Industrial disputes Act is formed to resolves the differences between employer and employee for the matter related employment conditions.

1. INDUSTRIAL DISPUTES ACT,
1947

2. DEFINITIONS
• Sec- 2(k) "industrial dispute" means any
dispute or difference between
–employers and employers, or
– between employers and workmen, or
– between workmen and workmen, which is
connected with the employment or non-
employment or the terms of employment
or with the conditions of labour, of any
persons;

3. • Sec-2(j) "industry" means any business, trade,
undertaking, manufacture or calling of
employees and includes any calling, service,
employment, handicraft, or industrial
occupation or avocation of workmen;

4. • Strike, collective refusal by employees
to work under the conditions required by
employers. Strikes arise for a number of
reasons, though principally in response to
economic conditions (defined as an economic
strike and meant to improve wages and
benefits) or labour practices (intended to
improve work conditions).

6. STRIKES
• Sympathetic Strikes
• General Strikes
• Unofficial Strikes
• Sectional Strikes
• Sit down Strikes (Also called Stay-In, Tool-
Down, Pen-Down Strike)
• Slow Down strike
• Hunger Strike

8. • Sec- 2 (kkk) lay-off means the failure, refusal or
inability of an employer on account of the
shortage of coal, power or raw materials or the
accumulation of stocks or the breakdown of
machinery or natural calamity or for any other
unconnected reason to give employment to a
workman whose name is borne on the muster
rolls of his industrial establishment and who has
not been retrenched.

9. • Sec-2(l) Lock-out means “the temporary closing
of a place of employment or the suspension of
work, or the refusal by an employer to continue
to employ any number of persons employed by
him“
• lockout is often used by the employer as a
weapon in his armoury to compel the employees
to accept his proposals
• In case of lay off the employer
may be liable to pay
compensation whereas in case of
lock out there is no
such liability.

10. • Gherao:
It is a Hindi word which means to surround. The
term ‘Gherao’ denotes a collective action
initiated by a group of workers under which
members of the management of an industrial
establishment are prohibited from leaving the
business or residential premises by the workers
who block their exit through human barricade.

11. • Section 2(s) shows that workman means any
person employed to do any manual, unskilled,
skilled, technical, operational, clerical or
supervisory work for hire or reward and
includes even dismissed, discharged or
retrenched workmen.

12. • Sec-2(cc) “Closure” means the permanent closing
down of a place of employment or part thereof;
• “Retrenchment” means the termination by the
employer of the service of a workman for any
reason whatsoever, otherwise than as a
punishment inflicted by way of disciplinary
action, but does not include-
(a) Voluntary retirement of the workman; or
(b) Retirement of the workman on reaching the age
(c) Termination of the service of a workman on the
ground of continued ill-health;

13. • Misconduct has not been defined either in Industrial
Disputes Act, 1947 or in Industrial Employment (Standing
Orders) Act 1946.Oxford Advanced
Learner's Dictionary gives the meaning of misconduct as
unacceptable behaviour, especially by a professional
person.
The following shall denote misconduct:
(a) Theft, fraud, or dishonesty in connection with the
employer’s business or property.
(b) Taking or giving of bribes or an illegal gratification
whatsoever in connection with the employer’s business or
in his own interests.
(c) Willful insubordination or disobedience, whether along or
in conjunction with another or others, or of any lawful or
reasonable order of a superior. The order of the superior
should normally be in writing.
(d) Habitual late attendance and habitual absence without
leave or without sufficient cause.

14. (e) Drunkenness, fighting or riotous, disorderly or
indecent behavior while on duty at the place of work.
(f) Habitual neglect of work.
(g) Habitual indiscipline.
(h) Smoking underground or within the mine area in
places, where it is prohibited.
(i) Causing willful damage to work in progress or to
property of the employer.
(j) Sleeping on duty.
(k) slowing down work.
(l) Acceptance of gift from subordinate employees.
(m) Conviction in any court of law for any criminal
offence involving moral turpitude.
(n) Continuous absence without permission and without
satisfactory cause for more than ten days.

15. (o) Giving false information regarding one’s
name, age, father’s name, qualification or
previous service at the time of the
employment.
(p) Leaving work without permission or
sufficient reason.
(q) Any breach of the Mines Act, 1952, or any
other Act or any rules, regulations or bye-laws
thereunder, or of any standing orders.
(r) Threatening, abusing, or assaulting any
superior or co-worker.
(s) Habitual money lending.
(t) Preaching of or inciting to violence.

16. (u) Going on illegal strike either singly or with
other workers without giving 14 days’
previous notice.
(v) Disclosing to any unauthorized person of
any confidential information in regard to the
working or process of the establishment which
may come into the possession of the workman
in the course of his work.
(w) Refusal to accept any charge sheet or order
or notice communicated in writing.
(x) Failure or refusal to wear or use any
protective equipment given by the employers

17. Causes of Industrial Disputes:
Economic causes include:
(i) Wages,
(ii) Bonus,
(iii) Dearness allowance,
(iv) Conditions of work and employment,
(v) Working hours,
(vi) Leave and holidays with pay, and
(vii) Unjust dismissals or retrenchments.

18. Non-economic causes include:
(i) Recognition of trade unions,
(ii) Victimisation of workers,
(iii) Ill-treatment by supervisory staff,
(iv) Sympathetic strikes,
(v) Political causes, etc.
(vi) Miscellaneous Causes

19. Effects of Industrial disputes
• Economical Loss:
– Low/Shut down of production
– Difficult to recover fixed cost
– Goods may destroy
– Loss of payment by worker
• Social Loss
– Spoil of reputation in market
– Cancellation of new/old contract, spoil future
appointments
• Political Loss
– Loss of credibility
– Difficulty in recruitments

20. Industrial Disputes Settlement
Machinery
• Conciliation: representative of workers and
employers are brought together before a
group of person to persuade them to come to
a mutually satisfying agreement.
• Voluntary Arbitration: the conflicting parties
voluntarily refer it to a third party, arbitrator
appointed by the parties itself.
• Adjudication: ultimate remedy for the
settlement of disputes in India. The third party
is appointed by the government.

21. • Labor Relations : The activities managers engage
in to ensure they have effective working
relationships with the labor unions that represent
their employees interests.
• Unions : Represent worker’s interests to
management in organizations. • The power that a
manager has over an individual worker causes
workers to join together in unions to try to
prevent this.
• Collective bargaining : Negotiation between
labor and management to resolve conflicts and
disputes about issues such as working hours,
wages, benefits, working conditions, and job
security.

22. KINDS OF PUNISHMENTS
• The standing orders may specify various form
of punishment for misconduct. Depending
upon the gravity of the misconduct, the past
record of the employees and the judgment of
the management, the appropriate punishment
is awarded.

23. Minor Penalties:
This punishment is generally given for some minor offences.
Oral Reprimand: An oral statement by the supervisor to a
subordinate employee, usually pointing out an
unsatisfactory element of job performance, and is intended
to be corrective or cautionary.
– An oral reprimand informally defines the area of needed
improvement, sets up goals for the achievement of
improvement, and informs the employee that failure to improve
may result in more serious action. The oral reprimand shall,
when reasonably possible, be delivered confidentially and not in
the presence of other persons.
– The supervisor will record the date and content of the oral
reprimand, but no record shall be placed in the employee’s
personnel file.
– The employee receiving an oral reprimand shall be given the
opportunity, at the time of the reprimand, to voice objections to
the reprimand and/or offer evidence in mitigation of the actions
leading to the reprimand.

24. • Written Reprimand:This is the first level of
formal discipline. The written reprimand is issued
by the supervisor with approval of the
department head and copies are sent to the city
manager and director. The director’s copy shall be
placed in the employee’s personnel file.
• Loss of Privileges: For such offences as tardiness
or leaving work without permission, the
employee may be put to loss of various privileges
such as good job assignments, right to select
machine or other equipment and freedom of
movement about the workplace or company.

25. • Fines: Means a deduction from the
remuneration of the “employee by way of
punishment.
• Suspension : Suspension is a temporary
cessation of the right to work. It means
prohibiting an employee from performing the
normal duties assigned to him and
withholding wages for the period of
prohibition. During this period the con-tract of
employment between the employer and
employee is said to be suspended.

26. Major Punishments
• Withholding of Increments: Withholding of
annual increment of an employee in a graded
scale is a major punishment. The cumulative
effect of losing an increment is considerable.
• Demotion: Demotion implies condemnation of
the employee as being unfit for the position
occupied by him. It should not be used as a
penalty if the employee is properly qualified for
the present assignment. Demotion should be
used only in a case where an employee does not
meet present job requirement.

27. • Discharge: The term ‘discharge’ is used to
denote removal of an employee from service
by way of punishment. But no stigma is
attached to the expression “discharge”. Hence,
it is not a disqualification for future
employment.
• Dismissal: Also referred to as industrial capital
punishment, dismissal is the ultimate penalty,
which is rarely resorted to nowadays. There is
a stigma attached to the expression
“dismissal” which makes it a disqualification
for future employment.