Industrial Dispute Presentation

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Industrial Disputes



Suraj karol

Shruti Gupta

Tanya Verma

Deepshikha

Verma

Deepak Verma

Kuldeep Singh

Nivedita Thakur

Esha Sharma

Vaibhav Sharma



MEANING AND CAUSES OF INDUSTRIAL

DISPUTES

FORMS AND IMPACT

METHODS OF PREVENTIONMETHODS OF SETTLEMENT

LEGISLATIVE AND OTHER MEASURES

INDUSTRIAL DISPUTES IN INDIA AFTER

INDEPENDENCE

EXISTING METHOD OF SETTLEMENT AND

PREVENTION IN INDIA



Industrial Dispute means any dispute

or differences 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



Economic Causes

Non Economic Causes



:Wages and allowances

: Bonus

: Over Time Payment

:High Industrial Profits



Working Conditions and Working Hours

Modernization and Automation of Plant

and Machinery

Personnel Causes Political Causes

; Leave

: Demand for better working condition: Failure to Recognise Unions



Punishment to Workers

Mass Retrenchment & Undue

promotion



FORMS OF

INDUSTRIAL

DISPUTES



The industrial disputes are of many forms

which are as follows:- STRIKE

GHERAO

PICKETING

LOCKOUT

The outcome of industrial disputes is

locking out from the side of the employerand the workers may resort to strike,

gherao, picketing, etc.`



STRIKE

Strike is quitting work by a group of workersfor getting their demands accepted by the

employer. It is a powerful tool used by trade

unions to pressurize the management to accepttheir demands. Strikes can be further of many

types:-

Sit down strike

Slow down strike

Hunger strike

Economic strike

General strike



GHERAO Gherao is the action

taken by the workers under

which they resist the

employer to leave the work

premises or residence.

The person concerned is

put away in a ring made of

human beings i.e. workers.

Gheraos are also being

adopted by educational and

other institutions



picketingIn picketing, workers carry display signs, banners and

play cards and prevent others from entering the place of work and persuade others to join the strike.

This is also done to draw public attention to a cause.

Picketers normally endeavor to be non-violent.

It is generally done in order to put pressure on the

management to meet certain demands.



LOCK- OUT

Lock-out is the step taken by the employer to put

pressure on workers.

Employer close down the workplace until the

workers agree to continue the work on the terms and

conditions as given by the employer.

Lock-out, thus, is the counterpart of strike- the

corresponding weapon in the hands of the employer

to resist the collective demands of workmen or to

enforce his terms.



IMPACT OF

INDUSTRIAL DISPUTESIndustrial disputes always have a negative impact

both on the industry and the nation as a whole.

Whenever there is a dispute in the industrial sector,

it costs dearly to the nation as a whole and to the

parties which are involved in the dispute in particular.

Industrial disputes disrupts the economy of the

country and create social problem for the society in the

form of law and order problem.



The production gets hampered and the produce is

not of appropriate quality and quantity.

According to PIGOU, the industrial disputes

harm the national dividend in two ways:-

Lessens the demand of goods which othercompanies produce and which are used as a raw

material by the industry in which the stoppage has

occurred.

Lessens the supply of raw material or equipment

for the production for the industries which depend on

the injured industry for the supply of raw material

for their production



All this directly injures the national dividend by

the reactions they set up in other industries in

addition to the direct injury that they carry tothemselves.



26-15

Machinery for Prevention andSettlement of Industrial Disputes

Industrial Relations And Industrial Disputes

Machinery for prevention and settlement of disputes

Voluntary Methods

Collective Bargaining

Trade Unions

Joint consultations

Standing Orders

Grievance Procedure

Code of Discipline

Government Machinery

Labour Administ rat ion

Machinery

State Level

Central Level

Statutory Measures

Works Committees

Conciliation

(A) C.Officer

(B) C. Board

Arbitration

Adjudication

(a) Labour Courts

(b) Industrial Tribunals(c) National Tribunals

I n d u s t

r i al D i s p u t e s

A c t ,1 9 4 7

S t a t e

A c t s



What is

CollectiveBargaining?



Collective bargaining is a type of negotiation used by employees towork with their employers.

During a collective bargaining period, workers' representativesapproach the employer and attempt to negotiate a contract whichboth sides can agree with.

Typical issues covered in a labor contract are hours, wages,benefits, working conditions, and the rules of the workplace.

Once both sides have reached a contract that they find agreeable,

it is signed and kept in place for a set period of time, mostcommonly three years.

The final contract is called a collective

bargaining agreement, to reflect the fact

that it is the result of a collective

bargaining effort. The parties often refer to the result of

negotiation as a Collective Bargaining

Agreement (CBA) / as a Collective

Employment Agreement (CEA).



a) Presentation in a collective manner, to the

employer, their demands and grievances by the

employees;

b) Discussions and negotiations on the basis of

mutual give and take for settling thegrievances

and fulfilling the demands;

c) Signing of a formal agreement or an informal

understanding when negotiations result in

mutual satisfaction; and



a) In the event of failure of negotiations, a likely

resort to strike or lock-out to force the

recalcitrant party to come to terms.

When collective negotiations reach a

deadlock, the parties themselves may call in

third persons to help them settle their disputes.

The role of this third person is to break the

deadlock, to interpret the view point of one to

the other, and thereby to help the parties

arrive at an agreement.



According to G.D.H COLE , “ A trade union means anassociation of workers in one or more occupations-an

association carried on mainly for the purpose of

protecting and advancing the member’s economic

interests in connection with their daily work.”In Indiathe trade union movement started after 1918..



Joint consultation is usually done through

joint management councils(JMC).The JMC

normally consists of equal number of

representatives of workers and employers

looking after three things: information

sharing, consultative and administrative

matters relating to welfare, safety, training

etc and the formulation of standing orders.



Standing orders: These are the rules andregulations which govern the conditions of employment of workers. The IndustrialEmployment (standing orders) Act of 1946provides for the framing of standing orders in

all industrial undertakings employing 100 ormore workers.

Grievance procedure: A model grievanceprocedure as suggested by the Indian LabourConference, 1958 has more or less been widely

accepted in India now.

Code of discipline: It consists of a set of self-imposed obligations voluntarily formulated bythe central organization of workers andemployers.



There are a number of tripartite bodieswhich operate at central and state levels .

The Indian Labour conference , wage boards

and industrial committees operate at the

central levels & state Labour advisoryboards operate at the state levels



The central industrial relations machinery consists of theChief labour commissioner , joint labour commissioner.Regional Labour commissioner .Assistant labourcommissioner and Labour enforcement officers .Important functions of this machinery are:-

Prevention , investigation & settlement of industrialdisputes.

Enforcement of awards ,settlement & other labor laws.

Fixation & revision of minimum wages.

Promotion of statutory & non statutory welfare

measures. Collection of statistics with regard to disputes.

Advice to central ministry of labor in regard to laborproblems.



Works committees: As per the Industrial DisputesAct, 1947, works committees have to be set up allthose industrial units which employ 100 or morepersons. It is basically a consultative body

Giving greater participation to workers

Ensuring close interaction between labour andmanagement

Generating cooperative atmosphere for

negotiation between parties Opening the doors to unions to have a clear

view of what is going on within the unit

Strengthening the spirit of voluntarysettlement of disputes



Adjudication: It is the process of settling

disputes compulsorily through theintervention of a third party appointed by the

Government. The Industrial Disputes Actprovides a three-tier adjudication machineryconsisting of:

Labour court

Industrial tribunal National tribunal



Dispute settlement through third party

intervention.

It is an attempt to reconcile the views of the

disputant and bring them to an agreement. It is a friendly intervention of a neutral

person in a dispute to help the parties to

settle their differences peacefully.



Independence and impartiality.

Physically and psychologically fit.

Honest,polite,patient .

Responsible, clear headed and mature. Should have friendly personality.

Well acquainted with the laws and

regulations.

Well trained.

Ability and versatility to form judgements.



As a discussion leader.

As a safety value.

As a communication link.

As an innovator.

As a sounding board.

As a protector.

As a fail-safe device.

As a stimulator.

As an adviser.

As a face saver.

As a collective bargaining.



1)Advance report/notice of proposed strikesor lockouts have to be given to theconciliation authority.

2)Make preliminary contacts with the parties

separately and: Give them information.

Obtain information from them.

Establish a relationship.

3)Scheduling,arranging and conductingmeeting with parties.



1)The hard posture phase.

2)Search of accommodation.

3)Emergence of appropriate mood for

settlement of compromise.



The report must indicate:

1)The steps taken by the conciliator to

ascertain the facts and circumstances,

2)The steps taken to bring about thesettlement.

3)Full statement of facts and circumstances.

4)The reason for which the settlement could

not be reached.



A process in which a dispute is submitted to an

impartial outsider who makes a decision which is

usually a binding on both the parties.

The parties submit their disputes and are bound by

the award of an arbitrator.



1)Judicial approach

2)Non-judicial approach



1) Workers and management have greater

faith and confidence in a settlement

machinery.

2) More flexible.3) Less expensive.

4) Helps building up a sound base for healthy

industrial relations.

5) Suitable and compelling.



Deprives labour of its right to go on a strike.

judgement is often arbitrary and ill-advised.

biased against labour.

Delay in arriving at the award and settlementof dispute.

Too much arbitration is not a sign of healthy

relationships



1)An industrial dispute exists or isapprehended in an establishment;

2)The employer and worker agree in writing torefer the dispute to arbitration.

3)Agreement is in prescribed form and signedby the parties to it.

4)The agreement must be accompanied by theconsent of arbitrator.

5)Dispute must be referred to arbitration atany time before it has been referred tolabour court or tribunal or a nationaltribunal.



An understanding of the complexities of

labour-management relationship.

Knowledge of collective bargaining.

Skills and experience,High integrity.

Acceptable to the parties.

Familiar with personnel policies,industrial

discipline and human relations.



Hear both parties.

Investigation of the facts and circumstances

of the dispute.

PRINCIPLES FOLLOWED BY ARBITRATOR WHILE

DEALING WITH A PARTICULAR DISPUTE:

1) Fair hearing

2) Natural justice

3) Party should be free to give any evidence.

4) impartial



Award must be in line with the jurisdiction.

Must be precise and definite.

Should be capable of being enforced.

Should contain a date or a specific period forimplementation.

Should not violate any provision of any

existing law.

Should contain sufficient justification.



State intervention in the settlement of disputesstarted with the Trade dispute Act ,1929. Theact vested in Govt. with powers, which couldbe used when it considered fit to intervene in

Industrial Disputes. It provided for only adhocconciliation boards and court of inquiry.

The act was amended in 1938, whichauthorised the Central Govt. and Provisional

Govt. to appoint conciliation officers of mediating in or promoting the settlements of disputes.



While this was the position in the country as a whole, a

more purposeful intervention in Industrial Dispute was

attempted in one of the industrial advanced provinces –

THE BOMBAY PRESIDENCY.

The Bombay Trade Dispute Act,1934, introduced forthe first time a standing machinery enable the state to

promote industrial peace.



IMPORTANT PROVISIONS

Compulsory recognition of the unions by the employers.

Giving the rights to the workers to get their case represented

either through a representative union.

Certification of standing orders which would define the

conditions of the employment and make them known to the

workers.

The setting up of an industrial court with original as well as

appellate jurisdiction.

Prohibition of strike or lockout under certain conditions.



The Industrial Dispute Act providing machinery for the

settlement of disputes through conciliation adjudication

was passed. Under this Act, as strike or lock out under

taken in public utility without 14 days notice or 6

weeks after such notice strike, and during the pendencyof conciliation proceeding before a conciliation officer

and 7 days after the conciliation proceedings was

declared illegal.

“An Act to make provisions for the investigationand the settlement of industrial disputes and for certain

other purposes”



promote measures for securing and preserving

amity and good relations between employees and

the employers.

To provide a suitable machinery for investigation

and settlement of industrial disputes.

To prevent illegal strikes and lockouts.

To provide relief to workmen in matters of lay-offs,

retrenchment, wrongful dismissals and

victimization.

To give the workmen the right of collective

bargaining and promote conciliation.



A permanent machinery conciliation has been setup for the speedy and amicable settlement of industrial disputes.

Compulsory arbitration in public utility services,including the enforcement of arbitration awards,

has been recognized. Strikes and lockouts during the pendency of

conciliation and arbitration proceedings and thearbitration awards, enforced by the Govt. order, areprohibited.

Specific time limits for various stages of conciliationand arbitration, to eliminate delays are prescribed.

An obligation on employers to recognize and dealwith representative trade unions, has been imposed.



Works committee to provide machinery for mutual

consultation between employers and employees

have been set up.

The Industrial Disputes may be referred to an

Industrial Tribunal where both parties to anyIndustrial Dispute, apply for such reference or

where the appropriate Government considers it

expedient to do so.



REASON OF RISE OF INDUSTRIAL DISPUTE IN INDIA

Tall promises made by INDIAN NATIONAL CONGRESS prior to

regarding changes in wages and working conditions.Rise in inflationary pressure which affected the cost of living.

Feeling of independence in minds of workers.

Growing influence of communist over workers.

Fear of retrenchment and unemployment.Misdirected leadership.

Lack of experience on the part of employers in dealing with

labor problems.



• INDUSTRIAL UNREST WAS AT PEAK

• IN ORDER TO BRING PEACE INDUSTRIAL DISPUTE ACT WASINACTED AND INDUSTRIAL TRUE RESOLUTION WAS ADOPTED

1947

• DUE TO VARIOUS STEPS TAKEN BY GOVTMENT DISPUTESDECREASED

1948-1950

• PROVED FATAL TO INDUSTRIAL PEACE BECAUSE OFRATIONALIZATION PROCESS

1955,1956,1957



• THE DECADE OF SIXTIES OPENED WITH AN INCREASINGTREND OF INDUSTRIAL UNREST

SIXTIES

• THIS YEAR IS CONSIDEREED TO BE MORE DISTURBEDYEAR.IT ACCONTED FOR 2939 DISPUTES.

1974

• NUMBER OF WORK STOPPAGES DECREASED OVER THEYEARS BUT THE EMPLOYERS DID NOT HESITATE FROMDECLARING LOCKOUTS

1975-1976( EMERGENCY PERIOD)



• THERE WAS INCREASE IN STOPPAGES, MANDAYS LOSTAND NUMBER OF WORKER INVOLVED.

• DETERIORATION IN THE SITUATION AND MAHARASTRAAND BENGAL WERE WORST EFFECTED.

• IT COULD BE EXPLAINED AS AN OUTBURST OF THERIGOURS AND EXCESSES SUFFERED DURING EMERGENCY.

POST EMERGENCY PERIOD

• MARKED SOME VERL LONG STRIKES ORGANIZED BY THEWORKERS.

• ON JANUARY 13,1982,THE LONGEST STRIKE IN TEXTILEINDUSTRY IN INDIA WAS ORGANIZED BY THE TEXTILEWORKERS OF BOMBAY UNDER THE LEADERSHIP OF LATEDR.DATTA SAMANT.

• 2.5 WORKERS OF TEXTILE MILLS WERE INVOLVED.

DECADE BETWEEN 1981-1990



• The economic scene marked a drastic changes in

the year 1991

• The process of economic reforms and structural

adjustments programmes made their beginning

•

The names like globalization and privatizationbecame household names.

• In the beginning of the economic reforms the

trade unions started resisting this process but it

could not last long• Many scholars will attribute, that the industrial

peace has been maintained since 1991 is

because of the economic reforms initiated from

july 1991 onwards.



1.Voluntary

2.Statutory



Code of discipline(ILO 1958)

Consist of three principle

1. Management and union agree

2. Management agree

3. Union agree



is a legal technique for the resolution of

disputes outside the courts, where the

parties to a dispute refer it to one or more

persons (the arbitrator), by whose decision

they agree to bound

It is a settlement technique in which a third

party reviews the case and imposes a

decision that is legally binding for both side



Operating in railways , post and telegraphindustries.

Universally accepted method.

TRIEPARTITE BODIES

COLLECTIVE BARGAINING



Giving a list of unfair labour practice and

making them punishable.

Regulation strike and lockout.

Laying down law relating to layoff ,retrenchment and closure .

Prohibition change in condition of service of

a worker .

Industrial Dispute Presentation

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