‘’LEGISLATION RELATING TO INDUSTRIAL DISPUTE.’’

INDUSTRIAL DISPUTE ACT,1947

Object The Preamble of the Act says, ”An act to make provisions for the investigation and settlement of industrial disputes.”

Strike. "strike" means a cessation of work by a body of persons employed in any industry acting in combination, or a concerted refusal, or a refusal under a common under-standing.

Three things 1.combination 2.concerted 3.common understanding

TYPES STAY IN STRIKE a) SIT DOWN b) PEN DOWN c) TOOL DOWN GO SLOW / GO SPEED HUNGER STRIKE LIGHTNING or WILDCAT STRIKE WORK TO RULE GHERAO

LOCK-OUT Sec.2(i) The temporary closing of place of employment or suspension of work or the refusal by an employer to continue to employ any no. of persons employed by him.

LAY-OFF Sec.2(kk) The failure ,refusal or inability of an employer on account of shortage of coal and power or raw materials or the accumulation of stocks or the break down of machinery, or for any other reason to give employment to a workman whose name is in the muster rolls.

CLOSURE Sec.2(cc) closure" means the permanent closing down of a place of employment or part thereof.  

General prohibition of strikes and lock-outs - No workman who is employed in any industrial establishment shall go on strike in breach of contract and no employer of any such workman shall declare a lock-out — [a] during the pendency of conciliation proceedings and seven days after the conclusion of such proceedings; [b] during the pendency of legal proceedings [adjudication],and two months after the conclusion of such proceeding. [c] If govt. prohibits strike

[d] during the pendency of arbitration proceedings before an arbitrator and two months after the conclusion of such proceedings. [e] during any period in which a settlement or award is in operation in respect of any of the matters covered by the settlement or award. Exception-for some other matter they can.

Illegal strikes and lock-outs A lock-out declared in consequence of an illegal strike or a strike declared in consequence of an illegal lock-out shall not be deemed to be illegal.

“Public utility service“ - Any postal, telegraph or telephone service; railway service; any system of public conservancy or sanitation; any industry which supplies power, light or water to the public; any transport service;etc

Cause of Industrial Disputes 1. Economic Cause: These causes may be classified as:  Demand for increase in wages  Demand for higher gratuity and other retirement benefits.  Demand for higher bonus.  Demand for certain allowances= - House rent allowance

-Medical allowance -Night shift allowance -Conveyance allowance -Demand for paid holidays. -Reduction of working hours. -Better working conditions, etc. 2. Political Causes: Various political parties control Trade unions in India. In many cases, their leadership vests in the hands of persons who are more interested in achieving their political interests rather than the interests of the workers.

3. Personnel Causes: Sometimes, industrial disputes arise because of personnel problems like dismissal, retrenchment, layoff, transfer, promotion, etc. 4. Indiscipline: Industrial disputes also take place because of indiscipline and violence on the part of the workforce. The managements to curb indiscipline and violence resort to lock –outs.

5. Misc. causes: Workers' resistance to introduction of new machinery and change of place Non- recognition of trade union Rumors spread out by undesirable elements Working conditions and working methods Lack of proper communication Behavior of supervisors Inter trade union Rivalry etc.

Impact of Industrial Disputes. Interrupted Production. Increase in Industrial Disputes. Low Morale. Mental Deterioration. Increase in Wastage. Bad Industrial Relations.

Resultants of Industrial Peace. Reduces Industrial disputes: Strikes, lock-outs, go slow tactics, gherao and grievances are some of the reflections of industrial unrest which do not spring up in an atmosphere of industrial peace. It helps promoting co-operations and increasing production. 2. High Morale: Good industrial relations improve the morale of the employees. Every worker feels that he is a co-owner of the industry. 3. Mental Revolution: The main object of industrial relations is a complete mental revolution of workers and employers. The industrial peace lies ultimately in a transformed outlook on the part of both.

4. New Programmes: New programmes for workers development are introduced in an atmosphere of peace. It increases the efficiency of workers resulting in higher and better production at lower costs. 5. Reduced Wastage: Wastage of man, material and machines are reduced to the minimum. Thus form the above discussion it is evident that good industrial relations is the basis of higher production with minimum cost and higher profits.

‘’Dispute Settlement Machinery.’’

Types of Industrial Dispute. 1] Interest Disputes 2] Rights Disputes.

Interest disputes relate to determination of new wage level and other condition of employment while rights disputes on the other hand relate to interpretation and application of existing standards and usually involve and individual worker or group of workers. Settlement means a settlement arrived at in the course of conciliation proceeding and included a written agreement between employer and workmen

Methods for Settlement of Industrial Disputes: 1. Collective Bargaining, 2. Negotiation, 3. Conciliation and Mediation, 4. Arbitration, 5. Adjudication .

Collective Bargaining : Collective Bargaining is a technique by which dispute as to conditions of employment, are resolved amicably, by agreement, rather than by coercion. The dispute is settled peacefully and voluntarily, although reluctantly, between labour and management.

Negotiation: Negotiation is one of the principal means of settling labour disputes. However, due to lack of trust between the employers and workmen or their trade unions or inter-rivalry of the trade unions and the employers being in a commanding position, many a time negotiations fail. Under law, it is obligatory for the employers to make provision for Grievance Settlement Authority for settlement of industrial disputes connected with an individual workman employed in an establishment in which 50 or more workmen are employed or have been employed on any day, In the preceding twelve months.

Conciliation. It is a process by which a 3rd party persuades disputants to come to an equitable adjustment of Claims. The ultimate decision is of the disputants themselves.

Conciliation & Mediation: Through conciliation and mediation a third party provides assistance with a view to help the parties to reach an agreement. The conciliator brings the rival parties together discuss with them their differences and assist them in finding out solution to their problems. Mediator on the other hand is more actively involved while assisting the parties to find an amicable settlement. Sometimes he submits his own proposals for settlement of their disputes.

Conciliation may be Voluntary or Compulsory. It is voluntary if the parties are free to make use of the same, while it is compulsory when the parties have to participate irrespective of whether they desire to do so or not. Section 4 of the Act provides for appointment for conciliation officers and Section 5 for constitution of Boards of Conciliation. The Board of conciliation is to consist of an independent Chairman with the duty of mediating and members representing the parties. Delays in conciliation are attributed partly to the excessive work-load on officers and partly to the procedural defects.

Since conciliation officer has no powers of coercion over labour and management , he can only persuade them to climb down and meet each other. Non-appearance and non- participation of the parties in conciliation proceedings poses a serious hindrance in this direction. The representatives sent by the parties to appear before him are generally officer who do not have the power to take decisions or make commitments; they merely carry the suggestion to the concerned authorities on either side.

This dampens the spirit of a Conciliator. Sec 11 of the Act has clothed the Conciliation officers with the power to enter premises occupied by any establishment and also has been invested with the powers of civil court. under the Civil Procedure Code, 1908 when trying a suit for enforcing the attendance of any person and examining him on oath, compelling the production of documents and material objects and issuing commission for examination of witness for the purpose of inquiry in to any existing or apprehended Industrial Dispute.

Moreover, Conciliators most often do not have requisite information on the employers and trade unions, up to date wage/productivity, information and relevant up to date case laws which affect his capability to conciliate effectively . The National commission on labour in this context laid emphasis On The Job training of conciliation officers.

Arbitration. Arbitration is a means of settling an award on a conflict issue by reference to a third party. It is a process in which a dispute is submitted to an impartial outsider who makes a decision which is binding on both the parties. Arbitration is a judicial process.

Section 10-A of the Act, however, provides only for voluntary reference of dispute to Arbitration. This system, however, has not been widely practiced so far. One of the main reasons for not gaining popularly of this procedure is lack of arbitrators who are able to command respect and confidence of the parties to the dispute. Inter Union rivalry also sometimes makes it difficult in arriving at an agreement.

Adjudication: If despite efforts of the Conciliation officer , no settlement is arrived at between employer and the workman, The Industrial Dispute a provides for a Three Tier system of adjudication viz. Labour Courts , Industrial Tribunals and National Tribunals under Section, 7,7A and under Section 7B respectively. Labour Courts have been empowered to decide disputes relating to these matters. These matters are concerned with the rights of workers, or otherwise of a strike or lockout.

Conciliation,Arbitration,Adjudication. When parties engaging in collective bargaining are unable to arrive at a settlement, either party or the government may commence conciliation proceedings before a government appointed conciliation officer whose intervention may produce a settlement, which is then registered in the labour department and becomes binding on all parties. If conciliation fails it is open to the parties to invoke arbitration or for the appropriate government to refer the dispute to adjudication before a labour court or a tribunal whose decision may then be notified as an award of a binding nature on the parties. Disputes may be settled by collective bargaining, conciliation, or compulsory adjudication.