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Industrial disputes
1. Industrial disputes
1. What are Industrial Disputes?
Industrial Dispute meansanydispute ordifferencesbetweenemployersandemployersorbetween
employersandworkmenorbetweenworkmenandworkmen,whichisconnectedwiththe employment
or non-employmentorthe termsof employmentorwiththe conditionsof labourof anyperson.
2. What are the differentcategoriesof IndustrialDisputes?
The SecondSchedule of the I.D.Act dealswithmatterswithinthe jurisdictionof LabourCourts,which
fall underthe categoryof RightsDisputes.Suchdisputesare asfollows:
1. The proprietyorlegalityof anorderpassedbyan employerunderthe standingorders;
2. The applicationandinterpretationof standingorders,whichregulate conditionsof employment.
3. Discharge or dismissal of workmenincludingreinstatementof,orgrantof relief to,workmen
wrongfullydismissed;
4. Withdrawal of any customaryconcessionorprivilege;
5. Illegalityorotherwise of astrike orlock-out;and
6. All mattersotherthan those specifiedinthe ThirdSchedule.
The Third Schedule of the I.D.Actdealswithmatterswithinthe jurisdictionof Industrial Tribunalswhich
couldbe classifiedasInterestDisputes.Theseare asfollows: -
1. Wages,includingthe periodandmode of payment;
2. Compensatoryandotherallowances;
3. Hours of workand restintervals;
4. Leave withwagesand holidays;
5. Bonus,profitsharing,providentfundandgratuity;
6. Shiftworkingotherwisethaninaccordance withstandingorders;
7. Classificationbygrades;
8. Rulesof discipline;
9. Rationalization;
10. Retrenchmentof workmenandclosure of establishment;and
11. Anyothermatterthat may be prescribed.
3. Who can raise anIndustrial Dispute?
Anypersonwhoisa workmanemployed inanindustrycanraise an industrial dispute.A workman
2. includesanyperson(includinganapprentice) employedinanindustrytodomanual,unskilled,skilled,
technical,operational,clerical orsupervisoryworkforhire orreward.It excludesthose employedinthe
Army,Navy,AirForce and in the police service,inmanagerial oradministrativecapacity.Industrymeans
any business,trade,undertaking,manufacture orcallingof employersandincludesanycalling,service,
employment,handicraft,orindustrial occupationoravocationof workmen.
4. How to raise an Industrial Dispute?
A workmancan raise a dispute directlybefore aConciliationOfficerinthe case of discharge,dismissal,
retrenchmentoranyform of terminationof service.Inall othercaseslistedat2 above,the dispute has
to be raisedby a Union/ Management.
5. Who are ConciliationOfficersandwhatdotheydo?
The Organizationof the Chief LabourCommissioner(Central) actsasthe primaryconciliatoryagencyin
the Central Governmentforindustrial disputes.There are the RegionalLabourCommissioners(Central)
and AssistantLabourCommissioners(Central) whoonbehalf of the Chief LabourCommissioner(Central)
act as ConciliatoryOfficersindifferentpartsof the country.
The ConciliationOfficermakeseffortstoresolvethe disputethroughsettlementbetweenthe workmen
and the management.The dutiesof ConciliationOfficershave beenlaiddownunderSection12of the
Industrial DisputesAct.
6. What happensif conciliationfails?
In case of failure of conciliation(FOC) areportissentto Government(IRDesksinMinistryof Labour).
The Ministryof Labour afterconsideringthe FOCReportexercisesthe powersavailabletoitunder
Section10 of the Industrial DisputesActand eitherrefersthe dispute foradjudicationorrefusestodo
so.Detailsof functionsof IR Desksandreasonsfordecliningmaybe seenabove.
There are at present17 Central GovernmentIndustrial Tribunals-cum-LabourCourtsindifferentpartsof
the country to whomindustrial disputescouldbe referredforadjudication.These CGITs -cum-Labour
Courtsare at NewDelhi,Mumbai (2CGITs),Bangalore,Kolkata,Asansol,Dhanbad(2CGITs),Jabalpur,
Chandigarh,Kanpur,Jaipur,Lucknow,Nagpur,Hyderabad,Chennai andBhubaneshwar.Outof these
CGITs, 2 CGITs namelyMumbai-IandKolkatahave beendeclaredasNational Industrial Tribunals.
7. What happenswhenthe dispute isreferredtoLabourCourt?
Afterthe matteris referredtoanyof the CGIT-cum-LabourCourt,the adjudicationprocessbegins.At
the endof the proceedingsanAwardisgivenbythe PresidingOfficer.
3. The Ministryof Labour underSection17 of the I.D.Act publishesthe Awardinthe Official Gazette within
a periodof 30 days fromthe date of receiptof the Award.
8. How is the Awardimplemented?
An Awardbecomesenforceableonthe expiryof 30 daysfrom the date of itspublicationinthe Official
Gazette.The Regional LabourCommissioneristhe implementingauthorityof the Awards.
9. What are the provisionsforGeneral Prohibitionof StrikesandLockouts?
No workmanwhoisemployedinanyindustrialestablishmentshall goonstrike inbreachof contract
and no employerof anysuch workmanshall declare alockout:
(a) Duringthe pendencyof conciliationproceedingsbefore aBoardand sevendaysafterthe conclusion
of suchproceedings,
(b) Duringthe pendencyof suchproceedingsbefore aLabourCourt, Tribunal orNational Tribunal and2
monthsafterthe conclusionof suchproceedings.
(c) During the pendencyof arbitrationproceedingsbeforeanArbitratorand2 monthsafterthe
conclusionof suchproceedings,where anotificationhasbeenissued.
(d) Duringany periodinwhicha settlementorAwardisinoperationinrespectof anyof the matters
coveredbythe settlementof Award.
10. Doesthe workmanhave the Rightto go on strike withpropernotice inPublicUtilityServices?
No personemployedinaPublicUtilityService cangoon strike withoutgivingtothe employernotice of
strike;
(a) Within6 weeksbefore striking.
(b) Within14 daysof givingsuchnotice.
(c) Before the expiryof the date of strike specifiedinsuchnotice.
(d) Duringthe pendencyof anyconciliationproceedingsbeforeaConciliationOfficerand7 daysafter
the conclusionof suchproceedings.
11. Doesthe Employerhave the rightto lockout any PublicUtilityService?
No employercarryingonany PublicUtilityservice canlockoutanyof hisworkman:
(i) Withoutgivingtothemnotice of lockoutprovidedwithin6 weeksbefore lockingout.
(ii) Within14 daysof givingsuchnotice.
(iii) Before expiryof the date of lockoutspecifiedinanysuchnotice.
(iv) Duringthe pendencyof anyconciliationproceedingsbefore aConciliationOfficerand7 daysafter
4. the conclusionof suchproceedings.
12. What compensationwill aworkmangetwhenlaidoff?
Wheneveraworkman(otherthana badli workmanor a casual workman) whose name isborne onthe
musterrollsof an industrial establishmentemploying50or more workmenon anaverage workingday
and whohas completednotlessthanone yearof continuousservice underanemployerlaidoff,
whethercontinuouslyorintermittently,he istobe paidby the employerforall daysduringwhichhe is
so laidoff,exceptforsuchweeklyholidaysasmayintervene,compensationwhichshall be equal tofifty
percent of the total of the basicwagesand dearnessallowance thatwouldhave beenpayable tohim
had he not beensolaid-off.
13. What are the conditionsprecedenttoretrenchmentof workmen?
No workmenemployedinanyindustrywhohasbeenincontinuousservicefornotlessthanone year
underan employercanbe retrenchedbythatemployeruntil:
(a) The workmanhasto be givenone month’snotice inwritingindicatingthe reasonsforretrenchment
or the workmanhas to be paidin lieuof suchnotice,wagesforthe periodof the notice.
(b) The workmanhas to be paid,at the time of retrenchment,compensationwhichisequivalentto
fifteendays’average pay(foreverycompletedyearof continuousservice) oranypart thereof inexcess
of six months;and
(c) Notice inthe prescribedmanneristobe servedonthe appropriate Government(orsuchauthorityas
may be specifiedbythe appropriate Governmentbynotificationinthe Official Gazette).
14. What compensationwill the workmangetwhenanundertakingclosesdown?
Where an undertakingiscloseddownforanyreasonwhatsoever,everyworkmanwhohasbeenin
continuousservice fornotlessthanone yearinthat undertakingimmediatelybeforesuchclosure is
entitledtonotice andcompensationinaccordance withthe provisionsasif the workmanhadbeen
retrenched.
Providedthatwhere the undertakingiscloseddownonaccountof unavoidable circumstancesbeyond
the control of the employer,the compensationtobe paidto the workmanisnot to exceedhisaverage
pay forthree months