Wages

04/13/2023AP1

S. 2 (rr) Wages means all remuneration capable of being expressed in terms of money, which would, if the terms of employment, express or implied, were fulfilled, be payable to a workman in respect of his employment or of work done in such employment.

It includes i. allowances (including D. A. ) to which

workman is entitled.ii. any travelling concession.

Contd…

04/13/2023AP2

iii. the value of any house accommodation, or of supply of light, water, medical attendance or other amenity or of any service or of any concessional supply of food grains or other articles.

iv. any commission payable on the promotion of sales or business or both.

Wages does not includeI. any bonusII. any gratuity payable on termination of service.III. any contribution paid or payable to any pension

or provident fund or for the benefit of the workman

STRIKES

04/13/2023AP3

S. 2 (q) defines strikes as i. a cessation of work by a body of persons

employed in any industry acting in combination, or

ii. a concerted refusal of any number of persons who are or have been so employed to continue to work or to accept employment, or

iii. refusal under a common understanding of any number of such persons to continue to work or to accept employment.

Essentials of an industrial strike

04/13/2023AP4

existence of a set of employers and employees maintaining employment relationship during the period of strikes or lockouts.

existence of a dispute, the settlement of which becomes the object, cause or motive of a strike or a lockout

cessation of work by the employees for achieving the object or cause or motive propelled by the motive stated above.

Cessation of work

04/13/2023AP5

Stoppage, abandonment, omission of performance of duties of their posts,

hampering or deducing normal work, hindrance of the working, suspension of work, discontinuing the employment, etc.

When cessation of work?

04/13/2023AP6

Can be anytime and in any form. Must be temporary not forever Must be of work May be nominal for a few minutes

Mere passing of a resolution of strike does not amount to strike

Objects of strikes

04/13/2023AP7

Strikes are resorted to by the workersa) For achievement of some economic gainsb) For defense of mutual interestsc) For promotion of union objectives

Forms of strikes

04/13/2023AP8

Implied from the circumstances Stay-in strikes Tools down strikes/Pen down Strikes Token Strikes

LOCK-OUTS

04/13/2023AP9

S. 2 (l) Lock-out means a 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.

Essentials of Lock-out

04/13/2023AP10

a temporary closing of the place of employment, or suspension or withholding of work by the employer in some form.

an element of demand for which the place of employment is locked-out or closed.

an intention to re-employ the workers if they accept demands.

the employer is motivated by coercion.

Objects of lock-out

04/13/2023AP11

The employers usually resort to lock-out when they want the workers to come down to the terms of management and accept the conditions of service.

The management uses it as a tool to coerce the workers to come down in their demands in regard to conditions of service.

Difference between Strike and Lock-out

04/13/2023AP12

Strike A weapon in the hands of

the workers

A cessation of work by persons employed in an industry acting in combination

A concerted refusal of any no. of persons to continue work or to accept employment

A refusal under a common understanding of such persons.

Lock-out A weapon in the hands of

the employer to coerce or pressurise workmen

Temporary closing of place of work or suspension or withholding of work.

An element of demand for which the place of work is closed

An intention to re-employ if workers accept demands.

Prohibition of Strikes and Lock-outs

04/13/2023AP13

S. 22 Strikes in Public Utility Services(1)No person employed in a PUS shall go on

strike in breach of contract a) without giving to the employer notice of

strike, within 6 weeks before striking, orb) within 14 days of giving such notice, orc) before the expiry of the date of strike

specified in any such notice as aforesaid, ord) during the pendency of any conciliation

proceedings before a conciliation officer and 7 days after the conclusion of such proceedings.

Contd…

04/13/2023AP14

S. 22 Lock-outs in Public Utility Services(2)No employer carrying on any public utility

service shall lock-out any of his workmena) without giving them notice of lock-out,

within 6 weeks before locking-out, orb) Within 14 days of giving such notice, orc) before the expiry of the date of lock-out

specified in any such notice as aforesaid, ord) during the pendency of any conciliation

proceedings before a conciliation officer and 7 days after the conclusion of such proceedings.

Illegal Strikes and Lock-outs

04/13/2023AP15

S. 24 A strike or lock-out is illegal if1) It is commenced or declared in contravention

of Ss. 22 or 23, or2) Is continued in contravention of an order

made under S. 10 (3) or S. 10 (4-A)3) A lock-out declared in consequence of an

illegal strike or a strike declared in consequence of an illegal lock-out shall not be deemed to be illegal.

Penalties relating to strikes and lock-outs

04/13/2023AP16

S. 26 (1) Any workman - punishable with imprisonment for a term which may extend to 1 month, or with fine which may extend to

Rs. 50 or with both. S.26 (2) Any employer - punishable with imprisonment

for a term which may extend to 6 months, or with fine which may extend to Rs. 1000/- or with both.

S. 27 Persons instigating or enticing others to take part in, or otherwise act in furtherance of an illegal; strike or lock-out - imprisonment for a term which may extend to 6 months, or with fine which may extend to Rs. 1000/- or with both.

Prohibition of financial aid

04/13/2023AP17

S. 25 prohibits persons from knowingly expending or applying any money in direct furtherance or support of illegal strike or lock-out .

S 28 provides for an imprisonment for a term which may extend to 6 months, or with fine which may extend to Rs. 1000/- or with both.

LAY-OFF

04/13/2023AP18

S. 2 (kkk) Lay-off means the failure, refusal or inability of an employer to give employment to a workman

(a) whose name is borne on the muster-rolls of his industrial establishment and

(b) who has not been retrenched. The failure, refusal, or inability to give employment may be due to

(1) shortage of coal, power or raw materials, or(2) the accumulation of stocks, or (3) the breakdown of machinery, or(4) Natural calamity or for any other connected

reasons.

Essentials of Lay-off

04/13/2023AP19

Failure or refusal or inability of the employer to continue employees in his employment.

Laid off employees must be on the muster-rolls of the establishment on the day of lay-off.

Failure, refusal, or inability to give employment may be due to

a. shortage of raw materials orb. accumulation of stocks orc. breakdown of machinery or d. natural calamity or e. some other reason.

Difference between Lock-out and Lay-off

04/13/2023AP20

Lock-out Temporary closing of place

of work or suspension of work.

Employer’s tool to coerce/ pressurize workmen

Result of industrial dispute and continues during the period of dispute

Lay-off Refusal of employer to

employ due to shortage of coal, power, raw materials, accumulation of stocks, breakdown of machinery, natural calamity, any other reason

For trade reasons beyond the control of the employer

Not concerned with a dispute with the workmen

21

RETRENCHMENT S. 2 (oo) Retrenchment means “ to end,

conclude or cease. It means the termination by the employer of the service of a workman for any reason whatsoever, other wise than as punishment inflicted by way of disciplinary action.

It does not include :a. Voluntary retirement of the workman; orb. Retirement of the workman on reaching the

age of superannuation if the contract of employment between the two contains a stipulation in that behalf; or 04/13/2023AP

Contd…bb. termination of the service of the workman

as a result of the non-renewal of the contract of employment between the employer and the workman concerned on its expiry or of such contract being terminated under a stipulation in that behalf contained therein; or

c. termination of the service of a workman on the grounds of continuous ill-health.

CLOSURES. 2 (cc) It means the permanent closing down of a place of employment or part thereof. 04/13/2023AP22

Difference between Retrenchment and Closure

Retrenchment Closure

1. It is termination by the employer of service of the workman otherwise than as punishment and affects only some of the workers.

2. Services are terminated on account of surplus labour.

1. It means the closing down of the business for trade reasons and affects all the workmen.

2. This is the total closure of work by an employer.

04/13/2023AP23

Contd…

Retrenchment Closure

3. The trade or business remains uninterrupted.

4. Compensation payable

3. The business itself is discontinued.

04/13/2023AP24

Difference between Retrenchment and Lock-out

Retrenchment Lock-out

1. Retrenchment is permanent.

2. The relationship between employer and employee is severed completely.

3. Is resorted to, to dispense with surplus labour.

4. It is not due to any dispute .

1. Lock-out is temporary.

2. The relationship subsists. It is only suspension of relationship.

3. Is with the motive to coerce the workman to accept the demands of the employer.

4. It is due to and during an industrial dispute.

04/13/2023AP25

Difference between Lock-out and Closure

Lock-out Closure

1. Only place of business is closed.

2. Indicates the closure of place of business, not the place of employment

3. Is weapon of coercion for the employers.

1. The business itself is closed.

2. Indicates the final and irrevocable termination of the business.

3. Is for trade reasons.

04/13/2023AP26

Contd…

Lock-out Closure

4. There is a suspension of the employer-employee relationship.

5. It is due to the apprehension or existence of industrial dispute.

4. There is severance of the employer-employee relationship.

5. It need not be a consequence of an industrial dispute.

04/13/2023AP27

Similarities between Lock-out and Closure

Lock-out Closure

1. Cessation of work.1. Cessation of work2. A fundamental right

and workers cannot grudge

3. Result of actual loss or apprehended loss or disinclination to run the business at risk.

04/13/2023AP28

Applicability S. 25-A The provisions of S. 25C to 25E shall

apply only to industrial establishments in which more than 50 workmen on an average per working day have been employed in the preceding month but not to those establishments

1. to which certain special provisions of chapter V-B apply,

2. in which less than 50 workmen on an average per working day have been employed in the preceding calendar month,

3. which are of a seasonal nature or in which work is performed only intermittently.04/13/2023AP29

30

Continuous Service (S. 25-B) (1)A person is said to be in continuous service

for a period if he is in uninterrupted service, including service which is interrupted on account of :

Sickness, or Authorized leave, or An accident, or A legal strike , or A lock-out or cessation of work which is not

due to any fault of the workmen.

04/13/2023AP

Contd… (2)A workman shall be deemed to be in

continuous service under an employer for 1 year, if he has, during a period of 12 calendar months preceding the date with reference to which calculation is to be made, actually worked under the employer for not less than

1. 190 days in the case of a workman employed below ground in a mine, and

2. 240 days in any other case.

04/13/2023AP31

Contd…A workman shall be deemed to be in continuous service for a period of 6 months, if he has, during a period of 6 calendar months preceding the date with reference to which calculation is to be made, actually worked under the employer for not less than

1. 95 days, in the case of a workman employed below ground in a mine, and

2. 120 days in any other case.

04/13/2023AP32

Right of workmen laid-off for compensation S. 25 (C) Compensation is given to relieve the workmen

of hardship caused by unemployment due to no fault of the workman.

To claim compensation the requirements are 1. The workman should not be a badli worker or

a casual worker.2. His name must be borne on the muster rolls

of the industrial establishment.3. 1 year of continuous service must be

completed.

04/13/2023AP33

Contd… The workman is entitled to compensation for

all days except the weekly holidays as may intervene, if all above conditions are fulfilled.

Rate of compensation = 50% of the total basic wages and D. A.

No compensation shall be paid, if during the 12 months, a workman is laid- off for more than 45 days, if an agreement between the employer and employee subsists to that effect.

In such a case the employer can retrench the worker at any time after the expiry of the first 45 days of lay-off. 04/13/2023AP34

Contd… In such a case the amount of compensation

paid on account of lay off shall be set off against compensation payable for retrenchment.

04/13/2023AP35

36

Machinery for settlement of Industrial Disputes Conciliation Machinery1. Works Committee2. Conciliation Officer3. Board of Conciliation4. Courts of Enquiry

Adjudication Machinery1. Labour Courts2. Industrial Tribunal3. National Tribunal

04/13/202336 AP

37

Works Committee

1. Constituted in an organization wherein 100 or more workmen are employed or have been employed on any day in the preceding 12 month

2. Number of representatives of workmen in the Works Committee not be less than the number of representatives of the employers.

04/13/202337 AP

38

Contd...

04/13/2023AP38

The number of members shall be fixed so as to allow representation of various categories, groups, classes of workmen engaged – maximum 20 members.

The representatives of employers – nominated by the employers – shall be officials in direct touch with or associated – establishment.

The members – elected in two groups

i) To be elected by workmen of establishment - not members of registered Trade Unions

ii)To be elected by workmen of the establishment of the registered Trade Unions.

39

Functions of Works Committee:

The works committee promotes measures to secure and promote amity and good Industrial relations.

Comments on any frictions of common interest and concern and helps reduce the differences between the two.

It sorts and smoothens the frictions that might arise between the employer and the workmen.

Its decision carries great value but it is not conclusive and of no value if not fairly represented.

Promote goodwill and harmony between employers and employees and welfare of the workers

Deals with the day-to-day internal matters relating to safety , vocational training, apprenticeship, supervision of recreation and other nurseries.

It is only a negotiating body to promote harmonious and friendly relations.

04/13/202339 AP

Conciliation Officer S. 4 states that the appropriate government

may by notification in the Official Gazette, appoint conciliation officers for a specific area or for a specified industry or industries in area.

04/13/2023AP40

Powers of Conciliation Officers May call for and inspect any document which

he has ground for considering to be relevant to the industrial dispute.

The conciliation officer may for the purposes of inquiry into any existing or apprehended industrial dispute after giving reasonable notice enter the premises occupies b any establishment to which the dispute relates.

04/13/2023AP41

Board of conciliation S. 5 The A. G. may notification in the Official

Gazette, constitute constitute a Board of Conciliation for promoting the settlement of an industrial dispute.

It consists of of a Chairman and 2 or 4 members.

Chairman is independent person.

Independent person is a person who is not related to any industrial dispute or any industry appointed by such dispute.

04/13/2023AP42

Duties (S. 13)1. Whenever a dispute is referred to a Board, the

Board shall endeavour to bring about a settlement of the same.

2. The Board shall without delay investigate and all matters affecting the merits and the right settlement thereof.

3. It may do all such things as it thinks fit for the purpose of inducing the parties to come to a fair and amicable settlement of the dispute.

4. In case a settlement is reached, the Board shall send a report to the Government with a memorandum of settlement signed by the parties.

04/13/2023AP43

Contd…

5. Otherwise the Board shall send a report stating full facts and circumstances, the steps taken, the reasons for failure to settle and its recommendations for the determination of the dispute.

6. If the non-settlement is in case of a public utility service, the A. G. may refer the matter to the Labour Court, Tribunal or National Tribunal under S. 10, on receipt of a report. It has to record and communicate to the parties therefor if it does not do so.

7. Report to be submitted within 2 months from the date on which the dispute was referred to it, or earlier as may be fixed by the A. G.

The most important difference between S. 12 and S.13

is that the Board has jurisdiction only if the matter is referred to it by the A. G.

04/13/2023AP44

Courts of Enquiry S. 6 The A. G. may by ntfn. in the O. G. ,

constitute a Court of Enquiry to enquire into any matter connected with an industrial dispute.

A Court may consist of one or more independent persons. In case it consists of 2 or more members one of them shall be appointed as a Chairman.

A court may act in the absence of the chairman, provided the required quorum is formed, but it shall not function if the services of the chairman have ceased to exist, unless a new chairman has been appointed. 04/13/2023AP45

Duties of the Court of Enquiry (S.14)1. To inquire into the matter referred to it by

the A. G.2. To make a report to the A. G. on the enquiry

held on matters referred to it.3. When a matter is referred to a court, it shall

inquire and make a report within 6 months from commencement of the enquiry.

04/13/2023AP46

Labour Courts (S. 7) The A. G. by ntfn in the O. G. , may constitute

one or more Labour Courts for adjudicating of industrial dispute relating to any matter specified in the 2nd Schedule and for performing any other function as may be assigned to them under the I D Act.

It shall consist of only 1 person appointed by the A. G., known as the presiding officer.

04/13/2023AP47

Qualifications for appointment of a Presiding Officer of a labour court

1. Is or has been a Judge of a High Court, or2. Has been a District Judge or an Additional

Judge for a period of not less than 3 years, or3. Has been a chairman or any other member

of the Labour Appellate Tribunal or of any other Tribunal for a period of not less than 2 years, or

4. Has held any Judicial Office in India for not less than seven years, or

5. Has been presiding officer of a Labour Court constituted under any Provincial Act or State Act for not less than 5 years.

04/13/2023AP48

Duties of Labour Court ( S. 15)1. Hold the proceedings expeditiously, and2. Submit its award to the A. G. soon after the

conclusion of proceedings.

Though no time limit is mentioned the proceedings are expected to be completed without going into the technicalities of the Civil Courts.

04/13/2023AP49

Industrial Tribunals S. (7- A) The A. G., may by ntfn. , in the O. G.

constitute one or more Industrial Tribunals for the Adjudication of industrial disputes relating to any matter whether specified in schedules II or III.

It shall consist of only 1 person appointed by the A. G.

04/13/2023AP50

Qualifications for appointment of Presiding Officer - Industrial Tribunal

1. Is or has been a Judge of a High Court, or2. Has been a District Judge or an Additional

Judge for a period of not less than 3 years, or3. Has been a chairman or any other member

of the Labour Appellate Tribunal or of any other Tribunal for a period of not less than 2 years.

04/13/2023AP51

National Tribunals S. (7- B) The Central Govt., may by ntfn. , in the O. G.

constitute one or more National Industrial Tribunals for the Adjudication of industrial disputes relating which in the opinion of the Central Govt. involve questions of national importance or of such a nature that industrial establishments situated in more than one state are likely to be interested in or affected by such disputes.

It shall consist of only 1 person appointed by the Central Government.

04/13/2023AP52

Qualifications for appointment of Presiding Officer - National Tribunal

1. Is or has been a Judge of a High Court, or2. Has been a chairman or any other member

of the Labour Appellate Tribunal or of any other Tribunal for a period of not less than 2 years.

The Central Government may appoint two persons as assessors to advice the National Tribunal in the proceedings before it.

04/13/2023AP53

Disqualifications of Presiding Officer

No person can be appointed or can continue in the office of the Presiding Officerof a Labour Court, Tribunal, or National Tribunal, if

1. He is not an independent person, or2. He has attained the age of sixty five years.

04/13/2023AP54