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Labor Ledger dApp Overview

Labor Ledger is a decentralized application designed to create, manage, and monitor fair working conditions through smart contracts. It combines multiple components to ensure transparent, verifiable, and equitable work arrangements while protecting worker rights and enabling efficient dispute resolution.

---
title: Labor Ledger System Flow
---
flowchart TD
    %% Entry Points at same level
    EMP[Employer]
    WRK[Worker]
    
    %% Landing Pages at same level
    EL[Employer Landing]
    WL[Worker Landing]
    
    %% Connect top levels
    EMP --> EL
    WRK --> WL
    
    %% Main Flow - Contract Creation First
    EL --> |Create| CF[Contract Factory]
    CF --> |Configure| REQ[Requirements<br/>- Payment Structure<br/>- Compliance Rules<br/>- Work Verification]
    CF --> |Deploy| JP[Job Posting]
    
    %% Worker Application Flow - Direct to Job Posting
    WL --> |View & Apply| JP
    
    %% Rest of flow
    JP --> |Screen| APP[Application<br/>- Check Reputation<br/>- Verify Compliance]
    APP --> |Accept| CON[Work Contract]
    
    %% Contract Lifecycle
    CON --> |Deploy| ESC[Escrow System]
    CON --> |Execute| WORK[Work Period]
    
    %% Monitoring Systems
    WORK --> |Verify| ORC[Oracle Network<br/>GPS/Image/Weight/Time]
    WORK --> |Monitor| CMP[Compliance System]
    WORK --> |Collect| SUR[Survey System]
    
    %% Resolution Paths
    WORK --> |If Dispute| DIS[Dispute Resolution<br/>- Arbitration<br/>- Grievance System]
    WORK --> |If Complete| PAY[Payment Release]
    
    %% DAO Oversight
    DAO[Worker/Employer DAOs] --> |Govern| DIS
    DAO --> |Monitor| CMP
    
    %% Completion
    PAY --> |Update| REP[Reputation System]

    %% Styling
    classDef user fill:#4a69bd,stroke:#333,stroke-width:4px,color:#fff
    classDef primary fill:#dfd,stroke:#333,color:#000
    classDef system fill:#e6e6ff,stroke:#333,color:#000
    classDef process fill:#fff,stroke:#333,color:#000
    
    class EMP,WRK user
    class JP,CON,WORK primary
    class CF,ESC,ORC,CMP,SUR,DIS,DAO system
    class EL,WL,APP,PAY,REP process
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Core Components

Work Contracts

At the heart of the system is the WorkContract, which manages the relationship between workers and employers. Each contract integrates with various modules to handle:

  • Payments and escrow
  • Work verification
  • Grievance handling
  • Compliance monitoring
  • Survey management
  • Reputation tracking

Contract Factory

The WorkAgreementFactory serves as the main entry point for contract creation, providing:

  • Template management for different work types
  • Compliance requirement configuration
  • Dispute settings management
  • Stakeholder validation
  • Initial deposit handling

Decentralized Autonomous Organizations (DAOs)

The system features two complementary DAOs:

WorkerDAO

  • Serves as a mutual aid society for workers
  • Manages welfare fund and benefits
  • Provides tiered membership (BASIC → ACTIVE → CORE → ELDER)
  • Participates in dispute resolution
  • Monitors compliance standards

EmployerDAO

  • Focuses on arbitrator selection
  • Maintains employer representation
  • Conducts regular arbitrator elections
  • Participates in compliance setting
  • Manages employer reputation standards

Reputation System

The reputation registry provides comprehensive scoring with:

  • Multiple scoring factors (completion, timeliness, quality, etc.)
  • Stake-based reputation weighting
  • Privacy controls for sensitive data
  • Score decay over time
  • Recovery mechanisms for low scores
  • Appeal process for disputed ratings
  • Minimum thresholds for contract participation

Grievance System

The grievance registry provides:

  • Secure and private reporting channels
  • Multi-stage resolution tracking (PENDING → IN_MEDIATION → RESOLVED/ESCALATED)
  • Anonymous reporting options
  • Evidence management
  • Integration with arbitration
  • AI-assisted resolution preparation

Compliance System

Monitors and enforces:

  • Working hours and overtime
  • Minimum wage requirements
  • Rest period enforcement
  • Age verification
  • Insurance requirements
  • Safety certifications
  • Regular auditing
  • Violation reporting

Oracle Network

The system employs multiple oracle types:

  • GPSOracle: Validates location and attendance
  • ImageOracle: Processes visual evidence
  • WeightOracle: Verifies quantity-based work
  • TimeClockOracle: Manages time-based verification
  • MultiOracle: Combines multiple verification methods

Payment Structures

Supports multiple payment models:

  • TimeBasedPayment: Hourly/shift-based work
  • PieceRatePayment: Unit-based compensation
  • MilestonePayment: Project-based deliverables
  • CustomPayment: Hybrid payment structures
  • Escrow management for payment security
  • Dispute-triggered payment holds

Survey Mechanism

Integrated survey system featuring:

  • Industry-specific questionnaires
  • Random question selection
  • Privacy-preserving feedback collection
  • Compliance monitoring
  • Working condition assessment
  • Anonymous reporting options

Integration Layer

Interfaces

The system implements comprehensive interfaces:

  • IWorkerDAO & IEmployerDAO: DAO interactions
  • IOracle: Work verification
  • IPaymentStructure: Payment handling
  • IGrievanceRegistry: Grievance management
  • ICompliance: Compliance monitoring
  • IReputation: Reputation tracking
  • IArbitration: Dispute resolution
  • ISurvey: Feedback collection

Security Features

  • Role-based access control
  • Stake requirements
  • Privacy controls
  • Reentrancy protection
  • Secure fund management
  • Evidence verification
  • Proof validation

System Interaction

The workflow involves:

  1. Template Selection & Contract Creation
  2. Stakeholder Validation & Initial Setup
  3. Work Recording & Verification
  4. Payment Processing & Escrow
  5. Compliance Monitoring & Reporting
  6. Grievance Handling & Resolution
  7. Reputation Updates & Maintenance
  8. Survey Collection & Analysis

The modular design enables:

  • Flexible verification methods
  • Customizable payment structures
  • Democratic governance
  • Protected worker rights
  • Systematic monitoring
  • Efficient dispute resolution
  • Privacy-preserving feedback
  • Comprehensive compliance tracking

This comprehensive system creates a framework for fair work arrangements while maintaining transparency, protecting worker rights, and enabling efficient dispute resolution.

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