industrial disputes act, 1947

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Page 1: Industrial disputes  act, 1947

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BY: MANISHA VAGHELA

byManisha vaghela

INDUSTRIAL DISPUTES ACT, 1947

Page 2: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Flow of presentation

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Definition1. Industrial Disputes2. Strikes3. Industry4. Retrenchment5. Lock –out6. lay Off

All questions of Industrial Disputes 1947

Bibliography

Page 3: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Industrial Disputes

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“Industrial dispute” is defined by Section 2(k) of the

industrial disputes Act, 1947 as, “any dispute or

difference between employers and employers, or between

employers and workmen, or between workman 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.

Page 4: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Strikes

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Industrial Disputes Act,1947,deals with this type

separately in section 2(q) and defines it as “strike means a

cessation of work by a body of persons employed in any

industry acting in combination, or a concerted refusal

under a common understanding of any number of persons

who are or have been so employed to continue to work or

to accept employment.”

Page 5: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

5Industry

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Accordingly, section 2(j), an activity would become an industry if (a) it is

systematic,(b) it involves co-operation between the employees and the

employer, (c) it results in the production and/or distribution of goods or

services, and (d) is carried on as trade or business, regardless of whether it

is trade or business, for profit or not. If these tests are satisfied the term

industry would include educational institutions, university, hospitals,

societies, charitable institutions, a firm of lawyers and chartered

accountants, municipality, etc.

Page 6: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Retrenchment

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According to The term "retrenchment" defines under

the section 2(00) may be analyzed as:

(1) Retrenchment means the termination by the

employer of the services of a workman.

(2) The termination may be for any reason what so ever.

(3) But the termination should not be as a measure. of

punishment byway of disciplinary action.

Page 7: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Lock -out

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In section 2(I) Lock out Means the 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.

Page 8: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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lay Off

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In section 2(kk) lay Off Means putting aside workmen temporarily. The duration of

lay off should not be for a period longer than the period of emergency. The

employer-employee relationship does not come to an end during the period of lay-off

but is merely suspended during the period of emergency.

Any such refusal or failure to employ a workman may be on account of:

(I) shortage of coal, power or raw materials or

(ii) the accumulation of stock; or

(iii) the breakdown of machinery; or

(iv) natural calamity; or

(v) any other connected reasons.

Page 9: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Appropriate Government

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In section 2 ( a) The Central Government as well as the State

Government are vested with various powers and duties in relation to

matters dealt with in this Act. In relation to some industrial disputes the

Central Government and in relation to some others, the State

Government concerned are the appropriate Government to deal with

such disputes.

Under sub-section [(i) (a)] and [(i)(b)] of the Act,

Companies/Corporations/Trusts/Boards/ Authorities, etc. established

under the Act of Parliament; the Central Government is the Appropriate

Authority.

Page 10: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Q :-State and explain the various authorities appointed under the industry disputes act to solve industrial disputes.OR

Q:-What is the machinery setup in Industrial disputes Act 1947 for settlement of disputes?

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The authorities that make use of conciliation on the sole method of settlement of disputes are:

(1) Works Committee (2) Conciliation Officer (3) Board of ConciliationThe adjudicating authorities that decide any dispute under the Act. are: (1) Court of Inquiry (2) The Labour Court (3) Industrial Tribunal; (4) National Tribunal, and

Page 11: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Sec. 10-A of the Act. makes provision for voluntary reference of disputes to arbitration. Apart from the above, provision has also been made for constitution of Court of Inquiry, whose main function is inquire into any matter appearing to be connected with or relevant to an industrial dispute.

1. Work committee (Sec.3) The works committee is considered to be powerful social institution

only to secure cooperation between workers and employers, but to make the will of the employees effective on the management. According to sec.3 of the Industrial Disputes Act, in the case of an industrial establishment in which 100 or more workmen are employed or have been employed on any day in the preceding 12 months, the appropriate Government may, by general or special order, require the employer to constitute a Works committee consisting of representatives of employers and workmen engaged in the establishment. The number of representatives of workmen on Works Committee shall be not being less than that of the representatives of the employers.

Page 12: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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2. Conciliation Officers (Sec.4) The appropriate government may appoint conciliation officers

charged with the duty of mediating in and promoting the settlement of, industrial disputes. A conciliation officer may be appointed for a specified area or for a specified industry in a specified area, and his appointment may be permanent or temporary.

3. Board of Conciliation (Sec.5) In a similar manner, a board of conciliation may also be constituted to

promote the settlement of industrial disputes. A board shall consist of a chairman and two or four other members, as the appropriate government thinks fit. The chairman shall be an independent person and the other member shall be person appointed in equal numbers to represent the parties to the dispute on the recommendation of the parties concerned. If any party fails to make a recommendation within the prescribed time, the appropriate government shall appoint such persons as it thinks fit to represent that party.

Page 13: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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4. Courts of Inquiry (Sec.6) The appropriate government may constitute a court of inquiry consisting

of one or more independent persons to enquire into any matter connected with or relevant to an industrial disputes. Where a court consists of two or more members, one of them shall be appointed as chairman.

5. Labour courts (sec-7)The appropriate government may constitute one or more labour courts to

adjudicate industrial disputes relating to any of the following matters1]. The propriety or legality of an order passed by an employer under the

standing orders;2].the application and interpretation of standing orders;3]. Discharge or dismissal of workmen, including retirement of, or grant of

relief to, workmen wrongfully dismissed;4].withdrawal of any customary concession or privilege;

Page 14: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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5]. Illegality or any customary concession or privilege;6].All matters other than those specified in the third schedule.

A labour court shall consist of one person only with necessary judicial qualifications, and will be appointed by the appropriate government.

6. Industrial Tribunals (sec.7A)The appropriate Government may by notification in the Official Gazette,

constitute one or more industrial tribunals for the adjudication of industrial dispute s relating to any matters specified above as in the case of Labour Court, or the following

matters, namely (1) Wages including the period and mode of payment (2) Compensatory and other allowances;(3) Hours of work and rest intervals;(4) Leave with wages and holidays;(5) Bonus, profit sharing, provident fund and gratuity;(6) Shift working otherwise than in accordance with standing orders; (7) Classification by grades;

Page 15: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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(8) Rules of discipline;(9) Rationalization;(10) Retrenchment of workmen and closure of establishment; and(11) Any other matter that may be prescribed.

7. National tribunals ( sec. 7B)The Central Government may, by notification in the Official Gazette,

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

Page 16: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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A National Tribunal shall consist of one person only to be appointed by the Central Government. In order to be qualified as a Presiding Officer of a National Tribunal, a person must be or must have been a Judge of a High Court, or must have held the office of the Chairman or any other member of the Labour Appellate Tribunal for at least 2 years. The Central Government may appoint two assessors to advise the National Tribunal, in proceeding before it. .

Page 17: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Q:-Explain provision of illegal strikes and illegal lockout as stated in Industrial disputes Act 1947.

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Sec. 24 of the Act provides that a strike or a lockout shall be illegal if it is:(a) commenced or declared in contravention of Sec. 22 or 23, and(b) continued in contravention of the prohibitory order made by appropriate

Government after the dispute has been referred under Sec. 10(3) or sub-section 10A(4-A).

Prohibition of financial aid to illegal strikes and lockouts (Sec. 25)This section of the Act prohibits financial aid to illegal. strikes and lockouts.This section has the following ingredients: .(1) spending or applying money:(2) money spent or applied in direct furtherance or support of an illegal

strike,

Page 18: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Punishments (Sec. 28)

For any violation of provisions of Sec. 25, punishment is imposed by Sec. 28 of the Act. According to the provision, even a person who is not a workmen can be penalized violating the provisions of Sec. 25. The effect of Sections 25 and 28 is the prosecution to support a conviction for breach of Sec.25 must prove that:

(i) the strike or lock-out in question was illegal(ii) the accused had knowledge that (a) the strike or lockout was iIIegal and (b) the money spent or applied by him was in direct furtherance or

support of a strike or lockout.(iii) that the money was actually spent or applied by the accused. However, assistance to strikers in any other from, for example,

supplying clothes, food, etc. is not prohibited under Sec. 25 of the Act.

Page 19: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Q:-Briefly explain strike and lockout in public utility services.

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Sec.22 of the Industrial Disputes Act provides that:

(1) No person employed in a public utility service go on strike in breach of

contract:

(a) without giving notice of strike to the employer within six weeks before

striking, or

(b) within 14 days of giving notice, or

(c)before the expiry of the date of strike specified in any such notice as

aforesaid, or

(d) during the pendency of any conciliation proceedings and 7 days after the

conclusion of such proceedings.

Page 20: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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(2) No employer on any public utility service shall lockout any of his

workmen

(a) without giving them notice of lock-out as herein after provided within six

weeks before locking out; or

(b) within 14 days of giving such notice; or

(c) before the expiry of the date of lockout specified in any such notice as

aforesaid; or

(d) during the pendency of any conciliation proceeding before Conciliation

Officer and seven days after the conclusion of such proceedings.

Page 21: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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 Difference between lock-out and retrenchment

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(1)Temporary or permanent: Lockout is temporary measure, while

retrenchment is permanent.

(2) Relationship: In lockout the relationship of employer and employee is only

suspended; it does not come to an end. In retrenchment such a relationship is

severed at the instance of the employer.

(3) Motive: Lockout is with a motive to coerce the workmen; the intention of

retrenchment is to dispense with surplus labour.

(4) Trade dispute: Lockout is due to an industrial dispute, whereas in case of

retrenchment, there is no such dispute

Page 22: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Difference between strike and lock-out

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Strike is the ‘act of quitting work done by mutual understanding by a body of workmen as a means of enforcing compliance with demands made on their employer, a stopping of work by workmen in order to obtain or resist a change in conditions of employment’.

Lock-out is temporary suspension by employer to give employment to the workmen, unless the workmen accept the demands of the employer.

Page 23: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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Bibliography

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Industrial & labour laws - Dr. sanjeev kumar

Industrial jurisprudence and labour legislation - A.M.sarma

Legal systems in business - P. Saravanavel - S. Sumathi

Page 24: Industrial disputes  act, 1947

BY: MANISHA VAGHELA

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