on electrical installation. So, all those concerned with the
design, installation and maintenance of electrical wiring in buildings, including electricians,
electrical contractors, consultants, local authorities, surveyors and architects, should have a
good understanding of its contents and intentions.
As well as being essential for professional engineers and the like, this publication is also a
must-have for students at university and further education colleges.
It is co-published by the Institution of Engineering and Technology (IET) and British Standards
Institution (BSI).
Following the guidance set out in BS 7671 is likely to ensure that electrical installation work
meets the requirements of the Electricity at Work Regulations 1989.

 IET’s On-Site Guide

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The On-Site Guide is one of a number of publications offered by the IET to provide guidance
on certain aspects of BS 7671.
Its scope generally follows that of BS 7671 and also includes some material that is not
included in BS 7671. It provides the background to the intentions of BS 7671 and gives other
sources of information as well. It does not, however, ensure compliance with BS 7671, as it is
a simple guide to the requirements of BS 7671. So, electrical installers and/or designer should
therefore always consult BS 7671 to satisfy themselves of compliance.It cannot be guaranteed
that BS 7671 complies with all relevant statutory regulations. It is, therefore, essential to
establish which statutory and other appropriate regulations apply and to install accordingly.
For example, an installation in licensed premises may have requirements that differ from, or
are additional to, BS 7671 and these must take precedence.

 IET’s Guidance Notes (1-8)

These eight publications are designed to provide more detailed guidance about specific areas
on BS 7671. In order, each publication covers:
Guidance Note 1: Selection and erection
Guidance Note 2: Isolation and switching
Guidance Note 3: Inspection and testing
Guidance Note 4: Protection against fire
Guidance Note 5: Protection against electric shock
Guidance Note 6: Protection against overcurrent
Guidance Note 7: Special locations
Guidance Note 8: Earthling and bonding
NICEIC’s guidance – Inspection, Testing and Certification
The aim of this publication is to promote best practice by providing electrical contractors and
others with practical advice, guidance and answers to a number of questions that commonly
arise during the inspection and testing of electrical installation work, or during the
preparation of the associated certificates and reports.
It essentially complements Part 7 Inspection and testing of BS 7671 and the information and
advice provided in other authoritative publications such as IET’s Guidance Note 3. It covers
the general requirements relating to the inspection and testing of electrical installations
forming part of TN-C-S, TN-S and TT systems in the UK, but not specialised electrical
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installations such as fire alarm and emergency lighting systems, or installations in hazardous
areas.
The book also assumes that all persons undertaking such work already have acquired the
necessary knowledge, understanding and skill, and are properly equipped, to undertake such
work without putting themselves and others at risk. It is therefore not intended to be an
instruction booklet for untrained and inexperienced persons.

 GS 38 (Fourth edition) 2015 – HSE guidance document

This guidance document made available by the HSE is aimed at people who use electrical test
equipment on low voltage electrical systems and equipment, and is principally aimed at
electricians, electrical contractors, test supervisors, technicians, managers or appliance
retailers/repairers, and to trades where electrical testing is not their primary activity (such as
plumbers and gas engineers).
The guidance within ’S 38 focuses on the correct selection and use of:

 Test probes, leads, lamps, voltage detecting devices, and

 Measuring equipment
 For circuits with rated voltages not exceeding 1000 V AC.

In line with the Electricity at Work Regulations 1989, those in control of all or part of an
electrical system are required to ensure that it is safe to use and it is maintained in a safe
condition.

Conclusion
The electronics industry is a dynamic and vital sector that plays a significant role in shaping
modern society. With innovations in areas such as semiconductors, consumer electronics,
telecommunications, and renewable energy, the industry continues to drive progress and
economic growth worldwide. As demand for smart devices, IoT, AI, and other technologies
grows, the electronics industry will remain at the forefront of innovation, addressing
challenges and creating opportunities for the future.
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