Industrial Dispute Act 1947Disputes manifest in the form of strikes, lockouts & commonly known as

bandhs.

Industrial Dispute Act 1947 any dispute or difference between

employers & employers, employers & workmen, or

workmen & workmen, which is connected with the employment or non-employment or terms of

employment or with the condition of labor of any person.

Causes for dispute

• Wage demand:

• The demand for has never been fully met because of high rate of inflation & equally high cost of living.

• Wage agreement reached in one company will inspire unions in other plants.

Union-rivalry:Most organizations have multiple unions which leads to rivalry among different unions.

Here, the problem of authenticity of membership occurs for the manager.( unions put members in such a way that overall the number exceeds the total number of employees in the organization).

Secondly, the problem of collective bargain agent.

Political interference

• Labor movement around the world would show that labor union by their nature political.

• Drawbacks of unions being politicized:• Distant ideological issues divide & fragment issues on party

lines.• Because of wrong political influence the unions sometimes do

not sign on the agreement even though it is in favour of workers.

• Political parties somehow engineers strikes, lockouts to show their political strength, which leads to long lasting disputes.

Unfair labour practices

• Managements unwillingness to talk over ant dispute or matter, enrages the workers.

• Managements unwillingness to recognize any particular trade union.

• No enough authority to the officials to negotiate with the workers.

• When during negotiations for settlement the representatives take the side of management.

When management uses such words like they have taken the decision of recruitment, selections & training & that it need not consult employees in any of these matters.

Large number of managements have not even taken any step to provide benefits to the workers.

Too many laws:

• Labor legislation is regarded as most dynamic institution. There are about 108 acts both central as well as state ,earning our country the dubious distinction of being highly labor legislated countries in the world.

• But the employees & industries who are benefited by these laws are very few.

• Judiciary also do not play a positive role .

????How to solve disputes

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• Collective bargaining.

• Code of discipline.

• Grievance procedure.

• Arbitration.

• Conciliation.

• Adjudication.

Collective bargaining:

it occurs when representatives of union meet with management.

They meet to discuss over employee’s wages & benefits, to create or revise work rules & to resolve

disputes of labor contract.The bargain is said to be collective in the sense that

chosen representatives act as bargaining agent for all employees in dealing with management.

Code of discipline:

Defines duties & responsibilities of employees & workers.

It ensures that employees recognize the obligations and rights of one another.

Promotes cooperation.

Grievance Procedure:

1. Section head shall try to resolve & if this 1. Section head shall try to resolve & if this fails.fails.

2. Departmental heads shall intervene to 2. Departmental heads shall intervene to resolve ,if they failresolve ,if they fail

3.Division heads intervene, if they fail.3.Division heads intervene, if they fail.

4.Complaint is referred to the union.4.Complaint is referred to the union.

Arbitration:

It is procedure in which the third party studies the bargaining situation, listens to both the parties & gathers information ,& then makes recommendations that are

binding on both the parties.

Conciliation:

In this representatives of workers & employees are brought together before a third party with a view to

persuade them to arrive at an agreement by mutual discussion

between them.

It may be said that conciliator has no power to force a settlement but can work with parties

separately to determine their respective positions, explain the positions more fully to the opposition &

facilitates reaching of an agreement.

Adjudication

• Refers to mandatory settlement of an industrial dispute by a labor court or a tribunal. Generally Government refers a dispute for adjudication on the failure of conciliation proceedings.