To understand labour union Charter Of Demand (COD) and their negotiation procedure Study of COD of a chemical company, attend negotiation and understand different components of COD

1. UNION CHARTER OF DEMAND AND
NEGOTIATION
CHANDNI SHAHANI 10
MUKTA BHATIA 31

2. OBJECTIVE AND SCOPE OF THE STUDY
 OBJECTIVE:
To understand labour union Charter Of Demand (COD) and their
negotiation procedure
 SCOPE:
Study of COD of a chemical company, attend negotiation and
understand different components of COD

3. INTRODUCTION TO CHARTER OF DEMAND
 Industrial relations is a key aspect of human resource functioning and
collective bargaining is part of the IR process.
 Submission of charter of demand by the union is the first step towards the
process of collective bargaining.
 Charter of demand is a collection of demands which the employee
through their union put before the management for improvement in their
service conditions and wages.

4. NEGOTIATION PROCESS BASED ON
CHARTER OF DEMAND
 Negotiations begin after the submission of the charter of demands by the
representatives of the trade union.
 If there is an agreement between the management and the union on some
or all issues, then such agreement culminates into a settlement in terms of
Sec.2(p) of the ID Act
 If the management does not accept these demands, then it is construed that
there is a difference or and such difference/dispute is termed as an
industrial dispute in terms of Sec.2(k) of the ID Act.

5. CASE: CHEMICAL MANUFACTURING
COMPANY IN ROHA DISTRICT
 NO. OF WORKERS COVERED UNDER UNION : 73
 SUBSIDIARY OF A PARENT COMPANY
 PARENT COMPANY PRACTICES USED FOR COMPARISION BY
UNION
 MINIMUM WAGES AS PER CONTRACT LABOUR REGULATION
ACT 1970
 MINIMUM WAGES - REVISED SEMI ANNUALLY (GOVT
REGULATION)
 UNION AGREEMENTS MADE FOR 3 CONSECUTIVE YEARS
 NO SEPARATE UNION – TIED WITH POLITICAL PARTY UNION
FOR ROHAAND MAHAD DISTRICT

6. BASIS OF WAGE NEGOTIATION - MINIMUM
WAGES IN ROHA DISTRICT AS ON JULY 2019
DYES & CHEMICAL
Category
BASIC
PM SA PM
Total
P.M.
Wages Rate
PD
H. R. A.
PD
TOTAL
PD
O.T.R
/hr.
Skilled 6500 2944 9444 363.23 18.16 381.39 90.81
Semi-Skilled 6000 2944 8944 344 17.2 361.2 86
Un-Skilled 5500 2944 8444 324.77 16.24 341.01 81.19
ENGINEERING SCHEDULE .( Fabrication) OTHER ENGINEERING
Category
BASIC
PM SA PM
Total
P.M.
Wages
Rate PD
H. R. A.
PD
TOTAL
PD
O.T.R
/hr.
Skilled 3330 1242.3 4572.3 175.86 8.79 184.65 43.96
Semi-
Skilled 3230 1242.3 4472.3 172.01 8.6 180.61 43
Un-Skilled 3130 1242.3 4372.3 168.17 8.41 176.57 42.04

7. NEGOTIATION IN COMPANY
 FIRST MEET:
• Conducted in Roha District Office of political union office
• Demands put forward by union leader and clarification given
• Parties present: 3 company representatives, union leader, factory manager, 2 supervisors
 SECOND MEET:
• Conducted in Mumbai
• Points accepted and rejected put forward by company
• Date decided for negotiation and final acceptance meet
 FINAL MEET:
• Each point is discussed and negotiated – Union office in Roha District
• Arrive at consensus on each point
• Documentation and disclosure of final demands met to all workers – In Factory

8. SOME ASPECTS COVERED IN CHARTER OF
DEMAND
DEMAND BY UNION CURRENT
PRACTICE
NEGOTIATED
RISE IN BASIC SALARY BY RS 10,000 CURRENT BASIC RS
16000 PM
RS 6500 OVER 2 YEARS
BUS TRAVEL FOR MAHAD AND BIRWADI
TO COMPANY
ONLY FOR MAHAD MAHAD AND RADIUS OF 15 KMS
MARRIAGE LOAN- RS 50,000 AND RS
1,00,000 FOR 3 AND 5 YRS SERVICE
NOT APPLICABLE RS 50,000 AFTER 5 YEARS OF
SERVICE
GRATUITY – 45 DAYS SALARY FOR
EVERY YEAR OF SERVICE
AS PER GRATUITY
ACT
COMPLIANCE WITH GRATUITY
ACT
ACCIDENT LEAVE – EXPENSES BORNE
BY COMPANY AND NO PAY CUT
EXPENSES BORNE
BY COMPANY
EXPENSES BORNE + NO
DEDUCTION IN PAY
ATTENDANCE BONUS – RS 50 PER DAY
IF ATTENDANCE ABOVE 25 DAYS P.M.
NOT APPLICABLE RS 25 BONUS PER DAY IF FULL
ATTENDANCE + NO LATE
ATTENDANCE
CANTEEN FACILITY – SUBSIDISED RATE ONLY TEA THRICE A
DAY
TEA + SUBSIDISED MEAL
FACILITY

9. THANK YOU