Bonded Labour1

 The bonded labour is a social system. The most striking features of this system are obligation, force and
curtailment of liberty.
 The bondage through obligation may include debt bondage attachment to land, attachment to house site or
customary obligation.
 In the case of debt obligation, a labour usually takes a loan or advance from an employer, and in consequence
thereof he mortgages his labour with that particular employer until the loan is repaid.
 The other type of bondage through obligation is attachment to land. The labourer is given a piece of land to
cultivate and is required to share the produce with the master. Since the income from this source is not
sufficient to meet the daily requirements of the labourer, he has to contract loans from the employer for
consumption, customary social ceremonies like marriage, death, etc. As he has no capacity to pay back the
loan thus contracted, he is forced to work for the same employer until the loan is fully paid back.
 The other type of obligation for which the labourer is bonded to the master is by way of getting homestead
plot in master's land. In lieu of that the labourer is required to work for his master whenever he needs it. The
wages given to him for the work are just nominal. When the work of the employer is over no other work is
available in that particular locality.
 The customary obligation also force the people of low castes and tribes to perform certain customary services
to the upper caste such as carrying the dead animals, burning the dead, beating the drum during birth and
funeral, etc.
 Such type of obligations aquire more oppressive character where debt bondage is perpetuated on inter-
generation basis. The son has to work for the employer because of the loan taken by his father.
 A situation gets created when these deprived peoples are left with no alternative except mortgaging their
labour. Since these persons can never free themselves from the vicious circle of poverty, they have to continue
in bondgage.
 The entire conceptual framework of the system of bondage shows that it has its roots in the socio-economic
structure in the rural areas characterised by feudal and semi-feudal conditions, herarchical caste system,
extreme poverty and ignorance coupled with social customs.

DEFINITION OF BONDED LABOUR

The term 'bonded labour' is not capable of any precise definition.
i. The Royal Commission on Labour India (1931)2 has defined bonded labour as follows: "the labourer
borrows money from the land lord under a contract to work until the debt is repaid. The debt tends
to increase rather than diminish and the man, and sometimes his family, is bound for life."
ii. The Commissioner for Scheduled Castes and Scheduled Tribes in his Report (1971-72 and 1972-
73) has defined the Bonded Labour System as "the practice under which a man pledges his own
person or a member of his family against a loan. The pledger or his nominee is released only on its
discharge. Until then the man himself or the member of his family is required to work for his creditor
against his daily meals or low wages. Since he gets very little money, he has to depend upon
someone in the family to procure the sum required for his release and this, of course, is rarely
available. The relationship lasts for months and sometimes years, occasionally and entire life time
and not infrequently follows the male heir. 3"
iii. The Bonded Labour System (Abolition) Act, 1976 has defined bonded labourer to mean "a labourer
who incurs, or has, or is presumed to have incurred a bonded debt.
Under this legislation, bonded labour system means the system of forced labour under which a debtor has entered into
an agreement with the creditor to the effect that he would:
 render by himself or through any member of his family for any person dependent on him, labour or service
to the creditor or for the benefit of the creditor for a specified period or for an unsepcified period, either
without wages or for nominal wages; or
 forfeit the freedom of employment or other means of livelihood for a specified period or for an unspecified
period; or
 forfeit the right to move freely throughout the territory of India; or

1
http://shodhganga.inflibnet.ac.in/bitstream/10603/127693/8/06_introduction.pdf
2
Quoted in, A. E. Punit, Profiles of Poverty in India, (1982) at 57-58
3
Report of the Commissioner for Scheduled Castes and Scheduled Tribes 1971-1972 and 1972-73 (Twenty First Report).
  forfeit the right to appropriate or sell at market value any of his property or product of his labour or the
labour of a member of his family, or any person dependent on him.

 The Act also defines each term which constitutes the characteristic features of bonded labour system in our
country.
 The Act is explicit on the point that bonded labour is paid less than the 'prescribed wages', and hence his
wages are just 'nominal' and far below the normal wages in the locality.

iv. Forced Labour Convention, 1930 (No. 29) [Article 2(i)] —The term forced or compulsory labour
shall mean all work or service, which is exacted, from any person under the menace of any penalty
and for which the said person has not offered himself voluntarily.

v. UN Supplementary Convention on the Abolition of Slavery (1956) — Under this Convention debt
bondage is defined as “the status or condition arising from a pledge by a debtor of his personal
service or those of a person under his control as security for a debt, if the value of those services as
reasonably assessed is not applied toward the liquidation of the debt or the length and nature of those
services are not respectively limited and defined”.

vi. As per I.L.O. Report on Stopping Forced Labour (2001) — The term (Bonded Labour) refers to a
worker who rendered service under condition of bondage arising from economic consideration,
notably indebtedness through a loan or an advance. Where debt is the root cause of bondage, the
implication is that the worker (or dependents or heirs) is tied to a particular creditor for a specified
or unspecified period until the loan is repaid.

INDIA
Under Article 23. Prohibition of traffic in human beings and forced labour - Traffic in human beings and begar and
other similar forms of forced labour are prohibited and any contravention of this provision shall be an offence
punishable in accordance with law. Nothing in this article shall prevent the State from imposing compulsory service
for public purposes, and in imposing such service the State shall not make any discrimination on grounds only on
religion, race, caste or class or any of them.
Under Article 42. Provision for just and humane conditions of work and maternity relief - The State shall
make provision for securing just and humane conditions of work and for maternity relief.

Under Article 43. Living wage, etc. for workers - The State shall endeavour to secure, by suitable legislation
or economic organization or in any other way, to all workers, agricultural, industrial or otherwise, work and
living wage, conditions of work ensuring a decent standard of life and full enjoyment of leisure and social
and cultural opportunities and, in particular the State shall endeavour to promote cottage industrial on an
individual or co-operative basis in rural areas.

Indian Penal Code: •

Under Section 374. Unlawful compulsory labour - Whoever unlawfully compels any person to labour against the will
of that person, shall be punishable with imprisonment of either description for a term which may extend to one year,
or with fine, or with both.

Children (Pledging of Labour) Act, 1933:

Children (Pledging of Labour) Act, 1933 says that unless there is something repugnant in the subject or context – “an
agreement of pledging the labour of child” means an agreement written or oral, express or implied, whereby the parent
or guardian of a child, in return for any payment or benefit received or to be received by him, undertakes to cause or
allow the services of the child to be utilized in any employment.
It also says that “Whoever, being the parent or guardian of a child, makes an agreement to pledge the labour of that
child, shall be punished with fine which may extend up to fifty rupees”.

Commentary on The Bonded Labour System (Abolition) Act, 1976

 On commencement of this Act the bonded labour system shall stand abolished and every bonded labourer
shall stand freed and discharged free from any obligation. No person shall- (a) make any advance under, or
in pursuance of, the bonded labour system, or (b) Compel any person to render any bonded labour or other
form of forced labour.to render bonded labour. Section 4
 Any custom, agreement or other instrument by virtue of which a person is required to render any service as
bonded labour shall be void and inoperative Section 5.
 Liability to repay bonded debt shall be deemed to have been extinguished. In this chapter III, the law frees
any bonded labourer from the liability to repay bonded debt. Section 6.1. ; every obligation of a bonded
labourer to repay any bonded debt, or such part of any bonded debt unsatisfied immediately before such
commencement, shall be deemed to have been extinguished. Section 6.2. : After the commencement of this
Act, no suit or other proceedings shall lie in any civil or before any other authority for the recovery of any
bonded debt or any part thereof.
 Section 9.1., 9.2. and 9.3. : (1) No creditor shall accept any payment against any bonded debt which has
been extinguished or deemed to have been extinguished or fully satisfied by virtue of the provisions of this
Act. (2) Whoever contravenes the provisions of sub-section shall be punishable with imprisonment for a
term which may extend to three years and also with fine. (3) The court, convicting any person under sub-
section may, in addition to the penalties which may be imposed under that sub- section, direct the person to
deposit, in court; the amount accepted in contravention of the provisions of sub-section, within such period
as may be specified in the order for being refunded to the bonded labourer.
 Property of the bonded labourer to be freed from mortgage etc.- Section 8 If, after the commencement of
this Act, any such person is evicted by the creditor from any homestead or other residential premises, referred
to in sub-section, the Executive Magistrate in charge of the Sub-Division within which such homestead or
residential premises is situated shall, as practicable, restore the bonded labourer to the possession of such
homestead or other residential premises.
 Freed bonded labourers shall not be evicted from homesteads or other residential premises which he was
occupying as part of consideration for the bonded labour. • Freed bonded labourer not to be evicted from
homestead : Section 8.1. and 8.2. : No person who has been freed and discharged under this Act from any
obligation to render any bonded labour, shall be evicted from any homestead or other residential premises
which he was occupying immediately before the commencement of this Act as part of the consideration for
the bonded labour
 Section 10 - District Magistrates have been entrusted with certain duties and responsibilities for
implementing the provision of this Act. • Authorities who may be specified for implementing the provisions
of this Act : The State Government may confer such powers and impose such duties on a District Magistrate
as may be necessary to ensure that the provisions of this Act are properly carried out and the District
Magistrate may specify the officer, subordinate to him, who shall exercise all or any of the powers, and
perform all or any of the duties, so conferred or imposed and the local limits within which such powers or
duties shall be carried out by the officer so specified.

 Section 16- Punishment for enforcement of bonded labour : - Whoever compels any person to
render any bonded labour shall be punishable with imprisonment for a term which may extend to
three years and also with fine which may extend to two thousand rupees.
 Section 17. Whoever advances any bonded debt shall be punishable with imprisonment for a term
which may extend to three years and also with fine which may extend to two thousand rupees. –
 Section 18- Whoever enforces any custom, tradition, contract, agreement or other instrument, by
virtue of which any person or any member of the family of such person or any dependent of such
person is required to render any service under the bonded labour system, shall be punishable with
imprisonment for a term which may extend to three years and also with fine which may extend to
two thousand rupees; and, out of the fine, if recovered, payment shall be made to the bonded
labourer at the rate of rupees five for each day for which the bonded labour was extracted from
him.
 Section 19- Whoever, being required by this Act to restore any property to the possession of any
bonded labourer, omits or fails to do so, within a period of thirty days from the commencement of
this Act, shall be punishable with imprisonment for a term which may extend to one year, or with
fine which may extend to one thousand rupees, or with both; and, out of the fine, if recovered,
payment shall be made to the bonded labourer at the rate of rupees five for each day during which
possession of the property was not restored to him.
  Section 20- Whoever abets any offence punishable under this Act shall, whether or not the offence
abetted is committed, be punishable with the same punishment as is provided for the offence which
has been abetted.

 Powers of Judicial Magistrates are required to be conferred on Executive Magistrates for trial of offences
under this Act. Offences under this Act may be tried summarily.-21
 Every offence under this Act shall be cognizable and bailable. -22

 Vigilance committees are required to be constituted at district and sub-divisional levels.-13

The functions of each Vigilance Committee shall be,- 14

(a) to advise the District Magistrate as to the efforts made, and action taken, to ensure that the provisions of
this Act or of any rule made there under are properly implemented.
(b) to provide for the economic and social rehabilitation of the freed bonded labourers;
(c) to co-ordinate the functions of rural banks and co-operative societies with a view to canalising adequate
credit to the freed bonded labourer;
(d) to keep an eye on the number of offence of which cognizance has been taken under this Act; (e) to make
a survey as to whether there is any offence of which cognizance ought to be taken under this Act; (f) to
defend any suit instituted against a freed bonded labourer or a member of his family or any other person
dependent on him for the recovery of the whole or part of any bonded debt or any other debt which is claimed
by such person to be bonded debt. A Vigilance Committee may authorise one of its members to defend a
suit against a freed labourer and the member so authorised shall be deemed, for the purpose of such suit, to
be the authorised agent of the freed bonded labourer.

1.3. The Scheduled Castes and Scheduled Tribes (Prevention of Atrocities) Act, 1989 This law also prohibits
forced labour and statesc“Whoever, not being a member of a Scheduled Caste or a Scheduled Tribe, compels
or entices a member of a Scheduled Caste or a Scheduled Tribe to do 'begar' or other similar forms of forced
or bonded labour other than any compulsory service for public purposes imposed by Government, shall be
punishable with imprisonment for a term which shall not be less than six months but which may extend to
five years and with fine.” “An offence committed under the Act shall be investigated by a police officer not
below the rank of a Deputy Superintendent of Police” who shall be appointed “taking into account his past
experience, sense of ability and justice”.

International Law on Bonded Labour Applicable in India

i. Convention on the Suppression of Slave Trade and Slavery, 1926

This convention requires signatories to “prevent and suppress the slave trade” and “to bring about, progressively and
as soon as possible, the complete abolition of slavery in all its forms.” It also obligates parties to “take all necessary
measures to prevent compulsory or forced labor from developing into conditions analogous to slavery”.

ii. Universal Declaration of Human Rights —On December 10, 1948, the General Assembly of the United
Nations adopted and proclaimed the Universal Declaration of Human Rights. Article 4 says: “No one shall
be held in slavery or servitude; slavery and slave trade shall be prohibited in all their forms.”

iii. Supplementary Convention on the Abolition of Slavery, the Slave Trade, and Institutions and Practices
Similar to Slavery, 1956 - The supplementary convention on slavery offers further clarification of prohibited
practices and refers specifically to debt bondage and child servitude as institutions similar to slavery.

iv. International Covenant on Civil and Political Rights (I.C.C.P.R.), 1966

Article 8 of the I.C.C.P.R. prohibits slavery and the slave trade in all their forms, servitude, and forced or compulsory
labor. Article 24 entitles all children to “the right to such measures of protection as are required by his status as a
minor, on the part of his family, society and the State.”

v. International Covenant on Economic, Social and Cultural Rights (I.C.E.S.C.R.), 1966

Article 7 of the I.C.E.S.C.R. provides that States Parties shall “recognize the right of everyone to the
enjoyment of just and favourable conditions of work.”
Article 10 requires Parties to protect “children and young persons... from economic and social exploitation”.

vi. Convention on the Rights of the Child, 1989

Article 32: “States Parties recognize the right of the child to be protected from economic exploitation and from
performing any work that is likely to be hazardous or... be harmful to the child’s health or physical, mental, spiritual,
moral or social development. States are directed to implement and ensure these protections.

International Labour Organization (I.L.O.) Conventions- govt. also ratified it

There are two I.L.O. Conventions,
a. Convention No. 29 concerning Forced or Compulsory Labour (1930) and
b. Convention No. 105 concerning Abolition of Forced Labour (1957).

Convention No. 29 cast an obligation on the Members of the I.L.O. which ratifies this Convention to suppress the use
of forced or compulsory labour in all its form within the shortest possible period. For the purpose of this Convention,
the term “forced or compulsory labour” means all work or service which is exacted from any person under the menace
of any penalty and for which the said person has not offered himself voluntarily.

Under Convention 105, each Member of the I.L.O. which ratifies this Convention is required to suppress and not to
make use of any form of forced or compulsory labour-

 as a means of political coercion or education or as a punishment for holding or expressing political views or
views ideologically opposed to the established political, social or economic system;
 as a method mobilizing and using labour for purposes of economic development;
 as a means of labour discipline;
 as punishment for having participated in strike;
 as a means of racial, social, national or religious discrimination.

National Human Rights Commission on Bonded Labor 4

The NHRC has been focusing on States where bonded labor is prevalent, it took stock of the situation and the following
charter of activities has been taken up by the Commission on the issue of Bonded Labor:
a. Constitution of Core Group on Bonded Labor: A Core Group on Bonded Labor has been constituted by the
Commission who will advise in chalking out and suggesting strategies to the State/Central Government for
elimination of bonded labor in the country.
b. Organized a National Level Seminar: The Commission organized a National level Seminar on elimination of
bonded labor system on 30/9/2011 at IIC, New Delhi. The Officers from State Government/UTs participated
in the seminar.
c. Workshops conducted in Bonded Labor prone States: The Commission altogether has organized five
Workshops on Elimination of Bonded and Child Labor system. These have been organized in collaboration
with the State Governments to sensitize District Magistrates, Sub Divisional Magistrates, SSPs and officers
from the Labor Department.
d. Recommending States to constitute a State Level Monitoring and Coordination Committees under the
chairmanship of Chief Secretary with Secretaries to Government of various departments as Members. The
committee will also convene meetings to take stock of bonded labor situation in their States and will apprise
the Commission every six months.

4
https://www.ijccr.com/January2014/3.pdf
 e. Development of an instructional manual on Bonded Labor: As of now, the Commission has brought out a
booklet under the Know your rights series on Bonded Labor which is being disseminated to all concerned.
f. Review existing schemes of the Central and State Governments on Bonded Labor: The Commission has
taken up the issue with the Ministry of Labor and Employment. It has conveyed that they have adopted an
integrated convergence based approach to prevent bonded labor with the help of ILO.
g. Recommendation to State Government for organizing orientation training programme in each bonded labor
prone district: The Commission has written to all the Chief Secretaries of the State Government /UTs for
organizing orientation training programmes for DMs/DSMs/SSPs and also for the field functionaries of labor
law enforcement.

Judical Activism in relation to the eradication of bonded labour

 People's Union for democratic Rights and others vs Union of India 5 and others Dated 11 May 1982,
this decision was the outcome of Writ Petition No. 8143 of 1981, D/18-9- 1982 in a matter better known
under the name of the “Asiad Workers Case”. The first fundamental aspect of this case concerned a
procedural matter, the Public Litigation Interest. The judge, Justice Bhagwati, noted that “considering
the particular socio-economic conditions and the poverty of India where illiteracy and ignorance
prevent access to justice, it would amount to closing the gates of justice in the face of the poor and the
most vulnerable members of society if the traditional common law rules where only the victim may
take action were followed; […] it is therefore necessary for the traditional rules to evolve so that justice
may be equally accessible to the poorest. […] When a person or a group of person are the victims of
an injustice in the eyes of the law and as a result of ignorance and poverty they are unable to take legal
action, then any member [of civil society} may do it in his name by addressing a letter to the Court”.

 In Neerja Choudhary v. State of MP6, the main issue in this case related to the effective rehabilitation of the
released bonded labourers. The petitioners alleged that even after a lapse of a long time 135 labourers of the
Faridabad stone quarries were not rehabilitated. They further alleged that it was the obligation on the part of
the state government to rehabilitate the bonded labourers according to the provisions of the
Bonded Labour System (Abolition) Act 1976 and it is the fundamental right of the bonded labourers under
article 21 of the constitution. The petitioners therefore prayed for a direction to the state government to take
steps for the economic and social rehabilitation of the labourers who were released from the shackles of
bondage. The SC said that the plainest requirement of article 21, 23 that the bonded labourers must be
identified and released and on release, they must be suitably rehabilitated.

 In Sanjit Ray v. State of Rajasthan,7 the SC restricted the state from extracting labour by paying less than
the minimum wages in the name of public utility services, considering such amounts to forced labour and is
violative of article 23 of the constitution. Therefore, labour must be compensated with wages even when they
are under law compelled to render service in the larger public interest.

 In Bandhua Mukti Morcha v. Union of India,8 the main issue concerned the existence of bonded labour in
the Faridabad stone quarries near the city of Delhi. It was alleged that majority of the workers were compelled
to migrate from other states, and turned into bonded labourers. The workers were living in sub-human and
miserable conditions. A violation of various labour laws and the Bonded Labour System (Abolition) Act
1976 was alleged. The SC stated that before a bonded labour can be regarded as a bonded labourer, he must
not only be forced to provide labour to the employer but he must have also received an advance or other
economic consideration from the employer, unless he is made to provide forced labour in pursuance of any
custom or social obligation or by reason of his birth in any particular caste or community.

5 1982
6
AIR 1984 S.C. 1099
7
1983 AIR 328
8
AIR 1984 S.C. 802
The stand in the Asiad case9 was reiterated that the state is under a constitutional obligation to see that there is no
violation of any fundamental rights of person, particularly when he belongs to the weaker section of the community
and is unable to wage a legal battle against a strong and powerful opponent who is exploiting him.

 In P. Sivaswamy v. State of A.P,10 the courts found that the rehabilitation money payable under the
Bonded Labour System (Abolition) Act, 1976 came down to Rs. 738/- per family. The Court observed that
the assistance was certainly inadequate for rehabilitation and unless there was effective rehabilitation the
purpose of the Act would not be fulfilled.

 In Balram and others v. State of M.P.,11 The court directed that the Additional Collector and such, other
officers who have been assigned the responsibility of supervising rehabilitation to ensure that the full amount
intended for the freed labourers reaches them. Therefore, all such persons who were willing to have an
account opened in their respective names for facilitating credit of the amount in such account shall have
accounts opened and the money shall be credited in such accounts.

 In Bandhua Mukti Morcha v. Union of India and others,12 the main issue involved was whether the
employment of the children below the age of 14 years was violative of Article 24 and whether the omission
on the part of the State to provide welfare facilities and opportunities deprives them of the constitutional
mandates contained in Articles 45, 39(e) and (f), 21, 14 etc.?The Supreme Court while dealing with the issue
held that while exploitation of the child must be progressively banned, other simultaneous alternatives to the
child should be evolved including providing education, health care, nutrient food, shelter and other means of
livelihood with self-respect and dignity of person. Therefore the Court ordered the Government of India to
convene a meeting of the concerned Ministers of the respective State Governments and their Principal
Secretaries holding concerned Departments, to evolve the principles and policies for progressive elimination
of employment of the children below the age of 14 years in all employments governed by the respective
enactments mentioned in M.C. Mehta's case13

 Santhal Pargana Antyodaya Ashram Versus State of Bihar and Others 14

The Collector should issue a release certificate to each of the persons so released. Each of the released bonded
labourers shall be paid a sum of Rs.3000-00 by way of interim relief. The released bonded labourers must be
rehabilitated by the State government on a permanent basis. Implementation of the rehabilitation programme should
not wait on account of the pendency of the present proceeding in the apex Court.

Suggestions
 The Indian government should recognise the scale of the bonded labour phenomenon in its territory and take
urgent necessary measures to eradicate it as it has undertaken to do in ratifying Convention 29 of the ILO.
 The government should ensure that all cases of bonded labour that are reported to the competent authorities
are appropriately investigated and followed up whenever the situation of bonded labour requires the
immediate liberation of the bonded labourers identified.
 Where bonded labourers are liberated, the government should ensure that the process of rehabilitation is
immediately launched and that the bonded labourers receive a minimum sum of 20,000 rupees, and have
access to psychological and appropriate institutional follow up as well as to other existing programmes
targeting marginalised communities. Freed labourers should also have a choice of the programme that best
suits them.
 he government should do everything it can to make the work of the voluntary NGOs more effective in the
process of identification, liberation and rehabilitation of bonded labourers

9
AIR 1982 S.C. 1473
10
AIR 1988 S.C. 1863
11
AIR 1990 S.C. 44.
12
AIR 1997 S.C. 2218.
13 1997 AIR S.C.W. 407.
14
1987 (Supplementary) Supreme Court cases 141
 Fund
In order to assist the State Governments in the task of rehabilitation of identified and released bonded labourers, a
Centrally Sponsored Plan Scheme for Rehabilitation of Bonded Labour was in operation since May, 1978. The
Government has revamped the Rehabilitation of Bonded Labourers scheme from 17th May, 2016. The revamped
scheme is known as the ‘Central Sector Scheme for Rehabilitation of Bonded Labourers, 2016’.
Salient Features
 The scheme is a Central Sector Scheme and the State Government is not required to pay any contribution for the
purpose of cash rehabilitation assistance.
 Financial assistance has been increased from Rs. 20,000/- to one lakh per adult male beneficiary, Rs. 2 lakh for
special category beneficiaries such as children including orphans or those rescued from organized & forced
begging rings or other forms of forced child labour, and women and Rs. 3 lakh in cases of bonded or forced
labour involving extreme cases of deprivation or marginalization such as trans-genders, or woman or children
rescued from ostensible sexual exploitation such as brothels, massage parlours, placement agencies etc., or
trafficking, or in cases of differently abled persons, or in situations where the District Magistrate deems fit.
 The amount of assistance for survey of bonded labourers is Rs. 4.50 lakh per district.
 Scheme provides for creation of a Bonded Labour Rehabilitation Fund at District level by each State with a
permanent corpus of at least Rs. 10 lakh at the disposal of the District Magistrate for extending immediate help to
the released bonded labourers.
 The budget allocation available under the Scheme for the current financial year is Rs. three crore. Every bonded
labour including child bonded labour in the country is covered under the Scheme.
In case of migrant bonded labourers, it is responsibility of the State Governments/Union Territory Administrations,
where the bonded labour have been identified, to make arrangements for their repatriation to their native place, if they
so desire.