Sri Lanka Consolidated Acts

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Motor Transport Act (No. 48 of 1957) - Sect 42

Payments in respect of persons who are or have been employed in connexion with any authorized omnibus transport business. [ 12, 22 of 1961.]

40.
(1) The following provisions shall apply to a person (hereafter in this section referred to as the " qualified employee ") who, having been or being in the employ of the holder of a stage carriage permit for a regular omnibus service on such work as was connected with that omnibus service, has ceased or ceases to be, after April 12, 1956, in the employ of such holder, whether of his own accord or upon the termination of his services by such holder: -
(a) where the qualified employee was a contributor to any provident fund, the administrator or administrators of that fund-
(i) shall, notwithstanding anything to the contrary in the rules of that fund, pay to the Ceylon Transport Board the amount which was to the credit of the individual account of such employee in that fund on the date on which such employee ceased to be an employee of such holder; and
(ii) shall recover any arrears of contribution due to that fund from such employee or from such holder in respect of such employee up to the date of the payment to the Ceylon Transport Board of the amount aforesaid, and any such arrears as are not recovered before that date by such administrator or administrators shall be paid after that date to the Ceylon Transport Board by such employee or such holder, as the case may be;
(b) such holder shall pay to the Ceylon Transport Board, as a gratuity in respect of the service, whether or not under such holder, of such employee in connexion with any authorized omnibus transport business during the whole or any part of the period (hereafter in this section referred to as the " relevant period ") commencing on September 1, 1946, and ending on the date on which such employee ceased to be employed by such holder, a sum which shall be calculated at the prescribed rate:
(c) if the qualified employee was employed, whether or not under such holder, in connexion with any authorized omnibus transport business prior to September 1, 1946, then, such holder shall pay to the Ceylon Transport Board as a gratuity to the qualified employee a sum calculated at the prescribed rate referred to in paragraph (b) of this subsection in respect of the qualified employee's employment in connexion with that business during the period immediately preceding September 1, 1946, so however that the maximum sum payable in respect of that period does not exceed one hundred rupees;
(d) where such holder has already paid to the qualified employee a gratuity in respect of the qualified employee's period of service referred to in paragraph (b) or paragraph (c) of this subsection, then, notwithstanding the provisions of that paragraph,-
(i) if the gratuity already paid is equal to or more than the gratuity payable in respect of such qualified employee under that paragraph, no gratuity under that paragraph shall be paid in respect of such qualified employee, and
(ii) if the gratuity already paid is less than the gratuity payable in respect of the qualified employee under that paragraph, the gratuity payable under that paragraph shall be reduced by the deduction therefrom of the amount of the gratuity already paid;
(e) where such holder is liable to pay any sum to the qualified employee under any such collective agreement affecting such employee and effected under the Industrial Disputes Act as is in operation on the date on which the stage carriage permit of such holder ceases to ' be in force by virtue of any provision of this Act, or under any other agreement or award which is in force on that date and which legally binds such holder and such employee, such holder shall pay that sum to the Ceylon Transport Board;
(f) such holder shall pay to the qualified employee any sums due to the qualified employee as remuneration in respect of his employment with such holder;
(g) such holder shall pay to the Ceylon Transport Board any sum due to the qualified employee in repayment of any security furnished by the qualified employee in respect of his employment with such holder.
(2) Where the Ceylon Transport Board is paid any sum under subsection (1) in respect of a qualified employee, then-
(a) if that sum is so paid to the board under paragraph (a) or paragraph (b) or paragraph (c) or paragraph (e) of that subsection, the board shall, if that employee is not on the staff of the board, pay such sum to the Commissioner of Labour, and, if that employee is on the staff of the board, credit such sum to the individual account of that employee in any provident fund to which that employee is a contributor unless a written request is made to the board by that employee that such sum should be paid to that employee in which case such sum shall be paid to that employee instead of being credited to his individual account in such provident fund; and
(b) if that sum is so paid to the board under paragraph (g) of that subsection, the board shall, if that employee is on the staff of the board and is required by the board to furnish any security in respect of his employment with the board, retain that sum as such security or as part of such security, and, if that employee is on the staff of the board and is not required by the board to furnish any such security, pay such sum to that employee, and, if that employee is not on the staff of the board, transmit that sum to the Commissioner of Labour after deducting therefrom any sums due to the board from that employee.
(3) Where the Commissioner of Labour receives any sum from the Ceylon Transport Board under subsection (2), he shall pay that sum or cause it to be paid to the person entitled to that sum:
(4) For the purposes of this section, the expression " authorized omnibus transport business " means any business connected with the transport of passengers by omnibus carried on under the authority of a road service licence granted under the repealed Omnibus Service Licensing Ordinance, No. 47 of 1942, or under the authority of a stage carriage permit for a regular omnibus service granted under the Motor Traffic Act.
(5) For the purpose of reckoning the relevant period referred to in paragraph (b) of subsection (1), account shall be taken of intermittent periods of service.
(6) The prescribed rate referred to in paragraph (b) of subsection (1) shall,-
(i) in the case of a monthly rated employee, be calculated at one-twenty-fourth of a month's remuneration for each month during which the qualified employee was in service, and
(ii) in the case of an employee who is daily rated at one and one-twenty-fourth of a day's remuneration for each month during which the qualified employee was in service,
(7) The remuneration referred to in the preceding paragraphs (i) and (ii) of subsection (6) shall be the basic salary or wages payable by such holder to the qualified employee immediately before the qualified employee ceased to be in the employ of such holder and shall include the cost of living allowance and the dearness allowance but shall not include any other allowance or any payment for overtime work.


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