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A.RAJ
ROLL.NO-30017

 It is conflict, clash of ideas, a disagreement between
the any two bodies in an organization etc.
 According to Section 2(k) of the “Industrial
Disputes” Act, 1947, an ‘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 person
DEFINITION

 Industrial factors
 Management attitude to labour
 Government machinery
 Other causes:
Inter/Intra union rivalry
Charter of demands
Work load
Standing orders/rules/service conditions/safety measures
Non-implementation of agreements and awards etc.
Causes of Industrial
disputes

Under this category, some of the causes of dispute may be :
 An industrial matter relating to work, wages, hours of
work, privileges, the rights and obligations of employees
and employers ,terms and conditions of employment.
 An industrial matter in which both the parties are directly
interested.
 Disputes arising out of unemployment, inflation, change
in the attitude of employers and rivalry among unions.
INDUSTRIAL FACTORS

 Management ‘s unwillingness to talk over any dispute
with their employees.
 Managements unwillingness to recognize a particular
trade union ,delegating enough authority to the
representatives etc.
 Unwillingness to negotiation and settlement of disputes.
 Managements insistence to take care of recruitments,
promotion etc. without consulting the concerned
employees
 Managements unwillingness to provide services and
benefits to its employee's
Management Attitude Towards
Labour

 Ineffective and unsatisfactory results due to various
reasons like their irrelevancy in present industrial
climate /culture, incapability of understanding and
answering imperatives of development, improper
and inadequate implementation by many employers.
 The governments conciliation machinery has settled
a very negligible number of disputes .
Government Machinery

 Affiliation of the trade unions with a political party,
where the latter may instigate the trade unions to
conduct strikes, lockouts , gheraos etc.
 Political instability, center- state relations, sometimes
result into industrial conflict.
 Other potential factors like corruption in industry
and public life, easy money etc. can also result into
industrial disputes.
Other Causes

Consequences of
Industrial disputes

 Strike is one of the oldest and the most effective weapons
of labor in its struggle with capital for securing economic
justice.
 Strike has been defined in Section 2 (q) of the Industrial
Disputes Act as—“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 understanding, of any number of persons who
are or have been so employed to continue to work or to
accept employment.”
Two main ingredients of strike are
 Cessation of Work
 Concerted Action
Strikes

 Section 2(1) of the Industrial Disputes Act, 1947 defines “Lock-out”
as the closing of a place of business of employment or the
suspension of work, or the refusal by an employer to continue to
employ any number of persons employed by him.
 It is declared by employers to put pressure on their workers. It is
counterpart of a strike.
 Lockout may happen for several reasons. When only part of a trade
union votes to strike, the purpose of a lockout is to put pressure on
a union by reducing the number of members who are able to work.
 Every employer has the option to lock out workers, if – a dispute
has been referred to a council or the Commission for Conciliation,
Mediation and Arbitration (CCMA); a certificate that a dispute
remains unresolved has been issued; 30 days have elapsed since
the referral and
Lockouts

II ) 48 hours’ written notice of a strike is given to
 the employer; or
 a council (if the dispute relates to a collective agreement
to be concluded in a council); or
 to an employers’ organization (if the employer is a
member of an organization that is a party to the dispute)
III) 48 hours’ written notice of a lockout is given to
 the trade union; or
 to the workers (if they are not trade union members); or
 a council (if the dispute relates to a collective agreement
to be concluded in a council)

 Layoff implies temporary removal of an employee from
the payroll of the organization due to circumstances
beyond the control of the employer.
 It may last for an indefinite period. But the employee is
not terminated permanently and is expected to be called
back in future. The employer employee relationship does
not come to an end but is merely suspended during the
period of layoff.
 The purpose of layoff is to reduce the financial burden on
the organization when the human resources cannot be
utilized profitably.
Layoffs

 Retrenchment means permanent termination of
service of an employee for economic reasons in a
going concern.
 The Industrial Disputes Act, 1947 defines
retrenchment as the “termination by the employer of
the services of workman for any reason other than
termination of services as punishment given by way
of disciplinary action, or retirement either voluntary
or reaching age of superannuation, or continued ill-
health or the closure and winding up of a business”.
Retrenchment

The Act lays down the following conditions for
retrenchment.
 The employee must be given one month’s notice in
writing indicating the reasons for retrenchment or wages
in lieu of such notice.
 The employee must be paid compensation equal to 15
days for every completed year of service.
 Notice in the prescribed manner must be served on the
appropriate Government authority.
 In the absence of any agreement to the contrary, the
worker employed last must be terminated first.

THANK YOU

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Industrial disputes(causes and consequences)

  • 2.   It is conflict, clash of ideas, a disagreement between the any two bodies in an organization etc.  According to Section 2(k) of the “Industrial Disputes” Act, 1947, an ‘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 person DEFINITION
  • 3.   Industrial factors  Management attitude to labour  Government machinery  Other causes: Inter/Intra union rivalry Charter of demands Work load Standing orders/rules/service conditions/safety measures Non-implementation of agreements and awards etc. Causes of Industrial disputes
  • 4.  Under this category, some of the causes of dispute may be :  An industrial matter relating to work, wages, hours of work, privileges, the rights and obligations of employees and employers ,terms and conditions of employment.  An industrial matter in which both the parties are directly interested.  Disputes arising out of unemployment, inflation, change in the attitude of employers and rivalry among unions. INDUSTRIAL FACTORS
  • 5.   Management ‘s unwillingness to talk over any dispute with their employees.  Managements unwillingness to recognize a particular trade union ,delegating enough authority to the representatives etc.  Unwillingness to negotiation and settlement of disputes.  Managements insistence to take care of recruitments, promotion etc. without consulting the concerned employees  Managements unwillingness to provide services and benefits to its employee's Management Attitude Towards Labour
  • 6.   Ineffective and unsatisfactory results due to various reasons like their irrelevancy in present industrial climate /culture, incapability of understanding and answering imperatives of development, improper and inadequate implementation by many employers.  The governments conciliation machinery has settled a very negligible number of disputes . Government Machinery
  • 7.   Affiliation of the trade unions with a political party, where the latter may instigate the trade unions to conduct strikes, lockouts , gheraos etc.  Political instability, center- state relations, sometimes result into industrial conflict.  Other potential factors like corruption in industry and public life, easy money etc. can also result into industrial disputes. Other Causes
  • 9.   Strike is one of the oldest and the most effective weapons of labor in its struggle with capital for securing economic justice.  Strike has been defined in Section 2 (q) of the Industrial Disputes Act as—“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 understanding, of any number of persons who are or have been so employed to continue to work or to accept employment.” Two main ingredients of strike are  Cessation of Work  Concerted Action Strikes
  • 10.   Section 2(1) of the Industrial Disputes Act, 1947 defines “Lock-out” as the closing of a place of business of employment or the suspension of work, or the refusal by an employer to continue to employ any number of persons employed by him.  It is declared by employers to put pressure on their workers. It is counterpart of a strike.  Lockout may happen for several reasons. When only part of a trade union votes to strike, the purpose of a lockout is to put pressure on a union by reducing the number of members who are able to work.  Every employer has the option to lock out workers, if – a dispute has been referred to a council or the Commission for Conciliation, Mediation and Arbitration (CCMA); a certificate that a dispute remains unresolved has been issued; 30 days have elapsed since the referral and Lockouts
  • 11.  II ) 48 hours’ written notice of a strike is given to  the employer; or  a council (if the dispute relates to a collective agreement to be concluded in a council); or  to an employers’ organization (if the employer is a member of an organization that is a party to the dispute) III) 48 hours’ written notice of a lockout is given to  the trade union; or  to the workers (if they are not trade union members); or  a council (if the dispute relates to a collective agreement to be concluded in a council)
  • 12.   Layoff implies temporary removal of an employee from the payroll of the organization due to circumstances beyond the control of the employer.  It may last for an indefinite period. But the employee is not terminated permanently and is expected to be called back in future. The employer employee relationship does not come to an end but is merely suspended during the period of layoff.  The purpose of layoff is to reduce the financial burden on the organization when the human resources cannot be utilized profitably. Layoffs
  • 13.   Retrenchment means permanent termination of service of an employee for economic reasons in a going concern.  The Industrial Disputes Act, 1947 defines retrenchment as the “termination by the employer of the services of workman for any reason other than termination of services as punishment given by way of disciplinary action, or retirement either voluntary or reaching age of superannuation, or continued ill- health or the closure and winding up of a business”. Retrenchment
  • 14.  The Act lays down the following conditions for retrenchment.  The employee must be given one month’s notice in writing indicating the reasons for retrenchment or wages in lieu of such notice.  The employee must be paid compensation equal to 15 days for every completed year of service.  Notice in the prescribed manner must be served on the appropriate Government authority.  In the absence of any agreement to the contrary, the worker employed last must be terminated first.