Industrial Dispute Methods

1. INDUSTRIAL DISPUTE METHODS

2. Methods of Dispute Settlement
Bipartite Negotiation
Conciliation
Arbitration
Strike

3. Bipartite Negotiation Method
Employer &
Collective
Bargaining Agent
Starts the process
(within 15 days)
Must be completed
within 30 days of
first meeting/
further extension
(rare)
Successful
Memorandum of
settlement
If settlement of
dispute failed
request for
conciliation within
15 days from date of
failure

4. Things to remember
Conciliation
• Tripartite negotiation
• Conciliator are appointed by government
through official gazette
• Compulsory in Bangladesh before restoring
industrial action
• Conciliator cannot impose a solution

5. Conciliation
Assisted Collective Bargaining
Conciliator calls
meeting within
10 days
Conciliator
suggests
solution
If settlement
arrived
Memorandum
of settlement
If no settlement
arrived within
30 days
Conciliator
refers dispute
to arbitrator

6. Weakness of Conciliation in
Bangladesh
 Statistical Data
1990-2004: 48.06%
cases of conciliation
failed
 A weak form of
dispute settlement
o Employer’s direct connection
with appointed conciliator/
ruling party
o Bribery
o Incompetence and poor
accountability of conciliator
o Partiality of conciliator
o Absence of mutual respect and
patience
o Unreasonable charter of
demands by CBA
Facts Reasons

7. Arbitration
Agreement of
both
parties
Refer
dispute to
an
arbitrator
Joint written
request to the
agreed
arbitrator
Arbitration
starts
Arbitrator gives
his/her award
within 30 days
of referred
dispute date
Arbitrator
forwards a
copy to
• Both parties
• Government

8. Key note on Arbitration
 Arbitration is a voluntary process
 If the parties do not agree to refer the dispute to an
Arbitrator... Conciliator shall, within three days of the
failure of the conciliation proceedings, give a certificate
thereof to the parties (210. 11 Labour Code, 2006)
 An arbitrator could be a person from government panel or
any other person agreed upon by parties (210.10 Labour
Code, 2006)
 The award of arbitrator is final and no change or appeal will
be granted.

9. Right to Strike
Bipartite Negotiation
failed
Unsuccessful Conciliation
Denial of Arbitration
Strike

10. Legal framework of Strike in
Bangladesh
Legal
Compliance
Membership
Requirement:
Two third
Notice of
Strike
Strike
Commences
Strike
exceeds 30
days:
Prohibited

11. Legal restrictions on
Strike
• During conciliation
No strike notice
• By order/ writing
• lasting more than 30 days
• Even before expiry of 30 days
• (Sec 210.2)
Government may
prohibit strike
• Govt. can prohibit strike even before/ after its
commencement
• By order/writing
• On ground of national interest
• ( Sec 210.4)
Strike in Public
Utility Service
• Prohibited for three years from the date
of its production
strike in foreign
establishment

12. Key note on Strike
 Any strike will be considered an illegal strike if it does
not follow all the mentioned procedures.
 Punishment of an illegal strike includes imprisonment
extendable up to one year with or without fine.

13. Reading
 Labour Law 2006
 Sec 209-214

14. Brainstorming session
Think about the following situation:
 If no dispute settlement arrived through negotiation/
conciliation
 other parties agree not to refer the dispute to arbitrator
 Workers go on strike and it is about to exceed 30 days
 The dispute is not settled yet
what can the collective bargaining agent(CBA) do in this
context?

15. Labour Court
 Any party can apply to the Labour Court for judicial decision of the
matter (Sec 213)
 The labour court gives award within sixty days following the date of
filing the case.
 Labour court gives award/ judgement in writing and forwards
copies to both parties.
 Any party can appeal to the Labour Appellate Tribunal within sixty
days
 The decision of the Labour Appellate Tribunal is final.

16. In-class discussion
 Industrial dispute settlement is not the
ultimate solution to bring harmony in IR
system, rather prevention of industrial dispute
should be prioritised.
 How to prevent industrial dispute in
Bangladesh?

17. Compulsory Study materials
 Bangladesh Labour Code 2006: Section 209-
213 (a must reading)