Industry Dispute Act, 1947

By: Vasundhra Goel, Pankhuri Dhingra, Pooja Vij & Sugandha Agrawal

Industry under Industrial Disputes Act

Industry means any business, trade, undertaking, manufacture or calling of employers and includes any calling, service, employment, handicraft or industrial occupation of workmen.

Industry Dispute and Workman

Industrial Dispute Industrial dispute means any dispute or difference between employers and employers, or between employers and workmen, or between workmen and workmen, which is connected with the employment or nonemployment or the terms and conditions of employment or with the conditions of labor, of any person. Workman Workman means any person employed in any industry to do any manual, clerical or supervisory work for hire or reward.

Main provisions

Reference of dispute for adjudication. Awards of labor courts and tribunals. Payment of wages to workers pending proceedings in High Courts. Rights of appeal. Settlements in outside conciliation. Notice of change in employment conditions. Protection of workmen during pendency of proceedings. Strike and lock-out procedures. Lay-off compensation.

Retrenchment compensation. Proceedings for retrenchment. Compensation to workmen in case of transfer of undertakings. Closure procedures. Reopening of closed undertakings. Unfair labor practices. Recovery of money due from employer. Penalties. Obligations and rights of employees.

When to consult and refer

When a dispute arises with the workers' union. When you plan changes in employment conditions. When there is a strike. When there is a lock-out. When retrenchment of workmen. When undertaking is being transferred. On closure of an establishment. On re-opening establishment.

Systems for Settlement

Works Committee: The committee will consist of equal number of representatives of employer and employees. Representatives of employees will be selected in consultation with Registered Trade Union. The Works Committee will first try to settle disputes. If dispute is not solved, it will be referred to Conciliation Officer who is appointed by the government.

Labor Court: Labor Courts are constituted by State Governments. It will be presided over by Presiding Officer. The Labor Court has powers in respect of * Interpretation of Standing Orders * Violation of Standing Orders * Discharge or dismissal of a workman* Withdrawal of any customary concession or privilege * Illegality or otherwise of a strike or lock-out * other matters which are not under Industrial Tribunal.
National Tribunal: National Tribunal is formed by Central Government for adjudication of industrial disputes of national importance or where industrial establishments situated in more than one States are involved.

Industrial tribunal: Industrial Tribunal is constituted by State Government u/s 7A. The tribunal will be presided over by Presiding Officer. The Industrial Tribunal has powers in respect of * Wages, including period and mode of payment * Compensatory and other allowances* Hours of work and rest intervals * Leave with wages and holidays * Bonus, profit sharing, provident fund and gratuity * Shift working changes *Classification by grades * Rules of discipline * Ratinlanisation and retrenchment of workmen.

Effects of industrial dispute

Employer:

stoppage of production increase in the average cost of production to compensate his customers loss of prestige and credit Loss due to destruction of property loss of income threat of loss of employment threat of reprisal action

Employee: