Industrial Disputes Act

1. The Industrial Disputes Act, 1947

2. Structure of the Act
Objects, Definitions (I)
Authorities (II)
Notice of Change (II A)
Reference of Disputes (III)
Procedures, Powere & Duties (IV)
Strikes & Lock Outs (V)
Lay Off & Retrenchment (VA)
Lay Off, Retrenchment, Closures, Special
Provisions (VB)
Unfair Labor Practice (VC)
Penalties (VI)
Misc (VII)
Schedule 1: Public Utility
Schedule 2: Jurisdiction (LC)
Schedule 3: Jurisdiction (IT)
Schedule 4: Notice of Change
Schedule 5: Unfair Labor Practice

3. Objects & Purpose
• “To make provisions for the investigation and settlement of industrial
disputes, and for certain other purposes”
(The ID Act, 1947)
• Promotion of measures for securing and preserving amity and good
relations between employers and employees
• Investigation and Settlement of Industrial Disputes
• Prevention of illegal strikes and lock outs
• Relief to workmen in the matter of lay off and retrenchment
• Collective Bargaining
(Supreme Court, SCR, 1958)
An important step in achieving social justice

4. IMPORTANT DEFINITIONS
APPROPRIATE GOVERNMENT [Sn.2(a)]
UNDER THE ID ACT SOME INDUSTRIES FALL UNDER THE CENTRAL LABOUR
MACHINERY AND SOME OTHERS FALL UNDER THE STATE LABOUR
MACHINERY.
SN 2(a) HELPS US TO DETERMINE UNDER WHOSE JURISDICTION A
PARTICULAR INDUSTRY FALLS AND WHETHER THE STATE/CENTRAL RULES
WILL APPLY.
INDUSTRY [Sn.2(j)]
THE ID ACT IS NOT APPLICABLE TO ALL KINDS OF ESTABLISHMENTS. IT IS
APPLICABLE ONLY TO ESTABLISHMENTS SATISFYING THE DEFINITION OF THE
TERM 'INDUSTRY' (AS DECIDED IN SEVERAL JUDICIAL PRONOUNCEMENTS).
THE 1984 AMENDED DEFINITION NOW APPEARING IN Sn.2(j) IS YET TO BE
BROUGHT INTO FORCE AND THE OLD DEFINITION IS STILL IN VOGUE.

5. Appropriate Government:
Central Government:
By or Under the Authority of Central Government
Railways
Companies created by an Act of Parliament
Mines
Docks
A Banking or an Insurance Company
State Government:
All Others

6. Industry
Means any business, trade, undertaking, manufacture or
calling of employers
and includes
• any calling, service, employment, handicraft or industrial
occupation or avocation of workmen (2j)

7. Judicial Pronouncements (Bangalore Water Supply Case)
Systematic Activity
Organized by cooperation between employers & employees
For production and / or Distribution of goods and services to satisfy
human wants wishes
Absence of Profit motive is irrelevant
Nature of activity and employer-employee relationship
The ‘Dominant Nature’ test
Hospitals, Educational Institutions, Local Bodies, Government, Clubs,
Philanthropic Organizations, Professional Bodies

8. Substituted Definition of Industry
Any Systematic Activity
Carried out by
Cooperation between an employer & his workmen
For production, supply or distribution of goods and services
With a view to
satisfy human wants wishes
Whether ot not,
Any capital has been invested
Motive of gain or profit
But excludes:
Agricultural Operation
Hospitals/Dispensaries
Educational/scientific/training institutions
Philanthropic Services
Khadi & Village Industries
Sovereign functions of state
Professional Services employing less than 10 persons
Domestic Service
New Definition has not been given effect!

9. WORKMAN [(Sn.2(s)]
ALL EMPLOYEES IN AN ESTABLISHMENT ARE NOT 'WORKMEN' UNDER THE ID ACT.
ONLY EMPLOYEES DOING ANY MANUAL, UNSKILLED, SKILLED, TECHNICAL,
OPERATIONAL, CLERICAL (IRRESPECTIVE OF WHETHER THEIR WAGES) AND SUCH OF
THE SUPERVISORS DRAWING WAGES BELOW Rs.10,000/- PM
IT ALSO INCLUDES DISMISSED WORKMEN FALLING UNDER THE ABOVE CATEGORIES.
HOWEVER MANAGERIAL STAFF ARE TOTALLY EXCLUDED IRRESPECTIVE OF THEIR
SALARY.
d) WAGES [Sn.2(rr)]
WAGES WILL INCLUDE BASIC, DA, VALUE OF HOUSE ACCOMMODATION, OTHER
AMENITIES, TRAVELLING CONCESSION, COMMISSION PAYABLE AND OTHER
REMUNERATION PAYABLE UNDER THE CONTRACT, BUT EXCLUDES THE FOLLOWING :
ANY BONUS AND RETIREMENT BENEFITS LIKE EPF/GRATUITY

10. WHAT CATEGORY OF EMPLOYEES WOULD NOT FALL UNDER THE
DEFINITION OF 'WORKMAN' UNDER SECTION 2(s) ?
ALL MANAGERIAL STAFF ARE EXCLUDED IRRESPECTIVE OF THEIR
SALARY
MEMBERS OF SUPERVISORY STAFF WILL BE EXCLUDED ONLY IF
THEY ARE DRAWING WAGES ABOVE Rs.10,000 PM
WORKMEN WHO WERE TERMINATED COULD CONTINUE TO CLAIM
STATUS OF WORKMEN FOR PURSUING THEIR DISPUTES

11. a) WHAT CONSTITUTES AN INDUSTRIAL DISPUTE [Sn.2(k)] ?
i) DISPUTE MUST BE IN AN ESTABLISHMENT SATISFYING
THE DEFINITION OF 'INDUSTRY' IN SECTIONS 2(ka) & 2 (j).
ii) DISPUTE MUST BE BETWEEN :
- EMPLOYER Vs EMPLOYER
- EMPLOYER Vs WORKMEN
- WORKMEN Vs WORKMEN
EXTENT AND SCOPE OF THE TERM 'INDUSTRIAL DISPUTE'

12. THE SUBJECT MATTER OF THE DISPUTE MUST BE :
- CONNECTED WITH EMPLOYMENT OR NON-EMPLOYMENT
- CONNECTED WITH TERMS OF EMPLOYMENT
- CONNECTED WITH CONDITIONS OF LABOUR
OF 'ANY PERSON' - PROVIDED THAT PERSON HAS A NEXUS WITH THE
INDUSTRY
DISPUTE MUST BE RAISED BY WORKMEN : BY UNION, OR A GROUP OF
WORKMEN.
CAN ALL EMPLOYEES IN AN INDUSTRY RAISE AN INDUSTRIAL
DISPUTE [Sn.2(s),2(k)]?
ANSWER IS NO.
INDUSTRIAL DISPUTE CAN BE RAISED ONLY BY EMPLOYEES SATISFYING THE
DEFINITION OF 'WORKMAN' IN SECTION 2(s).
THOSE NOT SATISFYING THE DEFINITION OF WORKMAN CANNOT RAISE A
DISPUTE UNDER ID ACT.

13. CAN ONLY A MAJORITY OF WORKMEN IN AN INDUSTRY RAISE A
DISPUTE ?
IT IS NOT NECESSARY THAT A MAJORITY OF WORKMEN SHOULD SUPPORT THE
RAISING OF THE DISPUTE. IT IS ENOUGH IF A SUBSTANTIAL NUMBER BACK THE
RAISING OF THE DISPUTE. WHILE A UNION CAN RAISE A DISPUTE, IT IS NOT
NECESSARY THAT ONLY A UNION CAN RAISE A DISPUTE. A SINGLE WORKMAN
CANNOT NORMALLY RAISE DISPUTE.
WHEN CAN AN INDIVIDUAL WORKMEN RAISE A DISPUTE (i.e.EVEN
WITHOUT THE SUPPORT OF OTHER WORKMEN) ?
AN INDIVIDUAL WORKMAN CAN RAISE A DISPUTE IF IT FALLS UNDER THE
EXCEPTIONAL CASES LISTED IN SECTION 2 A: CASES OF DISMISSAL / DISCHARGE /
RETRENCHMENT / TERMINATION ONLY.

14. • An establishment where industry is carried on
• Dominant Nature: Severable/Inseverable
• Example of Severable: Treasury Function and Government
Mint: Mint will be an Industrial Establishment but not
whole of Treasury
• Example of Inseverable:
Industrial Establishment (s 2ka)

15. Lay Off (2 kkk):
Failure, refusal or inability
of employer
to give employment to
A workman (whose name is bourne on the rolls) and who has not been retrenched
Failure/Inability/Refusal may be due to
Shortage of R/M
Accumulation of Stocks
Breakdown of machinery
Natural Calamity
Putting aside or discharging workers temporarily

16. Retrenchment (s 2 (oo))
Termination by the employer
Of the services of a workman
For any reason whatsoever
Otherwise than as a punishment by way of disciplinary action
Retrenchment does not include:
VR
Retirement (if terms of employment so stipulates)
Termination on non renewal of contract*
Termination on grounds of continued ill health

17. Lock Out 2(l):
Temporary closing of a place of employment, or suspension of work, or refusal by
employer to continue to employ any number of workmen employed by him
Essentials of a Lock Out:
Temporary closing of the place of employment
Element of demand
Intention to re-employ
Lock-Out is an employer’s weapon
An anti-thesis to strike

18. Lock Out Retrenchment
Temporary Permanent
Employment
Relationship
not severed
Employment
Relationship
severed
Coercion
Due to or
during a
dispute
Dispense with
surplus
No dispute
Lock Out Lay Off
Employer
refuses
employment
because of
suspension
of work or
closing of
place
Because of
shortage of
power/RM or
accumulation
of stocks etc
Coercion Trade
Reasons
Due to or
during a
dispute
No dispute

19. Lock Out Closure
Only place of
business is
closed
Business
itself closes
Employment
Relationship
not severed
Employment
Relationship
severed
Coercion
Due to or
during a
dispute
Trade
Reasons
No dispute

20. Public Utility Service [2(n)]:
Passenger Transport Service by Rail or by Air
Any services related to a major port or a dock
Any section of an industrial establishment for the purpose of safety of the
establishment
Postal, Telegraph or Telephone Service
Any industry that supplies power, light or water to the public
Services related to public conservancy and sanitation
Any industry specified in first schedule (notified by Appropriate Government) –
for a period of six months at a time
Lock-Out is an employer’s weapon
An anti-thesis to strike

21. Settlement [s 2(p)]
A settlement
Arrived at in course of conciliation proceedings (binding on all concerned)
Arrived at after discussion between workmen and employers and a copy sent to
Conciliation Officer (binding on parties concerned)

22. Strike [s 2(q)]
Cessation of work by
A body of persons
Acting in combination
Or
Concerted refusal or refusal under a common understanding of any number of
persons to work or accept employment
Remember:
Cessation of Work
Common Understanding
Strike is an
employee’s weapon

23. Collaboration, Policy, IR Climate ILO, ILC, SCL, NLC,
Code of Discipline
Systems & Processes
Standing Orders,
Grievance Redressal,
Works Committee, JMC,
Bi-Partite Committees,
Collective Bargaining
Conciliation
Conciliation Officer, Board of
Conciliation, Court of Enquiry
Arbitration Voluntary, Compulsory
Adjudication Labor Court, Labor Tribunal,
National Tribunal
S
E
T
T
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M
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N
T
The IR Framework
P
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V
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N
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I
V
E
The ID Act, 1947

24. Dispute
Settled
Failed
Adjudication
Labor Court
Conciliation
Voluntary Arbitration (s 10 A)
Tribunal National
Tribunal
Tripartite
Settlement (s 12)
Failure Report
Award
Bi-Partite Settlement (s 18)

25. ALL ABOUT CONCILIATION
i) WHAT TYPE OF CONCILIATION MACHINERY EXIST UNDER THE ID
ACT ?
CONCILIATION BY AN OFFICER [Sn.4 & 2(d)]
A BOARD (AN AD-HOC BOARD CONSISTING OF AN INDEPENDENT
CHAIRMAN AND EQUAL NUMBER OF WORKMEN AND EMPLOYER
REPRESENTATIVES) [Sn.5 & 2(e)]
Court of Enquiry
Board IS NOT A PERMANENT BODY
It is SET UP ONLY FOR A PARTICULAR DISPUTE AND WILL STAND
DISSOLVED WHEN THE ISSUE IS SETTLED].
Court of Enquiry assists with investigation of issues during
conciliation stage

26. THE DUTIES OF A CONCILIATION OFFICER
WHEN A STRIKE / LOCKOUT NOTICE IS ISSUED IN A PUBLIC UTILITY
SERVICE, HE IS BOUND TO IMMEDIATELY CONVENE A CONCILIATION
MEETING.
IN NON PUBLIC UTILITY SERVICE OR IN NON-STRIKE DISPUTES IN
PUBLIC UTILITY SERVICE HE IS NOT BOUND, BUT MAY HOLD
CONCILIATION MEETINGS.
HE WILL TRY TO PERSUADE THE PARTIES TO RESOLVE THE DISPUTES

27. Successful Conciliation: GET THE PARTIES TO SIGN A SETTLEMENT
Un-Successful Conciliation: FAILURE REPORT to the Government
BEFORE SENDING THE FAILURE REPORT: HE SHOULD ASK THE DISPUTING PARTIES
WHETHER THEY WOULD LIKE THE DISPUTE TO BE SENT FOR ARBITRATION
EXPECTED TO CLOSE THE CONCILIATION PROCEEDINGS WITHIN 14 DAYS BUT
WITH THE CONSENT OF THE PARTIES HE CAN KEEP THE CONCILIATION PROCESS
GOING FOR A LONGER DURATION
WHEN NOTICE OF CHANGE IS ISSUED UNDER Sn.9A HE IS OBLIGED TO HOLD
MEETINGS TO RESOLVE THE DISPUTE
WHEN APPROVAL/PERMISSION APPLICATIONS ARE FILED UNDER Sn.33/33A HE IS
REQUIRED TO PASS APPROPRIATE ORDERS.
NOTE : UNLIKE IN ARBITRATION/ADJUDICATION PROCEEDINGS, A CONCILIATION
OFFICER HAS NO POWER TO ENFORCE HIS DECISION ON THE PARTIES. HE CAN
ONLY TRY TO PERSUADE THE PARTIES TO ACCEPT HIS SUGGESTION.

28. ADJUDICATION
i) WHAT IS MEANT BY ADJUDICATION ?
ADJUDICATION IS A JUDICIAL (DECISION MAKING) PROCESS FOR SETTLEMENT
OF INDUSTRIAL DISPUTES [Sn.2(aa)].
ii) WHAT ARE THE ADJUDICATING BODIES UNDER THE ID ACT ?
LABOUR COURTS
TRIBUNALS
NATIONAL TRIBUNALS

29. iii) CAN PARTIES (EMPLOYER OR WORKMEN) APPROACH THE
ADJUDICATING BODIES DIRECTLY FOR DISPUTE SETTLEMENT ?
UNLIKE IN THE CIVIL COURTS, PARTIES CANNOT APPROACH THE
LABOUR COURT / TRIBUNAL / NATIONAL TRIBUNAL DIRECTLY.
DISPUTES CAN BE TAKEN UP BY LABOUR COURT / TRIBUNAL /
NATIONAL TRIBUNAL ONLY IF THEY ARE REFERRED TO THEM BY THE
GOVERNMENT.
GOVERNMENT CAN REFER THE DISPUTES AFTER RECEIPT OF THE
CONCILIATION FAILURE REPORT OR WHEN THE PARTIES REQUEST THE
GOVERNMENT TO MAKE A REFERENCE

30. iv WHEN DOES ADJUDICATION COMMENCE AND WHEN DOES IT
END ?
ADJUDICATION PROCEEDINGS ARE DEEMED TO HAVE COMMENCED
FROM THE DATE THE GOVERNMENT REFERRED THE DISPUTE TO
LABOUR COURT/TRIBUNAL / NATIONAL TRIBUNAL.
IT IS DEEMED TO HAVE CONCLUDED ON THE DATE THE AWARD
BECOMES ENFORCEABLE

31. v PROCEDURE FOR ENFORCING ADJUDICATION AWARDS
DECISIONS GIVEN BY LABOUR COURT / TRIBUNAL / NATIONAL
TRIBUNAL ARE CALLED AWARDS [Sn.2(b)]
AWARDS ARE NOT ENFORCEABLE DIRECTLY
THE LABOUR COURT / TRIBUNAL / NATIONAL TRIBUNAL CAN
ONLY SEND THEIR FINDINGS TO THE GOVERNMENT AND
CANNOT ANNOUNCE THEM DIRECTLY.
AFTER RECEIPT OF THE REPORT, THE APPROPRIATE GOVERNMENT
WOULD DECIDE WHETHER TO ACCEPT / MODIFY / WITH-HOLD
THE REPORT
THE GOVERNMENT HAS TO ANNOUNCE THEIR DECISION
THROUGH THE GAZETTE WITHIN 30 DAYS OF RECEIPT OF THE
REPORT
THE GOVERNMENT ORDER ON THE ADJUDICATION DECISION
BECOMES ENFORCEABLE ON THE EXPIRY OF 30 DAYS FROM THE DATE
OF THE GAZETTE NOTIFICAITON .

32. vi ON WHOM ARE THE AWARDS BINDING ?
BINDING ON ALL PARTIES TO THE DISPUTE
ALSO BINDING ON ALL OTHER PARTIES SUMMONED TO APPEAR IN
THE PROCEEDINGS TO THE DISPUTE
ON THE EMPLOYER, HIS HEIRS, ASSIGNEES AND SUCCESSORS.
ON WORKMEN CURRENTLY EMPLOYED AND WHO SUBSEQUENTLY
GET EMPLOYED IN THE ESTABLISHMENTS

33. ARBITRATION
i) WHAT IS MEANT BY ARBITRATION ?
IT IS A DISPUTE RESOLVING PROCESS THROUGH AN UMPIRE SELECTED BY THE
DISPUTING PARTIES.
ii) HOW DOES ARBITRATION DIFFER FROM ADJUDICATION AND CONCILIATION ?
WHILE THE PRESIDING OFFICERS OF CONCILIATION AND ADJUDICATION
PROCEEDINGS ARE FULL TIME OFFICERS APPOINTED BY GOVERNMENT, ARBITRATORS
ARE ADHOC UMPIRES APPOINTED BY THE DISPUTANTS.
WHILE THE CONCILIATION OFFICER HAS NO POWER TO IMPOSE HIS
DECISION ON THE PARTIES, AN ARBITRATOR HAS AUTHORITY TO GIVE AN ORDER
WHICH CANNOT BE CHALLENGED BY THE PARTIES. ADJUDICATORS GET THEIR POWER
FROM STATUTE, ARBITRATORS ACQUIRE THEIR POWR FROM THE CONSENT OF THE
PARTIES.

34. iii) TYPES OF ARBITRATION
ID ACT CONTEMPLATES TWO TYPES OF ARBITRATION, ONE UNDER SECTION 10(2)
TO A LABOUR COURT / TRIBUNAL AND THE SECOND TYPE UNDER 10A TO ANY
OTHER ARBITRATOR INCLUDING TO LABOUR COURTS OR TRIBUNALS.
iv) HOW IS ARBITRATION PROCESS INITIATED [Sn.10(2)+10A] ?
WHEN CONCILIATION FAILS, BEFORE SENDING THE FAILURE REPORT, THE
CONCILIATION OFFICER ASKS THE PARTIES IF THEY WISH TO SEND THE DISPUTE FOR
ARBITRATION. IF PARTIES DESIRE SO, THEY MUST SIGN AN ARBITRATION
AGREEMENT AND SEND IT TO THE GOVERNMENT. GOVERNMENT WILL THEN
NOTIFY HIM AS AN ARBITRATOR
v) AWARDS OF ARBITRATORS
ARBITRATORS HEAR THE PLEADINGS OF BOTH PARTIES AND SUBMIT THEIR ORDERS
TO THE GOVERNMENT WHO PROCESSES IT LIKE AN ADJUDICATION AWARD AND IT
IS IMPLEMENTED LIKE AN ADJUDICATION AWARD.

35. 'NOTICE OF CHANGE‘ [S9a]
i) CAN AN EMPLOYER UNILATERALLY ALTER THE CONDITIONS OF
SERVICE APPLICABLE TO WORKMEN ?
ON ANY ITEMS LISTED IN SCHEDULE IV OF THE ID ACT, HE CANNOT
ALTER, UNLESS HE GIVES A NOTICE OF CHANGE AS PER S- 9A OF
THE ACT.

36. ii) WHAT KIND OF NOTICE MUST BE GIVEN ?
AT LEAST 21 DAYS ADVANCE NOTICE.
IF THE CHANGE IS MADE AS A RESULT OF AN AGREEMENT, NO
NOTICE IS REQUIRED
Iii) EFFECT OF GIVING NOTICE
IF WORKMEN/UNIONS DO NOT OBJECT TO THE CHANGE, THE
CHANGE CAN BE EFFECTED AFTER 21 DAYS
IF WORKMEN OPPOSE THE CHANGE, THE ISSUE WILL BE TAKEN UP IN
CONCILIATION AND THE EMPLOYER WILL HAVE TO AWAIT THE
OUTCOME OF THE CONCILIATION MEETING/ADJUDICATION PROCESS

37. iv) WHAT ARE THE ITEMS LISTED IN SCHEDULE IV FOR WHICH NOTICE OF
CHANGE NEEDS TO BE GIVEN ?
WAGES, INCLUDING THE PERIOD AND MODE OF PAYMENT
CONTRIBUTION PAID, OR PAYABLE, BY THE EMPLOYER TO ANY PROVIDENT FUND
COMPENSATORY AND OTHER ALLOWANCE
STARTING ALTERATION OR DISCONTINUANCE OF SHIFT WORKING
CLASSIFICATION BY GRADES
WITHDRAWAL OF ANY CUSTOMARY CONCESSION OR PRIVILEGE OR CHANGE IN
USAGE
INTRODUCTION OF NEW RULES OF DISCIPLINE, OR ALTERATION OF EXISTING
RULES,
RATIONALISATION, STANDARDISATION OR IMPROVEMENT OF PLANT OR
TECHNIQUE WHICH IS LIKELY TO LEAD TO RETRENCHMENT OF WORKMEN
ANY INCREASE OR REDUCTION (OTHER THAN CASUAL) IN THE NUMBER OF
PERSONS EMPLOYED

38. Management wants to
introduce change on a matter
listed in Schedule 4 of ID Act
Send a 21-day ‘notice’ under s
9a to the workmen/union
Workmen accept the change
Implement ‘change’
Workmen do not accept change
‘Conciliation’, ‘adjudication’,
‘arbitration’
Implement ‘change’ as a
settlement or an ‘award’
Discuss and sign a
‘settlement’
Implement
‘change’
Notice of Change under 9A

39. Strikes & Lockouts
a) PROVISIONS ON 'STRIKE & LOCKOUT'
PROVISIONS SECTIONS 2(q), 2(l), 2(n), 22, 23, 24, 25, 26, 27,28 and SCHEDULE I
i) INGREDIENTS OF STRIKE & LOCKOUTS
STRIKE [2(q)] BY WORKMEN
REFUSAL TO WORK OR ACCEPT EMPLOYMENT
BY A BODY OF PERSONS IN 'INDUSTRY'
IF UNDER A COMMON UNDERSTANDING OR ACTING IN
CONCERT
LOCKOUT [2(l)] BY EMPLOYER
TEMPORARY CLOSING OF PLACE OF EMPLOYMENT, OR
REFUSAL TO CONTINUE TO EMPLOY PERSONS EMPLOYED BY
AN EMPLOYER

40. ii) WHEN IS NOTICE OF STRIKE/LOCKOUT MANDATORY?
• IF INDUSTRY FALLS UNDER DEFINITION OF 'PUBLIC
UTILITY SERVICE‘
OR
• TERMS OF EMPLOYMENT/ STANDING ORDERS SAY SO
WHEN NON MANDATORY ?
IN NON-PUBLIC UTILITY SERVICE, UNLESS STANDING ORDERS OR
APPOINTMENT ORDERS STIPULATES GIVING OF NOTICE, OR IT IS IN
RETALIATION FOR A STRIKE OR LOCKOUT.

41. iii) WHEN WOULD STRIKES OR LOCKOUTS BE ILLEGAL
IN 'PUBLIC UTILITY SERVICE' WHEN STRIKE/LOCKOUT IS
COMMENCED :
WITHOUT GIVING ATLEAST 14 DAYS NOTICE
COMMENCED AFTER 42 DAYS OF NOTICE
PRIOR TO DATE INDICATED IN THE NOTICE
DURING PENDENCY OF PROCEEDINGS BEFORE CONCILIATION
OFFICER/BOARD AND SEVEN DAYS THEREAFTER
DURING PENDENCY OF PROCEEDINGS BEFORE LABOUR
COURT/TRIBUNAL/ARBITRATORS AND TWO MONTHS THEREAFTER
DURING THE PERIOD WHEN A SETTLEMENT OR AWARD IS IN
OPERATION ON MATTERS COVERED

42. IN NON-PUBLIC UTILITY SERVICE WHEN STRIKE/LOCKOUT IS
COMMENCED :
IN BREACH OF CONTRACT
DURING PENDENCY OF CONCILIATION BEFORE A BOARD AND SEVEN
DAYS THEREAFTER
DURING PENDENCY OF PROCEEDINGS BEFORE LABOUR
COURT/TRIBUNAL./ARBITRATOR AND TWO MONTHS THEREAFTER
DURING THE PERIOD ON MATTERS COVERED WHEN A SETTLEMENT
OR AWARD IS IN OPERATION.
NOTE :
A STRIKE/LOCK OUT LEGALLY COMMENCED WOULD BECOME ILLEGAL
IF CONTINUED AFTER GOVERNMENT BANS IT UNDER SECTION 10(4A)
AND 24

43. Notice period (2 weeks
– 6 weeks)
PU?
Yes No
Notice for Strike
Check Standing Orders or
Rules of the Co for Notice
Period requirements
No Stipulation of
notice period
Yes
Conciliation Officer
must intervene on
receipt of notice
Conciliation Officer may
intervene on receipt of
notice
Illegal if:
Notice period violation and if
 Proceeding are on:
Conciliation before a Conciliation
Officer or a Board (and 7 days after
end)
Arbitration (and 2 months after end)
Adjudication (and 2 months after end)
Where Award or Settlement on the same
issue is in operation
Illegal if:
Notice period violation and if
 Proceeding are on:
Conciliation before a Conciliation
Board (and 7 days after end)
Arbitration (2 months)
Adjudication (2 months)
Where Award or Settlement is in
operation
Same flow-chart also applies for
a lock-out

44. iv) DUTY OF EMPLOYER ON RECEIVING / GIVING NOTICE
ON RECEIVING STRIKE NOTICE / OR GIVING LOCKOUT NOTICE THE
EMPLOYER SHOULD:
INFORM THE APPROPRIATE GOVERNMENT WITHIN FIVE DAYS OF
RECEIPT OF NOTICE
INFORM THE CONCILIATION OFFICER
LOCKOUT NOTICE MUST BE DISPLAYED ON NOTICE BOARD AT THE
ENTRANCE
REPORT ON STRIKE / LOCKOUT SHOLD BE SENT

45. v) ROLE OF CONCILIATION OFFICER WHEN STRIKE NOTICE IS
ISSUED
MAY HOLD CONCILIATION MEETINGS IF NOTICE IS IN NON-PUBLIC
UTILITY SERVICE
MUST HOLD CONCILIATION MEETINGS IF NOTICE IS IN PUBLIC
UTILITY SERVICE

46. Lay Off
i) IS THE LAY OFF PROVISIONS APPLICABLE TO ALL INDUSTRIES?
APPLICABLE ONLY TO A LIMITED CATEGORY OF INDUSTRIES:
• FACTORES
• MINES
• PLANTATIONS
• EMPLOYING MORE THAN 50 WORKMEN
• NOT OF SEASONAL CHARACTER OR OPERATING ONLY INTERMITTENTLY
ARE WORKMEN REQUIRED TO PUT IN A MINIMUM QUALIFYING SERVICE FOR BEING ELIGIBLE
FOR LAY OFF COMPENSATION ?
• AS PER SECTION 25(B) ONLY WORKMEN WHO HAVE PUT IN ONE YEAR 'CONTINUOUS
SERVICE' (RECKONED FROM THE DATE OF LAY OFF) ARE ELIGIBLE TO LAY OFF
COMPENSATION.
• ONE YEAR CONTINUOUS SERVICE MEANS PERMANENT EMPLOYMENT OR WORKING FOR
240 DAYS IN A PERIOD OF 12 MONTHS. 240 DAYS WILL INCLUDE DAYS OF
SICKNESS/EARNED LEAVE AVAILED/ACCIDENT LEAVE/MATERNITY LEAVE/STRIKE WHICH IS
NOT ILLEGAL/LOCK OUT DAYS/AND CESSATION OF WORK NOT DUE TO FAULT OF
WORKMAN.

47. v) IS PRIOR GOVERNMENT APPROVAL REQUIRED FOR
LAYING OFF WORKMEN ?
ESTABLISHSMENTS EMPLOYING AVERAGE OF 50 WORKMEN OR
MORE DURING THE MONTH PRIOR TO LAY OFF AND EMPLOYING LESS
THAN 100 WORKMEN ON AN AVERAGE ARE REGULATED BY
PROVISIONS OF CHAPTER VA AND NEED NOT TAKE ANY PERMISSION.
ESTABLISHMENTS WHICH EMPLOYED AVERAGE OF 100 OR MORE
WORKMEN DURING THE 12 MONTHS PRIOR TO LAY OFF ARE
REGULATED BY CHAPTER VB AND MUST OBTAIN PRIOR PERMISSION
FROM APPROPRIATE GOVERNMENT.

48. vi) WHAT IS THE PROCEDURE FOR APPLYING FOR PERMISSION ?
CHAPTER VB:
– MUST SUBMIT APPLICATION TO APPROPRIATE GOVERNMENT
– NOTIFY REGIONAL LABOUR COMMISSIONER THE COMMENCEMENT AND CONCLUSION
OF LAY OFF
– GOVERNMENT MAY GRANT / REFUSE PERMISSION WITHIN 60 DAYS OF SUBMISSION
OF APPLICATION
– IF NO REPLY FROM GOVERNMENT - AFTER 60 DAYS PERMISSION CAN BEASSUMED
vii) CAN EMPLOYER DENY LAY OFF PAYMENT IN ANY CIRCUMSTANCES ?
• ESTABLISHMENTS ATTRACTED BY CHAPTER VA CAN REFUSE TO PAY LAY OFF
COMPENSATION IF:
• WORKMEN REFUSE TO ACCEPT ALTERNATE EMPLOYMENT UNDER SAME
EMPLOYER WITHIN RADIUS OF 5 MILES
• IF HE DOES NOT REPORT FOR GIVING ATTENDANCE
• IF LAY OFF IS DUE TO STRIKE OR GO SLOW BY ANOTHER SECTION OF WORKMEN .
NOTE:
THIS DENIAL OF COMPENSATION IS NOT APPLICABLE TO ESTABLISHMENTS
FALLING UNDER CHAPTER VB.

49. vii) CAN AN EMPLOYER RESORT TO RETRENCHMENT AFTER
CERTAIN DURATION OF LAY OFF ?
EMPLOYER GOVERNED BY CHAPTER VA (NOT APPLICABLE TO
CHAPTER V B) CAN, AFTER 45 DAYS LAY OFF IN 12 MONTHS
RETRENCH HIS WORKMEN OR SIGN A SETTLEMENT WITH THE
WORKMEN TO RETAIN THEM ON THE MUSTER ROLLS WITHOUT
PAYMENT OF LAY OFF COMPENSATION.
IF HE RESORTS TO RETRENCHMENT HE MUST FOLLOW THE
PROCEDURE AND PROVISIONS OF RETRENCHMENT STIPULATED.

50. IS PRIOR PERMISSION REQUIRED FROM THE APPROPRIATE GOVERNMENT FOR
RESORTING TO RETRENCHMENT ?
• NO PERMISSION REQUIRED IF ESTABLISHMENT EMPLOYED LESS THAN 100 WORKMEN
• MAKING OF APPLICATION AND OBTAINING PRIOR PERMISSION FROM APPROPRIATE
GOVERNMENT IS REQUIRED IN ESTABLISHMENTS (LIKE 'FACTORIES', 'MINES' AND
'PLANTATIONS' ONLY) WHICH EMPLOYED MORE THAN 100 WORKMEN
• SUCH APPLICATION FOR PRIOR PERMISSION SHOULD BE MADE IN ADVANCE
• NOT TURNED DOWN, AFTER 60 DAYS IT CAN BE PRESUMED THAT PERMISSION IS GIVEN
NOTE
1) WHILE GIVING OF NOTICE AND PAYMENT OF COMPENSATION TO WORKMEN IS
APPLICABLE TO ALL TYPES OF INDUSTRIAL ESTABLISHMENTS, THE REQUIREMENT
OF APPLYING AND OBTAINING PRIOR GOVERNMENT PERMISSION IS APPLICABLE
ONLY TO THREE CATEGORIES OF INDUSTRIAL ESTABLISHMENTS, VIZ FACTORIES,
MINES AND PLANTATIONS [25L(a)].
2) PUBLIC SECTOR UNDERTAKINGS IN WHICH CENTRAL GOVERNMENT HAS AT LEAST
51% SHARE CAPITAL SHOULD APPLY AND OBTAIN PERMISSION FROM THE CENTRAL
GOVERNMENT AND NOT THE STATE GOVERNMENT EVEN IF THE APPROPRIATE
GOVERNMENT FOR THEM UNDER SECTION 2(a) IS THE STATE GOVERNMENT [SEE
Sn.25L(b)].

51. NOTE
IF WORKMEN HAVE BEEN RETRENCHED WITHOUT PERMISSION (IN
ABOVE 100 WORKMEN CASE) OR PERMISSION HAS BEEN REFUSED
THE AFFECTED WORKMEN WILL GET ALL BENEFITS AS IF THEY WERE
NEVER TERMINATED [Sn.25N(7)].

52. NOTICE FOR RETRENCHMENT
VA Establishments: MINIMUM ONE MONTH’S NOTICE OR ONE
MONTH’S PAY IN LIEU OF NOTICE
VB Establishments: MINIMUM THREE MONTHS NOTICE OR THREE
MONTH’S PAY IN LIEU OF NOTICE
COMPENSATION
15 DAYS AVERAGE PAY FOR EVERY COMPLETED YEAR OF
CONTIINUOUS SERVICE OR PART IN EXCESS OF SIX MONTHS
IF UNDER ANY OTHER LAW OR STANDING ORDERS WORKMEN ARE
ELIGIBLE TO A HIGHER QUANTUM OF COMPENSATION, THAT HIGHER
QUANTUM WILL PREVAIL

53. 'CLOSURE'
i) WHAT AMOUNTS TO CLOSURE [2n.2(cc)] ?
A PERMANENT CLOSURE OF (a) A PLACE OF EMPLOYMENT, OR (b) A PART OF
THE ESTABLISHMENT.

54. PRIOR PERMISSION REQUIRED FROM THE APPROPRIATE GOVERNMENT FOR
CLOSING DOWN AN ESTABLISHMENT ?
 NO PERMISSION REQUIRED FOR VA ESTABLISHMENTS
 MAKING OF APPLICATION AND OBTAINING PRIOR PERMISSION FROM APPROPRIATE
GOVERNMENT (OR NOTIFIED AUTHORITY) IS REQUIRED IF THE ESTABLISHMENT IS A
'FACTORY', 'MINE' OR 'PLANTATION' WHICH EMPLOYED MORE THAN 100 WORKMEN
 SUCH APPLICATION FOR PRIOR PERMISSION SHOLD BE SUBMITTED AT LEAST 90 DAYS IN
ADVANCE OF PROPOSED DATE OF CLOSURE
 COPY OF APPLICATION TO BE SENT TO UNION/WORKMEN REPRESENTATIVES
NOTE
1) PRIOR PERMISSION REQUIRED ONLY FOR 'FACTORIES', 'MINES' AND 'PLANTATIONS'.
2) PUBLIC SECTOR UNDERTAKINGS IN WHICH CENTRAL GOVERNMENT HAS AT LEAST
51% SHARE CAPITAL SHOLD APPLY AND OBTAIN PERMISSION FROM CENTRAL
GOVERNMENT AND NOT THE STATE GOVERNMENT EVEN IF THE APPROPRIATE
GOVERNMENT FOR THEM UNDER SECTION 2(a) IS THE STATE GOVERNMENT
[Sn.25L(b), 2(a)].

55. e) PROVISIONS ON 'SETTLEMENT'
i) WHAT IS MEANT BY A SETTLEMENT [Sn.2(p)] ?
AN AGREEMENT ARRIVED AT BETWEEN THE EMPLOYER AND WORKMEN.
ii) TYPES OF SETTLEMENTS [Sn.12(3), 18(1), 18(30]
TRIPARTITE SETTLEMENTS UNDER SECTION 12(3) ARRIVED AT WITH HELP OF
CONCILITION OFFICER/BOARD. BIPARTITE SETTLEMENT ARRIVED AT WITHOUT
CONCILIATION ASSISTANCE BUT SENT JOINTLY TO CONCILIATION OFFICER FOR
REGISTRATION AS A SETTLEMENT UNDER SECTION 18(3). BIPARTITE SETTLEMENTS
ARRIVED AT BETWEEN THE PARTIES UNDER SECTION 18(1) WITH NO NOTICE TO OR
ASSISTANCE FROM CONCILIATION OFFICER.
iii) ON WHOM ARE SETTLEMENTS BINDING [Sn.18(1), 18(3)] ?
BIPARTITE SETTLEMENTS UNDER 18(1) OR 18(3) ARE BINDING ONLY ON THE PARTIES
THAT SIGNED THE SETTLEMENT (IT CANNOT BE ENFORCED ON OTHER UNIONS OR
WORKERS WHO ARE NOT PARTIES TO THE SETTLEMENT).

56. A TRIPARTITE SETTLEMENT THROUGH CONCILIATION UNDER 12(3) IS ENFORCEABLE
AGAINST :
- ALL PARTIES TO THE DISPUTES
- ALL OTHER PARTIES SUMMONED TO THE CONCILIATION
PROCEEDINGS
- IN THE CASE OF EMPLOYER ON HIS HEIRS/SUCCESSORS/ASSIGNS
- IN THE CASE OF WORKMENON ALL WORKMEN ON THE ROLLS ON
DATE OF SETTLEMENT AND ALL FUTURE EMPLOYEES OF THAT
ESTABLISHMENT
iv) WHEN DOES A SETTLEMENT COME INTO OPERATION [Sn.19(1)] ?
FROM THE DATE AGREED TO AND INDICATED IN THE SETTLEMENT. IF DATE IS
SILENT, FROM THE DATE OF SIGNING SETTLEMENT.
v) HOW LONG WILL IT BE BINDING OR PERIOD OF ITS VALIDITY [Sn.19(1)] ?
FOR A MINIMUM PERIOD OF SIX MONTHS IF NO PERIOD IS INDICATED, OR FOR THE
LONGER PERIOD INDICATED IN THE SETTLEMENT.

57. WILL THE OBLIGATIONS ON THE PARTIES CEASE ON THE EXPIRY OF
VALIDITY PERIOD?
OBLGATIONS CONTINUE EVEN BEYOND THE AGREED PERIOD AND
WILL CONTINUE TILL PROPER NOTICE OF TERMINATION IS GIVEN
UNDER SECTION 19(2) AND TWO MONTHS HAVE EXPIRED AFTER
ISSUE OF NOTICE OFTERMINATION. AS PER JUDICIAL DECISIONS THE
TERMS OF SETTLEMENT WILL CONTINUE TO BE IN FORCE EVEN
AFTER TERMINATION TILL ANOTHER AGREEMENT IS REACHED
REPLACING THE CORRESPONDING TERMS IN THE OLD AGREEMENT.

58. ix. ROLE OF CONCILIATION OFFICER [Sn. 12(3), Rules 58(1), (3) & 75]
TO RECORD THE SETTLEMENT IN FORM H UNDER Rule 58 (1).
TO MAINTAIN A REGISTER OF ALL SETTLEMENTS UNDER Rule 75.
TO SEND A COPY OF SETTLEMENT TO THE APPROPRIATE GOVERNMENT.
NOTE:
WHERE THERE IS MULTIPLICITY OF UNIONS AND INTER UNION RIVALRY, IT IS
PRUDENT TO SIGN ONLY TRIPARTITE CONCILIATION SETTLEMENTS UNDER
Section 12 (3) RATHER THAN GO IN FOR BIPARTITE AGREEMENTS UNDER
Section 18 (3) OR 18 (1). WHILE A TRIPARTITE SETTLEMENT IS ENFORCEABLE
AGAINST ALL, A BIPARTITE AGREEMENT BINDS ONLY ON THE PARTIES TO THE
SETTLEMENT.
f) PROVISIONS ON AWARDS
I. WHAT IS MEANT BY AN ‘AWARD’ [Sn. 2 (b)]?
AN AWARD IS AN INTERIM OR FINAL ORDER PASSED BY THE FOLLOWING
DISPUTE SETTLING AUTHORITIES UNDER THE I.D. ACT.
- LABOUR COURT UNDER Sn. 7
- INDUSTRIAL TRIBUNAL OR NATIONAL TRIBUNAL UNDER SECTION 7(A) OR
7(B)
- AN ARBITRATOR UNDER SECTION 10 (A)

59. PENDENCY OF PROCEEDINGS AND ITS IMPLICATIONS
a) WHAT IS MEANT BY PENDENCY OF PROCEEDINGS [Sn.20] ?
i) THE PERIOD FROM WHICH CONCILIATION / ADJUDICATION / ARBITRATION
PROCEEDINGS COMMENCES AND CONCLUDES UNDER Sn.20 IS CALLED PERIOD
OF PENDENCY.
ii) WHEN IS CONCILIATION DEEMED TO BE PENDING - COMMENCEMENT AND
CONCLUSION [Sn.20(1)(2)(a,b)] ?
COMMENCEMENT :
WHEN NOTICE OF STRIKE/LOCKOUT IN PUBLIC UTILITY INDUSTRIES UNDER Sn.22
IS RECEIVED BY THE CONCILIATION OFFICER OR ON THE DATE THE DISPUTE IS
REFERRED TO THE CONCILIATION BOARD AND IN OTHER CASES WHEN THE
CONCILIATION OFFICER ISSUES NOTICE OF CONCILIATION.
CONCLUSION :
IT CONCLUDES WHEN A SETTLEMENT IS SIGNED BY THE PARTIES. IF THERE IS NO
SETTLEMENT WHEN THE FAILURE REPORT OF THE CONCILIATION OFFICER IS RECEIVED
BY THE GOVERNMENT.

60. iii) WHEN IS ADJUDICATION /ARBITRATION DEEMED TO BE PENDING
[Sn.20(2)(C)20(3) & 17] ?
COMMENCEMENT :
ADJUDICATION / ARBITRATION PROCEEDINGS ARE DEEMED TO
COMMENCE ON THE DATE WHEN THE GOVERNMENT REFERS THE DISPUTE TO
LABOUR COURT / TRIBUNAL / NATIONAL TRIBUNAL OR ARBITRATOR UNDER
SECTION 10 OR 10 A AS THE CASE MAY BE.
CONCLUSION :
ADJUDICATION / ARBITRATION PROCEEDINGS ARE DEEMED TO HAVE
CONCLUDED ON THE DATE ON WHICH THEIR AWARDS BECOME ENFORCEABLE
UNDER SECTION 17 A, i.e. AFTER 30 DAYS OF THE PUBLICATION OF THE
AWARD IN THE OFFICIAL GAZETTE.

61. b) IMPACT OF PENDENCY ON STRIKES / LOCKOUTS
i) WHY IS IT IMPORTANT TO KNOW THE PERIOD OF PENDENCY OF
PROCEEDINGS ?
AS PER SECTION 22(d) ANY STRIKE / LOCKOUT IN A PUBLIC UTILITY
INDUSTRY DURING THE PENDENCY OF CONCILIATION AND SEVEN DAYS
THEREAFTER WOULD BE ILLEGAL [(Sn.22(d)].
ANY STRIKE / LOCKOUT IN A NON-PUBLIC UTILITY AS WELL AS PUBLIC
UTILITY DURING PENDENCY OF CONCILIATION BEFORE A BOARD AND SEVEN
DAYS THEREAFTER WOULD BE ILLEGAL [Sn.23(a)].
ANY STRIKE/LOCK OUT DURING THE PENDENCY OF
ADJUDICATION/ARBITRATION PROCEEDING AND TWO MONTHS
THEREAFTER WOULD BE ILLEGAL IN BOTH PUBLIC AND NON-PUBLIC
UTILITY INDUSTRIES [Sn.23(b), 23(bb)].

62. c) IMPACT OF PENDENCY ON EMPLOYER'S RIGHT TO ALTER SERVICE CONDITIONS
i) WHILE EMPLOYERS ARE ENTITLED TO ALTER THE SERVICE CONDITIONS / TAKE
DISCIPLINARY ACTION IN TERMS OF THEIR STANDING ORDERS DURING NORMAL TIMES;
SOME RESTRICTIONS ARE PLACED ON THESE RIGHTS DURING PENDENCY OF
PROCEEDINGS LIKE CONCILIATION, ARBITRATION AND ADJUDICATION.
ii) AS PER Sn.33(1)(a) DURING PENDENCY OF PROCEEDINS, ANY ALTERATION OF
ANY MATTER CONNECTED WITH THE DISPUTE CAN BE MADE ONLY WITH EXPRESS
WRITTEN PERMISSION OF THE AUTHORITY BEFORE WHOM THE DISPUTE IS PENDING
iii) AS PER Sn.33(2)(a), EVEN DURING PENDENCY OF PROCEEDINGS NO
PERMISSION IS REQUIRED FOR ALTERING ANY MATTER NOT CONNECTED
WITH THE DISPUTE IF THE STANDING ORDERS OR CONTRACT OF EMPLOYMENT OF
THE CONCERNED WORKMEN ALLOW THE EMPLOYER TO MAKE SUCH ALTERATION
[Sn.33(2)(a)].

63. d) IMPACT OF PENDENCY ON EMPLOYER'S RIGHT TO TAKE DISCIPLINARY
ACTION
i) AS PER Sn.33(1)(b) DURING PENDENCY OF PROCEEDINGS ANY
DISCIPLINARY PUNISHMENT FOR A MISCONDUCT CONNECTED WITH THE
DISPUTE CAN BE TAKEN ONLY AFTER OBTAINING EXPRESS WRITTEN
PERMISSION OF THE AUTHORITY BEFORE WHOM THE DISPUTE IS PENDING
ii) AS PER Sn.33(2)(b) IF THE MISCONDUCT IS NOT CONNECTED WITH THE
PENDING DISPUTE NO PRIOR PERMISSION FOR DISMISSING OR DISCHARGING IS
REQUIRED BUT RATIFICATION OR APPROVAL IS TO BE TAKEN FROM THE
AUTHORITY AFTER THE TERMINATION ORDER IS ISSUED.
iii) WHILE ISSUING THE TERMINATION ORDER ONE FULL MONTH'S
WAGES (WITHOUT ANY DEDUCTIONS) SHOULD ALSO BE PAID AND AN
APPLICATION FOR APPROVAL SHOULD
ALSO BE SUBMITTED TO THE AUTHORITY ON THE VERY
SAME DAY OF ISSUE OF THE TERMINATION ORDER

64. NOTE : IF APPROVAL IS REFUSED THE WORKMAN WILL HAVE TO BE
REINSTATED WITH BACK WAGES.
e) IMPACT OF PENDENCY ON TAKING ACTION AGAINST
PROTECTED WORKMEN'
AS PER Sn.33(3) DURING PENDENCY OF PROCEEDINGS, TRADE
UNION OFFICE BEARERS WHO QUALIFY FOR THE STATUS OF
'PROTECTED WORKMEN' UNDER RULE 61 SHOULD NOT BE
PUNISHED OR TERMINATED WITHOUT THE PRIOR WRITTEN
PERMISSION FROM THE AUTHORITY CONCERNED

65. f) WORKMEN'S MODE OF SEEKING RELIEF FOR EMPLOYERS VIOLATION OF
SECTION-33
i) IF DURING THE PENDENCY OF PROCEEDINGS THE EMPLOYER HAS
ALTERTED THE SERVICE CONDITIONS VIOLATING Sn.33(1)(a) OR 33(2)(a) OR
PUNISHED A WORKMAN IN VIOLATION OF Sn.33(1)(b) OR 33(2)(b) OR
PUNISHED A PROTECTED WORKMAN (OFFICE BEARER) IN VIOLATION OF
SECTION 33(3), THE AGGRIEVED WORKMAN CAN FILE A COMPLAINT TO
THE AUTHORITY
ii) THE AUTHORITY CONCERNED WILL MAKE AN ENQUIRY AND AFTER
HEARING THE PARTIES WILL PASS APPROPRIATE ORDERS GRANTING OR
REFUSING APPROVAL OR PERMISSION AS THE CASE MAY BE [Sn.33A].

66. NOTE :
1 IF APPROVAL IS REFUSED WORKMAN HAS TO BE REINSTATED
2 WHEN PERMISSION IS REQUIRED, ACTION BY
EMPLOYER CAN BE ONLY AFTER GETTING WRITTEN PERMISSION
3 EVEN IF APPROVAL/PERMISSION IS GRANTED UNDER Sn.33A, THE
WORKMAN IS NOT BARRED FROM CHALLEGING THE ACTION AND RAISING A
DISPUTE FOR REINSTATEMENT UNDER SECTION 2(K) OR 2(A).

67. SIGNIFICANCE OF SECTION 33 OF THE I.D.ACT 1947
I SIGNIFICANCE
OF SECTION 33
- IT PLACES CERTAIN
TEMPORARY
RESTRICTIONS ON
EMPLOYERS RIGHT
TO:
MAKE CHANGES IN SERVICE
CONDITONS OF WORKMEN
TO AWARD PUNISHMENT OF
DISMISSAL/DISCHARGE ON ANY
WORKMAN
TO IMPOSE ANY KIND OF PUNISHMENT
ON UNION OFFICE BEARERS TREATED
AS ‘PROTECTED WORKMEN’
II ARE THESE
RESTRICTIONS
ALWAYS
APPLICABLE ?
- NO. [THERE ARE NO
RESTRICTIONS IF NO
PROCEEDING IS
PENDING [Sn 33(1)]

68. III THEN WHEN ARE
THEY
APPLICABLE ?
- IT APPLIES ONLY
DURING ‘THE PERIOD
OF PENDENCY OF
ANY ONE OF THE
FOLLOWING
PROCEEDINGS:
-
-
-
CONCILIATION
ADJUDICATION
ARBITRATION
[Sn 33(1)]
IV WHAT IS MEANT
BY ‘PERIOD OF
PENDENCY’ ?
-
-
CONCILIATION IS DEEMED TO COMMENCE AND
CONCLUDE WHEN CONTINGENCIES MENTIONED IN
SECTION 20(1) 20(2) ARE SATISFIED
SIMILARLY ‘ADJUDICATION’& ‘ARBITRATION’ ARE
DEEMED TO COMMENCE & CONCLUDE WHEN
CONTINGENCIES MENTIONED IN SECTION 20(3) IS
SATISFIED.
Note: THE INTERVENING PERIOD IS CALLED THE
PERIOD OF PENDENCY

69. V WHAT IS THE NATURE OF RESTRICTIONS IMPOSED
CONTINGENCY TAKE PRIOR WRITTEN
PERMISSION
TAKE POST FACTO APPROVAL
ALTERATION OF SERVICE CONDITIONS
A WHEN EMPLOYER WANTS
TO ALTER A
MATTER/SERVICE
CONDITION WHICH IS THE
SUBJECT MATTER OF
THE DISPUTE
ACTION ONLY AFTER
GETTING PRIOR
WRITTEN
PERMISSION
FROM AUTHORITY
NA
B WHEN SERVICE
CONDITIONS/ ANY OTHER
MATTER NOT
CONNECTED WITH THE
PENDING DISPUTE ARE
TO BE ALTERED IN CASE
OF PERSONS
CONCERNED IN THE
DISPUTE [Sn 33(2)(a)]
NA
NO PERMISSION OR
APPROVAL IS REQUIRED
IF THE ACTION IS AS PER
APPLICABLE STANDING
ORDER PROVISIONS OR
PREVAILING SERVICE
RULES.

70. DISMISSAL ORDERS
A DISCIPLINARY ACTION
AGAINST A WORKMAN
FOR A MISCONDUCT
CONNECTED WITH THE
PENDING DISPTUTE [Sn
33(I)(b)]
ANY DISCIPLINARY
PUNISHMENT ONLY
AFTER GETTING
PRIOR WRITTEN
PERMISSION
NA
B DISCIPLINARY ACTION
AGAINST A
CONCERNED
WORKMAN FOR A
MISCONDUCT NOT
CONNECTED WITH THE
PENDING DISPUTE [Sn
33(2)(b)]
NA
ONLY FOR TERMINATION.
ON THE DATE OF ISSUE
OF TERMINATION ORDER
PAY ONE MONTHS
SALARY WITHOUT ANY
DEDUCTIONS AND ON
THE SAME DAY FILE AN
APPROVAL PETITION.

71. PROTECTED WORKMEN
PUNISHING ‘PROTECTED
WORKMEN’
[Sn 33(3), R-62]
ANY KIND OF
PUNISHMENT TO
‘PROTECTED
WORKMEN’ MUST BE
GIVEN ONLY AFTER
APPLYING AND
GETTING WRITTEN
PERMISSION
IF NOT A ‘PROTECTED
WORKMAN’ FILE
APPROVAL PETITION
(ONLY FOR
TERMINATION CASES)
VI WHERE TO FILE
APPROVAL/PERMISSION
APPLICATIONS
PERMISSION OR APPROVAL APPLICATIONS TO
BE FILED BEFORE THE DISPUTE PENDING
AUTHORITY
IF DISPUTE PENDING BEFORE MORE THAN ONE
AUTHROTITY – EMPLOYER CAN CHOOSE ANY
ONE OF THEM

72. VII IS THERE ANY
SPECIFIC FORMAT
SEE THE APPLICABLE STATE RULES
IN KERALA THE APPLICABLE RULE & FORMAT ARE
AS FOLLOWS:
CONTINGENCY RULE NO. IN FORM NO.
FOR
PERMISSION
PETITIONS
61(1) & (3) (4)
& (5)
J
FOR
APPROVAL
PETITIONS
61(2) (3) (4) &
(5)
K
VIII WHAT CAN A
WORKMAN DO WHEN
EMPLOYER DOES NOT
COMPLY WITH
SECTION 33
AS PER SECTION 33(A) AND RULE 60 (1) (2) (3) (4)
HE CAN FILE A COMPLAINT TO THE AUTHORITY
BEFORE WHOM PROCEEDING IS PENDING
IX CONSEQUENCES OF
APPROVALS NOT
BEING GRANTED
THE WORKMAN HAS TO BE REINSTATED IN
SERVICE AND
GIVEN FULL BACK PAY AND BENEFITS [Sn 33(A)]

73. X GENERAL EVEN IF APPROVAL/PERMISSION IS GIVEN UNDER
SECTION 33, WORKMAN CAN RAISE A SEPARATE
DISPUTE CHALLENGING HIS DISMISSAL [Sn-2(A) &
11A]
EVEN IF NO APPLCATION FOR
PERMISSION/APPROVAL IS MADE,
DISMISSAL/DISCIPLINARY ACTION WILL NOT BE
IPSO FACTO ILLEGAL. EMPLOYERS CAN STILL
JUSTIFY HIS ACTION WHEN CASE COMES UP
BEFORE LABOUR COURT.
EVEN IN PERMISSION CASES THE EMPLOYER CAN
FILE THE PERMISSION APPLCIATION AND
PARALLALY PLACE THE WORKMAN UNDER
SUSPENSION PENDING ENQUIRY PROVIDED HE IS
PAID THE APPLICABLE SUBSISTENCE ALLOWANCE
TILL THE PERMISSION APPLICATION IS DISPOSED
OF.

74. v) EXTENT OF COMPENSATION PAYABLE TO AFFECTED WORKMEN
AS PER Sn.25FFF IN SMALLER ESTABLISHMENTS (AVERAGE LESS THAN 100
WORKMEN) WORKMEN SATISFYING THE ATTENDANCE REQUIREMENT OF
Sn.25B ARE ENTITLED TO COMPENSATION AS IF THEY WERE RETRENCHED
(15 DAYS WAGES PER YEAR OF SERVICE). HOWEVER, IF THE
ESTABLISHMENT CAN JUSTIFY THAT IT HAD TO BE CLOSED DOWN DUE TO
CIRCUMSTANCES BEYOND THE EMPLOYERS CONTROL (PLEASE SEE
EXPLANATION TO 25FFF AS TO WHAT WOULD NOT BE TREATED AS FACTORS
BEYOND THE CONTROL) THE MAXIMUM COMPENSATION PAYABLE WOULD
BE LIMITED TO THREE MONTHS WAGES [PLEASE ALSO SEE Sn.25FFF(1A) ON
CLOSURE OF MINING ESTABLISHMENT AND Sn.25FFF(2) ON CONSTRUCTION
ESTABLISHMENT].
IN LARGER ESTABLISHMENTS (EMPLOYING MORE THAN 100 WORKMEN ON
AN AVERAGE DURING THE PREVIOUS 12 MONTHS) AS PER Sn.25(O)(8)
COMPENSATION AT THE RATE OF 15 DAYS WAGES PER YEAR OF SERVICE IS
PAYABLE AND AS PER Sn.25J IF UNDER ANY OTHER LAW OR
CONTRACT/STANDING ORDER THEY ARE ELIGIBLE FOR BETTER RATE OF
COMPENSATION THE HIGHER OR BETTER RATE WILL PREVAIL.

75. c) ENFORCEMENT OF CLAIMS
i) GOVERNMENT WILL REFER THE CLAIM PETITION TO THE LABOUR COURT FOR
DETERMINATION
THE COURT WILL PASS NECESSARY AWARD (ORDER) AND SEND IT TO THE
GOVERNMENT [Sn. 33(4)].
THE GOVERNMENT WILL THEN FORWARD THE ORDER TO THE COLLECTOR TO
EXCEUTE THE ORDER BY ATTACHING THE EMPLOYER’S PROPERTY AND
RECOVERING THE MONEY AND PAYING IT TO THE WORKMAN / WORKMEN
[Sn. 33(C)(1),33(C)(4)].
VII. WHAT ARE THE PROVISIONS ON ‘WORKS COMMITTEE’ UNDER
THE INDUSTRIAL DISPUTES ACT 1947?
I. WHAT IS A WORKS COMMITTEE?
IT IS A COMMITTEE CONSISTING OF EQUAL NUMBER OF MANAGEMENT AND WORKMEN
REPRESENTATIVES SET UP FOR PROMOTING AMITY AND GOOD RELATIONS AND
EMPOWERED TO COMMENT ON MATTERS OF COMMON INTEREST AND TO ENDEAVOUR
TOWARDS REDUCING DIFFERENCES IN THE VIEW POINTS BETWEENTHEM [Sn.3(2)].

76. ii) WHEN DOES IT BECOME OBLIGATORY TO SET UP A WORKS COMMITTEE ?
IN ESTABLISHSMENTS WHICH EMPLOY MORE THAN 100 WORKMEN OR HAD
EMPLOYED MORE THAN 100 WORKMEN ON ANY DAY IN THE PREVIOUS 12
MONTHS, OBLIGATION ACTUALLY ARISES ONLY WHEN THE GOVERNMMENT
THROUGH A GENERAL/SPECIAL ORDER REQUIRES SETTING UP OF A WORKS
COMMITTEE [Sn.3(1)].
iii) MANNER OF CONSTITUTING A WORKS COMMITTEE
THE WORKMEN REPRESENTATIVES SHALL BE ELECTED AND MANAGEMENT
REPRESENTATIVES CAN BE NOMINATED [R-40] DIVISION OF
CONSTIUTENCIES WITHIN THE ESTABLISHMENT SHALL BE MADE IN
CONSULTATION WITH THE UNIONS AFTER COMPLYING WITH PROCEDURE
OUTLINED IN RULES 41 TO 43. CANDIDATES CONTESTING SHALL BE AT
LEAST 19 YEARS OF AGE AND HAVE AT LEAST ONE YEAR SERVICE.
WORKMEN WHO HAVE AT LEAST SIX MONTHS SERVICE AND ABNOVE THE
AGE OF 18 COULD VOTE IN THE ELECTIONS. ELECTIONS SHALL BE
CONDUCTED IN COMPLIANCE WITH THE PROCEDURE LAID DOWN IN RULES
46 TO 50.

77. iv) OFFICE BEARERS
COMMITTEE SHALL HAVE A CHAIRMAN, VICE CHAIRMAN, SECRETARY AND
JOINT SECRETARY [R-52]
v) TERM OF OFFICE
THE COMMITTEE ONCE SET UP WILL HAVE A TWO YEAR TERM OF OFFICE.
MID TERM VACANCIES SHOLD BE FILLED AS PER RULE 52.
vi) MEETINGS
COMMITTEE SHALL MEET AT LEAST ONCE IN A QUARTER [R-55] EMPLOYER
SHOULD PROVIDE NECESSARY FACILITIES FOR HOLDING THE MEETINGS [R-
56]
vii) DISSOLUTION
THE CENTRAL GOVERNMENT OR OTHER AUTHORISED AUTHORITY COULD
DISSOLVE A WORKS COMMITTEE AS PER RULE 57.

78. viii) SUBMISSION OF RETURNS
THE EMPLOYER IS REQUIRED TO SUBMIT HALF YEARLY RETURN IN FORM G-1
IN TRIPLICATE [R-56-A]
ix) SUBJECTS THAT COULD BE DISCUSSED IN THE WORKS COMMITTEE
THIS IS NOT SPECIFICALLY LISTED IN THE INDUSTRIAL DISPUTES ACT OR
RULES. HOWEVER THE TRIPARTITE LABOUR CONFERENCE HELD IN 1959
HAS DRAWN UP A LIST OF DOS AND DON'TS FOR THE WORKS COMMITTEE.
x) MATTERS THAT COULD BE DISCUSSED AT THE WORKS COMMITTEE
CONDITIONS OF WORK SUCH AS VENTILATION, LIGHTING, TEMPERATURE
AND SANITATION, INCLUDING LATRINES AND URINALS. AMENITIES SUCH AS
DRINKING WATER, CANTEEN REST ROOMS, MEDICAL AND HEALTH
SERVICES. SAFETY AND ACCIDENT PREVENTION, OCCUPATIONAL DISEASES
AND PROTECTIVE EQUIPMENTS. ADJUSTMENT OF NATIONAL AND FESTIVAL
HOLIDAYS. PROMOTION OF THIRFT AND SAVINGS.

79. xi) MATTERS WHICH CANNOT BE DISCUSSED AT THE WORKS COMMITTEE
WAGES AND ALLOWANCES
BONUS AND PROFIT SHARING BONUS
RATIONALISATION AND MATTERS CONNECTED WITH THE FIXATION OF
WORKLOAD
MATTERS CONNECTED WITH THE FIXATION OF A STANDARD LABOUR FORCE
PROGRAMMES OF PLANNING AND DEVELOPMENT
MATTERS CONNECTED WITHRETRENCHMENT AND LAYOFF
VICTOMISATION FOR TRADE UNION ACTIVITIES
PROVIDENT FUND, GRATUITY SCHEME AND RETIREMENT BENEFITS
QUANTUM OF LEAVE AND NATIONAL AND FESTIVAL HOLIDAYS
INCENTIVE SCHEME
HOUSING AND TRANSPORT SERVICE.
b) PROVISIONS ON 'UNFAIR LABOUR PRACTICE'
i) PROHIBITION ON EMPLOYER/UNIONS/WORKMEN
SECTION 25 T OF THE ID ACT PROHIBITS EMPLOYERS/WORKMEN/UNIONS INDULGING
IN ACTS LISTED AS UNFAIR LABOUR PRACTICES UNDER SCHEDULE-V TO THE ID ACT
[Sn.2(ra), 25T, Sch.V]
•

80. ii) WHAT ARE THE UNFAIR LABOUR PRACTICES LISTED AGAINST EMPLOYERS ?
THE FOLLOWING ARE THE IMPORTANT UNFAIR LABOUR PRACTICES LISTED
AGAINST EMPLOYERS :
1) THREATENING WORKMEN WITH DISCHARGE/DISMISSAL/LOCKOUT FOR
PREVENTIONG TRADE UNION FORMATION.
2) GRANTING WAGE INCREASE AIMED AT PREVENTING TRADE UNION
FORMATION
3) FINANCING OR ASSISTING IN FORMATION OF EMPLOYER SPONSORED
UNIONS
4) TAMPERING WITH SENIORITY/PROMOTION OF WORKMEN WITH A VIEW TO
OBSTRUCT THE GROWTH OF PARTICULAR UNION
5) VICTIMISING WORKMEN FOR TRADE UNION ACTIVITIES

81. 6) REPLACING REGULAR JOBS WITH CONTRACT WORKMEN WITH A VIEW TO
BREAK A STRIKE
7) MALAFIDE TRANSFER OF WORKMEN
8) FORCING WORKMEN ON A LEGAL STRIKE TO GIVE GOOD CONDUCT BONDS
9) EXPLOITING WORKERS BY KEEPING THEM AS
CASUALS/TEMPORARIES/BADLIS FOR LONG YEARS
10) REFUSE TO IMPLEMENT SETTLEMENTS/AWARDS
11) FAILURE TO IMPLEMENT SETTLEMENTS/AWARDS
12) CONTINUIGN WITH ILLEGAL LOCKOUTS
13) INDULGE IN ACTS OF FORCE/VIOLENCE [Sch.V(1)]

82. iii) UNFAIR LABOUR PRACTICES LISTED AGAINST UNIONS/WORKMEN
1) SUPPORTING/INSTIGATING ILLEGAL STRIKES
2) FORCING WORKMEN TO JOIN A UNION
3) PICKETING / OBSTRUCTING / THREATENING NON-STRIKING WORKMEN
4) REFUSING TO PARTICIPATE IN COLLECTIVE BARGAINING
5) INDULGING IN GO-SLOW/SQUATTING
6) DEMONSTRATION AT RESIDENCE OF EMPLOYER
7) WILFUL DAMAGE OF EMPLOYERS PROPERTY [Sch V(II)]

83. iv) CONSEQUENCES OF INDULGING IN UNFAIR LABOUR PRACTICES
AS PER Sn 25U ANY PERSON INDULGING IN UNFAIR LABOUR PRACTICE SHALL BE
PUNISHABLE ` BY IMPRISONMENT UPTO SIX MONTHS OR FINE OF UPTO Rs.1000/-
OR BOTH [Sn.25U].
c) PROVISIONS ON GRIEVANCE SETTLEMENT
AS PART OF THE 1982 AMENDMENT A GRIEVANCE SETTLEMENT MACHINERY WAS
INCORPORATED IN THE INDUSTRIAL DISPUTES ACT. ACCORDINGLY SECTION 9C WAS
INCORPORATED IN THE ACT. THIS SECTION HAS HOWEVER NOT BEEN NOTIFIED FOR
IMPLEMENTATION SO FAR. SECTION 9C(4) CONTEMPLATES THAT NO DISPUTES
SHOULD BE REFERRED FOR ADJUDICATION UNTIL THE GRIEVANCE SETTLEMENT
PROCEDURE IS EXHAUSED.
d) PROVISIONS ON REPRESENTAITION OF PARTIES
i) BAN ON APPEARANCE OF LEGAL PRACTICTIONERS [Sn.36]
SECTION 36(3) OF THE ACT PROHIBITS APPEARANCE OF ADVOCATES. HOWEVER,
SECTION 36(4) PERMITS APPEARANCE OF LEGAL PRACTITIONERS WITH THE
CONSENT OF THE OTHER PARTY AND LEAVE OF THE PRESIDING OFFICERS.

84. ii) WHO CAN REPRESENT THE WORKMEN [Sn.36(1),(a),(b),(c)] ?
ANY EXECUTIVE MEMBER OR OFFICE BEARER OF A REGISTERED TRADE
UNION. ANY EXECUTIVE MEMBER OF FEDERATION TO WHICH THE TRADE
UNION IS AFFILIATED. IIF A WORKMAN IS NOT A MEMEBR OF ANY UNION HE
CAN AUTHORITIRSE ANY CO-WORKER OR ANY UNION LEADER TO
REPRESENT HIM.
iii) WHO CAN REPRESENT AN EMPLOYER [Sn.36(2)(a),(b),(c)] ?
AN OFFICER OF AN ASSOCIATION OF EMPLOYERS. AN OFFICER OF A
FEDERATION TO WHICH THE EMPLOYERS ASSOCIATION IS AFFILIATED. IF
NOT BELONGING TO ANY ASSOCIATION CAN AUTHORISE ANY OTHER
EMPLOYER IN THE INDUSTRY OR ANY OFFICE BEARER OF AN ASSOCIATION
OF EMPLOYERS.

85. ii) TYPES OF AWARDS [Sn.7, 7A, 7B]
LABOUR COURTS GIVE AWARDS ON ITEMS LISTED IN SCHEDULE-II OF THE ID ACT
TRIBUNALS/ NATIIONAL TRIBUNALS GIVE AWARDS ON ITEMS LISTED IN
SCHEDULE-III OF THE ID ACT. ARBITRATORS GIVE AWARD ON SUBJECT REFERRED
TO THEM UNDER THE ARBITRATION AGREEMENT.
iii) PUBLICATION OF AWARDS ANDA THEIR FINALITY [Sn.17(1)(2),15,17(B)]
UNLIKE THE CIVIL/CRIMINAL COURTS, LABOUCOURTS/TRIBUNALS/ADJUDICATORS
UNDER THE ID AC CANNOT PRONOUNCE THEIR DECISIONS/ORDERS IN COURTS.
THEIR DECISIONS/ORDERS ARE TO BE SENT TO THE APPROPRIATE GOVERNKENT.
THE APPROPRIATE GOVERNMENT IS TO THEN PUBLISH IT WITHIN 30 DAYS OF
RECEIPT OF THE ORDER. SUBJECT TO PROVISION OF SECTION 17A, THE AWARDS
ARE FINAL AND CANNOT BE CHALLENGED IN ANY COURT. HOWEVER AWARDS
PERTAINING TO REINSTATEMENT OF DISMISSED WORKMEN CAN BE
CHJALLENGED IN SUPREME COURT/HIGH COURT. SECTON 17 B STIPULATES THAT
IN SUCH CASES THE EMPLOYER MUST PAY FULL LAST DRAWNWAGES TILL THE SIT
IS DISPOSED OFF BY THE HIGH COURT/ SUPREME COURT.

86. IV ON WHOM ARE AWARDS BINDING [Sn.18(3)] ?
AS PER SECTION 18(3) AWARDS ARE BINDING ON THE FOLLOWING :
ALL PARTIES TO THE DISPUTE
ALL OTHER PARTIES SUMMONED TO APPEAR IN THE PROCEEDINGS
INCASE OF EMPLOYER ON HIS HEIRS/SUCCESSORS/ASSIGNS
IN CASE OF WORKMEN,ON ALL WORKMEN ON THE ROLLS ON THE DATE THE
DISPUTE AROSE AND ALL FUTURE EMPLOYEES OF THAT ESTABLISHMENT.
V WHEN DOES AN AWARD COME INTO OPERATION OR BECOME ENFORCEABLE ?
[Sn.17 (A), 17(1),(2), (3), (4)] IT BECOMES ENFORCEABLE ON THE EXPIRY OF 30
DAYS FROM THE DATE OF ITS PUBLICATION BY THE GOVERNMENT UNDER Sn.17.

87. NOTE :
UNDER THE PROVISO TO Sn.17, GOVERNMENT EMPOWERED TO HOLD UP THE
ENFORCEMENT OF THE AWARD IN PART OR FULL IN PUBLIC INTEREST BUT MUST THEN
PUT UP THE AWARD BEFORE THE LEGISLATURE FOR A FINAL DECISION ON ITS
ENFORCEMNE.T
VI WHAT IS THE PERIOD OF VALIDITY OF AN AWARD ?
[Sn.19(3),(4),(5)] AS PER SECTION 19(3) IT SHALL BE IN FORCE FOR ONE YEAR
FROM THE DATE IT BECOMES ENFORCEABLE UNDER SECTION 17(A) STATEGOVERNMENT
CANE XTEND THIS PERIOD FOR ONE YEAR AT A TIME SUBJECT TO THE TOTAL VALIDITY
PERIOD NOT EXCEEDING THREE YEARS. UNDER SECTION 19(4) GOVERNMENT
EMPOWERED TO SEEK REDUCTION OF THE NORMAL PERIOD BY
REFERRING IT TO THE ADJUDICATING AUTHORITY.

88. VII) WILL THE OBLIGATIONS ON THE PARTIES CEASE ON EXPIRY OF THE VALIDITY PERIOD
[Sn.19(2), (3), (6)] ?
OBLIGATIONS CONTINUE EVEN AFTER THE VALIDTY PERIOD TILL
PROPER NOTICE OF TERMINATION IS GIVEN UNDER Sn.19(6) AND
TWO MONTHS HAVE ELAPSED FROM DATE OF NOTICE.
VIII) WHO IS COMPETENT TO ISSUE NOTICE OF TERMINATION ?
ONLY A PARTY REPRESENTING THE MAJORITY OF THE PERSONS BOUND BY THE
AWARD CAN ISSUE A VALID NOTICE OF TERMINATION.